"I give Microsoft credit for successfully de-bloating Windows 7, I haven't used it but reportedly it's acceptable in 512MB of RAM on a single-core processor."
yes, I was forced to go to 512MB for few weeks when memory died on my old ACER (I know I cannot believe memory can die). It worked really nicely. The only program which refused to work (speaking of music/internet/fun type tools) was iTunes. It just did not like 512MB at all while playing MP3