We have 2 2003 Terminal Servers in a 2003 domain. They were previously load balanced in basic round robin fashion, the load balancing connection name was term. The servers themselves are term3 and term4. The load balancing has since been eliminated. They were both licensing servers. The licensing has now been removed from term3. We have new 2008 licenses that should be backwards compatible for these terminal servers, they are on a 2008 R2 server that has been activated as a licensing server. We are trying to get term3 to use the new licensing server. We have set in group policy under computer/policy/administrative/Windows Components/Remote Desktop Services/Remote Desktop Session Host/Licensing and defined the new server and the licensing type. The group policy is being returned as being applied from gpresult. However when opening Terminal Server Configuration on the terminal server everything is greyed out, Automatic is selected and “In Enterprise Role” lists term, term3 and term4. We have tried to define the new licensing server explicitly through registry keys found in this article: X, but all that does is move the bubble from Automatic to “Use these license servers” but that field is still blank. Where is it pulling term, term3 and term4 from? Term, term3 and term4 are members of no groups in the active directory. What are we missing/doing wrong?