There is a product called 98lite available at www.litepc.com which
unbloats Windows.  They have an embedded (commerical) product which
can get Windows down to 16 or even 8MB!  I once found a personal
website which detailed how to do this, and knowing it was incredibly
hard to find I bookmarked it but that bookmark is long gone.
Some details I remember (but may be somewhat incorrect...)
He provided replacement registry file system.dat and a file list of
the files you need, instructing you that everything else should be
save to delete.  I believe it also mentioned it was originally used
for Windows 95.
Thanks!

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Request for Question Clarification by hummer-ga on 21 Dec 2005 05:19 PST

Hi neutronscott,

How's this?

Gord Braun
"Due to overwhelming demand (mostly from me) I have written my own
how-to for getting a Windows 98 PC to boot up fast, shut down fast,
and generally run fast and reliably, without having to buy/upgrade
anything."
http://users.accesscomm.ca/gbraun/w98/

Will look forward to your reply,
hummer