Please find below detailed difference:
LR Agent as Process
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LR Agent as Service
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LR Agent as process requires you to login to the remote LG\injector box
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LR Agent as service does not require you to login to the remote LG\injector box. Just the LG box needs to be up and running.
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LR Agent as process behaves as process
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LR Agent as service behaves like any other OS service and runs in the background
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LR Agent as process can run GUI vusers or GUI like vusers without any issues
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LR Agent as service cannot run GUI or GUI like vusers, this is because of the limitation put by OS on the service.
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LR Agent as process launches magentproc.exe from \launch_service\bin folder
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LR Agent as service launches magentservice.exe from \launch_service\bin folder
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