Microsoft licensing programs

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Microsoft offers for different distribution ways and target groups multiple licensing programs. This article shows the differences between Electronic Software Download, Full Packaged Product, Direct OEM, OEM System-Builder and volume licenses. Price information on Direct OEM and OEM system builder licenses can be found in the Thomas-Krenn-webshop in the Microsoft software area.

Overview of Microsoft licensing programs

The following table shows an overview of the differences between the different Microsoft licensing programs:[1]

Software Download Retail
Full Packaged Product (FPP)
Original Equipment Manufacturer
(Direct OEM)
OEM System Builder
(OEM SB)
Volume licenses
(VL)
Target group Private users as well as medium-sized companies. Smaller and medium-sized companies. Smaller, medium-sized and large companies.
Installation Available for download.[2] Available for download.
(package contains key and download link).
Pre-installed or from DVD. Available for download.
Downgrade No downgrade rights. Normally no downgrade rights, except for individual server products.[3] Windows Server contains an unlimited downgrade right,
Windows 8.1/8/7/Vista a N2-downgrade right.[3]

For more information, see: Downgrade Microsoft licenses.

Comprehensive right to downgrade.[3]
Virtualization rights No virtualization rights. No virtualization rights for the Windows desktop operating system or office applications.

Virtualization rights for Windows Server.

Virtualization rights vary depending on the product and edition; for the Windows desktop operating system, they are available exclusively through Software Assurance.
Licenses for this program available at Thomas-Krenn No Yes, when purchasing a server or a PC:
for example Product not available anymore
Yes, individually too:
Microsoft software
Yes, on request:
Contact form
Comments ESD is only available for the following products:
  • Windows 10
  • Office 365
  • Office 2016
  • available from 5 licenses.[5]

Direct OEM

Direct OEMs are normally larger OEMs that have a direct licensing agreement with Microsoft and purchase software directly from Microsoft.[6]

OEM System Builder

System Builder are normally smaller OEMs that purchase Microsoft software indirectly through authorized OEM distributors.[6]

More information on System Builder licenses:

Volume licenses

Microsoft volume license programs are for smaller, medium-sized and larger companies and available for 5 licenses or 5 end devices or more.

The usage rights for volume licenses differ from those for single-user licenses such as OEM licenses. Office software can only be virtualized (virtual desktop infrastructures - VDI) or provided via Remote Desktop Services (RDS) if it has been licensed under a volume license agreement.[7]

More information on volume licenses:

FAQs

  1. I purchased a server at Thomas-Krenn and would like to purchase an OEM license retrospectively. Is that possible?
    • No. Microsoft OEM licenses may only be delivered together with hardware. The only exception to this rule are CAL licenses.[8]
    • If you did not purchase a Microsoft license when buying a Thomas-Krenn server, you can alternatively purchase an OEM SB license at a later date in the Thomas-Krenn Shop in the section Microsoft software.

More licensing programs

References

  1. The licensing programs for smaller and medium-sized organisations (www.microsoft.com)
  2. MICROSOFT TERMS AND CONDITIONS OF SALE in Germany Consumer-Store (www.microsoft.com): Codes for downloading software and content. Certain software and content will be delivered to you by providing a download link in the Microsoft account you used to make your purchase. Subject to the paragraph below, we will typically store the download link and digital key for a purchase in your account for 3 years from the date of purchase, but we do not promise to store it for any specific period of time. For subscription products delivered by providing a download link, different terms and storage rights may apply, which will be presented to you for review and consent when you subscribe. (accessed on January 1st, 2018)
  3. 3.0 3.1 3.2 Downgrade rights for Microsoft Volume Licensing, OEM, and full packaged product licenses (www.microsoft.com)
  4. Windows Server Licensing & Pricing FAQ (download.microsoft.com): Q47. How much will Windows Server Essentials cost? - [...] Foundation - OEM only'
  5. Licensing programs for smaller and medium-sized organisations - Overview (www.microsoft.com)
  6. 6.0 6.1 OEM System Builder Licensing Guide (oem.microsoft.com) - Microsoft Licensing Programs (Seite 3)
  7. What are volume licensing programs? (www.microsoft.com)
  8. OEM System Builder Licensing Guide (oem.microsoft.com) - Client Access Licensing for Windows Server Products (Seite 8 und 9): Additional OEM System Builder CALs may be purchased and sold to customers after the initial server sale. [...] CALs are channel agnostic; any CAL (OEM, VL, or Retail) can be used to access any Windows Server (OEM, VL, or Retail).


Author: Werner Fischer

Werner Fischer, working in the Knowledge Transfer team at Thomas-Krenn, completed his studies of Computer and Media Security at FH Hagenberg in Austria. He is a regular speaker at many conferences like LinuxTag, OSMC, OSDC, LinuxCon, and author for various IT magazines. In his spare time he enjoys playing the piano and training for a good result at the annual Linz marathon relay.


Translator: Alina Ranzinger

Alina has been working at Thomas-Krenn.AG since 2024. After her training as multilingual business assistant, she got her job as assistant of the Product Management and is responsible for the translation of texts and for the organisation of the department.


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