Apple to abandon their XServe line
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While there could be something in enterprise iPhone management, I think they play well enough with exchange's provisioning.
Bingo. Apple's server offering have always been (and will continue to be) expected to support a whole network of apple hardware. In that situation, xserves don't really make sense anymore, they're fairly crappy general-purpose servers and you don't need an xserve to support an OSX-based network and OSX's group utilities. The Mini Server is much smaller for minor networks, and the base Mac Pro Server offering is the same price as the entry-price Xserve, not really rackable but with far superior hardware: 2.26 quad, 3GB RAM and 160GB HDD for the Xserve, 2.8 quad, 8GB RAM and 2x1TB HDD for the Mac Pro.
Plus the Mac Pro
* comes with a GPU if you want a render farm
* scales to more memory (up to 32GB versus 24 for the Xserve, and bumping the Mac Pro to 24GB is $450 cheaper than the Xserve)
* scales to much bigger CPUs (you can get a better CPU on the Xserve by switching to the $3600 model, which starts with 2x2.26GHz quads and can get up to 2x2.93 quads, but the mac pro can still be upgraded to 2x2.93 hexas)
So that anyone can do wizzy things.
The only product that is currently using it is the Mac Mini Server as far as I know.
After the X-Raid line's name was already passed onto a third party (Promise) this isn't really surprising.
There's now a "Mac Pro Server" option available, which includes OS X Server, but is priced a bit lower than if you take the base Mac Pro and configure it with the same hardware but without OS X Server.
(Take the base Mac Pro, raise the RAM from 3GB to 8, add a second 1TB hard drive, and you've got the same hardware config as the Mac Pro Server, for about $30 more, and without OS X Server, which would add another $499 to the price.)
Ran a couple of Xserves a while ago to run web application stacks on it and most of the time I diverged from using the GUI to administer things I shot myself in the foot (Apache, firewalls, initscripts, networking etc.).
The nice hardware - those CPU load meters were gorgeous - unfortunately doesn't make up for those problems so I switched back to non Apple hardware + Linux and never looked back.
Don't fight the system is a nice mantra to follow when using Mac OS X Server and that's not hard when you use it to administer a collection of other Macs & the network they're on or when using the built-in services without wanting to tweak/upgrade the versions yourself (iCal server, Mail server etc.).
This is something you hopefully learned early or were told by an more experienced Mac admin— configuring, let alone automating, Xserves from a CLI is an exercise in futility as so many components system have been rewritten to do things "the Apple Way."
Now that they have killed Xserve, where does that leave Mac OS X Server? Is it dead? Will they continue to develop it and for what purpose?
I was quite excited about the Mac Mini Server. The thought of picking up a box for my home that I could use for just about everything and integrates so well with all my existing hardware and software (Macbook Pro, iMac, iPad, iPhone, iTunes, etc) sounded awesome! And was so quiet, small, and even attractive enough to just throw under the TV to use as a media hub.
They priced their hardware competitively, and it was good hardware, but in all of their price comparisons they ignored the reality of what the competition was offering in order to make it appear that Apple was offering the better value, which it was not.
For example on the Big Mac that they deployed to VA tech, they sold the university the computers, and compared that price to Dell's. Dell's price however included the computers, network hardware, network installation, building lease, power infrastructure buildout, on-site support, and upgrades.
That's the real reason that Apple hasn't made significant headway into corporate markets; it's not a technical limitation on the hardware or software, it's been support.
IT groups I've spoken to found Apple support to be pretty frustrating to work with, because they had no idea as to how to handle support calls involving non-trivial numbers of machines. (They were fine with a single machine at a time per customer, but when you tell them "here are the 40 serial numbers for computers that you've recalled for a replacement battery" they fell flat on their face.)
And the Mac Pro Server.
I'd imagine the only use case for server that couldn't be done easily in a better way was spotlight server, and it's only a matter of doing it more cheaply than available CMS solutions.
I'd assume they're doing stuff in those areas, they just haven't done any PR.