1. Microsoft Hyper-V CloudLicensing Myths & Truths March 25, 2011 Singapore David Tang Product Marketing Manager, Core Infrastructure Microsoft Singapore email@example.com
2. Server Virtualization
3. SERVER VIRTUALIZATIONWindows Server virtualizationMyth: “Windows Server licenses may not be reassigned within 90 days andWindows Server OEM licenses may never be reassigned, so customers may notmove virtual machines with Windows Server with Live Migration or VMotion.”Truth: The first part of the myth is essentially correct (some exceptions exist,though), but the conclusion is not. Customers who want to move a virtualmachine within their server farm must make sure that on the destination (thehost where the virtual machine will be moved to) appropriate licenses arewaiting. If for example hosts A and B are both licensed for Windows Server 2008R2 Datacenter then an unlimited number of virtual machines running WindowsServer may be running on hosts A and B. If a virtual machine running WindowsServer is now moved from host A to host B, it will “find” the required WindowsServer licenses on host B and may therefore run there. In this example, thelicenses are not being moved, so this can even be done with Windows ServerOEM licenses.
4. SERVER VIRTUALIZATIONWindows Server virtualizationMyth: “Windows Server 2008 R2 Datacenter costs about the same asWindows Server 2008 R2 Enterprise, so even if you have just five virtualmachines running Windows Server, Datacenter is more cost-effectivethan Enterprise.”Truth: Unlike Windows Server 2008 R2 Enterprise, the Datacenter editionuses processor licensing and it may only be run on servers with at leasttwo processors. This limitation rules out Windows Server 2008 R2Datacenter as an option for single-processor servers. On servers withtwo or more processors the number of virtual machines and the requiredfunctionality will together determine whether Windows ServerDatacenter is more attractive than the Enterprise edition or not. On adual-processor server with five virtual machines for example, oneEnterprise plus one Standard license is the most cost-effective option.
5. SERVER VIRTUALIZATIONWindows Server virtualizationMyth: “The Product Use Rights document (PUR) state that you may only runWindows Server 2008 R2 Datacenter on servers with at least two processors,so if I buy one Datacenter processor license for a single-processor server andleverage lower edition use rights in order to use Windows Server Standard orEnterprise, I can bypass this two-processor minimum.”Truth: Whenever you exercise lower edition or prior edition use rights, theoriginal product usage rights still apply. Since Windows Server 2008 R2Datacenter has a two-processor minimum, this threshold also applies ifWindows Server Standard or Enterprise is run instead of Datacenter.Myth: “The two-processor minimum for Windows Server Datacenter wasintroduced in 2008 R2.”Truth: This threshold was introduced with the release of Windows ServerDatacenter 2008, not 2008 R2. It did not exist in 2003 R2 and prior versions.
6. SERVER VIRTUALIZATIONWindows Server virtualizationMyth: “A Windows Server External Connector license is needed for eachvirtual machine running Windows Server that will be used directly orindirectly by external users.”Truth: Page 32 of the March 2011 PUR states “Each external connectorlicense assigned to a server permits any number of external users toaccess instances of the server software on that server.” so all WindowsServer virtual machines running on a host can share a single ExternalConnector.
7. SERVER VIRTUALIZATIONWindows Server virtualizationMyth: “Like Windows Server licenses, Windows Server External Connectorlicenses may not be reassigned.”Truth: Page 32 of the March 2011 PUR states “You may reassign externalconnector licenses to any of your servers located within the same serverfarm as often as needed. The prohibition against short-termreassignment does not apply to external connector licenses assigned toservers located within the same server farm.” This exception may be veryuseful because it means that a Windows Server virtual machine thatserves external users and runs somewhere in a server farm can take theWindows Server External Connector with it as it moves.
8. SERVER VIRTUALIZATIONWindows Server virtualizationMyth: “Even if Windows Server 2008 R2 is used only as a virtualizationplatform, Windows 2008 CALs are required.”Truth: Page 30 of the March 2011 PUR states “You do not need CALs for[…] (4) any user or device accessing an instance running in a physicaloperating system environment that is used solely to (i) run hardwarevirtualization software (ii) provide hardware virtualization services (iii) runsoftware to manage and service operating system environments on thelicensed server.” This means that your customer may move his serversrunning Windows Server 2003 R2 and prior versions to virtual machineson a physical server that runs Windows Server 2008 R2 without having toupgrade his Windows 2003 CALs.
9. SERVER VIRTUALIZATIONWindows Server virtualizationMyth: “Microsoft doesn’t have a free or low-cost virtualization platform.”Truth: Microsoft offers Microsoft Hyper-V Server 2008 R2 – an operatingsystem with hypervisor – as a free download. Hyper-V Server is adedicated stand-alone product, which easily plugs into customers’existing IT environments, providing live migration, cluster shared volumesupport and expanded processor and memory support for host systems.
10. SERVER VIRTUALIZATIONWindows Server virtualizationQ: Litware has a single-processor six-core server with 10 virtualmachines. Choose the most cost-effective approach with which Litwareachieves compliance.A: Windows Server Enterprise costs about three times as much asWindows Server Standard, so the most cost-effective solution is 2Windows Server Enterprise plus 2 Windows Server Standard licenses.Now you might think “Why not Windows Server Datacenter?” Well, thePUR doesn’t allow the use of this edition on single processor servers.
11. SERVER VIRTUALIZATIONVirtualizing SQL ServerQ: Prosecom uses ten servers with four hexa-core (6-core) processors and hasvirtualized all Windows servers. It has one SQL Server Standard virtual machine(VM) with 2 virtual processors. This VM can run anywhere and will be used bythousands of external users. Another identical VM is running as a passive fail-overserver. What will be your recommendation for SQL Server?A: A VM that is accessed by thousands of external users should be licensedthrough processor licensing because it won’t be possible to monitor the numberof SQL CALs and the cost of these CALs will exceed the cost of processor licenses.The SQL Server 2008 R2 Licensing Guide explains that customers may divide thenumber of virtual processors (2) by the number of cores per physical processor(6) and then round up this figure (2/6 1).The VM may run anywhere, so either you license all ten physical servers for SQLStandard or you use SQL Enterprise and leverage License Mobility.SQL Server Enterprise (Standard too!) offers passive fail-over rights, so you onlyneed to license the active server (1 processor license), so the correct answer is 1SQL Server 2008 R2 Enterprise processor license.
12. SERVER VIRTUALIZATIONLicense MobilityQ: Prosecom has data centers in Brussels and Bangalore, ten servers perdata center, one Exchange Server 2010 Standard virtual machine (VM)and one SQL Server 2010 Enterprise VM. Both VMs may run anywhere.Which licensing solution will you suggest?A: Both Exchange Server 2010 Standard and SQL Server 2008 R2Enterprise offer License Mobility. However, this customer’s server farmexceeds four time zones, so in this instance both datacenters will need tobe licensed for Exchange and SQL. The correct answer is therefore 2Exchange Server and 2 SQL Server licenses.
13. System Center Server Management Suites
14. INTEGRATED SERVER MANAGEMENT SUITES DRIVESIMPLIFICATION OF MANAGEMENT THROUGHSTANDARDIZATION • Data Configuration • Protection & Management (Physical & Recovery Virtual) • Server End-To-End Compliance Monitoring •
15. NEW CAPABILITIES AVAILABLE TO SERVER MANAGEMENTSUITE CUSTOMERS Previous With New Capabilities Opalis grant NEW in Dec 2009 Service Manager NEW in 1 Jul 2010 Operations Manager Operations Manager Configuration Manager Configuration Manager Data Protection Manager Data Protection Manager Virtual Machine Manager Virtual Machine Manager SMSE / SMSD SMSE / SMSD • Opalis available to SMSE / SMSD customers via a grant from Microsoft. • Service Manager Server ML will be a new component of SMSE / SMSD on 1 July 2010. • Both changes effective for Enrollment for Core Infrastructure (ECI) licenses • Excluding ECI Standard which does not include SMSE or SMSD. 15
16. SERVER VIRTUALIZATIONSystem CenterQ: Which System Center products don’t require separate server licenses?A: The right to use the server portion (also known as the “console”) ofSystem Center Data Protection Manager (SCDPM) and System CenterVirtual Machine Manager (SCVMM) is granted to customers who havecorresponding Server or Client Management Licenses.Q: Why doesn’t a System Center Server Management Suite Standardexist?A: Such a suite existed in the past but has been withdrawn. However, theCIS Standard Suite does contain Standard Server Management Licensesfor SCCM, SCDPM and SCOM.
17. SERVER VIRTUALIZATIONSystem CenterQ: Litware wants to manage one Windows Server host with five VMs withSystem Center Virtual Machine Manager (SCVMM) and System CenterOperations Manager (SCOM). Which Server Management Licenses(SMLs) are needed?A: SCVMM requires an SML per physical server whereas SCOM requiresan SML per managed Operating System Environment (OSE), so here 1SCVMM SML and 6 SCOM SMLs will be needed.
18. Enrolment for Core Infrastructure Suites aka CIS Suites
19. CORE INFRASTRUCTURE SERVER SUITES ECI: Combine suites, and upgrade over time Datacenter Enterprise Standard Server Management Suite Server Management Suite Server Management Licenses Datacenter Enterprise Standard Highly virtualized Lightly virtualized 1 virtualized instance For 2+ processor servers For 2 processor servers For 1 processor servers Only 5% more than Only 8% more than Only 15% more than Windows Server Datacenter Windows Server Enterprise Windows Server Standard
20. ECI COST SAVINGS The pricing example below shows the relative value and cost (Select C) of a customized 100- processor, 90 server ECI enrollment (20 Datacenter, 40 Enterprise, 40 Standard) vs. purchasing the individual components separately and to purchasing only Windows Server. $250,000 20% Only 8% more $207,524 $200,000 System $54,747 $165,681 Center $151,733 $150,000 FCS ECI Windows Windows $151,733 Mix Server $100,000 Server Only $50,000 $0 Products purchased ECI - 20/40/40 mix* WS L+SA only separately
21. SERVER VIRTUALIZATIONECIQ: Is ECI also available under the Enterprise Subscription Agreement(EAS)?A: Yes, ECI is available under EA and EAS, its product description is CIS onthe pricelist.Q: Is it correct to say the SMSE is licensed per processor in ECI and perserver in other VL programs?A: That is correct. All CIS Suites are licensed per processor.Q: Is it correct to say that only the CIS Standard Suite may be obtainedfor servers with a single processor?A: Yes, that is true. The CIS Enterprise and Datacenter Suites may not beobtained for servers with a single processor.
22. SERVER VIRTUALIZATIONECIQ: Do the CIS Suites include the right to install the server portion (a.k.a.“console”) of System Center Configuration Manager (SCCM), System CenterOperations Manager (SCOM) and System Center Service Manager (SCSM)?A: Yes, they do if the following restrictions are observed:• SQL Server (a prerequisite for these System Center products) must be licensed separately.• The server portion may only be deployed on servers that are licensed with a CIS Suite.This is the wording in the ECI enrollment:System Center. Enrolled Affiliate may run any number of instances of theSystem Center server software in any number of operating systemenvironments on each licensed server. Enrolled Affiliate may separate andrun instances of the server software in different operating systemenvironments on the licensed server
23. SERVER VIRTUALIZATIONECIQ: If a customer standardizes on the Enterprise CAL Suite (ECAL) for allQualified Users, do the Forefront Endpoint Protection (FEP) rights thatare included in the CIS Suites add any value?A: Yes, even in such a case, ECI adds value because servers require FEPlicenses too. The March 2011 PUR clarifies this as follows:Page 93 Servers4 that access data require a device license in addition touser licenses for connecting users. […]Page 98 4For purposes of this requirement, “Servers” are devices onwhich you run server operating systems.
24. SERVER VIRTUALIZATIONECIQ: Why isn’t the “CIS Suite without Windows” migration SKUs availableas true-up SKUs?A: The True-up process implies the purchasing and invoicing of a newLicense plus SA. Therefore the customer will end up paying twice for theLicense. In order to migrate a Windows Server license to a CIS Suite mid-term, an additional Supplemental CPS will be needed. Such a mid-termmigration cannot be done using a True-up SKU.
25. SERVER VIRTUALIZATIONECIQ: Customers who renew SA on Windows Server plus SMSE or SMSDmay obtain CIS SA-only SKUs. What about customers who have WindowsServer SA plus SA on a System Center Server Management License (ML),e.g. an SCCM Enterprise Server ML?A: Customers with Windows Server Enterprise SA should step-up fromthe individual Server ML to SMSE. After that you can obtain CISEnterprise Suite SA.Customers who have Windows Server Datacenter SA also need to stepup from the individual Server ML to SMSE, and then need to step upfrom SMSE to SMSD (the SKU turns one SMSE to two SMSD processorlicenses). Next you can obtain the CIS Datacenter SA.
26. SERVER VIRTUALIZATIONECIQ: Can our SCOM Server Management Licenses be terminated mid-termif we want to migrate from Windows Server SA to a CIS Suite using a “CISSuite without Windows Server” SKU?A: This is not a programmatic approach and will hence require BDSG orBusiness Desk approval.Q: If a customer currently pays for Windows Server L&SA and migratesto ECI mid-term, how is it possible that he pays for CIS Suite withoutWindows Server whereas he hasn’t fully paid for the Windows Serverlicense?A: If a customer uses this migration SKU, remaining payments forWindows Server L&SA will still be due through the original agreement.
27. SERVER VIRTUALIZATIONECIQ: If a customer only enters into an ECI, not into an EA Enrollment orSelect (Plus) agreement, to which price level will he be entitled?A: All ECI products are assigned to the Server Pool, so the customer’sSelect (Plus) or EA server pool price level will apply to ECI. If thecustomer doesn’t have a Select (Plus) or EA for the Server Pool, then heis entitled to price level A.Q: Has the ECI threshold changed?A: Yes. Whereas in the past customers needed to place an initial order forat least 40 CIS Datacenter Suite processor licenses or at least 100processor licenses for any combination of CIS Suites, the currentminimum is 50 processor licenses for any combination of CIS Suites.
28. SERVER VIRTUALIZATIONECIQ: Is a calculator available for building an ECI proposal?A: Yes. Use the ECI Pricing Estimator to generate an initial estimate athttp://eci.Q: Is it true that ECI quotes can also be created using E3 and thatquoting no longer requires BDSG involvement?A: ECI SKUs are available in E3. BDSG involvement would be required ifnon Standard CPS need to be created.Q: Customers who migrate from Windows Server with active SA to ECIusing a CIS without Windows Server SKU are credited for overlappingWindows Server SA. Which SA price will be used for calculating thiscredit?A: The Business Desk Support Group (BDSG) will calculate this credit.They will use EA price list for doing so.
29. SUMMARY1. Managed server virtualization with Windows Server, Hyper-V Server and System Center offers customers a glide path to a private or public cloud-based infrastructure.2. Even if you use just a few System Center products for managing your servers, the System Center Server Management Suite Enterprise (SMSE) or Datacenter (SMSD) is more cost-effective than the individual System Center Server Management Licenses. The same is true for customers who have just a few virtual OSEs per host and only use one or two System Center products.3. The easiest and most cost-effective way for obtaining Windows Server, SMSE or SMSD, and Forefront Endpoint Protection (FEP) for servers is with the EA Enrollment for Core Infrastructure (ECI). ECI offers a choice between three Core Infrastructure Server (CIS) Suites: CIS Standard for single-processor servers, CIS Enterprise for lightly virtualized workloads on dual-processor servers and CIS Datacenter on highly virtualized dual-processor and bigger servers.
30. SUMMARY4. Customers with active SA on Windows Server Enterprise and SMSE can migrate to CIS Enterprise, and should do so at SA renewal. The same is true for customers who have active SA on Windows Server Datacenter and SMSD.5. Customers who have active SA on Windows Server but not on SMSE or SMSD can also migrate to ECI by using a “CIS Suite without Windows Server”. Customers will be credited for overlapping SA, which means that you don’t have to wait until your SA renewal date (unlike customers who have both Windows Server and SMSE/SMSD, as explained in the previous slides).
31. CALL TO ACTION1. Consider individual System Center Server Management Licenses vs SMSE or SMSD because these suites are much more cost- effective and streamline System Center licensing.2. When renewing Windows Server SA, consider adding System Center and Forefront Endpoint Protection by migrating to ECI.3. When renewing SA you can seamlessly migrate from Windows Server SA plus SMSE or SMSD SA. Migrating from Windows Server SA to ECI can be done at any time.