Well, that is really simple, the issue only arises with addressed memory, not available memory. The same way you can stick 8 GB of ram into a computer running 32bit windows, it doesn't have an issue booting or anything like that, but it still can't address more memory than it is capable of.
Edit: I should note I am referring to Windows Xp, and not Server editions of Windows which have no trouble addressing much more than 4GB.







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