Yes the number of processors does include the ht processor count. This a dual 
3.60GHz Intel Xeon (Hyper- Threaded) machine. 

Here is part of the output of the set command:

C:\>set
NUMBER_OF_PROCESSORS=4
OS=Windows_NT
PROCESSOR_ARCHITECTURE=AMD64
PROCESSOR_IDENTIFIER=EM64T Family 15 Model 4 Stepping 3, GenuineIntel
PROCESSOR_LEVEL=15
PROCESSOR_REVISION=0403

-----Original Message-----
From: ADSM: Dist Stor Manager [mailto:ADSM-L AT VM.MARIST DOT EDU] On Behalf Of 
Richard Sims
Sent: Monday, June 25, 2007 3:16 PM
To: ADSM-L AT VM.MARIST DOT EDU
Subject: Re: [ADSM-L] Lost in TSM licensing

On Jun 25, 2007, at 3:01 PM, Kauffman, Tom wrote:

> ...
> If someone does find a way to query MS-Windows for this information,
> we'd like to know as well.

Probably covered in past postings, but here's a brief from my Windows
QuickFacts:

Processors, number of                   How to find out how many
processors are
                                         in the Wintel box:
                                          - Via "stupid Windows
trick": in the
                                            cmd window, enter 'set
n', and get
                                            back like:
"NUMBER_OF_PROCESSORS=1".
                                            Or maybe LOGICAL CPU
count on a
                                            hyperthreading CPU.
                                          - Inspect the Registry key
                                            hklm\system
\currentcontrolset\control
                                            \session management
\environment
                                            \number_of_processors

   Richard Sims