I'll take a stab at it...

If it is run as a service then you don't have to be logged into the
computer for SC to be running (the old Start at boot mode).  The
advantage here is that if the box has to restart then SC starts
automatically without having to have someone log into it, etc.  Think
of it as running in the background whenever the computer is on.

If it is run as a user then a user has to log in (old Start
automaticaly during login mode).  The disadvantage here is that it
won't start until someone logs in and if/when they log out then SC
stops.

To make matters more complicated when it is run as a service it can be
either run from the "System" account or a specified "user" account. 
The system account method is what was typically done before, I guess. 
A system account wouldn't generally have access to things outside of
the box (like an external network drive, etc.).  If it is run with an
actual specified user account then it would typically be allowed
greater security rights.  

I'm not sure if the increased importance of the SqueezeNetwork
functionality with V7 has played a role in the decision to generally
have people using the "run as a service" option to actually use the
"specified user account" method or not.

Hopefully this clarifies the options a bit.


-- 
dwilliams01
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