To repartition a hard drive with Windows XP and install a Linux distribution without losing data, several methods are suggested. Partition Magic is recommended for its reliability and user-friendly interface, allowing users to resize NTFS partitions safely. Alternatives include using the free Ranish Partition Manager, which can create NTFS partitions but cannot resize them, necessitating additional tools like ntfsresize. Modern Linux distributions often come with built-in partitioning software capable of resizing NTFS and FAT32 partitions, although safety cannot be guaranteed. For users with limited experience, using a virtual machine like VMware is also suggested, as it simplifies the installation process by automatically creating a partition for Linux. Additionally, some users have encountered compatibility issues with certain Linux distributions on 64-bit Intel processors, highlighting the need for compatible versions like Knoppix or SuSe.