Subcapacity licensing

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Subcapacity licensing is a software licensing scheme that bases charges on the capacity of the partition where the licensed program is used, rather than on the total capacity of the server (subcapacity is limited to servers only). IBM® uses two distinctly different types of subcapacity pricing, one type for IBM mainframe products and another type for IBM distributed products.

By default, capacity-based charges for a computer are based on its full, available, capacity. However, IBM also supports, in many cases, capacity-based charges based on a measure of actual used capacity. Subcapacity licensing can be applied to IPLA or ICA mainframe software, as well as to IBM distributed software.

In a subcapacity environment, a designated subcapacity server is divided into multiple partitions, and IBM software is licensed based on the capacity of the partitions where the IBM software (the licensed software itself, or other, referenced software) is installed or runs, instead of on the full capacity of the entire server.

In order to obtain subcapacity pricing for ICA and IPLA programs, the following conditions must be met:
  • The computer, a server, must be designated as a subcapacity server
  • The customer must sign a subcapacity addendum
  • The customer must provide monthly usage reports
  • The software program must allow subcapacity pricing
Note that, for IPLA-licensed products, the obligation to provide monthly usage reports does not restrict a customer's ability to move the program from computer to computer. It merely imposes a reporting requirement. (ICA products are always licensed to a machine identified by its serial number.)

For those servers where IBM supports the subcapacity pricing metric, a customer may at any time inform IBM that a particular server is using subcapacity pricing; or at any time, notify IBM that this server should revert to full-capacity pricing. (Even if a customer has signed the subcapacity addendum, charges will be charged under full-capacity rules if the computer is designated as a full-capacity computer, rather than a subcapacity computer. Full capacity is also charged for the computers for which the usage report is not provided.)

When adding a license to the Licenses application, it is important to note when the license is a subcapacity license. A subcapacity license bases charges either on the capacity of the partition where the licensed program is used, or on metered usage, not on the total capacity in the server. Therefore, if you do not indicate that your license is subcapacity when appropriate, charges will accrue based on the full capacity of the server.

Subcapacity licensing on mainframe platforms

For applicable IBM mainframe products licensed under IPLA, if a subcapacity addendum is signed, the licensed capacity must be equal or greater to the maximum capacity available to the program, taking into account the machine partitioning according to the rules published by IBM. For reference-based and z/OS-based products the subcapacity rules are slightly different.

For applicable IBM mainframe products licensed under ICA and installed on machines designated as subcapacity machines, after having signed a subcapacity addendum, the customer submits a usage report generated by the Sub-Capacity Reporting Tool (SCRT) by the 15th of the following month, and is billed for the metered maximum usage (highest value of the 4-hour rolling average). If all conditions are met but the user fails to submit the report, the charge is based on the full machine capacity. There is a minimum charge value that applies to an environment (a QPS, or a single machine if it is not in a QPS). The Sub-Capacity Reporting Tool (SCRT) must be deployed on all mainframe computers subject to subcapacity pricing.

Subcapacity licensing on distributed platforms

For IBM distributed products, customers must accept the terms of the IBM International Passport Advantage® Agreement Attachment for Sub-Capacity Licensing Terms, and must obtain PVU and RVU Proofs of Entitlement (PoEs) for the maximum processor core capacity available to an Eligible Sub-Capacity Product when deployed in an Eligible Virtualization Environment.

License Metric Tool must be deployed on all distributed computers subject to subcapacity pricing. Note that License Metric Tool does not gather usage data, but gathers the maximum processor core capacity available to the IBM PVU-based or RVU-based middleware.