Oracle Corporation has a number of ways to properly license a variety of technology environments. It can be advantageous if you are familiar with the number of servers and or the number of named users. If you are not certain of your environment to be licensed, your organization can end up paying more for the licensing that what you actually need. So, what is the best way to obtain the most aggressive pricing from Oracle when it comes to Oracle licensing and training?
6. Buy big.
When it comes to purchasing Oracle software licensing and training, we recommend the organization review the current and future needs and work towards obtaining pricing on a larger purchase. The Four Cornerstone team is available to assist in this process. It is also important to know what licenses your organization already owns and currently pays annual support on. This prevents buying additional licensing for a technology that is already owned and possibly not being used. This will also help in understanding exactly which Oracle software licensing metric and configuration is best to replace existing legacy systems. The problem with legacy software is that it tends to become bulky, obsolete and cumbersome over time. Plus, support for the software may no longer be available from the OEM. You might find there is an available Oracle technology that can replace an older piece of hardware or software.
You should also know what your IT and business plans are for the next few years. If you are negotiating for your Oracle software licenses now and you plan to launch a big data initiative within the year, then it makes sense to design a scalable architecture with big data in mind that will allow future growth with the necessary performance needed. This way, you can leverage the number of licenses you would need and obtain the best, possible pricing including future year’s support.
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5. Beware of maintenance costs.
You should know that some Oracle products have maintenance fees that may make it impractical to acquire licenses you do not need. Again, we want to stress the importance of purchasing licensing that fits the environment and is properly licensed from the beginning.
Shelfware, or software you pay for but do not use, can actually drive IT spending higher. And maintenance costs can easily offset the savings you got from the initial license fees.
You should also pay attention to the maintenance fees for software that you do use. You can have Oracle keep these support fees constant for the next number of years, or to keep it low.
The thing to remember about support fees is that you should keep them as low as possible. That means if you have no immediate plans to make use of a software or hardware technology, or if you can negotiate for lower maintenance and support fees, we recommend it is best to upon purchasing the up-front licensing. If you already bought the license, then Oracle will see no reason why they should lower the maintenance fees.
4. Just ask for a discount.
The easiest way to get a discount is to just ask for it. Most software companies tend to have high list prices, which enables them to give you “discounts” and make it easier for you to fork over the money and feel good about what a good deal you got. Also, time your negotiations at the start of the company’s fiscal quarter. This is when Oracle salespeople and management are more open to negotiations and have more time for you. Towards the end of the quarter, you will be competing with countless others and you might find that Oracle has a harder stance when it comes to licensing fees they offer you.
3. Simplify things.
It may be difficult to understand Oracle’s terms and conditions when it comes to their licensing. Most customers find that Oracle often includes things in the terms and conditions that are not relevant to its licenses or deals. This is why you should always insist that Oracle explain any specific terminology or verbiage that is not understandable. It is also a waste of time to request Oracle change their legal software and licensing agreement. This does not happen.
2. Understand the competitor’s pricing.
You may be set on utilizing Oracle products, but you should not ignore its competitors when you are negotiating for your licenses. If there are competitive technologies you are considering when also looking at Oracle technologies, it is best to communicate the competitive options to the Oracle sales team.
1. Talk to Four Cornerstone!
Four Cornerstone, an Oracle Gold Business Partner has been reselling Oracle software technologies since 2004. Our software licensing team stays up to date on the latest licensing changes including fair market pricing, metric changes, legal modifications, etc. We will ensure you are properly licensed from day one. Four Cornerstone will guarantee the best, possible pricing on all Oracle licensing and training. Our professional services’ team can also support your organization over and beyond Oracle support. If you have a critical need and are not getting the response you deserve, please contact us today. We are available to help your organization 24x7x365.
Contact us now and maximize your Oracle investments today!
Photo courtesy of by 401(K) 2013.[/expand]