The original Contracted IT group that setup our company used a 169.254.x.x subnet for the LAN's. The company grew and we have three locations now and they have hired a full time IT employee (me) to manage there systems. I made there newest location a 10.10.x.x subnet and eventually I will change the other locations. My problem has to do with the new server here running SBS 2008. My VPN is up and running I can tunnel between all computer's remote and local with out an issue except for the SBS 2008 machine. When I try to ping from SBS 2008 to the remote server or computers I get a destination host unreachable. I can tell that it is the SBS 2008 causing the issue just not sure why? Firewall off is off. Is it the 169.254.x.x address's or something else with SBS 2008? All of the user PC's are WinXP Pro and they can access the 169.254.x.x subnet just fine.

Are you purposely using 169.254.x.x subnet? By default 169.254.0.0-169.254.255.255 is reserved for Automatic Private IP Addressing (APIA). http://support.microsoft.com/kb/220874 How do you connect your 3 locations? what subnet are you using? Destination host unreachable -> generally means a routing issue or one subnet cannot talk to another. Santhosh Sivarajan | MCTS, MCSE (W2K3/W2K/NT4), MCSA (W2K3/W2K/MSG), CCNA, Network+ Houston, TX http://blogs.sivarajan.com/ http://publications.sivarajan.com/ This posting is provided "AS IS" with no warranties, and confers no rights.

The short answer is that APIPA addresses are not routable. If you want a routed network you will need to reconfigure that network with reserved private IPs, not APIPA. Bill

Bill and Santhosh are correct. You need to think about a logical IP design for your network that will ensure the ability to route among your sites and accounts for growth. You should not be using 169.254.x.x on a routed network, nor should you be assigning addresses in that range. APIPA works by generating the IP based on an algorithm that uses the MAC address in the equation. It is possible (although unlikely) that you may assign and IP that will be generated automatically. Here is some information about APIPA What is APIPA: http://www.anitkb.com/2010/03/automatic-private-ip-addressing-apipa.html Disabling APIPA: http://www.anitkb.com/2010/03/disabling-automatic-ip-addressing-apipa.html Visit my blog: anITKB.com, an IT Knowledge Base.