Oracle database licensing / Oracle Licensing

Oracle Database Enterprise Edition Options Licensing

Oracle Database Enterprise Edition Options Licensing:

  • Add-ons: Optional features like RAC, Data Guard, and Partitioning.
  • License separately: Each option must be licensed beyond the base edition.
  • Costly: Options add to the total licensing expense.
  • Per processor: Options are typically licensed per processor, not per user.
  • Usage monitoring: Ensure features are licensed when used.

Oracle Database Enterprise Edition Options Licensing

Enterprise Edition Options Licensing

Licensing Oracle Database options can be a complex and costly endeavor, particularly for organizations using the Enterprise Edition.

Oracle Database options provide additional functionalities that can help manage workloads, optimize database performance, and improve security, but each comes with specific licensing requirements. This comprehensive guide will explore all the licensing options available for Oracle Database, focusing on what each option offers and how to license them effectively.

Oracle offers a range of Enterprise Edition Options that enable users to extend the capabilities of their databases. Below, weโ€™ll explain each option, its purpose, and important licensing considerations.

Licensing Model for EE Options

Oracle Enterprise Edition options are licensed using the same metrics as the Oracle Database Enterprise Edition itself:

  1. Processor-based licensing
  2. Named User Plus (NUP) licensing

The choice between these models depends on factors such as the number of users, the type of application, and the hardware configuration.

Matching Principle

Oracle enforces a “matching principle” for option licensing. This means that if an organization licenses an option, it must be licensed for all processors or named users that can use the Enterprise Edition database, even if the option is not used on all of them.

For example, suppose a company has licensed Oracle Database Enterprise Edition for ten processors and wants to use the Partitioning option. In that case, they must license Partitioning for all 10 processors, regardless of whether Partitioning is used on all of them.

Pricing for EE Options

As of December 2023, the list prices for some popular Enterprise Edition options (per processor) are:

  • Multitenant: $17,500
  • Real Application Clusters: $23,000
  • Active Data Guard: $11,500
  • Partitioning: $11,500
  • Advanced Compression: $11,500
  • Advanced Security: $15,000
  • Label Security: $11,500
  • Database Vault: $11,500
  • OLAP: $23,000
  • Database In-Memory: $23,000

These prices are in addition to the base Enterprise Edition license cost of $47,500 per processor.

Named User Plus Minimums

Organizations must adhere to user minimums when licensing options under the Named User Plus model. For most options, the minimum is 25 Named User Plus licenses per processor. However, some options may have different minimums:

  • Real Application Clusters: Minimum of 25 Named User Plus licenses per processor
  • Database In-Memory: Minimum of 25 Named User Plus licenses per processor

Oracle Database Enterprise Edition Options Licensing

Oracle Database Enterprise Edition Options Licensing

1. Oracle Multitenant

Overview: Oracle Multitenant enables users to create and manage multiple databases within a single Oracle Database instance. This helps reduce hardware costs, simplify management, and enhance consolidation.

Licensing Cost:

  • Processor Licensing: $17,500 per processor.
  • Named User Plus (NUP) Licensing: $350 per named user.

How to License: Licensing Multitenant involves determining the number of processors in the server where the Oracle Database is installed. Each processor must be licensed at $17,500 per processor. Alternatively, you can opt for the NUP licensing, but remember that this approach is ideal for environments with fewer users.

Use Case: Multitenant is well-suited for enterprises that need to consolidate multiple databases into one to save resources and streamline operations.

2. Real Application Clusters (RAC)

Overview: Oracle Real Application Clusters (RAC) allows multiple instances of Oracle Database to run simultaneously on different servers, offering improved scalability and high availability.

Licensing Cost:

  • Processor Licensing: $23,000 per processor.
  • NUP Licensing: $460 per named user.

How to License: RAC licensing requires each processor on each server in the cluster to be licensed. This means that if your cluster has multiple nodes, each nodeโ€™s processors need to be licensed, making RAC one of the more expensive options.

Use Case: Organizations needing continuous uptime and scalability should consider RAC, particularly when database workloads must be balanced across multiple servers.

3. Real Application Clusters One Node (RAC One Node)

Overview: RAC One Node provides benefits similar to RAC but with fewer features and lower costs. If necessary, it allows one active instance of the Oracle Database to run, with failover capabilities to another server.

Licensing Cost:

  • Processor Licensing: $10,000 per processor.
  • NUP Licensing: $200 per named user.

How to License: Similar to RAC, licensing is based on the number of processors, but only one node is active. This makes it a cost-effective alternative to full RAC.

Use Case: RAC One Node is ideal for organizations that need limited clustering and high availability without the full expense of RAC.

4. Active Data Guard

Overview: Oracle Active Data Guard enhances availability by offloading reporting, backups, and queries to a standby database. It enables fast, automatic failover in case of primary database failure.

Licensing Cost:

  • Processor Licensing: $11,500 per processor.
  • NUP Licensing: $230 per named user.

How to License: License the same number of processors as in the primary Oracle Database instance. This ensures consistency between primary and standby environments.

Use Case: Organizations needing a standby database for real-time query offloading or disaster recovery should consider Active Data Guard.

5. Partitioning

Overview: Partitioning divides large tables into smaller, more manageable pieces called partitions. This allows faster data retrieval and efficient query processing.

Licensing Cost:

  • Processor Licensing: $11,500 per processor.
  • NUP Licensing: $230 per named user.

How to License: Partitioning is licensed per processor, similar to the primary Oracle Database instance. This option helps improve database performance, especially for managing large datasets.

Use Case: Ideal for large databases requiring efficient management of large tables, such as data warehousing.

6. Real Application Testing

Overview: Real Application Testing allows database changes to be tested before deployment, ensuring that any modifications do not negatively impact performance.

Licensing Cost:

  • Processor Licensing: $11,500 per processor.
  • NUP Licensing: $230 per named user.

How to License: The same licensing model applies as the Oracle Database instance. Licenses must be procured for each processor the Oracle instance uses where testing occurs.

Use Case: Perfect for enterprises wanting to test workload impacts before applying upgrades or patches.

7. Advanced Compression

Overview: Oracle Advanced Compression helps reduce storage costs by compressing data. Itโ€™s particularly effective for reducing the size of historical or inactive data.

Licensing Cost:

  • Processor Licensing: $11,500 per processor.
  • NUP Licensing: $230 per named user.

How to License: Each processor the Oracle Database uses needs a license for Advanced Compression. This is suitable for databases with large volumes of historical data.

Use Case: Enterprises that need to reduce storage consumption or improve data transfer efficiency.

8. Advanced Security

Overview: Oracle Advanced Security provides advanced encryption and data redaction capabilities to protect sensitive information.

Licensing Cost:

  • Processor Licensing: $15,000 per processor.
  • NUP Licensing: $300 per named user.

How to License: You need to license each processor for databases where encryption or redaction is applied, making this an essential option for organizations dealing with sensitive data.

Use Case: Industries handling sensitive data, such as finance or healthcare, where encryption and protection are mandatory.

9. Label Security

Overview: Label Security extends data security by adding classification labels to table rows and enforcing access controls based on these labels.

Licensing Cost:

  • Processor Licensing: $11,500 per processor.
  • NUP Licensing: $230 per named user.

How to License: Each processor running Oracle Database requires a Label Security license.

Use Case: Ideal for government or defense organizations where data classification and strict access control are critical.

10. Database Vault

Overview: Oracle Database Vault strengthens access control by preventing unauthorized users, even administrators, from accessing specific data.

Licensing Cost:

  • Processor Licensing: $11,500 per processor.
  • NUP Licensing: $230 per named user.

How to License: The Database Vault must be licensed per processor for each instance of the Oracle Database. It adds a layer of security for internal threats.

Use Case: Highly regulated industries where strong internal controls and restrictions on administrator access are needed.

11. TimesTen Application-Tier Database Cache

Overview: TimesTen is an in-memory database that provides fast access by caching frequently accessed data.

Licensing Cost:

  • Processor Licensing: $23,000 per processor.
  • NUP Licensing: $460 per named user.

How to License: Each processor used for caching data through TimesTen requires a license.

Use Case: Applications needing ultra-fast data retrieval, such as financial trading systems, can benefit from TimesTen.

12. Database In-Memory

Overview: Oracle Database In-Memory allows data to be processed directly in memory, dramatically improving query performance.

Licensing Cost:

  • Processor Licensing: $23,000 per processor.
  • NUP Licensing: $460 per named user.

How to License: Each processor that runs Oracle Database with In-Memory features needs a license, making it a high-cost but high-benefit option.

Use Case: Ideal for analytical workloads where fast query processing is required.

13. Diagnostics Pack

Overview: Diagnostics Pack provides performance diagnostics and monitoring tools for Oracle Database, helping to identify and troubleshoot performance issues.

Licensing Cost:

  • Processor Licensing: $7,500 per processor.
  • NUP Licensing: $150 per named user.

How to License: License each processor used by Oracle Database. The Diagnostics Pack is useful for maintaining optimal performance in complex environments.

Use Case: Suitable for environments that require constant performance monitoring and diagnostics to ensure uptime.

14. Tuning Pack

Overview: The Tuning Pack helps optimize SQL queries and provides recommendations to improve performance.

Licensing Cost:

  • Processor Licensing: $5,000 per processor.
  • NUP Licensing: $100 per named user.

How to License: Each processor used by Oracle Database must be licensed. This tool is essential for optimizing performance in heavy transactional environments.

Use Case: Enterprises needing consistent tuning of SQL queries and optimization for large workloads.

15. Database Lifecycle Management Pack

Overview: The Database Lifecycle Management Pack automates various management tasks related to Oracle Database, including patching and provisioning.

Licensing Cost:

  • Processor Licensing: $12,000 per processor.
  • NUP Licensing: $240 per named user.

How to License: License each processor to manage the Oracle Databases lifecycle.

Use Case: Suitable for enterprises looking to automate routine database management tasks, reducing manual effort.

16. Data Masking and Subsetting Pack

Overview: This option enables data privacy by creating masked copies of data for non-production environments, ensuring sensitive information is not exposed during development and testing.

Licensing Cost:

  • Processor Licensing: $11,500 per processor.
  • NUP Licensing: $230 per named user.

How to License: Each processor in the Oracle instance that uses data masking requires licensing.

Use Case: Companies needing to share data for testing or development purposes must protect sensitive information, such as financial or personal data.

17. Cloud Management Pack for Oracle Database

Overview: The Cloud Management Pack helps manage Oracle databases deployed in cloud environments, offering tools for optimizing cloud resources.

Licensing Cost: Pricing for this option can vary depending on deployment specifics and the scale of cloud use.

How to License: This option is typically licensed per processor or Oracle Cloud subscription.

Use Case: Organizations using Oracle Cloud or hybrid environments to manage databases more efficiently across both on-premises and cloud resources.

Oracle Database Enterprise Edition Options Licensing FAQ

What are Oracle Database Enterprise Edition options? Oracle Database Enterprise Edition options are add-on features that extend the functionality of the core Oracle Database, providing enhanced capabilities such as better performance, security, and scalability.

Do I need to license each Oracle Database option separately? Yes, each Oracle Database option must be licensed separately. The cost depends on whether you are licensing based on processors or using Named User Plus (NUP) licensing.

How do I decide between Processor and Named User Plus licensing? Processor licensing is best for environments with many users or where counting users is impractical. Named User Plus (NUP) licensing is more economical for smaller environments with fewer users.

What is Oracle Multitenant, and how do I license it? Oracle Multitenant allows you to create multiple pluggable databases within a single Oracle Database instance. It requires licensing for each processor at $17,500 or $350 per named user.

When should I consider licensing Real Application Clusters (RAC)? RAC is ideal for environments requiring high availability and scalability. Each processor on each server in the RAC cluster must be licensed at $23,000 or $460 per named user.

Is RAC One Node cheaper than RAC? Yes, RAC One Node is a cost-effective alternative to RAC. It allows only one active instance and is licensed at $10,000 per processor or $200 per named user.

What is Active Data Guard used for, and how do I license it? Active Data Guard offloads workloads, such as reporting, to a standby database. It is licensed at $11,500 per processor or $230 per named user.

What is Oracle Partitioning, and why is it beneficial? Partitioning helps manage large tables by splitting them into smaller partitions, improving performance. Each processor must be licensed at $11,500 or $230 per named user.

Do I need a license for Real Application Testing? Yes, Real Application Testing, which allows you to test changes before deployment, requires licensing at $11,500 per processor or $230 per named user.

How can I reduce storage costs with Oracle Advanced Compression? Advanced Compression compresses data, reducing storage costs. You need to license it at $11,500 per processor or $230 per named user, which can lead to long-term savings in storage costs.

What is Oracle Advanced Security, and how do I license it? Advanced Security provides encryption and data redaction. It must be licensed at $15,000 per processor or $300 per named user, making it crucial for protecting sensitive data.

When should Label Security be used, and what is the licensing model? Label Security is useful for classifying and controlling data access. It is licensed at $11,500 per processor or $230 per named user and is often utilized in environments requiring strict access control.

What are the benefits of using Oracle Database Vault? Database Vault prevents unauthorized access by restricting privileged user activities. It must be licensed at $11,500 per processor or $230 per named user.

How do I license the TimesTen Application-Tier Database Cache? TimesTen is an in-memory database caching solution licensed at $23,000 per processor or $460 per named user, ideal for applications needing rapid data access.

What is Oracle Database In-Memory, and who should use it? Oracle Database In-Memory accelerates query processing by storing data in memory. It is licensed at $23,000 per processor or $460 per named user, making it suitable for analytical workloads needing high performance.

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Author
  • Fredrik Filipsson has 20 years of experience in Oracle license management, including nine years working at Oracle and 11 years as a consultant, assisting major global clients with complex Oracle licensing issues. Before his work in Oracle licensing, he gained valuable expertise in IBM, SAP, and Salesforce licensing through his time at IBM. In addition, Fredrik has played a leading role in AI initiatives and is a successful entrepreneur, co-founding Redress Compliance and several other companies.

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