Small Business Server Upgrade dillema

I have a current client on SBS 2003 Premium that leverages all components of SBS 2003.

Client environment is as follows:

Servers / Workstations:
Server 2K3 used as Terminal Server (application mode; OS is users' client OS)
Wyse Terminals (12)
Windows XP Pro (1)
Windows Vista Business (2)

Various Laser / Inkjet's

Sage Masterbuilder (on SBS 2003 Server)
Sage Masterbuilder client (on Server 2003)
Shoretel Communicator (on Server 2003)
Office 2003 (on Server 2003)

All clients including the vista and xp use RDP to the 2003 server as their operating environment.

Client is in need of upgrade on the hardware side of the house, and we figured we might as well go with a new server 8GB ram, and bump them up to Windows SBS 2008 Premium.  Herein llies the problem.

Sage Masterbuilder does not "support" their product on 64 bit or 2008 server.
The benefit's of 2008 are significant in my clients eyes to move forward, the question is -- how do I, or can I integrate with existing environment.  Even if it meant leaving in tact or virtualizing the current environment to support the new environment.  

Does anyone have any direct experience or insight on this and what would be a creative but cost effective way to facilitate this type of an upgrade / integration.  Even if the current environment needs to be "realigned" or used.

Greatest concern is ability to use new server with full SBS functionality and maintain status quo with existing "masterbuilder" application.
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how about upgrade to SBS2k8, then use either vmware or virtual PC to host a 2k3 environment for that software?
Rob WilliamsCommented:
SBS 2008 is only supported on 64bit hardware so you are somewhat limited. However SBS 2008 premium does come with additional licensing for a second server (Server 2008 std) as well as the ability to create a Server 2008 64 bit host using Hyper-V. You could create a hyper-V host, an SBS 2008 virtual machine, and then a second virtual server but use 32 bit server 2003. The second server 2008 I belive has downgrad rights to server 2003. You could then run your masterbuilter software on the 2003 virtual server.
A couple of things to keep in mind:
-The server must support hyper-v technology, most new servers do, but verify first
-I would recommend 16GB of RAM. You will want an absolute minimum of 1GB for the host, 6GB for SBS 2008, and 2GB for your Server 2003. More is recommended.
-Verify with Microsoft the downgrade rights from 2008 to 2003. It may only apply to a volume license, which is a reasonable option.

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halejr1Author Commented:
When upgrading from SBS2003 to SBS2008 -  can I do a migration / upgrade and change the internal domain name without slowing down or impacting  migration.

i.e. old domain is "olddomain.local"
new domain is: "newdomain.local"

email domain will stay the same ""

Any thoughts or assistance is appreciated.

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Rob WilliamsCommented:
You cannot do an upgrade, and you cannot change the server name or domain. The latter two require a complete rebuild, it is one of the limits of SBS. On SBS 2008 I believe you can change your external Domain, but definitely not internal.
halejr1Author Commented:
Rob, thanks for your response.  In the documentation it refers to "upgrading" from SBS 2003 which is what I am doing... no there is no true "upgrade" it's really an inplace install / migration / uninstall process.  That being said, can I Install the new server with a different "local domain" and migrate the existing stuff to new server / then uninstall new server.  I found some docs, so I will research, however I was looking to see if anyone had direct experience with this.  I will post as new question.  Thanks for your assistance.

Rob WilliamsCommented:
You cannot migrate from one domain to another. Exchange, Active Directory (with all the user accounts), and sharepoint are all domain dependent. If you need to change the domain name you are best to save the users mailboxes on the PC's as .pst files, set up the new clean server, add all user accounts, dsijoin the PC's from the old domain and join the new, and then import the pst files at the desktop level. I am not sure how you would migrate Sharepoint (if you are using it) to the new server.

Though it will not allow you to change the domain name, if you are looking at replacing hardware and/or migrating to 2008 I would recommend looking at the kits available from  They make the process very straight forward and you can control the steps.
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