How to Manage VMware ESXi Licenses and Apply Keys Step by Step?

VMware ESXi licensing is key for unlocking advanced features and staying compliant. This article explains types of licenses, how to apply them, and ways to manage or troubleshoot issues. Read on to master ESXi license management.

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Updated by James Parker on 2025/09/05

Table of contents
  • What Is a VMware ESXi License?

  • Types of VMware ESXi Licenses

  • Why You Need a VMware ESXi License?

  • How to Apply a VMware ESXi License via vSphere Web Client?

  • How to Apply a VMware ESXi License via Command Line?

  • Managing VMware ESXi Licenses at Scale

  • How to Backup VMware ESXi Virtual Machines with Vinchin Backup & Recovery

  • FAQs About VMware ESXi Licenses

  • Conclusion

Licensing sits at the core of every VMware ESXi deployment. Whether you manage one host or hundreds in a cluster, understanding how VMware ESXi licenses work is essential for smooth operations. In this guide, we move step by step—from basics to advanced management—so you can master every aspect of vmware esxi license administration with confidence.

What Is a VMware ESXi License?

A VMware ESXi license is your legal right to use specific features on an ESXi host. Without it, your system runs in evaluation mode—a time-limited state that restricts access to many enterprise features after expiration. Think of your license as both a key and a contract: it unlocks capabilities like vMotion or High Availability while keeping you compliant with vendor terms.

Licenses come as alphanumeric keys issued by VMware or its partners when you purchase or subscribe to their products. You enter these keys into your environment to activate features according to your business needs.

Types of VMware ESXi Licenses

VMware offers several types of licenses tailored to different environments:

  • Per-core licenses require you to cover each physical CPU core in your server (with minimums per CPU).

  • Per-CPU licenses are based on processor sockets rather than cores.

  • Per-VM licenses tie entitlements directly to virtual machine counts.

  • Subscription-based models, such as vSphere+, provide cloud-managed features along with regular updates.

Each model controls which features are available—such as API access or storage integration—and how much hardware you can run under that entitlement. Always match your chosen model with both current hardware specs and future growth plans.

Recent changes from Broadcom have shifted some offerings toward subscription-only models; check official documentation before making purchasing decisions.

Why You Need a VMware ESXi License?

Why bother with licensing? Here’s why:

A valid vmware esxi license does more than keep you legal—it unlocks vital enterprise functions:

  • Access advanced features like vMotion, DRS (Distributed Resource Scheduler), High Availability (HA), Storage APIs for backup integration

  • Receive security patches, bug fixes, and technical support

  • Avoid operational disruptions when evaluation mode expires

  • Ensure compliance during audits

When the trial period ends without a valid license:

  • You cannot power on new VMs

  • Some configuration options become locked

  • Hosts disconnect from vCenter Server management

In short: Licensing keeps your infrastructure running smoothly while protecting against unexpected downtime or compliance risks.

How to Apply a VMware ESXi License via vSphere Web Client?

Most administrators use the web interface for licensing because it’s fast and visual—no command line needed! Here’s how:

First log in through your browser using the vSphere Client URL provided by your environment administrator. On the left pane select Hosts and Clusters, then click on the specific host needing activation.

Next go to the top menu tabs; choose Configure, then scroll down under the System section until you see Licensing listed among options like Hardware or Security Profile.

Click the blue button labeled Assign License near the top right corner of this screen—a dialog box appears asking for your key input field labeled “License Key.”

Type in—or paste—the full alphanumeric code exactly as provided by VMware sales/support portals; double-check there are no spaces before clicking OK!

Once accepted:

  • The assigned key displays below along with enabled feature list

  • Any errors prompt an immediate warning message so you can correct typos

To review active capabilities anytime later just revisit this same Licensing tab; look under “Licensed Features” for details about what’s unlocked versus restricted by current entitlement level.

How to Apply a VMware ESXi License via Command Line?

Prefer automation? Or maybe web access isn’t available due to network restrictions? No problem—you can assign vmware esxi license keys directly from shell sessions too!

Before starting:

1) Make sure SSH service is enabled on target host (Host > Configure > Services > TSM–SSH > Start) or open local console session.

2) Connect using any standard SSH client (like PuTTY) if remote—or log into DCUI locally if onsite.

3) Authenticate as root user or equivalent admin account credentials.

To view current installed key:

vim-cmd vimsvc/license --show

To set new key:

vim-cmd vimsvc/license --set <your-license-key>

Replace <your-license-key> with actual value received from vendor portal/email.

If successful:

  • Output confirms assignment (“License updated successfully”)

If rejected:

  • Error message appears (“Invalid license”); check formatting carefully

For broader scripting across multiple hosts consider also using esxcli software license commands—for example,

esxcli software license get
esxcli software license add --license=<your-license-key>

This method works well inside batch scripts managed through PowerCLI or Ansible playbooks.

Always verify final status by rerunning show/get commands above!

Managing VMware ESXi Licenses at Scale

As environments grow beyond one or two hosts manual entry becomes risky—mistakes happen easily! That’s why most enterprises rely on centralized tools like vCenter Server:

With vCenter Server:

1) Log into main dashboard via browser (vSphere Client)

2) Navigate left panel tree structure until reaching global “Administration” area

3) Click sub-menu called “Licensing”

4) Here all purchased entitlements display together—including usage stats per cluster/host group

You can assign/unassign blocks of capacity quickly across dozens—or hundreds—of servers without visiting each individually.

For even larger deployments consider automating assignments using PowerCLI scripts:

Connect-VIServer -Server <vcenter-server>
Get-VMHost | Set-VMHostLicense -LicenseKey <your-license-key>

This approach saves hours during hardware refresh cycles!

Best practice tip: Maintain an up-to-date inventory spreadsheet listing all deployed keys alongside their assigned hosts/clusters plus renewal dates—this helps avoid accidental lapses during audits.

How to Backup VMware ESXi Virtual Machines with Vinchin Backup & Recovery

Reliable backup is crucial once licensing is complete. Vinchin Backup & Recovery stands out as an enterprise-level virtual machine backup solution supporting over 15 mainstream virtualization platforms—including comprehensive support for VMware environments alongside Hyper-V, Proxmox VE, oVirt/OLVM/RHV family, XCP-ng/XenServer, OpenStack, ZStack, and more. This broad compatibility ensures seamless protection across diverse infrastructures found in modern data centers.

Vinchin Backup & Recovery delivers robust functionality tailored for demanding operations administrators. For example, it supports quiesced snapshot creation (for application-consistent backups), incremental backup (to minimize backup windows), LAN-free backup (to offload production networks), and instant recovery capabilities—all designed specifically for supported hypervisors like VMware. These advanced features combine with essentials such as deduplication and compression, granular restore options, V2V migration flexibility, GFS retention policy enforcement, and strong encryption—offering reliable performance while optimizing storage usage and simplifying disaster recovery workflows.

The intuitive Vinchin Backup & Recovery web console streamlines VM protection into four straightforward steps:

Step 1. Select Backup Source

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Step 2. Select Backup Destination

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Step 3. Select Backup Strategies

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Step 4. Review and submit the job

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Recognized globally by thousands of organizations—with high customer satisfaction ratings—Vinchin Backup & Recovery offers a fully-featured 60-day free trial so you can evaluate its enterprise-grade data protection firsthand. Try it now by clicking below!

FAQs About VMware ESXi Licenses

Q1: Can I transfer my vmware esxi license from one host to another?

A1: Yes—but make sure new hardware matches original requirements; always remove/deactivate old assignment first before reusing same key elsewhere.

Q2: Is there still a free edition available after recent Broadcom changes?

A2: As of early 2024 Broadcom discontinued standalone free hypervisor downloads; check official site regularly since policies may change again soon!

Q3: What should I do if my vmware esxi license shows "expired" but was recently renewed?

A3: Re-enter latest renewal code via Assign License button—or CLI set command—to refresh activation status instantly across affected hosts.

Conclusion

Properly managing vmware esxi licenses ensures stable operations while unlocking critical virtualization features needed daily by IT teams everywhere. Applying them takes just minutes whether through GUI or shell—and reliable backups from solutions like Vinchin complete any robust infrastructure plan today!

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