Yes that is correct. You are only allowed to run all of your programs on that computer. The cd is made to work with a specific computer. It may work with an identical Gateway computer, but I'm not sure, since I have never attempted it. They are made to be used to restore your programs, if ever needed.
I recently purchased a gateway desktop system. It came with office pro 2003. I want to take it off my new gateway and put it on a dell system I have. When I put the cd in I get an error message that says this is not a gateway computer. Does this mean that I can only run my copy of office pro 2003 on a gateway computer?

Chowhound
Comic Vine
GameFAQs
GameSpot
Giant Bomb
TechRepublic