Our main reasons for moving to XML were that (a) we wanted something more than PilRC format in order to provide additional features (mostly regarding localization, I think), and (b) we wanted something that was more standard and amenable to other tools.
The XML format does fit those requirements better than PilRC's RCP format, IMO. However, the RCP format is superior as a written language for developers, both due to the capabilities of the tool (header generation, automatic ID assignment) and because it isn't as wordy. However, XRD can be nice to work with, using Palm OS Resource Editor or using a XML-centric editor like XML Spy.
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