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I am currently running SBS in my office and have the option to upgrade to SBS R2.  Is it worth it?  what are some benefits?  what are some pitfalls?

Thanks for your time and input.

There is effectively NO code difference between SBS 2003 and SBS 2003 R2 operating systems itself apart from some additional windows installable components and a few scripts.

The only siginificant difference is that the System Manager includes "Update Services" know as WSUS (2.0) not the latest WSUS(3.0).  WSUS=Windows Software Update Services...Which basicllay speaking allows your server to be a mirrored source for Microsoft updates or depending on how it is configured at least a centralized controller for the ditribution of updates to client PC's in the SBS domain network.

Since WSUS(2.0 or 3.0) is a free download and is installable on the SBS 2003 server anyway.  It is really only the management scripting in the R2 version of the System Manager that is different.

It also includes freely available upgrades for Exchnage and other service packs too.

There is also a Windows Server 2003 SP2 which can be applied to either and is independent of the R2 release.

I hope that helps

I have done a few R2 upgrades, reminds me of Win98 Second Edition. Save your money if you already have SBS 2003.

There are a couple other benefits to moving to R2 other than WSUS.  The first is for the premimum version it includes SQL Server 2005 Workgroup.  The second is that exchange mailboxes can now be up to 75GB.  The last is licensing benefit that is only a benefit if you are running multiple servers, if you have an R2 SBS CAL you will be able to access other SQL Servers or Exchange servers without needing an additional client license.