As you may know, every version of Vista, either off the shelf or volume license, requires activation. I can’t say I’m a big fan of activation in the volume license market but I’ve no say in the matter.
The silver lining on this cloud is that we can limit our communications with Microsoft in the activation process if we have volume licensing by using a Key Management Server (KMS). You can install a KMS on a server in your network and input your one volume license key. You can then instruct clients to activate against this KMS server. This is kind of like W2003 Terminal Server licensing.
You get 1 license key that you can install on 2 KMS servers. This allows for a DR installation. You can prbably use it again after talking to Microsoft. You need to install the KMS on a secure network. This key is being trusted to you by Microsoft to facilitate easier use of their anti-piracy system. The KMS is very light … MS claim they could run their 55,000 user network off of 2 laptops. It will have little impact on existing machines. Clients only activate after their 25th attempt … this allows for temporary machines. Clients will continually reactivate every 7 days … you can consider it as a lease. The license timeout is 180 days plus a 30 day grace period … after this your client will be reduced to core funcationality, i.e. enabling you to reactivate.
Considering the criticality and lightweight nature of this function, I’d want to implement this service on a virtual machine, e.g. Microsoft Virtual Server 2005 R2 or VMware ESX/Virtual Server. Being lightweight is perfect for VM’s, even for VM sceptics. And the DR possibilities and mobility of the VM files means you can quickly recover this machine to alternate locations, e.g. full file backup, snapshots in VMware, volume shadow copy of the VM in Virtual Server 2005 R2 SP2.
Vista and Longhorn machines have the native ability to be a KMS server. Windows 2003 servers require a download an an installation. Microsoft has just made those downloads available. There is an x86 and an x64 version.
Credit for KMS Information: PFoster.