Oracle database licensing

Oracle TimesTen Application Tier Database Cache Licensing

Oracle TimesTen Application Tier Database Cache Licensing for ITAM

Oracle TimesTen Application Tier Database Cache Licensing for ITAM

Oracle TimesTen Application-Tier Database Cache is an in-memory database cache option for Oracle Database Enterprise Edition, designed to boost application performance by keeping critical data in the application tier.

However, licensing this option requires careful alignment with your existing Oracle Database licenses.

This advisory provides IT asset managers with a detailed examination of TimesTen cache licensing models (per processor or named user), costs, compliance pitfalls, and best practices to optimize licensing and avoid unexpected costs.

Introduction

Oracle TimesTen Application-Tier Database Cache (often simply referred to as โ€œTimesTen Cacheโ€) is an in-memory relational database that caches a subset of Oracle Database data in the application tier.

By doing so, it drastically reduces latency for read-write operations, benefiting high-throughput applications (e.g., financial trading or telecom systems that demand microsecond responses).

For global enterprises, TimesTen Cache can offload workload from the core Oracle Database and improve scalability.

From a licensing perspective, TimesTen Cache is not a free feature of Oracle Database Enterprise Edition (EE) โ€“ it is a separately licensed product option.

(Notably, it is included at no additional cost with Oracle Database Personal Edition, but Personal Edition is generally limited to single-user environments and not typically used in enterprises.)

In an enterprise setting with Oracle EE, TimesTen Cache is a premium add-on that must be factored into your IT asset management plans.

Licensing Model and Metrics

TimesTen Cache licensing mirrors Oracle Database EE licensing. This means the license metric and quantity for TimesTen must match those of the underlying Oracle Database EE deployment itโ€™s accelerating.

Oracle offers two standard licensing models for TimesTen: Processor and Named User Plus (NUP).

  • Processor Licensing: Count all processor cores on the servers where TimesTen Cache will be installed. Every core must be licensed. If you processor licenses your Oracle Database EE, you will also license TimesTen on a per-processor basis. Oracle uses the same processor-core factor calculations here as it does for databases (for example, multi-core chips have core factors, but in many cases today x86 cores count 1:1). This model is typical for large deployments or when user counts are not easily limited.
  • Named User Plus Licensing: Count all unique individuals (or devices) that will access the TimesTen Cache. If your Oracle Database EE is licensed on a Named User Plus basis, your TimesTen licensing should also be NUP, with at least as many named users as the database. Oracle enforces a minimum of 25 Named User Plus per processor for TimesTen (as with its database licensing). This model can be cost-effective for smaller user populations or internal applications where the user count is well-defined and relatively low compared to the serverโ€™s processing power.

The alignment requirement means you cannot mix metrics (e.g., you canโ€™t license Oracle DB by processor but TimesTen by user, or vice versa).

It also means the quantity must match: for example, if you have four processors licensed for Oracle EE, you need four processors licensed for TimesTen; if you have 100 named users on Oracle EE, you must license 100 named users for TimesTen Cache (or more, but not fewer).

This one-to-one alignment is crucial for compliance โ€“ any mismatch can be viewed as a licensing shortfall during an audit.

Pricing and Cost Examples

Oracleโ€™s Technology Global Price List sets out TimesTen Application-Tier Database Cache pricing. According to recent price lists, the costs are: $23,000 per processor license, or $460 per Named User Plus license (all prices in USD, list price).

In addition, annual support fees are typically 22% of the license price (about $5,060 per processor license per year, or around $101 per NUP per year).

These are list prices before any enterprise discounts; large customers may negotiate lower rates.

To put this in perspective:

  • Processor License example: Suppose you plan to deploy TimesTen Cache on an application server cluster with a total of 4 processor cores dedicated to TimesTen. The license fee would be $92,000 (plus approximately $20,240/year in support). This assumes you also have the four cores licensed for Oracle Database EE itself (the license for the database is separate, typically around $47,500 per processor for Oracle EE).
  • Named User Plus example: If 75 distinct users (e.g., internal application users or devices) will be accessing data through TimesTen, and you choose NUP licensing, youโ€™d need 75 NUP licenses at $460 each, which totals $34,500 (with about $7,590/year in support). This would align with an Oracle Database EE environment with 75 named users licensed. Keep in mind Oracleโ€™s 25-per-core minimum: if those 75 users are supported by, say, a 4-core server, Oracle would normally require at least 100 NUP (25 ร— 4) for compliance. In that case, you would license 100 NUP for TimesTen (100 ร— $460 = $46,000).

For a quick comparison of the two licensing models and when each makes sense, see the table below:

CriteriaProcessor LicensingNamed User Plus (NUP) Licensing
Basis of licensingPer processor core on TimesTen serversPer named user (or device) accessing TimesTen
Alignment with Oracle EEMatch total processor count of Oracle EE deploymentMatch user count of Oracle EE (min 25 per core)
List Price (USD)$23,000 per processor (plus ~22% yearly support)$460 per user (plus ~22% yearly support)
Best forLarge-scale deployments, high throughput, or when user population is broad or unknownSmaller, controlled user bases where users can be counted
Example Cost4 processors = $92,000 (license fee)75 users = $34,500 (license fee)

These costs underscore that TimesTen Cache is a significant investment.

Enterprises often budget for TimesTen as they would for a major database option โ€“ it is on par with other Oracle database options, such as Oracle RAC or Oracle In-Memory, in terms of price.

Also note that if you were to use TimesTen in a standalone capacity (not caching an Oracle database), Oracle actually offers a separate TimesTen In-Memory Database product license, which comes at a higher cost ($47,500 per processor, list price) but does not require an Oracle database license.

In contrast, the Application-Tier Cache option (at $ 23,000 per processor) is a lower-cost option but requires that you also have an Oracle Database EE license (itโ€™s considered an add-on option to Oracle DB, not a standalone product in that context).

Deployment and Compliance Considerations

Deploying TimesTen Cache in an enterprise environment comes with specific requirements and implications:

  • Must-Have Oracle Database EE: TimesTen Application-Tier Database Cache is now an officially supported Oracle Database option. This means you are expected to have a licensed Oracle Database Enterprise Edition that serves as the source of the data being cached. The TimesTen cache license is only valid when caching data from an Oracle database. Oracleโ€™s rules stipulate that at least one cache group (table) in TimesTen must be linked to an Oracle DB table for the TimesTen โ€œCacheโ€ license to be valid. Suppose you deploy TimesTen but donโ€™t cache any Oracle data. In that case, youโ€™re technically using it as a standalone database โ€“ in which case, you should have the full TimesTen In-Memory DB license instead.
  • Enterprise Edition Only (except Personal Edition): The cache option is available for Oracle Database EE (including EE on Exadata). It is included with Personal Edition (which is a special case for single-user environments), but it is not available for Standard Edition or other editions. Standard Edition customers who want TimesTenโ€™s capabilities must either upgrade to EE or purchase TimesTen as a separate product. This is an important point for compliance: if an Oracle audit finds TimesTen in use, they will expect to see an EE database license in place (unless itโ€™s Personal Edition usage).
  • License Every Deployment Environment: Like most Oracle software, any environment where TimesTen is installed and/or running must be licensed. This includes production, testing, QA, and development environments, unless you are using the free TimesTen XE version or Personal Edition in a non-production context. A free TimesTen Express Edition (TimesTen XE) is available for Linux. Still, it is limited (e.g., it can use up to 16 GB of memory) and is not supported by Oracle Support. Enterprises might use TimesTen XE for development or prototyping to avoid extra license costs, but for any production or full-scale test use, you need to have licenses. Oracle does not differentiate licenses by environment โ€“ if the software is installed and not under a free license category, it counts.
  • TimesTen Scaleout considerations: TimesTen can be deployed in a scaleout cluster (multiple TimesTen nodes for a single distributed in-memory database). Oracle has stated that you do not need to license the CPUs of purely administrative or redundant components in a TimesTen scale-out deployment (for example, TimesTen management instances or ZooKeeper coordination servers). You only need to license the cores that run the TimesTen data stores. Still, you should document these roles clearly in case of an audit to show why certain servers running TimesTen components were not licensed (i.e., because they donโ€™t process user data).
  • Cloud deployments: If you deploy TimesTen in the cloud (e.g., on Oracle Cloud Infrastructure or other IaaS), the licensing rules generally mirror those of on-premises deployments (BYOL โ€“ Bring Your Own License). Oracle Cloud also offers Oracle Database services, but TimesTen is not currently available as a cloud-managed service; instead, it is run on compute instances. Ensure that you account for all vCPUs or user counts similarly. Oracleโ€™s contract terms for the cloud may have specific nuances (such as counting vCPU as half a processor license in OCI for BYOL), so consult Oracleโ€™s cloud licensing policy. The key is that TimesTen is still an Oracle program you must license โ€“ moving to cloud doesnโ€™t make it free.

Common Pitfalls and Audit Risks

Managing TimesTen licensing in an enterprise, ITAM professionals should watch out for several common pitfalls:

  • Assuming itโ€™s โ€œfreeโ€ or automatically included: A common misconception is that because TimesTen Cache is closely tied to Oracle Database, it is covered under an Oracle Database license. It is not (except in Personal Edition). TimesTen must be explicitly licensed as an option. Many enterprises have been caught off guard in audits where they deployed TimesTen for caching without purchasing the necessary licenses, often under the false impression that it was included in the Enterprise Edition. Always treat TimesTen as a separate product in your license inventory.
  • Metric mismatches: If your Oracle Database is licensed per processor but you only licensed TimesTen by Named User (or vice versa), thatโ€™s non-compliant. Likewise, if you have fewer TimesTen licenses than database licenses (e.g., your database runs on eight cores but you only licensed four cores for TimesTen to โ€œsave moneyโ€), Oracle will flag that. The rule is clear: license TimesTen to the same scale as the database it caches. Any discrepancy can result in severe penalties during an audit. Align the counts even if you think not all users will use the cache or not all CPUs are busy โ€“ Oracle requires full coverage.
  • Partial deployment without full licensing: Sometimes a project team might install TimesTen on a few app servers for a pilot or performance test, and then it stays deployed longer than intended. Even if TimesTen is installed and not heavily used, if itโ€™s in active use (or even just configured and capable of use), Oracle will consider it requiring licensing. Ensure that any installation of TimesTen is either properly licensed or promptly uninstalled if it is not licensed. Keep an internal register of where TimesTen is installed.
  • Forgetting Named User minimums: If using NUP licensing, remember the 25-user minimum per core rule. Oracle will calculate the required minimum number of NUP licenses based on the hardware. For example, a server with eight cores requires at least 200 Named User Plus licenses, even if you have only 50 actual users. This often trips up compliance checks โ€“ companies count users but overlook the minimums. Always cross-check user counts against hardware core counts.
  • Unlicensed disaster recovery or testing servers: Ensure that any DR servers, standby servers, or test instances of TimesTen are licensed, unless they qualify under a special policy. Oracleโ€™s standard policies (for databases) permit some standby databases to be temporarily used without an additional license under certain conditions (e.g., the failover within 10-day rule). However, there is no explicit public rule for TimesTen cache option usage on standby environments โ€“ so assume each installed instance needs a license. Itโ€™s safer to include DR servers in your license count or obtain written clarification from Oracle.
  • Audits targeting TimesTen: Oracle License Management Services (LMS) is aware that options like TimesTen are sometimes overlooked in licensing counts. During audits, they often run scripts or questionnaires that will reveal TimesTen usage (for example, checking if the TimesTen software or cache groups exist). Be prepared to show proof of licenses for TimesTen if youโ€™re using it. Inadequate preparation for an audit can result in a substantial, unexpected license compliance bill for this option. Proactively audit your TimesTen usage internally just as you would your core database licenses.

Cost Optimization Strategies

While TimesTen Application-Tier Database Cache can be expensive, enterprises have a few strategies to manage and optimize these licensing costs:

  • Evaluate Named User Plus vs. Processor: Choose the licensing metric that best fits your scenario. If you have a controlled user base (e.g., an internal application with 50 users), NUP licensing may be significantly cheaper than per-processor licensing. On the other hand, if you have thousands of users or an internet-facing application, processor licensing might be the only practical choice. Revisit this choice periodically; if the user count grows significantly, it might become more cost-effective to switch to processor licenses (Oracle typically allows metric migrations if you true-up accordingly).
  • Limit the deployment footprint: Deploy TimesTen Cache only on servers and for applications that truly require ultra-low latency. Each additional server or core running TimesTen adds to your license count. Consider consolidating workloads โ€“ for instance, instead of running TimesTen on 10 separate application servers, you might run a smaller number of larger TimesTen instances that serve multiple applications (if your architecture permits). This can reduce the total number of processor licenses required, especially if some servers were underutilized. Be mindful of the trade-offs between performance and licensing.
  • Leverage Oracle Personal Edition or XE for non-production: For development and test environments, you can use Oracle Database Personal Edition (which includes TimesTen option at no cost) or TimesTen XE (free) to avoid license fees outside of production. The Personal Edition is licensed per user (and cannot be used on servers with multiple users), making it suitable for a developerโ€™s sandbox or functional testing by a single user. TimesTen XEโ€™s limitations (16 GB memory cap and Linux-only) mean itโ€™s not suitable for large-scale testing, but it’s fine for small trials. Using these free or low-cost versions in non-prod can save significant money, as long as you ensure they are not used in production and you stay within their usage restrictions.
  • Negotiate in Enterprise Agreements: If your company is entering an Unlimited License Agreement (ULA) or a strategic enterprise deal with Oracle, consider including TimesTen in the scope of the agreement. ULAs often cover core products and some options for a fixed period, allowing unlimited deployment. If TimesTen is critical to your architecture, negotiating it into a ULA or pool-of-funds agreement can provide cost certainty and flexibility. (Be aware: if TimesTen isnโ€™t included and you deploy it during a ULA thinking itโ€™s โ€œunlimited,โ€ you could face a surprise at ULA exit when itโ€™s counted.) Always confirm which products and options are covered in any enterprise agreement.
  • Keep support costs in check: Remember that a 22% support cost compound interest rate compounds every year. If you have legacy TimesTen licenses that you are no longer actively using, consider either terminating support (if permitted) or repurposing those licenses elsewhere. Oracle support costs can often be negotiated down for large bundles โ€“ you might negotiate a cap or discount on support increases as part of your contract. Also, ensure youโ€™re benefiting from TimesTen in performance; otherwise, youโ€™re paying support on an idle product.
  • Alternative technologies for caching: In some cases, you may achieve similar performance gains with other solutions. Oracle offers the Database In-Memory option (also $23k/processor,) which accelerates analytics inside the Oracle DB itself, though it targets query performance rather than the ultra-low latency for transactions that TimesTen provides. Oracle Coherence (an in-memory data grid) is another product (comes with WebLogic Suite) that provides caching for Java applications. Outside Oracle, technologies like Redis or Apache Ignite can serve as distributed caches. These alternatives have their own cost/licensing implications (open source or other licenses) and may not provide the same seamless integration with Oracle Database transactions that TimesTen does. But for ITAM professionals, itโ€™s wise to consider if the use case truly requires TimesTen or if a less costly caching approach could suffice. Using the right tool for the job can avoid unnecessary licensing of an Oracle option.

Recommendations

Practical Tips for Managing Oracle TimesTen Cache Licensing:

  • 1. Align Metrics with Database: Always license TimesTen using the same metric (Processor or NUP) as your Oracle Database EE. This alignment is non-negotiable for compliance.
  • 2. Match Quantities Exactly: Ensure the number of processors or users licensed for TimesTen equals those licensed for the Oracle database (observing minimums for NUP). This one-to-one matching will keep you safe in audits.
  • 3. Document All Deployments: Maintain an up-to-date inventory of where TimesTen is installed (hostnames, cores, users, versions). This documentation makes internal compliance checks and audit responses much easier.
  • 4. Train Technical Teams: Educate your database admins and developers that deploying TimesTen has license implications. They should treat TimesTen like any Oracle DB installation โ€“ requiring approval and license allocation before use.
  • 5. Use Free Editions Strategically: Leverage TimesTen XE or Oracle Personal Edition for development and small test environments to save on licensing, but strictly segregate these from production use.
  • 6. Monitor Usage and Performance: Regularly assess if TimesTen is delivering enough performance benefit to justify its cost. If certain applications no longer need it, you might decommission TimesTen to reduce license footprint (and drop support on those licenses at renewal).
  • 7. Negotiate with Oracle: If planning a major deployment, involve Oracle early. You might secure better pricing or get TimesTen bundled in a deal. Always get any special terms in writing (especially for things like disaster recovery licensing or cloud use cases).
  • 8. Internal Audit Readiness: Periodically run Oracleโ€™s license audit scripts or your checks to ensure no โ€œdriftโ€ (e.g., someone enabled TimesTen caching on a new app server without telling procurement). Proactively address any gaps before Oracleโ€™s auditors do.
  • 9. Consider Alternatives for New Projects: Donโ€™t assume TimesTen is the only choice for caching. Evaluate whether the Oracle Database In-Memory option or an open-source caching tier can meet the requirements, especially if the licensing budget is a concern.
  • 10. Stay Informed on Licensing Policy: Oracleโ€™s licensing rules can evolve. Stay informed about any announcements or updates regarding the licensing of TimesTen (or related options), particularly in cloud or virtualization contexts. Knowledge is your best tool to avoid unplanned costs.

Checklist: 5 Actions to Take

For ITAM professionals looking to manage Oracle TimesTen Application-Tier Database Cache licensing, here is a simple step-by-step plan:

  1. Discover and Inventory: Identify all instances of Oracle TimesTen in your organization. Check with application teams, scan for installations, and confirm where TimesTen is being used (or planned) as a cache for Oracle Database. Document the servers (with CPU counts) and users accessing each instance.
  2. Verify Oracle DB Licensing: Ensure that each TimesTen deployment is tied to an Oracle Database Enterprise Edition that is properly licensed. If any TimesTen usage is found without an underlying Oracle EE license (or in a Standard Edition environment), flag it โ€“ you may need to obtain an EE license or switch to a standalone TimesTen license model.
  3. Choose Licensing Metric: Determine whether to use Processor or Named User Plus for each environment, aligning with the Oracle Database licensing model. If your Oracle DB is on a processor license, plan for processor licenses for TimesTen; if on NUP, gather the user counts and ensure you meet minimums. This step may involve collaboration with DBAs and architects to foresee how many cores or users will be involved.
  4. Calculate and Budget: Calculate the required number of TimesTen licenses and the total cost. Use Oracleโ€™s price list (and your discount if applicable) to estimate license fees and annual support. For example, count the processors on all TimesTen servers to determine the total number of processor licenses needed (or aggregate named users if using NUP). Prepare this budget information for approval.
  5. Procure and Implement Controls: Purchase the necessary TimesTen licenses (or include them in your Oracle agreement). Then, implement governance by updating your configuration management database (CMDB) and license management tools with these licenses, and establish a policy that requires any new TimesTen deployment to undergo ITAM approval. Additionally, schedule periodic internal reviews to ensure ongoing compliance (e.g., a quarterly check to verify that TimesTen usage hasnโ€™t expanded beyond whatโ€™s licensed).

By following this checklist, youโ€™ll create a defensible position for TimesTen licensing and prevent costly compliance issues.

FAQ

Q1: What exactly is Oracle TimesTen Application-Tier Database Cache in an enterprise context?
A: Itโ€™s an in-memory database system that serves as a cache for Oracle Database EE. In practice, you load a subset of critical Oracle DB tables into TimesTen (residing in the application server tier) to achieve much faster query and transaction response times. The TimesTen Cache maintains data synchronization with the main Oracle Database, either in real-time or near real-time. Enterprises use it to accelerate read-heavy and time-sensitive workloads without replacing their main Oracle Database.

Q2: Is TimesTen Cache included with any Oracle Database purchase for free?
A: Only with Oracle Database Personal Edition โ€“ which is a limited-use edition usually for single-user, desktop, or development scenarios. In all enterprise cases (Oracle Database Enterprise Edition, whether on-prem, Exadata, or cloud), TimesTen Cache is not included and must be licensed separately. Suppose you have an Oracle EE license; that alone does not entitle you to use TimesTen Cache unless youโ€™ve purchased the TimesTen option. Always assume itโ€™s an add-on cost unless you see it explicitly in your contract or order documents.

Q3: How do we license TimesTen Cache in a virtualized or cloud environment?
A: The same fundamental rules apply. If using processor licensing, you must license all processor cores that the TimesTen software can run on (taking into account Oracleโ€™s policies on counting virtual CPUs or physical cores depending on the cloud/virtualization technology). Oracle has specific partitioning policies โ€“ for example, on Oracleโ€™s cloud (OCI), 1 OCPU is considered equivalent to 1 processor license. If using NUP, count the users as you would on-premises. The key is that moving to a cloud infrastructure doesnโ€™t eliminate the need for a TimesTen license for each processor or user. If anything, be extra cautious in virtual environments to properly limit and document the CPUs running TimesTen (e.g., using hard partitioning or trusted VM policies if you aim to reduce core counts for licensing purposes).

Q4: What happens if we use TimesTen without proper licensing?
A: Running any Oracle software without a license puts you at risk of compliance issues. Oracleโ€™s audit team can request a review of your deployments. If they find TimesTen in use (through tool outputs, support requests, etc.) without a corresponding license, your organization could be required to purchase the licenses retroactively, often at list price with backdated support, and potentially face penalties or termination of other support agreements until compliance is resolved. It can result in an unbudgeted expense. In short: itโ€™s not worth the risk. Always address licensing up front.

Q5: Can we switch our TimesTen licensing from Named User Plus to Processor (or vice versa) later on?
A: Yes, you can change the licensing model, but it usually involves purchasing the appropriate licenses to cover the new model and possibly retiring the old ones. For instance, if you initially licensed 200 NUPs and later determine that a processor model makes more sense (for example, if you want unlimited user access), youโ€™d work with Oracle to trade in or migrate to processor licenses (often via an upgrade SKU or by purchasing new licenses and terminating the old). Oracle might credit some value of the existing licenses toward the new ones if done in good faith as part of a true-up. The key condition is that at no point can you be under-licensed: the transition must be handled so that you remain compliant during the switch. Itโ€™s best done at a renewal or expansion point in your contract, with Oracleโ€™s approval.

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  • 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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