64 bit ltsp vs. virtualization

[Luis Montes]

I'm placing an order today for a new server. The school I'm using it at 
has about 75 thin clients.
Currently we're using an smbldap serer and two dual-core 4GB ram servers.

I'm gonna spend 5 or 6 K today on a 64bit 8-core 16GB ram monster. (well 
monster compared to what I have right now)

Now I'd like to just add this new box to the network as another ltsp 
server using 64 bit edubuntu or fedora+ltsp, but so far my couple of 
months with a 64 bit desktop have me thinking this might not be the best 
approach.

The main problem I have is that Adobe's has yet to get off their butts 
and product a 64bit flash plugin. I know I can use the nspluginwrapper 
but it only seems to work about half the time, and when it does work, 
half the time sound doesn't.  I imagine that sound through the thin 
clients will be even more troublesome.

The other option I have is to load centos5.1 or ubuntu 8.04 on the new 
server and something like vmware server to slice it up with 4 or so 
32bit guests.

That second option seems like a waste of resources, but it may give me 
less headaches.

Surely there are other ltsp users in the same boat right now?
Thoughts?

Thanks,
Luis