Autodesk Indirect Usage & Subsidiary Risks
Introduction – Why Indirect Usage is an Audit Trap
Autodesk software audits often uncover compliance risks that fall outside the core IT team’s visibility. One major Autodesk audit trigger is “indirect usage” – situations where Autodesk tools are used by people or in places not originally accounted for by the main license holder.
Subsidiaries, contractors, or remote offices may be running Autodesk products without proper entitlements, creating hidden exposure. Read our Autodesk Software Audits: The Definitive 2025 Guide.
These scenarios frequently lead to large unbudgeted penalties, as companies only discover them when Autodesk’s auditors come calling. The audit becomes a costly wake-up call that indirect or off-the-radar usage is treated just as seriously as direct installations.
The trap for CIOs and IT asset managers is that indirect usage can slip through normal oversight. A subsidiary might assume the parent company’s licenses cover them, or an engineering contractor might use Autodesk software with a shared login.
From Autodesk’s perspective, each of these instances is a potential compliance gap.
The result is that many organizations get caught off guard, facing steep true-up costs or even claims of copyright infringement for usage they never realized was out of bounds. In short, what you don’t know about your Autodesk deployments can absolutely hurt you.
Indirect Usage Defined
Indirect usage refers to any scenario where Autodesk software is accessed or its output is utilized by individuals or processes that don’t have a direct license assignment. In other words, it’s usage “one step removed” from the typical licensed user launching the application on their workstation.
Autodesk’s compliance teams take an expansive view of this. They consider that even if someone isn’t directly logged into an Autodesk program, they might still be using Autodesk technology or files in a way that requires a license.
This concept parallels SAP’s infamous indirect access problem – where even viewing or triggering SAP data through third-party systems incurred license fees. Autodesk applies a similar logic: each unlicensed touchpoint with its software can be deemed a violation.
Examples of indirect usage scenarios include:
- Accessing Autodesk design files through an integrated third-party system without an Autodesk license (for instance, a project management platform that lets users view or markup AutoCAD drawings).
- Multiple team members sharing a single Autodesk user account or login to work on projects, effectively giving “extra” people access under one license.
- Automated scripts, plug-ins, or batch processes that invoke Autodesk software in the background (e.g. a custom tool that uses AutoCAD’s engine to render files) without a named user initiating each instance.
In all these cases, Autodesk sees an unentitled user or process benefiting from their software.
The vendor’s stance is clear: if Autodesk technology is being used, every person or system doing so needs to be properly licensed.
This is why indirect usage is such a high-risk audit item. It’s easy for companies to overlook these subtle uses, but Autodesk treats them as compliance gaps and will flag them in an audit. License managers should treat indirect usage as seriously as direct usage, because Autodesk certainly will.
Subsidiary & Global Entity Risks
A common blind spot in Autodesk license compliance is the usage of software by subsidiaries or affiliates of the main company. Often, a parent company will purchase a set of Autodesk subscriptions and assume they cover the whole organization, including all global offices.
In reality, unless your Autodesk contract explicitly allows affiliate use, each legal entity is expected to have its own entitlements.
From Autodesk’s viewpoint, a subsidiary is essentially a separate customer. If that subsidiary installs or uses Autodesk software without being named on the license agreement, Autodesk considers it unlicensed usage by a separate entity.
This is a classic Autodesk subsidiary license compliance pitfall that auditors love to uncover.
Multi-country operations amplify this risk. For example, your headquarters might be fully licensed, but a satellite design center overseas might deploy Autodesk tools under the radar. These installations can be overlooked in internal audits, especially if procurement and IT asset management are decentralized.
However, Autodesk’s auditors will check license assignments across all parts of the company, not just at HQ. They may request information on software deployments per legal entity, or use data from Autodesk’s cloud accounts to see which company name is associated with each license or user login.
If they find Autodesk software deployed at a subsidiary withouta proper license assignment, they will flag it as non-compliant. The parent company can’t simply claim “we have spare licenses at HQ” if those licenses are not contractually extended to the subsidiary’s use.
To illustrate, consider these common subsidiary risk scenarios and how Autodesk views them:
Scenario | Autodesk View (License Terms) | Audit Exposure |
---|---|---|
Subsidiary using parent’s licenses | Not permitted unless contract explicitly allows affiliate use. | All subsidiary installations deemed unlicensed – full relicensing for that subsidiary may be required (backdated subscriptions or penalties). |
Global offices sharing a single license login (named-user shared across entities) | Breach of Autodesk’s named-user model – one user license being used by multiple people. | Each actual user counted as needing their own license – results in multiple license gaps and associated fees for each unlicensed user. |
In the first scenario, if Subsidiary X is found running Autodesk software but the licenses are all purchased under Parent Company Y (with no contract language covering X),
Autodesk will likely demand that Subsidiary X purchase its own set of licenses to cover all usage (often immediately and backdated to first use). In the second scenario, if auditors detect that five designers across different global offices all used a single “shared” Autodesk ID, they will interpret it as four additional unlicensed users.
The company would then be pressured to buy four more subscriptions (and possibly pay retroactive costs for the period of unlicensed use). In both cases, what seemed like efficient sharing within a corporate family becomes an expensive compliance issue.
The key lesson is that Autodesk licenses are generally not shareable across separate entities or multiple individuals – doing so invites an audit nightmare.
Contractors & Third-Party Risks
Third-party usage of Autodesk software – especially by independent contractors or external partners – is another minefield of compliance risk. Many firms leverage contractors for CAD work or engineering projects, and it’s common to either provide them access to company-owned software or to allow them to use their own copy.
Both approaches carry pitfalls if not managed carefully. One of the significant Autodesk contractor licensing risks is assuming contractors are covered under a standard license. Unless your Autodesk agreement explicitly allows use by non-employees, giving a contractor access to your Autodesk tools can violate the license terms.
Consider a scenario where a contract engineer installs Autodesk Revit on their personal laptop using your company’s serial number or subscription login. From Autodesk’s perspective, that contractor is not your employee and is not “personal personnel” covered by the license (except in very limited cases).
Most Autodesk EULAs specify that only the licensee’s employees (and sometimes on-site contractors using company-owned machines) can use the software. So, a contractor using a company license at home or on their own device would be unlicensed usage, even if you provided the credentials.
Auditors will flag each such contractor as an unlicensed user and typically demand that separate subscriptions be purchased to legitimize that usage.
In effect, Autodesk expects each contractor to have their own license (either provided by you under an expanded agreement or by the contractor itself), rather than piggybacking on an internal license.
Another risk scenario is when a contractor claims to use their own Autodesk license for company work. This sounds like a good deal for the company, but you must verify the legitimacy of that license. Is it a commercial license, or could it be a student or “home use” license?
If a contractor is doing billable work for you using an educational or non-commercial Autodesk license, your project is inadvertently relying on unlicensed software.
Autodesk audits have uncovered cases where companies unknowingly accepted work done with illegal or improper licenses – and the company hiring the contractor can still get entangled in the compliance dispute.
Bottom line: always vet your contractors’ Autodesk licensing. If they use their license on your premises, ensure it’s a valid commercial license. If they need to use your software, ideally have them do so on a company-issued machine or via remote access that you control, consistent with Autodesk’s terms that allow on-premise contractor use.
In summary, never assume contractors or third parties are covered by default. Autodesk sees them as separate users. To stay compliant, you should either incorporate contractors into your license agreement (with Autodesk’s approval) or enforce that they obtain their own licenses.
The risk of doing nothing is high – auditors frequently find unaccounted-for installations on contractors’ devices or identify user names in log files that don’t match any employee. Those are red flags that could lead to a hefty compliance claim.
Audit Case Patterns & Pitfalls
Over years of Autodesk audits, certain patterns of non-compliance show up again and again. Recognizing these common pitfalls can help you avoid them.
Typically, the largest audit findings involve one or more of the following:
- Shared Accounts: Multiple employees or contractors using the same Autodesk ID or installation. This violates the one-user-per-license rule (for named user subscriptions) or the one-machine-per-license rule (for older standalone licenses). It’s a blatant gap that auditors will seize on, since it clearly indicates unlicensed users in the environment.
- Misaligned Entitlements: Licenses purchased for one entity or region, but installations found in another. For example, software registered to the parent company is discovered on subsidiary or partner networks. Autodesk’s records might show a serial number or subscription owned by Company A. Yet, the software usage data or network scan finds it deployed under Company B. This mismatch is exactly what the audit scripts are designed to catch.
- Contractor or Third-Party Installations: Autodesk products installed on machines not owned or controlled by the licensee (e.g., an independent contractor’s computer, or a joint venture partner’s system). These often come to light when Autodesk’s Inventory Tool or compliance team asks for a comprehensive deployment list – suddenly, machines that aren’t in your IT inventory show Autodesk installations. That’s a red flag that someone outside your employee base is using your software.
- Outdated or Untracked Versions: In some cases, companies forget about old versions still in use at remote sites or by legacy teams. Auditors might find an old AutoCAD 2014 in use in a small subsidiary, which was never updated or included in renewal counts. That old version could be unlicensed if it were supposed to be upgraded or decommissioned. While not “indirect usage” per se, this kind of oversight often accompanies the other issues (for instance, a contractor using an old version because the new one wasn’t provided).
Autodesk employs various methods to uncover these situations. They might use their Autodesk Inventory Advisor (AIA) tool to scan for installations across the network, which can reveal installs on machines you weren’t even tracking.
They also receive data from the software itself (“phone home” reports from Autodesk products can indicate the number of users or installations). When these tools highlight anomalies – like more installations than licenses, or usage by accounts that aren’t in the main company’s domain – Autodesk’s auditors dig in.
It’s not uncommon for the majority of an audit’s financial exposure to stem from these hidden, indirect uses rather than willful piracy. In other words, you might have thought you were 100% compliant with your 50 purchased licenses, but the audit finds 60 actual users once subsidiaries and contractors are counted.
That difference (10 unlicensed uses) can translate into a significant penalty or true-up cost.
The pitfall is assuming that “nobody will notice” those few extra uses or that informal sharing. Autodesk’s audit process is thorough, and its interpretation of compliance is strict.
If you inadvertently fall into any of the patterns above, expect them to find it. Understanding these common audit issues is the first step in defending against them – or better yet, preventing them entirely through proactive management.
Read how to manage compliance, Autodesk Subscription Compliance: Managing Named-User and Legacy Perpetual Licenses.
How to Defend Against Indirect & Subsidiary Claims
Facing an Autodesk audit or trying to preempt one, you need a strategy to defend against claims of indirect or subsidiary usage. A buyer-first, proactive approach can save you from paying for Autodesk’s broad interpretations of compliance.
Here are key tactics to protect your organization:
- Maintain a Centralized License Inventory: Keep a single, up-to-date inventory of all Autodesk installations and users across all business units, locations, and subsidiaries. This means the central IT or SAM team should be aware of every machine that has Autodesk software and the license under which it’s running. By having this visibility, you can catch unauthorized installations or excess usage before Autodesk does. It also enables you to allocate licenses properly (or purchase more if needed) to cover any affiliates using the software.
- Clarify Affiliate Usage in Contracts: Don’t assume your subsidiaries or sister companies are covered – make it explicit. During your Autodesk contract negotiations, include language that defines the “Licensee” to include named subsidiaries or affiliates if possible. Some larger agreements allow this, but you must get it in writing. If Autodesk’s standard terms won’t budge, at least you’ll know each entity needs its own licenses. By clarifying this up front, you can either consolidate licensing for the whole group or ensure each subsidiary signs its own agreement. This prevents nasty surprises where Autodesk claims half your company’s usage is “unauthorized” simply because of the corporate structure.
- Control Contractor Access: If you rely on third-party contractors or consultants who need to use Autodesk software for your projects, plan their access carefully. The safest route is to provide contractors access via your controlled environment – for example, have them remote into a company workstation or use a company-issued laptop that has Autodesk installed under your license. This way, it falls under the on-premises contractor use that Autodesk’s terms typically allow. Alternatively, require contractors to show proof of their own valid Autodesk license (commercial use) and include that requirement in their contract with you. Never just hand over a login or installer to a contractor without checking the legality. By formalizing contractor usage, you either extend your license entitlements properly or ensure the contractor’s compliance is not your problem.
- Eliminate Shared Credentials: It’s crucial to enforce unique Autodesk user accounts and logins for each individual. If your team has historically shared an “Autodesk01” account to save on subscriptions, put an immediate stop to it. Transition to named user assignments for everyone who needs access, and disable any generic or shared accounts. Not only will this cut off a clear compliance violation, but it also gives you better tracking of who is actually using the software (which can even save money by identifying inactive users). Autodesk’s move to named-user licensing means they have zero tolerance for login sharing. Make it a firm policy internally – one person, one license – to align with that model.
- Monitor and Audit Your Usage: Don’t wait for Autodesk to audit you; consider running your own internal “mini-audits” periodically. This could involve using license management tools to track usage per user, scanning networks for unauthorized installs, and reviewing Autodesk account rosters for any unfamiliar names or duplicated usage. By conducting these self-audits across all departments and subsidiaries, you can detect indirect usage patterns (like sudden usage from a new location or by a contractor) and remediate them proactively. Regular compliance checks and true-ups on your terms are far preferable to a surprise vendor audit. If you find an issue, you can address it quietly – either by purchasing additional licenses or ceasing the offending usage – before it balloons into a financial penalty.
Implementing these defensive measures will put you in a much stronger position. Essentially, you are closing the loopholes that Autodesk’s audit teams look to exploit. You’re also creating documentation and controls that, if an audit does happen, demonstrate your good-faith compliance efforts.
In negotiations with Autodesk, being able to show that you manage a tight ship can sometimes lead to more lenient treatment or at least a clearer dialogue.
The overarching strategy is to treat indirect and subsidiary use as high-priority risks internally – dedicate as much attention to those as you do to managing your primary license counts.
Checklist – Preventing Indirect Usage Risks:
- Centralized inventory management is maintained across all global entities.
- Subsidiary usage rights reviewed and confirmed in Autodesk contracts.
- Contractor access to Autodesk software is restricted or formalized via policy.
- Shared Autodesk logins were identified and eliminated.
- Periodic self-audits and network scans are conducted across departments and subsidiaries.
(Use this checklist to periodically review your Autodesk license compliance posture. Each checked box is a step toward closing a hidden risk before it triggers an official audit.)