When you format a floppy from WinXP you should only see a selection for the ''FAT'' File System (actually I believe it is FAT16).
My own WindowsXP Pro system uses NTFS on my hard drive, but the only selection I have, when going to format a floppy, is ''FAT''
There are outside tools, that I've see, that may give possibilities to format a floppy with NTFS or FAT12 and a couple other file systems as well, but doing so will not be useful to the common user. As far as I have seen, I have never seen a tool (or a reason) to format a floppy to FAT32 (the other file system that your WinXP might be using).
There is little reason for attempting other than FAT (FAT16) on a floppy. There is just not enough space on a floppy to gain any space advantage. Heck, most computers now don't even have floppy drives in them, unless you want to pay extra! and with USB drives being faster, smaller, and gobs more useful, most people don't see any use of a floppy anyway ;).
I had a few diskettes (3 1/2" high density which had data on them in Fat 32 file system)which I deleted, and then I tried to format these diskettes again. I get a message "unable to format - the file system is RAW." Why did this happen? How can I format these in the Fat 32 mode? My machine is a P3-733 MHZ, running Win XP Pro with the NTFS file system.I tried formatting them from Command Prompt too: Format a: /u but no dice. Any help would be appreciated. I know, diskettes are cheap these days and I could just throw them away, but for me it is learning process.