The driver page for it doesn't even have any spot for possible Windows 8 drivers, and those XP drivers aren't enough as it will need wifi and a few others.
His only option is Windows 7, regardless of others opinions on 8.
Startup on a 7200.12 Seagate was a mere 1 second faster than 7 with both fresh installs. Regular usage is not faster at all with HDD or SSD. If a laptop has full UEFI support to bypass post that wouldn't count due to the age of this netbook. Rather moot, and I'm sure an older fellow isn't going to want to deal with Metro.
If the OP cleaned out all the bloatware, disabled the resource intrusive services, added another GB of RAM with 7 HP, the netbook would run rather well for very basic every day tasks like internet, Youtube, whatever. It's just a simple case of taking off what shouldn't be running to clear up some RAM.