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When attempting to create a new geodatabase on an ArcSDE database server, the following error may occur:
"Error creating this geodatabase no ArcSDE Server license found."
This message is returned if an incorrect instance name was used when enabling a SQL Server Express instance to store ArcSDE Personal or Workgroup geodatabases, also referred to as ArcSDE for SQL Server Express.
SQL Server Express instances used for ArcSDE database servers must be named instances of SQL Server Express. That means the named instance has to be specified when enabling SQL Server Express to store ArcSDE Personal or Workgroup geodatabases. The following is an example of a named instance of SQL Server Express:
The instance name specified when enabling the SQL Server Express instance to store ArcSDE Personal or Workgroup geodatabases should never be a default instance. For example, this instance name is incorrect:
Please note that the license for ArcSDE Personal is included with ArcGIS Desktop at the ArcEditor or ArcInfo license levels. The license for ArcSDE Workgroup is included with ArcGIS Server at the Server Workgroup license level.
The ArcSDE Personal or Workgroup keycode is written to the registry entry for the SQL Server database that was specified during the Database Server Setup Wizard. If the wrong SQL Server instance or an incorrectly named SQL Server Express instance is specified, the ArcSDE keycode will be written to the wrong location in the registry. In this case, when a geodatabase is created on the database server, it fails because ArcSDE is not be able to find the ArcSDE keycode.
If the error was returned because the wrong instance was specified during post installation setup, re-run the Database Server Setup Wizard and specify the correct SQL Server Express instance.
If the SQL Server Express instance was incorrectly installed using a default instance name, for example \\SERVERNAME, uninstall that SQL Server Express instance and install a new named instance of SQL Server Express, for example \\SERVERNAME\SQLEXPRESS. Once the new named instance is installed, run the Database Server Setup Wizard and specify the named instance.