Summary

When you use a Terminal Services client to install MSDE on a Terminal Services server, the installation proceeds until almost finished. However, the installation unexpectedly rolls back and fails.

Cause

Terminal Services is set to Application Server Mode instead of Remote Administration Mode.

Resolution

Change the Terminal Services mode of operation from Application Server mode to Remote Administration Mode. This workaround is taken from the Microsoft Knowledge Base article listed in the More Information section.

To change the current Terminal Services operating mode:

1. Click Start, select Settings, and then click Control Panel.
2. Double-click Add/Remove Programs.
3. Click Add/Remove Windows Components.
4. On the Windows Components screen, click Next without selecting or deselecting anything in the list of components.
5. In the Terminal Services Setup dialog box, the currently enabled mode is displayed, and you can change this mode. Select the mode you want to change to, click Next, and then restart your computer.

More Information

For more information on Terminal Services, see the following Microsoft Knowledge Base article:

238162 Change Between Remote Administration and Application Server Mode

See the following related Knowledge Base article:

1000559 MSDE Fails to Install