There is a variety of confusion.  Sorry I've been away for so long.  Real Life.

Disclaimer:
I am not a lawyer and am not dispensing legal advice.  Rather, I am giving 
my observation of, at the practical level, How The System Works.

Hardware:
While you may own the machine outright, you do not own the LIC (the 
microcode), but have a License to Use from IBM.  IBM's obvious (to a layman) 
intent for the use of the Integrated Facility for Linux is, uh, for Linux.  The 
announcement removes any [IBM] impediment to OpenSolaris on an IFL.

Software:
z/VM *and all of it's features* (RACF, RSCS, DIRMAINT, PERFORMANCE 
TOOLKIT) are licensed to run on IFLs in support of that Linux workload.  They 
are licensed under the International Program License Agreement (IPLA) and 
incur a one-time charge (OTC) with an option to pay an annual fee for service 
and support.  For system software and most IBM application middleware, the 
OTC is based on the number of CPUs.  Sometimes the number installed, 
sometimes the number you use.  (It depends on whether a license manager is 
involved.)  z/VM & Co. use the number of installed CPUs.
 
A product that is licensed under the IBM Customer Agreement (ICA) with a 
monthly license charge (MLC) is NOT licensed to run on an IFL.  Why?  
Because MLC is based on MSUs.  There are zero MSUs on an IFL ergo no 
capacity to run software that consumes MSUs (paraphrasing).

You can ask IBM for a "Special Bid" to give you an explicit license to run ICA 
software on an IFL.  You will usually pay a calculated one-time charge that is 
indexed to the MLC.  The license-to-use may be limited to specific use cases.

None of the other IBM operating systems (z/OS, z/TPF, z/VSE) are licensed to 
run on IFLs and we do not grant Special Bids for them.  They are "traditional 
workload".  They may serve as clients or servers to Linux, but they do not 
support the operation and management of Linux or z/VM.

We also don't grant Special Bids for things like compilers and databases - 
things that, again, are NOT in direct support of managing the Linux (and, now, 
OpenSolaris) workloads on an IFL.

We have granted Special Bids for PVM, VTAM, NetView, ISPF and other 
software that is in support of the system itself.

The above are general observations and you may find an exception along the 
way.  The answer yesterday may not be the answer tomorrow.   If you have 
any concerns or questions about a specific piece of software, I recommend 
you contact your IBM rep or business partner - don't assume anything.

Hope this helps.

Alan Altmark
z/VM Development
IBM

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