[tanzam75]

> Windows 7 was the VM, not the host.

Oh. Then I agree with you that Microsoft screwed up the licensing -- but it's a different screw-up.

Windows 7 Ultimate is just like Windows 7 Enterprise, except for the virtualization rights. With Enterprise, each license allows 4 concurrent VMs. With Ultimate, you only get one.

The original idea of Ultimate was to be a consumer version of Enterprise. You didn't have to go through a salesman. You could just buy Ultimate on Newegg or Amazon.

However, Microsoft crippled Ultimate by putting in the 1-VM restriction. Considering how much Ultimate cost, this was a really cheap move on Microsoft's part.