Microsoft will release the beta 1 version of Longhorn Server on August 3, along with the beta 1 release Internet Explorer 7 and the beta 1 version of Windows Vista. The server beta will contain the core operating system foundation and APIs for Longhorn Server, with features including centralized and filtered event logging, image-based setup and deployment, a transactional file system and registry and built-in rights management.

While the desktop and server products are being developed together with the same code base, Microsoft plans the final release of Longhorn Server for six to 12 months after the release of Windows Vista. Microsoft is working to release Vista in time to install it on PCs to be sold during the holiday gift season in 2006, and it hopes to deliver the server product in 2007.