Windows Small Business Server (formerly Microsoft Small Business Server – SBS) is an server suite from Microsoft designed for running a small and medium enterprises having no more than 75 workstations or users. Application server technologies are tightly integrated to enable small businesses with targeted solutions such as the Remote Web Workplace, and offer management benefits such as integrated setup, enhanced monitoring, a unified management console, and remote access.

Windows Small Business Server is available in Standard and Premium editions. The Standard edition is based on the Windows Server 2003 operating system, Microsoft Exchange Server mail server, Internet Information Services (IIS) web server, Windows SharePoint Services for collaboration, Microsoft Office Outlook 2003 email client, Routing and Remote Access Service (RRAS), Windows Server Update Services for update management across the network, and a Fax server. The Premium edition also includes Microsoft SQL Server, Microsoft Internet Security and Acceleration Server and Microsoft Office FrontPage 2003.

Windows Small Business Server has its own type of Client Access License (CAL), that is different and costs slightly more than CALs for the other editions of Windows Server 2003. However, the SBS CAL encompasses the user CALs for Windows Server, Exchange Server, SQL Server, and ISA Server, and hence is less expensive than buying all the other CALs individually.

Windows SBS has the following limitations:

Only one computer in a domain can be running Windows Server 2003 for Small Business Server.
Windows Small Business Server must be the root of the Active Directory forest.
Windows Small Business Server cannot trust any other domains. It cannot have any child domains.
Windows Small Business Server is limited to 75 users or devices depending on which type of CAL.
Only the Remote Desktop for Administration mode is available because Small Business Server always runs on the domain controller, and only two simultaneous RDP sessions are allowed. (Change from SBS 2000 policy)Terminal Services in application sharing mode needs to be run on a second server on the network.
To remove these restrictions and upgrade to regular editions of Windows Server, Exchange Server, SQL Server and ISA Server, there is a Windows Small Business Server 2003 R2 Transition Pack.
Initially, Small Business Server was marketed as an edition of Microsoft BackOffice Server. When Windows 2000 was released, it was marketed as Microsoft Small Business Server 2000, and finally was rebranded as a member of the Windows Server 2003 family.

It is technically not an ‘edition’ of Windows Server 2003 but rather a collection of server technologies optimized especially for small businesses. However, the application servers are tightly integrated into the operating system. Microsoft has also introduced a Windows Essential Business Server product aimed at medium-sized businesses.

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