The ‘Indexing’ feature is used to increase the speed of file searches within XP by creating and updating an index of all files on your system. Unfortunately, it also reduces the performance of your system, since it is constantly working in the background. The Indexing service uses the Cidaemon.exe process to index files. The Cidaemon.exe process builds and updates the Index catalog. Additionally, the Cidaemon.exe process typically uses lots of pagefile space and lots of CPU time.