Welcome to “Software licenses.” After watching this video, you will be able to: Define software licenses Identify types of software licenses And identify product keys for activating software licenses What is a software license? A software license states the terms and conditions for software providers and users. It is a contract between the developer or group who created the source code and the end user of the software. It specifies who owns the software, outlines copyrights for the software, and specifies the terms and duration of the license. It states where software can be installed, how many copies can be installed, and how it can be used. It can be lengthy and full of definitions, restrictions, and penalties for misuse. Agreeing to the licensing terms is required for use of most software. If you want to install and use software, you must agree to the terms and requirements, which is called an End-User License Agreement, or EULA. Agreeing to the EULA means that you accept the terms of the license, such as how many computers the software can be installed on, how it can be used, and what the limitations on developer liability are. Different software programs and applications have various ways of presenting their EULAs. Let’s look at some common examples of types of licenses: Single-use licenses allow a single installation on one computer or, depending on the software, the license may allow a single user to install the software on any machines that belong to the user. A group use, corporate, campus, or site license allows multiple installations for a specified number of users. It also allows installation on many computers or devices. This kind of license is ideal for use with computers and devices that are registered to a group, such as a computer lab on a college campus or a writing team at a newspaper. Concurrent licenses allow installation on many computers, but they can only be used concurrently, meaning at the same time, by a lower number of users. It allows many users to have access to the software, but it is not used often by a lot of people at once. Concurrent licenses are ideal for companies that do not have all workers using the software at the same time, such as nurses and doctors who work different shifts. Now, there are some differences between open source and proprietary software licenses. Open source licenses, also referred to as free and open source (FOSS), are still necessary for open source software to protect developers and contributors. Proprietary software licenses are more restrictive and are designed to strictly protect the software developer and those who invested in the software. An open source license means: Free software, which can be downloaded, installed, and used without limitations or restrictions. Free source code, which can be freely copied, modified, and redistributed. However, open source software will still require users to sign a licensing agreement, even though there are no limits or restrictions. Proprietary software licenses aim to protect the developers and the companies who own the software. Proprietary licenses cover copyrighted software with specified conditions listed in the license. Proprietary licenses also protect private source code, which users are not allowed to copy, modify, or redistribute. Users are also required to sign an End-User License Agreement (EULA). How much does a software license cost? Costs vary, depending on the type of software, how it will be used, and how much was spent to develop the software. Remember that the cost is for the software license, which allows you to use the software. Several options are available, such as trial, subscription, and one-time purchase. Trial licenses are available, usually for free and for a limited time, to allow a user to decide if they like it and want to purchase the software. Subscription and one-time license purchases are also available. The software description will identify whether it is either: subscription or one-time. Subscription licenses require recurring payments and users are billed regularly on a set schedule, such as monthly or yearly. Software developers and companies often prefer subscription-based models because they generate more income, and they allow developers and companies to control the cost and updates for the software licenses. Subscription-based licensed software can be used offline, but online access is needed from time to time for updates and upgrades. Also, online access allows users to verify with the vendor that the subscription is still active. Users can access the software for a limited time, as long as their subscription is valid. If users do not verify their subscription, the software might not be available to them. Conversely, With one-time license purchases, users pay just once for the software. A one-time purchase of a software license also means that the application or program can be used without interruption for the life of the software. However, a drawback to a one-time purchase is that updates or upgrades to the software may not be available. And the user will need to purchase newer versions or upgrades separately. Both have their advantages and limitations. It is up to the user to determine which purchase is the most appropriate. To ensure that the software that you are using is licensed, developers and vendors will issue a product key when software is purchased. Product keys are unique, long sequences of numbers that certify that the copy of the software is original. Product keys are usually included on a physical copy of the software or sent through email when the software is downloaded. Some programs and applications automatically register the product key when you install the application. For subscription software licenses, serial numbers or license IDs may be used. When software is activated, the product key is locked to a specific computer, which helps prevent piracy of software. In this video, you learned that: A software license states the terms and conditions for software providers and users. It states where software can be installed, how many copies can be installed, and how it can be used. When installing software, users are asked to agree to the End-User License Agreement (EULA). Single-use licenses allow a single installation on one computer. A group use, corporate, campus, or site license allows multiple installations for a specified number of users. Concurrent licenses allow installation on many computers, but the number of users at the same time is limited. Additionally: Open source software, or free and open source software (otherwise known as FOSS) is free software, which can be downloaded, installed, and used without limits or restrictions. Open source software contains free source code, which can be freely copied, modified, and redistributed. Proprietary, commercial, or closed source licensed software indicates that the software is copyrighted with specified conditions listed in the license. Proprietary software source code is private, and the license prohibits users from copying, modifying, or redistributing the software or any part of the source code. Costs for software licenses vary, depending on the type of software, how it will be used, and how much it cost to develop the software. Product keys are unique sequences of numbers that certify the copy of the software is original. Software licenses and product keys are in the program or application after it is installed on your computer. And a product key locks with a specific computer, which helps prevent piracy of the software.