SharePoint Report Builder disconnected bug

Scenario

• You have configured SQL Reporting Services 2008 R2 (SSRS) in integrated mode against SharePoint Server 2010 or SharePoint Foundation 2010
• The SharePoint site collection containing your report library has anonymous access enabled for the authentication zone you are using.
• Ex: You are building a report for a public website hosted on SharePoint and accessing it via the default zone where both Windows Auth and Anonymous are enabled
• You try to add a new report to the library (after correctly configuring the report content types) or open an existing report using Report Builder 3.0

Issue

• The report does not correctly connect to the integrated report server.
• New document / report builder report symptoms:
• "No current report server.  Connect"  appears at bottom left
• Saving the report prompts for a location on your computer
• Opening an existing report in report builder will open a blank report instead

Resolution

• This occurs because Report Builder does not use your existing windows authentication token from Internet Explorer and instead tries to initiate new credentials.  By default, anonymous access is provided, which does not have permissions to create or edit a report on the server.  You can workaround this by performing one of the following actions:
• Disable anonymous access on the zone you are using to build reports

OR

• Create another zone where anonymous access is disabled and use that url/ip/port when designing reports

OR

• Build reports locally and manually upload/download them to/from the report document library

The zones are configured via central admin / manage web applications / authentication providers You may need to set alternate access mappings and/or extend a web application to configure additional zones