For web servers running multiple ASP.NET applications on the same server, you can use ASP.NET's code access security and the medium trust level to provide application isolation. See this MSDN article for more information on ASP.NET medium trust configuration.
The problem comes when the applications and components you are using do not support medium trust and therefore the hosting service has to be given full access.
Data Dynamics Reports is a completely re-architected version of the Award-winning ActiveReports and is a product that really surprises people with its ease of report design, ease of use, sheer breadth and depth of its features, including direct support for dashboards, advanced data visualization, use of Microsoft's Report Definition Language as its reporting format with powerful PDF and Excel transformations, image exports, among other things.
Data Dynamics Reports supports medium trust reporting from the ground up. There are a few minor exceptions though, primarily because of the underlying system restrictions. They are:
1. End user custom code embedded in the report designer is not supported for obvious security reasons. Moreover, the underlying APIs requires full trust permissions.
2. The FormattedText Report Item will not work because it uses the underlying .NET XML classes that expect full trust permissions.
3. The PDF rendering will work fine with the default PDF fonts defined in the PDF specs, but not with external fonts because the underlying system APIs need read only registry and file permissions to query the Windows registry for installed fonts.
4. Creating TIFF images will not work because the underlying system APIs require full permissions.
Other than these high-end niche features, you should feel free to go ahead and use Data Dynamics Reports for your next medium trust ASP.NET reporting applications!
Even better, IF you really wanted these features to work for your end users, contact our support team for a few special security policy files that will allow you to use even these features in a less than "full trust" environment. Technically, these policy files grant very specific permissions to certain product assemblies within the medium trust environment. However, this is far better than having to grant "full trust" to everything, and will still meet your needs for a restrictive security environment.
