Unpacking BYOL: Bring Your Own License

Did you know that BYOL stood for “Bring Your Own License?” It is a concept that is gaining popularity in the world of software asset management. 

What is BYOL?

Essentially, BYOL allows the use of existing software licenses for a product. That solution erases the need to buy new licenses for the same product.

But BYOL is not without its challenges. One of the biggest challenges is ensuring license compliance. Customers have more responsibility in this case. They must ensure they use the product according to the terms of their existing licenses. 

That can be challenging, as license terms can be complex and difficult to interpret. Also, customers must ensure they have the right to transfer their licenses. But before we dive too deep into BYOL, let’s first learn why tech execs love it so much.

Learn More: Bring Your Own License (BYOL) Rules on Third-Party Cloud Providers

Bring Your Own License (BYOL) Rules on Third-Party Cloud Providers

What are the benefits of BYOL?

Some of the key benefits of implementing BYOL with MetrixData 360 include the following:

Cost savings: 

BYOL can save organizations significant amounts of money. It lets them use their existing software licenses rather than purchasing new ones. With MetrixData 360’s expertise, companies can optimize BYOL strategy and maximize cost savings.

Improved software asset management: 

BYOL can be challenging to implement! But with MetrixData 360’s tools and expertise, organizations can gain greater visibility. Getting into their software licenses and ensuring compliance with licensing agreements is easier. That can result in improved software asset management and reduced risk of non-compliance.

Reduced risk: 

Non-compliance with software licensing agreements can result in expensive penalties – not to mention the profound damage to your company’s reputation! With BYOL, organizations can look like the top dogs of the industry.

BYOL has several benefits for both customers and software vendors. 

For customers:

BYOL can lead to significant cost savings. Customers can leverage their existing investments in software licenses to access new capabilities. They can also expand their use of a particular product. Plus, BYOL can simplify the procurement process. Customers do not need to negotiate new license agreements. They also can skip the process of purchasing new licenses.

For software vendors:

BYOL can increase customer satisfaction and loyalty. It narrows the divide between customers and personalized value. They access more from their existing investments in the vendor’s products. Did you know that BYOL can ease the adoption of a vendor’s products? It removes barriers for customers who might resist buying new licenses.

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What are the benefits of BYOL?

Metrix Data 360 Makes BYOL a Your Best Friend

BYOL can be an effective way for organizations to save on software licensing costs. But software licensing agreements and tracking license usage can be overwhelming! 

MetrixData 360’s software asset management solutions help organizations do the following:

  • Optimize their BYOL strategy
  • Maximize cost savings
  • Ensure compliance with licensing agreements. 

Contact us today to learn more about how we can help you with your BYOL strategy. MetrixData 360 is a leading provider of software asset management solutions, such as BYOL.

Bring Your Own License (BYOL) Rules on Third-Party Cloud Providers

Bring Your Own License (BYOL) Rules on Third Party Cloud Providers

Software licensing is ridiculously confusing, and its hyper complexity is not slowing down anytime soon. This confusion can easily lead to overspending, which equates to more money in the software vendor’s pockets, taken at the expense of your company’s software budget. how does overspending occur? One key reason behind our client’s overspending stems from the complexity of Bring Your Own License rules (BYOL) on their third-party cloud providers. 

At MetrixData360, we have helped hundreds of companies save millions of dollars, in this article, we will clear the waters by showing you the steps you can take to mitigate any potential areas of overspending in your software licensing environment.




Rule Change 

Microsoft changed its rules as of 1st October 2019 around how Microsoft products are licensed in 3rd party hosting scenarios.  These changes primarily impact AWS, Google, and Alibaba clouds (although others are affected).  The concept of Bring Your Own Licenses (BYOL) is influenced significantly by these changes.  Before these changes, as long as you had hardware dedicated to your use (i.e., were not using shared infrastructure), you could BYOL now.  With these changes, you may be required to purchase subscription licenses for these products through the hoster (e.g., Windows Servers, Office).  Specific versions may still be licensed via BYOL if licenses were acquired for those products before October 2019 or on a contract still active as of October 2019. 


To understand these rights, you must review the Microsoft Product Terms.  Below are the relevant sections: 



  1. Customers may use the server software on a Licensed Server, provided it acquires sufficient Server Licenses as described below. 


A Licensed Server is: 

A Licensed Server means a single Server, dedicated to the Customer’s use, to which a License is assigned.  Dedicated Servers that are under the management or control of an entity other than the Customer or one of its Affiliates are subject to the Outsourcing Software Management clause.  For purposes of this definition, a hardware partition or blade is considered to be a separate Server. 



The Outsourcing Software Management clause states: 

Customers may install and use licensed copies of the software on Servers and other devices that are under the day-to-day management and control of Authorized Outsourcers, provided all such Servers and other devices are and remain fully dedicated to Customer’s use.  The customer is responsible for all of the obligations under its volume licensing agreement regardless of the physical location of the hardware upon which the software is used.  Except as expressly permitted here or elsewhere in these Product Terms, the Customer is not permitted to install or use licensed copies of the software on Servers and other devices that are under the management or control of a third party. 


Authorized Outsourcer means any third-party service provider that is not a Listed Provider and is not using Listed Provider as a Data Center Provider as part of the outsourcing service. 


AWS is a Listed Provider.  Next, we need to determine if we have a right to utilize software at the Listed Providers through Microsoft License Mobility through Software Assurance right: 


License Mobility through Software Assurance 

Under License Mobility Through Software Assurance (SA), Customer may move its licensed software to shared servers under any of its Licenses which are designated as having License Mobility for which it has SA, subject to the requirements below.  Products used for Self-Hosting may be used at the same time under License Mobility through SA rights, subject to the limitations of the Self-Hosting License Terms.  


Permitted Use: 

With License Mobility through SA, Customer may: 

      • Run its licensed software on shared servers;  
      • Access that software under access licenses and for which it has SA, and under its User and Device SLs that permit access to the Products;  
      • Manage its OSEs that it uses on shared servers; and/or  
      • Manage its OSEs that it uses on its servers using software that it runs on shared servers. 



To use License Mobility through SA, the Customer must: 

      • Run its licensed software and manage its OSEs on shared servers under the terms of its volume licensing agreement;  
      • Deploy its Licenses only with Microsoft Azure Services or qualified License Mobility through Software Assurance Partner; and 
      • Complete and submit the License Mobility Validation form with each License Mobility through Software Assurance Partner who will run its licensed software on their shared servers. 


License Mobility allows for use on a shared server.  Products that have this right associated with them allow BYOL (as long as you have active Software Assurance).  Next, we need to see if a product has Server Mobility.  For Windows Server: 


4. Software Assurance 


Windows Server does not include License Mobility rights.  For Windows Server (or any product without License Mobility), this means BYOL is only available for versions that were released before October 2019 and for which licenses were acquired prior (or on active contracts as of October 2019) to October 2019 



Please refer to the current Product Terms to ensure this info is still accurate as Microsoft makes changes frequently to their licensing rules. 


Start Saving on Your Software Licensing

Being able to cut software licensing costs will mean money back into the IT department for smarter and more innovative investments. This can be done by tracking the life cycles of your assets through the successful deployment of an inventory tool (along with someone who can effectively read it), through having a clear understanding of usage during contract negotiations, carefully considering your migration to the Cloud, and by conducting internal audits to ensure compliance.

At Metrixdata360, we can help you cut down your costs to save you from unnecessary drains on your budget and potentially heavy audit penalties. Don’t put off saving money, get your free consultation today!