I just finished installing WDSc onto a netbook running Windows 7 Professional. I did a network install. It took about 90 minutes, but went smoothly (which I cannot say for my Vista install). It seems to work without any problems.
I was forced to reinstall WDSc because I had to do a "clean" install of Windows 7 (coming from XP). But it reinstalled just fine, and even remembered my old settings, which I had saved using the Windows Easy Transfer program.