>>I had similar problemms when testing MS SQL Server 6.5. What I found in reviewing the memory usage during updates and inserts that MS SQL Server was not releasing the memory. This resulted in a continual slowdown of the processes and lock up of the system. Then a re-boot of the system was required to release the memory. Because it was a memory leak (just a guess on my part) closing down MS SQL did not free up the memory. Since then I have tested and purchased ORACLE. This does have any memory leaks will stay a flat line during the processes I have tested and I have not re-boot the computer for weeks.
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>This is not normal. There is a problem with either install or configuration.

I have to agree Michel. I have a NT4 development server running SQLServer 6.5 and IIS 4. I also use it as a workstation running VB5, VFP, and Interdev. I've never had any of the problems you mention. I have 5 ASP web sites running against my SQLServer with databases between 1 and 3 GB in size. No problems.

I do know that PCAnywhere is a memory and processor hog and not very NT friendly. We have it installed on 4 client servers for remote problem fixing, but we only use it as last resort and then have the client reboot the machine after we're done. We're currently evaluating McAfee's Remote Desktop Controller. It's not as feature rich as PCAnywhere but seems to run with a much smaller footprint.

If it isn't too much of a hassle, I'd reinstall SQLServer and get SP4 from the Microsoft FTP site and install that. If the problems still continues, check out your hardware. I know, I know: blame the hardware? But its amazing how hardware glitches can screw up NT. As for performance, be sure SQLServer has its memory configuration set up properly. The default setting is only 16MB. If you have plenty of RAM, you should increase this. Also, increase the size of Tempdb from its default 2MB to (my personal opinion) 20MB. Then, if you have the RAM available, place Tempdb in RAM.

Hope some of this helps!