A Product Key, also referred to as a CD key, is a specific software-based key for a certain program or computer game. It’s used to identify that the copy of the program or game is original. Activation can be done offline by entering the key. With software like Windows XP, online activation is required so multiple people don’t use the same key.

Computer games use product keys to verify that the game hasn’t been illegally copied. Product keys consist of a series of numbers and/or letters. This sequence is typically entered by the user during the installation of computer software, and then passed to a verification function in the program. Most keys are not effective in stopping copyright infringement of the software, since these keys can be easily distributed.

Because of this, software publishers are increasingly turning to active methods of verifying that keys are both valid and uncompromised. These "active methods" usually involve requiring periodical validation of the CD key with an internet server. The validation can then be performed on the server side, which prevents tampering. The server can also keep a blacklist of all CD keys that are invalid or which have explicitly been banned, and deny them access.

Product keys are inconvenient for end users. Not only do they need to be entered whenever a program is installed, but the user must also be sure not to lose them. Loss of a product key usually means the software is useless once uninstalled. Product keys also present issues with distribution. If a product is shipped with missing or invalid keys, then the CD itself is useless. There are many cases of permanent bans enforced by companies detecting usage violations. Players who wish to continue use of the software must repurchase it. One of the most common problems with companies using the product key method is that keys can be misplaced or lost by the user.

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