Case Study – Oracle Licensing Assessment – Canada Life – Irish Insurance Company– $1.5M Saved
Background
Canada Life is a leading insurance company with substantial operations in Ireland and Europe. The company’s IT infrastructure relies on Oracle technology: Oracle Java SE is widely installed on desktops and servers for internal applications, and Oracle middleware (such as WebLogic Server) supports many core systems. Given this reliance, proper licensing was essential to avoid unexpected costs.
Challenges
An internal review prompted by Oracle’s new Java licensing rules revealed that hundreds of desktops and servers were running Oracle Java SE without a commercial license after Oracle’s end of free Java updates.
This posed a significant risk, as Oracle had already begun inquiring about Canada Life’s Java usage, raising the prospect of an audit with substantial penalties. Meanwhile, Canada Life was unsure about its Oracle middleware compliance. WebLogic deployments had grown, and it was unclear if all instances were properly licensed.
Oracle applied pressure on both fronts. For Java, Oracle offered a substantial Java SE subscription deal, suggesting it was cheaper to subscribe now than to face a future audit later.
Simultaneously, Oracle hinted at WebLogic license shortfalls and urged customers to either purchase additional licenses or migrate to Oracle Cloud to cover the gap.
Facing the prospect of hefty unplanned expenses and a possible Oracle audit, Canada Life turned to independent experts for guidance. They engaged Redress Compliance for an Oracle licensing assessment to clarify actual usage and defend against Oracle’s aggressive tactics.
How Redress Compliance Helped
Redress Compliance performed a comprehensive review of Canada Life’s Oracle Java and middleware usage. Redress first tackled Java SE.
They audited all Java installations across the company and identified which ones required paid licenses versus those that could remain free.
They clarified Oracle’s Java licensing rules, showing which JDK versions required subscriptions and where OpenJDK could be used as an alternative.
They also helped remove or upgrade unnecessary Java instances and consolidate the remainder onto fewer systems. This approach dramatically reduced the number of Java SE subscriptions needed.
Next, Redress reviewed the WebLogic deployments. By analyzing configurations and CPU counts, they identified the exact number of WebLogic licenses required versus those already owned. They found some non-production environments running full WebLogic that could be covered by existing licenses or switched to free developer editions.
The team also verified that no unlicensed WebLogic features were enabled. For any gaps, Redress recommended remedies such as reallocating licenses from retired servers to active ones, thereby ensuring compliance without the need for new purchases.
Throughout the engagement, Redress served as Canada Life’s Oracle audit defense advisor. They documented the true Java usage and WebLogic license position, arming Canada Life with facts to counter Oracle’s claims.
Redress also guided communications with Oracle, ensuring only necessary information was disclosed. When Oracle presented its findings and offers, Redress helped challenge inflated figures and negotiate from a position of strength.
They demonstrated that Java usage was largely mitigated and WebLogic was properly licensed, defusing Oracle’s urgency for a quick sale.
Outcome and Impact
Redress Compliance’s assessment helped Canada Life avoid an impending compliance crisis and save approximately $1.5 million. On the Java side, the required Java SE subscriptions were reduced to a fraction of Oracle’s initial estimate, resulting in hundreds of thousands of dollars in avoided costs.
On the WebLogic side, Canada Life corrected its license allocations and avoided purchasing any new licenses. In total, about $1.5 million in unnecessary spending was prevented. Equally important, Canada Life steered clear of an Oracle audit and the hefty penalties non-compliance could have brought.
Beyond immediate savings, Canada Life gained lasting advantages. Its IT and procurement teams now clearly understand Oracle Java licensing and how to govern Java use enterprise-wide.
They also implemented stronger governance for Oracle middleware, ensuring future deployments stay within license limits. Armed with independent analysis from Redress, Canada Life greatly improved its negotiation position – Oracle backed off its aggressive stance once confronted with accurate compliance data.
The company preserved its budget for true business needs rather than unplanned Oracle costs, and it strengthened its overall software asset management practices.
Client Testimonial
Head of IT Operations, Canada Life: “We were blindsided by Oracle’s sudden focus on Java and felt pressured to sign a costly contract. Redress Compliance stepped in as our advisor and changed the outcome.
Their expertise in Oracle Java and middleware licensing saved us approximately $1.5 million in fees that we would have otherwise paid unnecessarily. They gave us clarity and confidence. With Redress’s independent guidance, we resolved our compliance issues on our terms and avoided an Oracle audit. It felt like we added an expert Oracle licensing team to our staff – one that truly had our interests at heart.”
Call-to-Action
If you suspect gaps in your Oracle Java or middleware licensing, or you’re facing Oracle compliance pressure, contact Redress Compliance for an Oracle licensing assessment. Our experts will help you reduce Oracle licensing costs, ensure compliance, and strengthen your negotiating position before committing to new contracts.
Further:
- Read about other Oracle Licensing Assessment Case Studies.
- Read more about our Oracle License Management Services.
