diff --git a/scm-dao-orientdb/pom.xml b/scm-dao-orientdb/pom.xml
index 9beb77d02b..6bb17e33d2 100644
--- a/scm-dao-orientdb/pom.xml
+++ b/scm-dao-orientdb/pom.xml
@@ -36,6 +36,18 @@
       <version>1.0rc8</version>
     </dependency>
     
+    <dependency>
+      <groupId>com.orientechnologies</groupId>
+      <artifactId>orientdb-server</artifactId>
+      <version>1.0rc8</version>
+      <exclusions>
+        <exclusion>
+          <groupId>com.orientechnologies</groupId>
+          <artifactId>orientdb-client</artifactId>
+        </exclusion>
+      </exclusions>
+    </dependency>
+    
     <!-- test -->
     
     <dependency>
diff --git a/scm-dao-orientdb/src/main/java/sonia/scm/orientdb/ConnectionProvider.java b/scm-dao-orientdb/src/main/java/sonia/scm/orientdb/ConnectionProvider.java
index 5d46ce6360..9f691e7356 100644
--- a/scm-dao-orientdb/src/main/java/sonia/scm/orientdb/ConnectionProvider.java
+++ b/scm-dao-orientdb/src/main/java/sonia/scm/orientdb/ConnectionProvider.java
@@ -33,18 +33,27 @@ package sonia.scm.orientdb;
 
 //~--- non-JDK imports --------------------------------------------------------
 
+import com.google.common.io.Resources;
 import com.google.inject.Provider;
 import com.google.inject.Singleton;
 
 import com.orientechnologies.orient.core.db.document.ODatabaseDocumentPool;
 import com.orientechnologies.orient.core.db.document.ODatabaseDocumentTx;
+import com.orientechnologies.orient.server.OServer;
+import com.orientechnologies.orient.server.OServerMain;
+import com.orientechnologies.orient.server.config.OServerConfiguration;
 
+import sonia.scm.ConfigurationException;
 import sonia.scm.SCMContext;
 
 //~--- JDK imports ------------------------------------------------------------
 
 import java.io.File;
 
+import java.net.URL;
+
+import java.nio.charset.Charset;
+
 import javax.xml.bind.JAXB;
 
 /**
@@ -67,6 +76,10 @@ public class ConnectionProvider implements Provider<ODatabaseDocumentTx>
   /** Field description */
   public static final String DEFAULT_USERNAME = "admin";
 
+  /** Field description */
+  public static final String EMBEDDED_CONFIGURATION =
+    "sonia/scm/orientdb/server-configuration.xml";
+
   /** Field description */
   public static final String PATH =
     "config".concat(File.separator).concat("orientdb.xml");
@@ -87,14 +100,44 @@ public class ConnectionProvider implements Provider<ODatabaseDocumentTx>
     }
     else
     {
+      try
+      {
 
-      // create default connection configuration
-      File directory = new File(SCMContext.getContext().getBaseDirectory(),
-                                DEFAULT_DB_DIRECTORY);
-      String url = DEFAULT_DB_SHEME.concat(directory.getAbsolutePath());
+        // create connection configuration for embedded server
+        File directory = new File(SCMContext.getContext().getBaseDirectory(),
+                                  DEFAULT_DB_DIRECTORY);
+        OServer server = OServerMain.create();
+        URL configUrl = Resources.getResource(EMBEDDED_CONFIGURATION);
+        String config = Resources.toString(configUrl, Charset.defaultCharset());
 
-      init(new ConnectionConfiguration(url, DEFAULT_USERNAME,
-                                       DEFAULT_PASSWORD));
+        server.startup(config);
+        server.activate();
+
+        String url = DEFAULT_DB_SHEME.concat(directory.getAbsolutePath());
+
+        if (!directory.exists())
+        {
+          ODatabaseDocumentTx connection = null;
+
+          try
+          {
+            connection = new ODatabaseDocumentTx(url);
+            connection.create();
+          }
+          finally
+          {
+            OrientDBUtil.close(connection);
+          }
+        }
+
+        init(new ConnectionConfiguration(url, DEFAULT_USERNAME,
+                                         DEFAULT_PASSWORD));
+      }
+      catch (Exception ex)
+      {
+        throw new ConfigurationException("could not start embedded database",
+                                         ex);
+      }
     }
   }
 
diff --git a/scm-dao-orientdb/src/main/resources/sonia/scm/orientdb/server-configuration.xml b/scm-dao-orientdb/src/main/resources/sonia/scm/orientdb/server-configuration.xml
new file mode 100644
index 0000000000..78c221b8ec
--- /dev/null
+++ b/scm-dao-orientdb/src/main/resources/sonia/scm/orientdb/server-configuration.xml
@@ -0,0 +1,52 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<!--*
+Copyright (c) 2010, Sebastian Sdorra
+All rights reserved.
+
+Redistribution and use in source and binary forms, with or without
+modification, are permitted provided that the following conditions are met:
+
+1. Redistributions of source code must retain the above copyright notice,
+   this list of conditions and the following disclaimer.
+2. Redistributions in binary form must reproduce the above copyright notice,
+   this list of conditions and the following disclaimer in the documentation
+   and/or other materials provided with the distribution.
+3. Neither the name of SCM-Manager; nor the names of its
+   contributors may be used to endorse or promote products derived from this
+   software without specific prior written permission.
+
+THIS SOFTWARE IS PROVIDED BY THE COPYRIGHT HOLDERS AND CONTRIBUTORS "AS IS"
+AND ANY EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, THE
+IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE ARE
+DISCLAIMED.  IN NO EVENT SHALL THE REGENTS OR CONTRIBUTORS BE LIABLE FOR ANY
+DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES
+(INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES;
+LOSS OF USE, DATA, OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER CAUSED AND ON
+ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT
+(INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE OF THIS
+SOFTWARE, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGE.
+
+http://bitbucket.org/sdorra/scm-manager
+
+-->
+
+
+<orient-server>
+  
+  <network>
+    <protocols />
+    <listeners />
+  </network>
+  
+  <users>
+    <user name="root" password="3CE6B7C8457D522B21E662C0F2CEC9428A3D8FCFB7BC2E45EBCD8F1CA19E39F3" resources="*"/>
+    <user name="guest" password="guest" resources="connect,server.listDatabases"/>
+    <user name="replicator" password="0E382D82060FB027777D7135C90F43F99C2DEDB66DED9177DE84DA9BDA421243" resources="connect,database.passthrough"/>
+  </users>
+  
+  <properties>
+    <entry name="server.cache.file.static" value="false"/>
+    <entry name="log.console.level" value="info"/>
+    <entry name="log.file.level" value="fine"/>
+  </properties>
+</orient-server>
\ No newline at end of file