Upgrading a Mac Pro with Mac OS X Server

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First, I'm a total noob to the Mac world. I've been a PC person but I recently inherited (literally) a Mac Pro (from what I can tell, it's the first model with Intel Core 2 Duo processor) with Mac OS X Server (Leopard). My goal is to develop iOS (and maybe Mac OS X) applications. I think, at a minimum I need Snow Leopard for development. I know I need Snow Leopard to go to Lion.

My questions:

1. Can I develop properly on Mac OS X Server or does development need to be on Mac OS X (workstation} for iOS apps?

2. Upgrading server to Snow Leopard is $499 while upgrading a workstation is $29. Is that really the case?

3. Depending on the answers to #1 or #2, will it make sense to "convert" the server OS to workstation OS? Can it be done without have to format the disk, e.g. upgrade to the workstation Snow Leopard by using the OS installer?

Thanks for any help with any of my questions.
 
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Thanks. That would be great if possible. But I read that for Lion you must have Snow Leopard. Which means I wouldn't be able to take your recommendation because I'm currently on Leopard. However, either way, when I do go to Lion I would use your method.

I need some to confirm that Snow Leopard is required to go to Lion, since that is what the Apple site says for upgrading to Lion.
 
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System Requirements

Mac computer with an Intel Core 2 Duo, Core i3, Core i5, Core i7, or Xeon processor
2GB of memory
OS X v10.6.6 or later (v10.6.8 recommended)
7GB of available space
Some features require an Apple ID; terms apply.
Some features require apps developed to work with Lion.
Gestures require a Multi-Touch trackpad or Magic Mouse.
Some gestures are not available on Magic Mouse.

These are from the Lion Upgrade page on Apple's website. Note the required OS (Snow Leopard.)
 
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Upgrade requires Snow Leopard. Wipe and reload does not. Why would it?
 

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These are from the Lion Upgrade page on Apple's website. Note the required OS (Snow Leopard.)

You NEED OS 10.6 Snow Leopard ONLY because you need OS 10.6.6 (or later) to get access to the "Mac App Store" in order to do the OS 10.7 download. If you purchase OS 10.7 on USB stick for $69...then you DO NOT need Snow Leopard.

So you have two options to get Lion installed on your computer:

1. Buy the 10.6 Snow Leopard install disk from the Apple Store ($29), install it, and then download OS 10.7 from the Mac App Store for another $29.

2. Buy OS 10.7 Lion on USB stick for $69...and do the install:

OS X Lion USB Thumb Drive - Apple Store (U.S.)

HTH,

- Nick

p.s. Personally I prefer the $59 method...not only because it's less expensive...but you also get an OS 10.6 install disk and can make a backup disk of 10.7 (both are handy for future possible use). If you go the $69 method...you only have a 10.7 USB stick (no OS 10.6)...but this is the less complicated method.
 

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