SqlCredit – Part 17: Exploring SQL 2005’s OUTPUT Clause
SQL Server 2005 introduces the OUTPUT clause, a bit of magic that allows us to get the identity value, plus a number of other values, from an INSERT, UPDATE, or DELETE, which all have different interaction with OUTPUT. This article concentrates on INSERT.

When I check the length, I get these results:
A table name is limited to 128 characters. How does this work?