Oracle Third-party Support – Why?
Many companies seeking to reduce costs on software licenses often consider Oracle third-party support from vendors like Oracle. Oracle charges support fees as a percentage of the net license fee, which increases by 4% annually. In recent years, it has become common for companies to move their Oracle technical support contracts to third-party providers like Spinnaker Support and Rimini Street. Customers can choose to switch to third-party support for both Oracle databases and Oracle EBS. This article will also discuss Oracle’s reaction if a customer decides to move to third-party Oracle support.
What is third-party support for Oracle?
Third-party Oracle support refers to outsourcing technical support for Oracle software to a provider other than Oracle. This involves ending the technical support agreement with Oracle and relying on a third party for support. The customer’s Oracle licenses remain valid and perpetual, but they are unable to receive technical support from Oracle and must contact the third-party provider instead. Additionally, the customer will not be able to apply security patches or upgrade the Oracle software with newly released patches or versions after their technical support agreement has expired.
What will happen if you move to a third party for Oracle?
- Terminating the technical support agreement with Oracle
- Continuing to use Oracle software with perpetual licenses
- Obtaining technical support from a third-party provider instead of Oracle
- Losing the ability to apply security patches or upgrade the Oracle software with newly released patches or versions after the technical support agreement has expired.
Why should companies consider moving to a third party?
There are several reasons why a company might consider third-party Oracle support:
- The company has decided to replace its Oracle-based solution and will no longer need to call Oracle support or apply security patches.
- The company has tried other options for reducing Oracle support costs, such as license optimization and downgrading to lower versions, but has been unable to achieve sufficient cost savings.
- The company has no need for Oracle security updates or new versions and wants to reduce its Oracle support costs by 50%.
How to move your Oracle support contract to a third party?
To move to third-party Oracle support, you should:
- Review your Oracle licensing to ensure Compliance and possession of all necessary licenses.
- Check your contracts for any clauses that may prevent you from switching to a third-party provider.
- Start the process of switching to a third-party provider at least six months before your Oracle support renewal is due, as it can take some time to complete the process.
- Consider working with an independent Oracle licensing advisor rather than a third-party provider or partner who may be incentivized to steer you in a particular direction.
- If you have an active Oracle ULA, make sure to certify it before switching to third-party support.
Q: How much does third-party Oracle support cost?
A: Third-party Oracle support providers typically charge 50% of what Oracle would charge for the same service.
Q: Which Oracle software products do third parties support?
A: Third-party support providers offer support for Oracle databases and middleware such as Weblogic and Oracle EBS.
Q: Will Oracle be upset if I move to third-party Oracle support?
A: Oracle will not be upset if a customer decides to switch to third-party support. It is common for customers to do so, and there are different sales organizations within Oracle that do not initiate audits in these cases. However, it is worth noting that some customers have reported being audited after switching to third-party support, but this is not a common occurrence.
Q: Which are the main Oracle third-party support providers?
A: There are two global providers of third-party Oracle support: Rimini Street and Spinnaker Support. There are also several local providers that offer similar services. It is advisable to speak with both Rimini Street and Spinnaker Support to negotiate the best deal for your company.
How we can help
Reveal Compliance helps organizations move to a third-party support provider for Oracle by providing the following services:
- Oracle License Review: Our team of experts will review your Oracle licenses to ensure Compliance and identify any missing licenses that need to be acquired before you can switch to a third-party provider.
- Contract Review: We will review your contracts with Oracle to ensure there are no clauses that would prevent you from switching to a third-party provider.
- Oracle ULA Certification: If you have an active Oracle ULA, we can help you certify it before switching to third-party support.
- Third-Party Provider Selection: We will work with you to identify the best third-party provider for your needs and negotiate the best deal on your behalf.
With Reveal Compliance, you can confidently and smoothly make the switch to third-party Oracle support, reducing your costs and increasing your flexibility.