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I have an HP microserver with 2GB ram and AMD N40L processor. I want to know what Ubuntu version will be best for and home media centre and also NAS?

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On of the steps below is to install Ubuntu. You can download Ubuntu Server 12.04 LTS. It is supported for five years, and installation is simple and straight forwrd.

How to build a Linux media server

If you've ever fancied the idea of building a server to store your ever-growing collection of media files, be it movies, photos or music, but have been put off doing so because it seems far too complicated to build one yourself, or you've simply no idea how to go about doing it, then read on. This step-by-step guide will show you how to build and configure a media server that is far more powerful and far more flexible than any of the "pre-built" systems on the market today. Not only that but it's cheaper too!

So, how do I build this Ubuntu media server then?

Talking about what this media server must be able to do is one thing but you want to know how to actually build it, right? Of course you do. So then, without further ado, here are my 5 steps to happiness:

  1. Choose the components
  2. Assemble the components
  3. Install Ubuntu
  4. Configure the server
  5. Install software applications 1

For more information Read On

1Source: Have the know how

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Ubuntu Server is the best version and depending on how you want to consume your media you could try xmbc which is an easy download

http://www.noobslab.com/2011/09/install-xbmc-on-ubuntu-1110-oneiric.html

The NAS questions has been asked a lot though How to set up Ubuntu Server as a NAS?

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