Oracle database licensing on VMware may cause potential users to put off running applications and databases on VMware.
While many companies main concern for putting Oracle databases on VMware is performance, their other major concern is its licensing. Especially with x86 server chips which have a large number of processor cores. This is because Oracle views VMware technology as soft partitioning and an environment where end users should license the complete server, regardless of them only using a portion of it for Oracle databases and applications. Consequently this causes per-core licensing to get quite costly.