I met with a prospective client today over video chat (wanted to reduce physical exposure for everyone until we're in a place where onsite visit is necessary) and she walked me through her current setup and what she'd like to do. One thing stood out for me as potentially problematic so wanted to check here to see if someone could point me in the right direction.
Her current IT admin (still employed there...for now) has setup a Windows 2016 server with Hyper-V role. He's the used Disk2VHD to create a disk image of each of their business' 8 PCs and loaded them up on the Windows server to run as virtual desktop. He then uninstalled all of the business software from each of their desktops so they are now essentially running their entire business via those virtual Win10 machines. Each physical desktop is now essentially a client for accessing the users' virtual PCs. Nothing is running on their physical PCs except Windows 10 Pro. All their software is running on their virtual desktops.
I'm pretty sure that's problematic in that they are in breach of MS licensing terms (I think). There are no CALs. They simply use the Remote Desktop client on their physical desktops to access their virtual PCs and it is a 1:1 setup with everyone having their own virtual Win10 PC. There is no AD of any kind.
If I understand the licensing correctly, in this setup, they would require Windows Software Assurance, Windows VDA subscription, or Windows E3/E5 licenses, do I have that right? They would also require CALs for the appropriate # of users, correct?