Windows 2008 server vs Windows 2003 server

Once you install Windows 2008 R2, there should be no reason to insert the CD to install DNS. The compaonents for DNS are copied into the boot partition during the installation of the O/S. All you do is go into Servwer manager and install the Role and it activates that portion of the functionality and you enter the DNS specifics you want.

GPMC is not necessarily required if you don't need it, but it's good to have just incase.

Windows 2008 is 5 years more mature.  Is like comparing a 7 year old with a 12 year old.  I would recommend that you evaluate exactly what you need.

But to answer your question, if you have to deploy a new server or do an upgrade on a server, I say do it unless the application that your company runs on do not run on Windows 2008.  

so many optimizations and improvements added.

I agree to all above.
Please install windows 2008 and just start using it then you will feel the difference.
MS will release new version by adding the new user requirements which they get from the previous OS and the new features they found by continuous R&D.

So please dont think backward. This is for your good.
please install the new version and try with a dummy apps or as a member server

RAM limit of windows2008 32bit is 12GB

If your primary responsibility is administering multiple servers in small & medium companies like we are, then Server 2008 R2 is the first choice. Yes, Microsoft products are not always the easiest or bug free, but they outperform other servers in that workspace and provide the functionality we need to allow our clients to conduct business properly and keep us employed today and tomorrow if we can keep up with the new technology and demands our users have.

Here is a document that should provide all the info on R2 that you might need.

http://technet.microsoft.com/en-us/windowsserver/bb310558

Just want to share with our experts regarding ram limitations
http://msdn.microsoft.com/en-us/library/windows/desktop/aa366778(v=vs.85).aspx#physical_memory_limits_windows_server_2008

@ leew
Please correct me if I am wrong as I got confused by your comment and the MS article

@abbasiftt
> Please correct me if I am wrong as I got confused by your comment and the MS article
What is confusing?

The one thing I'll clarify - 32 bit Standard is limited to 4 GB (as the link states).  Enterprise/Datacenter is limited to 64 GB but even with that, it's not REALLY 64 GB - there are certain limitations to stacks and other memory related items that make 64 GB on 32 bit NOT equal to 64 GB on 64 bit in terms of overall RAM capabilities.

Many thanks to leew.
My server running with 12Gb without any issues. But as you said there will be limitations that I might have not noticed.

Thanks once again