Ultimate Guide to Oracle Java Licensing

• Oracle Java SE is the core Java platform for business applications, but its licensing has evolved from free usage to a paid subscription model in recent years.
• Licensing Changes: Java was free for commercial use until 2019, when it moved to a subscription model. In 2023, Oracle introduced a per-employee subscription licensing scheme.
• Current Model: Oracle’s Java SE Universal Subscription provides updates and support for a monthly fee per employee, covering all usage across desktops, servers, and cloud. It can be costly for large organizations, so alternatives like OpenJDK distributions are popular.
• Key Advice: Inventory your Java usage, evaluate if Oracle’s subscription is necessary, consider free OpenJDK alternatives or third-party support, and ensure compliance to avoid legal risks.

Overview of Oracle Java SE

Oracle Java Standard Edition (Java SE) is the standard Java platform for developing and running enterprise applications across desktops, servers, and cloud environments. It includes the Java Development Kit (JDK) for developers and the Java Runtime Environment (JRE) for running Java programs.

Java SE provides the core libraries and virtual machine, making Java applications portable and robust. Thanks to its stability, security, and large developer ecosystem, it’s widely used for corporate software, from internal business applications to large-scale back-end systems.

For many years, businesses have been able to use Oracle’s Java SE free of charge by downloading the JDK or JRE from Oracle’s website. Oracle, which acquired Java with Sun Microsystems in 2010, has historically provided Java SE binaries and updates at no cost for personal and commercial use.

This “free Java” era made Java one of the most popular enterprise platforms, as organizations didn’t have to budget for Java runtime licenses.

However, Oracle’s licensing stance on Java has changed significantly over time. Today, IT leaders must know new licensing requirements and costs associated with using Oracle’s Java SE in a business environment.

The sections below outline the major changes in Java licensing, what the current Oracle Java subscription covers, how it’s priced, and how to navigate alternatives and compliance in 2025.

History of Java Licensing Changes

Oracle’s Java licensing has undergone several key shifts in the past decade. Here is a timeline of the major changes:

• Pre-2019 – Free Public Java: Before 2019, Oracle provided Java SE for free to all users. Companies could deploy Java SE 8 (and earlier versions) and receive public updates without paying Oracle. No formal support subscription was required to use or update Java runtimes in production. This period established Java as “write once, run anywhere” without licensing headaches for businesses.
• January 2019 – End of Free Updates: Oracle ended free public updates for Java SE 8 used in commercial contexts as of January 2019. After that date, business use of Oracle Java 8 required a paid subscription to get new security patches. Organizations running Oracle Java 8 in production without a subscription would no longer receive updates and could fall out of compliance if they applied post-2019 patches without paying. This marked the end of an era — Java remained free (via open-source), but Oracle’s official binaries and updates became a paid service for businesses.
• April 2019 – Oracle Technology Network (OTN) License: In 2019, Oracle also introduced a new license (OTN License) for Java SE 11 and later downloads. Under the OTN terms, Oracle’s JDK could still be downloaded for free, but free use was restricted to development, testing, demos, or personal use. Any production or commercial use requires a subscription. In other words, starting with Java 11, Oracle’s JDK was no longer “free” for running business applications – you either limited it to non-production uses or paid for a Java SE Subscription to cover production use. This change caught many enterprises off guard and led to a scramble to purchase subscriptions or switch to community OpenJDK builds.
• 2021 – Introduction of a No-Fee License (Java 17): Oracle briefly loosened its stance with the release of Java SE 17 (a Long-Term Support version) in September 2021. Oracle announced No-Fee Terms and Conditions (NFTC) for Oracle JDK 17, allowing companies to use Oracle’s Java 17 in production for free, including commercial use. This was a significant (but temporary) concession: Oracle would provide free updates for JDK 17 for a limited time (until one year after the next LTS release). The catch was that continued use of Oracle’s Java 17 would require a subscription once that free support period ended. For example, Java 17’s no-fee period lasted until late 2024 (one year after Java 21’s release) – after that, businesses would need to either subscribe or upgrade to Java 21 to stay on a free supported version. Importantly, this no-fee license applied only to the latest JDK (17); older versions like Java 8 and 11 were still paid for by businesses. The NFTC program showed Oracle responding to community pressure by offering a way to use the latest Java for free for a while, but it wasn’t a return to unlimited free commercial use.
• January 2023 – New Java SE Universal Subscription: Oracle’s biggest change came in 2023 with the launch of the Java SE Universal Subscription model. Oracle moved away from the old device-based or user-based metrics and introduced a licensing model based on total employees in an organization. Under this model, a company must purchase a Java SE subscription for every employee in the organization, regardless of how many use Java. This “all employees” metric includes full-time staff, part-time workers, contractors, and consultants. The previous subscription models (which counted specific named users or processors) were discontinued for new customers. Oracle essentially made Java licensing an enterprise-wide affair – you either cover everyone with a subscription or you aren’t properly licensed. This Universal Subscription covers all uses of Java SE (server, desktop, and cloud) under one umbrella. While it simplifies license management (no need to count specific installations), it can dramatically increase costs for companies with large headcounts but only a few Java applications. Existing Oracle Java subscribers were pushed to transition to this employee-based model upon renewal in 2023.

In summary, Oracle’s Java licensing evolved from free public updates (pre-2019) to a paid subscription per installation or user (2019-2022) and now to an enterprise-wide subscription (2023 onwards). Next, we’ll explore what the current Java SE Universal Subscription entails and how it is priced.

Read about Oracle Java Audits.

Oracle Java SE Universal Subscription (2023 – Present)

The Java SE Universal Subscription is Oracle’s current commercial licensing offering for Java. A monthly subscription covers Java SE licensing and support for an entire organization.

Key points about this subscription model include:

• All-Inclusive Usage: The subscription permits unlimited use of Java SE across your environment – on desktops, servers, and cloud – as long as you pay for all your employees. There is no need to count individual installations or processors. Once subscribed, a company can deploy Oracle’s Java on any number of devices enterprise-wide without additional fees. This “universal” usage right is a shift from older models that required tracking each server or user.
• Updates and Security Patches: Subscribers get access to all Oracle Java security updates and bug fixes for all Java SE versions. This means you can download the latest patches for legacy versions like Java 7, 8, or 11, which is crucial for maintaining secure systems. Oracle regularly releases critical patches (e.g., quarterly), and with a subscription, you can apply these to keep your Java applications secure and compliant.
• Support Services: The subscription includes Oracle’s Premier Support for Java. This gives you 24/7 access to Oracle’s support team for Java-related issues. Oracle’s support can assist with troubleshooting JVM problems, performance tuning, and even issues involving third-party Java libraries or frameworks. Essentially, Oracle is a backstop for your Java development and operations teams, which can be valuable for mission-critical systems.
• Commercial Features: In the past, Oracle offered extra Java SE features (like Java Flight Recorder, Mission Control, and the Advanced Management Console) as part of expensive add-on licenses (Java SE Advanced). Now, the Universal Subscription includes all those commercial features as part of the deal. Subscribers can use these tools to monitor, manage, and analyze Java applications without separate licensing.
• No-Fee Use of New LTS Versions: Oracle still allows using the latest Long Term Support (LTS) Java version without a fee under the NFTC terms, but only until its free period expires. For example, as of 2025, Java 21 is an LTS that can be used for free in production during its no-fee window. However, once that window closes (one year after the next LTS release), you need a subscription to keep getting updates. The Universal Subscription covers you if you choose not to constantly upgrade to the latest Java LTS – it allows you to stay on older versions with ongoing support.
• Subscription Term: Oracle Java SE subscriptions are typically sold as annual contracts (12-month terms). If you choose not to renew after the term, your rights to use Oracle Java for commercial purposes end along with access to updates and support. In practice, a subscription is not a one-time purchase; it’s an ongoing cost of using Oracle’s Java (similar to renting). Companies must budget for this continuous expense or plan an exit strategy (like migrating to another Java distribution) if they stop subscribing.

In essence, the Java SE Universal Subscription offers a comprehensive package – unlimited Java usage, all updates, and full support – but in exchange, you commit to paying Oracle a fee for every person in your organization on an ongoing basis. This brings us to the important details of how this pricing works.

Pricing Structure: Per-Employee Model

Oracle’s Java licensing costs are now calculated per-employee, per-month basis. Oracle broadly defines “employee” as all full-time employees, part-time workers, temporary staff, and contractors who work for your organization.

Every head counts toward the license, regardless of whether a person actively uses Java. Importantly, Oracle does not allow partial coverage – you cannot choose to license only a subset of your workforce or only certain departments.

The subscription fee must cover the company’s total employee count. This “all or nothing” approach ensures Oracle captures the full size of the organization in terms of licensing costs.

Java SE Universal Subscription Pricing Tiers (2023):

Table: Oracle’s list prices for Java SE Universal Subscription, as of 2023. Larger organizations get volume discounts per employee.

Under this model, to calculate your cost, you simply multiply the total number of employees by the per-employee rate for your size bracket. For example:

• A mid-sized company with 500 employees would fall in the 1–999 tier at $15 each. The cost would be 500 × $15 = $7,500 per month (approximately $90,000 per year).
• A larger enterprise with 15,000 employees would qualify for the $8.25 rate. That comes to 15,000 × $8.25 = $123,750 per month (~$1.485 million per year).
• An organization with 28,000 staff would be in the $6.75 tier, costing about $2.27 million annually (Oracle gave this example for a mix of full-time and contractors totalling 28k employees).

The costs can be substantial, especially if your company has far more employees than actual Java users. Even a small firm must budget at least $15 per user per month if it needs Oracle Java. These are list prices; large customers (50k+ employees) can negotiate custom deals that might bring the per-employee cost down slightly.

Remember that it grants comprehensive rights (unlimited installations enterprise-wide) when considering this cost. The simplicity may be worth it for organizations that heavily use Java on hundreds of servers and thousands of devices.

However, the per-employee model can feel overkill for organizations with only a few Java applications. This pricing change in 2023 drove many to re-evaluate whether they truly need Oracle’s distribution of Java or if they could rely on alternatives.

Oracle’s Employee Definition and Counting:

Oracle’s contract defines an employee as anyone on your payroll or working on your behalf (including consultants and outsourcers). All such individuals are counted at the time of ordering the subscription. You must true-up if your employee count grows, as the license requires accurate counts. Common pitfalls include forgetting to count part-time or temp workers, which could lead to compliance issues in an audit.

Also note that if your company has multiple legal entities (subsidiaries), each typically needs its own subscription unless you negotiate an enterprise agreement that covers affiliates. There’s no concept of “concurrent users” or limiting by installations – it’s purely based on headcount.

With Oracle’s pricing in mind, many organizations are exploring ways to minimize their Java licensing costs. Next, we’ll compare free Java alternatives and support options that can be considered in place of Oracle’s Java SE subscription.

Free Java Alternatives (OpenJDK & Others)

One important fact to remember is that Java (the technology) remains free and open-source; Oracle’s particular distribution and support cost money. The reference implementation of Java is OpenJDK, an open-source project.

OpenJDK is released under the GNU General Public License (GPL) and is functionally the same core codebase that Oracle’s Java is built on. Organizations can use Java without paying Oracle by choosing one of the free OpenJDK-based distributions available.

OpenJDK Distributions: Several trustworthy distributions of OpenJDK provide free, production-ready Java:

• Eclipse Temurin (Adoptium): The continuation of the AdoptOpenJDK project, providing free OpenJDK binaries for all major platforms. Widely used in enterprises as a drop-in replacement for Oracle JDK.
• Amazon Corretto: A no-cost, multiplatform OpenJDK distribution from Amazon Web Services. Corretto comes with long-term support; Amazon commits to applying security patches and bug fixes to LTS versions for years. It’s used internally at AWS and is certified to be compatible with Java SE standards.
• Azul Zulu: A free OpenJDK build provided by Azul Systems. Azul offers tested binaries for Java 8, 11, 17, etc., and even older versions like Java 6/7. They also have optional paid support (Azul Platform Core) if you need enterprise SLAs, but using the Zulu binaries is free.
• Red Hat OpenJDK: Red Hat maintains its builds of OpenJDK (especially for Java 8 and 11) and backports security fixes. These are the versions that ship with Red Hat Enterprise Linux. They are free to use; customers with Red Hat subscriptions get support for the OpenJDK as part of their OS support.
• Microsoft Build of OpenJDK: Microsoft also publishes an OpenJDK distribution, mainly to support Java on Azure and its developer ecosystem. It’s free and open source, generally aligned with the latest OpenJDK releases.
• BellSoft Liberica JDK: Another free OpenJDK distribution with support for a wide range of platforms (including mobile and embedded) from BellSoft.

These alternatives are based on the same source code, and all pass the Java Technical Compatibility Kit (TCK), which means they are certified Java SE implementations. In practice, you can swap out Oracle JDK for one of these, and your Java applications should run the same. Many enterprises have already standardized on OpenJDK distributions (like Temurin or Corretto) to avoid Oracle’s fees.

Notably, since Oracle’s changes in 2019, the OpenJDK community and vendors have stepped up to provide timely updates for Java LTS releases.

For example, even though Oracle stops providing free updates after a certain point, projects like Adoptium or vendors like Red Hat continue to release security patches for Java 8, 11, 17, etc., under open-source licenses. This ensures you can keep your Java environment secure without Oracle if you migrate to a non-Oracle JDK.

Caution:

If you switch to a free JDK, you must manage updates yourself (or via the vendor’s update schedule). The free options generally do not come with dedicated support from Oracle. That said, most have community support and extensive documentation. And if you require professional support, there are alternatives to Oracle for that, which we will cover next.

Commercial Support Alternatives for Java

Running a Java platform in production sometimes warrants having a support contract – for example, to get quick fixes for new vulnerabilities or expert help with performance issues. Suppose you prefer not to pay Oracle’s per-employee subscription.

In that case, you can consider third-party Java support providers or enterprise JDK vendors that offer commercial support at potentially lower cost or with more flexibility. Some notable alternatives include:

• Azul Platform Core (formerly Azul Zulu Enterprise): Azul Systems offers a paid support program for their Zulu OpenJDK builds. You can buy support for specific systems or several installations, rather than paying per employee. Azul is known for offering support for older Java versions far beyond Oracle’s timelines (they have extended support for Java 6 and 7, for instance) and for tuning the JVM for performance. This is a popular choice for companies that need reliable Java updates and SLA-backed support without Oracle’s licensing constraints.
• Red Hat (and IBM): If your organization uses Red Hat Enterprise Linux, you already have access to Red Hat’s Java (OpenJDK) support as part of the OS subscription. Red Hat backports security fixes and offers support for Java on RHEL. IBM, which now owns Red Hat, also has its JVM (OpenJ9) and supports it (IBM Semeru runtimes), particularly in IBM-centric environments. These can be leveraged if you are a customer of those vendors.
• Oracle’s Java SE One-Off Support: Oracle has in the past offered Java SE Advanced or other targeted licenses for specific use cases (like embedded devices or special features). As of 2025, Oracle prefers the universal subscription, but very large customers might negotiate custom terms or limited-use licenses. This typically requires engaging Oracle’s sales team and possibly legal negotiations. Most will find it simpler to go all-in with the subscription or open-source.
• Consultancies and Third-Party Support Firms: Spinnaker Support and others specialize in third-party support for Oracle products. Some of these firms offer services to support Java deployments (e.g., help with updates, security guidance, audit defense) without you having a direct Oracle contract. Essentially, they become your support line and help you navigate patches (often by guiding you to apply OpenJDK updates). This route can sometimes be cheaper and avoids funding Oracle, but you must ensure the provider is reputable and that using patches via OpenJDK is acceptable for your needs.

When considering a support alternative, evaluate the scope of support (just the JVM vs Java applications), cost model (per installation, per core, etc.), and update guarantees (how quickly do they release patches after vulnerabilities are disclosed?).

The good news is that you are not locked into Oracle for running Java—the ecosystem provides many options for running Java freely and getting professional support if needed.

Many large organizations have successfully migrated to OpenJDK distributions with third-party support, maintaining secure Java environments while avoiding Oracle’s fees.

Legal and Operational Implications (Using Oracle Java in 2025)

Using Oracle’s Java in 2025 has important legal and operational considerations for any business:

• License Compliance Risk: If you continue to use Oracle’s JDK or JRE in production without an appropriate subscription, you are likely out of compliance with Oracle’s terms. Oracle has become aggressive in auditing customers for Java usage. By 2024, Oracle started integrating Java checks into its routine license audits of customers. If an audit finds unlicensed Oracle Java usage, the company could face demands for back payment of subscription fees (for the period of unlicensed use). It must purchase a subscription in the future. This could also potentially involve penalties or interest in some cases, although typically Oracle’s remedy is to get you to pay for a subscription. The mere threat of an audit has pushed many companies to proactively address Java licensing.
• Operational Impact of Security Updates: If you opt not to pay Oracle and don’t switch to an alternative, you might run outdated Java versions. For example, after Oracle’s free update period ends (e.g., Java 17 after Sept 2024), any new vulnerabilities in that Java version will not be patched for free. Running unpatched Java can expose your business to cybersecurity risks and compliance issues (for example, failing security audits). Operationally, you need a plan to upgrade to newer free versions or apply fixes from other sources. Ignoring updates is not a viable long-term strategy when Java is a critical piece of infrastructure.
• Vendor Lock-In vs Flexibility: Adopting Oracle’s subscription might simplify things in the short term (you get updates and support handled by Oracle), but it can also create vendor lock-in. Once your systems rely on Oracle’s patches and you’ve paid for it, moving away might require significant testing and validation of a new JDK. Conversely, using OpenJDK gives you more flexibility (multiple vendors and community sources for updates) but puts more responsibility on your team to manage updates and support. IT leaders must weigh the trade-off between Oracle’s one-stop solution and the flexibility of an open-source approach.
• Cost Overhead: Legally, you might feel compelled to subscribe to be safe, but doing so means Java becomes a line item in your IT budget, possibly hundreds of thousands or millions of dollars. Projects or departments that spin up new Java applications will incrementally increase costs (if they cause headcount growth or need to be included in licensing). This can affect decisions about using Java for new projects – some organizations started exploring other languages or platforms in light of Java’s licensing costs, although Java remains dominant.
• Contractual Obligations: If you sign up for Oracle’s Java SE Universal Subscription, ensure you understand the contract. For example, if your employee count increases mid-contract, do you need to report and adjust it? What happens if you divest part of the company? The agreement’s terms will dictate these, and non-compliance (like under-counting employees) can be a breach of contract. Oracle’s definition of employee is expansive, so the legal implication is that you’ll certify that count. There may also be clauses about not using Oracle’s Java for any purpose outside the agreed terms (like you typically cannot redistribute Oracle’s JDK to your customers as part of a product – that requires a separate agreement).

In summary, using Oracle Java in 2025 means accepting a proprietary license with ongoing fees and being prepared for Oracle’s compliance enforcement. Many organizations decide that the risk and cost outweigh the benefits, especially given the availability of free alternatives.

Others, especially those with critical applications needing Oracle’s support assurances, decide the subscription is worth it. It’s a strategic decision that should involve legal, finance, and technical stakeholders.

Deployment Considerations: Where Java Is Used

Java is ubiquitous in enterprise IT environments, which means Oracle’s licensing changes have a broad reach. It’s important to map out where Java is deployed in your organization:

• Desktop and End-User Machines: Java might be installed on employee laptops or desktops, especially if any client applications or internal tools require Java. In the past, many commercial software (like ERP clients, CRM tools, or old applets) needed a Java runtime on the PC. While browser applets are gone, some business applications still use desktop Java. Each such installation technically counts as usage of Java (and if it’s Oracle’s JRE, it falls under licensing rules). Fortunately, many desktop use cases can now be met with OpenJDK or avoided.
• Servers and Backend Systems: This is where Java thrives. Application servers (WebLogic, WebSphere, JBoss, Tomcat, etc.), microservice containers, and countless custom enterprise applications run on Java in server environments. These could be on-premises data center VMs, cloud VMs, or containerized in Kubernetes clusters. If any of these servers use the Oracle JDK, that’s a licensable deployment. Companies often found Oracle’s JDK bundled in software stacks or used by developers out of habit. It’s critical to identify all server instances of Java.
• Build and CI/CD Pipelines: Development tools and continuous integration systems often require Java. For example, Jenkins (a popular CI server) runs on Java, build tools like Maven and Gradle run on Java, and many testing frameworks are Java-based. These build agents or servers might use Oracle Java if not explicitly configured otherwise. Even developer workstations running IDEs (Eclipse, IntelliJ) might have a Java runtime. While development and testing use of Oracle JDK was allowed for free under Oracle’s OTN license, any mix of production usage on those systems could complicate things. Using OpenJDK to build systems and avoid any gray areas is wise.
• Third-Party Enterprise Software: Several off-the-shelf enterprise products embed Java. Oracle’s products are a prime example: Oracle Database and Oracle WebLogic Server include Java components. Oracle typically allows usage of Java within those products without a separate Java license (the product license covers it), but only for that specific purpose. Non-Oracle products might bundle a Java runtime (sometimes an Oracle JRE). It’s important to review vendor documentation – some software vendors redistributed Oracle Java under their agreements, others might have switched to their own JDK distribution. Suppose you find Oracle Java packaged in another application on your servers. In that case, you need to consider whether that creates a licensing obligation for you or if the vendor covers it.
• Containers and Cloud Services: With modern cloud deployments, Java might be baked into container images or cloud functions. For instance, if you use a Docker image built on an Oracle JDK base image, every container instance technically contains Oracle Java. This can get overlooked because containers are ephemeral. From a compliance standpoint, it’s safer to rebuild such containers using an OpenJDK base image (many official Docker images use OpenJDK). In cloud services, if you use Oracle Java in Oracle Cloud, it might be included; on other clouds, you’d have to bring your license. Be mindful of Java in all environments.

Why this matters: You can assess your exposure by identifying all the places Java is running. Many organizations in 2019 were surprised to discover Java lurking in places they hadn’t realized – for example, a network management tool with an Oracle JRE, or an old business intelligence server that required Java. Each instance needs a decision: either replace it with a non-Oracle JDK or ensure a subscription covers it. A thorough inventory is the foundation for managing Java licensing.

Managing Your Java Licensing Exposure

To minimize both cost and compliance risk associated with Oracle Java, consider the following strategies:

• Inventory and Audit Java Usage: Scan your entire IT landscape for Java installations. Use configuration management databases (CMDBs), software asset management tools, or simple scripts (search for java.exe or java binaries on systems) to find where Java is installed and which vendor’s version. Determine whether those are Oracle distributions (Oracle’s JDK/JRE often has “Oracle Corporation” in the version output) or an OpenJDK distribution. This inventory should cover servers, VMs, containers, developer machines, build agents, and desktop PCs. Knowing where Oracle Java is used is crucial to managing it.
• Standardize on OpenJDK if possible: One effective way to reduce licensing exposure is to standardize on a specific free Java distribution across the organization. For example, you might decide that all servers should run Eclipse Temurin OpenJDK 17. You would then replace any Oracle JDK installations with this approved distribution. Standardizing makes it easier to manage updates and ensures that developers don’t accidentally introduce Oracle JDK. Many companies have adopted this approach post-2019: they mandate using OpenJDK for all new deployments and phase out Oracle JDK from legacy systems. This immediately eliminates the need to track Oracle licenses (since OpenJDK has no license fees).
• Use Oracle Java only where necessary: There may be cases where using Oracle’s Java is hard to avoid – for example, a specific Oracle software product might only be certified with Oracle JDK, or you may rely on Oracle’s JVM for a performance feature. In such cases, you could isolate those uses. Maybe run that particular app on a server flagged as requiring Oracle JDK, and ensure you obtain a subscription. However, with the new per-employee model, Oracle doesn’t allow licensing a single server or subset – if you subscribe, it covers all employees. So this strategy only works if you were on the older model (which new customers can’t get) or if you decide to take on the enterprise subscription. Many organizations opt for zero Oracle Java usage if they’re not prepared to subscribe for everyone.
• Keep Java Versions Updated: Whether using Oracle or not, stay on supported Java versions. Oracle’s NFTC license means the latest LTS is free for a while – you could hop from Java 17 to Java 21 to Java 25 (when it comes) as each new LTS comes out, always staying within a free support window. This “upgrade frequently” strategy can avoid paying, but it requires that your applications are regularly tested and compatible with the newest Java versions. On the other hand, if that’s not feasible, you should apply updates via an OpenJDK LTS distribution or Oracle’s subscription. Do not let your Java installations stagnate without updates; plan an upgrade or a patch path to remain secure.
• Training and Policy: Educate your developers and system administrators about the Java licensing changes. A common risk is a well-meaning developer downloading Oracle JDK 8 or 11 because they have always done so in the past and are deploying an app with it. Establish a policy that only approved JDKs (e.g., OpenJDK builds) should be used for development and deployment. Remove or block access to Oracle’s downloads to prevent accidental use. If using build automation, point your build scripts to fetch OpenJDK from trusted sources. This cultural shift is important – Oracle Java was free for so long that many IT staff still assume it’s harmless to use; make sure everyone knows the new rules.
• Consider Java Licensing Management Tools: Some SAM (Software Asset Management) tools and consultants offer Java-specific services that help you monitor Java usage and ensure compliance. These can be useful for larger enterprises with complex environments. They can detect Oracle vs OpenJDK installations and even enforce uninstallation or replacement. While not everyone needs this, it’s worth knowing that tools exist to continuously track Java in your environment.

By taking these steps, you can significantly reduce the chance of an unpleasant surprise in the form of an Oracle audit letter. If your organization can operate on open-source Java, you may also save a lot of money by avoiding an unnecessary Oracle subscription.

Recommendations for IT Leaders

Choosing how to handle Java licensing is a strategic decision. Here are actionable recommendations for IT leaders navigating this landscape:

• Evaluate Your Dependency on Oracle: First, determine if there is a clear business requirement to use Oracle’s Java distribution. If you are using Java primarily as a runtime for custom applications and open-source frameworks, there’s likely no technical need for Oracle’s specific JDK. Modern OpenJDK distributions are virtually identical in functionality. Oracle’s build might be needed only in niche cases (certain Oracle middleware, or specific Java Flight Recorder usage before it is open-sourced). If you find no strong dependency, plan to migrate away from Oracle JDK.
• Consider the Cost-Benefit of Subscription: If you have a use case for Oracle Java (or simply want the peace of mind of Oracle’s support), do a cost-benefit analysis. Calculate the annual cost of the Java SE Universal Subscription for your organization’s headcount and weigh it against the risks and effort of going without it. For some, the guaranteed support and ability to not worry about audits is worth the price. The cost will far outweigh the benefits for others, especially if only a few systems run Java. Remember that the subscription cost is recurring; it will be an ongoing operational expense.
• Explore Negotiation and Oracle ULAs: Companies with large Java deployments or those already in Oracle licensing discussions might consider negotiating a broader agreement. Oracle sometimes offers a Java ULA (Unlimited License Agreement) as part of a bigger deal or custom terms for large enterprises. If you’re in a position to negotiate (e.g., you’re also a big Oracle Database or applications customer), see if you can get better terms on Java. Always involve your procurement and licensing experts when dealing with Oracle – nothing is set in stone, especially for big clients.
• Leverage Free and Open-Source First: As a general principle, favor OpenJDK and other free Java distributions for new projects. Set organizational standards to use open-source Java unless there’s a compelling reason otherwise. By building this into your IT architecture, you reduce future licensing friction. There’s a robust community and vendor ecosystem around OpenJDK, and it’s a safe choice for most workloads.
• Plan for Transition if Currently on Oracle JDK: Develop a transition plan if your organization has been using Oracle JDK (especially older versions like Java 8 or 11). This might involve upgrading applications to a newer Java version (so you can switch to a free JDK), thorough testing with an OpenJDK alternative to ensure compatibility, and scheduling the replacement of Oracle JDK on your servers. Many companies have done this successfully since 2019 – it’s doable with proper testing and QA. The sooner you migrate, the sooner you stop any potential compliance meter or subscription need. If you have an Oracle Java subscription coming up for renewal, weigh the possibility of not renewing and switching to third-party solutions instead.
• Stay Informed on Java Releases and Policies: Oracle’s Java roadmap now has new LTS releases every two years (Java 21 in 2023, Java 25 in 2025, etc.). Keep an eye on those because each new release resets the clock on what’s free under NFTC. Also, stay informed about any Oracle policy changes or announcements in the Java space. For instance, Oracle could adjust the licensing model again or extend free periods (conversely, tighten terms). Subscribing to Java community blogs, Oracle’s Java newsletters, or engaging with a licensing advisory service can help you anticipate changes and react accordingly.
• Engage Stakeholders and Document Decisions: Make sure that the decisions on Java licensing involve key stakeholders: enterprise architects (for technical input), cybersecurity (for update requirements), procurement/legal (for contract and compliance matters), and finance (for budget impact). Document your organization’s stance on Java – whether it’s “we will subscribe,” “we will go open-source,” or a hybrid approach. A clear policy will guide teams and serve as evidence of due diligence if Oracle ever questions your usage.

By following these recommendations, IT leaders can turn the Java licensing challenge into a manageable part of their IT strategy rather than an unpredictable liability.

The goal is to continue leveraging Java’s benefits for your business without incurring unnecessary costs or legal risk. In 2025 and beyond, being proactive and informed is key—Java remains as powerful as ever for development, and with the right approach, you can use it on your terms rather than Oracle’s.