For your RD licence server to issue RDS CALs, two things are needed: the server is activated with Microsoft, and your CALs are installed on it. Both happen in Remote Desktop Licensing Manager. RDS CALs come in addition to Windows Server CALs; they do not replace them. This guide assumes the RD Licensing role is installed and the licensing mode is set. If not, start with Set up Windows Server CALs and RD Licensing.
What you received
Your order confirmation email shows the CALs you ordered, with type, version and quantity, and the licence details for RDS CALs. You find the same in your Lizensa account under My Library.
- RDS CALs are installed on an activated RD licence server, as described below. Examples are Windows Server 2025 RDS User CAL, Windows Server 2022 RDS User CAL and Windows Server 2019 RDS Device CAL. The Install Licenses wizard asks for the licence information from your order. Depending on the licence programme, Microsoft calls it a licence code or an agreement number.
- Windows Server User and Device CALs (Windows Server 2022 User CAL, for example) are not activated anywhere. They have no key; you only keep records of them. If your order contains only these, everything you need is in the setup guide.
Open RD Licensing Manager
RD Licensing Manager is part of the RD Licensing role. There is nothing to download.
- Sign in to the licence server with an administrator account.
- Open Server Manager and select Tools > Remote Desktop Services > Remote Desktop Licensing Manager.
- The left pane lists your licence server under All servers. A new server is shown as not activated.
Before you start, have these ready:
- The licence information from your order email.
- Your company details. The activation wizard asks for first name, last name, company and country or region.
- Internet access on the licence server, or on another computer if you use the web browser method.
Check versions before you activate
First decide which server holds the licences. In a small setup, the session host can be its own licence server. With several session hosts, one central licence server is easier to manage. Microsoft notes that a licence server can issue RDS CALs across Active Directory domains and forests and in workgroups, with some limits. Whatever you choose, the version rules below apply.
The licence server must run the same Windows Server version as your RDS CALs, or a newer one. Microsoft's compatibility rules:
- Windows Server 2025 licence server: accepts RDS CALs for 2016, 2019, 2022 and 2025.
- Windows Server 2022 licence server: accepts 2016, 2019 and 2022.
- Windows Server 2019 licence server: accepts 2016 and 2019.
- Windows Server 2016 licence server: accepts 2016 only.
The session hosts have a rule of their own. They need RDS CALs of their own version or newer. A session host on Windows Server 2025 accepts only 2025 RDS CALs. A session host on Windows Server 2019 accepts 2019, 2022 and 2025 RDS CALs.
If the licence server is too old for your RDS CALs, install RD Licensing on a compatible server before you continue. If your RDS CALs are older than a session host, that host needs CALs of its own version or later. Activating the wrong server costs time later.
How the licence server hands out RDS CALs
It helps to know what to expect once the CALs are installed:
- Per Device: the first time a device connects, it receives a temporary licence that is valid for 90 days. On its next connection, it receives a permanent CAL from your pack, if a suitable one is available. Each permanent Per Device CAL is valid for 52 to 89 days. When the device connects again shortly before it expires, the CAL is renewed. You can revoke up to 20 % of your Per Device CALs, for example when a PC is replaced.
- Per User: the CAL is assigned to the user account in Active Directory. It is valid for 60 days at first. When the user signs in shortly before it expires, it is extended by another 60 days. Microsoft does not block connections when Per User CALs run out. The licence server can hand out more CALs than you hold, so keeping the count within your licence is your responsibility.
Activate the server and install the CALs
Step 1: activate the licence server
- In RD Licensing Manager, select the server, then Action > Activate Server. The Activate Server Wizard opens. Select Next.
- Choose the connection method:
- Automatic connection (recommended): the server contacts the Microsoft Clearinghouse directly over the internet, outbound on TCP port 443.
- Web Browser: for a licence server without internet access, using another computer that has it.
- Telephone: for when no internet is available at all.
- For the automatic connection, enter your company information and select Next. The second page with optional details can stay empty. Select Next.
- On the last page, leave Start Install Licenses Wizard now ticked if you want to install the CALs straight away. Select Finish.
Step 2: install the RDS CALs
- If the Install Licenses wizard did not open, right-click the server and select Install Licenses. Select Next.
- Choose the licence programme that matches the licence information in your order, then select Next.
- Enter the licence code or agreement number exactly as in your order. Select Next.
- Choose the product version, the licence type (Per User or Per Device) and the quantity from your order. Select Next.
- The wizard contacts the Microsoft Clearinghouse and installs the licences. Select Finish.
The licence server itself does not need internet for this step if you run RD Licensing Manager on another computer that does.
Web browser method
- In the wizard, choose Web Browser. The License Server Activation page shows the address of the Remote Desktop Licensing website. Copy it.
- On a computer with internet access, open that address and follow the steps on the website.
- The website gives you a licence server ID. Enter it on the License Server Activation page and select Next.
Activate by telephone
- In the wizard, choose Telephone and select Next.
- Select your country or region and select Next. The License Server Activation page shows the telephone number to call.
- Call the number. Give the Microsoft representative the details the page shows. You receive a licence server ID.
- Enter the licence server ID and select Next.
After the telephone activation, install your RDS CALs as in step 2. RD Licensing Manager needs internet for that step, but it can run on another computer.
Check that it worked
- In RD Licensing Manager, the server shows as activated. Below it, your RDS CALs appear with version, type and the numbers of total and available licences.
- Right-click the server and choose Review Configuration. Check that the scope is right and, in a domain, that the server is a member of the Terminal Server License Servers group. The dialog offers to add it if it is not.
- On a session host, open Server Manager > Tools and start RD Licensing Diagnoser from the Remote Desktop Services folder (called Terminal Services in older Microsoft documentation). Check that it lists the expected licence server and suitable CALs. Microsoft notes that the warning "licensing mode is not configured" can appear without a fault in an administrative session, or when you connect with a local account in Per User mode.
- For Per User CALs, create a usage report: right-click the server and select Create Report > CAL Usage. You can save the report as a CSV file for your records.
Per Device CALs show up as issued after a device has connected twice. The first connection gets a temporary licence. The next connection upgrades it to a permanent CAL, if a suitable CAL is available.
To see how many days of the grace period a session host has left, run this in PowerShell as administrator on the session host:
$obj = gwmi -namespace "Root/CIMV2/TerminalServices" Win32_TerminalServiceSetting
$obj.GetGracePeriodDays()
Once the host gets its licences from your licence server, the grace period no longer matters.
If something goes wrong
The automatic connection fails. Check whether the server can reach the Microsoft Clearinghouse: outbound TCP port 443 must be open. If it cannot, use the web browser or telephone method instead.
The wizard does not accept the licence code. Check that you chose the right licence programme in step 2 and copied the code without extra spaces. Copy it straight from My Library. If it still fails, contact our support with your order number and the message shown.
The product version you need is not offered. Check that the licence server runs the same Windows Server version as your RDS CALs, or a newer one. For example, Windows Server 2025 RDS CALs need a Windows Server 2025 licence server.
CALs are installed, but users still cannot connect after the grace period. Check that the licence server is activated and reachable, that its CALs suit the session hosts' version, and that the hosts use this licence server and the right licensing mode. RD Licensing Diagnoser on a session host helps you narrow down the problem. The fix is in the setup guide.
RD Licensing Diagnoser asks for administrator credentials for the licence server. The diagnoser needs administrator rights on the licence server to read its data. Sign in with an account that is an administrator there, or add your account to the local Administrators group of the licence server.
The CAL Usage report stays empty in Microsoft Entra Domain Services. Microsoft states that RD Licensing Manager cannot report Per User CALs in that environment. Track usage another way, for example from sign-in events.
Per User CALs show none issued. Per User CALs are tracked in Active Directory. In a workgroup they cannot be tracked, and Microsoft requires Per Device CALs there. If the session host and the licence server run on separate computers in a workgroup, the session hosts also need stored credentials; see the setup guide.
The licence server works but issues no licences in a domain. Check RD Licensing Diagnoser first. Then check whether the server belongs to the Terminal Server License Servers group and add it if it is missing. Finally, open Event Viewer on the licence server and check the events under Applications and Services Logs > Microsoft > Windows > TerminalServices-Licensing > Operational.
Still stuck? Contact our support with your order number, the Windows Server version of the licence server and a screenshot of RD Licensing Manager.
