Entry Workload License Charges

In support of an on demand operating environment, IBM offers Entry Workload License Charges (EWLC) for IBM System z9 Business Class (z9 BC), and IBM eServer zSeries z890 and z800 customers. EWLC enables qualifying customers to pay for sub-capacity eligible IBM software based on the utilization of the LPAR or LPARs where that product executes. This sub-capacity pricing provides the potential to lower software charges on a standalone z9 BC, z890 or z800.

EWLC compared to WLC
EWLC and Workload License Charges (WLC) are two Sub-Capacity capable monthly license charge pricing metrics from IBM. EWLC is similar to Sub-Capacity WLC, in terms of implementation and mechanics. Both pricing metrics offer LPAR-based pricing for sub-capacity eligible software products, based on the highest rolling 4-hour average utilization of the LPAR or LPARs where the eligible product executes.

Both EWLC and WLC may also be implemented at full-capacity (based on the MSU rating of the machine), rather than sub-capacity. Sub-Capacity pricing, for either EWLC or WLC, requires the customers fully migrate all OS/390 to z/OS in 64-bit mode, discontinue their OS/390 licenses and to utilize the Sub-Capacity Reporting Tool to generate Sub-Capacity Reports. These Sub-Capacity Reports must be generated and sent via e-mail to IBM each month.

EWLC on z800 Standalone
z800 standalone customers may choose to adopt EWLC pricing. The other option for z800 standalone customers is zSeries Entry License Charges (zELC).If they choose to adopt the EWLC pricing metric, then all sub-capacity eligible products must be moved to the EWLC pricing metric. The remaining, non-sub-capacity eligible products will be priced using zSeries Entry License Charge (zELC) pricing. To qualify for EWLC, a z800 machine must have a z/OS license.

 EWLC and TWLC on z9 BC and z890 Standalone
z9 BC and z890 standalone customers will have EWLC pricing. All sub-capacity eligible products will be priced using the EWLC pricing metric. The remaining, non-sub-capacity eligible products will be priced using the Tiered EWLC (TWLC) price structure. The TWLC price structure, for non-subcapacity products offers flat pricing based on z9 BC and z890 server capacity using a tiered structure. The TWLC price structure is exclusive to the z9 BC and z890 servers. Note: the smallest z9 BC, capacity setting A01, and the smallest z890, capacity setting 110, are priced using zELC.

z9 BC, z890 or z800 Servers in a Qualified Parallel Sysplex
Customers operating a z9 BC, z890 or a z800 in a qualified Parallel Sysplex may elect to have their server priced as a stand-alone machine (zELC, EWLC and TWLC) or may elect aggregated PSLC or aggregated WLC pricing, subject to applicable terms and conditions. If the customer selecionam aggregated pricing then zELC, EWLC and TWLC price structures do not apply. While EWLC is MSU-based, aggregation of MSUs is not permitted if EWLC is selected.

EWLC Structure   (cumulative monthly pricing)
Level	Range
Base EWLC	3 MSUs
Level 1	4 - 17 MSUs
Level 2	18 - 30 MSUs
Level 3	31 - 45 MSUs
Level 4	46 - 87 MSUs
Level 5	88 - 175 MSUs
Level 6	176 - 260 MSUs
Level 7	261+ MSUs

TWLC Structure   (flat monthly pricing, not available on z800)
Tier	Machine Capacity
Tier A	1 - 11 MSUs
Tier B	12 - 15 MSUs
Tier C	16 - 40 MSUs
Tier D	41 - 75 MSUs
Tier E	76 - 1500 MSUs
Tier F	1501+ MSUs

EWLC on z800 Example

This example shows a two LPAR z800 machine, model 004 with a rated capacity of 108 MSUs. The highest rolling 4-hour average for LPAR SYSA is shown as 55 MSUs, the highesr rolling 4-hour average for LPAR SYSB is shown as 50 MSUs and the highest rolling combined 4-hour average for LPARs SYSA and SYSB is 93 MSUs. Also, the software shown in each LPAR is indicated in the diagram, below:

This example assumes that the customer has fully migrated to z/OS in 64-bit mode (there is no OS/390 or MVS on this machine) and all other EWLC Sub-Capacity terms and conditions are met. Therefore, the following are the pricing options available for this machine:

Product	zELC	Full-Capacity EWLC	Sub-Capacity EWLC
IMS	zELC Model 004	EWLC 108 MSUs	EWLC 55 MSUs
CICS	zELC Model 004	EWLC 108 MSUs	EWLC 55 MSUs
DB2	zELC Model 004	EWLC 108 MSUs	EWLC 55 MSUs
FORTRAN	zELC Model 004	zELC Model 004	zELC Model 004
COBOL	zELC Model 004	EWLC 108 MSUs	EWLC 50 MSUs
z/OS	zELC Model 004	EWLC 108 MSUs	EWLC 93 MSUs

EWLC on z890 Example

This example shows a two LPAR z890 machine, capacity setting 270 with a rated capacity of 107 MSUs. The highest rolling 4-hour average for LPAR1 is shown as 50 MSUs, the highest rolling 4-hour average for LPAR2 is shown as 42 MSUs and the highest rolling combined 4-hour average for LPAR1 and LPAR2 is 84 MSUs. Also, the software shown in each LPAR is indicated in the diagram, below:

This example assumes that the customer has fully migrated to z/OS in 64-bit mode (there is no OS/390 or MVS on this machine) and all other EWLC Sub-Capacity terms and conditions are met. Therefore, the following are the pricing options available for this machine:

Product	Full-Capacity EWLC	Sub-Capacity EWLC
CICS	EWLC 107 MSUs	EWLC 42 MSUs
DB2	EWLC 107 MSUs	EWLC 84 MSUs
FORTRAN	EWLC Tier E	EWLC Tier E
Rexx	EWLC Tier E	EWLC Tier E
z/OS	EWLC 107 MSUs	EWLC 84 MSUs

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