1. If you have already installed ArcGIS 9.

1, just uninstall it and install this

version.
2. License Manger Setup
a. Create the following directories:
i. C:\Program Files\ESRI\License\arcgis9x
b. Copy license.lic to that directory.
c. Edit the first line of the license.lic file
i. SERVER this_host any
ii. Change this_host to the name of your computer
d. Run LMSetup.exe
i. Choose C:\Program Files\ESRI\License\arcgis9x\license.lic
when prompted.
ii. Do not restart.
iii. Copy over ARCGIS.exe to C:\Program
Files\ESRI\License\arcgis9x
iv. Add ESRIFloat.reg to the registry.
e. Restart your computer.
f. Launch StartMenu -> ArcGIS -> License Manager 9x -> Run License
Manager Tools.
g. Choose tab Service/License File, and check "Configuration using
Services", and choose the ArcGIS License Manager.
h. Switch to tab Configure Services, make sure ArcGIS License Manager
is in the Service Name listbox.
i. Browse to the correct License file path (C:\Program
Files\ESRI\License\arcgis9x) where you copied the license.lic file
and choose it as license.
j. Check Start Server at Power up.
k. Click Save Service to save the settings.
l. Test the server by choosing the Start/Stop/ReRead tab, Click Stop
server, then ReRead license file, then Start Server.
m. After that move to the tab Server Diagnostics and press the Perform
Diagnostics button. If everything is done right, it should list all ok
features.
3. Mount ArcGIS Desktop 9.2 DVD.iso
4. Install ArcGIS Desktop.