Processor Upgrade on Studio 540

Yes the Core 2 Quad Q9650 is compatible with the Studio 540.  Dell has offered the Studio 540 with a Q9650 at one point so you should have no problems.  Just be sure you have the latest BIOS update before you upgrade.

I am also looking into upgrading the Studio 540 processor from a Q8200 to a Q9650. Can anybody clarify how difficult this is to do? I have never replaced a processor before and don't want to damage the motherboard.

HERE 

<ADMIN NOTE: Broken link has been removed from this post by Dell>

are your instructions for replacing the processor.  There is a link to remove your heatsink fist.  You will probably have to reuse your CPU heatsink and fan assembly since it is screwed into the motherboard versus the one that will come with the Q9650.  If you are planning to sell your Q8200, make sure you clean off the thermal compound from the top of it before removing it from the socket so you do not cause any damage.  You can clean the thermal compound off both the CPU and the bottom of the heatsink with some rubbing alcohol on a clean rag.  Arctic Silver 5 is a very popular thermal compound to use and you can find the instructions for the C2Q HERE.

The Q9650 is certainly a good processor and the best of the Quads, but most would consider it pointless to spend over $300 for it when you already have a Quad.  

Normally that is the case.  However, you are dealing with a Dell system which is more proprietary.  The Dell heatsink and fan is screwed into the motherboard with most likely a back plate.  The heatsink and fan that comes with the Q9650 will most likely be the push pin type and won't work unless you want to remove your motherboard and get the back plate off so the push pin type connectors to the board can be used.  The screw in type is more secure anyway versus the push pins which can be difficult to work with to get them secured down.   Arctic Silver 5 is one of the best thermal compounds you can use and will be better than what is pre-applied.