The invention is directed towards enabling data volume and data type based licensing of software in a distributed system of a plurality of remote and/or local nodes. The invention enables measuring and optionally restricting the use of software based on one or more provided licenses that restrict the amount and type of data that may be processed by the software. New and older licenses may be added together for a single, bulk entitlement for a given volume of data processing for one or all types of data. Different users in the same enterprise may combine license entitlements too. Also, a new license can be acquired repeatedly, without requiring the issuance of combined licenses by the issuing authority and/or the revocation of prior licenses.