Yes, but buy the Service Pack 2 disc from Microsoft.com. It is free, but requires $3.95 shipping.
Then you install Windows XP Professional, Then the Service Pack 2 Disc, then use the Dell disc to install the Drivers and BIOS update, if any, and download any drivers or chipsets issued since the date of the build for that computer,
then click on the
www.microsoft.com Microsoft Update site and use Custom to download and install all your updates, then reboot, and do it again.
Finally, go back to the Dell site, and use your Service Tag Number to have Dell scan your computer for anything else that is needed.
The Windows XP Professional is definitely superior, particularly if you have a full version, that is not an OEM, nor an upgrade disc. This will give you better control over repair and update issues.
Now install your Antivirus software, Anti-Spyware software, Rootkit software, Adaware 2007, and SpyBot 1.4, Flash 9.0, Shockwave, Firefox 3.0 (out any day now) Adobe Reader 8.0+, Java, and all your word processing and image editing software.
Your E1501 will run better than ever. DO NOT install Windows VISTA on that machine...