Vector Magic is hands down the best bitmap to vector conversion tool. Sad to say, magnitudes better than Xara's (or Corel or Adobe).

I received an announcement (below) from them this morning announcing ClippingMagic. I have not tried it yet but it sounds really cool. It appears to work the same way as the new versions of Xara. You select the colors to protect and the colors to erase. But all in one step.

Just wanted to let you know that Vector Magic has launched a new service: https://clippingmagic.com Clipping Magic lets you easily remove the backgrounds from photos - just upload a photo, mark some of the foreground green, some of the background red, and the algorithm figures out the details. For difficult edges there's a unique scalpel tool that lets you make precision cuts. The service is especially great for preparing eCommerce product photos and marketing materials, but people use it for all sorts of creative work. Best, James and Jacob PS. Don't miss the drop shadows, color corrections, and crop features that allow you to create cutouts that really pop in one easy-to-use tool!