LTSP
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Linux Terminal Server Project: http://ltsp.org
This can allow a number of low-end refurbished PCs to run a modern distribution, such as Ubuntu by using a powerful server (with 50Mb RAM/workstation +256Mb RAM for the server => 3Gb for 50 workstations, or a 1Gb server per lab: http://wiki.ltsp.org/twiki/bin/view/Ltsp/ServerSizing)
For use at SourceCamps, most facilitators are happiest with Ubuntu: