When is it OK to use an XML file to save information?

Question

What reason could there be for using an XML to save information?

Answer 1

We use it for saving our machine configuration files. We have a lot of machines in the field that get configured a number of different ways. We can use the DataContract or Xml serializer, which is easy to implement.

The benefit for us, is that we can easily diff these files to look at differences between the machines.