Re: Why does Oracle Agrees to the One proc pricing model on IFL?

2013-03-13 Thread Timothy Sipples
We're not disagreeing.

I forgot to mention machine-specific versus transferable licensing
(thinking of Microsoft), licensing which can be support-entitled versus not
(ditto), "site" licensing, and "enterprise" licensing.

The software vendor gets to decide its licensing metrics and pricing terms
in the first instance, yes, but customers get to decide whether they want
to license or not (and how much, and under what terms and conditions).


Timothy Sipples
GMU VCT Architect Executive (Based in Singapore)
E-Mail: sipp...@sg.ibm.com
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Re: Why does Oracle Agrees to the One proc pricing model on IFL?

2013-03-13 Thread R.S.

W dniu 2013-03-13 08:11, Timothy Sipples pisze:

I don't speak for either Oracle or for IBM in an official capacity, but
I'll take an educated guess: history.

[...]

("Servers" and "processors" were the same thing for many years

[...]

Good explanation, but there are minor inconsistencies.

1. There were different prices for different CPU families (one price for 
Intel aka PC server, another for RISC machines).
2. There are other pricing methods like per user, per terabyte, but such 
methods are not always applicable for given software products.
3. Terms and conditions are a changing. There is nothing magic which 
refrain Oracle (or other company) from changing their rules. Some 
long-term contracts maybe, but not new ones. BTW: many moons ago Oracle 
did the trick and many customers lost their discounts for upgrade fees 
(a product costs X, upgrade cost fraction of X) - due to repackage the 
features.



IMHO the answer for Oracle is: Because they WANT to keep the pricing 
model as it is. And we don't know how long the will.


QAnswer for other vendors is: IT DEPENDS. There are pricing models, i.e 
"per server" where mainframe is significantly more expensive than PC 
server. And its not necessarily tied to mainframe capacity.



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Re: Why does Oracle Agrees to the One proc pricing model on IFL?

2013-03-13 Thread Timothy Sipples
I don't speak for either Oracle or for IBM in an official capacity, but
I'll take an educated guess: history. Most of Oracle's corporate history
and technical practice involved customers deploying its software to
discrete servers as individual workloads: one or maybe a pair of servers
per application with widely varying but generally small numbers of users
per application. You've got to license your commercial software somehow,
and those systems don't have SMF or anything remotely like it (even if you
wanted to force customers to buy and to install something), so they picked
servers and processors as the quantity basis for their licensing.
("Servers" and "processors" were the same thing for many years in that
world, generally speaking.) What other options did they have? Then they've
refined that licensing a bit over time. They introduced "core multipliers"
some years ago, for example. Everything is install-based rather than
execution-based because, again, what other choice was there?

IBM mainframes were never like that (in the vast majority of cases).
They've "always" been shared computing resources supporting multiple
applications across multiple constituencies, at first sequentially then
concurrently. The number of processors (cores) was never a particularly
good or sufficiently granular measurement of capacity and value, especially
across model generations, so IBM figured out something else that made at
least adequate sense, with refinements and improvements since. Detailed
system accounting data are available and work, so there are simply more
license metric possibilities.

However, the trend has been for non-mainframe software to get more pricey
and more complex to license. There are now term licenses, restricted use
licenses, tiered editions ("standard," "professional," "advanced
professional," etc.), in-application feature licensing, advertising removal
licensing, limitations and licenses per virtual image, concurrent/floating
user licenses, registered/authorized user licenses, doubly required
server/core and user licenses, role-based licenses, device licenses,
terabyte-based licenses, network port-based licenses, various "cloud"
licensing metrics (e.g. CPU-hours!), point-scored license calculations and
curves for all of the above, prior version restrictions and rights,
documentation and media fees, authorized support personnel fees, etc., etc.


Timothy Sipples
GMU VCT Architect Executive (Based in Singapore)
E-Mail: sipp...@sg.ibm.com
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Why does Oracle Agrees to the One proc pricing model on IFL?

2013-03-12 Thread Itschak Mugzach
True question. What interest has Oracle and many other vendors in a pricing
model that involve the number of procs used instead on cpu size?
The regular pricing model used for mainframes for years is based on
measures of the proc size in Mips/MSUs. The vendors are losing licenses
(revenue) currently running on Intel or Unix proprietary procs to IBM's
z/Linux initiative. IBM states that using IFLs, customers "Consolidate 3x
or more* servers per core than virtualized x86 offerings". at same time, as
IFL goes neer 100% utilization while other servers uses only about 20% of
resources, I can understand why customers goes z/Linux. Oracle on z?Linux
is Enterprise Edition, but yet, it is much cheaper if you have ten or so
servers. so,  why strong vendrs like Orcale agrees to this pricng model?

ITschak

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