sql server licensing secrets microsoft doesn't want...

SQL Server Licensing Secrets Microsoft Doesn't Want You to Know

Presented byPaul DeGroot

Senior ConsultantSoftware Licensing Advisors

Carl BerglundDirector of Products

DH2iOct. 22, 2014

Software Licensing Advisors Senior Consultant: Paul DeGroot

Consulting and analysis of Microsoft licensing for more than a decade.Author of Microsoft Licensing ConceptsGuest speaker at industry and Microsoft eventsWorld-renowned expert on Microsoft licensing strategies.Quoted in Wall St. Journal, TechTarget, CNET, Network World, Infoworld, Computerworld, The Register, and many others

Developer of the Microsoft Licensing and Negotiations Workshop, the most complete training program on Microsoft licensing

Enterprise Agreement Advisor who has saved customers more than $200 million over the last three years

Who Are Software Licensing Advisors? Mission: “The Customer’s Advocate”Too many customers must rely only on Microsoft or resellers who focus on maximizing revenue

SLA focuses on value and fitMost customers pay Microsoft for software they haven’t deployed, such as Vista or the latest Office version While, projects or investments with demonstrable ROI beg for funds

SLA helps customers define what their real business needs, freeing up misallocated funds and enabling new initiatives

Areas of focusEnterprise Agreement negotiations Determining and costing real requirements to create negotiating leverage Guiding the negotiation process

Audit defense Turn back unfounded claims Pro-active audits to reduce compliance exposure

TrainingProduct licensing, volume purchasing, negotiation strategies

“As a result of SLA's strategy, we're spending less for the same software than we did in our last agreement even though

prices went up.”

“As a result of SLA's strategy, we're spending less for the same software than we did in our last agreement even though

prices went up.”

“We're smart about licensing and figured out we could

save 50%. SLA showed us how to save another 25%”

“We're smart about licensing and figured out we could

save 50%. SLA showed us how to save another 25%”

“We knocked 70% off our EA, giving us an extra $5 million for

other priorities over the next three years, thanks to their advice.”

“We knocked 70% off our EA, giving us an extra $5 million for

other priorities over the next three years, thanks to their advice.”

“Microsoft told us we owed them $450,000 on a contract. SLA

reviewed the contract, found the error, and sent them packing.”

“Microsoft told us we owed them $450,000 on a contract. SLA

reviewed the contract, found the error, and sent them packing.”

Experience with Microsoft SavingsSome of the firms our consultants have worked with:

Agenda for Today's Webinar

New Challenges for SQL Server UsersPricing ChangesLicensing Changes

Innovative strategies that reduce the impact

Overlicensing strategies that beat the vMotion taxRunning multiple workloads in one operating system environment

Running multiple SQL workloads with a single license

What Has Changed with SQL Server 2012/14

Licensing modelsPer-processor to per core

Edition line-up Datacenter Edition eliminatedEnterprise Edition Server/CAL deprecated Existing licenses can be renewed for SQL 2012, but new licenses are no longer available

Business Intelligence Edition addedPricingHigher prices for CALsPotential for skyrocketing renewal prices related to changes in licensing model

Software Assurance A new requirement to have Software Assurance for vMotion/Live Migration Increases costs 75% over three years, which Microsoft positions as a “new SA benefit”

Software Assurance required for SQL fail-over in SQL Server 2014

Impact of Changes

Renewal costs skyrocket on systems with high core countSystems with four or fewer cores per processor see no significant change but most customers have systems with 6-12 cores per processor in use

On a system with 6 cores per proc SQL renewal costs rise 50%, 8 cores translates into a 100% increase, and 10 cores generates an additional 150%

2008 R2 2012 Software Assurance

2012 Increase

1 1 4 $5,622 $5,622 0%1 2 4 $5,622 $5,622 0%1 4 4 $5,622 $5,622 0%2 2 8 $11,244 $11,244 0%2 4 8 $11,244 $11,244 0%2 6 12 $11,244 $16,865 50%4 8 32 $22,487 $44,974 100%4 10 40 $22,487 $56,218 150%

Processor Licenses

Cores/ Processor

Cores Licensed

2008 R2 (Enterprise)

Key SQL Server Cost Reduction Strategies

Overlicense SQL servers to bypass restrictions and extra costs for vMotion/ Live Migration

Side-by-side SQL installations to increase efficiency, without losing important functionalityFor load balancingFor patching, hardware upgrades

The 3 Ways to License VMs with SQL EnterpriseMicrosoft server licenses are ALWAYS assigned to the physical hardware

Method 1: License per virtual CPUOne core = one virtual CPU, and a minimum of 4 vCPUs must be licensed in any VMCost effective if the number of VMs is low and the number of physical cores is highOn a 16-core server, you can run two SQL VMs for the cost of 8 cores

Method 2: License all coresAssign core licenses to all cores and run 1 VM per core. Virtual CPUs don't count

On a 16-core server, you can run 16 SQL VMs. Each additional core = one additional VM

Method 3: License all cores and add Software AssurancePermits an unlimited number of VMs on a serverBroader rights to move VMs from one server to another

Limits on Moving VMs Among Physical Servers

General Rule: Licenses may not be re-assigned from one device to another in less than 90 days.Example:Move four VMs from Host A to Host B to repair Host A power supply

Return four VMs from Host B to Host A after repair

The 90-day limit was waived for most 2008-2011 products Licenses can be re-assigned any time a VM is moved: “License Mobility within Server Farms”

2012+ servers require SA for License Mobility

A Bvm

vmvm

1 minute

A Bvm

90 Days

vmvm

A Bvm

vmvm

1 minute

A Bvm

90 Days

vmvm

vm

vm

The High Cost of Software Assurance

What is Software Assurance?Software Assurance provides upgrade rights and various other benefits. All software purchased in an Enterprise Agreement must be purchased with SA

Software Assurance on server licenses is an annual payment of 25% of the license price

Cost of a single Core (Select A Net)

Cost of 16 Cores

3 Years SA on 16 cores (3 x 25%)

Cost of 12 cores

16Cores

$5,622

X 16$89,952

X .75$67,464

12 x $5,622 = $67,464

= $67,464+ SA

16Cores = $67,464+

12 cores

At end ofagreement:

16 cores

28 cores

Licensing SQL 2012 for vMotion with SA Software Assurance provides two benefits for virtualization with SQL Server1)If all cores are licensed for SQL Enterprise with SA, the customer can put unlimited SQL Enterprise VMs on a server

2)Organization can freely move VMs from server to server, because SA offers Licensing MobilityExample: Server farm with six 2x8 servers in a cluster

Organization puts 80 VMs on the farm, SA permits VMs to be moved to distribute workloads ~13 VMs per server on average

This customer is overlicensed80 VMs on a farm with 96 cores in total

16SQLCorew SA

16SQLCorew SA

16SQLCorew SA

16SQLCorew SA

16SQLCorew SA

16SQLCorew SA

vMotion via Software Assurance (Select A Net pricing)Annual SA per Enterprise core $1,405Annual SA per server $22,487Annual cost per all servers $134,922Three-year cost all servers $404,767

Unlimited virtualization and License Mobility are not available without SABut a server with 16 licensed SQL cores can run up to 16 SQL VMs without SA

Customers can also purchase additional core licenses Each additional license permits one additional VM

Tactic: License 24 additional cores, assigning 4 per serverThis brings the maximum server load from 16 to 20 SQL VMsBecause each server has “spare” core licenses, VMs can be moved without SA No license ever “moves.” When a VM is moved, it gives up a license on the source host and takes up a surplus license on the target host.

License Mobility is not about moving VMs, but about re-assigning licenses from one physical server to another

Over-Licensing for Mobility Without SA

16SQL

Core

16SQL

Core

16SQL

Core

16SQL

Core

16SQL

Core

16SQL

Core

vMotion via Overlicensing Per 4 coresSQL Enterprise 2014 cores $22,487Total for 6 servers $134,922

Savings Over SA $269,845

+4 cores

+4 cores

+4 cores

+4 cores

+4 cores

+4 cores

SQL Server Instance Stacking

SQL Server is unique among Microsoft products in permitting multiple instances of the server to run in a single operating system environment

The RulesUnlimited instances per operating system environment “You may use any number of Running Instances of the server software in a Physical or Virtual OSE”

All instances in the server are licensed by the latest running version of SQL Server in the OSE One SQL 2014 license covers all instances

SQL Server has “down edition” rights. A SQL Server Enterprise Edition license covers instances of SQL Server Standard

Potential to cut licensing costs by 50% or moreSLA customer: we run more than 100 SQL instances in 17 SQL Server virtual machine

Summary

Rising SA costs leave many customers looking for alternatives

By using the appropriate licensing model, customers can keep costs down

Reduce or eliminate Software Assurance costs

Low-density SQL VMs: license by virtual CPU

High-density SQL VMs: license by physical core

Very high-density SQL workloads: run multiple SQL instances in physical and virtual environments

More Information

DH2idh2i.com

Software Licensing AdvisorsMsftadvisors. Com

Microsoft Licensing and Negotiations WorkshopsSan Francisco, Nov. 18-20, 2014Seattle, Apr. 14-16, 2015More information at:http://picacommunications.com/workshops.html

Join our Group:MICROSOFT ENTERPRISE AGREEMENT NEGOTIATIONSMembership by approval only. Excludes Microsoft account teams, Microsoft employees and Microsoft resellers

Asking questions about concessions, licensing, allowable use scenarios, changes in Terms and Conditions, etc.

Blog and RSS Feedhttp://msftadvisors.com/blog/rss

www.dh2i.com | [email protected] | 970.295.4505

DH2i All Rights Reserved © 2014 1

SQL Server Licensing Secrets


So Far Your….

Software licensing options feel like a…?


What If You Could..?

Only license what you need Use whatever edition best suited requirement Have full mobility rights across a pool of hosts Upgrade where needed for free

Without a Software Assurance requirement

And most importantly – be in compliance


SQL Server Today

4 10/22/14


Mobility Rights….


ApplicaDon Mobility

ApplicaDon

Networking

Storage (data)

As a means of mobility

Wherever it is needed

Coordinated to active node

VM Hypervisor

SoKware Defined

OS


Standard ConnecDvity

Networking Logical computer name IP Address(es)

Virtual host is active on node bound to its IP Virtual host is infrastructure independent Virtual hosts inherit local OS and associated app binaries when active

VM Hypervisor

SoKware Defined

OS


Stand Alone ApplicaDon

SQL Server Installations are local to every node desired to be a potential active node for any given instance Applications are bound to virtual host

Bound application host name is the virtual host “name”

VM Hypervisor

SoKware Defined

OS


Any Shared Storage

Storage Data and logs are on shared and/or replicated storage Data/logs access coordinated to active virtual host ISCSI, FC, external disk

Data/logs

VM Hypervisor

SoKware Defined

OS


Lightest Weight Mobility

ApplicaDon

Storage (data)

Networking Only the IP moves

Uses local

Same data

OS Uses local

infrastructure Uses local

VM Hypervisor

SoKware Defined

OS



ApplicaDon

Storage (data)

Networking Only the IP moves

Uses local

Same data

OS Uses local

infrastructure Uses local

VM Hypervisor

SoKware Defined

OS

Application connection string stays the same,



Networking

ApplicaDon

Storage (data)

Only the IP moves

Uses local

Same data

OS Uses local

Uses local infrastructure

Application, OS, & infrastructure independence with a stop and restart

VM Hypervisor

SoKware Defined

OS



Networking

ApplicaDon

Storage (data)

Only the IP moves

Uses local

Same data

OS Uses local

Uses local infrastructure

Maybe you don’t see the mobility yet?

VM Hypervisor

SoKware Defined

OS


ApplicaDon

Storage (data)

Networking

OS

infrastructure

ApplicaDon

Storage (data)

Networking

OS

infrastructure

From To

Host to Host InstanceMobility

with a stop restart


ApplicaDon

Storage (data)

Networking

OS

infrastructure

ApplicaDon +

Storage (data)

Networking

OS

infrastructure

From To


Application independence with a stop restart


OS independence with a stop restart

ApplicaDon

Storage (data)

Networking

OS

infrastructure

ApplicaDon

Storage (data)

Networking

OS +

infrastructure

From To



Storage Independence - Stop restart DR, anywhere

ApplicaDon

Storage (data)

Networking

OS

infrastructure

ApplicaDon

Copy of data+

Networking

OS

infrastructure

From To

Host to Host InstanceMobility Anywhere


ApplicaDon

Storage (data)

Networking

OS

infrastructure

ApplicaDon

Storage (data)

Networking

OS

Infrastructure +

From To Infrastructure Independence - no lock in



ApplicaDon

Storage (data)

Networking

OS

infrastructure

ApplicaDon +

Storage (data)+

Networking

OS +

Infrastructure +

From To

Any combination the app allows



ApplicaDon

Storage (data)

Networking

OS

infrastructure

ApplicaDon +

Storage (data)+

Networking

OS +

Infrastructure +

From To

As fast as the application can stop and restart



A Top Down Approach

21

Ø  ApplicaDon focused Ø  Enables agility Ø  AgnosDc Ø  Any mix SQL & OS versions/ediDons


Datacenter edition of OS + Enterprise Edition of SQL Server = Unlimited number of VM’s Any size With SA = unlimited mobility

Unlimited VirtualizaDon


Unlimited SQL Server VirtualizaDon w/ Enterprise EdiDon


Virtualized SQL Server – With DxConsole


VirtualizaDon Mixed SQL EdiDon 50% Standard, 50% Enterprise


Virtualized SQL Server – With DxConsole Mixed SQL EdiDon, 25% Enterprise


SQL Server ConsolidaDon on DxConsole


Example

Ø  4 node cluster Ø  2 processors with 16 cores each server Ø  All soKware costs at list (OS, SQL, VMware, Dx) Ø  Same server configuraDon for each example Ø  64 core licenses of SQL Server required Ø  Requirement for Datacenter OS for VMware Ø  Standard version of OS for DxConsole

29


Example 3 year TCO

30

Dollars include software at list price.


Example 3 year TCO

31


Example 3 year TCO

32


VirtualizaDon Mixed Use Cluster

Buy only what you need Easy for project based accounting 4 core minimum license per vm Often oversubscribed


VirtualizaDon Mixed Use Cluster Before DxConsole


VirtualizaDon Mixed Cluster With DxConsole


VirtualizaDon Mixed Cluster – With DxConsole Enterprise and Standard EdiDon SQL Server


VirtualizaDon Mixed Cluster – With DxConsole OS IsolaDon


Updates Through Progression

Ø Will you likely deploy an addiDonal SQL Server pod within 2-‐3 years?

38

Current


Updates Through Progression

Ø Will you likely deploy an addiDonal SQL Server pod within 2-‐3 years?

39

Current 2016+


Deployment Methods

Ethernet Fabric

Storage Fabric

Deployment Model #1: All Physical Servers

Ethernet Fabric

Storage Fabric

VM

VM

Deployment Model #2: Mixed Servers

Ethernet Fabric

Storage Fabric

VM

VM VM VM

VM

Deployment Model #3: All Virtual Servers

Building Blocks Ø  SQL Server 2005, 2008 &R2, 2012, 2014 Ø  Windows Server 2008 & R2 2012 & R2 Ø  Industry Standard x64 Servers

Ø  VM-‐, Hyper-‐V, VMware Xen Ø  IP Networking – 1GE, 10GE & above Ø  SAN Storage – FC, iSCSI, IB

40


Extending the Framework to MulD-‐site

41


Result

42

Ø  Higher uDlizaDon of infrastructure & availability Ø  ReducDon in planned and unplanned outages

•  Mobility across heterogeneous hosts •  Fewest restricDons •  Applicable to any usage model •  Tech refresh & update ease

Ø  Licensing maximizaDon while minimizing cost •  No lock in

Ø  Built in automated DR failover Ø  Lower SQL Server lifecycle cost and risk

•  IT agility


Q&A

43 10/22/14


Want To Know Your Savings?

7/30/12 DH2i Confidential 44

Ø  Contact [email protected] for a 3 year TCO analysis.

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