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Larry Ellison outlines software support discounts up to 33% for moving workloads to Oracle Cloud

Some customers will be able to eliminate support costs entirely for software such as Oracle Database and Oracle WebLogic under the new program.

By Mitch Wagner | June 2021


Larry Ellison outlines software support discounts up to 33% for moving workloads to Oracle Cloud

Oracle Chairman and Chief Technology Officer Larry Ellison introduced Oracle Support Rewards, to help organizations accelerate their move to cloud.

Oracle is once again making it easier—and cheaper—to migrate to the cloud. Specifically, the company is introducing software support rewards discounts of 25% to 33% for customers moving workloads to Oracle Cloud Infrastructure (OCI).

In some cases, customers will be able to eliminate support costs entirely for critical software such as Oracle Database and Oracle WebLogic.

“Very simply stated, for every dollar you spend on OCI, on running a workload, we’ll refund 25 cents of your support fees,” Oracle Chairman of the Board and Chief Technology Officer Larry Ellison said at a June 22 Oracle Live event introducing the program. “And if you’re a customer that has one of those unlimited license agreements with Oracle, the discount is not 25 cents on the dollar. The discount is 33 cents on the dollar.”

Ellison described this as part of a larger push to give customers more transparent pricing—“low everyday prices,” plus simple, published discount levels. This new program, called Oracle Support Rewards, can be combined with OCI volume discounts, which go up to 50% based on usage. And taking advantage of Support Rewards and other discounts is simple.

“There’s no complicated negotiation to be able to take advantage of these discounts,” Ellison said. “It’s all simple to use, frictionless—published list prices, published volume discounts, published Support Rewards, available to everybody.”

For example, with Oracle Support Rewards:

  • A customer spending $2 million on OCI, with a $1 million Oracle technology support bill, earns $500,000 in rewards, cutting the support bill in half, to $500,000 per year.
  • A customer spending $4 million on OCI, with an annual $1 million technology support bill, will earn $1 million in rewards, reducing support to zero.
  • A customer using Oracle Dedicated Region Cloud@Customer—accessing Oracle’s full cloud stack, but inside the customer’s own data center—spending $6 million on OCI, with a $1.5 million annual technology support bill, will earn a $1.5 million in rewards, reducing annual support spending to zero.

Like frequent flyer miles

The Oracle Support Rewards program is designed to help organizations accelerate their migration to the cloud by making OCI even more cost-effective. Rewards are added to a customer’s OCI Console every month like frequent-flyer miles; they’re automatically applied for qualifying customers, and accumulated rewards can be applied anytime.

 

“Very simply stated, for every dollar you spend on OCI, on running a workload, we'll refund 25 cents of your support fees.”

Larry Ellison, Oracle Chairman and Chief Technology Officer

Oracle Support Rewards apply to technology products such as Oracle Database and WebLogic, but not to applications such as Oracle E-Business Suite or PeopleSoft.

Ellison said the Oracle Support Rewards program is just the latest way Oracle is trying to simplify cloud migration and make working with Oracle easier and more transparent. One example: Oracle publishes volume discount prices rather than requiring customers to negotiate discounts with a salesperson.

Larry Ellison outlines software support discounts up to 33% for moving workloads to Oracle Cloud

Oracle Support Rewards can be combined with other discount programs to make Oracle Cloud Infrastructure even less expensive.

“You don't even need a contract to start using OCI,” Ellison said. “There is a standard list price, which we think is quite attractive, and you give us a credit card, and you can start using it immediately. …We’re trying to get all the friction out of getting started.”

Other Oracle programs designed to accelerate cloud migration include Customer to Cloud, which converts application support bills to cloud application subscriptions; Universal Credits, which let customers pay one bill for all OCI services and regions; BYOL, allowing customers to bring their software licenses to any cloud; and the Cloud Lift program, which provides free services to help migrate applications to OCI.

Several Oracle customers and partners praised Oracle Support Rewards at the Oracle Live event, including Cognizant, an Oracle partner that provides consulting, integration, and support for cloud applications and that also uses Oracle for its own operations.

Telecom Italia Mobile (TIM) Brasil is a major telecom operator in Brazil with more than 61 million customers. TIM Brasil CEO Pietro Labriola said the company is transforming to improve its environmental, social, and global practices. It’s the first carrier in Brazil moving 100% of its data center computing to the cloud, including customer billing systems, CRM, and VMware moving to OCI.

“Oracle has been a fantastic partner in our technology revolution,” Labriola said. “The newly launched Oracle Support Rewards program has the potential to further accelerate our adoption of Oracle Cloud Infrastructure while reducing our support costs.”

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Photography: Oracle

Mitch Wagner

Mitch Wagner

Mitch Wagner is a senior writer at Oracle. He is a veteran technology journalist and was previously executive editor at Light Reading and InformationWeek.