After hundreds of time failure on BizTalk configuration failed at configuring SSOS with error
Failed to connect to the SQL database SSODB on SQL Server
The best solution I found was to re-register the ssosql.dll on the following manner:
1. start the visual studio command prompt
2. go to the ssosql.dll C:Program FilesCommon FilesEnterprise Single Sign-On
3. regasm ssosql.dll
and probably you are finished.
On 64 bit machine somehow or other regasm did not gac the ssosql.dll, when checked I assembly folder it contains old dll, so on 64 machine you have to regac ssosql.dll manually.