SQLNS v2.0 SP1 was a full install, not just a normal service pack. I'd
suggest going with that rather than the non-SP1 version. It's been a
while but if memory serves me, the original SQLNS v2.0 worked with
v1.0 of the .net framework and SP1 added the V1.1 framework
capability.
Does the machine have multiple instances of SQL Server? If so, does
the last one installed qualify for SQLNS? Sometimes, some application
will install a small MSDE instance on a machine and confuse SQLNS's
installation.
Try running the following query in Query Analyzer.
SELECT
SERVERPROPERTY('productversion') AS SqlVersion
, SERVERPROPERTY('productlevel') AS SqlLevel
, SERVERPROPERTY ('edition') AS SqlEdition
Also, check out this article
http://support.microsoft.com/default.aspx?scid=kb;en-us;829091
HTH...

Signature
Joe Webb
SQL Server MVP
http://www.sqlns.com
~~~
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>I have a client attempting to install SQL 2000 NS on a SQL 2000 SP4 server,
>and receiving the following error message:
[quoted text clipped - 10 lines]
>URL:http://www.momresources.org
>BLOG: http://www.it-jedi.net/