What is the difference between Microsoft OLP license and OEM License?

Answer 1

Original Equipment Manufacturer (OEM)

An OEM license is a single license that can only purchased with a new computer such as an HP or Dell. When purchasing a new computer it comes preinstalled with a manufacturer branded version of an operating system such as Windows 7 and in some cases even the Microsoft Office Suite. This type of license is referred to as an OEM. It is the cheapest type of license to acquire but also the most restrictive. An OEM license is bound to the hardware that it is installed on. In other words, the license lives and dies with the computer. If a computer with an OEM license is disposed of then the license must be legally be disposed of as well and cannot be transferred to another computer.

Open License Product (OLP)

An Open License Agreement is designed for between 5 and 250 computers and usually contains a single installation disk and a single product key. The difference however, is that the product key may be used repeatedly until the number of acquired licenses have been reached. The license is also transferable between different computers. This greatly simplifies license management. An OLP is a pay-as-you-go system whereby additional licenses can be purchased when required. An OLP is a two year agreement with a fixed price for the duration of the agreement. During the agreement period, optional Software Assurance may be added at an additional cost to ensure the latest version of the software. At the end of the two year period, the license is owned by your organisation.