Important Change to On-Premise Term Licenses

Thursday, 3 September, 2020

Announcement from Oracle

With our joint customers’ focus directed toward the Cloud and the on-premise customers moving more toward perpetual licenses, we made a strategic decision to eliminate on-premise term licenses, providing streamlined product and licensing selections when placing on-premise orders. Effective September 1, 2020, Oracle will no longer offer on-premise term licenses (1-5 year terms), with the exception of key Oracle Technology products that will retain 1-year term licenses (see list below):

  • Existing customers paying support on their term licenses will remain supported through the end of their term.
  • Perpetual licenses are not affected by this announcement.
  • Application Specific Full Use (ASFU) term licenses distributed in August 2020 can be reported until September 20, 2020.

Impact on Quotes

  • All valid Q1 quotes with term licenses must be booked by the end of the quarter, August 31, 2020.
  • No new quotes should contain term licenses after August 31, 2020.
  • Released quotes with customer acceptance must be booked by September 10, 2020.
  • Any bookings after September 10, 2020, will not be processed.

Impact on License Migrations

  • Term upgrades to longer-term licenses are discontinued (e.g., migrating a 2-year term to a 5-year term).
  • Term upgrades to perpetual licenses remain (e.g., migrating from a 4-year term license to a perpetual license). However, migrations from 1-year term to a perpetual license are discontinued.

The below list of products will continue to be licensed using 1-year term licenses

  • Exadata Storage Server Software
  • Oracle Active Data Guard
  • Oracle Advanced Compression
  • Oracle Advanced Security
  • Oracle Database Enterprise Edition
  • Oracle Database In-Memory
  • Oracle Database Standard Edition 2
  • Oracle Database Vault
  • Oracle Diagnostics Pack
  • Oracle Forms and Reports
  • Oracle GoldenGate
  • Oracle Internet Application Server Enterprise Edition
  • Oracle Multitenant
  • Oracle OLAP
  • Oracle Partitioning
  • Oracle Real Application Clusters
  • Oracle Real Application Clusters One Node
  • Oracle Real Application Testing
  • Oracle SOA Suite for Oracle Middleware
  • Oracle Tuning Pack
  • Oracle WebLogic Server Enterprise Edition
  • Oracle WebLogic Server Standard Edition
  • Oracle WebLogic Suite