The VPP? Answer to vRAM Entitlement Outburst?

On July 27, 2011 VMware announced a new licensing purchase program dubbed the VMware Volume Purchasing Program or VPP for short.  The VPP was created as a points based system that will entitle enrolled customers to discounts ranging from 4% to 12% off of MSRP.  To me this sounds a lot like Microsoft’s license tiering. VMware will have it broken into 4 different tiers, seen here:

VPP Discount Levels

VMware has published a document, VMware Volume Purchasing Program Guide, that describes the licensing framework.  It seems that the key benefits are much the same with Microsoft licensing in that you receive a higher discount the more you purchase.  One of the advantages to this would be that you will be able to simplify your licensing costs, so VMware says.  I, personally, have always found points based licensing schemes to be a headache.

The points earned are maintained through a rolling eight quarter accumulation period.  The discount received is good for a period of two years.  As with Microsoft Licensing, there is a minimum purchase requirement in order to qualify for the discount and to add to your accumulated points.  According to the document the minimum purchase is 250 points.

I found something very interesting in this document that I don’t actually recall seeing in any other licensing document from VMware.  They state in this document that they now reserve the right to audit at any time.  Now this is typically an understood deal with licensing and shouldn’t cause any ruckus but who knows these days.

A question now pops in my head, “Was this released in lieu of the response on vRAM Entitlements?”  Answer:  I don’t know but it sure does feel like it.  My belief is that this is to attempt to offset the costs that could be incurred by certain customers who may have to purchase additional vRAM Entitlements.  What do you guys think?

vSphere 4 & 5 License Calculator by VirtualVCP

I know that everyone is looking for a way to get a grip on the future license costs involved with going to vSphere 5 in the future.  Rynardt Spies over at VirtualVCP has created a real nice Excel spreadsheet which will help calculate the costs.  Here is a screen clip of the spreadsheet:

Go on over to Rynardt’s site and grab a copy for yourself and start playing with some numbers.  Here is the link to the post:

http://www.virtualvcp.com/download-tools/164-simple-vmware-vsphere-4-a-5-license-calculator

 

vSphere 5 vRAM Licensing Model

While everyone was excited to hear about the next generation of the dominating hypervisor, one particular piece has held a cloud (no pun intended!) over the head of the announcement of vSphere 5.  That cloud is that of the new licensing model VMware has placed in front of us.  VMware has decided to move away from the current entitlements of CPU cores and physical RAM to that of a virtualization-based entitlement referred to as vRAM Pooling.

The new licensing model is as follows:

Essentials

    • 24GB vRAM Entitlement
    • 8 way vCPU Support
    • Centralized Management

Essentials Plus

    • 24GB vRAM Entitlement
    • 8 way vCPU Support
    • Centralized Management
    • High Availability
    • Data Recovery
    • vMotion

Standard

    • 24GB vRAM Entitlement
    • 8 way vCPU Support
    • Centralized Management
    • High Availability
    • Data Recovery
    • vMotion

Enterprise

    • 32GB vRAM Entitlement
    • 8 way vCPU Support

    Everything Standard license offers plus:

    • Virtual Serial Port Connector
    • Hot Add
    • vShield Zones
    • Fault Tolerance
    • Storage APIs for Array Integration, Multipathing
    • Storage vMotion
    • Distributed Resource Scheduler & Distributed Power Management

 

Enterprise Plus

    • 48GB vRAM Entitlement
    • 32 way vCPU Support

    Everything Enterprise license offers plus:

    • Distributed Switch
    • I/O Controls (Network & Storage)
    • Host Profiles

    Plus these new features:

    • Auto Deploy
    • Policy-Driven Storage
    • Storage DRS

One of the first questions that comes to mind is, “How does this affect my current virtual infrastructure?”  Here are a couple of example scenarios:

2 CPUs/32GB RAM per Host

    • Licenses Required: 2 Essentials or Essentials Plus per host
    • Total vRAM Entitlement: 48GB (24GB/license)

Based on this quick look, customer’s using the Essentials line are in the clear.

    • Licenses Required: 2 Enterprise per host
    • Total vRAM Entitlement: 64GB (32GB/license)

Based on this quick look, customer’s using the Enterprise line are in the clear.

2 CPUs/64GB RAM per Host

    • Licenses Required: 2 Essentials or Essentials Plus per host
    • Total vRAM Entitlement: 48GB (24GB/license)

Based on this quick look, customer’s using the Essentials line are in the clear as long as their ACTIVE vRAM usage is below 48GB. If the customer wants to utilize all 64GB on a host they will need to purchase another license to add 24GBof vRAM Entitlement to their vRAM Pool.

    • Licenses Required: 2 Standard per host
    • Total vRAM Entitlement: 48GB (24GB/license)

Again, we are in the same boat as above.

    • Licenses Required: 2 Enterprise per host
    • Total vRAM Entitlement: 64GB (32GB/license)

Based on this quick look, customer’s using the Enterprise line are in the clear.

My recommendation for this scenario is to upgrade to the Enterprise license for users who need the functionality included with Enterprise.

2 CPUs/96GB RAM per Host

    • Licenses Required: 2 Essentials or Essentials Plus per host
    • Total vRAM Entitlement: 48GB (24GB/license)

Based on this quick look, customer’s using the Essentials line are in the clear as long as their ACTIVE vRAM usage is below 48GB. If the customer wants to utilize all 96GB on a host they will need to purchase 2 additional licenses to add 48GBof vRAM Entitlement to their vRAM Pool.

    • Licenses Required: 2 Standard per host
    • Total vRAM Entitlement: 48GB (24GB/license)

Again, we are in the same boat as above.

    • Licenses Required: 2 Enterprise per host
    • Total vRAM Entitlement: 64GB (32GB/license)

Customer’s using the Enterprise line will need to purchase an additional license to extend their vRAM Pool Entitlements to 96GBin order to fully utilize all physical RAM.

    • Licenses Required: 2 Enterprise Plus per host
    • Total vRAM Entitlement: 96GB (48GB/license)

Based on this quick look, customer’s using the Enterprise Plus line are in the clear.

My recommendation for this scenario is to upgrade to the Enterprise Plus license for users who need or could use the functionality included with Enterprise Plus.

2 CPUs/128GB RAM per Host

    • Licenses Required: 2 Essentials or Essentials Plus per host
    • Total vRAM Entitlement: 48GB (24GB/license)

In my opinion, this is a pointless choice for licensing the product in this scenario as it requires too many additional licenses to be able to utilize everything.

    • Licenses Required: 2 Standard per host
    • Total vRAM Entitlement: 48GB (24GB/license)

Again, we are in the same boat as above.

    • Licenses Required: 2 Enterprise per host
    • Total vRAM Entitlement: 64GB (32GB/license)

Customer’s using the Enterprise line will need to purchase an two additional license to extend their vRAM Pool Entitlements to 128GBin order to fully utilize all physical RAM.

    • Licenses Required: 2 Enterprise Plus per host
    • Total vRAM Entitlement: 96GB (48GB/license)

Customer’s using the Enterprise Plus line will need to purchase an additional license as well, which brings their total vRAM Entitlement to 144GB.

This particular scenario is highly objective. Are your consolidation ratios worth the extra hit in licensing or is it worth it to scale down and proceed to scale your infrastructure out instead of up?

As you can see, I looked at specifically 2 CPU configurations. I know that the entire world doesn’t run only dual-proc hardware but I believe that once you see the above examples you will be able to come to your own idea of what it takes to get where you need to be.

When first looking at the above scenarios it seems that the sweet spot configuration would be that of 2 CPUs and 96GB of RAM. Although it is nice, most companies have followed the model of scaling up rather than out. With the ability to consolidate more machines with the newer processors and gobs of memory we can throw into our hardware, does this seem to make sense? Again, this is dependent on the direction your infrastructure is going and the end all dollar spend you can absorb.

In essence, there are a multitude of reasons why VMware feels the change to licensing was necessary.  From the customer perspective, without running numbers, it seems as though they are trying to limit us more than before.  Is this really true?  There are many blog postings out there regarding the cost analysis. This is why I decided to focus more on getting people to better understand the nature of the structure.

How does this affect your infrastructure and your future state plans?

Need a pass to VMworld 2011?

Holy free stuff!  I am truly amazed at this wonderful chance for those of you out there that want to go to VMworld.  My fellow vExpert and virtualization blogger Greg Stuart over at vDestination won his first trip to VMworld 2010 through a content setup by another fellow vExpert and blog-extraordinare, Scott Lowe.  Greg has decided to pay it forward and provide someone to have the same thing that was presented to him last year…

A FREE PASS TO VMWORLD 2011 IN LAS VEGAS!!!

If I were you, I would run over there as fast as you can and get entered into the drawing!!!  This is such a great chance to be a part of the best virtualization conference on the planet!  Check it out:

http://vdestination.com/2011/07/15/win-a-free-pass-to-vmworld-2011-from-vdestination/

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