I'm using Windows 7 Beta and trying to install a web application locally. This web site uses Microsoft SQL Server 2005 Express (SQLEXPRESS) and a MDB file in the web site's ~/App_Data folder. I was instructed to configure IIS7 to use Classic .NET AppPool for this web application. Each time the web site loads, I receive the following error: There was an error trying to connect to the Database Server: Failed to generate a user instance of SQL Server due to failure in retrieving the user's local application data path. Please make sure the user has a local user profile on the computer. The connection will be closed. The Internet is packed with articles written on this subject. The prevailing wisdom seems to be: Configure the SQL Express Service to use the Local System account. Delete the following directory: C:\Users\username\AppData\Microsoft\Microsoft SQL Server Data\SQLEXPRESS Neither of these fixes have made any impact. I have tinkered with permissions and settings for hours to no avail. Can anyone suggest a fix or help me understand how to get more detailed information about the problem.