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How is a KS not a server?
Does i3 count as server processor ?
Not against the license terms, you can get "workstations" with Windows non-server os installed.. and some of them are even rack mountable.
Kimsufi is consume hardware anyway, so you aren't wrong there. .
Here is the site: http://myhken.com
No, it doesn't. But the use case for the KS renders it as a server. Are you just planning to use the KS just as a remote desktop without any server functionalities?
If you use the machine as a server you need a Windows server license. The processor does not matter.
The Dell R210 II servers also come with i3-2100 processors in some models. And even the Avoton runs servers.
However, AFAIK retail versions of Windows cannot run legally in machines located in DCs. You must use a server version. So in your case you are either stuck using a Windows server license or go non Windows.