Error 0xC004C060 means the product key cannot be used to activate Windows. Microsoft lists this error with other activation errors that occur when the entered key is not valid for activation.
Based on the activation guidance, check these items in order:
- Confirm the installed edition
Go to Start > Settings > Update & Security > Activation and verify whether the PC is running Windows 10 Pro/Home or Windows 11 Pro/Home.
- Make sure the license matches the edition
If the license does not match the installed edition, Windows will not activate. For example, a key for one edition cannot activate a different edition.
- Enter the product key manually
In Activation, select Change product key and enter the 25-character key.
- If the device had major hardware changes
If the motherboard or other major hardware was changed, Windows may no longer be activated. Run the Activation troubleshooter from the Activation page.
- If the key was already used on another device
If the key has been used on more devices than allowed, activation will fail. In that case, a separate valid product key is required for each device.
- If the copy sold was not genuine or the wrong product was supplied
Microsoft states that counterfeit or improperly used copies will not activate. If a pre-owned or resold key was used on other PCs, a new genuine product key or copy of Windows is required.
For the specific question about what license is needed: the required license is a valid Windows license that matches the installed edition on the device. If Windows 11 Pro is installed, the activation key must be valid for that edition. If Windows 10 Pro is installed, the key must match that edition.