The ITAM Review

News, reviews and resources for worldwide ITAM, SAM and Licensing professionals.

Podcast: Getting started with IBM Licensing

The ITAM Review Podcast Episode 4: Getting started with IBM Licensing

In this podcast guests Eric Chiu and Koen Dingjan provide an introduction to the main risks and complexities of IBM licensing and audits.

View all our podcasts on SoundCloud or iTunes.

Discussion Topics:

The main IBM technology stacks

Common IBM License types including:

  1. Capacity of hardware, PVU
  2. User based licensing
  3. Storage capacity

Common pitfalls during audits including:

  1. IBM Subcapacity
  2. IBM User types

Other topics:

  • IBM Software License Agreements
  • IBM Audit Process
  • IBM Software Licensing Optimization



Podcast Host – Martin Thompson

Eric Chiu

Podcast Guest – Eric Chiu



Podcast Guest – Koen Dingjan


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About Martin Thompson

Martin is owner and founder of The ITAM Review, an online resource and community for worldwide ITAM professionals.

Martin is also author of the book "Practical ITAM - The essential guide for IT Asset Managers", a book that describes how to get started and make a difference in the field of IT Asset Management.

On a voluntary basis Martin is a contributor to ISO WG21 which develops the ITAM International Standard ISO/IEC 19770.

Learn more about him here and connect with him on Twitter or LinkedIn.


  1. Ania says:

    Great, thank you! I know only few people in IT industry that do not struggle with IBM licensing. I know I do and ILMT still scares me after 4 years of working with it.
    Thanks again!

  2. SteveL says:

    Based on my experience with IBM licensing, including PVUs, I would concur that within an estate already deploying and consuming IBM products, it is imperative to create and maintain a complete and accurate (trustworthy) Software Asset Inventory including entitlements (certificates of entitlement).

    /* Do not confuse your software Asset inventory as a refection of a discovery of deployments. That is your Installed Inventory essentially reflecting your Liabilities. */

    If your purchasing records are suspect, PPA will provide a history of transactions that can lay the foundation of your inventory including invoice numbers; however, (1) your orgs purchase history can be distributed across multiple IBM sites requiring multiple queries from PPA and (2) all blue-washed products, as a result of IBM acquisitions, will not be included in IBM’s purchase history provided by PPA.

    In addition to reviewing your IBM-License impacting agreements, also review your purchasing history since, subsequent to the effective date, transactional POs can be placed under an active Agreement which are not necessarily reflected in that agreement: your agreement may provide a product catalog with associated pricing against which you can create transactions (POs) for additional licenses/entitlements. ( in our case, we had approx. 90 POs across the 3yr term that had no associated amendment to the IBM agreement. )

    Additionally, the IBM PPA site provides Proof of Entitlements (PoE) for each purchased product license which, as noted in the certificate itself, together with your invoice establishes entitlement – the legal right to use their IP.

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