System center sql 2012 remote or local install

Guys I'm testing System Center 2012 R2 right now I plan on installing configuration manager for starters. I would like to ask you guys did you install your sql server instance locally for System Center or do you have a remote SQL server installation that
System Center is using are there any pros for installing a local instance over a remote one?  Also I was reading somewhere that Sytem Center comes with an SQL server license I always assumed that it would come with SQL Server express and not full blown
SQL Server. So with that said does System Center incluse a full blown SQL Server license?

Hi,
In test environment, typically SQL can be on local instance. However in production environment, you can place SQL on remote as when collocated the site server supports a maximum of 50,000 Clients, and if database server is installed on
a Remote server, the Site-Server supports up to 100,000 Clients.
In System Center 2012, along with any edition of Server Management License you get a run-time instance of SQL Server Standard edition when utilized for the SQL engine used by the System Center components.
For further information about SQL Requirements:http://technet.microsoft.com/en-us/library/gg682077.aspx
About System Center Licensing:http://www.microsoft.com/licensing/about-licensing/SystemCenter2012-R2.aspx#tab=1
Regards, Manohar Pusala

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