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Licensing for Hobbyists

There is a growing market for "do-it-yourself" home PC hobbyists who assemble PCs from components for their own use. Microsoft retail software licenses are the appropriate licenses for the do-it-yourself market. OEM System Builder software is not intended for this use, unless the PC that is assembled is being resold to another party.

OEM System Builder License

Use of OEM System Builder software is subject to the terms of the Microsoft OEM System Builder License:

  • The software is intended for preinstallation on a new personal computer for resale.
  • The software requires the assembler to provide end-user support for the Windows software, and cannot be transferred to another computer once it is installed.

License Comparison

OEM System Builder SoftwareFull Packaged Retail Product
Must be preinstalled on a PC and sold to another unrelated party. Is intended to be re-sold separately from a PC for installation by the end user.
Cannot be transferred from the PC on which it is preinstalled. See details. May be transferred with some limitations. See details.
Must be preinstalled onto a new PC using the OPK. See details. Does not have an OEM Preinstallation Kit (OPK). Media inside the box can be used to install software onto a personal computer.
System builder that preinstalled the software must provide support for the software. Microsoft provides support services.
License terms are granted by the system builder to the end user. License terms are granted by Microsoft to the end user.

FAQ

Q. What is Microsoft doing to clarify these terms to resellers and end-users?

A. In addition to announcing this clarification to the System Builder channel, Microsoft is working with online retailers to post language on their websites explaining the licensing rules for OEM System Builder channel software.

In addition, you can learn about the Windows Genuine Advantage program.

Q. What are the different ways in which Microsoft OEM System Builder Windows licenses can be distributed?

A. The current OEM System Builder License allows system builders to distribute Windows desktop operating system licenses in the following ways: Preinstalled on a new PC and resold to a third party.

Unopened OEM System Builder packs (1-, 3-, or 30-packs) can be distributed to other system builders. Note that they must remain unopened so the receiving system builder can accept and be bound by the break-the-seal license agreement affixed to the pack. They should not be distributed to end users.

Preinstallation using the OPK ensures that customers can experience the intended “Windows Out-of-Box Experience” (OOBE) and that they receive the opportunity to accept the End User Software License Terms.

It enables you to add shortcuts and branding of your business to the operating system, enables you to test preinstalled PCs without interrupting the preinstallation process, and much more. Get more information about the OPK.

Q. I would like to build PCs for my company and use OEM System Builder software for the operating system. Can I do this?

A. OEM System Builder software must be preinstalled and then resold to another party. If you are using the PC within your organization, this "resale" requirement will not be met. In addition, as a system builder preinstalling OEM System Builder software onto new PCs, this requires that you grant the end user license terms to the third party acquiring the PCs from you. If you are distributing the PCs within your organization, you can’t grant the end user license terms to yourself.

Additional Resources




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