using hp asset manager to manage complex software licensing for virtualized servers

©2010 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice

Software Licensing inVirtual Environments

Russ Parker, Minerva Enterprises – Founding Partner

Adrian Ortiz, Minerva Enterprises – Principal Consultant

Software Licensing inVirtual Environments

Implications and Considerations for

Software Asset Management

from increased License Complexity

Minerva Enterprises

Consulting firm focused

on IT Asset, Service and

Financial Management

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The Next 45 Minutes

• Introduction – 5 minutes

• General Context – 10 minutes

• Complex Licensing – 15 minutes

• IBM SubCapacity Examples– 10 minutes

• Doing this in Asset Manager – 5 minutes

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Russell Parker

• More than 15 years of Asset Management experience

• Five years at Peregrine Systems (1999-2003)

• Four years as an Independent Consultant (2003-2006)

• Formed Minerva Enterprises with Cary King in 2006

• The 2010 “SAM Consultant of the Year” from IBSMA

• Bachelors in Computer Science from UC San Diego

• Works with clients across diverse sectors– Banking, Automotive, Health Care, Staffing, Managed Service

Providers, Financial Services, Manufacturing, Insurance, etc…

• Lives in Sacramento, CA with his wife and two children.

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Adrián Ortiz

• Almost 15 years of IT experience in the public sector

• Five years of working with HP/Peregrine Products

• Discovery Practice Lead for Minerva Enterprises

• Acknowledged expert with DDM-I and was responsible for a Global Implementation across six continents.

• BS in Information and Decision Systems from SDSU.

• CHAMP, CSAM, CDIA+, and ITIL Foundation Certified

• Lives in San Diego, CA with his wife.

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DB2 License for 12 Cores = $480k

Why not Share?

DB2 License for 16 Cores = $640k

Dedicated LPARs Shared Dedicated

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HW: $200KDB2: $480K

Software Swamps Hardware

16 Cores DB2

HW: $300KDB2: $800K

20 Cores DB2

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DB2 = $1,920,000WAS = $960,000

What You Run Where Matters

24 DB2

24 WAS

24 DB2

24 WAS

DB2 = $960,000WAS = $480,000

48 DB2

No WAS

No DB2

48 WAS

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Virtualization

• Back to the Future

• New problems?

• Layers of complexity

• It’s always been there

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Not Just Computers

• What can be virtualized?

• Servers in the spotlight

• Virtualization and Software

• Desktop Virtualization is coming

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Server Virtualization

• It is here now and has been for a while

• Server Consolidation - not just hardware

• Increasingly complex licensing

– Substantial and Opportunities

• Virtual Sprawl – Easy as…

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Server Consolidation

• Driven by resource or cost savings

• License issues are often ignored

• Availability and Capacity problems

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Virtual Sprawl

• Creating VMs is almost too easy

• Worse than “squirreling away” Servers

• Just a few clicks…

• License effects?

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The PhysicalLogical Split

“What you can touch”

Generates Capacity

Uses Power

Creates Heat

Takes up space

Requires Maintenance

Becomes Obsolete

Can be damaged, etc…

“What you can use”

Provides Capability

No physical negatives

Consumes Capacity

Complex to Manage

LogicalNode

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Virtualization Types

Standalone

Host

Cluster/Farm

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Software Licensing

• Software on the Logical Component

• Many software license models

• Licensing Metrics

– Usage (Named or Concurrent Users, etc…)

– Capacity (Potentially accessible resources)

– Utilization (Actual consumption of resources)

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Complex Licensing

• New Technologies keep coming

• Software Vendors need to stay competitive

• Beneficial when understood and managed

• Can lead to unknown exposure when not

• Often require looking at a larger context

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Microsoft SQL Server

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IBM Sub-capacity Licensing

• One of the most complex License Models

• Opportunities to control costs and optimize

• Requires analysis of the entire Frame

• This is just a Quick high level overview

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In IBM’s Words…Full capacity licensing• Customers acquire licenses for all physical processor cores

Sub-capacity (Virtualization Capacity) licensing

• Customers acquire licenses for the lower of Virtualization Capacity or Full Capacity of the server, or group of servers

• Virtualization Capacity is the sum of the virtual core capacity available to a product

• Sub-capacity license counting rules differ by Virtualization Technology, see specific rules for your Virtualization Technology environment

* See slide at the end for IBM specific resources and links

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What Is Sub-capacity?

• Supports IBM’s Virtualization technology

• Processor Value Unit (“PVU”) Based

• Licenses for the portion of a Server used

• Ties Licensing to allocated capacity

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ProcessorValue Units

Different processor

technologies have

a different number

of PVUs per Core

PVU of an LPAR =

Core Equivalents *

PVU per Core

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How “Big” Is an LPAR?

• Core Equivalents

• Virtual Processors

• LPAR Mode

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Simplifications

• No Micro-partitioning

• No Capped LPARS

• Single basic Frame

• Only DB2 Enterprise Server Edition

• Software Cost:

– This is a bit below the IBM List Price

~$40,000/core

$333

$40,000

X 120 =Per PVU

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8 Dual Core CPU’s = 16 Cores

Physical Shared Pool 0 (10 Cores)

Dedicated Pool 0 Pool 1 Pool 2 Pool 3 Total License $ $∆

2 0 2 2 2 8 $320K$40K

$320,000

X 8 =Per Core

Virtual Pool 110 Cores Max

2 Cores 2 Cores

Virtual Pool 24 Cores Max

Virtual Pool 32 Cores Max

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores 2 Cores

2 Cores 2 Cores2Core

DB2

2 Core

2 Core

Dedicated 6Cores Total

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8 Dual Core CPU’s = 16 Cores

Physical Shared Pool 0 (10 Cores)

Virtual Pool 110 Cores Max

2 Cores 2 Cores

Virtual Pool 24 Cores Max

Virtual Pool 32 Cores Max

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

Dedicated Pool 0 Pool 1 Pool 2 Pool 3 Total License $ $∆

2 10 [10] [4] [2] 12 $480K $160K

2 0 2 2 2 8 $320K -

2Core

DB2

2 Core

2 Core

2 Cores 2 Cores

2 Cores 2 Cores

Dedicated 6Cores Total

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8 Dual Core CPU’s = 16 Cores

Physical Shared Pool 0 (16 Cores)

Virtual Pool 110 Cores Max

2 Cores 2 Cores

Virtual Pool 24 Cores Max

Virtual Pool 32 Cores Max

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

Dedicated Pool 0 Pool 1 Pool 2 Pool 3 Total License $ $∆

2 16 [10] (4) [2] 16 $640K $160K

2 10 [10] [4] [2] 12 $480K $160K

2 0 2 2 2 8 $320K -

2 Cores 2 Cores

2 Cores 2 Cores2Core

DB2

2 Core

2 Core

Now SharedDedicated

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12 Dual Core CPU’s = 24 Cores

Physical Shared Pool 0 (18 Cores)

Virtual Pool 110 Cores Max

2 Cores 2 Cores

Virtual Pool 26 Cores Max

Virtual Pool 34 Cores Max

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

2 Cores

Dedicated Pool 0 Pool 1 Pool 2 Pool 3 Total License $ $∆

2 18 [10] [6] [4] 20 $800K $320K

2 10 [10] [4] [2] 12 $480K $160K

2 16 [10] [4] [2] [16] $640K $160K

2 Cores 2 Cores

2 Cores 2 Cores2Core

DB2

2 Core

2 Core

Dedicated 6Cores Total

Adding Cores

8 POWER6 Cores = $100K

DB2 License Impact = $320K

320% more for SW than HW

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Frame A and B both 24 Core POWER6 570DB2 @ $40,000/core WAS ND @ $20,000/core

LPARs w/ 48 total Cores of DB2 and WAS ND

Frame A: 24 Cores of DB2 and 24 Cores of WASFrame B: 24 Cores of DB2 and 24 Cores of WAS

DB2 = $1,920,000 WAS ND = $960,000

Frame A: 48 Cores of DB2 and 0 Cores of WASFrame B: 0 Cores of DB2 and 48 Cores of WAS

DB2 = $960,000 WAS ND = $480,000

A $1.44 Million Difference

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• IBM ResourcesLicensing in a Virtualized Environment

Counting licenses using virtualization

Sub-capacity License Counting Rules

Processor Value Unit [PVU] licensing

Passport Advantage Sub-capacity Licensing

• Microsoft ResourcesSQL Server 2008 R2 Editions Comparison

SQL Server 2008 R2 Editions Datasheet

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HP Asset Manager

• Encode Vendor License Models

• Maintain Component Set relationships

• Quickly Perform License Calculations

• Manage Financial and Contractual details

• Tie it all back to Business Services

• Data needed for Chargeback Models

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Contact Info

Come see us at Booth 308

Russell Parker

Founding Partner

Minerva Enterprises

Office: 858-663-9413Russ.Parker@MinervaE.com

www.MinervaE.com

Adrian Ortiz

Principal Consultant

Minerva Enterprises

Office: 619-572-4774Adrian.Ortiz@MinervaE.com

35 ©2010 Hewlett-Packard Development Company, L.P.

To learn more on this topic, and to connect with your peers after

the conference, visit the HP Software Solutions Community:

www.hp.com/go/swcommunity

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Thumbnail Definitions 1/5

• Entitled Capacity (EC)

– This is actual processor core capacity available to a partition and is the unit of measure for shared processing capacity.

• Virtual Processor (VP)

– This is number of physical processor cores which can be used simultaneously to provide processing capacity to a shared partition.

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Thumbnail Definitions 2/5

• Dedicated Partition

– Cores allocated to a Dedicated LPAR are available exclusively to it.

• Shared Dedicated Partition

– A dedicated partition which lends its unused capacity to the physical shared pool. The entire capacity is counted both directly and in the shared pool.

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Thumbnail Definitions 3/5• Micro-partitioning: Dividing a physical

cores computing power into fractions of a unit and sharing them multiple logical partitions

• Shared Processors Partition: Assigned resources from a shared processing pool

– defined as either “Capped” or “Uncapped”

– allocated an amount of “Entitled Capacity”

– assigned a number of “Virtual Processors”

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Thumbnail Definitions 4/5

• Physical Shared Pool (PSP)– A single shared pool of processor cores available

to partitions defined within the shared pool

• Multiple / Virtual Shared Pools (VSP)– Only available for POWER6 and later systems– Allows the physical shared pool to be split into

multiple virtual pools of equal or smaller size– Partitions which are part of a shared pool are

limited by the processor resources in that pool

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Thumbnail Definitions 5/5

• A Capped Partition

– Never automatically allocated more than its Entitled Capacity regardless of available processor capacity in the Shared Pool

• An Uncapped Partition

– Can exceed its Entitled Capacity and access up to its Virtual Processes from available capacity in Shared Pool

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