As Mary Jo reported earlier today, Microsoft has announced that they are changing the Vista EULA to remove limits on which SKUs can be virtualized. According to this article in eWeek:
The revised Vista end-user licensing agreement now states that “instead of using the software directly on the licensed device, you may install and use the software within only one virtual (or otherwise emulated) hardware system on the licensed device.”
“When used in a virtualized environment, content protected by digital rights management technology, BitLocker or any full volume disk drive encryption technology may not be as secure as protected content not in a virtualized environment. You should comply with all domestic and international laws that apply to such protected content,” it says.
Before you balk at the DRM requirement... it makes sense. If you use DRM on an emulated virtual environment, the keys have a higher likelihood of being the same, since many DRM schemes are based on information from the hardware.
At any rate, this is very good news for Windows Vista users. Now small companies can buy copies of Vista Home Premium, specifically for getting their feet wet with Vista deployments using Virtual PC or Virtual Server.
There is more virtualization news coming out over the next day or so, I hope to cover as much as I can as I return to Phoenix tomorrow from an extended business trip.