Software shopping comes with words nobody explains. A "key", a "licence", "activation", "digital entitlement". Here is the quick guide, so you know exactly what you are paying for.
Product key
A 25-character code (like XXXXX-XXXXX-XXXXX-XXXXX-XXXXX) that proves you bought a licence. You type it into Windows or Office during setup.
Licence
The legal right to use the software. The key is the proof, the licence is the permission. Terms say how many PCs, for what use (home or business), and whether you can transfer it.
Activation
The step where the software checks your key with the publisher's server and unlocks full features. Done online, or by phone when the server asks for it.
Digital licence (digital entitlement)
For Windows 10 and 11. After you activate once, the licence is recorded against your hardware or Microsoft account. Reinstalling Windows on the same PC reactivates automatically, without typing the key.
Retail, OEM, volume
- Retail: bought directly; can move between PCs.
- OEM: tied to the first PC it's installed on.
- Volume: for organisations with many PCs.
Details: OEM vs Retail vs Volume keys.
Perpetual vs subscription
A perpetual (lifetime) licence is paid once and works forever for that version. A subscription (Microsoft 365, Adobe, antivirus) is paid yearly and stops when you stop paying. Neither is "better". It depends on whether you need the newest features and cloud storage.
Examples from our store
One-time (lifetime) licences:
Windows 11 Proโน225.00Subscription-style (renews yearly):
Microsoft 365 Apps โ 5 Devicesโน699.00Frequently asked questions
Is a lifetime licence really forever?
The licence doesn't expire. The publisher stops giving security updates after the support end date.
Why is activation needed?
It stops one key being used on unlimited PCs and confirms your copy is genuine.
What is the safest way to buy a key?
Buy from a seller with a real business name, invoices, replacement policy and official download links. See our honest guide on cheap keys.