RDS licenses

How To Expand RDS Licenses On Windows Server?

published on: 03.02.2024 last updated on: 06.02.2026

Scalability is a concept for project growth not only in terms of hardware resources (CPU cores, Random Access Memory, and storage space) but also when it comes to software.

Whenever you have to deal with Windows VPS Bitcoin, at some point, you will face the necessity to expand the RDS licenses on the Windows server. This should be done to increase the capacity of the server to allow more concurrent remote connections. 

Today, we want to provide you with a brief guide on how to do it so that whenever you face such a necessity, you will not have any trouble setting up the desired configuration. Without further ado, let us dive in!

What Are RDS Licenses?

RDS licensing is not optional once you exceed the two built-in administrative sessions. Microsoft enforces licensing through a dedicated role called the Remote Desktop Licensing Server, which tracks and issues RDS Client Access Licenses (RDS CALs).

Core RDS Licensing Components

ComponentPurpose
RD Session Host (RDSH)Hosts user sessions or RemoteApps
RD Licensing ServerIssues and tracks RDS CALs
RDS CALsLegal permission for users/devices
Microsoft ClearinghouseCentral Microsoft licensing authority

Each RDS Session Host must be able to locate a license server, or users may experience temporary access followed by lockouts after the grace period ends.

RDS CALs refer to Remote Desktop Services Client Access Licenses. They are required for each user or device that connects to the Remote Desktop Services on a Windows Server and are purchased from Microsoft.

Expanding them means acquiring more licenses so more users and/or devices can establish a concurrent connection to the server. It is needed in case the current number of RDS CALs is insufficient, considering the increased demand for remote connections.

The last but not least concept you’ll come across is the licensing server. The licensing server is responsible for the management and distribution of RDS CALs. It keeps track of how many RDS CALS are currently used and makes sure that they comply with licensing agreements.

Types of RDS CALs Explained (With Use-Case Clarity)

Types of RDS CALs Explained (With Use-Case Clarity)

There are two different types of RDS CALs that are explained here for you to check out. 

1. Per User RDS CAL

  • Assigned to a named user
  • User can access RDS from unlimited devices
  • Ideal for:
    • Hybrid workforces
    • BYOD environments
    • Executives and mobile staff

Note: Per User CALs are not technically enforced, meaning Microsoft expects you to self-audit and remain compliant.

2. Per Device RDS CAL

  • Assigned to a physical or virtual device
  • Any user on that device can access RDS
  • Ideal for:
    • Call centers
    • Factory floors
    • Schools
    • Kiosk environments
  • Fully tracked and enforced by the licensing server

Signs You Need to Expand RDS Licenses

You should expand your RDS CAL pool if:

  • Users receive licensing warnings in Event Viewer
  • You’re onboarding new employees or contractors
  • You’re deploying additional Session Hosts
  • You’re migrating workloads to RDS
  • You’re upgrading Windows Server versions
  • Your license server reports exhaustion or near exhaustion

Failing to expand licenses can result in:

  • Session denial
  • Temporary license expiration
  • Audit risk
  • Legal exposure

Pre-Expansion Checklist (Critical Step)

Before expanding RDS licenses, verify:

  • RD Licensing role is installed
  • The license server is activated
  • Correct licensing mode is set (Per User or Per Device)
  • Session Hosts can reach the licensing server
  • Time synchronization (Kerberos dependency)
  • Firewall ports are open (TCP 135, dynamic RPC)

Expanding RDS CALs: Step-By-Step Process

Expanding RDS CALs: Step-By-Step Process

There are the steps that you need to undertake to increase the number of RDS CALs. Therefore, you must expand the RDS CALs by following this Step-By-Step Process:

  1. Acquire additional CALs: By additional calls from a Microsoft licensing provider. There is an extensive network of authorized Microsoft partners that deal with selling RDS CALs. Find a provider whose offers seem most attractive to you, make sure it’s an authorized distributor, and purchase the appropriate number of CALs according to your needs.
  2. Install RDS licensing role: Install the newly purchased role on the appropriate server by opening the server manager and following the instructions provided.
  3. Access Remote Desktop Licensing Manager: Now go to the Remote Desktop Licensing Manager by navigating to “Administrative Tools” > “Remote Desktop Services” > “Remote Desktop Licensing Manager.”
  4. Connect to the License Server: In the Remote Desktop Licensing Manager you’ve just opened, right on the root node and choose “Connect.” After connecting to the License Server, you’ll be able to add additional CALs.
  5. Install the CALs: After successfully connecting to the license server, right-click on the server name and choose “Install Licenses.” In the wizard, you’ll come across the license information (produce key) at some point where you will be able to interact with the CALs you’ve purchased.
  6. Complete the wizard: Go on with the installation. Make sure to carefully enter the correct information from the CALs you’ve newly acquired.
  7. Review the license usage: Now that you’ve installed the license, you can use the Remote Desktop Licensing Manager to monitor whether the CALs are used and whether the current number of CALs is sufficient.
  8. Check Remote Desktop Session Host Configuration: Go to “Administrative Tools” and open “Remote Desktop Session Host Configuration.” Make sure that the configuration of the licensing mode is correct. The latter has to correspond to the type of CALS that is installed (Per user or Per device).
  9. Verify licensing compliance: From time to time, you’ll have to verify that your licensing is compliant with the number of users or devices connecting to your Remote Desktop Services.
  10. Restart service if the necessity arises: From time to time, there may arise a necessity to restart your services for changes to come into force. 

How To Migrate RDS CALs?

After you finish identifying the RDS connection method (preferably the automatic connection method), you must complete the RDS migration process. Therefore, follow these steps to complete the migration of your RDS licenses:

  1. First, go to the Remote Desktop Licensing Manager and right-click on its origin server.
  2. Next, click on the Migrate RDS CALs from another license server to this license option. Moreover, you need to check one of these options:
  • This license server is replacing the source license server – Choose this option if you see a prompt asking for your source server’s IP address. However, if no server is available in your network, you must confirm your operating system info and your license server ID from the source server.
  • The source license server is no longer functioning – If you choose this option, then it’s mandatory for you to specify your Operating System info and your license server ID from the source server.
  1. After you choose one of the two options above, the Obtain License Key Pack page will automatically open up.
  2. Next, open the License Program Page.
  3. Here, fill out the form you see, where you must give details like your license code, license code, and your agreement number.
  4. Then, follow the Wizard to connect your server automatically to Microsoft Clearinghouse.

How To Reset RDS Licensing Grace Period?

How To Reset RDS Licensing Grace Period

As you know already, there is a 120-day licensing grace period, which starts after you install your RDS licenses. However, do you know that you can increase this grace period?

Therefore, if you wish to reset your 120-day RDS licensing period, follow the steps below:

  1. First, launch the Registry Editor (Regedit) from the RDS session host.
  2. Now, on the Registry page, browse to this file – HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\TerminalServer\RCM\GracePeriod.
  3. Inside the registry key, you will find a REG_BINARY entry, which has the name – L$RTMTIMEBOMB. Click on it.
  4. Now, right-click on the GracePeriod option on the left panel of the Regedit screen.
  5. Next, select Permissions.
  6. On the Permissions window, select the Administrators option.
  7. Next, select Full Control under the Permissions section. Follow it by clicking on OK.
  8. Then, right-click on the L$RTMTIMEBOMB entry and delete it.
  9. Now, exit Regedit.
  10. Finally, reboot the RD session host server so that the registry changes can be finalized and start taking effect.

FAQs

Here are a few questions and queries that others have asked on the topic RDS licenses that might be helpful for you at the same time.   

1. Can I expand RDS licenses without downtime?

Yes. RDS CAL expansion is hot-applied. Existing sessions are unaffected, and new sessions can immediately consume new licenses.

2. What happens if I exceed my RDS CAL count?

• Per Device: new sessions are denied
• Per User: technically allowed, but a license violation occurs

3. Is there a grace period after expanding infrastructure?

Yes. Newly installed RDS environments typically get a 120-day grace period, but once expired, licenses must be installed or access is blocked.

4. Can I mix Per User and Per Device CALs?

Yes, but not on the same Session Host at the same time. Each host must be configured for a single licensing mode.

5. How do I audit RDS CAL usage?

• Licensing Manager console
• Event Viewer
• Third-party SAM tools
Manual Active Directory review

6. Can I move RDS CALs to a new server?

Yes, using the RDS CAL Migration Wizard, provided:
• Same organization
• Proper authorization
• CALs migrated as a full pack

7. Are RDS CALs required for Azure or cloud environments?

Yes, unless you’re using:
• Azure Virtual Desktop (AVD)
• SPLA or CSP-based hosting

8. Is RDS licensing enforced per session or per user?

It’s enforced per CAL type, not per session. One CAL covers unlimited sessions for that user/device.

Conclusion

RDS licenses are a necessary element of building a network of devices interconnected via the RDS protocol.

We hope that this guide has covered all the necessary elements of RDS CALs installation so you have a good idea of how to scale up this software side of your Windows Server hosting. Thank you for your attention, and good luck in your ventures!

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Nabamita Sinha loves to write about lifestyle and pop-culture. In her free time, she loves to watch movies and TV series and experiment with food. Her favorite niche topics are fashion, lifestyle, travel, and gossip content. Her style of writing is creative and quirky.

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