Panorama contacts the license server and sends the serial number of each managed Palo Alto Networks devices. The license server responds with the licenses for each device.
Panorama will display the licenses for each managed device, but does not automatically install them. To activate a license on a managed device from Panorama, click on the Activate button on the Panorama > Device Deployment > Licenses page. Also, the managed device must appear as connected before Panorama retrieves its licenses from the cloud. If a firewall is added to Panorama as a managed device but it is never seen as connected, Panorama will not be able to retrieve its licenses.