What is a software license?

13 October 2021
2 minute read
Best practice

What is a software license?

13 October 2021
2 minute read

Whiteboard Wednesday Episode 26: What is a software license?

Welcome to Whiteboard Wednesday, this week, what is a software license?

 

https://www.youtube.com/watch?v=-SdQv7-6u3g


Please like, follow, subscribe to Whiteboard Wednesday updates, reach out on social media and say hello, and let me know what else you want explained on the whiteboard, and we’ll get it done!


If you’re just starting in IT asset management or you’re just beginning to learn about software licensing, this is where it all begins. What is a software license? A software license in layman’s terms is the right to use a piece of software. 

Explaining how software licensing works:

So when you buy a software license and there are lots of different types, I’m buying the right to use a piece of software, but under certain terms. The comparison here is like when you’re renting a hired car at the airport or for a holiday, you’re not owning the car, you’re just borrowing it, you’re buying the right to use that hired car within certain terms. You know, within the terms and conditions that you sign, you’re not allowed to take the car to a cross the country rally or spray paint it to your own colour or do Millennium Falcon mileage on it. You’re gonna have to look after that car within certain terms. The same is true of software, a software license is the right to use a piece of software within terms as defined by the publisher.

About Martin Thompson

Martin is the founder of ITAM Forum, a not-for-profit trade body for the advancement of IT Asset Management.

He is also the author of the book "Practical ITAM - The essential guide for IT Asset Managers", a book that describes how to get started and make a difference in the field of IT Asset Management. In addition, Martin developed the PITAM training course and certification.

Connect with Martin on LinkedIn.

Can’t find what you’re looking for?

  • news post 1 AI

    AI and ITAM: State of Play 2024 Research Report

    In 2024, the ITAM Forum and General Interfaces conducted a global survey (On behalf of the ITAM Forum’s AI+ITAM Working Group) targeting ITAM practitioners, executives, and stakeholders to explore the growing influence of AI on the ...
    Read More
  • news post 1 ITAM News & Analysis

    Will 'Sustainable IT' be Caught in the Crossfire?

    In the days immediately following his inauguration, President Trump and his team declared war on Diversity, Equity, and Inclusion (DEI) programs at the federal level. The impact has been felt far and wide. Many government contractors ...
    Read More
  • news post 1 AI

    Are we ready for outcome-based pricing?

    When I first joined the ITAM industry (which feels like a million years ago), the predominant licensing metric in the market was per device. So, if you have three devices, you need three licenses. Then, with ...
    Read More
  • news post 1 AI

    AI and ML: The Game Changers in ITAM for 2025

    IT Asset Management (ITAM) is experiencing a groundbreaking evolution, heavily influenced by the adoption of Artificial Intelligence (AI) and Machine Learning (ML). These cutting-edge technologies will revolutionise conventional ITAM methods while bringing both exciting possibilities and ...
    Read More