This week, Redmond revealed a new flavor called “Windows Server 2008 Foundation”. It’s focused on helping small organizations run apps and databases, as well as manage websites, offer basic file and print, and even remote access. Windows Server 2008 Foundation will pre-installed and sold by MSFT’s OEM partners, including Dell, HP and IBM sometime in the second half of this year. Total cost would be less than $1,000.

One big change is that unlike other Microsoft business software, the OS does not require users to purchase Client Access Licenses. They are targeting it towards small businesses with 15 users or less, filling in a gap in their server offerings, possibly with emerging markets in mind.

So what is the difference between this one and Windows Small Business Server? SBS has Exchange, SQL Server and other apps, which is overkill for the very small organizations. And you need to buy CALs for SBS.

How is it licensed then? The OS is licensed by user accounts; however, each license is limited to a maximum of 15 user accounts, and each one of those accounts can only have one distinct user at a time. Here is the official Redmond page: http://www.microsoft.com/windowsserver2008/en/us/foundation.aspx