Network Credentials for domain user

[vineas]

There are several apps across our company that need to access a WebService that is really a SQL Server 2005 SOAP endpoint. A domain service account was created for it so we wouldn't have to enable access for every single user. Initially, this user was setup as being allowed to logon to the server that SQL Server 2005 was running on. However, when we tried to access it, nothing worked. After monkeying around for a few days, in order to make it work we finally had to enable this service account logon priviledges to the computer calling the webservice. It turned out we didn't even need logon priviledges to the server. This seems completely backwards to everyone here, and will be a real pain to administer if it is the case. Here's some code that's similar to what we're doing to access it:

private DataSet GetInformation()
{
	wsSQL service = new wsSQL();
	// no, my code doesn't have this hardcoded like this, it is merely for simplicity of the example. :)
	service.Credentials = new NetworkCredentials("user", "pass");
	
	return service.CallWebMethod();	
}

The above code works only if the "user" has logon access to the local computer. From the looks of how this works, it's almost as if the NetworkCredentials uses the local computer to log onto the network, then passes those credentials on. Is this correct? If so, is there anyway to use the domain user to logon to the server and use those credentials?

----- In the land of the blind, the one eyed man is king.