If you have ever been asked, “What is an Oracle ULA?” You probably already know how it works and how much it costs to use Oracle products. A ULA is a type of contract that you have agreed to with Oracle, so you’ll want to make sure you know how to get out of it. In many cases, you can do this by sending Oracle a letter signed by a C-level executive. The letter should explain why you are terminating the ULA, and how many licenses are being certified.
When signing a ULA, you should ask whether the license you are signing actually covers unlimited products. An unlimited agreement will usually cover a number of products, but you don’t have unlimited access to them. You may also find that new products are released during the term of the agreement. While you can extend your contract, remember that it doesn’t mean you can use unlimited products. Most agreements only cover a set of products
ULA is the flagship licensing agreement for Oracle. Most software companies have enterprise agreements that are suited for their largest customers. Oracle is no different, they have named their enterprise agreement the Unlimited License Agreement. Oracle has been very successful in selling their enterprise agreement, but the agreement has a mixed reputation in the market, let us explain why;
If you have ever been asked, “What is an ULA?” You probably already know how it works and how much it costs to use Oracle products. A ULA is a type of contract that you have agreed to with Oracle, so you’ll want to make sure you know how to get out of it. In many cases, you can do this by sending Oracle a letter signed by a C-level executive. The letter should explain why you are terminating the ULA, and how many licenses are being certified.
When signing the agreement, you should ask whether the license you are signing actually covers unlimited products. It will usually cover a number of products, but you don’t have unlimited access to them. You may also find that new products are released during the term of the agreement. While you can extend your ULA, remember that it doesn’t mean you can use unlimited products. Most agreements only cover a set of products.
The contract provides unlimited license deployment rights for a subset of Oracle products. The agreement typically lasts for a period of 3 years, but the term can be between 1-5 years. Oracle have a version of this agreement that does never expire, also know as the Oracle PULA or Perpetual ULA.
The first question that arises is how does an unlimited license agreement work? It is not enough to just agree to the terms of the contract. You must understand the terms and conditions before you can make a final decision. You pay a one time license fee that provides you with unlimited deployment rights for a subset of products. The unlimited period will end usually after 3 years, but it can be 1-5 years. There are no reporting requirements until the agreement is expiring.
Usually 6 months before your ULA is about to expire, Oracle will ask if you want to renew, migrate to a PULA or certify the agreement . If you decide to certify (exit) the agreement, you need to report deployment numbers to Oracle, its very similiar to what an Oracle license audit looks like. It is important to remember that your support will not increase based on your certification quantities, the support will remain the same as during the agreement. The number one mistake companies make is that they have accidentially deployed non ULA software and are found to be non-compliant during this “certification process” it often leads to a costly renewal of the ULA instead of exit.
Short TesisIf you have growth in Oracle software and are looking at purchasing Oracle software licenses with a list price for more than 2M USD. Entering an Unlimited license agreement provides a fixed cost for the Oracle products that can offer a most cost-effective way of purchasing Oracle licenses.
Short TesisWhile in the agreement, you can deploy on virtual environments without considering the licensing implications, this includes VMware. Oracle has always had a negative view on deploying Oracle on VMware when it comes to licensing. Oracle has required customers to license all physical cores in all physical hosts in all your VMware environments. ULA agreement turns the negative into a positive as deploying in virtual environments will gain more licenses when you exit the agreement .
Short TesisYou can renegotiate old licensing agreements containing the products that will be part of the ULA agreement. Older licensing agreements will migrate into a new agreement. This is an opportunity to improve the licensing terms for your Oracle software investments.
Short TesisUnlimited License Agreement offers benefits for companies using Oracle Cloud. You can use the ULA software as BYOL to Oracle cloud. You will also get a 33% return on your support bill if you utilize Oracle support rewards program.
Short TesisThe company will away the right to partially terminate licenses and connected support when entering the ULA. “Unbreakable contract”
Short TesisCompanies are often found to be non-compliant with the agreement if they lack Oracle licensing knowledge. This forces them to renew the agreement or purchase additional Oracle software licenses.
Short TesisUnlimited agreements are very restrictive on merger & acquisitions. Review the licensing terms carefully before agreeing.
Short TesisIf a company does not deploy software during the term, then they will not realize the true value of the agreement.
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ULA agreements pricing ranges from 1 MUSD to +50M. How much you end up paying depends on how many Oracle products you include, the length of the contract and negotiation specifics, such as competitive alternative. There is no price list for Oracle unlimited license agreements
The ULA certification process is the name Oracle has given the process for leaving unlimited license agreement. This includes an Oracle license audit where you together with Oracle will need to count and calculate how many Oracle licenses deployed at the time the ULA ends. This is very similar to how an Oracle license audit works.
Moving from an ULA to a public cloud environment presents many opportunities, but many customers aren’t sure how to proceed. Oracle licensing in a public cloud environment is often misunderstood and surrounded by confusing non-contractual policies. While moving to the cloud is an excellent opportunity to improve your deployments, a wrong understanding of Oracle licensing can result in missed opportunities or unexpected compliance risks. To avoid these pitfalls, learn more about the ULA and public cloud environments. If you’re thinking about migrating from an Oracle estate to a cloud environment, you should understand how a ULA works. Oracle’s ULA is a powerful licensing tool, but it’s also an important part of your overall IT budget. The ULA must be evaluated before you can move forward. If you’re considering a ULA transition, consider the following three considerations. First, determine what your current ULA’s financial value is.
The earlier you begin to review your Oracle licensing deployments and ULA agreement terms, the more success you will have. Best practices are to begin the Oracle licensing assessment minimum 6 months before the ULA end. If you speak to Gartner or any other research firm, they will all advise that you need to perform an independent licensing assessment to enable an exit of the Oracle unlimited license agreement.
One of the benefits of entering the ULA, is that it gives you an opportunity to renegotiate all your existing Oracle licensing agreements. Many companies improve their terms as they usually have a legacy of old contracts that are outdated. When you renew the agreement , you are given another opportunity to amend contractual risk and improve your terms with Oracle.
If you renew your Unlimited agreement, you should take the same approach and perform a contract analysis of your agreement. What can be improved and was there any contractual risk in your first Oracle contract?
You can negotiate to add additional Oracle software products.
You can remove software products you do not need.
You can renegotiate all your contract terms.
You can renew your agreement as it is – with the same products, same terms.
You can renew your agreement and remove/add products with same terms.
You can renew your agreement and add/remove with new terms.
You can sign an Oracle PULA instead of an Oracle ULA. Just make sure that you include a self-exit clause.
You can sign a shorter agreement extension such as 6-12 months
First time you enter an Unlimited license agreement you will need to carefully review which Oracle products you want to include in the agreement. The trade-off you do with Oracle when you enter into an ULA, is that you give away the right to partially terminate support and licenses for any products part of the Ocontract. All existing support contracts will be migrated into a new support contract (CSI) for the Oracle Unlimited License Agreement, which will make it almost impossible to reduce licenses and support. Oracle has made this possible in their technical support policies. We have written about this in 3 support policies you must know about.
One agreement is applied to older Oracle Java versions and patches and Java OTN is for Oracle Java 11 and to 17. At Java 17 Java No-fee license agreement applies, the third licensing agreement.
greement is applied to older Oracle Java versions and patches and Java OTN is for Oracle Java 11 and to 17. At Java 17 Java No-fee lic.
greement is applied to older Oracle Java versions and patches and Java OTN is for Oracle Java 11 and to 17. At Java 17 Java No-fee lic
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Redress compliance are experts in Oracle License Management. Redress is recognized as the leading Oracle licensing experts providing Oracle license compliance, Oracle audit defense, Cloud transition and Oracle ULA services. Serving clients in 41 countries across The US, Europe, Africa, Middle-East, Japan and Brazil.
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