Xen Server 5.0 lacks Server 2008 Support
Software is a funny thing sometimes. When you buy a piece of brand new software you think that you are going to get the latest and greatest compatible with all the other latest and greatest software out.
Sadly that is not the case with Citrix’s new Xen 5.0 Virtual server software. There are issues with XenDesktop’s ability to deliver Virtulaized Windows 2008 Server desktops and XenServer will not run the OS Natively. This flaw takes away from the opening up of the RAM support in Xen Express which was limited to 4GB but now supports up to 128GB
This short coming will hurt the VM hopeful as many people currently using VMware and Sun’s Virtual Box have no problems with Microsoft’s latest server OS.
XEN 5.0 compatible operating systems listed here.
There is a work around to this for Citrix’s XenServer if you want to spend the time here.