activating Volume license for windows 2003 already installed on another physical machine

I have a few OEM windows 2003 servers which I plan to convert to VMs. Before that I want to test not to get frustrated while going through the process.

I have one volume license of windows 2003 which is already installed on one of servers in production.  If I install another windows 2003 using the same product key on another machine as virtual machine and activate it, will it break the first server and makes deactivated automatically? Or is it just paper term we agree?
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crcsupportAsked:
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MaheshConnect With a Mentor ArchitectCommented:
No, it will not break anything.

Your volume licensing pack contains how many servers licenses?

If this is multi server license (that's why it called as volume license), then you can use any licenses remaining

If this is the only single server license already consumed, the you will probably get error while activating new server online.

But if you format the original server and reinstalled same OS on that, you can reactivate it with same key without any issue.

Mahesh
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Matthew KellyConnect With a Mentor Commented:
I assume you are just worried about the time frame between installing on the new device and uninstalling from the old... however, regardless of that time lag, your new machine won't be licensed at all: "Under Microsoft Volume Licensing programs, operating system licenses are tied to the device to which they are first assigned. If a customer acquires a current Windows desktop PC operating system upgrade license through Microsoft Volume Licensing programs and assigns that license to and installs the desktop PC operating system upgrade on a device, the license is then tied to that device. The customer cannot reassign the license to another device, regardless of whether or not the desktop PC operating system software is removed from the original device. "

http://www.microsoft.com/licensing/about-licensing/briefs/os-license-requirements.aspx
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Andrew Hancock (VMware vExpert / EE MVE^2)Connect With a Mentor VMware and Virtualization ConsultantCommented:
If you have volume its a paper exercise will not break activation

Just check you do not exceed your volume License count.

If you have OEM Windows 2003 version it may not accept your VLK product key!
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crcsupportAuthor Commented:
Yes, it is just interim matter when I convert servers and testing.
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