This is a note for those who googled here after running into trouble while writing web services using ATL Server under VS.NET 2003.  I know this is a lame post for the rest of you, but these sort of posts tend to be useful to geeky desperados.

If you get this failure during deployment:

VCDeploy.exe – Unable To Locate Component

This application has failed to start because xxxx.dll was not found.  Re-installing the application may fix this problem.

then move the xxxx.dll to the project directory.  In my case, my web service needed Berkeley DB XML DLLs, but I deployed them directly from the Berkeley DB XML installation directory and ended up with the message above with no clue to be found anywhere.  Well, now there is one.

BTW, you will need to rebuild the entire Berkeley DB XML stack of DLLs if you are trying to use them from VS.NET 2003.  Otherwise, you'll likely crash and burn thanks to runtime library differences.