Oracle ULA

What is a Hybrid Oracle ULA?

What is a Hybrid Oracle ULA?

Recently, Oracle has introduced a new variation of its Unlimited License Agreement known as the Hybrid ULA.

The Oracle Hybrid Unlimited License Agreement (ULA) is a relatively new licensing structure that combines traditional ULA benefits and added flexibility.

The ULA works the same as a normal ULA in many ways, the differences are at the end.

You must comprehensively understand your choices for organizations currently holding or contemplating an active Oracle ULA.

The Oracle Hybrid Unlimited License Agreement (ULA) is a relatively new licensing structure that combines traditional ULA benefits and added flexibility.

What is an Oracle Hybrid ULA?

What is an Oracle Hybrid ULA?
  • Unlimited Access: Similar to the traditional ULA, the Hybrid ULA provides unlimited access for a predetermined number of years.
  • Fixed Existing Licenses: This allows customers to certify and fix the number of licenses they have from an initial ULA. (If you have an existing ULA)
  • New License Fee: A new license fee is involved, akin to the classic ULA.

How is Oracle Hybrid ULA different from Classic ULA?

How is Oracle Hybrid ULA different from Classic ULA

The Hybrid ULA stands out at the end of the term with two distinct options:

  • Certification Option: Like the classic ULA, you report your usage to Oracle. Oracle then converts this reported usage into a fixed quantity of licenses, and the technical support fees are rolled into your overall support contract.
  • Non-Certification Option: If you don’t need additional licenses, declare this to Oracle. No new licenses are added post-Hybrid ULA, and the technical support fees paid during the term are discontinued.

When is an Oracle Hybrid ULA Beneficial?

  • Control Over Support Fee Increases: If you’re facing steep annual increases in technical support fees (8% or more) and wish to continue with Oracle support, the Hybrid ULA can be advantageous. The typical 8% increase does not apply, potentially converting what would be support fee hikes into license fees.
  • Short-Term License Needs: This option is ideal for those who need additional licenses in the short term but want to avoid committing to higher technical support fees in the long term.
  • Flexibility at Term End: The Hybrid ULA provides more flexibility, allowing customers to decide their next steps at the end of the agreement.
  • Renegotiation Opportunities: Though rare, the Hybrid ULA could facilitate this process if you want to renegotiate your licensing terms.

Common Mistakes with Oracle Hybrid ULA

Common Mistakes with Oracle Hybrid ULA
  1. Overlooking Current ULA Benefits: Maximize Before Transitioning: If you already have an Oracle ULA, it’s often more beneficial to fully utilize and certify the existing agreement before considering adding more to your support fees. After 1-3 years, you might find the non-ULA certification option more advantageous.
  2. Lack of Strategic Planning: Certification vs. Non-Certification: Develop a clear strategy for choosing the certification or non-certification options. Determine which products should be included and outline your deployment phases.
  3. Misunderstanding the Savings: Non-Certification Benefits: The savings with a Hybrid ULA come into play when you opt for the non-certification option, avoiding the certification of any licenses at the end of the ULA term. If you don’t utilize this option, you might lose out on some of the Hybrid ULA’s benefits and could be better off with a classic Oracle ULA.

Need Expert Help?

If your organization is currently under an Oracle ULA and is seeking clarity on available options, Redress Compliance provides a consultancy service to assist you with:

  • Comprehensive Licensing Overview: We’ll deliver a full license position assessment for all your Oracle ULA and non-ULA products.
  • Certification Guidance: Our team will support you through each phase of the certification process, including completing Oracle’s required documentation.
  • Renewal Strategy Development: If you are contemplating a renewal, we offer services to craft a ULA renewal strategy complete with options and benchmarking insights.
  • Strategic Planning Support: We’ll aid your team in formulating a robust strategy for Oracle ULA renewal, certification, or transition to a Hybrid Oracle ULA.

FAQ

What is the main advantage of a Hybrid ULA over a Classic ULA?

The Hybrid ULA offers more flexibility, particularly at the end of the agreement, with options to certify usage or opt out of additional licenses and associated support fees.

Can the Hybrid ULA help control support fee increases?

Yes, it can be particularly beneficial for organizations facing steep technical support fee increases, as these increases can be converted into license fees.

Is the Hybrid ULA suitable for short-term or long-term licensing needs?

It is well-suited for short-term licensing needs without the long-term commitment to increased support fees.

Does the Hybrid ULA offer renegotiation opportunities for existing Oracle licenses?

While unfamiliar, the Hybrid ULA can be an opportunity to renegotiate Oracle’s licensing terms.

Are there any hidden costs or considerations with a Hybrid Oracle ULA?

As with any licensing agreement, it’s crucial to read the fine print and understand all terms, especially concerning cloud deployments and associated costs or limitations.

Conclusion on Hybrid Oracle ULA

It’s always recommended that those considering a Hybrid Oracle ULA or any Oracle licensing agreement seek expert advice.

Contact usRedress Compliance specializes in Oracle licensing and can provide invaluable insights to determine if a Hybrid Oracle ULA is the most suitable agreement for your organization’s needs.

Author

  • Fredrik Filipsson

    Fredrik Filipsson brings two decades of Oracle license management experience, including a nine-year tenure at Oracle and 11 years in Oracle license consulting. His expertise extends across leading IT corporations like IBM, enriching his profile with a broad spectrum of software and cloud projects. Filipsson's proficiency encompasses IBM, SAP, Microsoft, and Salesforce platforms, alongside significant involvement in Microsoft Copilot and AI initiatives, improving organizational efficiency.

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