HELP!!! Server 2003 Issue Licenses

I keep getLicense usage for product Windows Server is nearing the maximum number of per server licenses purchased. Consult Licensing from the Administrative Tools folder for more information.

Product ID: 74995-066-9572363-42156
Installed licenses: 5
Maximum usage: 12
 
We have 23 pcs, how do  Ifigure out what licenses I need to purchase and could this explain why some users keep getting kicked out of applications?
sunsetdentalAsked:
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Lee W, MVPConnect With a Mentor Technology and Business Process AdvisorCommented:
ABSOLUTELY NO ANSWER PROVIDED HERE WILL BE CONSIDERED VALID IN AN AUDIT/LEGAL SITUATION.  I STRONGLY RECOMMEND YOU CONTACT MICROSOFT'S LICENSING AND PRE-SALES SUPPORT NUMBER FOR THE CORRECT ANSWER.

That said, you need to determnie how you are licensing.  Are you licensing by DEVICE or by USER.  The first 5 licenses that come with the product can be either (and this is a DOCUMENTED decision, not a setting in Windows.

Once you've decided how you are licensing, you need to buy the appropriate license.

If you selected by DEVICE, then each COMPUTER, PDA (that accesses the network), PHONE (that accesses things like Exchange e-mail), etc., needs a license.

If you selected by USER, then each NAMED user in Active Directory needs a license - The Administrator account doesn't, second accounts for you to be an admin and a standard user don't need one, but EACH NAMED user needs one.

GENERALLY, people license by users.  For example, in an office of 10 people where each person has a computer and perhaps 3 users have laptops, and another 5 have cell phones that retrieve e-mail, it's cheaper to buy a total of 10 CALs (Client Access Licenses) for 10 users, then to buy 18 - 10 for the PCs, 3 for the laptops, and 5 for the phones.

AGAIN, CALL MICROSOFT LICENSING AND PRE-SALES FOR SUPPORT TO BE CERTAIN!
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