I've removed the .exe file extension from the Blocked File List in SharePoint Central Admin (Security > Define blocked file types). This allowed me to upload .exe files to document libraries but when I click on the .exe file to download it, I get a 404 Page not found error. I can download it if I click the drop down and select download, or if I go into Explorer view, but it's a Page not Found error when I click on the .exe file itself.
The issue is not with SharePoint. I found that the problem is with IIS.
If you are using IIS6, then to resolve, you do the following:
- Open IIS
- Right click on the website in question
- Click Properties
- Choose the Home Directory
- Look for the Execute Permissions drop down list
- Set it to "Scripts Only"
If you are using IIS7, then to resolve, you do the following:
- Open IIS
- Select the website in question
- Double Click on Handler Mappings
- Click on Edit feature permissions (on the right navigation)
- Uncheck the Execute checkbox
- Click OK
This will automatically recycle the app pool and you can now click on the executable file and you will be prompted to download it.
WARNING: There are some shortfalls to this method, click here to read more and for a way to circumvent the shortfalls.