Failed to initialize licensing environment. License environment not set correctly. - Failed to initialize licensing environment. License environment not set correctly. I am having an issue setting up the Questa Intel FPGA sim license for my Quartus Prime Lite 23.1 installation. I have installed my license per the Intel instructions, but I get the following error message in VWF sim: License setup is pointing to the correct location of my license .dat file. In EDA tools options, Questa Intel FPGA is pointing to c:/intelfpga_lite/23.1std/questa_fse/win64. I'm not sure what to try next. Replies: Re: Failed to initialize licensing environment. License environment not set correctly. Hi You could also refer here to Set Up the Simulation Environment Details refer. https://www.intel.com/content/www/us/en/docs/oneapi/programming-guide/2023-0/set-up-the-simulation-environment.html Hope everything is working well at your side. I will now transition this thread to community support. If you have a new question, feel free to open a new thread to get the support from Intel experts. Otherwise, the community users will continue to help you on this thread. Thank you. Replies: Re: Failed to initialize licensing environment. License environment not set correctly. Thank you @sstrell , I thought I had done that, but I had not set the environmental variable correctly. Replies: Re: Failed to initialize licensing environment. License environment not set correctly. Make sure LM_LICENSE_FILE in your environmental variables is pointing to the .dat.