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Explore the Secrets of Oracle Cloud Licensing

Learn the essential steps to avoid overspending and minimize compliance risks with Oracle’s commercial cloud licensing model.

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Your Challenge

  • Organizations are considering moving workloads to the cloud; however, they often struggle to understand Oracle's licensing and services models.
  • Complexity of licensing and high price tags can make the renewal process an overwhelming experience.
  • Oracle’s SaaS applications are the most mature, but Oracle’s on-premises E-Business Suite still has functionality gaps in comparison to Oracle’s cloud apps.

Our Advice

Critical Insight

  • Understand the Oracle agenda. Oracle has established a unique approach to their cloud offerings – they want all of your workloads on the Red Stack.
  • Communicate effectively. Be aware that Oracle will reach out to members at your organization at various levels. Having your executives on the same page is critical to successfully managing Oracle.
  • Negotiate hard. Oracle needs the deal more than the customer. Oracle's top leaders are heavily incentivized to drive massive cloud adoption and increase Oracle's share price. Use this to your advantage.

Impact and Result

  • Conducting business with Oracle is not typical compared to other vendors. To emerge successfully from a commercial transaction with Oracle, customers must learn the “Oracle way” of conducting business, which includes a best-in-class sales structure, highly unique contracts, and license use policies coupled with a hyper-aggressive compliance function.
  • Leverage cloud spend to retire support on shelf-ware licenses, or gain virtualization rights for an on-premises environment.
  • Map out the process of how to negotiate from a position of strength, examining terms and conditions, discount percentages, and agreement pitfalls.
  • Carefully review key clauses in the Oracle Cloud Services Agreement to avoid additional spend and compliance risks.

Research & Tools

Start here – read the Executive Brief

Read our concise Executive Brief to find out why you should explore the secrets of Oracle Cloud licensing, review Info-Tech’s methodology, and understand the four ways we can support you in completing this project.

1. Evaluate licensing requirements

Review current licensing options and models to determine which cloud products will most appropriately fit the organization's environment.

Guided Implementations

This guided implementation is a nine call advisory process.

Guided Implementation #1 - Evaluate licensing requirements

Call #1 - Assess current state and align goals; review business feedback.
Call #2 - Review licensing options.
Call #3 - Review licensing rules.
Call #4 - Interview key stakeholders to define business objectives and drivers.

Guided Implementation #2 - Evaluate agreement options

Call #1 - Determine the ideal contract type.

Guided Implementation #3 - Purchase and manage licenses

Call #1 - Review final contract.
Call #2 - Discuss negotiation points.
Call #3 - Manage licenses.
Call #4 - Develop future licensing strategy.

Search Code: 87968
Published: March 18, 2019
Last Revised: March 18, 2019

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