NETSUITE EXTENDS ORACLE USE
NetSuite has agreed to a 48-month extension to its license to use Oracle database and application server software. San Mateo, Calif.-based NetSuite will pay $13.1 million to extend the current license from May 31, 2014 through May 31, 2018. Under its terms, NetSuite can download what are described as "an unlimited number of certain perpetual licenses and a specified number of other perpetual licenses" for the Oracle products.
NetSuite also has an agreement to pay Oracle $2.4 million for support services from Feb. 28, 2013 to Feb. 27, 2014 and can renew each of the next four years for $4.3 million a year. This contract renews automatically unless cancelled. NetSuite finances the fees through Oracle Credit Corp at 2 percent per year. As always, you have to assume this disclosure stems from the fact that NetSuite's majority shareholder, Larry Ellison, is chairman of Oracle.
