Snapshots can be created:
By default, snapshots are saved in the default snapshot folder located on the Distributor. On a Distributor running Microsoft® Windows NT® version 4.0 or Windows 2000, the snapshot folder defaults to using the <drive>$ share and a path of \\<computer>\<drive>$\Program Files\Microsoft SQL Server\Mssql\Repldata.
On a Distributor running the Microsoft Windows 98 operating system, the snapshot folder defaults to using the <drive> without a share and a path of \\<computer>\<drive>\Program Files\MicrosoftSQL Server\Mssql\Repldata. If your application requires the ability to create pull subscriptions on a server running the Windows 98 operating system, you must change the snapshot folder to a network path accessible by replication agents running at the Publisher and Subscribers. You can change the local path to a network path by sharing the folder.
Important The <drive>$ share is a special administration-only share, and you will not be able to grant rights to it; only administrators on the computer can access it. It is recommended that you change the default snapshot location to a network location or shared folder that the Subscriber can access. This also applies if you are going to allow pull or anonymous subscriptions because remote Subscribers or Subscribers over the Internet will rarely be administrators. You can test the Subscriber connection to the snapshot folder by mapping a network drive in Windows Explorer at the Subscriber.
You can also save snapshot files on removable media such as removable disks, CD-ROMs, or in locations other than in the default snapshot folder on the Distributor, such as File Transfer Protocol (FTP) servers. Additionally, you can view and transfer the snapshot files using the Snapshot Explorer, compress the files so that they are easier to store and transfer, and execute scripts before or after snapshot synchronization.
To view or modify the default snapshot folder location