Oracle Software Licensing in Cloud Computing Environments

A quick tutorial on Oracle Software Licensing in Cloud Computing Environments

Approved Cloud Providers

The Approved Cloud Providers are also known as ‘Approved Vendors or ‘Authorized Cloud Environments’ in Oracle’s documentation.

Oracle’s policy for licensing their technology software on public cloud platforms applies to environments provided by the following vendors:

  • Amazon Web Services (AWS): Amazon Elastic Compute Cloud (EC2) and Amazon Relational Database Service (RDS)
  • Microsoft Azure
  • Google Cloud Platform (GCP)

Guidelines for Oracle Software Licensing in Cloud Environments

When licensing Oracle software in an approved cloud environment, the following guidelines apply:

Processor Licensing in Cloud:

  • Virtual Processor (vCPU) Equivalence:
    • Two vCPUs are equivalent to one Oracle Processor license if multi-threading is enabled.
    • One vCPU is equivalent to one Oracle Processor license if multi-threading is not enabled.
  • Oracle Processor Core Factor Table: The Oracle Processor Core Factor Table does not apply in cloud environments.
  • Example: To license Oracle Database Enterprise Edition on a single instance with four vCPUs and multi-threading enabled, two Oracle Processor licenses would be required.

Standard Edition Licensing in Cloud:

  • Instance Size:
    • Instances with four or fewer vCPUs are counted as one socket (equivalent to one Oracle Processor license).
    • Instances with more than four vCPUs are rounded up to the nearest multiple of four and counted accordingly.
  • Maximum Instance Size:
    • Oracle Database Standard Edition: 16 vCPUs
    • Oracle Standard Edition One and Standard Edition 2: 8 vCPUs
  • Named User Plus (NUP) Licensing:
    • A minimum of 10 NUP licenses is required for every 8 vCPUs when licensing Database Standard Edition 2 by NUP.

Oracle Linux Licensing in Cloud:

  • VM Sizing:
    • Two VMs with a combined size of 64 vCPUs or less are counted as a single Oracle Linux Basic or Premier Limited system.
    • A single VM with more than 64 vCPUs is counted as a single Oracle Linux Basic or Premier system.

Unlimited License Agreements (ULAs):

Licenses acquired under ULAs can be used in approved cloud environments, but cannot be included in the certification process at the end of the ULA term.

Core Factor Table Not Applicable

When counting Oracle Processor license requirements in Authorized Cloud Environments, the
Oracle Processor Core Factor Table is not applicable.

Please note: For precise licensing requirements, please consult the official Oracle documentation or contact an Oracle licensing specialist. You may look up Oracle documentation at https://www.oracle.com/a/ocom/docs/cloud-licensing-070579.pdf

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SHESHAGIRI ANEGONDI

FOUNDER & CEO

Sheshagiri helps companies reduce Software License & Support costs through deployment optimization and risk management in software license compliance audits. His core skills are Software License Management, Enterprise Software Sales & Sales Management.

Sheshagiri is, currently, the Managing Partner & Principle Licensing Advisor at Rythium Technologies. Prior to this, he was a Vice-President in Oracle Corporation.

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