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A Windows Server 2016 RDS CAL (Remote Desktop Services Client Access License) is a licensing add-on required whenever users or devices connect to a Windows Server 2016 machine through Remote Desktop Services for full desktop or application sessions. This license is separate from, and required in addition to, the standard Windows Server CAL that covers general access to server resources like file storage and printing.
Without RDS access properly licensed, a server can typically support up to two simultaneous remote connections in administrative mode, but any broader Remote Desktop Services deployment requires proper RDS CAL licensing for every connecting user or device. If RDS CALs aren't in place, Remote Desktop Services runs on a temporary grace period, after which users are locked out with license server errors.
RDS CALs come in two licensing modes, and choosing the right one depends on your environment. A Per User RDS CAL is assigned to a named individual and allows that person to connect from any number of devices, making it ideal for remote workers or staff who use multiple devices. A Per Device RDS CAL is tied to a specific piece of hardware and allows any number of users to log in from that device, which works well when several employees share a smaller pool of machines, such as shift workstations. In workgroup environments without a domain, only Device CALs are permitted; domain environments can mix both types if needed.
This license type applies to Windows Server 2016 Standard and Datacenter editions, and it's also required if RDS is enabled on the Essentials edition, since standard per-server Essentials licensing does not cover Remote Desktop Services access. This license type is essential for IT administrators managing terminal server deployments, remote access solutions, or virtual desktop infrastructure built on Windows Server 2016. Since RDS CALs are not concurrent-use licenses, organizations need one license for every unique user or device that will ever connect, not just the peak number connected simultaneously.
Activation and tracking are managed through the Remote Desktop Licensing Manager tool, which issues and monitors CALs against a licensing server tied to the Windows Server 2016 deployment.
Required for RDS deployments – Enables full Remote Desktop Services sessions beyond the basic 2-user administrative limit.
Per User or Per Device modes – Choose the licensing model that best fits your organization's user and device ratio.
Matches server version – Must correspond to Windows Server 2016 to remain compliant with Microsoft licensing terms.
Supports remote and hybrid work – User CALs let employees connect securely from laptops, tablets, or home PCs.
Efficient for shared workstations – Device CALs suit environments where multiple staff share fewer physical machines.
Tracked via Licensing Manager – Remote Desktop Licensing Manager tool monitors and reports CAL usage.
Works alongside standard CALs – Required in addition to the base Windows Server CAL, not as a replacement.
One-time license model – Typically sold as a perpetual license rather than a recurring subscription.
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