The framework for legally deploying and using Microsoft Exchange Server or Exchange Online, based on server and client access models.
@Narayan Das Kohli Here's some answers for you. Hope they help!
When you install Exchange Server SE, you need a server license with Software Assurance per-server, and a CAL with Software Assurance for every user and device that accesses your servers. If your existing licenses have Software Assurance, then you are covered. Just maintain your Software Assurance agreement, and you satisfy the license and subscription requirements.
You can also use cloud subscription licenses instead of CALs, and as long as you maintain your cloud subscription, you satisfy the license and subscription requirements.
Exchange Server SE works the same way as previous versions. You enter a product key which determines if the server is Standard Edition or Enterprise Edition. There is no activation. No phoning home. No cloud connectivity required. Exchange Server SE is on the honor system w.r.t. that as it has always been.
To ensure a smooth in-place upgrade, Exchange Server SE RTM will continue to use the Exchange Server 2019 product keys. You won't need to obtain or enter new product keys until at least CU1, which will be out some time next year.
The only change that is actually happening is that a subscription is now required. Microsoft no longer allows customers to buy Exchange Server licenses without Software Assurance, which you required to maintain as your subscription. That's it. The only change. Everything else is the same.