Oracle support ervice offerings
Oracle’s Lifetime Support includes three different support service offerings:
Premier Support is Oracle’s standard support which is provided for a period of five years from the launch date of a new production release of a specific product. (the so called “General Availability” (GA) date). Premier Support includes the right to perform program updates, the right to apply fixes, security alerts and critical patch updates and includes certification with the newest third-party products/versions. In addition, Oracle’s Technical Support Engineers are available 24/7 to support you when you encounter any technical issue while using the software. When new licenses are obtained, the first year support maintenance for Premier Support is included in the transaction and calculated at 22% of the net license fee. As a standard, Premier Support is renewed on an annual basis for a period of 12 months. It is however possible to negotiate a shorter support period (e.g.: 6 months) or to negotiate a longer term of support services (e.g.: 18 months or 3 years). Support maintenance fees are subject to an annual indexation. On average, Oracle applies an indexation of around 3% of the previous year’s support maintenance fee.
Extended Support is provided for a period of three years and becomes available as of the date on which the Premier Support service offering ends. Extended Support includes limited bug fixes with less commitment to interoperability updates, third party platform certifications and assistance. Extended Support service is not available for all products. Extended Support is calculated at 110% of the last year’s fees paid for Premier Support in the first year of the Extended Support period and 120% for the second and third year of the Extended Support period.
Sustaining Support is provided once Extended Support is no longer available; so 8 years after the General Availability date. Sustaining Support is indefinite and offers pre-existing fixes, updates and Critical Patch Updates created during the Premium Support period. No additional fees are applicable to obtain Sustaining Support; the service offering is part of the fees as you are required to pay for the Premier Support services.
As mentioned above, as a standard, the fees applicable for Premier Support services are calculated at 22% of the net license fee. These fees are – especially for large transactions – however negotiable.
As a reference, in case the total net license fees exceed USD 10 million, Oracle typically allows a support maintenance fee of 20% (instead of 22%) of the net license fee. In case the total net license fees exceed USD 25 million, Oracle typically allows a support maintenance fee of 19% or 18% (instead of 22%) of the net license fee. Please note that this usually only is possible when such an investment is done through one single transaction; in case your investments of over USD 10 million results from multiple orders/transactions, the support maintenance fees of these separate orders remains at 22% of the net license fee.