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OnLive Backs Down, Changes Windows Desktop-As-A-Service

By Kevin McLaughlin
April 09, 2012    7:47 PM ET

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OnLive, a cloud service provider that Microsoft claims is violating its software licensing terms, has apparently changed the way it delivers its Windows desktop-as-a-service to avoid incurring the wrath of the software giant's legal department.

Over the weekend, eagle-eyed posters to the enthusiast forum OnLivefans.com noticed that OnLive is now using Windows Server 2008 in OnLive Desktop, a hosted service that gives iPad and Android device users access to a complete Windows environment with Office apps.

OnLive had been delivering OnLive Desktop via Windows 7 since launching the service in January, but Microsoft said last month that this constituted a breach of its desktop virtualization licensing rules, and that it was in talks with OnLive to address the issue.

By hosting OnLive Desktop under Microsoft's Service Provider License Agreement (SPLA) using Windows Server and Remote Desktop Services, OnLive is now following one of the two Microsoft-sanctioned paths for partners who wish to offer desktop-as-a-service.

While OnLive has not publicly announced the switch to Windows Server, the company last week informed Microsoft that it had made the change, a Microsoft spokesperson told CRN. OnLive made the change on its own and not as a result of legal pressure from Microsoft, the spokesperson added.

"We’re pleased to have been told that the OnLive Desktop application is now accessing our software by hosting it on Windows Server, an important step in delivering any Microsoft-licensed desktop-like service to the public," the Microsoft spokesperson said in an email.

However, in the interest of fairness to other hosting partners, Microsoft still needs to verify that the technical changes OnLive has made are sufficient, the spokesperson said.

"Based on this information, we will work with OnLive to take a closer look at its service and ensure it is operating according to its license like thousands of other partners and utilizing our standing pricing and licensing terms," said the Microsoft spokesperson.

Next: How Partners View Microsoft Licensing Terms

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