Microsoft is akin to a teenager who is in love for the first time. Kind of like where the girl plays Will he? Wont he? game by plucking out all the flowers in the garden and ruining them by plucking out all the petals. After forcing consumers to go for the Vista by claiming that they would not support XP beyond mid 2008 ; Microsfot has now back tracked.
Due to the huge backlash as well as vendors requesting the same (some such as Dell even went so far as to suggest if Microsoft stopped then they would themselves continue supporting XP) - Microsoft has finally seen the light.
Users of XP will continue to receive bug fixes and security updates while those companies who had extended support contracts will also recieve support. Microsoft has not announced a new date of death for the XP yet.