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Installing PC-DMIS on new PC and decommissioning old PC

We are having to decommission an old PC that runs PC-DMIS and replace it with a new one. I instructed our IT guy to go ahead and install PC-DMIS on the new PC and he got the following window:
 ​He told me that he entered the Entitlement ID listed on the old PC and he said that the installation didn't work. I don't understand why you need the EID to install PC-DMIS. I thought it was just needed to activate the license. Am I correct?