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In fact, the difference is mainly in licensing. IoT is designed for installation in embedded solutions and various industrial PCs (Payment terminals, cash desks, infomats, etc.), and the distribution policy is similar to OEM licenses "Buy more - pay less, but you can't use it anywhere except for this piece of hardware."
IoT does not come across in retail, purchase only through MS representatives, with individual conditions and licenses.
In general, IoT is what used to be called Embedded or POS-Ready, and the OS configuration is determined upon purchase and does not require activation of each copy individually.
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