License inventory monitoring Alarm is triggered in vCenter

Products

• VMware vCenter Server

Issue/Introduction

• License Inventory Monitoring Alarm is triggered in vCenter frequently

• In the licenses view(Administration>>Licenses) of vCenter UI, you will find one or more licenses where the license usage is greater than capacity
• /var/log/vmware/vpxd/vpxd.log reports below errors. 

MM DD HH:MM:SS  vpxd[7247]: Event [22921713] [1-1] [YYYY-06-16T02:52:04.983335Z] [vim.event.LicenseNonComplianceEvent] [error] [] [] [22921713] [License inventory is not compliant. Licenses are overused]

Environment

vCenter Server 8.0.3

Cause

This issue can occur if any of the licenses(ESXi host, vSAN)  in vCenter are overused.

Resolution

To resolve the issue, we need to correct the license assignments on the host to ensure that the license usage is reduced to a level that falls below the host's actual capacity