Oracle's recent Java license changes have sparked considerable attention in the tech community. Businesses that depend on Java for application development, deployment, or infrastructure now face new obligations due to updates in the Oracle Java License. Understanding what these changes mean and how they may impact your organization is critical for avoiding unexpected costs and ensuring license compliance.

What Has Changed in the Oracle Java License?

Historically, Oracle provided Java under the Oracle Binary Code License (BCL), which allowed users to download, use, and distribute Java for free in many cases, including for commercial use. That model changed in 2019 with the introduction of the Oracle Technology Network (OTN) License for Java SE, and again in January 2023, when Oracle introduced a new Java license model based on a subscription tied to the number of employees.

The new Oracle Java License applies to Java SE (Standard Edition) and introduces significant changes:

Oracle now charges license fees based on the total number of employees in a company, not just the number of users or installations.
 

The free public updates for Oracle JDK are limited to specific versions and do not include long-term support unless a subscription is purchased.
 

Updates, bug fixes, and security patches for Oracle Java are available only to paying customers.
 

These Java license changes mean that companies can no longer assume that using OracleÕs JDK is free or automatically permitted under previous terms. Instead, they need to carefully evaluate their usage and licensing needs.

Why Did Oracle Make These Changes?

Oracle's motivation is twofold: to streamline Java support and updates while also monetizing its substantial investment in the Java platform. Java remains one of the most widely used programming languages in the world, and Oracle provides ongoing updates, security patches, and performance improvements. By shifting to a paid licensing model, Oracle aims to ensure that those who benefit from these updates contribute to the ongoing development and maintenance of the platform.

Who Is Affected by the Java License Changes?

Any organization that uses Oracle JDK in development, testing, production, or even internal tools may be affected by these Java license changes. The new employee-based pricing model means that even companies with minimal Java use can face significant costs if they have a large workforce.

For example, a company with 1,000 employees that uses Oracle Java in just a few applications would still be required to pay licensing fees based on all 1,000 employeesÑnot just the Java users. This pricing strategy has led many businesses to reevaluate their Java usage and consider alternative Java distributions.

Options for Businesses: Oracle JDK vs. OpenJDK

To respond to the Oracle Java License changes, many businesses are exploring alternatives to Oracle JDK. The OpenJDK project, which is also maintained by Oracle but licensed under the open-source GNU General Public License (GPL), offers a viable alternative for many organizations. However, OpenJDK has shorter support windows, requiring more frequent upgrades.

Other vendors, such as Amazon Corretto, Azul Zulu, Red Hat, and Adoptium, provide long-term support distributions of OpenJDK that do not require a commercial license. These options are appealing for companies looking to reduce costs and avoid the complexities of Oracle's employee-based licensing model.

Still, Oracle JDK remains a strong choice for businesses that require premium support, regular updates, and enterprise-grade stability. For some, the cost may be justified by the value provided.

What Should Your Company Do?

To navigate these Java license changes, your organization should follow these key steps:

Audit Your Java Usage: Identify all instances of Oracle Java in your environment, including servers, desktops, and embedded systems. Determine which applications rely on Oracle JDK.
 

Understand Your License Obligations: Review the terms of the new Oracle Java License and evaluate how they apply to your companyÕs structure and workforce size.
 

Compare Alternatives: Evaluate whether alternative JDKs, such as OpenJDK-based distributions, meet your business and technical requirements. Factor in long-term support, security updates, and compatibility.

Plan for Transition if Needed: If switching away from Oracle Java, test your applications on the new JDK version to ensure compatibility. Develop a migration strategy that minimizes disruption.
 

Engage Legal and Procurement Teams: Licensing issues can have significant financial and legal implications. Ensure your legal and procurement departments are involved in evaluating OracleÕs licensing terms and vendor alternatives.
 

Conclusion: Stay Informed and Proactive

The Java license changes introduced by Oracle mark a significant shift in how companies must manage and pay for Java usage. While the new Oracle Java License model provides predictable costs and robust support for some businesses, it can impose unexpected fees on others, especially those with large employee counts and minimal Java usage.

By auditing your current environment, understanding your obligations, and exploring alternative Java distributions, you can make informed decisions that align with your technical needs and budget constraints. Staying proactive in response to these changes will help your organization remain compliant and avoid unnecessary expenses in the evolving world of Java licensing.