Yes, I believe you have it right. The Data Guard feature is included with Enterprise Edition for no extra cost - see here: http://download.oracle.com/docs/cd/B19306_01/license.102/b14199/editions .htm#CJACGHEB It is the standby database that must be licensed, regardless of whether or not you are using Data Guard. This doc also has some more detail: http://www.oracle.com/corporate/pricing/sig.pdf Regards, Brandon ________________________________ From: oracle-l-bounce@xxxxxxxxxxxxx [mailto:oracle-l-bounce@xxxxxxxxxxxxx] On Behalf Of krish.hariharan@xxxxxxxxxxxx I am not a license expert by any stretch of the imagination, but in reading the document, I didn't think it was the capability that had to be licensed but rather the fact that you have to be covered by your licensing terms to run Oracle instances on multiple servers. Privileged/Confidential Information may be contained in this message or attachments hereto. Please advise immediately if you or your employer do not consent to Internet email for messages of this kind. Opinions, conclusions and other information in this message that do not relate to the official business of this company shall be understood as neither given nor endorsed by it.