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Table of Contents
Overview and How to Use This Guide ............................................................................................................................................ 3 Licensing Microsoft Technology ....................................................................................................................................................... 3
Preinstalled ............................................................................................................................................................................................ 4 Volume Licensing ............................................................................................................................................................................... 5
Open License Agreement ........................................................................................................................................................... 5 Open Value Agreement .............................................................................................................................................................. 6 Select License Agreement and Enterprise Agreement .................................................................................................. 6
Proof of License Table ........................................................................................................................................................................... 7 Glossary ..................................................................................................................................................................................................... 14 Useful Resources ................................................................................................................................................................................... 15
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Overview and How to Use This Guide
As part of any successful software asset management project, it is important that you understand the
various ways in which your customers acquire and use Microsoft® software, as well as the rules that govern
the use of that software, and the best ways of documenting that the software has been correctly licensed.
This guide will help you to evaluate your customers’ software licenses, and to advise your customers onhow to reduce the risks associated with either mislicensing or acquiring and deploying non-genuine
products. This guide will help you to understand the many ways in which Microsoft technology is
acquired, and what documentation should be considered as ―evidence‖ of proper licensing during
Software Asset Management (―SAM‖) reviews. This guide is intended for use only in connection with SAM
engagements. As you probably know, there are specific legal requirements to prove that someone is
licensed for a particular software title. The ―proof of licensing‖ standards set forth in this guide are not
actual legal proof of licensing requirements under audit standards. SAM engagements are not audits.
Most Microsoft End-User License Agreements (EULAs) that accompany retail and preinstalled software set
forth the requirements for the proof of licensing of that specific product. The content in this guide doesnot replace or supersede the EULA. The ―proof of licensing‖ guidelines in this document were drafted in
anticipation of the relatively limited amount of time a SAM advisor has to review a customer’s licensing
history in order to formulate the customer’s licensing position.
Different products and versions of those products may have specific requirements for proving that they
are correctly licensed. Some retail and preinstalled (or original equipment manufacturer (―OEM‖)) products
today (and more in the future) use a single-proof-of-
license methodology that relies only upon the 5 × 5product key on the OEM Certificate of Authenticity
(―COA‖) or the 5 × 5 product key on the retail product key
label as proof of license. At the end of this guide, you will
find tables that illustrate the primary and secondary
sources that can be used to evaluate customers’ licensing
positions during a SAM review.
Licensing Microsoft TechnologyThere are various options for licensing Microsoft software, including retail (full packaged product),
preinstalled (OEM), and Volume Licensing agreements. Each has its unique requirements for providing
proof of license. Maintaining proof of license records will not only bolster your customers’ software asset
management (SAM) practices, but can also be used during a Microsoft-sponsored SAM engagement.
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A software license grants the user the right to run or access a software program. Licensing software is not
the same as purchasing a car or house – customers are not buying the software itself. Rather, they are
buying a license that sets forth the way in which the software may be used, along with various restrictions,
such as those relating to the transferability of software licenses, or to a customer’s ability to downgrade to
an earlier version of the software. The nature of these rules and restrictions varies according to the
software title and the type of software—preinstalled, retail or volume licensing software.
Preinstalled—New PCs are commonly purchased with software already installed by the original
equipment manufacturer (OEM). The Windows®desktop operating system and Microsoft
Office are frequently purchased in this way. The initial version of the Windows operating
system license is only available through two channels – as preinstalled OEM software or as
retail ―full packaged product (FPP) software. There are no Microsoft Volume Licensing
programs that provide the initial full version of Windows. Volume Licensing agreements provide only a
means of upgrades, and require a full underlying version of the software for each upgrade1.
When the PC comes with Microsoft software preinstalled, the purchaser should also receive an
accompanying Certificate of Authenticity (COA) with the 5 × 5
product key. For Windows, the COA will be affixed to the PC. For
preinstalled applications, including Microsoft Office, the COA will be
affixed to the packaging containing the software media or disc. A
COA helps identify genuine Microsoft software, but is not a software license as such. Purchased by itself,
or ―stand-alone,‖ a COA has no value. When purchased with the appropriate software and components, a
COA is one of a number of visual identifiers that assist in determining whether or not the Microsoft
software running on the PC is genuine. Without the COA, it cannot be known conclusively whether the PC
is running genuine software.
For Windows XP SP2, Windows Vista®, and the OEM versions of Microsoft Office XP, Microsoft Office
2003, and the 2007 Microsoft Office system, the only proof of license required in the context of a SAM
license review is the COA, which includes the 5 × 5 product key. Refer to the table at the end of this guide
for many other preinstalled Microsoft software requirements in addition to the COA, and how they relate
to various products. These proof of licensing requirements may include the EULA, software media, and an
invoice or receipt for the purchase of the licensed software. If a question arises as to what are the
licensing requirements under a particular EULA, copies of the EULAs can be found online at
www.microsoft.com/about/legal/useterms. The EULA provides the terms and conditions of use to whichthe end user agrees before using the software.
1As a one-time option through Volume Licensing, a customer can sign a Get Genuine Windows Agreement to properly obtain a
full version of Windows XP in a mislicensing scenario.
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Retail—Retail software (FPP) is traditionally shipped in a shrink-wrapped box or plastic case. Customers
can purchase FPP from a store or from an online retailer. Customers who purchase retail
software usually do so because they are purchasing in relatively small quantities.
The retail packaging for current Microsoft software versions will include a box
top COA to assist with authentication and product identification and a 5 × 5 product key―Proof of License‖ label. Retail versions of Windows, Microsoft
Office, and many other products2 also contain media with edge-
to-edge holograms. In addition, the retail package will indicate the
appropriate geographic area of sale for that particular software3.
For the retail versions of Windows XP SP2, Windows Vista,
Microsoft Office XP, Microsoft Office 2003, and the
2007 Microsoft Officesystem, the 5 × 5 product key is
considered to be proof of license. Refer to the table at the end of this guide for many other Microsoft
software proof of licensing requirements in addition to the 5 × 5 product key. These may include the
EULA, software media, and an invoice or receipt corresponding to the purchase of licensed software.
Volume Licensing—Microsoft Volume Licensing offers programs that are designed to meet the needs of
your customers’ businesses. These agreements are tailored according to the size and
purchasing preferences of your customers, and they provide simple, flexible, and
affordable licensing solutions. The primary volume licensing programs are Open License, Open Value,
Select License Agreement, and the Enterprise Agreement. Specific programs for academic institutions and
government entities also exist, in addition to regional offerings. Please note that the Microsoft Volume
Licensing programs do not provide the initial full version of Windows, but only provide an upgrade thatrequires that a full version already be licensed on the PC4. Set forth below is a brief description of each of
these volume licensing programs.
Open License Agreement —A volume purchasing plan for small businesses, offered as an alternative to
purchasing software through the retail channel. With a one-time initial purchase of five licenses for one or
more products, customers can continue to purchase single quantity orders of any product available
through the Open License program at volume pricing.
A benefit of the Open License program is access to the eOpen Web site at https://eopen.microsoft.com,
where customers can view the terms of their agreement and their history of order confirmations. This
2 Visit www.microsoft.com/resources/howtotell/listview.aspx?displaylang=en to view all Microsoft products and their visual piracy
prevention features.3 A parallel import is sometimes referred to as ―gray market‖ software. It’s software that was intended for distribution in a country other
than the one in which it is found.4 As a one-time option through Volume Licensing, a customer can sign a Get Genuine Windows Agreement to properly obtain a full
version of Windows XP in a mislicensing scenario.
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agreement and order confirmation history represent the customers’ proof of license. In regions where
eOpen is not available, customers will receive paper order confirmations. For customers with older Open
License agreements, they may have a cover page to confirm their license purchases (this applies to
agreements that predate the 6.x version of our volume agreements). These paper confirmations are
considered proof of licensing for these older agreements.
Open Value Agreement —A volume purchasing plan that enables small to midsize organizations with fewer
than 250 PCs to use and manage Microsoft software licenses under a single agreement. Open Value offers
simplified license management, better control over customers’ investment, and better management of
software costs.
A benefit of the Open Value program is access to the Microsoft Volume Licensing Services (MVLS) Web
site at https://licensing.microsoft.com, where customers can log on to view their history of volume license
order confirmations. Customers’ signed agreements, order confirmation history, and evidence of payment
represent their proof of license under this program.
Select License Agreement and Enterprise Agreement —A volume purchasing plan for organizations with
more than 250 PCs. The Select License program is priced based on a customer’s forecasted level of
purchasing. Customers sign Select License agreements, and then purchase their licenses under those
agreements. The agreements themselves do not specify the number of licenses purchased, but do
forecast the volume of licenses to be purchased. The Enterprise Agreement helps customers standardize
IT across the enterprise, simplifies license management, and provides maintenance benefits to help ensure
that customers maintain a competitive advantage and increase employee productivity. The Enterprise
Agreement provides a specific number of licenses for a specified range of software titles and is ―trued up‖
annually to adjust the numbers of licenses needed. Both of these programs are only available through theLarge Account Reseller (LAR) or Enterprise Software Advisor (ESA) channels.
A benefit of the Select License program and the Enterprise Agreement is access to the Microsoft Volume
Licensing Services (MVLS) Web site at https://licensing.microsoft.com, where customers can log on to view
their history of volume license order confirmations. Customers’ signed agreements, order confirmation
history, and evidence of payment represent their proof of licensing under these programs. For licenses
acquired prior to the 6.x version of our volume agreements, the license confirmations would have been
received by the customer in paper form.
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Proof of License Table
Listed below are two types of ―evidence‖ of licensing for various types of Microsoft OEM and FPPsoftware—―primary‖ evidence and ―secondary‖ evidence. The primary evidence indicates proof of
licensing for the purposes of the SAM license review. The secondary evidence components are secondary
sources we can look to when customers do not have any primary evidence, or when we need information
to supplement the primary evidence a customer provides. By itself, secondary evidence may not always
serve as adequate proof of licensing. However, we have to realize that customers may have misplaced
their primary evidence, even though they are properly licensed. Considering supplemental, or secondary,
evidence allows us to do all we can to help customers show that they are licensed during a SAM
engagement. For example, an invoice might help us track down the proof of licensing from the source
of the software.
If a customer had purchased systems from Dell, for example, and the invoice reflects that the systems
were purchased with OEM Windows, then that invoice would help us to confirm that the systems were
initially properly licensed. Similarly, if the invoice reflects that a customer purchased stand-alone EULAs
for Microsoft software, then the invoice would help us to determine that the customer is not
properly licensed.
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Product ChannelPrimary
Evidence
Secondary
EvidenceProduct ID Checks
Microsoft
Office
Microsoft
Office4.2/4.3
to
Microsoft
Office 95
Retail EULA
Retail box withCOA, CD sets,
floppy disks,
invoices
If you find large numbers of FPPEULAs or CD sets always ensure they were
originally shipped as complete boxed
products.
Microsoft
Office
4.2/4.3 to
MicrosoftOffice 95
OEM
Green generic
COA on CD
sets/manuals
CDs, manual,
invoices
Always ensure OEM is still installed on
original PC, or was when upgrades were
applied. No need to count if they aren’t
being used as underlying licenses. A
common infringing offering is a combination
of Retail and OEM components that would
not result in a licensed installation. Look out
for an “OEM” CD set consisting of an OEM
COA on the front, but a Retail CD Key label
on the rear.
Microsoft
Office 97 Retail
EULA or Microsoft
License Pak
(“MLP”)
agreement
Retail box with
COA, CD sets,manual, invoices
Common counterfeit. Look out for large
numbers of FPP EULAs or CD sets. Check
whether components were supplied “stand-
alone.” Check CD has Mould/Master IFPI
codes. Look out for EULAs with no Work
Order and Stock Keeping Unit references
and the part number 91073 on therear/bottom left of the EULA, especially
outside North America. Also, check WO
number on Microsoft License Paks. High
numbers could indicate risk of counterfeit.
Invoices should not indicate loose
components, like CD sets or EULAs.
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Product ChannelPrimary
Evidence
Secondary
EvidenceProduct ID Checks
Microsoft
Office
Microsoft
Office 97
OEM
Green generic
COA on CD
sets/manuals
CD sets,
manual, invoices
Common counterfeit. Make sure CD set
includes OEM CD, not retail CD. Liners will
be black and white. Look out for OEM/Retail
component mix, namely an OEM COA and
retail CD key. Check CD has Master/Mould
IFPI codes. Should be no CD key label on
jewel case. Generic COA must be attached
to CD set/manual to confirm product.
Microsoft
Office
2000
Retail EULA
Retail box with
COA, CD sets, or
invoices
Common counterfeit, Professional and
Premium. Conduct tear test on interwoven
thread of EULA. Check CD has Master and
Mould IFPI codes. Look out for L826 master
IFPI (especially outside Asia Pacific) and
OEM/Retail component mix, normally Retail
CD set with OEM CD. Invoices should not
indicate loose components, like CD
sets or EULAs.
Microsoft
Office
2000
OEM
ICC manual or
COA label on
cardboard slip
CD sets,
manual, invoices
Common counterfeit, especially
Professional. Check ICC for genuine
interwoven thread using tear test. Check
CD has Master/Mould IFPI codes. Look out
for L826 master IFPI code (especially
outside Asia Pacific). Invoices should not
indicate loose components, like CD sets or
“licenses.”
Microsoft
Office XPRetail
5 × 5 product
key label
on CD set
Retail box with
COA, CD, manual
insert, invoices
Check E2E hologram CD for Mould
IFPI code and ensure E2E hologram is
not a label.
Microsoft
Office XPOEM
5 × 5 product key
on COA on
cardboard slip
CD, invoices
Check E2E hologram CD for Mould IFPI
code and ensure E2E hologram
is not a label.
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Product ChannelPrimary
Evidence
Secondary
EvidenceProduct ID Checks
Microsoft
Office
Microsoft
Office 2003
Retail
5 × 5 product key
label on CD set
(DVD case)
Retail box with
COA, CD, manual
insert, invoices
Check E2E hologram CD for
Mould IFPI code and ensure E2E hologram
is not a label.
Microsoft
Office 2003OEM
5 × 5 product key
on COA on
cardboard slip
OEM CD set,
manual, invoices
Common counterfeit. Check E2E hologram
CD for Mould IFPI code and ensure E2E
hologram is not a label. Make sure
interwoven strip for COA is not simulated
and properly threaded. Take sample COA
numbers (14 digit) if in doubt.
Microsoft
Office 2007Retail
5 × 5 product
key label on
plexiglass case
Plexiglass case with
COA, CD, manual
insert, invoices
Check edge-to-edge (“E2E”) hologram
CD for Mould IFPI code and ensure E2E
hologram is not a label. The 5 × 5 product
key label should be an interwoven or
submerged strip.
Microsoft
Office 2007OEM
5 × 5 product key
on COA, on
cardboard slip
(DOEM) or inside
media less kit
(MLK) (System
Builder only) DVD
case
OEM CD set inside
cardboard slip
(DOEM) or MLK as
DVD case (SB),
invoices
Common counterfeit. Check E2E hologram
CD for Mould IFPI code and ensure E2E
hologram is not a label. Make sure
interwoven strip for COA is not simulated
and properly threaded. Take sample COA
numbers (14 digit) if in doubt. MLK
should not have CD. If it does,
authenticate E2E CD.
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Product ChannelPrimary
Evidence
Secondary
EvidenceProduct ID Checks
Microsoft
Windows
Windows
95/Windows
98/Windows
NT® Workstation
Retail EULA
Retail box with
COA, CD sets,
manual, invoices
If you find large numbers of FPP EULAs
always ensure they were originally
shipped as complete boxed products.
Windows 95/
Windows 98/
Windows NT
Workstation
OEM
Green generic
COA on manual,
or Integrated
Certificate of
Authenticity
Cover (“ICC
manual”),
or PC COA label
CDs, EULA,
manual, invoices.
(For PC COA
label version
only, you can
accept invoices or
purchase records
to confirm license
counts and
use COAs
(representative
PC sampling) as
corroboration.)
Common counterfeit is Windows 98 SE.
Check ICC for genuine interwoven thread
using tear test. Check CD has
Master/Mould IFPI codes. Look out
for L826 master IFPI code strain for
Windows 98 SE (especially outside
Asia Pacific). Conduct tear test on
interwoven thread on original pink/green
COA Labels. For E2E Windows 98 CDsensure E2E hologram is not a label and
Mould IFPI code is present. Take sample
COA numbers
(14 digits). Only count Windows OEM
if it is still installed on original PCs. Focus
on System Builder channel Windows 98
SE, which has “D” on COA. You should
never find loose COA Labels.
Windows2000/ME
Retail EULA
Retail box with
COA, CD sets,
manual, invoices
Conduct tear test on interwoven thread
of EULA. Check CD for Mould IFPI code
and ensure E2E hologram is not a label.
Windows
2000/MEOEM
PC COA label with
5 × 5 product key
for sampling/
corroboration
CDs, manual, and
to be practical in
SAM license
review scenario
use
invoices/purchase
records for
overall license
count
Common counterfeit. Conduct tear
test on interwoven thread on original
pink/green COA labels, record sample
COA numbers. Blue silver COA labels are
common counterfeit too. Record sample
COA numbers and product keys if in
doubt. Focus on System Builder channel
(not DOEM) for counterfeit.
Windows XP Retail5 × 5 product key
label on CD set
Retail box with
COA, CD, manual
insert, invoices
Counterfeit possible. Check edge-to-edge
(E2E) hologram CD for Mould IFPI code
and ensure E2E hologram is not a label.
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Product Channel Primary Evidence Secondary Evidence Product ID Checks
Microsoft
Windows
Windows
XPOEM
PC COA label with 5 ×
5 product key for
sampling/corroboration
CDs, manual, and to be
practical in SAM license
review scenario use
invoices/purchase
records for overall
license count
Common counterfeit. For
sampling, blue silver COA labelsare common counterfeit. Record
sample COA numbers and
product keys if in doubt. Conduct
tear test checks on interwoven
thread of “Porky” and “Porthole”
and “Ranger” COA labels. Each
porthole should be unique, with
interwoven thread. Focus
sampling on System Builder
channel. DOEM will be branded.
Record sample COA numbers.
You should never find loose COA
Labels.
Windows
Vista Retail
5 × 5 product key on
plexiglass case
Plexiglass case with
COA, CD, manual
insert, invoices
Check E2E hologram CD for
Mould IFPI code and ensure E2E
hologram is not a label. The 5 ×
5 product key label should be an
interwoven or submerged strip.
Windows
Vista OEM
PC COA label with 5 x 5
product key
CDs, manual insert
in DVD case; for
sampling/corroboration,
and to be practical in
SAM license review
scenario use
invoices/purchase
records for overall
license count
Counterfeit possible. For
sampling, conduct tear test on
interwoven thread of “Porky” and
“Ranger” COA labels. Counterfeit
Porky COA label has red
interwoven strip, when it should
be silver. Each porthole should
be unique, properly interwoven.
Focus sampling on System
Builder channel. DOEM “Ranger”
COA will be branded. Record
sample COA numbers. You
should never find loose COA
labels. Check E2E hologram CD
for Mould IFPI code and ensure
E2E hologram is not a label.
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Product ChannelPrimary
Evidence
Secondary
EvidenceProduct ID Checks
Microsoft
Windows
Server
Windows
NT Server
4.0
Retail EULA and CAL
Retail box with
COA, CD sets,
manual, invoices
Common counterfeit, shipped as loose
components or complete boxed product. If you
find large numbers of FPP EULAs, always ensure
they were originally shipped as complete boxed
products. Check CDs (all 4) have Mould/Master
IFPI codes. If the customer is outside of North
America, look out for items marked For
U.S./Canada only, as they are often counterfeit.
Windows
NT Server
4.0
OEM
Green generic
COA on
manual, or
ICC manual,
or COA label
CDs, floppy
disks, EULA,
manual
or invoice
Not a common counterfeit. Be wary of unlicensed
second-hand usage, where OEM software from
one system is moved to another one.
Windows
2000ServerRetail
EULA or 5 × 5
product key
label on CD
set as the
“license,” plus
paper CAL
Retail box with
COA, CD,
invoices
Less common counterfeit. If you find large
numbers of FPP EULAs, always ensure they were
originally shipped as complete boxed products.
Windows
2000ServerOEM
PC COA label
with 5 × 5
product key
CD, manual,
invoices; Forcorroboration,
look to invoices
or purchase
records
Less common counterfeit. For sampling, conduct
tear test on interwoven thread of “Porky” and
“Porthole” COA Labels. Focus sampling on System
Builder channel for counterfeit. DOEM will be
branded. Record sample COA numbers.
Windows
Server
2003
Retail
5 × 5 product
key on CD set
as the
“license,” plus
paper CAL
Retail box with
COA, CD,
invoices
Counterfeit not likely. Check E2E hologram
CD for Mould IFPI code and ensure E2E hologram
is not a label. Paper CAL should be present too.
Windows
Server
2003
OEM
PC COA label
with 5 × 5
product key
CD, manual
invoices; for
sampling/
corroboration,
invoices/purchas
e records for
overall license
count
Counterfeit possible. For sampling, conduct tear
test on interwoven thread of “Porky” and
“Porthole” COA labels. Focus sampling on System
Builder channel for counterfeit. DOEM will be
branded. Record sample COA numbers. You
should never find loose COA labels.
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Glossary
Certificate of Authenticity (COA)—The COA is a label that is affixed to the packaging or to the computer in the case
of preinstalled Windows software. It is one of a number of visual identifiers that assists in determining whether or not
the Microsoft software running on the PC is genuine.
End-User License Agreement (EULA)—This is the agreement between Microsoft and the end user, providing the
terms under which the end user may use the software. Frequently, the EULA will be agreed to by the end user upon
first attempted use of the software. The language from the EULA is available on line at
www.microsoft.com/about/legal/useterms.
Full packaged product (FPP)—Microsoft software purchased from retail sources, such as a store or an online retailer.
It is packaged in a box or, more recently, in plastic packaging. FPP software is sometimes called ―retail‖ software. The
license agreement for FPP software permits it to be taken off of one computer and moved to another. The licensing
terms for OEM software do not permit the software to be moved from one computer to another.
Get Genuine Windows Agreement—This is a volume license agreement to help a customer correct Windows XP
Professional desktop licensing deficiencies. This agreement is available through Microsoft Volume Licensing
corporate programs. This agreement is available to corporate customers only, and not to academic or
government customers.
ICC Manual—A manual that has an integrated Certificate of Authenticity on its cover. This is an older version of the
OEM COA, and was used for Windows 98 and Microsoft Office 2000.
License—An agreement by the owner of the intellectual property to permit the use of a particular version of software
by an end user or a licensed entity.
Mislicensing—This term is used by Microsoft to refer to instances where customers do not have the proper licensing
to run the software they are using. Examples of mislicensing include using a volume license agreement as the basis
for an installation of the full version of Windows software, or using academic licensing when a customer is not a
qualified academic customer.
Original equipment manufacturer (OEM)—Entity that builds computers or servers, often providing preinstalled
software, such as the Windows desktop operating system, with new computers it builds.
IFPI Codes – The International Federation of the Phonographic Industry. Each genuine Microsoft CD-ROM has a
mould and a master IFPI code. The mastering code is put on by the machine that creates the master from which all
the CD-ROM’s are stamped. The mould code is a manufacturing code which is machine tooled onto part of the
mould that CD-ROM’s are pressed in. Microsoft has required all of its authorized replicators to produce discs withboth these codes since January 1996.
E2E Hologram - A genuine Edge to Edge (E2E) hologram is embedded into the CD-ROM during the manufacturing
process and is not a label.
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Useful Resources
Microsoft Software Inventory Analyzer: www.microsoft.com/resources/sam/msia.mspx
Microsoft How-to-Tell site: www.microsoft.com/resources/howtotell/
Review policies and procedures for SAM: www.microsoft.com/resources/sam/Implementing_Policy.mspx
Implementing SAM into your business: www.microsoft.com/resources/sam/Implementing.mspx
Learn more about Microsoft Volume Licensing: www.microsoft.com/licensing
Learn more about software piracy: www.microsoft.com/piracy
SAM training material and practical tools: http://partner.microsoft.com/sam2
© 2008 Microsoft Corporation. All rights reserved. This document is for informational purposes only. MICROSOFT MAKES NO WARRANTIES, EXPRESS OR
IMPLIED, IN THIS DOCUMENT. Microsoft, the Office logo, Windows, Windows NT, Windows Server, and Windows Vista are trademarks of the Microsoft group of
companies. This information is provided to help guide your authorized use of products you license; it is not your agreement. Your use of products licensed unde
your license agreement is governed by the terms and conditions of that agreement. In the case of any conflict between this information and your agreement, th
terms and conditions of your agreement or license control.
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