java licensing

A Guide to Oracle Java Licensing Changes 2025

The Oracle Java licensing changes in recent years include:

  • 2019 Update: Introduction of a subscription model for Java updates beyond version 8 patch 211.
  • 2021 Changes: Oracle introduced the No-Fee Terms and Conditions (NFTC), allowing free commercial use of Java from JDK 17 onwards.
  • 2023 Overhaul: We will shift to a new “Employee for Java SE Universal Subscription” model, replacing traditional Named User Plus and Processor licenses.

Oracle Java Licensing Changes 2019-2023

Oracle Java Licensing Changes 2019-2023

Oracle has significantly changed its Java licensing model over the past few years. Major changes in 2019, 2021, 2023, and 2024 have altered how businesses must pay for and use Oracle’s Java:

  • 2019 – Paid Subscriptions Introduced: Oracle ended free public updates for Java SE 8. From April 2019 onward, businesses needed a Java SE Subscription to receive updates and use Oracle Java in production. In other words, Java went from free to requiring a paid subscription for commercial use.
  • 2021 – Java 17 Becomes Free (temporarily): Oracle introduced a No-Fee Terms and Conditions (NFTC) license with Java 17. This made Oracle Java 17 (and later versions) free to use in development and production until a certain date. Importantly, older versions (Java 8, Java 11, etc.) remained paid. Oracle essentially allowed companies to upgrade to Java 17 without an immediate cost, but this free period expired (more on that below).
  • 2023 – New “Per Employee” Licensing Model: Oracle *replaced its per-user and per-processor licenses with an employee-based Java SE Universal Subscription. Now if a company needs Oracle Java support or updates, it must license Java for all its employees (including contractors). This change can dramatically increase costs for many organizations.
  • 2024 – End of Free Updates for Java 17: Oracle confirmed that after September 2024, Java 17 will require a paid subscription for any new updates. This marks the end of the free support period Oracle provided for Java 17 under NFTC. Companies using Java 17 must either start paying for support or upgrade to a newer Java version to keep getting free security patches.

In summary, using Oracle’s Java is no longer free for most businesses beyond short-term exceptions. Next, we’ll explain how Oracle’s current licensing works and answer common questions so you can decide the best approach for your organization.

Did Oracle Change the Java License?

Did Oracle Change the Java License

Did Oracle change the Java license?

Yes. Oracle’s Java licensing has changed substantially over the years. In brief:

  • Until 2019, Oracle provided Java updates for free and didn’t strictly enforce licenses for commercial users.
  • In 2019, Oracle began requiring paid subscriptions for businesses to continue using Oracle Java (ending the “free Java” era for commercial use).
  • In 2021, Oracle made Java 17+ free to use without charge under a new license (NFTC), but only for a limited time.
  • In 2023, Oracle introduced an employee-wide subscription model, meaning companies must pay per employee for Java, not per server or named user, as before.

If your company hasn’t adjusted its Java usage or procurement strategy since these changes, you could be at risk of non-compliance or unexpected costs. Let’s explain what these changes mean in practice and what you can do.

How does Java licensing work now (2025)?

Did Oracle Make Java Free Again

Oracle’s current commercial Java license is the Java SE Universal Subscription, which is priced per employee:

  • Enterprise-wide coverage: If you subscribe, you must count all employees (and equivalent contractors) in your organization. Even if only 10 developers use Java, a company of 500 employees is expected to buy 500 Java licenses under this model.
  • No partial licensing: Oracle no longer sells small packs or server-based licenses for Java. It’s an all-or-nothing approach – you either cover the entire organization or rely solely on the free usage terms for specific Java versions.
  • Costs: The list price ranges from about $15 per employee per month for smaller organizations to around $5–6 for large enterprises (after volume discounts). This is often much higher than the old model of licensing a limited number of users or processors.
  • Existing Java licenses: If you had an older Oracle Java SE agreement (e.g., per processor), you can continue under that agreement until it expires. However, at renewal, Oracle will almost certainly transition you to the new employee-based model (the old licensing options have been discontinued for renewals and new sales).
  • Support and updates: The subscription gives you the right to use Oracle’s Java on any number of company-wide devices and includes all security updates and support. As long as your subscription is active, it covers all Java versions you might need (Java 8, 11, 17, etc.).

Impact on businesses: This model often raises costs for companies that previously licensed only a subset of users or servers. Many organizations are now re-evaluating whether they need Oracle’s Java since the increased compliance price. (We’ll discuss alternatives to paying these fees later.)

Did Oracle make Java free again?

Oracle Java 17 Free

You might have heard that Oracle “made Java free,” starting with Java 17. Here’s what happened:

  • In September 2021, Oracle announced that Java 17 and future releases would be free under a new NFTC license. Companies could deploy Oracle JDK 17 in production without paying Oracle fees. This reversal of the 2019 policy was very welcome news to the Java community.
  • However, this free usage comes with specific conditions: the free period is time-limited. Oracle provides Java 17 updates for free only for a certain period (until September 2024). After that date, there will be no more free patches—if you want to continue receiving security updates for Java 17 from Oracle, you’ll need to purchase a subscription.
  • Oracle intends to make each new Long-Term Support (LTS) Java version free for a few years and then require a paid subscription for ongoing support. For example, Java 21 (released in 2023) is also free under NFTC initially and likely will require payment for updates a year or two after its release.
  • Older Java versions are not free: This NFTC free license only applies to Java 17 and later. Suppose you are using Oracle Java 8 or Java 11. In that case, those are not suddenly free – they still require a subscription for any commercial use, because Oracle did not retroactively apply the NFTC terms to older releases.

In essence, Oracle did make Java “free again” for the latest versions, but not forever. Think of it as Oracle giving out free use of the newest Java to encourage upgrades and goodwill, but with the expectation that businesses will either upgrade continuously or eventually start paying for support when the free period ends.

For businesses, this means you can run the latest Oracle JDK (17, 19, 21, etc.) without a license cost during its initial support window. However, once that free window closes, you must either plan to upgrade regularly or budget for a subscription.

Do you need an Oracle Java license?

You likely need a license if your organization uses Oracle’s Java in production and isn’t exclusively on the latest free version.

Here’s a quick guide:

  • Java 8 (and earlier): Yes. Using Oracle Java SE 8 in production today requires a paid license. Oracle stopped providing free updates for Java 8 after January 2019 (Update 202). You should have a Java SE subscription if Oracle’s Java 8 is on your servers (beyond those old updates). Remember that JRE also requires licensing.
  • Java 11 (and Java 12–16): Yes. Oracle Java 11 and other intermediate versions were never free for commercial use under Oracle’s license. Running Oracle JDK 11 in production without a subscription violates Oracle’s terms. (If you need Java 11 free, you’d have to use an OpenJDK build, not Oracle’s – see alternatives below.)
  • Java 17: Not yet. Oracle Java 17 is currently free to use under the NFTC license. You do not need to pay for Oracle JDK 17 until its free update period ends. After the cutoff (Sept 2024), if you continue to use Oracle Java 17 and want to apply new security patches, you will need a subscription (or switch to another solution for updates).
  • Java 19, 20, 21, etc.: These follow the same pattern as Java 17. They are free under NFTC during their initial release period. When that period is over, you must upgrade to the next version or start paying for a subscription to keep getting updates.

In summary, any Oracle Java version older than 17 you use in production today requires a paid Oracle license (subscription). Oracle Java 17+ is free for now but will eventually require a license for continued support.

If you’re unsure about your situation, a good rule of thumb is: unless you are only using Oracle JDK 17 or later and plan to keep upgrading, assume you need a Java license or take steps to move to a free alternative. This proactive approach will keep you safe in case of an Oracle audit.

(Remember, using open-source Java (OpenJDK) does not require an Oracle license. The licensing question only applies to Oracle’s distribution of Java.)

Is Java still free?

Java, the platform is free – but Oracle’s Java distribution is not free for long-term commercial use.

Here’s the distinction:

  • Open-source Java (OpenJDK): The OpenJDK project is the open-source reference implementation of Java. It’s available under a GPL license and is free to use, even in commercial settings. This means you can get Java binaries from open-source providers and use them without cost or restrictions.
  • Oracle’s Java (Oracle JDK): Oracle’s branded Java distribution is built on OpenJDK but comes with Oracle’s license terms. As we’ve seen, Oracle allows free use of their JDK only for the latest versions and only for a limited time. Using Oracle JDK beyond those terms requires a subscription.
  • You can run your Java applications for free using an OpenJDK-based JDK (from vendors like AdoptOpenJDK, Amazon Corretto, etc.). Many enterprises have already standardized these free versions to avoid Oracle fees. Java’s core technology remains open-source; Oracle charges for its build and support services.

So yes, Java as a language and platform is open-source and free. What’s changed is that Oracle wants to charge for the convenience and support of their Java binaries for long-term enterprise use.

For businesses, the takeaway is that you are not obligated to pay Oracle to run Java. You can choose free alternatives (which we will detail soon). Oracle’s policies do not make Java itself non-free—they only affect those using Oracle’s provided Java executables beyond the free usage terms.

Is Oracle Java 17 free?

Oracle Java 17 is currently free to use under the NFTC license, but it won’t remain free indefinitely in its current form:

  • Free until September 2024: You can run Oracle Java 17 in production without paying any fees, and Oracle will provide security updates for it on a quarterly schedule (just as they do for paying customers) until September 2024. During this period, Java 17 is free for all practical purposes.
  • After that date: Once the free support period ends, Oracle will no longer release public updates for Java 17. This means if new vulnerabilities or bugs are discovered, Oracle will issue patches only to customers with a subscription. Java 17 itself won’t stop working, but if you want to keep it secure with updates beyond that point, you’ll need to start paying Oracle (or find an alternative source for updates).

So, what are your options when Java 17’s free window closes? You have two main choices:

  • Option A: Continue using Java 17 without new patches – This requires no payment. You would simply stick with the last free version of Oracle JDK 17, released in 2024, and not apply further updates. The risk is that unpatched security flaws could pose a threat over time. Some companies may accept this risk for a while to avoid costs, but it’s not a long-term solution for most.
  • Option B: Upgrade to a newer Java version – By late 2024, Java 21 (the next LTS) will be out and free under NFTC. You could migrate your applications to Java 21 (or the latest version). Then, you’ll receive free updates for that version for the next few years. You’d be moving from one free Java version to the next to stay in the free zone.

Many organizations choose Option B: they enjoyed free Java 17 and will upgrade to Java 21 to continue on the free path. This does require effort—testing and deploying a new Java version—but it avoids direct licensing costs.

The key point: Oracle Java 17 is free today, but if you don’t plan to upgrade or stop using it by the end of its free support, you’ll need a paid license to stay secure. Make sure your IT roadmap accounts for this.

(One more note: After Oracle’s free support ends, other providers may still offer Java 17 updates as part of their OpenJDK support. Switching your Java runtime to one of those providers is another way to extend free usage without paying Oracle.)

Oracle Java Audits and Compliance

Oracle is actively auditing companies for Java usage:

  • Audit inquiries via email – Oracle often sends “Java license review” emails to organizations to discuss usage and compliance. If you receive one, treat it seriously. Oracle likely has data (e.g. logs of Java downloads or updates by your company) suggesting you might be using Oracle Java without a license.
  • Respond carefully – Do not simply provide a full inventory or ignore the email. Engage cautiously: it’s often best to consult a software licensing expert before responding. You may need to demonstrate that you’re not unlawfully using Oracle’s Java or negotiate a license deal. An expert can help craft a response that protects your interests.
  • Negotiation and settlement – Oracle’s goal in audits is usually to sell you a Java subscription. In many cases, they will waive or reduce penalties for past unlicensed use if you agree to purchase a Java SE subscription in the future. Use this as an opportunity to negotiate. Instead of paying a huge back charge, you might settle on buying a subscription for future use (possibly with a discount or favorable terms).

The best strategy is to proactively address Java licensing before a Java audit happens—either by ensuring you’re properly licensed or by switching away from Oracle’s Java so there’s nothing to audit. If you handle it in advance, you won’t be caught off guard when Oracle comes knocking.

Your options to avoid Oracle Java fees

You are not locked into Oracle’s Java. Here are ways to continue using Java without paying Oracle:

  • Use open-source Java – Switch your systems to free OpenJDK distributions (from providers like Eclipse Adoption, Amazon Corretto, Azul Zulu, etc.). These are functionally equivalent to Oracle JDK but have no license cost. This move alone eliminates Oracle Java fees for most companies.
  • Get non-Oracle support if needed—If you require professional support or long-term updates for Java, consider third-party vendors (e.g., Red Hat or Azul) that offer support for OpenJDK at a fraction of Oracle’s price. You’ll still use free Java with an optional support contract for peace of mind.
  • Stay on Oracle’s free track – Alternatively, you could continue using Oracle’s JDK but commit to upgrading promptly to each new LTS version. By always moving to the latest free version (17 to 21 to 25, and so on), you remain within Oracle’s free update window and avoid subscription costs. This strategy requires diligent upgrades but can work if your team is up to it.

Many organizations have already migrated to OpenJDK, sidestepping Oracle’s fees entirely. Evaluate which option (or combination) makes the most sense given your applications and compliance risk. The key is that you have a choice – you don’t necessarily have to pay Oracle to use Java.

Conclusion: Navigating Oracle Java licensing

Oracle’s Java licensing changes have introduced complexity and potential costs, but with the right strategy, you can navigate them and even turn them to your advantage:

  • Review your Java usage now – Take an inventory of where Oracle JDK is used in your environment (and which versions). This will clarify your risk and guide your decisions.
  • Decide your approach – If Oracle’s Java is critical for you, prepare to budget for the new subscription model (and negotiate hard for the best terms). If not, plan a migration to open-source Java to avoid unnecessary costs.
  • Stay compliant—If you continue using Oracle Java, mark important dates (like when free periods end) and ensure you either renew or upgrade in time. Don’t let a license lapse unnoticed.
  • Leverage Oracle’s free use – Even if you eventually move away from Oracle, you can use their free Java 17/21 in the interim as a bridge. Just remember, the free period isn’t forever.
  • Seek expert help if needed – Oracle licensing can be tricky. If unsure, consult experts or services (like Java licensing advisory firms) specializing in this area. They can often save you significant money by identifying the most cost-effective path and handling negotiations or audits.

Next Steps: If you’re uncertain about your Java licensing position or need guidance:

  • Consider a professional Java licensing assessment. This can identify compliance gaps and highlight savings opportunities (such as migrating to OpenJDK or optimizing your Oracle subscription).
  • Contact us for a consultation or to learn more about our Oracle Java licensing advisory services. Our team of former Oracle auditors and licensing experts can help you formulate a plan – whether it’s negotiating a better deal with Oracle or seamlessly transitioning off Oracle’s JDK.
  • Above all, stay informed and proactive. By understanding Oracle’s rules and your options, you can continue to use Java confidently, minimize costs, and avoid compliance headaches.

Don’t let Oracle’s licensing changes catch you off guard. With a clear strategy, you can keep using Java to drive your business – on your terms and within your budget.

Oracle Software with Included Java SE Licenses

Oracle Software with Included Java SE Licenses

Overview of Included Java SE Licenses in Oracle Products

  • Inclusion of Java SE Licenses: Certain Oracle products come bundled with a restricted-use Java SE license. Owning a license for these products might eliminate the need for a separate Java SE license purchase.
  • How It Works: Including a Java SE license with Oracle products allows users to utilize Java SE as part of their existing Oracle product environment without incurring extra licensing fees.

Detailed Breakdown of Products with Included Java SE Licenses

  • List of Inclusive Products: Oracle offers 100 products with a Java SE license. Below are examples of these products, though this list is not exhaustive:
    • Oracle SQL Developer
    • JACIC Electronic Bidding Systems
    • Oracle Forms
    • Oracle E-Business Suite
    • Various Oracle WebLogic Server Product client applications
    • JD Edwards

Further Examples of Oracle Products, Including Java SE Licenses

  • Extensive Product Ranges:
    • WebLogic Server Variants:
      • Standard Edition
      • Enterprise Edition
      • Suite
    • Oracle Internet Application Server:
      • Enterprise Edition
    • Oracle Coherence:
      • Standard Edition
      • Enterprise Edition for Oracle Applications
    • Oracle WebCenter:
      • Content
      • Universal Content Management
    • Oracle Business Intelligence:
      • Server Enterprise Edition
      • Suite Enterprise Edition Plus
      • Foundation Suite
    • Oracle Data Integrator:
      • Enterprise Edition
      • Integration Suite
      • Service Integrator
    • Oracle Identity and Access Management:
      • Suite Plus
      • Identity Manager
      • Access Manager
      • Directory Services Plus
    • Legacy BEA WebLogic Product Purchases

Key Considerations

  • Savings on Licensing Costs: Understanding which Oracle products include a Java SE license can significantly save licensing costs.
  • License Documentation Review: Organizations must review their license documentation to confirm the inclusion of Java SE in their specific Oracle licenses, ensuring compliance and cost-effectiveness.

This detailed information identifies which Oracle products include Java SE licenses, aiding organizations in more effectively managing their software assets.

Java Licensing FAQs

Why are there three different Oracle Java licensing agreements?

Oracle has established three distinct licensing agreements to accommodate various Java versions and use cases. The first agreement covers older versions and their patches, the second, known as Java OTN, is specifically for Oracle Java 11 and 17, and the third, the Java No-fee license agreement, applies starting with Java 17.

Do you have to have an Oracle Java 8 license?

Whether you need a license for Oracle Java 8 depends on a) if you have applied a security patch that is version 211 or later, b) if you have used any Java Commercial features, and c) if your use aligns with “general purpose computing” as defined in the licensing agreement.

Suppose we bought a third-party application that requires Oracle Java SE. Who is responsible for ensuring our compliance?

You need to check your agreement with the third-party application provider. If the agreement does not specifically mention Oracle Java SE licensing, you, as the end user, are likely responsible for ensuring compliance.

Oracle Java licensing and ISV / OEM licenses?

Few OEM partners, typically large software companies, have agreements with Oracle for Java licensing. Smaller ISVs are less likely to have such agreements.

Oracle Java and Commercial Features?

A license is often necessary to use Oracle Java SE’s commercial features, depending on the specifics of your Java licensing agreement and your IT security policies, particularly those regarding patching servers and desktops.

When you apply a security patch, will you be under the new licensing agreement?

Applying a security patch transitions you to the new Oracle Java OTN SE licensing agreement, which restricts commercial usage.

Does Oracle Java SE OTN require a license for non-prod environments?

If you are developing your applications, you do not need to license your development environment. However, the production and development environments must be licensed if you use third-party applications.

How to purchase Oracle Java SE licenses?

Direct purchase options are limited, as few resellers sell Java directly due to Oracle’s insufficient margins. You can also make your purchase directly from the Oracle webshop.

Does the Java Development Kit require a license?

The Java Development Kit may require a license depending on the specific version and usage. Review the applicable Java licensing terms for your version.

Oracle Java Audits?

Since January 2023, Oracle has included Java in its standard audits.

What recommendation would you give to a company that has not yet reviewed its licensing?

It’s essential to start reviewing your Java licensing situation immediately. This review is foundational for compliance, strategic planning, and preparation for potential audits.

What happens at the end of a Java ULA?

At the end of a Java ULA, you must uninstall Java from all devices and servers as you will not own any licenses, unlike technology ULAs where you can retain the deployed software as licenses.,

What kind of discounts can I expect for Java?

Discount levels vary significantly; however, clients often achieve substantial discounts through expert Java licensing advisory services.

What is a Java employee metric?

Introduced in January 2023, the Java employee metric requires you to license users based on the total employee count, regardless of whether they are Java users.

What if we have shared devices with multiple users? How to license?

Each individual with access to a shared Java device needs to be licensed.

Which is the most common mistake companies make with Java?

A frequent oversight is neglecting the licensing requirements for older Java deployments and misunderstanding Oracle’s licensing policies around environments like VMware.

Which commercial feature is most commonly used?

Common usage includes the MSI from the Oracle website for mass updates or distributions, which is generally not permitted.

Which challenges do organizations face with Java?

Organizations often struggle with running Java in virtual environments and understanding the reasons for deployment on servers, especially if they are not major Oracle customers.

If we own WebLogic licenses, do we have Java licenses?

Some Oracle products, like WebLogic, contain a restricted-use Java SE license. Review the product list that includes Java licenses to ensure you do not over-purchase.

Do we need a license if we run Java 8 without applying a security update after April 2020?

Yes, most likely. Reviewing the Binary Code License Agreement (BCL) with legal counsel to confirm is advisable.

Do third-party application vendors have restricted Java licenses?

Only a few major software vendors, such as IBM, SAP, and Symantec, have restricted Java licenses.

Is Oracle Java 17 free for commercial use?

Yes, Oracle Java 17 is free for commercial use, provided you do not distribute Java as part of solutions sold to end customers.,

When Oracle writes that Java is free, what does it mean?

When Oracle mentions that Java is free, they refer to OpenJDK and Java 17, which are available without cost under certain conditions, primarily for general use and development without the need for security updates after their public updates end.

If we have Java 6, do we need a license?

Yes, you most likely need a license for Java 6. To ensure compliance, reviewing the specific licensing agreement applicable to that version, typically the Binary Code License (BCL) is important.

We have Java 7. Do we need a license?

Yes, you will likely need a license for Java 7. Reviewing the Oracle Binary Code License agreement pertinent to this version is essential for determining the correct licensing requirements.

We have Java 8 with a security patch 91. Do we need a license?

Suppose you have Java 8 with a security patch earlier than 211. In that case, you need to review the Binary Code License Agreement to understand the licensing requirements, especially how they pertain to “general purpose computing,” which defines permissible free use.

We have upgraded our Java 8 to a security patch 211 or later. Do we need a license? Yes, upgrading Java 8 to security patch 211 or later means you are subject to the Java OTN agreement and will need a license if you are a commercial organization.

How do we license Java on Hyper-V?

Licensing Java on Hyper-V requires applying Oracle’s virtualization policy. You must count all physical hosts in your cluster and apply the Oracle Core Factor Table to determine the required licenses.

Do you recommend we contact Oracle for help with Java?

It is advisable to consult with an independent licensing expert before contacting Oracle. An expert can help you understand your licensing needs and optimize your environment, thus better preparing you for negotiations or discussions with Oracle.

How to license Java in AWS?

In AWS environments, licensing Java SE typically involves multiplying the number of vCPUs by Oracle’s licensing factors, where two vCPUs usually equate to one Oracle Java license.

And how does it work to license Java on Azure?

Licensing Java on Azure follows a similar model to AWS. You multiply the number of vCPUs by Oracle’s standard licensing conversion, generally counting two vCPUs as one license.

Licensing Java on Google Cloud?

Running Java on Google Cloud is not recommended without using Google’s bare-metal solutions, as Google Cloud is not an approved public cloud environment by Oracle for most licensing considerations.

How will the 2023 license changes impact me if I have a 3-year agreement for a Java subscription?

The 2023 licensing changes will not affect your current Java subscription agreement until it expires. After expiration, you will likely need to transition to the new employee licensing model.

With employee licenses, do we need to count processor licenses for licensing Java?

With the new employee licensing model, you do not need to count processors. Licensing is based solely on the number of employees defined by the new metric.

Can I run Java on VMWare with an employee subscription?

Yes, you can run Java on VMware with an employee subscription without counting the number of processors, provided you stay within the cap of 50,000 processors specified in the licensing terms.

What is the new pricing model for Java SE subscriptions?

Oracle has transitioned from Named User Plus and Processor licensing to an employee-based model called Employee for Java SE Universal Subscription. Pricing varies based on employee count, providing different tiers for different employee numbers.

What happens to existing Java SE customers?

After a soft audit by Oracle, Existing Java SE customers can extend their renewals under the current terms. However, Oracle may request a review of deployment data before agreeing to renew.

Under the new pricing model, what is the processor limit for installing and running the Java SE Universal Subscription Program(s)?

Under the new Java SE Universal Subscription model, the installation limit is 50,000 processors. If usage exceeds this number, an additional license is required, excluding those on desktop and laptop computers.

Do you want to know more about our Java Advisory Services?

Please enable JavaScript in your browser to complete this form.

Author

  • Fredrik Filipsson

    Fredrik Filipsson brings two decades of Oracle license management experience, including a nine-year tenure at Oracle and 11 years in Oracle license consulting. His expertise extends across leading IT corporations like IBM, enriching his profile with a broad spectrum of software and cloud projects. Filipsson's proficiency encompasses IBM, SAP, Microsoft, and Salesforce platforms, alongside significant involvement in Microsoft Copilot and AI initiatives, improving organizational efficiency.

    View all posts