KB Article – Office 2016 Activation Error (Unlicensed Product)

Office 2016 Activation Error (Unlicensed Product)

Document ID: KB-OFF-016-ACT
Version: 1.0
Date: 27/08/2025
Author: Ante Crvelin
Audience: IT Infrastructure, Service Desk
Scope: Applies to Windows devices running Microsoft Office 2016 (Makita AU).

1. Overview & Purpose

When launching Outlook, Word, Excel, or any other Office 2016 app, the following errors may appear:

“Microsoft Office License is not activated and requires activation.”
“Unlicensed Product” is displayed across the program’s title bar.

This KB provides a resolution process to reactivate Office 2016 by removing invalid product keys and reinstalling the Office apps.

2. Prerequisites

Admin rights on the affected machine.
Internet connectivity.
Access to the user’s Office 365 credentials.

3. Procedure

Step 1 – Identify and remove the invalid product key

Open Command Prompt (Right click → Run as Administrator).
Run the following command:
```
cscript "%ProgramFiles(x86)%\Microsoft Office\Office16\ospp.vbs" /dstatus
```
This will display licence information, including the last 5 characters of the installed product key.
Remove the invalid key by running:
```
cscript "%ProgramFiles(x86)%\Microsoft Office\Office16\ospp.vbs" /unpkey:XXXX
```
Replace XXXX with the last 4–5 characters of the product key displayed in Step 2 (e.g. VMFTK).

Step 2 – Reinstall Office 365 Apps

Log in to Windows as an administrator.
Go to portal.office.com and sign in with the affected user’s credentials.
Download and install the latest Office 365 apps.
Once installed, open any Office app and log in under File → Account.

4. Validation / Testing

Launch Word/Excel/Outlook.
Confirm no activation messages appear.
Verify that 'Product Activated' is shown under File → Account.

5. Troubleshooting

If the issue persists:

Run the official Office Unlicensed Product Troubleshooter.
Ensure the device clock and date are correct (licensing validation can fail if incorrect).
Check that the user has a valid Microsoft 365 licence assigned in the admin portal.

6. Risks / Considerations

Removing a product key will fully deactivate Office until reinstallation is complete.
Ensure the user has a valid Microsoft 365 subscription before proceeding.