Often in production ASP.NET environments the web server is not part of a domain (per security guidelines) and yet would benefit from a trusted connection to the SQL server. Using trusted connections is well explained in this article:
In my development environment I maintain SQL on a different machine than I develop on as well. Although the best solution to trust is using proper application pools, Windows XP (from which I write code on and run my IIS tests) does not support them. In this case, the "editing the default context" solution works well.
