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Hyper-V Live Migration requirements

I have Dell R610 with 16GB RAM and 2 E5620 CPUs and Dell MD3000 SAN. It's running Windows Server Ent R2 x64 and Hyper-V with couple production VMs. What are my requirements to implement Live Migration feature?
- Do I need to buy another copy of Windows Server Ent or can I use the free Hyper-V 2008 R2
- DO I need to setup Clustering on both servers? I'm trying to wrap my heads around this subject to setup a failover system

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Erik PittiCommented:

In short, yes, you will need clustering setup between both servers. The links below should answer the rest.

Windows Server 2008 R2 & Microsoft Hyper-V Server 2008 R2 - Hyper-V Live Migration Overview & Architecture

This page has an overview of features for each version of Windows Server 2008 including the free Hyper-V server.  Remember that Hyper-V server does not include a GUI, so you'll want to be well-versed in the Windows command line and powershell before going whole-hog with it.
You can't mix and match Windows Full and Windows Core in a cluster. They all have to be either Full (GUI) or Core. Hyper-V server counts as a Core installation. So, you have two options:

1. Buy another license of Windows 2008 R2 Enterprise and create your cluster.
2. Use Hyper-V server on your new box, migrate all your existing VMs to Hyper-V Server, format your existing Windows 2008 Enterprise Server and load Hyper-V server on it, and then create your cluster.

If you are licensing your Windows VMs under your Windows Server Enterprise virtualization rights, those VMs won't have a valid license once they get moved to your second server. The Windows Server Enterprise license only covers VMs on the physical box that the license is assigned to. It may make sense to buy another license of Windows Enterprise simply so that your VMs will be properly licensed.

I personally run Hyper-V Server on my hosts and then I assign Windows Datacenter licenses to the host so that I am licensed for unlimited Windows Server VMs on the hardware. Hyper-V Server is nice in that there are far fewer Windows Updates and you get essentially all of the scalability and clustering capability of Windows Enterprise for free. The downside is that it's harder to get started because there is no GUI and you do all of your VM management remotely (unless you are very comfortable with powershell and you manage everything locally without a GUI).
Erik PittiCommented:
Forgot that detail about matching editions in the cluster.  For reference it can be found here:
Virtualization Rights can be found in this document.


Windows Server 2008 Enterprise
Diagram A below indicates that with Windows Server 2008 Enterprise, you may
run one instance of the server software in the POSE and up to four instances of
the server software in VOSEs. The orange arrow indicates that when running
all five instances, the instance of the server software running in the POSE may
only be used to manage and service the operating system environments on
the server.
Note, when customers are running virtualized instances of the server software,
they must be using some form of virtualization or “hypervisor” technology, such
as Microsoft Virtual Server software, Microsoft’s new Hyper-V technology, or a
third-party virtualization software.
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