Are License-Based API Rate Limits Cumulative Across All Users?

I have a question regarding rate limiting for license-based APIs.

I understand that the rate limits for license-based APIs are based on the entire organization’s usage, not on a per-user basis. For example, if there are 6 users on a Business plan, and each user makes 10,000 API calls, the total would exceed the 50,000 rate limit. Is this correct?