Oracle Licensing

Oracle Licensing on Amazon RDS for Oracle: Step-by-Step Guide

Oracle Licensing on Amazon RDS for Oracle

Oracle Licensing on Amazon RDS for Oracle

When using Amazon RDS for Oracle, licensing can be managed in two ways: License Included or Bring Your Own License (BYOL). Each approach has specific rules, limitations, and considerations.

Here’s a practical breakdown of how Oracle licensing applies to RDS, including clear examples and compliance guidance.

Read Oracle on AWS Licensing FAQs 2 of 4


1. License-Included Option (Standard Edition Only)

What it is:
AWS provides Oracle Standard Edition (currently Standard Edition 2 (SE2)) licenses included in the hourly RDS pricing.

Key points:

  • AWS manages all licensing responsibilities.
  • No separate Oracle licenses are required from you.
  • Limited to Oracle SE2 (Enterprise Edition not available as license-included).
  • Restricted to certain Oracle database versions supported by AWS RDS.

Practical Example:

  • You launch an RDS Oracle SE2 instance in “License Included” mode:
    • You pay hourly fees to AWS (license cost bundled).
    • No separate Oracle license compliance is required.
    • You cannot use Enterprise Edition features/options.

2. Bring Your Own License (BYOL) Option

What it is:
You provide your own Oracle licenses for Amazon RDS, typically for Oracle Enterprise Edition (EE) or when leveraging existing Standard Edition licenses.

Key points:

  • Indicated at RDS instance creation (“BYOL” mode).
  • You pay AWS only for infrastructure (no Oracle license fees included).
  • You must own sufficient Oracle licenses to cover RDS instance vCPUs.

License Counting Rules (RDS BYOL):

  • AWS RDS uses standard Oracle cloud vCPU licensing rules:
    • 2 vCPUs = 1 Oracle Processor license (assuming hyper-threading).
    • Oracle core factor does not apply on AWS RDS.

Practical Example:

  • RDS instance with 8 vCPUs running Oracle EE in BYOL mode:
    • Requires 4 Oracle EE Processor licenses from your existing licenses.

3. Tracking and Compliance for RDS BYOL

Your responsibilities:

  • Ensure adequate Oracle licenses allocated to RDS instances (based on vCPUs).
  • Maintain internal documentation clearly distinguishing between BYOL vs. License-Included instances.
  • AWS clearly states how many vCPUs each RDS instance has, simplifying compliance checks.

Audit Considerations:

  • Oracle can audit your BYOL usage on AWS RDS.
  • AWS “License-Included” instances are not part of your license obligations (AWS is responsible).
  • Document which RDS instances are BYOL to demonstrate compliance quickly during audits.

Read Oracle on AWS: Minimum License Requirements.


4. Feature and Option Licensing on RDS (BYOL required)

  • RDS has some Oracle feature restrictions due to its managed nature (limited SYSDBA access, etc.), but you can use Oracle database options like:
    • Advanced Security Option (Transparent Data Encryption – TDE)
    • Multitenant option (more than 3 Pluggable Databases)

Licensing Oracle Options (BYOL):

  • Advanced Security or Multitenant must be licensed separately through your Oracle agreements.
  • AWS does not include Oracle EE options in License-Included RDS.

Practical Example:

  • You run Oracle EE with 5 Pluggable Databases (PDBs) on RDS (Oracle 19c):
    • Requires Oracle Multitenant option licenses in addition to Oracle EE licenses.
    • AWS won’t restrict you from using these features if you use BYOL, but you must ensure compliance.

Practical Licensing Scenarios: RDS for Oracle

ScenarioLicense ModelLicensing Required
RDS Oracle SE2 instance (basic DB)License-IncludedNo separate Oracle licenses required
RDS Oracle EE (8 vCPUs)BYOL4 Oracle EE processor licenses (8 ÷ 2)
RDS EE with Advanced Security Option (TDE)BYOLEE processor licenses + Advanced Security licenses
RDS EE Multitenant with 4+ PDBsBYOLEE processor licenses + Multitenant licenses

Summarized Licensing Checklist for RDS Oracle

License-Included: Available for SE2 only
BYOL is required for Enterprise Edition and options
Track vCPUs clearly for BYOL compliance
Oracle options (e.g., TDE, Multitenant) require separate BYOL licenses
Maintain clear internal documentation (BYOL vs License-Included)


Common Misunderstandings Corrected

  • Misconception: “AWS includes all RDS Oracle licenses.”
    Reality: Only Standard Edition 2 (SE2) is available as license-included.
  • Misconception: “RDS Enterprise Edition includes Oracle options licensing.”
    Reality: Oracle EE and additional options always require BYOL.
  • Misconception: “AWS prevents unauthorized Oracle options usage.”
    Reality: AWS doesn’t technically block option usage—responsibility for compliance rests entirely with you (BYOL mode).

Read Oracle Database Editions on Amazon RDS.


Conclusion: Oracle Licensing on Amazon RDS

Amazon RDS for Oracle offers two distinct licensing models:

  • License Included (SE2 only): AWS provides licenses as part of the hourly cost. No additional compliance is required.
  • BYOL (EE & options): You provide Oracle licenses, ensuring compliance with database and optional features.

Understanding these licensing models ensures Oracle compliance, cost-effective operations, and effective use of Amazon RDS for Oracle deployments.

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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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