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Microsoft, with version 2.0.148.00 of SMS Installer, released support for MSI (Windows Installer) technology. While not as comprehensive and feature-full as the products from Wise and InstallShield, the new version of SMS Installer gives you the ability to create MSI installations from your repackages. I would also suspect that MS will be building MSI for SMS Installer for future releases. Here's a link for more information on the latest version of SMS Installer.
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