[GIS] ArcGIS Server 10 and SQL Server 2008 R2 permissions and feature services

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I have ArcGIS Server 10 with SP1 and SP2 on windows server 2008 and ArcSDE (from an edn liscense) installed on top of MS SQL Server 2008.

When I make a spatial db connection in ArcCatalog (direct connect) using DB Auth as user sde, then I change the version to dbo.Default instead of the sde.Default and the connection is in place. When I come back to the connection later and double-click the connection, ArcCatalog doesn't retain the user and password credentials for SQL Server and I am asked with a different looking dialogue (not the normal spatial db connection dialog) to re-enter credentials. Why would ArcCatalog not retain the info?

And how would this affect creating a feature service if at all?

Also I have the arcgissoc user with SQL Server instance login privileges as windows authentication only (not db authentication at the instance level) how would this affect creating a edit-able feature service?

Best Answer

link to connection string parameters
Not sure how to get this into arccatalog dialog though.
Users and Roles Overview

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