oracle azure

Oracle Database@Azure: What It Means for Oracle Customers

Oracle Database@Azure Licensing and Cost Benefits

Oracle Database@Azure offers:

  • Cost Savings: Reduced licensing fees and operational costs.
  • Licensing Perks: Bring Your Own License Benefits and Oracle Support Rewards.
  • Migration Ease: Seamless transition for Oracle customers to Oracle Database@Azure.

Given these advantages, we predict a significant shift with most Oracle users migrating to this Azure service shortly.

What is Oracle Database@Azure

  • Collaboration with Microsoft Azure: Oracle has partnered with Microsoft to enhance cloud migration capabilities.
  • Direct Access to Services: Oracle’s hardware and software are now co-located in Microsoft’s Azure data centers. Customers get immediate access to Oracle database services on Oracle Cloud Infrastructure (OCI) via Azure.

Oracle Database@Azure Benefits

  • Complete Cloud Migration: Facilitates the transition from on-premises infrastructure to the cloud.
    Integrated Experience: Deploy and manage Oracle database instances in Azure without reconfiguring applications.
    Low Latency: Services within a single data center ensure quick access and processing.
  • Supported Features: Oracle Exadata Database services, Autonomous Database services, Real Application Clusters (RACs)
  • Customer-Centric Offerings:
    Joint Support Model: Rapid response and solutions for business-critical workloads.
    Flexible Purchasing: Buy Oracle Database@Azure via the Azure Marketplace.
    Licensing Benefits: Use existing Oracle Database licenses, including the Bring Your License and Oracle Support Rewards programs.

In simple terms, Oracle customers now have a streamlined, efficient, and integrated way to move their databases to the cloud, with the combined strengths of Oracle and Microsoft Azure.

Four Licensing and Cost Management Benefits

  1. Simplified Deployment:

You do not need to purchase Oracle Exadata Cloud at customer if you are comfortable deploying on Microsoft Azure. Customers who in the past had to invest in Oracle Exadata cloud at customer to migrate and reduce Oracle support can now migrate to Microsoft Azure.

  1. Licensing and Agreements:

You do not need an OCI / Universal Cloud Credits agreement to use Oracle database products. You can start an Oracle database instance on Azure without negotiating with Oracle. It could be used as leverage in negotiations with Oracle, especially if you’re negotiating a UCC/Oracle cloud deal and aren’t satisfied with the offer.

  1. Cost-Effective Options:

If you have EE licenses, consider moving them to an Oracle Database@Azure instance. Here, you get diagnostic and tuning as part of the Oracle BYOL option without extra costs!

Benefits of using the Oracle Database@Azure instance include free Diagnostic/Tuning and a 25/33% reduction using Oracle support rewards.

  1. Flexibility and Accessibility:

For a temporary need for an enterprise edition license, including any EE option, and if you’re using Microsoft Azure (BYOL), you no longer need to approach Oracle for additional licenses. Simply start up an instance using Oracle on Azure.

Pay for the Oracle Database@Azure with Azure commit, eliminating the need for a separate contract with Oracle. Enhance your Microsoft negotiations by securing a better Azure commit deal that covers OCI consumption.

Redress Compliance Perspective on Oracle Azure Benefits:

Migrating to the Oracle segment within Azure offers organizations a plethora of advantages:

  • Optimized Licensing: Potential savings of up to 50% on licensing calculations.
  • BYOL Advantages: The Bring Your Own License (BYOL) feature offers complimentary diagnostic and tuning services.
  • Oracle Support Rewards: Avail a 25/33% reduction on Oracle on-premises support, contingent on your consumption.

Two recommendations

  1. Organizations should consider the benefits of migrating to the “Oracle” part of Azure if they use Microsoft Azure.
  2. If you are migrating to Azure, you should evaluate pure native and Oracle parts; in our mind, the choice will land deploying on “Oracle on Azure.”  


What is Oracle Database@Azure?

It’s a collaboration between Oracle and Microsoft Azure, allowing users to deploy and manage Oracle database instances within the Azure environment. It will be globally available in the US and Europe in Q1 2024.

Do I need to purchase Oracle Exadata Cloud from Oracle and require me to have an OCI agreement with Oracle?

No, you do not need to have any agreement or be an Oracle customer. You can now buy Oracle from Azure Marketplace using your consumption commitment for Azure.

How does Oracle Database@Azure affect my licensing costs?

It offers more optimal licensing calculations, saving you as much as 50%. vs running on regular Microsoft Azure. Oracle OCI has more optimal core factor calculations than Microsoft. And as you now run Oracle on Azure, you can take advantage of these. If you run on Azure, you can achieve considerable licensing optimization by migrating from “native Azure” to Oracle on Azure.

How can I benefit from Oracle Support Rewards with Oracle Database@Azure?

You can avail of a 25/33% reduction on Oracle on-premises support based on your consumption. This support reduction is not available on “pure Azure”. How this works in practice is not released yet.

What is the BYOL (Bring Your License) benefit with Oracle Database@Azure?

BYOL provides free diagnostics and tuning as part of the Oracle option without additional costs.

Do I need an OCI/Universal Cloud Credits agreement to use Oracle database products on Azure?

You can start an Oracle database instance on Azure without any Oracle cloud agreement.

Can I use my existing Oracle licenses with Oracle Database@Azure?

You can utilize your current Oracle Database license benefits, including the BYOL and Oracle Support Rewards programs.


The advantages of operating Oracle on Azure, as opposed to solely on Azure, are clear and compelling. Given the evident benefits, it’s foreseeable that most Oracle customers will opt to migrate to this new segment within Azure at their earliest convenience.

Furthermore, Oracle patrons currently on AWS and RDS might also contemplate a switch to Azure. The driving factors for such a transition are the attractive licensing perks and the potential for reduced expenses associated with this innovative service on Azure.

The landscape is shifting, and Oracle on Azure is poised to be a game-changer in cloud services.


  • Fredrik Filipsson

    Fredrik Filipsson possesses 20 years of experience in Oracle license management. Having worked at Oracle for 9 years, he gained an additional 11 years of expertise in Oracle license consulting projects. Fredrik has provided assistance to over 150 organizations worldwide, ranging in size and tackling various Oracle licensing challenges, including Licensing Assessments, Oracle audits, Oracle ULAs, and more.