If you are developing an intranet app and you want to display the current stock price of your company, its best to consume a webservice the provide that service. IOW, when you want to get 'outside' data throuh a corporate firewall
If, say, you want to display latest news from HR deartment in your portal, better to have a .NET DLL that connect to corporate HR Database and get the info.
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How to create a DB connection at one place/page so that we can use that connection for all pages/forms/windows.what r the steps ned to be performed. if question not clear,let me know.