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Windows Server 2003 domains running in either the Windows 2000 mixed or Windows 2000 native functional level have the same feature restrictions as a Windows 2000 domain running in the corresponding mode. Specifically, the features available only in Windows 2000 native include
The capability to use universal security groups in addition to universal distribution groups
The capability to convert universal distribution groups to universal security groups
The capability to nest security groups in addition to distribution groups
SID history, a feature which smoothes migrations from one version of directory services to another or from one domain to another
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