Licensing optimization

Licensing model cost optimization is one of the first things to work on when carrying out a FinOps exercise. We need to take a step back and try to look at the licensing needs for solutions from a higher-level perspective. The idea is, instead of managing the licenses at a solution scope, we manage them at the enterprise level instead.

This allows for much better savings due to licensing volumes if all licenses are purchased under the same conditions and contracts.

This topic is huge, and we could go on about all kinds of software vendors and how to optimize them. But as that goes beyond the purpose of the book, we are just going to cover one key concept here, which is to make use of the bring-your-own-license model in the cloud.

Bring-your-own-license model

Bring-your-own-license model, as the name suggests, it is about purchasing separate licenses directly to the vendor instead of paying them through the cloud provider. For this concept to work...