After installation, an OEM copy is essentially indistinguishable from a retail copy. The installation media works almost exactly like a full retail copy of Windows, except that it can't be used to perform upgrades, only a custom (clean) install. If you're building your own PC or looking for installation media that won't make you jump through hoops to install it, this product is extremely attractive, because it's significantly less expensive than a full retail license. My friend and fellow Windows expert Paul Thurrott just posted a thorough look at the Windows 7 OEM System Builder package, complete with pictures. If you look at any online shopping site that caters to PC enthusiasts, you'll find these copies displayed alongside the upgrade and full license packages that Microsoft says retail customers are supposed to buy. I'm talking about OEM System Builder licenses for Windows desktop editions.
But I deliberately left one type of Windows license off that list, because it deserves its own special place in the Corporate Communications Hall of Shame. As I noted earlier this month, Microsoft does a generally poor job of explaining its complicated rules for how Windows licensing works. If Microsoft expects its customers to take license agreements seriously, it has a responsibility to communicate the terms of those agreements to its customers clearly and unambiguously.