I've just installed Team Foundation Server 2010 Beta 2. Don't know how but the Connection String for the Data Backend (Configuration Database) is defined using "IntegratedSecurity" which is a bad thing. I have no (more) idea(s) about how to change that Connection String. Anyone smarter than me? ;-)
I think you need to edit the web.config file (by default in C:\Program Files\Microsoft Team Foundation Server 2010\Application Tier\Web Services), find the appsettings node, and modify the applicationDatabase value.
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