1. First install Outlook 2000 on the server.
2. Login as the user that you SQL service starts as (SQLService in our case).
3. Run Outlook making sure you choose the Corporate or Workgroup option.
4. Then Select the Pop3 account type.
5. Setup the pop3 account with some valid credentials (in our case we’re only sending so in doesn’t matter if you use your own just make sure you tick the “leave messages on server” check box)
6. Ok the account setup and you should see your unread emails flood in, test the sending with a test email to someone you like.
7. Exit outlook and fire up enterprise manager and bring up your SQL Servers properties.
8. On the “Server Settings” tab there in an “SQL Mail” section, hit the “Change” button and select the MAPI profile you just created in Outlook ( there should only be the one in there).
9. Now open up the properties of your “SQL Server Agent” and check that the “Mail session” “Mail Profile” is set to the same MAPI profile you just set in the SQL Server properties and hit the test button to make sure it can send.

After the Agent service restarts itself you’re right to setup email notifications for Alerts and Agent Jobs.