I need to use different database connection string and SMTP server address in my ASP.NET application depending on it is run in development or production environment.
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I'd like to know, too. This helps isolate the problem for me
I then keep a connectionStrings.config as well as a "{host} connectionStrings.config". It's still a problem, but if you do this for sections that differ in the two environments, you can deploy and version the same web.config.
(And I don't use VS, btw.)