Have you verified that SQL Server is accepting remote connections AND that it is listening on named pipes?

>Here's the error I received when I did the line command:
>
>[SQL Native Client]Named Pipes Provider: Could not open a connection to SQL Server [2.]
>[SQL Native Client]Login timeout expired
>[SQL Native Client]An error has occurred while establishing a connection to the server. When connecting to SQL Server 2005, this failure may be caused by the fact that under the default settings SQL Server does not allow remote connections.