
Database Server Requirements
Both Reporting Services and SharePoint products and technologies use SQL Server relational databases for internal storage. Windows SharePoint Services installs the Embedded Edition for its database. Reporting Services cannot use this edition for its database; it requires that you install the Evaluation, Developer, Standard, or Enterprise edition of SQL Server Database Engine. The SQL Server 2008 Reporting Services Add-in for SharePoint Technologies requires a SQL Server 2008 Reporting Services (SSRS) database, because this add-in is not supported with earlier versions of SQL Server.
If you want to install Reporting Services and a SharePoint technology instance on the same computer, you can run SQL Server Express and another edition of SQL Server side-by-side on the same computer or you can use the same instance of the Database Engine for the SharePoint configuration and content databases if you choose the Advanced installation option when installing a SharePoint product or technology. If you choose the Basic installation option instead, the SharePoint Setup program will install SQL Server Embedded Edition as an internal component and use that instance to host the SharePoint databases.