License Included (LI)

Definition and Benefits:

• AWS includes the Oracle Database license with the RDS service.

• Simplifies licensing process by eliminating the need for separate Oracle licenses.

• Ideal for businesses seeking a hassle-free, bundled approach to Oracle licensing.

How AWS Holds the License for Oracle:

• AWS manages the Oracle database software license, removing the need for businesses to deal directly with Oracle for licensing.

Pricing and Flexibility:

• The Oracle Database license cost is included in the hourly price of the Amazon RDS service.

• Allows businesses to optimize license costs and scale instances without upfront fees or long-term commitments.

Bring Your Own License (BYOL)

Definition and Benefits:

• Allows businesses to use their existing Oracle Database licenses on AWS RDS.

• Suitable for businesses with existing Oracle licenses or those with specific Oracle licensing agreements.

• Offers a tailored approach to licensing, providing flexibility in choosing license terms and conditions.

How to Use Existing Oracle Licenses on AWS RDS:

• Verify that your Oracle licenses are eligible for cloud deployment.

• Ensure compliance with Oracle's licensing policies when running on RDS instances.

• Select appropriate RDS instance types that align with your license terms.

Oracle License Portability to AWS:

• Oracle licenses can be transferred to AWS under specific conditions, offering significant cost savings and flexibility.

Critical Considerations for Oracle Licensing on AWS

CPU and vCPU Considerations

• Licensing is determined by the number of virtual CPUs (vCPUs) on the EC2 instance.

• Each vCPU is a thread of either an Intel Xeon or AMD EPYC core.

Oracle Database Editions Supported

• License Included (LI): Available only for Oracle Standard Edition One and Two.

• Bring Your Own License (BYOL): Required for other Oracle editions and all editions on Amazon EC2.

Oracle Licensing on Amazon EC2 vs. Amazon RDS

• Oracle licensing policies apply similarly to Oracle Database on Amazon RDS and EC2.

• Hourly licensing is exclusively available on Amazon RDS.

Oracle License Portability and Conditions

• Existing Oracle licenses might be portable to AWS, subject to specific license agreement terms.

• Review your specific license agreement for detailed terms and potential costs.

Current On-Premises Deployment

For on-premises workloads, physical cores are counted and the Oracle core factor is applied to determine the number of required licenses, using Oracle Enterprise Edition Processor licenses based on traditional core-based licensing outlined in your contract.

With RDS BYOL, Oracle’s Cloud Licensing Policy states that two AWS vCPUs equal one Oracle license. If matching physical cores on AWS to on-premises, this policy dictates the licensing requirements.

Amazon EC2 differs from Amazon RDS for Oracle as it allows the use of either Oracle’s Cloud Licensing Policy or traditional core-based licensing with dedicated hardware.

Amazon RDS for Oracle License Included simplifies licensing by including it in the instance price, but it is restricted to Standard Edition 2 and cannot host third-party services (AWS Service Terms section 10.3.1). If these conditions are met, it reduces overall Oracle licensing liability. The table below assumes 50% of databases are moved to RDS License Included, with the rest on RDS BYOL.

1. Overlooking Oracle Support Policies
   Ensure compliance with Oracle's support policies when transitioning to AWS RDS.

2. Neglecting License Compliance Management
   Continuously manage Oracle license compliance on AWS as diligently as on-premises deployments.

3. Assuming Immunity from Oracle Audits
   Be prepared for Oracle audits, as using Oracle on AWS RDS can be a significant audit trigger.