Per the log errors, it seems you have installed BEDB on a remote SQL instance.
Try this ~
Copy the osql.exe and bcp.exe and bcp.rll files, typically located in the \Program Files\Microsoft SQL Server\80\Tools\Binn directory on the remote SQL server to the \Program File\Veritas\Backup Exec\NT folder of the Backup Exec server and then run the install of the Service Pack.
EDIT*
If the above doesn't work, try this then ~
Add to the environment variable the variable name PATH on the media server, a UNC path to the SQL server's OSQL.EXE, typically \\<servername>\D$\Program Files\Microsoft SQL Server\80\Tools\BINN.
To add the Environment variable, perform the following:
1. Right click on 'My Computer'
2. Select Properties
3. Select the Advanced tab
4. Select Environment Variables
5. Click on New under System Variable if the Path variable does not exist.
6. Create the Path variable as follows:
a. Variable Name: PATH
b. Variable Value: \\<servername>\D$\Program Files\Microsoft SQL Server\80\Tools\BINN
