thanks for all the replies
right now i am going with win 7 x64 upgrade +ram
any good recommendations for a gpu which is out now?
What's your budget for a Graphics card? and what resolution is your monitor?
Id also be very tempted to add some more RAM to your build, or even totally replace what you already have.
4GB 1600MHz would be the minimum RAM id recommend, ideally 8GB. Maybe 1333MHz RAM - depends on your motherboard?
If you could list all of your PC spec that would be useful, including manufacturer name: