In an existing ArcGIS Enterprise deployment, the ArcGIS Data Interoperability extension must be licensed on...

To license the ArcGIS Data Interoperability extension on a federated ArcGIS Server site, the administrator must use the Software Authorization Wizard. This is the officially supported and recommended method provided by Esri for authorizing additional extensions to ArcGIS Server.

According to the ArcGIS Enterprise Installation Guide and Esri’s administration best practices:

The Software Authorization Wizard is the tool used to input license information and authorize software features such as the Data Interoperability extension.

This wizard can be launched after installation or from the ArcGIS Server program group at any time.

Once the license is applied using the wizard, it is necessary to restart the ArcGIS Server service so that the newly authorized extension is loaded properly.

Option A is incorrect because Esri does not support manually modifying license JSON files. Doing so can corrupt the licensing configuration and is not documented or recommended.

Option C is incorrect because the ArcGIS Server installation program does not apply or manage licenses—it is used solely for installing the core server software.

Therefore, the correct method is to use the Software Authorization Wizard, apply the license file, and restart the ArcGIS Server service to activate the extension.

Reference Source: ArcGIS Enterprise Administration and Installation documentation – ArcGIS Server Software Authorization and Extension Licensing section.