1. What is Oracle Verrazzano?
Oracle Verrazzano is an enterprise container platform for deploying and managing containerised applications across on-premises, hybrid, and multi-cloud Kubernetes clusters. Built on open-source cloud-native technologies (Kubernetes, Istio, Prometheus, etc.), it simplifies application lifecycle management for both microservices and traditional Java EE applications.
Key Capabilities
| Capability | Description |
|---|---|
| Unified Management | A single platform to deploy, secure, and monitor microservices alongside traditional WebLogic or Coherence workloads. |
| Multi-Environment Support | Consistent operations across private data centres and public clouds (Oracle Cloud, AWS, Azure). |
| Built-in Security & Observability | Integrated Istio service mesh for traffic encryption and policy enforcement, plus Prometheus/Grafana/OpenSearch for logging and monitoring. |
| Open-Source Core + Enterprise Support | Verrazzano's core is open source (Apache 2.0 licence). Oracle provides enterprise-grade support via subscription — licensing comes into play when you seek official support and updates for production use. |
2. Licensing Model Overview
Oracle Verrazzano licensing is based on processor count — specifically, the physical CPUs in the Kubernetes cluster nodes where Verrazzano is deployed. Unlike some Oracle products that offer Named User or per-core metrics, Verrazzano uses a subscription model per CPU pair.
Key Licensing Model Points
| Licensing Aspect | How It Works | ITAM Impact |
|---|---|---|
| Processor-Based Subscription | You must licence every processor (CPU) across all nodes of all Kubernetes clusters where Verrazzano components or "images" are running. | Maintain an accurate inventory of all Kubernetes nodes where Verrazzano is installed — including any cluster scaling or infrastructure changes. |
| Physical CPU Pair Metric | Each subscription covers 2 physical CPU sockets. This is the minimum granularity — even a single-CPU system requires a subscription for a 2-CPU pair. | You cannot buy half a licence. Budget at the CPU-pair level and track socket counts across all environments. |
| Oracle-Approved Partitioning | In virtual environments, Oracle's Partitioning Policy determines CPU count. Oracle-approved hard partitioning (Oracle Linux KVM with CPU pinning) allows counting only allocated vCPUs. | If using VMware or other soft partitioning, Oracle may require licensing all physical cores in the host. Exercise caution when virtualising. |
| Soft Partitioning (VMware) | Oracle generally requires licensing all physical cores in the host if the partitioning method is not Oracle-approved. A Kubernetes node as a VMware VM on a 16-core host means Oracle considers all 16 cores as licensable. | Align with Oracle's partitioning policy to avoid compliance gaps. For more on this topic, see Oracle Technology Price List — How to Calculate Pricing. |
| Admin Cluster Exemption | A dedicated Verrazzano administration cluster running only admin components (and no business application workloads) does not require a Verrazzano licence for its processors. | Design an isolated admin cluster to minimise licensing costs — a best practice that Oracle explicitly recommends and a straightforward cost saver. |
A company uses a small 2-node cluster for Verrazzano's admin console and operators, and a separate large 10-node cluster for actual applications. Only the 10-node application cluster's CPUs need licensing — the admin cluster's CPUs are exempt. If each node has 2 CPUs, this saves 2 CPU-pair subscriptions ($53,000/year in list-price terms). Actionable takeaway: Utilise an isolated admin cluster to minimise licensing costs.
Unsure About Your Oracle Verrazzano Licence Position?
Oracle's processor-based subscription model — combined with virtualisation rules, partitioning policies, and mandatory Oracle Linux support — creates significant compliance complexity. Our independent advisory helps ITAM teams audit their Kubernetes environments, validate CPU counts, and ensure full compliance before Oracle does it for them.
3. Pricing Structure and Cost Drivers
Oracle positions Verrazzano as a subscription-based product — you pay annually for the right to use the software and receive support. The pricing structure is primarily driven by two factors: the number of CPU pairs required for licensing and the level of support needed.
Pricing Breakdown
| Deployment Scenario | Subscriptions Required | Annual Licence Cost (List) | Oracle Linux Support |
|---|---|---|---|
| Small deployment (2 CPUs total) | 1 subscription (covers 2 CPUs) | ~$26,500 | ~$1,399 |
| Medium cluster (8 CPUs total) | 4 subscriptions | ~$106,000 | ~$5,596 |
| Large cluster (16 CPUs total) | 8 subscriptions | ~$212,000 | ~$11,192 |
| Admin-only clusters | Excluded from CPU count if no workloads | Cost savings by exclusion | Still required for those nodes, but no Verrazzano fee |
Key pricing details:
The standard list price for an Oracle Verrazzano Premier Support subscription is approximately $26,500 per year for each physical CPU pair. This includes the right-to-use licence plus Oracle's Software Update Licence & Support for that year. Costs scale linearly — no volume discount is built into the metric. However, enterprises can negotiate with Oracle for discounts, especially for large deployments or multi-year commitments.
Oracle Linux Support Requirement: One often overlooked cost driver is the mandatory Oracle Linux support prerequisite. Oracle Verrazzano is only supported on Oracle Linux as the host OS, and Oracle requires that you also maintain Oracle Linux Premier Support (~$1,399 per 2-CPU system per year) for each system running Verrazzano. For 10 two-CPU servers, this adds approximately $13,990/year on top of Verrazzano licence fees.
📊 Need help calculating your Oracle Verrazzano licence requirements and cost exposure?
Oracle License Management →4. Support and Subscription Requirements
Every Oracle Verrazzano licence is tied to an Oracle Premier Support subscription — Oracle enforces mandatory support coverage on all licences. This is not optional.
| Support Requirement | Detail |
|---|---|
| Premier Support — Not Optional | When you purchase Verrazzano, support is bundled and required from day one. All licensed CPUs must be under continuous support. There is no licence-only (unsupported) price. |
| No Partial Support | If you have five subscriptions, all five must be under active support contracts. You cannot drop support on some while keeping others — that violates Oracle's terms. |
| Lapsed Support = Non-Compliance | Running Verrazzano without a current support subscription is non-compliant. Oracle can audit and back-charge for periods where support was not maintained. No "grace period" exists. |
| Subscription Model — No Perpetual Licence | If you choose not to renew, your right to use the software ends. You must de-install or stop using Verrazzano. This is an ongoing OPEX item, not a one-time capital expense. |
| Oracle Linux Support — Prerequisite | Not bundled with Verrazzano. Every server running Verrazzano must have a separate Oracle Linux Premier Support contract. Oracle will consider Verrazzano unsupported without the underlying OS support. |
| Included Entitlements | 24/7 Oracle support, software updates, security patches, upgrades. Also covers integrated open-source components (Helidon, Coherence CE, Micronaut) as part of the Verrazzano stack. |
| Premier Support End Date | Oracle announced Premier Support for Verrazzano ends January 31, 2025. After that date, it enters Sustaining Support — no new patches, features, or enhancements; only access to existing fixes. |
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5. Best Practices for Cost Optimisation and Compliance
💡 10 Expert Recommendations
1. Inventory and Map Your Clusters — Maintain an up-to-date inventory of all Kubernetes clusters and nodes where Verrazzano is deployed. Map the physical CPU count of each environment to know your exact licensing needs at all times.
2. Isolate the Control Plane — Use a dedicated admin cluster for Verrazzano's system components. By not co-locating user workloads, you exclude those nodes from licensing — a straightforward cost saver.
3. Right-Size Your Kubernetes Deployment — Work with engineering teams to optimise cluster size. Prefer scaling within a node (pods per node) rather than adding nodes. Every CPU eliminated saves ~$13,000/year in subscription fees.
4. Verify Virtualisation Compliance — If using VMware, Hyper-V, or cloud VMs, consult Oracle's Partitioning Policy and verify CPU counting is correct. Use Oracle Linux KVM or Oracle VM for hard partitioning when possible.
5. Leverage WebLogic Suite Entitlements — If you already licence Oracle WebLogic Suite, you likely have entitlements to use Verrazzano Enterprise Edition at no extra licence cost for managing WebLogic workloads on Kubernetes. Verify scope with Oracle and obtain written confirmation.
6. Don't Skimp on Oracle Linux Support — Ensure every Verrazzano server has Oracle Linux Premier Support. This is both a compliance requirement and essential for receiving OS patches and security fixes.
7. Plan for Peaks — Licences Are Not Elastic — Unlike cloud-native pricing, Oracle requires licensing for the maximum CPU capacity. If your cluster auto-scales by adding nodes, those CPUs must be licensed. Set an upper limit on cluster size and don't exceed it without additional subscriptions.
8. Leverage Existing Oracle Agreements — Check if Verrazzano can be included in broader Oracle negotiations — ULAs, enterprise agreements, or Oracle cloud credit deals. Volume discounting and bundling can significantly reduce effective per-CPU cost.
9. Monitor Product Lifecycle — With Premier Support ending, Oracle may shift focus to OCNE or other container tools. This could become a negotiation point for better pricing, or trigger a platform migration strategy. Stay informed.
10. Keep Proof of Compliance — Maintain documentation of all clusters, purchase records, renewal dates, Oracle Linux contracts, architectural diagrams (showing admin-only clusters), and any Oracle communications about special entitlements. This is critical during audits.
Oracle Audit Concerns?
Oracle's Verrazzano licensing model — combined with virtualisation rules, the partitioning policy, and Kubernetes node counting — creates significant audit risk. Our independent advisory helps enterprises validate compliance, close gaps, and prepare for Oracle licence reviews before they become costly engagements.
6. Checklist: 5 Actions to Take
- Audit your current deployment. Identify all deployments of Oracle Verrazzano. Note cluster names, locations (on-prem or cloud), number of nodes, and CPUs per node. Confirm none are running without proper licensing.
- Calculate licence needs. Using CPU count data, determine the number of CPU-pair subscriptions required. Exclude pure admin clusters. Apply Oracle's core factor and partitioning rules for VMs. Document the calculation for each environment.
- Verify support coverage. Cross-check that you have active Verrazzano Premier Support subscriptions equal to the number of CPU pairs calculated. Verify that each Verrazzano host has Oracle Linux Premier Support. If there are gaps, purchase the needed support or migrate the workload.
- Implement architecture changes. If your audit reveals inefficiencies (mixed admin/workload clusters, low-utilisation nodes), plan changes: separate the Verrazzano control plane into a dedicated cluster, consolidate applications to fewer nodes, or adjust VM hosting arrangements to reduce licensing requirements.
- Engage Oracle or a licensing advisor. Before your next renewal or expansion, review your findings with Oracle or a trusted licensing advisor. Discuss optimisations (WebLogic Suite entitlements, volume discounts). Ensure special arrangements are noted in contracts. Align on a renewal plan that secures support for the next term without surprises.
7. Frequently Asked Questions
🔗 Oracle Official Resources
Oracle Verrazzano Enterprise Container Platform
Verrazzano Open Source Project
Oracle Partitioning Policy (PDF)
Oracle Technology Price List (PDF)
Oracle Linux — Products and Support