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1. DirectX or Direct 3D is an API that renders 3D Graphics.
2. No, Direct X 10 requires Vista and above and Direct X 11 requires Windows 7.
3. Both require faster graphics cards and produce better graphics.
4. Not really, higher versions of Direct X are more hardware demanding.
5. games are often less hardware demanding on XP. But if you have a Direct X 10/11 capable GPU and more than 2gb of RAM then you should upgrade.
6. No, feel free to ask for help anytime.