There are two SQL Server installation options. Select the option that applies to your system.
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If you do not have Microsoft SQL Server installed, then you must download and install a Microsoft SQL Server edition supported by Smart Interop Publisher, and then create a named instance.
See Install and Configure (New SQL Server Setup)
OR
If you already have a supported SQL Server edition installed, create an instance for Smart Interop Publisher.See Create an Instance and Configure (Existing SQL Server Setup).