Step 1 – begin the installation. If you want to install a Sharepoint Application server doing everything but SQL (a pretty standard configuration), you need to select the advanced configuration, then the “complete” option, even though you aren’t installing SQL Express.
Step 2 – after the installation of the basic RTM, hit cancel instead of running the installation wiard. You need to install all the patches and service patches first, otherwise you can hit some major issues.
Step 3 – Install the WSS Service patches before the Office Service patches. I’d also recommend stopping the WWW service between every install, to ensure no users access the site (if its an upgrade or a known url), as this can stop upgrades from taking effect, and then reinstallation may be the only option.
Step 4 – Once the software installation is complete, a final configuration wizard has to be run. If you need to use a SQL box on a separate domain, you need to run:
psconfig -cmd configdb -create -server <sqlservername> -database <databasename> -dbuser <sqlaccount> -dbpassword <sqlpassword> -user <ADuser> -password <aduserpassword>
before running the configuration wizard. See this post for full details
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