Ran into a strange situation at a client site today. I installed an Oracle Instant Client for Desktop to run Create Enterprise Geodatabase (Data Management), and discovered that Oracle 11gR2 wasn't accepting a connection as the SYS user (it gave a login failure similar to an invalid password error). Actually, it seems that it did accept a connection, and then rejected it (we could actually watch the alert log post a client communication timeout error 120 seconds after the Toolbox tool failed, so it appears the error was generated by the listener without letting the server know it's services wouldn't be needed after all). I eventually found a work-around -- I created the SDE tablespace and user (as I usually do, anyway) and granted the necessary package permissions as SYS using a local "sqlplus / as SYSDBA", then invoked Enable Enterpise Geodatabase (Data Management) instead (it doesn't require SYSDBA access).
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