What are the specific differences between .msi and setup.exe file?

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An MSI is a Windows Installer database. Windows Installer (a service installed with Windows) uses this to install software on your system (i.e. copy files, set registry values, etc…).

A setup.exe may either be a bootstrapper or a non-msi installer. A non-msi installer will extract the installation resources from itself and manage their installation directly. A bootstrapper will contain an MSI instead of individual files. In this case, the setup.exe will call Windows Installer to install the MSI.

Some reasons you might want to use a setup.exe:

  • Windows Installer only allows one MSI to be installing at a time. This means that it is difficult to have an MSI install other MSIs (e.g. dependencies like the .NET framework or C++ runtime). Since a setup.exe is not an MSI, it can be used to install several MSIs in sequence.
  • You might want more precise control over how the installation is managed. An MSI has very specific rules about how it manages the installations, including installing, upgrading, and uninstalling. A setup.exe gives complete control over the software configuration process. This should only be done if you really need the extra control since it is a lot of work, and it can be tricky to get it right.

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