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Is it legal to install Windows 7 Home Premium Retail inside VMWare virtual machine? I'm running linux, but need windows inside virtual machine. Is it legal to start this virtual machine from some other host?

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Yes I think but only on one VM (IANAL)

For details read the license to see what Microsoft will allow you to do with the software - This is the US one MS Terms of Use other countries might differ.

this includes

d. Use with Virtualization Technologies. Instead of using the software directly on the licensed computer, you may install and use the software within only one virtual (or otherwise emulated) hardware system on the licensed computer. When used in a virtualized environment, content protected by digital rights management technology, BitLocker or any full volume disk drive encryption technology may not be as secure as protected content not in a virtualized environment. You should comply with all domestic and international laws that apply to such protected content.

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Yes, but I'm concerned about this part: "you may install and use the software within only one virtual (or otherwise emulated) hardware system on the licensed computer." actually, "the licensed computer" is the problematic part. Does it mean that I'm not able to run my virtual machine on some other host? –  Aleksandar Vučetić Jan 13 '11 at 14:37
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@vucetica: I'm not a lawyer, but I would interpret the "install and use the software within only one virtual hardware system" to mean I can install it on multiple machines, but only use it on one of them at a time. –  martineau Jan 13 '11 at 16:09
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@vucetica - Yes. You can't run your VM on another host... As long as it is on the original host. You can CHANGE hosts however by erasing it off of one and moving it to another. –  Stanley Williams Jan 13 '11 at 16:50
    
re use of other machines and movement - read the whole document –  Mark Jan 13 '11 at 17:15
    
Thanks guys. It makes it clear now. –  Aleksandar Vučetić Jan 13 '11 at 17:28

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