Microsoft Hyper-V is the latest technology and the last improvement after Virtual Server 2005 R2 SP1.
The main advantage of this is it supports the Guests with 64 bit OS, where as VS 2005 will not.
VS 2005 requires IIS to be installed need to manage from browser, where the Hyper-V can be managed in an MMC.
The basic hardware requirement to install Hyper-V is:
OS: x64 based win 2k8 SP1/SP2/R2
Processor: x64 compatible processor with Intel VT or AMD-V technology enabled
Hardware Data Execution Prevention (DEP), specifically Intel XD bit (execute disable bit) or AMD NX bit (no execute bit), must be available and enabled.
Minimum CPU speed: 1.4 GHz; Recommended: 2 GHz or faster.
RAM: Minimum: 1 GB RAM; Recommended: 2 GB RAM or greater (additional RAM is required for each running guest operating system); Maximum 1 TB.
Available disk space: Minimum: 8 GB; Recommended: 20 GB or greater (additional disk space needed for each guest operating system)
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