Larry Ellison founded Oracle, a technology giant in 1977. Ever since then, the company has successfully managed to develop a good reputation for its software licensing agreements. Oracle customers can now enjoy a revolutionary new flat-price ‘Perpetual User License Agreement’ (PULA).
However, not everyone received PULA happily. There are voices who say it’s very complicated and that you need a team of experts to help you manage it so you don’t end up paying more than you should be.
Recently, after the Oracle OpenWorld 2017, the company’s chairman and CTO Larry Ellison announced that customers can now bring their on-premise licenses to its IaaS and PaaS platforms. Oracle also introduced “universal credits” into its cloud pricing.
Whatever type of license you use, there are a few tricks to help you keep costs down and remain compliant. Here are some of them:
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Always Know Your Contracts
We know it sounds like a basic tip, but if you look closely at a contract, you’ll understand it’s not exactly a walk in the park.
First off, you need to have access to the contracts. It might come as a surprise to you, but many companies do not have a central repository for their Oracle agreements and contracts. Make sure you build such a repository. It will come in handy during a software audit and whenever you want to look back on your agreements and find ways to cut costs.
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Understand the Software
Most compliance issues originate from who is using the software and where it is being used rather than if a customer uses the software on 20 computers with only 10 licenses. Make sure you know how many computers you can run the software on and how many users you can have.
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Stay on Top of Your Compliance
Martin Thompson, founder of the ITAM Review and the Campaign for Clear Licensing says that Oracle has a reputation of aggressive auditing.
Don’t wait for an audit to ensure that you are compliant. A proactive approach can save you hundreds of thousands of dollars in fines.
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Virtualization Comes with Risks
Oracle is still trying to keep the link between its software and the physical processors on which their products run. So before you jump onto the virtualization bandwagon, make sure you understand what this means for your licenses.
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Acquiring or Divesting Can Affect Your Contract
Your Oracle contracts can be affected if you’ve recently taken part in any M&A activity. When getting any new Oracle contracts, it is crucial to understand that any kind of mergers, acquisitions or divestitures linked to your business in the future can impact your licenses.
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Long-Term Cloud Pricing Is Real
If you are considering cloud PaaS or IaaS subscriptions along with running Oracle products, you need to ensure that you have the budget for long-term costs.
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Plan Your Conversion
If you are planning to convert from one technology to another then you should be aware of your existing licensing agreements just to avoid overlapping and increased costs.
Need help navigating your Oracle licenses? Schedule your FREE consultation with our specialists in software licensing!