Digesting database confusion

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ANALYSIS

Companies of all sizes depend on databases — organised collections of electronic information stored on one or more computers in a systematic way — to function and do business.

Almost every business function relies on databases. The personnel department needs a database of employee information, the sales department needs a database of the company's products and even the IT department itself relies on databases such as Active Directory to store information about the users, computers and resources on the network.

A database can consist of a single table (collection of information) or multiple tables of related information that can be linked to each other (called relational databases). The tables are linked via a field that they both have in common. Database software can range from the simple Microsoft Cardfile.exe program that was built into the Windows 3.x operating systems, to more sophisticated but relatively inexpensive relational database programs such as FileMaker Pro or Microsoft Access, all the way up to enterprise-level server-based programs such as Microsoft SQL Server or Oracle.

Making the decision to commit to a particular database program, whether you're implementing a database for the first time or considering a switch, can be a difficult one. There is no "one size fits all" solution, but there are ways you can ensure that you don't outgrow your software too quickly as the size of your business increases.

Small businesses may not need or be able to afford the "big guys" — if you can even figure out what they cost — licensing/pricing structures can be confusing. For example, Microsoft's SQL Server 2005 can be licensed under several different models. With processor licensing, you pay a hefty fee (from $3,899 (£2,208) for Workgroup Edition to $24,999 (£14,160) for Enterprise Edition) per physical or virtual processor on which the software runs. The upside is that you don't have to buy CALs under this model. Alternatively, you can use the Server Plus Device CAL or Server plus User CAL model that costs only $739 to $13,969 for a set number of CALs (5 for Workgroup and Standard Editions, 25 for Enterprise) plus $146 to $162 per additional device or user. In fact, it's so confusing that Microsoft has even put out a whitepaper on Understanding Database Pricing.

Oracle's pricing structure is similarly complex. There are three main editions: Enterprise, Standard and Standard One (for single CPU servers). Each has different features and prices. Per-processor licences range from $4,995 to $40,000. Named user licences range from $149 to $800.

If you're a small company, then, what are your options? How can you set up a database that serves your needs now, without spending...

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