Servers can have three roles in SQL Server replication. All SQL Server 6.0 servers are capable of performing all of these roles.
In most cases, the first two roles are combined in one computer; the publication server also acts as the distribution server, as shown in this illustration:
Note that the publishing and subscribing roles are not exclusive: servers can simultaneously perform both. For example, suppose Server A publishes Publication 1, and Server B publishes Publication 2. In this case, Server A could act both as a publication server (of Publication 1) and a subscription server (to Publication 2).
As an option, the distribution server can be installed on a separate computer, as shown in the following illustration. This might be an appropriate configuration when high loads are present, such as when a busy on-line transaction processing (OLTP) server is configured as a publication server. Using a separate distribution server reduces local processing and disk usage on the publication server, although it somewhat increases overall network traffic.
Note that using a separate distribution server requires separate SQL Server installations (two licenses), one for the publication server and one for the distribution server.