SQL Server 2008 mixed mode compatibility?
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While you will be very good at using mixed mode authentication, if your servers are all on the same domain, then you should strongly consider using Windows authentication.
Recommended best practice is to use Windows Authentication unless specifically required.
See SQL Server Books Online and, in particular, the security note "Use Windows Authentication When Possible":
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Yes, unless you use "sa" for the application and you set the "sa" password very, very strong here. (Or rename "sa" and create a dummy "sa" account).
Most stores use mixed mode because web servers, firewalls, cross-domain issues, third party applications, etc. everyone conspired to prevent Windows authentication
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