[There's a reason that Yoda is the unofficial mascot of SBS. Size indeed matters not.] The network location profile changes from "Domain" to "Public" in Windows 7 - THE OFFICIAL BLOG OF THE SBS DIVA
Tue, Jul 19 2011 23:27 bradley

The network location profile changes from "Domain" to "Public" in Windows 7

The network location profile changes from "Domain" to "Public" in Windows 7 or in Windows Server 2008 R2:
http://support.microsoft.com/kb/2524478/en-us?sd=rss&spid=14134
On a computer that is running Windows 7 or Windows Server 2008 R2, the network location profile that is selected changes unexpectedly from Domain to Public. Additionally, the firewall settings (these are determined by the network location profile) change to the settings that correspond to the Public network location profile. Therefore, some outgoing connections may be blocked, and some applications may be disconnected.

I don't see this on my win7 as I changed the  network location awareness to service to automatic.  At least that's what I think I did.  All I know is I don't see this much anymore on my network.

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# I've noticed this too...

Wednesday, July 20, 2011 9:25 AM by Joe Raby

....but for a different reason.  If the server connection goes down, the network location will switch to Public.  When the server connection comes back up again, it won't automatically switch to Domain for whatever reason.  A log off and log on will solve that though.  I've noticed this on 2 SBSe setups while I was in the middle of rebooting the server for updates.