HIPS can use either Microsoft SQL or Microsoft SQL Server 2005 Express Edition as the database layer.
You can choose to install a dedicated SQL 2005 Express Server on a remote machine, or install SQL Express 2005 on the same machine as the Quarantine Manager and/or Reporter.
For information about MS SQL Express 2005 Server, see:
http://msdn.microsoft.com/vstudio/express/sql/default.aspx
To use MS SQL Server Server 2005 Express Edition
Important! You must install Microsoft SQL Server Express before you install HIPS.
Confirm that SQL Server and Windows authentication is enabled in the SQL Server Management Studio Express. 
To confirm this setting
The Server Properties dialog appears.
The information in the following sections can help you to perform these tasks.