Microsoft Product Terms: April 2023


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It’s the Microsoft Product Terms updates for April 2023 and, to paraphrase Puff Daddy and the Bad Boy Family…it’s all about Windows Server baby!

Some key changes that help to harmonise licensing across different platforms, which is a benefit for all of us involved!

Azure Hybrid Benefit for Windows Server changes:

No longer need to allocate 16 licenses as a minimum
No longer have to assign stacked licenses in groups of 8
Confirms minimum of 8 core licenses for AHB VM

Licensing Win Svr by individual virtual OSE:

No longer need to allocate 16 licenses as a minimum
CSP customers with Standard licenses can use Datacenter images as guests when licensing by virtual OSE – but must follow Standard edition use rights

CSP-Hoster:

Customers do not need Windows Server CALs or External Connector licenses when accessing “server software acquired from, fulfilled, and hosted by a Cloud Solution Provider-Hoster”.

Windows Server 2012 Licensing Changes


Windows Server 2012 is getting ever closer and today we had some exciting news – changes to the licensing – Yay! This has genuinely got me quite excited Smile

Currently Windows Server has 3 main flavours:

  • Standard / Licensed Per Server
  • Enterprise / Licensed Per Server / Rights to 4 Virtual Servers
  • DataCenter / Licensed Per CPU / Rights to Unlimited Virtual Servers

There are also Web Server, HPC & Small Business Server (SBS) editions.

There are also feature differences between the versions.

Going forward with Windows Server 2012 we will have:

  • Std / Licensed Per CPU / Rights to 2 Virtual Servers
  • DataCenter / Licensed Per CPU / Rights to Unlimited Virtual Servers
  • Each license covers 2 CPUs

Std & DataCenter will have feature parity and the only difference will be the virtual server rights. This is a question I’ve already seen on Twitter:

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So it’s good to get an answer straight away.

Features previously not in Windows Server Std that will be with 2012 include:

  • Windows Server Failover Clustering
  • BranchCache Hosted Cache Server
  • Active Directory Federated Services
  • Additional Active Directory Certificate Services capabilities
  • Distributed File Services (support for more than 1 DFS root)
  • DFS-R Cross-File Replication

This follows the same path as the changes recently made to System Center and, while it may make small installations more expensive, overall it reduces costs and simplifies the licensing for end users.

There are 2 other editions of Windows Server 2012 – Essential & Foundation:

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As you can see, Essentials & Foundation are aimed at the very small networks and both are limited to 1 CPU. Things which are missing from the lower editions include:

  • Direct Access
  • Hyper-V
  • ADFS

To see the full list of feature differences between the various editions, download the Windows Server 2012 datasheet here:

View Datasheet

Web Server

Windows Web Server can only run web facing workloads but does not require any CALs (Client Access Licenses) which makes it perfect for hosting external sites. However Web Server is being discontinued in the next release but before tales of astronomical rises in costs as companies are forced to buy CALs for every single user of their service:

“Despite the removal of Web Server edition, web workloads running on a Windows Server 2012 edition will continue to receive the “CAL waiver” that is in effect for these workloads today. Windows Server CALs will not be required to access the licensed server if it is only being used to run web workloads”

Software Assurance Transition

If you have active Software Assurance (SA) on Windows Server licenses at the time of release for 2012, you will receive rights to the new versions as per the below:

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What about SBS?

Small Business Server has been around for years, combines Windows Server & Exchange Server and is aimed at networks with less than 75 users. Now however it’s time has come to an end…

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SBS has quite a thriving community built around it with many passionate advocates, most of whom are sad/angered to see it go. I on the other hand am really rather happy about it! I’ve always found it to be an extra, unnecessary complication when new sales staff/customers get involved with licensing. I realise I’m not going to be popular with that opinion and I’m equally sure that if I worked more in that area I’d have a different opinion but as it is, from the Mid-market & Enterprise space, this is a welcome move.

You can find the full FAQ here:

Find Answers

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