Go try it. It's the same "Pick a drive then navigate folders" dialog from ages ago - see these instructions (which are from Vista but apply to 7):

http://windows.microsoft.com/en-US/windows-vista/Install-or-...

In Win7 they changed the instructions:

http://windows.microsoft.com/en-US/windows7/Install-or-delet...

Here's the instruction for those that don't want to click the linK:

Right-click the font you want to install and click Install.

There's no 'Install New Font' in the File menu in Win 7 64-bit, and you have to press Alt before you can even find the menu there! Are you sure those instructions are still valid?

I realize that is Microsoft's own documentation but... who on earth installs a font that way? Just double click the font file and it'll install.

Why is it part of the OS then?

For UI backwards compatibility, maybe? It sounds good if you think of it this way.

It was definitely in one of the beta versions. But I thought they removed it after that.