Power BI Report Server and SPLA

Today, we are going to talk about recent changes to Power BI Report Server licensing, especially in relation to SPLA, and how it affects IT administrators and service providers managing reporting environments. Understanding these changes is crucial for compliance and cost-effective deployment.

For several years, the Microsoft Power BI Report Server (PBIRS) was not in scope for SPLA licensing. Service providers managing reporting environments had to rely strictly on end-customer licenses under applicable Outsourcing Software Management restrictions.

With the introduction of SQL Server 2025, where PBIRS replaces SQL Server Reporting Services (SSRS) as the default reporting solution, and recent changes to the SPUR, this is no longer the case. Time for an update.

Before SQL Server 2025, PBIRS was an additional standalone download with separate activation rules:

• Software Assurance Required: Activation required a special license key available only to customers with SQL Server Enterprise Edition Core licenses with valid SA.
• No Direct SPLA: PBIRS could not be licensed under SPLA directly. Hosting relied entirely on end-customer BYOL (EA+SA) on dedicated or shared infrastructure.
• Installation Restrictions: PBIRS could only run on the primary licensed server running the Power BI databases or allowed passive failover OSEs.
• Power BI Desktop: Report authors used Power BI Desktop to create Power BI reports locally before publishing. Organizations also created custom visuals using Power BI Desktop optimized for Report Server.

With the launch of SQL Server 2025, several structural changes took effect:

• SSRS Bundled Replacement: PBIRS became the default reporting solution bundled with all paid SQL Server licenses, replacing SSRS. No new standalone SSRS versions will be released.
• Simplified Activation: Microsoft removed the dedicated activation key. PBIRS now activates using standard SQL Server license keys across both Standard and Enterprise editions.
• No SA Needed: Software Assurance is no longer required for PBIRS. However, this is only true if the PBIRS is installed on the end customer's own infrastructure. When PBIRS is licensed using BYOL on the service provider's infrastructure, an active SA or a valid subscription license is always needed. 
• Initial SPLA Impact: The SPUR originally remained unchanged, meaning providers still relied on end-customer licensing—though customers could now also bring in SQL Software Subscription Licenses (CSP).
• Power BI Premium: The licensing model aligns with Power BI Premium, where premium capacity supports both cloud and on-premises deployments.
• Power BI Service: While PBIRS focuses on on-premises deployment, Power BI Service remains the cloud-based offering for interactive reports and dashboards.

On March 1st, 2026, Microsoft officially added Power BI Report Server to the list of SQL Server Additional Software in the SPUR.

This is a major update. Under the SPUR definition, Additional Software can be used on any device in conjunction with the server software.

What this means for SPLA: As long as the underlying SQL Server hosting the PBIRS configuration databases is licensed via SPLA, the Power BI Report Server software itself can be installed on any device without extra license fees or BYOL restrictions.

1. Microsoft Access Database Engine Included in Older Versions

Prior to the September 2026 release, the PBIRS setup automatically installed the Microsoft Access Database Engine redistributable.

Under SPLA, access to the Microsoft Access Database Engine isn't free—it requires appropriate Office licensing and a Remote Desktop Services (RDS) license for users who can access it. If you do not require Access or Excel data sources, make sure to uninstall the Microsoft Access Database Engine 2016 Redistributable or upgrade to a PBIRS version that excludes it.

2. Publishing vs. Viewing Power BI Reports

While users viewing or interacting with reports on PBIRS do not require a subscriber license, publishing reports requires a Power BI Pro (User SL) license.

Because Power BI Pro licenses cannot be obtained through SPLA, report authors must acquire them through another licensing channel (such as CSP or Volume Licensing with SA), typically using Power BI Desktop to create and publish reports.

1. Leverage Free Additional Software: Ensure backend PBIRS databases sit on an SPLA-licensed SQL Server to deploy PBIRS on any server at no additional cost.
2. Audit Engine Installers: Uninstall legacy Access Database Engine redistributables where not actively needed.
3. Cover Authors Outside SPLA: When publishing Power BI reports, verify that report publishers are assigned a Power BI Pro user SL, like a valid subscription license obtained via CSP or a license covered with active SA, especially when integrating with Power BI Service or Power BI Premium environments.