This is a follow-up to my post earlier this week: ATG Licensing – One Step Forward, Two Steps Back.
I feel like Oracle has really shot themselves in the foot on this. They’ve changed up how many licenses need to be sold as a minimum to small and medium customers, and they’ve done this without adequate training for their sales staff. They’ve dramatically increased the mid-market entry level costs, pricing themselves out of many deals – even with aggressive discounting. They’ve also really failed to take care of their existing customers. There’s a huge number of existing ATG customers out there, who were sold a bundle of licenses which prevents them from upgrading without spending a significant amount out of pocket. Those customers have been paying annual support fees against a broken promise of free upgrades.
The problem will get worse as future generations of processors start shipping with hex- and octo- core base configurations. In short Oracle’s licensing policy does not work with modern CPUs and ATG software pricing and infrastructure architecture.
So what could they do? I have a few solutions:
- Allow for software disabling of cores. This is simple. Just add an “ATG Licensing Addendum” to the contracts that allows for this. Problem solved now and in the future.
- Use the Oracle Standard Database licensing model based on “Sockets” not “Processors”. This is really a clean solution, has precedent in Oracle’s licensing practices, and scales well in the future.
- Automatically allow all MC4 bundle customers to upgrade to 6 “Processors” of Commerce and 6 “Processors” of Search on ATG 10, for free. They were sold a small but deployable bundle of Production and Staging licenses. They’ve been paying their support fees. They deserve to still be able to run a small but deployable setup of Production and Staging.
- Automatically upgrade any customers who have been sold ATG 10 with less than 6 “Processors” of Commerce and Search to 6+6. These customers have been sold an impossible to deploy list of licenses. Through ignorance (most likely) their ATG Sales rep sold them a lie. Make it right.
What do you think is most fair?
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