They said the exact same thing about VISTA and Windows Millenium Edition, BOB etc... It is just a big cycle and we see the same thing over and over again. come back after you have used it for 6 months and then tell us if you feel the same way. I HAVE used it for over 6 months, and I WAS a die hard MS supporter. Windows 7 is just some of VISTA fixed, but no where near what XP is period. All the maketing fluff in the world can't hide the facts. In a year we will just be pumping Windows 8, because Windows 7 is VISTA all over again.
All irrelevant. No they aren't going to stop developing OS's just because XP is good. They won't stop at Win7 either, is that a surprise? no...
If you don't currently have a need to upgrade, then don't. Continue to enjoy XP and watch technology advance from afar. You probably took a similar stance arguing Win98SE over XP, but the time obviously came for you to upgrade to XP.
XP will not continue to evolve, if you want to stay a step or two behind the technology curve, it's your choice. It's Win7 and the "Vista'ish" OS's from here on out (for Microsoft).