R2-Poo-Poo

In the last 2 days I saw Guy Haycock present SBS R2, and Eric Ligman talked about licensing. Eric & Guy both did a great job, and it got me thinking, "What would I like to see in the perfect SBS R2 webcast?"

Here's my answer:
(And keep in mind, many of these points were in the other, 2 webcasts – this is the 1 perfect SBS R2 / Office / Vista small business opportunity webcast)

– Talk about SQL 2005 better performance out of the box, high availability
– R2 branch office scenario – minimum scenario & associated costs
– More time on WSUS integration demo, specifically updates for IMF, etc.
– Upgrading – is it an in-place upgrade from R1 SP1 or do you have to ‘Swing’ it
– CALs for member servers
– Specifically, what pieces of WS R2 made it into SBS R2
– Does R2 use a different Transition Pack SKU if you want to go past 75 CALs?
– Where is the Software Assurance sweet-spot for SBS upgrades?

First things first:
– R2 on new SBS boxes is a no-brainer. Hands-down.
– If you are selling new hardware TODAY, it MUST be 64-bit. Hands-down.

However, the vibe I hear from the Partners is that they don’t plan on selling *ANY* R2 as upgrades – only new box installs. They say, “Just hold off another year or so until the next ‘real’ version comes out.” But that’s flawed thinking, because Cougar is 64-bit only, and most (practically ALL) small businesses currently have 32-bit servers.

Sure, I agree that upgrading from SBS 2003 SP1 to R2 is stupid. And that’s why everybody loves to slam R2 like its Windows ME. It’s fun to poo-poo R2 and thumb your nose at it. Unfortunately you can’t hear the value of R2 over the roar of naysayers dissing it for being ‘a bunch of free downloads burned on CD and slapped in a box”. The chat transcripts and blogs echo that negative sentiment.

But the value is there underneath the noise. For those SBS 2000 boxes out there at client sites not willing to commit to x64 hardware, R2 is a slam dunk. I hate to see SBS stall in the R2 era the way it did in the ‘pre-SP1’ era – everyone holding their breath waiting for the next big thing. We lost a lot of momentum, and that’s hard to recapture.

We agree that new boxes get SBS R2 (nuff said).

BUT, R2 also needs to be pushed (as an upgrade to SBS 2K) bundled with SA through Open License to get those get those stray SBS 2000 boxes up to speed. R2 gets installed today on the client’s x32 SBS 2000 dogs in mid ’06. So they can eke another 18-24 months out of their current hardware (without pulling the trigger on 64-bit) and they have the ace up their sleeve of the Software Assurance free spin for Cougar. The longer they wait to buy 64-bit hardware, the cheaper (or faster) it will be.

Right now somebody is out there complaining, “But the customer will have to pay labor on a Swing Migration in ’06, and x64 hardware and ANOTHER Swing Migration in ’08 – they’ll never go for that!” The answer is, YES THEY WILL – because:

a) They’re splitting their payments over 3 Years with SA
b) If you bundle XP & Office into the package with one of Eric’s ‘fries with that’ SKUs, they get Vista & Office 12 AND the SBS CAL AND home use AND training AND etc.
c) They’re getting an extra 18-24 months out of their current x32 hardware
d) SBS Premium customers will get BETTER performance out of SQL 2005 than 2000 on the SAME HARDWARE
e) They’re getting more bang for their buck when they finally do buy x64 hardware
f) Your customers will be on current technology for the next 3 YEARS for less than $1 per day per employee

A friend of mine called my cell 20 minutes ago from BestBuy, asking if the Gateway AMD Athlon X64 X2 4200 dual-core desktop machine for $869 is a good deal. So how cheap do you think x64 servers will be in ’07? In ’08? Are you really doing your client a favor by selling them R2 on new hardware today? If they’ve got enough life left in their boxes to coast into the Cougar launch window (whenever that is) with their x32 gear – I say let ‘em.

From where I sit, the formula ‘Install SBS R2 = automatic new hardware’ doesn’t compute. If you disagree with me, you know where the comment button is.