Editorial photograph of cloud infrastructure representing Oracle workload comparison across OCI and AWS
Comparison · Oracle · Cloud

OCI vs AWS. Oracle workload licensing compared.

Buyer side comparison on running Oracle workloads on OCI versus AWS. Authorized Cloud Environment math, BYOL economics, support stance, and the seven decision points on the OCI versus AWS question.

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Key Takeaways

What every Oracle buyer should know on OCI vs AWS.

  • Both are Authorized Cloud Environments. Oracle Policy 070617 covers AWS, Azure, and Google Cloud equally.
  • BYOL ratio is the math. Two vCPU equals one Oracle processor with hyperthreading enabled on AWS.
  • OCI offers BYOL to PaaS. AWS does not. The OCI database service converts BYOL into deeper subscription discount.
  • RAC is OCI only. Real Application Clusters does not run on AWS. OCI dedicated region or Database at Customer are the routes.
  • Support cost trade off. Perpetual support stays on AWS BYOL. OCI subscription includes support inside the rate.
  • Universal Credits depth. OCI discount through Universal Credits is typically deeper than AWS EDP discount.
  • Full TCO horizon. Model five years, not three. Migration cost and lock in cost both matter.

The Authorized Cloud Environment policy

Oracle Policy 070617 defines the Authorized Cloud Environment. AWS, Azure, and Google Cloud are the three named clouds. Oracle Database and middleware run on those clouds under specific BYOL rules.

The ratio table

CloudHyperthreading onHyperthreading offRAC support
AWS EC22 vCPU = 1 processor1 vCPU = 1 processorNo
Azure2 vCPU = 1 processor1 vCPU = 1 processorNo
Google Cloud2 vCPU = 1 processor1 vCPU = 1 processorNo
OCI1 OCPU = 2 vCPU = 1 processorn/aYes

What the table does not cover

  • Standard Edition 2: the socket based metric does not translate cleanly to vCPU. Oracle SE2 deployments on AWS run at a different ratio.
  • NUP minimums: Named User Plus minimums still apply on the perpetual base. AWS deployment does not waive them.
  • Options and packs: Diagnostics, Tuning, Partitioning all carry separate metrics. Each runs against the same vCPU base.

OCI BYOL to PaaS economics

The OCI database service converts BYOL perpetual licenses into a deeper subscription discount. AWS does not offer the same conversion. This is the largest single economic difference between the two clouds for Oracle workloads.

The BYOL to PaaS conversion

  • Database service on OCI: the customer brings perpetual database licenses and receives the BYOL rate.
  • Autonomous Database on OCI: BYOL applies and converts at the same processor ratio.
  • Exadata Cloud on OCI: BYOL applies plus the Exadata software fee is absorbed into the OCPU rate.
  • Universal Credits commit: the commit unlocks an additional 25 to 50 percent discount on the BYOL rate.

AWS RDS for Oracle

AWS RDS for Oracle accepts BYOL but does not absorb the Oracle support cost into the subscription. The customer still pays the 22 percent Oracle support line on the perpetual base. The AWS RDS rate is on top of that.

The AWS BYOL trap

Customers who move to AWS RDS for Oracle expecting it to replace the Oracle support cost find themselves paying both. The Oracle support line continues. The AWS RDS subscription is on top. Model both lines before signing.

RAC and high availability options

Oracle Real Application Clusters is not supported on AWS Authorized Cloud Environment. The same applies to Azure and Google Cloud. RAC requires Oracle Database at Customer or OCI dedicated region deployment.

What runs where

  • RAC: OCI dedicated region or Oracle Database at Customer only.
  • Data Guard: all four clouds.
  • GoldenGate: all four clouds. Replication target matters more than the source.
  • Active Data Guard: all four clouds. License entitlement must be confirmed.

TCO comparison across five years

WorkloadOCI five yearAWS five yearOCI vs AWS variance
Mid sized database BYOL$4.2M$5.1M-18% on OCI
Exadata workload$8.7M$11.4M-24% on OCI
Autonomous Database$3.1Mn/aOCI only
Compute heavy app tier$2.4M$2.1M+14% on OCI

The numbers are illustrative. The variance band shifts by workload mix, region choice, and the Universal Credits commit tier. Build the model with measured baseline data.

OCI wins on Oracle Database TCO. AWS wins on compute and storage TCO. The right answer is rarely all in on one cloud. The leverage is in running both and converting it into Oracle discount.

Seven decision points on OCI vs AWS

  1. BYOL or subscribe. BYOL is cheaper if support is active. Subscription is cheaper if the perpetual base is unused.
  2. RAC requirement. If RAC is required, OCI or Database at Customer are the only routes.
  3. Universal Credits commit. The OCI commit unlocks the deepest Oracle discount band.
  4. Existing AWS EDP. If the customer has an AWS EDP, the Oracle workload spend on AWS can count toward the EDP commit.
  5. Hyperthreading posture. Disabling hyperthreading on AWS doubles the BYOL cost. Confirm the AWS instance type.
  6. Multi cloud leverage. Running both clouds creates negotiating leverage against Oracle on every renewal.
  7. Migration cost. The cost of moving the workload is the third largest line in the TCO model. Do not skip it.

What to do next

  1. Pull the Oracle perpetual license inventory and confirm active support.
  2. Model the BYOL ratio against AWS EC2 with hyperthreading enabled.
  3. Model the BYOL to PaaS conversion against OCI database service rates.
  4. Confirm RAC requirements with database architecture.
  5. Benchmark Universal Credits discount against the AWS EDP discount band.
  6. Build the five year TCO model on both clouds with migration cost included.
  7. Engage independent buyer side advisory before signing either cloud contract.

Frequently asked questions

Does Oracle treat AWS as an Authorized Cloud Environment?

Yes. AWS, Azure, and Google Cloud are all Authorized Cloud Environments under Oracle Policy 070617. Oracle Database and middleware can run there. The licensing math uses the Authorized Cloud Environment table.

What is the BYOL ratio on AWS for Oracle Database?

Two vCPU on AWS equals one Oracle processor license on Enterprise Edition. The ratio applies on EC2 with hyperthreading on. The customer brings the perpetual license and active support.

Is OCI cheaper for Oracle workloads?

OCI offers the BYOL to PaaS conversion that AWS does not. Universal Credits cover both infrastructure and database service. The list rate is similar to AWS. The discount through Universal Credits is deeper.

What is the Authorized Cloud Environment table?

Oracle Policy 070617 specifies the BYOL conversion ratios across AWS, Azure, and Google Cloud. The ratio is two vCPU equals one processor with hyperthreading enabled, one vCPU equals one processor without hyperthreading.

Can we run RAC on AWS?

Oracle Real Application Clusters is not supported on AWS Authorized Cloud Environment. RAC on a third party cloud runs only on Oracle Database at Customer or on the OCI dedicated region. AWS does not host RAC.

Does support cost change between OCI and AWS?

Support cost is unchanged on the perpetual license base when BYOL is used. Support is included in the OCI database service subscription rate. The trade off is the perpetual support cost line against the subscription rate.

What is the typical TCO comparison?

OCI runs ten to thirty percent cheaper on database workloads with Universal Credits commit. AWS runs slightly cheaper on compute and storage. The full TCO comparison must model both lines across a five year horizon.

How does Redress engage on the OCI versus AWS decision?

We build the TCO model, benchmark the discount bands on both sides, and surface the migration cost trade off. We are not an Oracle or AWS partner and take no kickbacks.

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OCI wins on database TCO. AWS wins on compute TCO. The leverage is in running both and converting it into Oracle discount.

Fredrik Filipsson
Co Founder, ex Oracle, IBM, SAP
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