License Server
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A license server is a service, either running in the cloud, or within a company’s network, to which applications (sporadically) connect to in order to ensure license and entitlement compliance. Typically, the first transaction between a client application and the license server entails initial activation, while subsequent exchanges ensure up-to-date data.
In recent years, the terms license server and Licensing-as-a-Service (LaaS) are often used interchangeably.