Windows Client Memory Limits
64-bit Windows client SKUs support different amounts of memory as a SKU-differentiating feature, with the low end being 512MB for Windows XP Starter to 128GB for Vista Ultimate and 192GB for Windows 7 Ultimate. All 32-bit Windows client SKUs, however, including Windows Vista, Windows XP and Windows 2000 Professional, support a maximum of 4GB of physical memory. 4GB is the highest physical address accessible with the standard x86 memory management mode. Originally, there was no need to even consider support for more than 4GB on clients because that amount of memory was rare, even on servers.
However, by the time Windows XP SP2 was under development, client systems with more than 4GB were foreseeable, so the Windows team started broadly testing Windows XP on systems with more than 4GB of memory. Windows XP SP2 also enabled Physical Address Extensions (PAE) support by default on hardware that implements no-execute memory because its required for Data Execution Prevention (DEP), but that also enables support for more than 4GB of memory.
What they found was that many of the systems would crash, hang, or become unbootable because some device drivers, commonly those for video and audio devices that are found typically on clients but not servers, were not programmed to expect physical addresses larger than 4GB. As a result, the drivers truncated such addresses, resulting in memory corruptions and corruption side effects. Server systems commonly have more generic devices and with simpler and more stable drivers, and therefore hadn't generally surfaced these problems. The problematic client driver ecosystem led to the decision for client SKUs to ignore physical memory that resides above 4GB, even though they can theoretically address it.