Microsoft spies virtual-machine territory : Server consolidation drives Connectix deal.

Microsoft is on a quest to conquer the world of VM (virtual machines). With its acquisition of San Mateo, Calif.-based Connectix and its flagship virtual-machine software, Microsoft embarks on a strategy to fuel server consolidation and build momentum around its forthcoming Windows Server 2003.

The Redmond, Wash.-based software giant's acquisition immediately gives it Connectix Virtual PC for the desktop that allows users to run multiple versions of Windows, Macintosh, and Linux operating systems on the same box.

Yet the technology will be of more strategic value to Microsoft on its servers, analysts report. Microsoft officials believe that virtualization technology working with its servers can save users a significant amount of time and money by consolidating multiple, older servers onto more modern systems such as Windows Server 2003, where they can take advantage of the latest …