Yep the VideoDriver appears to be the main issue on first look. Go here:
http://www.nvidia.com/object/winxp_2k_81.98.html
There are good instructions at the top of that Page -
Read Them
If you are on dialup - will take hours as its a 30Mb download, set it to run over night and go to sleep
Pagefile is a little low - increase it to 2000mb, min=max
If still issues, and you may have some, you hardware is on the low side - still inside minimum spec (but outside recommended spec) - then post your Dxdiag file together with any other symptoms-no matter how small post-driver install
There are other things that can be tried, but lets do it in bite size chunks not a big bang ....
When you uninstall the current drivers and reboot, eventually near end of the reboot process Windows will ask if ok to load a new set - say NO, refuse - reject .... reason is we want a clean install of new drivers not over-write existing ones auto-installed by windows (the screen will look real wierd before installing downloaded drivers (640 x 640 res and basic textures) dont worry the latter is ok before you install new drivers)
Regards
Zy