First of all, service pack 2 will slow down your computer, BUT it will also make it SIGNIFICANTLY more secure. Well worth it, especially with 3.4 GHZ under the hood.
You should always install, reboot, install, etc. when doing major work. Easier to nail down problems, conflicts, etc.
ATI driver? No effect. Maybe some if there is an app running to give you hotkeys, quick access to settings, coolio equalizer, or something.
Norton Ghost and Norton AV, generally anything Norton post Peter Norton WILL make a ghost of your system performance (pun intended). It just does. Do you honestly use Ghost, being a home user and all? As for AV, there are much better alternatives... Panda (paid) and Avira AntiVir (free), to name a few.
Webcam driver, no. Same deal as ATI driver.
Logitech wireless key and mouse driver? Is it RF or Bluetooth? Neither should do much. RF will do none, as it is completely independent of the PC itself.
Natural Color and World of Warcraft, no. Unless you are running them both in the background. LOL
Limewire 4.10 is the $#|+... It won't slow it down substantially. I recommend Pro, though.
Hard drive stuff has little, if anything, to do with performance as long as there's a li'l bit at the end of all drives/partitions for the file system to play around with. Did someone say Diskeeper?
I have to ask... Why does anyone get XP Media Center?
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