Yes, I immediately looked up TouchBuddy and saw it only mentions XP!
Know of any other software out there that does the same and is updated in the last decade?

JK
There's one called "Touchdown" as well, and apparently TouchBuddy profiles can be converted to Touchdown easily, but I haven't looked at it as TouchBuddy seems to work just fine under Win7. If there's some improvement to be had I'll move to it, but right now TB is working so I'm working on the theory of "If it aint broke, don't fix it".
I'll grab one of those screens off eBay tonight... Fantastic idea! Are the ones that have USB *only* input good enough? As in there don't use VGA or such to get the video going, the simply plug into a USB port of your machine and I assume they use drivers (which always worries me) to make it known to Windows it is a display.
The USB one is fine. All monitors use drivers, it's just that windows already has the drivers for "normal" ones, but you have to download the drivers for this one (unless you're using Win8.1+). The good thing about USB only is it's easy, no power cord etc. The slight down side is that because it's not using my graphics card I can't include it in Eyefinity display groups so when I change from "desktop" to "widescreen gaming" modes I have to enable to small monitor separately as the catalyst software doesn't know about it, but that's a minor inconvenience.
The guy I bought mine off has one more like it, and a 7" one for sale. They're listed as "used" but mine came with all the plastic film still stuck all over it and everything in it's original packaging so I think they were bought for a reason then unused. The link to his ebay items is
here. The used price he's offering is less than half of the new price, and it got from him in the USA to me in Australia in about five days (though I paid AU$50 for FedEx to do it).
The one I got (Mimo Magic Touch 10") is a usb only one, with a capacitive screen and 10 point multitouch. Under Win7 or Win Vista there's a driver you have to download but under Win8 it's supported natively. Both versions use Windows built in tablet & pen/touch settings so they work just fine, same as a touch enabled tablet or laptop would. It comes with a quite heavy & stable removable stand, and has screw mounts on the back for a standard small VESA mount. FYI under any earlier versions of Windows the driver is display only, no touch. Same under linux (but there's other solutions for getting touch working under linux apparently), and there's a Mac version of the driver which supports touch but you have to pay for it - just in case you're interested in other OS's.
He also has a 7" "Mimo 710-S" with a very cool looking folding stand/case, but be aware that this is a display only, NOT a touch screen. There are other models (the 720-S I think) which has a
resistive touchscreen, but if you're looking for similar operability to modern smartphone screens you'll want a capacitive one (you don't want to have to use a stylus, I'm sure).
You can also use the touch "overlays" that are available to fit over normal screens, which will require a VGA/DVI/HDMI port and power for the monitor AND a USB port for the overlay, and there's other companies that make small touch monitors such as "Lilliput"... either for PC's, for use as in-car displays, or for point of sale equipment.