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Projection of data in geodatabase

Question asked by gnanicys on Jun 22, 2012
Latest reply on Jun 23, 2012 by
This is a general question about creating web applications using the Rest API's so I decided to post it here.

If all the feature datasets are in a state plane projection and the Esri basemaps are in Web Mercator projection, should all the datasets get reprojected to WebMercator and held in a different versioned geodatabase? 

Will the performance be greatly affected if there are only a few layers placed on top of the basemap if my layers are not projected to match Web Mercator? Or should all layers used against Esri basemaps be re-projected?

The applications I intend to create will not be highly complex, rather compiled through flex viewer or silverlight viewer so other factors that may take into account due to projection won't really be an issue.

Thanks for reading, looking forward to the straight forward answer, since all the readings have me questioning this.