Sorry for taking a while to reply.
Yes that is what I thought would happen, no alternative really. The point though is: does this work the same as on a web farm where connections are pooled? If the TS is on the same server as SQL (I know this isn't a good idea, but...), does that mean the data connections use named pipes; or does TS make the sessions really look like remote users and use TCP/IP ?

Regards
Simon