If you have used the Service Factory December 2006 version, you will notice that there are several differences between that one and the 2008 one. Among these changes, probably the most significant one is that with the 2006 version, you need to have a database first, and create the Data Contract, Business Entities, and so on, based on that database, whereas with the 2008 version, you create Data Contracts, and Service Interfaces before you even decide which language to use. The services are now designed in a technology-independent manner. The new Service Factory is more like a modeling tool at the beginning, and a code generation tool at the end. This is why it is now called "Service Factory: Modeling Edition".