As part of a logo for xxxxxx Software. The logo may appear on any products created by xxxxxx Software and in promotional materials for xxxxxx Software. In addition, the Licensee may create a vector art version of the Image
The answer is right there.Seems to me that you've caught someone off-guard who is simply not used to dealing with licencing agreements, and is simply pulling numbers out of a hat and moving the goalposts as he educates himself.