What is the disadvantage of having Local System set in app pool instead of Network Service in IIS7 of Windows server 2008?
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why there should be any disadvantage? Can you explain what are you experiencing or give some more context? – Davide Piras Jan 04 '12 at 11:58
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Local system is a more priviledged account than the Network service and should be avoided if possible.
See the Services and Service Accounts Security Planning Guide for further information on how to configure the application accounts from a security perspective.
Also see these related questions on the security aspects:
