# What do the different license types mean?

Licenses can be bound to a component in several different ways. The possible binding methods depend on the licensed component and the software version.

Table 1. License binding methods
License binding | Description
--- | ---
IP address binding | The license is statically bound to the IP address of the licensed component. Note: Only licenses for SMC servers can be bound to an IP address. Existing IP-address-bound licenses for other components continue to work and can be upgraded. Any new licenses for other components must be bound to the Management Server’s proof-of-license (POL) code.
UIID binding | The license is statically bound to the unique installation identifier (UIID) for the SMC. The UIID is automatically generated when you install the SMC. The UIID is also shown in the properties of the Management Server, Log Server, or Web Portal Server elements. Note: Only licenses for SMC servers can be bound to the UIID for the SMC.
Management Server proof-of-license (POL) code binding | Licenses are dynamically bound to the Management Server’s proof-of-license (POL) code. You must manually bind Management Server POL-bound licenses to the correct element. Licenses are valid only for components that are managed by the Management Server that has the same POL code.
Appliance proof-of-serial (POS) code binding | The license is bound to the unique POS code of a pre-installed Forcepoint NGFW appliance. The appliance identifies itself when contacting the Management Server. The Management Server allows the use of the appliance if the license POS code matches the reported code. The Management Server automatically binds the correct license to the NGFW Engine element based on the POS code. For the Management Server and pre-installed appliances, the Management Server can use this licensing method automatically with new appliances.

The license types that are available depend on the SMC server or type of NGFW Engine.

License binding | Description
--- | ---
Management Servers | A static IP-address-bound license or a static UIID-bound license.
Log Servers | A static IP-address-bound license, a static UIID-bound license, or a dynamic license bound to the Management Server’s POL code
Web Portal Servers
Pre-installed Forcepoint NGFW appliances | A license bound to the POS code of the appliance (all current models) or a dynamic license bound to the Management Server’s POL code (older models)
NGFW Engines installed on your own hardware | Always a dynamic license bound to the Management Server’s POL code
NGFW Engines installed on a virtualization platform | Always a dynamic license bound to the Management Server’s POL code
Feature-specific licenses | A dynamic license bound to the Management Server’s POL code or a license bound to the POS code of the appliance depending on the feature