John, there is at least one serious financial implication when running all
(or any part of) OS/390, so please be aware of this. Please note that, as
always here, I do not speak in an official capacity for IBM.

One of the (very few!) requirements for enjoying (or continuing to enjoy)
any sub-capacity IBM software pricing is that *all* OS/390 must be
completely off the machine(s) in question. [Furthermore, all z/OS on the
machine(s) must be IPLed in 64-bit mode.]

Said another way, when you IPL OS/390 on your z990 -- 1 VM or 20, inside or
outside z/VM, it doesn't matter -- you must have an OS/390 license (plus
licenses for the other software running on OS/390), and *all* the OS/390
*and* z/OS *and* middleware products running on that z990 must now be paid
at full capacity, including "One-Time Charge" products. The whole box zooms
up to full capacity charges, instantly and irrevocably for the month(s)
that you're running OS/390.

Here's one reference to those terms (though your VWLC contract is
controlling -- and says much the same no doubt):

http://www-03.ibm.com/systems/z/resources/swprice/subcap/zos.html

Quoting: "When you are running z/OS in 64-bit mode and are no longer
running OS/390 on your System z server, you have the option to pay the
charges for your eligible software on a sub-capacity basis."

In a large majority of cases the loss of sub-capacity licensing is
financially unattractive, particularly on a sustained basis. At a minimum,
I would strongly recommend upgrading the OS/390 workload quickly to z/OS.
And talk to your IBM rep *before* you IPL any licensed software that you
are not currently licensing and/or that you're not paying at the correct
capacity. Or, at the very least, shut down now and talk to your IBM rep now
if you are unlicensed and/or not paying full capacity for all licensed
software on your z990.

Sorry if that's bad news, but I'm personally familiar with a customer who
was not aware of this and which owed IBM (and perhaps other vendors) a
significant amount of money. They were not happy.

Now, I'm sure someone is going to say, "Yes, but, here's why my company
needs to run OS/390 for X months...." (or whatever). Simple: talk to your
IBM rep *first*, present the business case, and get an approval and price!
IBM (and presumably most vendors) take a very dim view otherwise, and their
hands are tied. It then becomes a contract enforcement/accounts receivable
exercise, not subject to discretion.

Thanks, everybody.

- - - - -
Timothy Sipples
IBM Consulting Enterprise Software Architect
Based in Tokyo, Serving IBM Japan / Asia-Pacific
E-Mail: [email protected]
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