Having installed TFS2005 a few times now, I was prepared to spend a day on the TFS2008 installation.
After thinking I have all prerequisites completed following issues were presented during the health check:
QFE 925673 not installed.
Installation guide mentions in some place that TFS 2008 setup will install it if required.
It is not present on the installation media (used to be for Beta 2).
There is no W2003R2 SP2 on the list of OSs that this patch applies to.
Still, I had to download and install it to pass the check: http://www.microsoft.com/downloads/details.aspx?FamilyId=fd513435-fa6d-407c-bedc-5fd03e5b7d6c&displaylang=en
SQL Server Analysis Services is not installed.
When I tried to connect from to Sql Analysis Instance using Sql manager I got the following error:
Cannot connect to [ServerName][InstanceName].
A connection cannot be made to redirector. Ensure that ‘SQL Browser’ service is running. (Microsoft.AnalysisServices.AdomdClient)
A bit of investigation showed that it was a problem with the account that Sql Browser service was running under. In my case it was recommended by the installation guide – Network Service.
Just in order to test if it is an account problem, I changed the sql browser service to run under Local system and was able to connect to Analysis services and passed the TFS2008 health check.
The closest thread I found on the msdn forums is: http://forums.microsoft.com/MSDN/ShowPost.aspx?PostID=2728928&SiteID=1&mode=1
Including troubleshooting the health check issues, whole process took only 1 hour to complete. This is a nice surprise for the first installation of TFS 2008 :)!
P.S. After creation of the first project in the TFS2008, it turned out that reporting services execution account was not set at all by the TFS2008 setup, but this is a 1 second fix :).