For instructions on how to install the single-user (standalone) key see this article.
Updated 07/12/06

Select the Complete option. If you are running XP or Windows Server 2003, you will then see:

You must select YES in order for other machines on the network to be able to see the network key. If you are running any other firewall software, consult its documentation and make ports 7001 and 7002 open to machines on your LAN.
Once installation is complete, plug your ZEMAX network key into a USB port on the keyserver machine. After a few seconds, Windows' USB sub-system will detect the key. The green LED on the key will illuminate. This is an important test: the green LED means not only that the key is getting power, but that the driver software is correctly configured and recognizes the key.
Then start Internet Explorer. Type the following into the address bar:
http://127.0.0.1:7002
The address 127.0.0.1 is the "loopback" address, and means "use this machine". This link will therefore only work when run from the keyserver. You will see:

It is possible that Internet Explorer will have to download Java 1.5 from Sun MicroSystems in order for this display to be seen.
When you see this screen you know that the keyserver is working correctly and that the client machine can see it. The number under "Hard Limit" should correspond to the number of network licenses you have purchased. Licenses-In-Use is the current number of licenses being used, and is zero when the server sofware is first installed.
If this screen does not appear, and you are using XP or Server 2003, check the firewall settings: 
The Seninel Keys Server and Sentinel Protection Server must be allowed to connect over the network. If you have other firewall or port-blocking software installed, consult its documentation or technical support team. ZDC cannot provide support on firewall-related issues.
You have now completed the installation of the keyserver software on the keyserver machine.
Before installing ZEMAX on the client machine, repeat the last part of the server installation procedure to ensure that this machine can see the keyserver. Start Internet Explorer on the client, but this time type the following into the address bar:
http://{IP address of keyserver}:7002
For example, if the keyserver is on 10.0.0.1 you would enter:
http://10.0.0.1:7002
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If you cannot connect to the keyserver using the web browser, then the keyserver cannot be seen over the network by the client. Stop and resolve this problem before continuing.
It is possible that Internet Explorer will have to download Java 1.5 from Sun MicroSystems in order for this display to be see. The number under "Hard Limit" should correspond to the number of network licenses you have purchased. If you see a screen similar to this, the client machine can see the keyserver successfully.
Now download the latest ZEMAX version from our updates page, and install it. You do not need to install any key driver software, unless you intend to be able to run a standalone key as well as a network key.
Lastly, you must tell ZEMAX where to find the keyserver machine. Use Windows Explorer to open the /zemax installation folder, and rename the file sntlconfig.xml.bak to sntlconfig.xml. Then open it in Notepad or other text editor. You will see:

Within the highlighted region, add the IP address of the keyserver machine. In this example the keyserver is 10.0.0.1 and so you would make this file:

And save the file. This file MUST be in the same folder as zemax.exe. Note that any shortcuts to ZEMAX must be configured like so:

The 'start in:' entry must point to the folder where zemax.exe and sntlconfig.xml are both located, otherwise ZEMAX will not know where to look to find the key. ZEMAX should then start normally and take a network license from the keyserver machine. Shortcuts created by the ZEMAX installer do this automatically, but sometimes shortcuts that were created manually do not.
If ZEMAX cannot find the network key, but you can see it via the browser method above, then an application-level firewall running on the client computer is preventing access. Consult your firewall's documentation to see how to allow zemax.exe access to the local area network. We are unable to provide support on how to configure firewalls. However, here is how McAfee Personal Firewall was configured to allow ZEMAX to access the keyserver:

http://{IP address of keyserver}:7002 For example, if the keyserver is on 10.0.0.1 you would enter:

This shows that currently 4 of my 10 licenses are in use. Who is using them? Just double-click on the key# of the key whose details you want to see. For the above screenshot, I double-clicked on "1" and got:

double-clicking on the key# again shows:

This shows the name of the machine that is using each license, the currently logged-in user on that machine, and when the license was first obtained. When a client machine closes ZEMAX it will disappear from this list. Only machines currently running ZEMAX account for a license.