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Yes, it will install SQL Express as an option. All you have to do is choose the "Express Install" option during the installation process. I would install NPM first then install the others the same way. The install will install everything it needs in the process.
Now, I just did this recently without any issues on a 2008 R2 server. I also was using NPM 10.7, so its possible that this option may not be available with NPM 11. Sorry, I haven't tried NPM 11 yet.
I had to download SQL Express 12 from Microsoft and installed that. I was then able to install NPM and used the Express version. The download from Solarwinds didn't include SQL Express.
Hope this helps others
I had same issue and opened a case. There are two different downloads for NPM, one without and one with SQL express. They support engineer had to send me the link to the one with SQL express.