Requires a clean install. Back up your files, install Windows 7, then reinstall your applications.
In-place upgrade installs a new version of Windows over an existing edition.
If you have a 64-bit machine: If you are running a 32-bit OS and want to upgrade to 64-bit, you must do a clean install with bootable media, such as a CD, DVD, or USB flash drive.
If you are running a 64-bit OS and want to change to 32-bit, you must do a clean install but don’t need bootable media.