Instances per computer 50 instances on a stand-alone server for all SQL Server 2005 editions except for Workgroup Edition. Workgroup Edition supports a maximum of 16 instances.SQL Server 2005 supports 25 instances on a failover cluster. 50 instances on a stand-alone server.25 instances on a failover cluster. http://msdn2.microsoft.com/en-us/library/ms143432.aspx 
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