New Licensing Options for Desktop OS

Changes to Windows desktop licensing clarify Microsoft’s rules for running Windows when the OS is installed somewhere other than on a local machine’s hard disk, such as executing Windows on a diskless PC or inside a virtual machine (VM) on a server. The new licensing rights recognize the increasing popularity of these options (which can reduce the cost of acquiring and managing desktop PCs); establish client licensing for upcoming Microsoft VM technologies; and could have a positive impact on Microsoft client revenues, since they require the customer to have Software Assurance (SA), Microsoft’s upgrade rights offering, on the Windows client OS.

Running the OS over the Network

The licensing changes affect Product Use Rights (PUR), which govern the use of Microsoft software by volume licensing customers. The PUR document is updated quarterly, and in the Apr. 2007 edition Microsoft added a paragraph that says, “Instead of installing the [OS] software on the licensed device, as permitted under the Desktop Operating System licensing model, you may install one copy on a storage device, such as a network server. You may use that copy to run the software over an internal network on any licensed device for which you have active Software Assurance coverage.”