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At those prices it costs more than buying the hardware and software outright.
Additionally, you need some hardware to run the client on. Unlike cloud service hosting, the ability to explode performance is not frequent need. So what does it give you?

Imagine you alone are administrating 50-100 non-technical users computers. You need to fix every IT problem, test software upgrades then roll them out, support special software for specific users such as accounts, and re-teach the FD how to use network shares twice a week.

Being able to hand each new employee a dumb client device, which just boots to an Amazon Desktop client, saves you a lot of time. Now hardware faliure = replace, no worrying about lost data.

Everything else happens in the cloud, in a very standard 'shape' of instance. You just roll stuff out accross your cloud instances like any cloud admin.

I think that's supposed to be the sell anyway.

Managing/deploying patches and dealing with virus outbreaks (in theory) is now someone else's problem too. I'm not sure it's for me, but I don't think it's a bad idea.
> Additionally, you need some hardware to run the client on.

Or, for certain organizations, you can ask employees to bring their own devices. Or switch everyone over to a desktop (cheaper than a laptop) with the understanding that if you need to work outside of the office, you could always remotely log in.

I don't even think this is really even targeting companies who are thinking about virtualisaton. I'd guess the early adopters will be the companies already using desktop virtualisation of some sort or another who already find it a management nightmare.

This sounds expensive compared to a stand-alone PC, but in terms of all the licensing and hardware required for in-house virtual desktops, it's reasonable.

The big difference is Amazon is now taking the 'risk' for sizing the infrastructure for virtual desktops. No need to estimate capacity for servers or licensing. Ten users next year, a thousand? You know it's going to cost you $x/user/month and no more sweating about server capacity, license compliance or negotiation.

Amazon 'Direct Connect' would also probably be a necessity for a good user experience, again limiting this to the pockets of people who'd already worked out thin clients were 'worth the trouble'.

Given the monthly cost of these is lower than the equivalent 'On-Demand' instance cost, it wouldn't surprise me if they had some sort of over-subscription 'special sauce' in the mix as well. Everybody doesn't flog their desktop 24/7...

The Standard and StandardPlus packages have the same configuration but the Plus package costs 15$ more. Am I missing something ?
The Plus variants include more software:

  The Standard and Performance Plus bundles also
  include Microsoft Office Professional and Trend
  Micro Worry-Free Business Security Services
I imagine that working with data already in Amazon's cloud would be very fast when accessed from this virtual desktop.
OS is Windows 7 (only). Prices can come down if they choose to go with Open Source OS (any Linux Flavor).
Isn't there something in the Windows (the client versions I think, not the server versions) license about the end-user having to at least own the hardware the OS is running on if the OS is offered via Desktop-as-a-Service? And if not, then having to have a full license (not discounted) outright / that cannot be time-shared?
It looks like the email screenshot is from the FastMail webmail interface. Is Amazon using FastMail?