SoftwareOne case study

An energy company cuts millions from its Oracle support costs

Trapped paying Oracle support for licenses it no longer used, a major energy company asked SoftwareOne to find a way to real savings.

Oracle support fees have a way of growing every year, whether or not a company still uses the software behind them. A major multinational energy company with more than 20,000 employees knew it was paying support on a large number of Oracle licenses it no longer needed. The frustrating part was that it could not simply stop. Oracle's support repricing policy made it very hard to cancel support on unused licenses without driving up the cost of the rest, and Oracle's roughly 8 percent annual increase meant the bill kept climbing regardless. The company turned to SoftwareOne to find a way to turn that wasted spend into real, lasting savings.

About 2.4 million euros saved
Total savings of around 2.4 million euros over three years on Oracle support, by removing fees for licenses no longer needed.
No more paying for unused software
A restructured agreement let the company cancel support on Oracle licenses it was not using, despite the repricing policy.
Paid only from the savings
Delivered on a savings success model, so the company paid for the advisory only out of the savings it actually achieved.

Client: A major multinational energy company with more than 20,000 employees
Industry: Energy
Services: Oracle Advisory Services

Stuck paying Oracle support for software it had stopped using

Like many large enterprises, the company had built up a wide range of Oracle program licenses over the years, consolidated into several support contracts that came up for renewal at different times. The annual support bill ran into the millions, and a large part of it was for licenses the company no longer used.

In theory, the answer was simple: stop paying support on what it did not need. In practice, Oracle's support repricing policy stood in the way. Cancelling support on part of a contract can trigger a repricing of what remains, which erases the saving and sometimes leaves the company worse off. Many Oracle customers find themselves stuck in exactly this position.

Making matters worse, Oracle increases support fees by roughly 8 percent each year. So doing nothing was not a neutral choice. It meant paying more and more, every year, for software the company had already moved on from. The company needed a way to break out of that trap and capture savings it could actually keep.

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Expert Oracle negotiation, and a smarter contract structure

SoftwareOne worked with the company through its Oracle Advisory Services, and specifically its Commercial Negotiation Support. The starting point was expertise: a clear, strategic read of the company's current and future contractual position, scenario analysis of how different negotiation paths would play out, and practical guidance, down to suggested communications to Oracle, so the company could negotiate from a position of strength.

The key insight was structural. Rather than fighting the repricing policy head-on, SoftwareOne advised the company to assign its unused licenses to a separate legal entity within its group, splitting the single agreement into two. With the contracts separated, the company could cancel support on the licenses it no longer needed without triggering a repricing of the licenses it kept. It was a legitimate, carefully designed move that turned an apparent dead end into a clear path to savings.

Just as notable was how the work was priced. SoftwareOne and the company agreed a savings success model, sometimes called gain share. Under it, the company paid for the advisory only out of the savings actually delivered, and from budget it had already set aside. That made the decision to act an easy one: if the savings did not materialize, there was nothing to pay.

Stop paying for Oracle software you do not use

Talk to our Oracle experts about cutting support costs, dealing with the repricing policy, and paying for advisory only from the savings you achieve.

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Stop paying for Oracle software you do not use

Talk to our Oracle experts about cutting support costs, dealing with the repricing policy, and paying for advisory only from the savings you achieve.

The combination is what made it work. Deep Oracle expertise found the opening, the contract restructure made the savings real, and the savings success model meant the company carried almost no risk in pursuing them. It is a good example of how the right advice, applied to a complex licensing problem, can unlock value that looks out of reach from the inside.

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Millions saved on Oracle support, with almost no risk

The result was a total saving of around 2.4 million euros over three years. By separating its unused licenses into a different legal entity, the company could finally cancel the support fees attached to them, money it had been paying for software it no longer ran.

The way the saving was achieved matters as much as the number. The company stayed compliant and kept the Oracle programs it still relied on, while shedding the cost of those it did not. And because the engagement ran on a savings success model, it captured that value out of budget it had already allocated, paying for the advisory only from the savings delivered. There was no upfront gamble and no cost without a return.

For a business that had felt boxed in by Oracle's repricing policy and its steady annual increases, the change was significant. A recurring, growing cost for unused software became a one-time, well-managed saving, and the company came away with a clearer, leaner Oracle position to carry forward.

What stands out is that the savings were not found by cutting something the company needed. They came from removing cost it should never have been carrying, freed up by expert advice and a smarter contract structure. For any large Oracle customer feeling the squeeze of rising support fees and a repricing policy that seems to block every exit, it is a reminder that, with the right guidance, real savings are usually closer than they appear.