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Changing a file server from physical to VM

Hello all,

My organization has a physical box running Windows Server 2003 that we use as a file server for several shared network drives and personal storage drives. I have set up a VM running Windows Server 2008 R2 to allow for us to utilize File Server Resource Manager. I have the VM set up...but I wanted to see if anyone had any advice or tips as for the proper steps to take to disconnect the ISCI connection from the physical box, connect the ISCI targets to the VM, change the IP of the physical box and use it's original IP for the VM, and put the VM into production.

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That's the plan I had originally planned on executing...we have tape backups of our files so I'll probably run one last full backup before the transfer of IPs. Thanks so much for your input!
Also, if something goes wrong (for whatever reason) with the new can always just re-point it back to the old server, shut down the new server, and you're right back to where you started.  No harm, no foul.

If it's just a file share, then either method should work fine.  Databases or VM's might be a little trickier, but flat-files should be easy.  I've gone both routes, depending on the importance of the data and how confident I was in my configuration of that new server.  The advantage of the first option is that you can run both old and new in parallel for a time - in order to fully test everything (ACL's/permissions, etc).  The advantage of the second option is it's quick and easy with a sure-fire fail-safe (reverting back to the original).