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CPH cuts licence costs up to DKK 20 million

Copenhagen Airports Kastrup (CPH) is the largest airport in the Nordic region with 26.8 million travellers annually. Digitalisation is a central part of the airport's development, and the IT department, which comprises around 200 people, plays a crucial role in the work. 

A key focus is to use IT resources efficiently, driving digital innovation while maintaining high security and compliance. 

CPH uses open source wherever possible to create cost advantages, attract the right skills, and build a flexible foundation for innovation. This strategy involves transitioning from 26 Oracle databases to open PostgreSQL. 

Based on today's price, the switch to PostgreSQL will free up over DKK 22 million in licence costs alone over a 20-year period.

Modernisation work identified opportunity

Redpill Linpro has been an IT partner to CPH for over ten years, contributing both strategy and development. One of the ongoing projects is modernising the airport's IT environment. As part of this project, Redpill Linpro is carrying out a migration project consisting of replacing Oracle with PostgreSQL in the database area. 

We spoke to Thomas Meier, Senior IT Engineer at the airport, about the project: 

'Switching our Oracle databases to PostgreSQL is a great example of how we can release budget funds from licence costs for projects that drive digital innovation forward,' explains Thomas Meier.

Copenhagen Airports Kastrup, Thomas Meier
Photo: Copenhagen Airports

From expensive customised solutions to flexible open-source

Previously, CPH had a dedicated IT department for the Oracle databases. Over time, the airport chose to outsource operation and maintenance to an external provider. However, a cost review showed that the licence and operational costs were higher than the need justified and that the possibility of switching to another solution could release significant budgetary resources. 

'It was like we were driving an expensive branded car when we just needed a reliable everyday car,' says Thomas Meier. 

Based on its open-source strategy, CPH identified the PostgreSQL database as the best choice. 

With the help of Redpill Linpro, the project started by migrating one of the airport's 26 Oracle databases. Next, the baggage database, which has connections to many other airport systems, was replaced. More changes will follow until all 26 databases are replaced.

Releasing more than DKK 20 million

CPH has been using Oracle databases for about 20 years. Without the completed inventory, the airport believes it is likely that they would have continued to use them for another 20 years. The current annual cost of DKK licences is 1.1 million, which means the total licence cost is DKK 22 million over a 20-year period. 

To this must be added cost increases and operating costs. 

'Now we are investing in PostgreSQL instead, which will have a payback period of about two years compared to the licence costs. The business case thus became very clear, says Thomas Meier. 'Moreover, in PostgreSQL we get a modern database that enables a high degree of automation and thus our department can free up much time'.

Open source brings more benefits than price

Beyond the economic aspects, switching to an open-source database has additional benefits, particularly in recruitment and talent management. 

'Competition for IT skills is fierce, and we want to be an attractive workplace. Most IT training programmes today include PostgreSQL, allowing new employees to get up to speed quickly and work with open source software, which has become very popular among new IT professionals,' says Thomas Meier. 

Once the switch is complete, the goal is to consolidate all databases into the airport's development platform, which runs in a Kubernetes environment. 

'This will make it easier to launch new IT projects, deploy APIs faster, and simplify data collection, which is key to utilising AI more widely,' Meier notes.

Continued digital innovation in focus going forward

The strategic shift from Oracle to PostgreSQL is important to CPH's digital transformation. 

By working with Redpill Linpro, the airport has freed up budget, achieved greater flexibility, and created a more attractive working environment for future IT talent. 

'I look forward to continuing to work closely with Redpill Linpro and driving innovation and digital development forward,' says Thomas Meier. 

'I also do not exclude that we will identify other areas where open source solutions are better suited and can bring digital benefits to our work processes, staff and customers at CPH,' concludes Thomas Meier.

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