Can’t login to ArcSDE due to error
Your ArcSDE service creating problem in SQL server for some reason. Most popular reason is license problem. I know that when you are going to load or edit data by ArcSDE Direct Connect technology then you must have to install or go with an ArcSDE license.
My understanding is that when you are using ArcSDE as read only then you don’t need any ArcSDE license. But when you are trying to edit with it then you must need that. Because there is one difficulty with additional license in this case. Additional license which is works with SQL server, that license is not work for ArcSDE. But ArcSDE can run in SQL server license. But there is different license for ArcSDE to work with it. This license must be located in “ESRILicenseArcSdeServer.lic” where the license files remain.