License types

OEM, retail, ESD, volume, academic, and NFR licenses explained.

• OEM License

  An OEM license is sold pre-installed on new hardware by the device manufacturer and is tied to that machine for life. It is the cheapest genuine Windows/Office channel but cannot legally move to another computer.

• Retail License (FPP)

  A retail license — Full Packaged Product in Microsoft terms — is a boxed/digital product you buy on its own, independent of any hardware. It can move between your own computers (one at a time) and includes Microsoft support.

• ESD License

  ESD is a delivery method, not a separate legal channel: you buy a license key electronically, with no disc or box. ESD keys are typically retail or OEM licenses delivered online, which is why genuine ESD prices sit below boxed retail while carrying the same key.

• Volume License

  Volume licensing serves organizations activating many machines. Instead of one key per PC, the organization holds a volume agreement and activates clients either against its own Key Management Service (KMS) host or with Multiple Activation Keys (MAK) that count against a pooled allowance.

• Academic License

  Academic licenses are the education channel: the same software at reduced pricing for students, faculty, and educational institutions. Eligibility is verified at purchase, and the license terms generally match retail for personal use.

• NFR License (Not For Resale)

  NFR licenses are issued for demonstration, testing, and review — to reviewers, partners, and demo machines. They are explicitly not for resale or production use. An NFR key on the open market is a red flag: it was never licensed to be sold.