A directory service manages the creation, modification, and retrieval of information about network entities. As an alternative to sql.ini, Client-Library and Server-Library applications use a directory service to obtain information about servers.
The advantage of using a directory service is that you do not need to update multiple sql.ini files when a new server is added to your network or when a server moves to a new address.
Different platforms use different directory service providers; in Microsoft Windows, you can use Windows Registry and LDAP.