[Update: Windows Server 2008 R2 SP1 Release Candidate Released http://hyper-v.nu/blogs/hans/?p=366]

Today Microsoft officially announced that SP1 – which will be made available as a single service pack for both Windows 7 and Windows Server 2008 R2 – will enable dynamic memory for Hyper-V R2.

Currently each VM gets a fixed amount of memory. Ten VM’s with 2GB each, consume 20GB of RAM of the server. This limits the number of VM’s that can be running on a single physical host because unused memory is not available for adding additional VM’s.

The net effect is a higher virtual machine density per Hyper-V R2 host.

Making greater use of Dynamic Memory could have an impact on performance, but the slider which is shown below, allows the administrator to decide whether to opt for performance, for density or somewhere in between.

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There was no release date communicated for SP1.

A second new feature in SP1 for R2 is Remote FX, a new set of platform capabilities in Windows Server Remote Desktop Services that enables users of virtual desktops and applications to enjoy a rich, local-like experience over the network from a broad range of client services. Remote FX is an RDP enhancement allowing remote workers to access any type of applications, improving end user productivity.