The the hidden cost of VDI - VECD

Posted on January 17th, 2008 in microsoft, vdi, vecd, vista, vmware by Rich

Did you know that if you deploy a VM with a Windows desktop OS on any virtualization server you are violating Microsoft licensing if you use your Volume Licensing key? Did you know that if you P2V a desktop OS that is using an OEM Windows License to a virtual server you are also in violation?

The only way Microsoft allows you to run virtual desktops on a virtual server is using an annual subscription license called Vista Enterprise Centralized Desktops (VECD), and VECD is only available if you buy Software Assurance. Microsoft announced VECD back in April 2007.

VMware published a .pdf that is a FAQ about VECD. Here’s some cut and pastes from the .pdf:

What is Windows Vista Enterprise Centralized Desktops (VECD) and how does it work in helping customers?

VECD enables customers to deploy and run Windows Vista Enterprise in virtual machines on server hardware. This will enable VMware VDI customers and prospects to host centralized virtual desktops on VMware Infrastructure 3 and access these using remote PCs and thin clients. VECD is available to Microsoft Software Assurance customers for an annual, per-device subscription fee. The fee varies based on whether your business is licensing PCs or thin clients to access the virtual desktop. The subscription fee amount is yet to be released from Microsoft.

What versions of Windows desktop operating system is this good for?

This mode of licensing applies to Windows Vista Enterprise with Software assurance. Of course, customers can use “downgrade rights” under their Software Assurance agreement to deploy any version of Windows Professional editions (Windows 2000 Professional, XP Professional, and Vista Enterprise) in
a virtual machine.

What about customers who aren’t under Microsoft Software Assurance program?

Customers not under Software Assurance can still buy Windows Vista Business, Vista Ultimate, or Windows XP at retail price (Fully packaged price) to run in a virtual machine. We encourage customers who do not want to purchase Software Assurance to work with their Microsoft licensing representative and/or their preferred OEM vendor to extend these product use rights to non Software Assurance customers.

All of the popular P2V tools will successfully convert workstations to VMs. Most of the time all you have to do is re-activate the OS and remove hardware and vendor specific applications and you are ready to use the virtual machine. There are probably a lot of VMs in use today that have been migrated this way. As of today Microsoft’s VECD unfortunately does not allow workstation P2V migrations and requires you buy new licenses and build new desktop VMs.

C’mon Microsoft. You already sold the license when the desktop was purchased. You sold (or will sell) the upgrade now that you released Vista. Why do you need to get a another cut from from companies migrating their desktops to VDI? Are you going to require my children to buy an inheritance license if I give them my computers when I die? I wouldn’t doubt it.

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2 Responses to 'The the hidden cost of VDI - VECD'

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  1. Duncan said,

    on January 17th, 2008 at 7:29 am

    Microsoft should really change the licensing or ease up. Especially with VDI and the licenses companies already bought. This makes a transition really expensive.


  2. on January 23rd, 2008 at 7:49 am

    […] Windows, Infrastructure and all that “stuff” in-between on Everything XenDuncan on The the hidden cost of VDI - VECDRich on Configure NTP on ESXkevin Foster on Configure NTP on ESXRich on VCB backs up everything but […]

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