Do we need to purchase a separate SQL Server license to use and manage Microsoft System Center 2016, and which SQL Server services can be used?

A Microsoft System Center license contains a license for SQL Server Standard. However, this SQL Server license may only be used to support the System Center and only be run in one OSE (Operating System Environment). With this SQL Server license, all licensed server components can be used. The following services are considered licensed server components (taking SQL Server 2016 as an example):

• SQL Server Database Engine (DB)
• SQL Server R Services for Windows
• Master Data Services (MDS)
• Analysis Services (AS)
• Integration Services (IS)
• Reporting Services (RS)
• Data Quality Services (DQS)

This SQL Server license can also be used in a cluster of two servers (two OSEs), as long as one of the servers is passive and only acts as a failover server. However, this scenario requires Software Assurance for SQL Server.

Sources:

Official Microsoft website (https://www.microsoft.com/en-us/licensing/product-licensing/system-center-2016.aspx), retrieved 2017-09-22
Microsoft_SQL Server 2016_Licensing Guide_en_as is 2016-08-28