After some research I found that there is a Win32 binary version of memcached available here.

So go there and download win32 binary version to your computer. When downloaded, extract the file to folder memcahced on your C partition.

You should get only one file named memcached.exe. Now we need to install this as a service, as memCached is daemon and should be run only as service.

To install Memcached as a service, follow these steps (please change all forward slashes to backslashes):

1. If you’re running Vista, you should set memcached.exe to Run as administrator
2. Install the service using the command:

   1	c:/memcached/memcached.exe  -d install

   from the command prompt

3. Start the server from the Services or by running one of the following commands:

   1	c:/memcached/memcached.exe -d  start

   or

   1	net start "memcached Server"

That is it, now your memcached server is installed and is listening to port 11211. There is one more thing left to do. By default, server is set to 64Mb memory limit, which is too small. To correct, go to Registry Editor and find key

Change the ImagePath entry to:

This way you will use 512 Mb memory limit for your server.