Volume License Question

[TheReasonIFail]

OK,

I'm working for a client that is a part of Microsoft Volume Licensing Program.

Their current workstation setup is a mix of whitebox and OEM (Compaq, Dell) PC's.

I would love to streamline the deployment of Windows XP using their volume key.

Question is this.

Can I install Windows XP with their volume license key even though they don't have a volume license for the PC? Example, they purchased a new Compaq PC and I want to re-install our customized automated install that uses the volume key.

[cluberti]

If they've acquired VLs in their agreement to cover the PCs in their organization that you plan on doing this for, then absolutely (assuming the licenses currently on the machines qualify for VL upgrades). If they don't have the VLs in their agreement to cover the machines, then no, technically you can't do this on those PCs.

To answer the question you posed later in this thread about moving licenses:

You cannot move a VL license once it's applied to a system, nor can you move VL upgrade licenses. If you were to sell, transfer, or dispose of a machine that has a VL license installed, you must reinstall the original OS that came with the PC (in the case of sell or charity gift) or dispose of the OEM media and license in the case of disposal/recycle), but you *do not* get that VL back when a machine is removed from your organization, and if you get new PCs you must acquire new VLs to install over OEM or FPP that is installed on the new PCs (again, you can't use a VL license install on a machine that doesn't already have a qualifying Windows license).

Edited November 27, 2009 by cluberti
Edit: My response was based on the old agreement, and this appears to have changed a few months ago (the 2009 VL refresh). I've updated the post, and there's a link in a later response to the document that spells this all out.

[iamtheky]

Wait. If you have 10,000 Licenses of XP, you can make an unattended install with that key and install it on the 10,000 machines of your choosing. It does not matter what the system has on it when they buy it.

They are all 'whiteboxes' if you are about to format and load them from scratch....

If I am not mistaken, Clu's scenario would apply if they are currently using all of their Volume Keys and the 'OEMs' are using the OEM o/s load it shipped with.

[TheReasonIFail]

Here's a scenerio:

Currently have 50 volume licenses and have 45 PCs. We order 10 new OEM PC's with OEM XP license that are NOT replacing any PC's. We can only install the volume license key on 5 of them?

Edit: Well, I just did a bit of reading and it seems that is the case. Thanks for the assistance!

Edited November 25, 2009 by TheReasonIFail

[MrJinje]

Here's a scenerio:

Currently have 50 volume licenses and have 45 PCs. We order 10 new OEM PC's with OEM XP license that are NOT replacing any PC's. We can only install the volume license key on 5 of them?

Yes, only 5.

But a better question might be, is it allowed to use your VLK image to quickly provision those machines with all the company settings. Then follow Microsoft's procedure to manually change keys and re-apply the 10 OEM XP licenses (paid for) back on these machines. Why throw away 5 perfectly good OEM licenses. Or waste time manually doing the company settings, when the key can be changed after the fact.

Can anyone confirm or deny if this is a breach of license

Think this could only work if the OEM machines are already XP Pro, if they are XP home, this is definitely a no go. I assume it should be allowed as each OEM license is tied to hardware and the hardware isn't being changed, so is not breach of license. Anyone got a different take on that.

Edited November 25, 2009 by MrJinje

[cluberti]

If I am not mistaken, Clu's scenario would apply if they are currently using all of their Volume Keys and the 'OEMs' are using the OEM o/s load it shipped with.

Well, considering VL licenses are technically upgrade licenses, the machines have to have a qualifying license on them beforehand (OEM or retail), so whitebox or not the scenario holds true if the original license you're installing the OEM one over is VL. It wouldn't apply if the previously qualifying license was retail, of course, in which case you don't have to reinstall it once the VL install is removed, and at that point the retail license is freed up and can either be reinstalled on that machine or used for another.

But a better question might be, is it allowed to use your VLK image to quickly provision those machines with all the company settings. Then follow Microsoft's procedure to manually change keys and re-apply the 10 OEM XP licenses (paid for) back on these machines. Why throw away 5 perfectly good OEM licenses. Or waste time manually doing the company settings, when the key can be changed after the fact.

It would depend on the image. If these are XPSP3 installs that don't get a product key until after imaging, sure. However, if the image contains the VL key and is pre-activated then technically the initial install would be of a non-legal copy of Windows. As to whether or not you should or shouldn't do it is up to you, just like doing anything, but it would be better if you had two images long-term. Again, choices can be made (and I personally wouldn't have a problem with either decision), but if we're looking for the technical answer it would be no, doing such would not be following the volume licensing agreement.

[iamtheky]

It was my understanding I had to wipe all boxes clean in order to reinstall with the VLK assigned (even moreso with KMS if we jump to enterprise 7). This is more a question now rather than dispute, how would an entity specify they need a blanket 500 licenses, not 500 upgrade licenses?

http://www.microsoft.com/licensing/existin...activation.aspx

VLKs can be used only with Volume Licensing products; they cannot be used with retail software or software that is preinstalled on a new computer (original equipment manufacturer, or OEM, products).

(happy thanksgiving)

[cluberti]

This is more a question now rather than dispute, how would an entity specify they need a blanket 500 licenses, not 500 upgrade licenses?

To cover all bases, it should be stated for the other folks in the future who come across this thread and may not understand the legalese - a Volume Licensing key can only be used to activate (well, prior to Vista, *pre*activate) a machine that has a Volume License copy of Windows installed (XP Professional VL for XP licenses, Enterprise for Vista/7 which can be activated with a MAK or a KMS key). However, the machine you install it on MUST already have at least attached to the machine (you don't actually *have* to preinstall the FPP or OEM Windows license before installing your VL image) a qualifying, pre-existing license for Windows. There is no "clean install" VL license for Windows, so there's no way to request said licenses. You can read about the preinstall requirements, restrictions on license movement, and upgrade/replacement stipulations regarding VL Windows licenses here, although your software licensing agreement (if you already have one) should have come with this either in hard copy or online. However, it's available at the link above, and the relevant section contains this blurb:

Initial Operating System Requirements

Customers cannot acquire full Windows® operating system licenses for desktop PCs through Microsoft® Volume Licensing programs. They can acquire upgrade licenses only. Customers must first have licensed and installed a qualified full desktop PC operating system on their device before they are eligible to acquire an upgrade license for the Windows desktop PC operating system through the Microsoft Volume Licensing programs. Full Windows operating system licenses for desktop PCs can be acquired only either preinstalled on a new PC by an original equipment manufacturer (OEM) or through retail (also known as full packaged product [FPP]).

And from the FAQ, a bit more info about the subject:

If a volume licensing customer purchases new devices that do not have an operating system preinstalled (“naked” PCs) how can they license the Windows operating system?

Options for acquiring full licenses for the Windows operating system are through an original equipment manufacturer (OEM) or retail (also known as full packaged product [FPP]). If a customer purchases naked PCs, the customer needs to license the Windows operating system as FPP. Because of the cost of FPP, customers might prefer to request that their new devices come with a licensed desktop PC operating system preinstalled (for example, the Windows Vista Business operating system or the Windows XP Professional operating system). Microsoft Volume Licensing programs are not a source for full licenses for the Windows operating system. These programs offer only upgrade licenses for the Windows desktop PC license. A customer using the Volume Licensing Windows desktop PC operating system media to install a full operating system is not legally licensed for desktop PC operating system software if they acquire a PC that does not have a licensed copy of the software preinstalled or they acquire the Volume Licensing upgrade license without having a licensed copy of a qualifying desktop PC operating system installed on their device.