Your M2_HOME should point to directory where maven repository is located 
Than can be any location or .m2 directory as suggested in installation guide.
Hope this helps

> http://docs.codehaus.org/display/MAVENUSER/Dealing+with+Eclipse-based+IDE
> 
> On 6/6/07, Graham Leggett <[EMAIL PROTECTED]> wrote:
> > Hi all,
> >
> > In order to get to the bottom of a number of maven issues, I would like to
> > fire up maven inside eclipse so that I can do step by step debugging, and
> > having gone through the docs I am struggling to find out how to do this.
> >
> > Google found this:
> > http://docs.codehaus.org/display/JETTY/Debugging+with+the+Maven+Jetty+Plugin+inside+Eclipse
> > which describes how one might remotely connect to a maven instance to
> > debug it, but using this method requires an M2_HOME, and it's not clear as
> > to where this environment variable should be pointed to.
> >
> > Is there a howto on this anywhere?
> >
> > Regards,
> > Graham
> > --
> >
> >
> >
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> 
> -- 
> Karan Malhi
> 
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