Why is licensing important in VMware vSphere?

Licensing is crucial in VMware vSphere because it dictates the feature set and functionality available within the vSphere product. Each license level unlocks different capabilities, such as the ability to manage varying numbers of virtual machines, access specific features like VMware vMotion, DRS (Distributed Resource Scheduler), and HA (High Availability), and define the limits of resource allocation. Depending on the license purchased, an organization can access advanced features that enhance performance, reliability, and manageability of their virtual infrastructure. This ensures that businesses can tailor their deployments according to their specific needs and requirements.