GLOSSARY OF TERMS
Authorization Number - The number assigned to the customer by Microsoft after initiating an Open License account. This number allows for reorders at the same discount level for two years.
Client Access License (CAL) - A right granted to allow an individual PC or user to access a server.
Competitive Upgrade - Vendor discount offered to customers who replace a competitor's product with the latest version of the vendor's product. Applies only to products designated by vendor. See also Version Upgrade.
Compliant - A software owner who has purchased the legal right to use software products and is using the software according to publisher terms and conditions.
Contractual License Program - A software volume license program that requires a written commitment to purchase an agreed-upon volume of software within the contract term (typically two years).
Enrollments - Subcontracts within the Master Agreement of some contractual license programs (i.e. Microsoft Select, IBM/Lotus Passport Advantage CEO) that define the commitments, discounts, and transactional requirements of a business unit. A customer's company may have multiple Enrollment Agreements, customized to the needs of buying entities.
Enterprise Agreement 6.0 - The Enterprise Agreement 6.0 is an evergreen agreement under which the customer and its qualified affiliates with at least 250 PCs may enroll to purchase licenses at a discount based upon a volume commitment. The Enterprise Agreement is designed for customers who purchase centrally and want to standardize their entire enterprise on Microsoft technology and maintain an information technology infrastructure on a standard platform of Microsoft products.
Enterprise Subscription Agreement - The Enterprise Subscription Agreement is an evergreen agreement under which the customer and its qualified affiliates with at least 250 PCs that desire to standardize their enterprise on Microsoft technology, have centralized purchasing and maintain an information technology infrastructure on a standard platform of Microsoft products, but prefer to acquire licenses on a subscription basis and have non-perpetual use rights, rather than perpetual use rights.
Entitlements - Rights and services granted to a software license owner, including the right to use and right to copy.
Forecast-Based Agreement - An agreement based on an estimate of buyer's software purchasing within a designated time period (typically two years). Forecasted amount determines price level. See also Contractual License Program.
Full License - A right to use a single copy of software that is granted to a user who is not eligible for upgrade discount.
Installed Base - Complete inventory of all installed software used to determine license compliance status.
License (Software) - A legal right to use a single copy of a software product. See also Volume License Agreement.
License Proofs - Document provided by software reseller to assist customers in tracking licenses purchased under a Volume License Agreement.
Maintenance - Upgrade insurance program allowing software license owner to pay a single, flat fee in return for the right to use all upgrades of that license for a designated time period (typically two years).
Media - CD-ROM, diskettes, or other physical product containing software code. Typically not included in license purchases under Volume License Agreements, unless otherwise stipulated.
Microsoft License Pack (MLP) - For some products, a single license to install and use one additional copy of the software. MLPs are not part of any Microsoft Volume Licensing program, and may be acquired separately through your Solution Provider or reseller.
MOLP License - (Microsoft Open License Program) is the general term for all licensed software from Microsoft.
Open License 6.0 - The Open License program is a volume-licensing program under which the customer may purchase licenses at a discount based on the size of its initial order (starting with minimum orders of five licenses). The customer (and its qualified affiliates, where applicable) may submit reorders under the same Open Authorization number at the established price level anytime during the two years following its initial order. An Open License agreement is entered into with each order placed. The Open License is designed for customers who want easy, discreet transactions and the flexibility of acquiring licenses from a broad reseller channel that only requires an initial purchase of as few as five licenses.
Over-licensed - Possession of more software licenses than number of operating desktops. Often the result of failure to use software license agreements (i.e. purchasing full licenses when a site license is already in place).
Perpetual License - The continuing right to access digital information after the termination of a license agreement.
Points - Values assigned to products under some Volume License Agreements allowing customer to achieve volume discounts.
Select License 6.0 - The Select License is an evergreen agreement under which the customer and its qualifying affiliates may enroll to purchase licenses at a volume discount based on forecasted purchases. The Select License is designed for customers whose purchasing is decentralized, and who want the flexibility of licensing software products on a per license or ad hoc basis.
Full Package Product - Off-the-shelf box containing a software license, media, and documentation. Also referred to as Boxed Product.
Site License - A software Volume License Agreement allowing corporate customers to purchase all software licenses needed by an entire organization or a clearly defined subgroup (i.e., business unit, division, department) in a single transaction.
Software Assurance - Software Assurance (SA) is an offering for Microsoft Volume Licensing customers. It provides you with the ability to spread payments annually and gives you the software upgrades, support and tools, and training you need to help keep your servers and desktops running. (SA availability may vary by offering and region.) Annual payments not available through Open License.
Suite Upgrade - Vendor program allowing owner of two or more individual products within a designated software suite to purchase entire suite at a discount. See also Competitive Upgrade and Version Upgrade.
Subscription License - A type of Licensing Agreement by which a Licensee pays for access to digital information by payment of a periodic fee.
Under Licensed - State of having more software licenses deployed than one has purchased. At risk for fines, software audits, and copyright litigation.
Upgrade - Any of several discounts offered by vendors based on customer's currently installed software. See also Competitive Upgrade, Suite Upgrade and Version Upgrade.
Version Upgrade - Vendor program allowing owner of a given software product to purchase the next version of that product at a discount. See also Competitive Upgrade and Suite Upgrade.
Volume License Agreement (VLA) - Purchasing program offered by software vendors giving discounts for purchases of multiple software licenses in a single transaction. Purchases under VLA programs include only right-to-copy. Media must be purchased separately.
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