I just set TS up, using Win2K server. I set it up in admin mode (which doesn't need the licensing server running), and it runs IE 5 fine, which is the main thing I want. I have it set up so it maintains a "session", so my epods can turn on or off, but the terminal server session is always running, just as I left it.
So I can turn the epods on, click on the TS client icon, connect to the server, and the screen comes up with my desktop, just how I left it.
It is FAST! I can't believe the difference between VNC and TS on the epods.
Here's what I did:
1) Have Win2K server installed
2) Start/Settings/Control Panel/Add/Remove Programs
3) Add/Remove Windows components, Click on "Components" button
4) Check off "Terminal Services"
5) Choose "Admin mode" to avoid the hassle of needing Terminal Server Licenses
6) Insert CD when it asks for it
7) I recommend creating a new user just for you epods login, since the screen size is going to be 640x480, it will hose your icon layout if you use your normal login.
1) Download and install TS client for CE
(standard Win CE install)
2) Run the TS config on the epods to set it up. If you run the wizard, it will work but it will creat an icon on the "Desktop", which you won't see unless you've done the shell hack. You can just run the "Terminal Server Client" program in the Windows\Programs\Terminal Server Client directory on the Epods, it will work OK.
To get your session to be left alone when you turn the epods off, choose "Disconnect" from the Start/Shutdown menu when you are connected to TS. Then, the next time you connect, you should go right back to that session.
If you have any questions, I'm happy to try to help.