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The Proupdt utility (License Update on Windows) is primarily used to update the license counts and extend expiration dates on installed licenses.
The Proupdt utility can not be used to install other packages or components to an existing installation; nor does it allow replacing one license with another for the same product. Trying to do so will result in one of the errors:

INSTALLATION ERROR (133): Product not installed. Unable to update product
INSTALLATION ERROR (146): Serial number did not match

For the Proupdt utility to work, the new set of license keys (serial number and control codes) must have the same serial number as the old set. The control codes will be different.

If the serial numbers are different, the new license keys will be seen as an entirely new license and Proupdt will not work. This is common in case of upgrading to a new Progress release (9.1D to 9.1E for example), or when changing components (Upgrading Workgroup to Enterprise database).
In this case, the new license should be added to the existing installation using the Proinst utility (Unix) or Setup.exe (Windows) from the original media. Use the same installation directory as the existing license to add the new components. Also, re-apply the installed service packs after installing a new component to ensure no outdated files are re-installed.

In the case of WebSpeed Transaction Server, when you go from a 5 or 25 user count that is found on the basic server to a 50 or 250 user count there is a change in the product to the enterprise version. The only way to get this increase in the user count is to install the enterprise product as mention above, as a separate product being added to the existing installation, since it is considered a different product at installation time.

Starting from 10.1A onward:

In Release 10.1A, the License Update process has been modified to streamline the process of updating an existing product license. You can now enter a different, but valid serial number (and associated, new control numbers) to update an existing license file (progress.cfg). In prior releases, the update process would not accept different serial numbers; you had to uninstall an existing license and then install the newer product license.
This new update process can be used to update licenses obtained through either the product evaluation process or PSDN subscription renewal process by simply entering a new, different product serial number during the installation process to automatically update the current license data in the progress.cfg. Also, if want to update an evaluation license to a non-evaluation license, you no longer have to uninstall the evaluation license and then install the non-evaluation license; you can simply perform the procedure to update the License Update utility, entering your new valid serial and control codes.

Process for using proupdt utility:

On Windows, to start the License Update tool:

Within Windows, run the "License Update" option from within the Progress program group in the Start menu.

- OR-

From a cmd prompt run: %DLC%\bin\proenv.bat
run: %DLC%\SETUP.EXE -u
Follow the dialogue to enter serial number(s) and control code(s)

On UNIX, to run Proupdt:

1. cd $DLC
2. At the system prompt, type proupdt and press RETURN.
3. Enter your company name, existing serial number and control numbers when prompted. 3. Enter, Enter, CTRL-E to finish.

Unlike the install utility, this update tool can be run while the brokers and/or sessions for the component are running. However, the change in license will not take effect until the next restart.