It seems to run fine under XP, but then again, my gamepad wouldn't work the way it's supposed to. I just couldn't get some controls to work, no matter how I mapped them.
Luckily, I also have Win98SE set up, no gamepad problems there, but some parts are still unplayable. Shooting sequences, for instance, one button press moves the aim for one third of the screen or even more, it's very hard to hit anything that way. Maybe today's PCs are just too fast, I don't know. At first I thought my character was just unskilled at shooting things, but I noticed no improvements after some practice courses. Then I tried slowing everything down with CPUGrab, but it just became more choppy, I still couldn't aim well. No Omikron for me, I guess.