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Workload License Charges

  
Pricing MLC zIPLA Sub-Capacity Sysplex Reference

Workload License Charges (WLC) is a monthly license pricing metric designed to support today's on demand business requirements. WLC may be applied to IBM System z servers running z/OS or z/TPF in z/Architecture (64-bit) mode. System z10 EC, System z9 EC, eServer zSeries 990, and eServer zSeries 900 servers may have WLC when in a Parallel Sysplex or when stand-alone. System z10 BC, System z9 BC, eServer zSeries 890, and eServer zSeries 800 servers may have WLC only when in a fully qualified Parallel Sysplex. WLC enables customers to:

  • Grow hardware capacity without necessarily increasing your software charges
  • Pay for key software, such as DB2, CICS, IMS, MQSeries and z/OS with LPAR-level granularity
  • Experience a low cost of incremental growth
  • Manage software cost by managing workload utilization

Once a customer chooses to adopt WLC, then neither PSLC or Usage License Charges (ULC) will apply. WLC is broken into two types of charges: Variable WLC and Flat WLC. Variable WLC apply to products such as z/OS, DB2, IMS, CICS, MQSeries and Lotus Domino. Flat WLC apply to legacy products such as less current compilers and older MVS/VM/VSE utilities. Once WLC is adopted, applicable VWLC and FWLC charges are applied.

Variable Workload License Charges Structure
Base WLC 3 MSUs
Level 0 4 - 45 MSUs
Level 1 46 - 175 MSUs
Level 2 176 - 315 MSUs
Level 3 316 - 575 MSUs
Level 4 576 - 875 MSUs
Level 5 876 - 1315 MSUs
Level 6 1316 - 1975 MSUs
Level 7 1976+ MSUs

Customers may choose to implement WLC in one of two ways:

  • Full-Capacity WLC - charges are based on the full zSeries server capacity where each VWLC product executes
  • Sub-Capacity WLC - charges are based on the utilization of the LPAR or LPARs where a VWLC product executes
  Mechanics of Sub-Capacity WLC

The graph below shows a zSeries 2064-1C3 rated at 119 MSUs with Sub-Capacity WLC. The machine is configured with two LPARs,  LPAR A and  LPAR B . The customer sees a highest observed rolling 4-hour average for LPAR A at 73 MSUs. Accordingly, software running only in LPAR A would be charged at 73 MSUs. Likewise, LPAR B has a highest observed rolling 4-hour average of 52 MSUs. Accordingly, software running only in LPAR B would be charged at 52 MSUs. They do not have set a defined capacity or any LPAR cap for either LPAR A or LPAR B.

new wlc

Software running in both LPARs, such as z/OS, would require the customer to examine the rolling 4-hour average utilization of the combined  LPAR A & LPAR B , also shown on the graph. The combined LPAR utilization has a highest observed rolling 4-hour average of 98 MSUs and software running in both LPARs would be charged at 98 MSUs.

  WLC News

Effective 1 July 2003, IBM is making the base charges for Variable Workload License Charges more granular, by reducing the base from 45 MSUs to 3 MSUs. Since the base charge is reduced to 3 MSUs, a Level 0 has also been introduced to cover the MSUs between 4 MSUs and 45 MSUs. The more granular base provides customers with a lower cost of entry for VWLC products, requiring a minimum of 3 MSUs rather than a minimum of 45 MSUs. Customers with workloads smaller than 45 MSUs may license as little as 3 MSUs of VWLC software.

Effective 1 Oct 2002, IBM is introducing two new pricing slopes, Level 6 and Level 7, that deliver continued price performance improvements for z/OS under Workload License Charges. The new price points established for Level 6 and Level 7 apply to the z/OS base operating system and z/OS priced features only. Level 6 begins above 1,315 MSUs and will be priced 25% below Level 5. Level 7 begins above 1,975 MSUs and will be priced 20% below Level 6.

Effective 1 July 2002, IBM introduced a new Level 5 Slope for Workload License Charges, above 875 MSUs. This new slope applies to all Variable WLC products. For z/OS and the priced features of z/OS, the Level 5 price points will be approximately 30% lower than the current Level 4 z/OS price points. IBM is also reducing the current price points on the Level 4 Slope, above 575 MSUs by approximately 25%, compared to the current level 4 price points. For these middleware products, the Level 5 price points will be equal to the reduced Level 4 price points.

Effective 1 May 2002, customers may select Parallel Sysplex License Charges (PSLC) for WLC-eligible machines. This new flexibility allows the customer to determine when to adopt WLC.

Effective 1 July 2002, WLC is being transformed into an LPAR Utilization Model. Product capacity will now be based on the highest observed rolling 4-hour average utilization of an LPAR or LPARs where that product is executing.