Case Study - Java Licensing / Oracle case study

Case Study: Successful Java Licensing Optimization for a Bank in the United Arab Emirates

Background

A prominent bank in the United Arab Emirates, with Java deployed on virtual environments, faced a significant cost impact due to the new Java licensing metric. Their Java usage was widespread, and they enlisted Redress Compliance’s expertise to help optimize their Java licensing.

Challenge

With the new license metric, the bank faced a potential Java licensing compliance risk of $3.2 million annually. They needed a comprehensive strategy to mitigate this risk and optimize their Java licensing.

Solution

Redress Compliance was enlisted to provide a strategic solution:

  1. Java Licensing Assessment: Redress conducted a complete Java licensing assessment to understand the Java deployments on servers and end-user devices.
  2. Java Licensing Training: Redress delivered Java licensing training to educate the bank’s IT staff in Java licensing to help them avoid Java licensing compliance issues in the future.
  3. Licensing Optimization Strategy: Redress created a licensing optimization strategy based on the legacy license metric.
  4. Optimization Implementation: The optimization strategy involved upgrading to free versions of Java, consolidating virtual deployments, and negotiating a network and storage isolation for Java.
  5. Negotiation with Oracle: After a network and storage isolation agreement was signed, the bank and Redress approached Oracle to negotiate on legacy metrics, which would cost the bank $300k annually.
  6. Final Decision: After negotiation, Oracle allowed the bank to purchase legacy or employee metrics with an x% discount. The bank decided to buy on legacy metrics as they wanted the option to reduce their Java licenses in the future.

Outcome

The bank avoided a potential $3.2 million annual Java licensing compliance risk and reduced it to $300k over three years, saving $8,7 million by working with Redress Compliance.

Quote from the Head of IT Sourcing

“The strategic insights and deep expertise of Redress Compliance have been instrumental in our Java licensing optimization process. Their comprehensive approach, effective training, and unwavering support were key in navigating the complexities of the new Java licensing metric. They identified and helped us mitigate substantial compliance risk and guided us in making an informed decision that resulted in significant cost savings. Their contribution has been pivotal in our IT sourcing strategy.”

Conclusion

This case study illustrates Redress Compliance’s ability to provide comprehensive Java licensing solutions. By understanding each client’s unique needs and challenges, Redress Compliance can deliver strategies that ensure compliance and result in significant cost savings.

Author
  • Fredrik Filipsson

    Fredrik Filipsson is the co-founder of Redress Compliance, a leading independent advisory firm specializing in Oracle, Microsoft, SAP, IBM, and Salesforce licensing. With over 20 years of experience in software licensing and contract negotiations, Fredrik has helped hundreds of organizationsโ€”including numerous Fortune 500 companiesโ€”optimize costs, avoid compliance risks, and secure favorable terms with major software vendors. Fredrik built his expertise over two decades working directly for IBM, SAP, and Oracle, where he gained in-depth knowledge of their licensing programs and sales practices. For the past 11 years, he has worked as a consultant, advising global enterprises on complex licensing challenges and large-scale contract negotiations.

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