Power BI Gateway Installation Best Practice

It depends on how your organization is set up. In my case, I have to access 2 different servers, both on the same network as the rest of the company computers, so I have a box on my desk dedicated to report services, on which I've installed our gateway. It has no trouble accessing any of the several databases on our network without being on the same server as them. The main advantage is maintenance of the gateway. If I need to do a restart or something, I don't need to do anything that might interfere with the server.

On the other hand, we have another "on-premise" server that is actually hosted by a different company, and in that case we have no choice but to host the gateway on that server. It's an immense pain, but the word is that we're moving off that server next month. Fingers crossed.

By the way, when you run the installer for the gateway, make sure you "run as administrator" so that the gateway runs as a service instead of an application. That way you don't have to actually log on and crank the thing up every morning. As long as the machine is running, so is the gateway.

PowerBiFunI'm using Gateway for many years and we installed Gateway on seperate box, we installed  on a box which is running our ETL package. Originally there were bit of challenges with gateway and it was not stable, like upgrade an all that stuff was bit clunky, since it is much better I don't see an issue to keep it on the same sql server., but we still kept on seperate box so that in case of any upgrade issue, we don't have to restart our sql server. Although as a policy we try to keep production environment on seperate box.

Hope it is helpful!