Oracle unveils cheaper licensing plan

Oracle has announced a lower-cost licensing plan aimed at startups, venture capitalists (VCs) and incubators.

Codenamed Oracle Launch Box, the licensing scheme comprises three components: a fixed discount package for firms with heavy transaction volumes; a single order purchase scheme that lets VCs and incubators combine their licence fees across a portfolio of companies; and more "flexible" terms designed to push Oracle Exchange e-marketplace software into VCs and their interests.

The scheme is available to customers worldwide from now and will run until 28 February.

John Nugent, senior vice-president at Oracle, said: "By starting outright with Oracle, emerging companies can gain a competitive advantage which may ultimately determine their success or failure."

The company's licensing scheme recently came under attack after the introduction of its power unit pricing (PUP) for traditional enterprise customers.

Market research firm Gartner warned that the cost of Oracle licences will "increase uncontrollably" under PUP, and urged customers to look for alternatives or to negotiate "tenaciously" with Oracle.

Oracle is not alone in targeting startups with redesigned pricing schemes. Earlier this year IBM introduced its Quick Launch programme that provides hardware, software, financing and services to help minimise internet startups' upfront expenses.

IBM also offers an Incubator Series initiative that focuses on partnering with incubators to deliver customised products and services.