Licensing / Oracle licensing

Oracle Core Factor Table – License calculator

Understanding the Oracle Processor Core Factor Table is crucial for effectively managing Oracle licenses.

This article provides a comprehensive guide to navigating this essential tool in Oracle’s licensing model.

What is the Oracle Processor core factor table?

The Oracle Processor Core Factor Table is a vital document for calculating how to license Oracle database version products, including all Oracle technology products such as Oracle Database, Oracle WebLogic Enterprise products, and Java subscriptions.

Here’s a simplified explanation:

  1. Core-Based Licenses: This document details the core licenses that clients need to apply when calculating the number of Oracle licenses required for items that are licensed per core.
  2. Standard Edition Products: Oracle Standard Edition 2 and various other Oracle Standard Edition version products are licensed per occupied CPU socket and do not utilize the core factor table when calculating Oracle licensing requirements.

Understanding this table is crucial for accurately determining your Oracle licensing needs.

How to calculate Oracle licensing costs

How to calculate Oracle licensing costs

Here’s a simplified guide on how to calculate Oracle licensing costs for enterprise version products:

  1. Understand Oracle Licensing: Oracle licensing is based on hardware, specifically the type of processor the server is running and the number of physical cores inside the processor.
  2. Example Scenario: We want to license Oracle Database Enterprise Edition on a server with 1 Intel ES-16XX CPU with eight cores.
  3. Refer to Oracle Core Factor Table: Find the specific processor type in the Oracle Core Factor Table.
  4. Determine Licensing Factor: We can identify that it has a licensing factor of 0.5 per core.
  5. Calculate Required Licenses: Multiply the number of physical cores (8) with the licensing factor (0.5). So, 8 x 0.5 = 4.
  6. Result: We now know this server requires us to license with 4 Oracle processor licenses of Oracle Database Enterprise Edition.

How much does the Oracle license cost?

How much does the Oracle license cost?

Here’s a simplified guide on how to calculate the cost of Oracle licensing:

  1. Identify Required Licenses: Using the same example as before, we need 4 Oracle processor licenses.
  2. Check Oracle Price List: Refer to the Oracle Price List for the cost of the required licenses.
  3. Find License Cost: We can see that Oracle Database Enterprise Edition – 1 processor license is $47,500 plus yearly technical support of $10,450.
  4. Calculate Total Cost: To license this specific server, multiply 4 (the required licenses) by $47,500 (the cost per license). So, 4 x $47,500 = $190,000 in Oracle license costs plus the annual support.
  5. Consider Additional Licensing Requirements: Remember, if you’re licensing Oracle Database EE edition options, you must match the same quantities and processor metrics as you license Oracle Database EE edition.

What is an Oracle processor license?

An Oracle Processor License is calculated by applying the Oracle Core Factor Table to the number of cores in your server.

The result of this calculation gives you the number of “Oracle Processor Licenses” you need for your specific server setup.

Oracle core factor table for AWS?

For Oracle in AWS, Azure, or OCI. Oracle does not use the core factor table; you review the “Licensing Oracle software in the cloud computing environments.”

Oracle has granted AWS and Azure the right to sub-capacity licenses and licenses with vCPUs. However, GCP and any other cloud provider do not have these rights.

Oracle Core Factor Table for virtual machines?

Oracle has two distinct methods for licensing in virtual environments.

  1. Hard Partitioning Technologies: Some virtualization technologies allow you to license on sub-capacity. These technologies are referred to as “hard partitioning technologies.”
  2. Soft Partitioning Technologies: Any other virtualization technology not listed as hard partitioning in the Oracle Partitioning Policy document is deemed “soft partitioning”. Examples include VMWare. In these cases, you need to license the full server, clusters, or even multiple clusters of servers.

FAQ: Oracle Processor Core Factor Table

faq Oracle Processor Core Factor Table
  1. What is the Oracle Processor Core Factor Table?
    • It’s a guideline Oracle uses to determine the number of licenses required based on the type of CPU in a server.
  2. Why does the CPU type matter for Oracle licensing?
    • Different CPUs have varying capacities; the Core Factor Table equates these to ensure fair licensing costs.
  3. Can choosing the right hardware affect Oracle licensing costs?
    • Selecting hardware with a favorable core factor can significantly reduce licensing costs.
  4. Does the Core Factor Table apply to public cloud environments?
    • No, it doesn’t apply to public clouds, which have their own licensing rules.
  5. Is the Core Factor Table relevant for virtual processors?
    • It only applies to physical servers and CPUs, not virtual environments.
  6. How do I use the Core Factor Table?
    • Multiply the number of CPU cores by the core factor to calculate the number of licenses needed.
  7. Where can I find the Core Factor Table?
    • It’s available on Oracle’s official website or through your Oracle licensing expert.
  8. Does the Core Factor Table change?
    • Yes, Oracle updates it occasionally to reflect changes in technology and CPU performance.
  9. What happens if I upgrade my hardware?
    • You should re-evaluate your licensing requirements using the updated Core Factor Table.
  10. How can an Oracle licensing expert help with the Core Factor Table?
    • They can interpret the table accurately, ensuring compliance and cost-efficiency.
  11. What if my CPU type isn’t listed in the Core Factor Table?
    • Consult an Oracle licensing expert for the best approach to licensing in such cases.
  12. Are there exceptions to the Core Factor Table’s application?
    • Specific licensing agreements or Oracle policies might override the table’s application.
  13. How do licensing requirements differ in a clustered environment?
    • Licensing needs might increase based on the combined capacity of all servers in the cluster.
  14. Can I reduce licensing costs by using processors with a lower core factor?
    • Potentially, yes. Choosing processors with a lower core factor can reduce the required licenses.
  15. What’s the best strategy for managing Oracle licensing costs concerning the Core Factor Table?
    • Regularly review your hardware against the Core Factor Table with an Oracle licensing expert to ensure cost-effective licensing.

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Author

  • Fredrik Filipsson

    Fredrik Filipsson brings two decades of Oracle license management experience, including a nine-year tenure at Oracle and 11 years in Oracle license consulting. His expertise extends across leading IT corporations like IBM, enriching his profile with a broad spectrum of software and cloud projects. Filipsson's proficiency encompasses IBM, SAP, Microsoft, and Salesforce platforms, alongside significant involvement in Microsoft Copilot and AI initiatives, enhancing organizational efficiency.