Top Software Asset Management Risks with Oracle Guide


Oracle is one of the most aggressive software vendors when it comes to attempting to pull revenue from software audits. Oracle creates fear and uncertainty with their customers by auditing, identifying gray areas that exist in their licensing, and presenting it as non-compliance with an extremely inflated audit finding. Oracle uses this method to influence customers into unwanted ULAs, push them into cloud deals, or make them purchase licenses at list price. 


In this Oracle report, we identify the top SAM areas that ClearEdge consistently helps its clients work through with Oracle to mitigate risk and protect against long-term financial cost. The Oracle SAM risks that are addressed in this report include:


1. Oracle Virtualization Rules


Oracle on virtualization is a significant risk for any Oracle technology product deployed with a hardware-based license metric (processor, named user plus). One virtual machine with Oracle can trigger a requirement of thousands of processor licenses based on the hardware that supports it. This section suggests ways for Oracle customers to limit their exposure to this risk.


2. Oracle Java SE Licensing


Oracle Java SE licensing changed to the subscription model in January 2019 and at this time they also ended the availability of free product updates going forward. This means that many Oracle customers are inadvertently deploying new versions of Java that require a commercial license without knowing or fully understanding the implications. This section outlines how Oracle customers can self-audit their deployments to determine current usage and needs.


3. Oracle Certifying Public Cloud in an Unlimited License Agreement


Oracle allows a ULA to be used to deploy licenses in the cloud but does not allow you to take credit for them at the end of the agreement. Oracle has incorporated some of these rule changes directly in the certification language of the ULA contract but also is attempting to enforce these rules even if they are not written in the contract. This section explains how Oracle customers can approach this conversation with Oracle to reduce certification risk.


The best defense against an Oracle audit is a well adept and prepared software asset management function. Understanding the main tactics and pitfalls within Oracle’s Software Asset Management licensing will put you ahead of the curve during an audit to identify risk and optimize your environment. If you’re under the threat of an Oracle audit or want to stress test your SAM program before a potentially costly audit with Oracle, contact us today to learn how our team of subject matter experts can help your organization.


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