Can PRODUCT_USER_PROFILE be used to limit access to a database from products other than SQL*Plus, such as TOAD?...
No, the PRODUCT_USER_PROFILE table is read by SQL*Plus and it is not employed by the database in any way. The features enabled or disabled by the entries in the PRODUCT_USER_PROFILE table only apply when using the SQL*Plus tool and do not apply when using any other tool to connect to the database. This is covered in the 9.2.0 documentation on SQL*PLus in this excerpt:
DBAs can use the PUP table to disable certain SQL and SQL*Plus commands in the SQL*Plus environment on a per-user basis. SQL*Plus--not the database--enforces this security. DBAs can even restrict access to the GRANT, REVOKE, and SET ROLE commands to control users' ability to change their database privileges.
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