Skip to main content
    Back to Industry Insights
    Oracle
    VMware
    Cloud

    Oracle and VMware Partner Up to Support Customer Hybrid Clouds – A Licensing Viewpoint

    Oracle and VMware announced a hybrid cloud partnership — but the licensing implications aren't as customer-friendly as the press release suggests. We analyze the deal from a compliance perspective and flag the provisions that could create new exposure.

    Dean Bolton

    Dean Bolton

    Co-Founder & Chief Architect, LicenseFortress

    September 2019
    4 min read
    Oracle and VMware Partner Up to Support Customer Hybrid Clouds – A Licensing Viewpoint

    Oracle announced an expanded partnership at Oracle OpenWorld, enabling customers to leverage their existing enterprise software and cloud solutions for a seamless transition to the cloud. This new partnership supports customers' hybrid cloud strategies by allowing them to run VMware Cloud Foundation on Oracle Cloud Infrastructure.

    In the past, prospects report during the sales process that there is no way to properly support Oracle on VMWare and stay in compliance. Fortunately, this announcement aims to dispel that misconception in the marketplace.

    For those considering migrating to a cloud platform, **[keep the official press release on hand](https://www.oracle.com/corporate/pressrelease/oow19-oracle-and-vmware-091619.html)** for reference.

    Oracle on VMware serves as an exceptional virtualization platform for running Enterprise Oracle Software and Databases. As stated in the official press release, "Oracle will also provide technical support for Oracle software running in VMware environments both in customer on-premise data centers and Oracle-certified cloud environments."

    Don Johnson, Executive Vice President of Oracle Cloud Infrastructure, expressed excitement about offering Oracle Cloud customers an enhanced VMware experience, enabling them to run VMware workloads in Oracle Cloud while retaining VMware administrative access.

    With this announcement, Oracle becomes a partner in the VMware Cloud Provider Program

    The solution is built on VMware Cloud Foundation and delivers a comprehensive SDDC, incorporating VMware vSphere, NSX, and vSAN. Customers can seamlessly migrate and modernize applications, moving workloads between on-premises environments and Oracle Cloud.

    With Oracle Cloud, customers will have administrative access to the underlying physical servers, granting them a level of control previously limited to on-premise environments. They can manage both their on-premise clusters and Oracle Cloud-based SDDCs using VMware vCenter through a unified interface.

    Overall, this announcement brings excellent news, as customers can fully capitalize on the benefits of virtualization for their business applications. However, it's crucial to remember that with greater control comes greater responsibility. It is in a customer's best interest to avoid any licensing mistakes, as they can be significant liabilities. Examples include accidentally enabling an Oracle feature without the proper license or inadvertently moving a virtual machine containing Oracle software to an incorrect host.

    Check out our case study that covers accidentally enabled features: Health Exchange Found Out of Compliance by More Than $14M

    To ensure compliance as organizations expand their infrastructure from on-premise to the cloud, it's vital to implement a license solution. LicenseFortress offers a range of Oracle compliance solutions tailored to different company needs and budgets. Additionally, through ArxProtect®, if a court establishes noncompliance resulting from LicenseFortress advice the customer followed, LicenseFortress pays the required license costs, subject to the applicable agreement. Coverage note: Available through ArxProtect® only. Oracle Java is excluded. LicenseFortress provides legal representation but does not cover outside legal fees. Protection requires that the customer followed LicenseFortress’s advice and is subject to the applicable agreement.

    From our case files

    Partnership announcements do not change licensing policy. Two engagements that turned on the actual rules:

    Browse all client results

    About the author

    Dean Bolton

    Dean Bolton

    Co-Founder & Chief Architect, LicenseFortress

    Dean leads LicenseFortress' technical licensing practice, covering Oracle, VMware, virtualization and infrastructure licensing rules.