> I think the 
> 2.0 solution 
> would be to tokenize the input string and then reassemble 
> with a for-each 
> on the tokens, adding the comma and space along the way.

it's simpler than that, in 2.0 you can do

<xsl:value-of select="replace(@software, ';', ', ')"/>

Michael Kay
http://www.saxonica.com/