Yea 190mb of ram isn't enough for XP. You could always just upgrade the mobo and CPU then add a bit more memory. Just make sure your power supply is strong enough for the new mobo. If there's a Frys near you, they always have something on sale.
I always run two hard drives, that way I have backups of all my Music, pics, guitar tablature, and important info on both of them. This way if a hard drive crashes, I didn't lose anything important.