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Citrix XenServer VS. Windows 2008 Terminal Services

Right now we have a Citrix Metaframe Presentation 4.0 farm. All servers in the farm are running Widnows 2003. We are looking to upgrade our Citrix farm. Here are my questions.
What are the differences between Citrix XenServer and Citrix XenAppServer.

What can a Windows 2008 Terminal Server do or not do that a Xen server could do?

Please explain... I know very little about Citrix Xen server
2 Solutions
Windows Terminal Server is like your Citrix Metaframe system and XenApp Server is the new name for Metaframe.

Citrix XenServer creates multiple virtual machines, this is more like MS Virtual PC, but optimized for servers.  This does not replace what you are doing today.

If you want to replace Metaframe you would either do XenApp or Terminal Server.

However you could look at XenDesktop,  it creates complete virtual desktop system.

XenServer is a server based virtualization platform (hypervisor) whereas XenApp is utilized to virtualize applications or host a shared server based desktop.  The two are completely different and intended to work in conjunction with each other.  

As an example, suppose you have a dual quad core server with 32 GB RAM.  You install XenServer as the base OS.  You then create multiple virtual servers on top of XenServer.  The physical server's resources (CPU and RAM) are divided amongst the VMs, so you might have six virtual machines running off of one physical server.  Each of those VMs can be an instance of Citrix XenApp from which you provide published (virtual) applications and/or a shared server desktop.  

Terminal Server is similar to XenApp.  It is also a method of providing a shared server desktop and/or applications.  XenApp is more robust and the ICA client that is utilized by XenApp is regarded as faster than Terminal Server's RDP client.  Course, Citrix also has a higher price tag...
One of the advantages XenApp/Metaframe has over TerminalServices/RDP is the customizable ICA protocol...  You can tune the bandwidth utilized for different channels in the ICA protocol - printing, video, audio, etc..   MS has some "bandwidth" related customizations which only turn on/off features on RDP, but you can't fine tune the bandwidth for the RDP protocol.
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compdigit44Author Commented:
So what is the advantage of disadvange of using Vmware ESX server vs. XenServer???
ESX server has been around longer, and thus could be considered more stable, more robust, and better performing than XenServer.  At least for  now.

XenServer is based on Linux and Xen.  ESX is based on Linux, but I don't think it is based on Xen.  I'm fairly sure that ESX has been around longer than Xen.

I don't know what the price difference is, so I'm not sure if there is a finical incentive to use one over the other.

Offhand the one incentive to going with XenServer is if you are real technical and get real comfortable with it, you could problem dump XenServer and roll your own using Linux and Xen without the "extra's" that Citrix may add.
We use XenServer, though that is more to us being a Citrix shop than anything else.  I prefer to stay with a single vendor as much as possible to avoid fingerpointing.  As for performance, you can find studies that support both vendors as being better than the other.  VMWare has been around longer and is generally regarded as the better server virtualization platform.  

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