{"id":77119,"date":"2024-07-22T12:00:00","date_gmt":"2024-07-22T11:00:00","guid":{"rendered":"https:\/\/serviceexpress.com\/uk\/?p=77119"},"modified":"2025-04-30T18:20:54","modified_gmt":"2025-04-30T17:20:54","slug":"navigating-vmware-changes-post-broadcom-acquisition","status":"publish","type":"post","link":"https:\/\/serviceexpress.com\/uk\/resources\/navigating-vmware-changes-post-broadcom-acquisition\/","title":{"rendered":"Navigating VMware changes post-Broadcom acquisition"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">In November 2023, <a href=\"https:\/\/investors.broadcom.com\/news-releases\/news-release-details\/broadcom-completes-acquisition-vmware\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Broadcom announced<\/a> the completion of its acquisition of VMware. Over the last several months, <a href=\"https:\/\/www.broadcom.com\/info\/vmware\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Broadcom<\/a> has shared fundamental changes to VMware\u2019s portfolio, business model, pricing and more. These adjustments have created a ripple effect across the industry, impacting IT budgets for companies small to enterprise. Below are the most significant changes made to VMware.&nbsp;<\/p>\n\n\n\n<div id=\"moving-to-a-subscription-based-model-discontinuing-free-and-perpetual-licenses\" class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"h-1-moving-to-a-subscription-based-model-discontinuing-free-and-perpetual-licenses-nbsp\"><strong>1. Moving to a subscription-based model, discontinuing free and perpetual licenses&nbsp;<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Companies looking to purchase new, renew, upgrade or receive maintenance support on perpetual licenses must transition to a subscription model. Previously, perpetual licenses were one-time purchases that fell under most company\u2019s CapEx budgets. Moving to a subscription model may require companies to shift these costs to OpEx. <a href=\"https:\/\/www.broadcom.com\/blog\/a-changing-market-landscape-requires-constant-evolution-our-mission-for-vmware-customers\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Broadcom<\/a> announced that customers will continue to access their perpetual licenses and receive free zero-day patches for supported versions of vSphere.&nbsp;<\/p>\n<\/div>\n\n\n\n<div id=\"condensing-the-vmware-portfolio-to-two-primary-solutions-with-options-for-add-ons\" class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"h-2-condensing-the-vmware-portfolio-to-two-primary-solutions-with-options-for-add-ons-nbsp\"><strong>2. Condensing the VMware portfolio to two primary solutions with options for add-ons&nbsp;<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"https:\/\/www.broadcom.com\/blog\/vcf-go-to-market-strategy-your-top-questions-addressed\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">VMware Cloud Foundation (VCF)<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"https:\/\/www.broadcom.com\/blog\/vcf-go-to-market-strategy-your-top-questions-addressed\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">VMware vSphere Foundation (VVF)<\/a>&nbsp;<\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<figure class=\"wp-block-image size-medium\"><img decoding=\"async\" data-src=\"https:\/\/serviceexpress.com\/wp-content\/uploads\/2024\/07\/New-VMware-Product-Bundles-2024-1000x602.png\" alt=\"New VMware bundles 2024\" class=\"wp-image-76978 lazyload\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 1000px; --smush-placeholder-aspect-ratio: 1000\/602;\" \/><\/figure>\n<\/div>\n\n\n\n<p class=\"wp-block-paragraph\">In addition to the main bundles, add-ons and access to vSphere Standard and vSphere Essentials Plus are available.&nbsp;<\/p>\n<\/div>\n\n\n\n<div id=\"calculating-pricing-per-core-with-a-minimum-of-16-cores\" class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"h-3-calculating-pricing-per-core-with-a-minimum-of-16-cores-nbsp\"><strong>3. Calculating pricing per core (with a minimum of 16 cores)&nbsp;<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">With new product offerings comes new pricing. Previously, VMware required one CPU license for up to 32 physical cores. The pricing for VCF and VVF is calculated based on the number of cores per CPU, with a minimum of 16 cores.&nbsp;<\/p>\n<\/div>\n\n\n\n<div id=\"rolling-out-changes-to-their-partner-program-and-framework\" class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"h-4-rolling-out-changes-to-their-partner-program-and-framework-nbsp\"><strong>4. Rolling out changes to their partner program and framework&nbsp;<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">In February 2024, VMware\u2019s partner programs transitioned to Broadcom\u2019s invitation-only Advantage Partner Program. As outlined in <a href=\"https:\/\/docs.broadcom.com\/docs\/vmware-partner-faq\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Broadcom\u2019s Partner FAQ<\/a>, they\u2019ll begin rolling out invitations to VMware partners, starting with resellers. Invitation timelines may vary by partner route and market.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/news.vmware.com\/partners\/building-a-simplified-stronger-advantage-program-for-vmware-by-broadcom\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Broadcom\u2019s VP of Global Partner and Commercial Sales<\/a> shared updates to the partner program, including a net margin model; streamlined pricing, systems and tools; predictable partner profitability and deal protection; and increased resourcing and support.&nbsp;<\/p>\n<\/div>\n\n\n\n<div class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"h-ways-to-mitigate-vmware-s-rising-costs-nbsp\"><strong>Ways to mitigate VMware\u2019s rising costs<\/strong>&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Every company\u2019s next step forward will depend on various factors, including current environments, utilisation, compatibility, budget, resources, etc. Below are potential considerations and strategies to reduce subscription costs or make room in your IT budget for the increase.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-assess-your-current-environment-and-utilisation-nbsp\"><strong>Assess your current environment and utilisation<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">You\u2019re overpaying for an additional license if your servers have less than 16 cores per CPU. That said, now\u2019s the time to identify servers that are underutilised, idle or spare hosts since you\u2019ll be paying for each core. Depending on your situation, you may be able to upgrade, downgrade or refresh hardware to get the most out of your budget.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-find-cost-savings-opportunities-nbsp\"><strong>Find cost savings opportunities<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">We know every IT department is challenged to do more with less and increasing VMware subscription costs have only added more pressure. Several opportunities for cost reduction include delaying hardware refresh cycles by extending the life of your equipment and switching to third-party <a href=\"https:\/\/serviceexpress.com\/data-center-maintenance\/\">Data Centre Maintenance<\/a> to address support costs.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-evaluate-your-storage-strategy-nbsp\"><strong>Evaluate your storage strategy<\/strong> &nbsp;<\/h3>\n\n\n\n<div class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<p class=\"wp-block-paragraph\">VCF and VVF include vSAN in the cost:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>VCF: 1 TiB of vSAN per core&nbsp;<\/li>\n\n\n\n<li>VVF: 100 GiB for each core deployed in a vSAN cluster&nbsp;<\/li>\n<\/ul>\n<\/div>\n\n\n\n<p class=\"wp-block-paragraph\">Customers <em>can<\/em> utilise the vSAN that\u2019s included with their respective bundle. However, exceeding the allotted amount could overwhelm your budget and incur additional capacity charges. Read more about calculating cores for vSAN in <a href=\"https:\/\/knowledge.broadcom.com\/external\/article?legacyId=95927#:~:text=16%20cores%20is%20the%20minimum%2ctrial%20capacity%20in%20vSphere%20Foundation.\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Broadcom\u2019s article.<\/a>&nbsp;<\/p>\n<\/div>\n\n\n\n<div class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"h-exploring-vmware-alternatives-nbsp\"><strong>Exploring VMware alternatives<\/strong>&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">There\u2019s no telling what the future holds for VMware post-Broadcom acquisition. As VMware competitors begin to target the company\u2019s significant customer base, IT decision-makers must weigh the cost, risk and time associated with considering an alternative solution.&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">\u201cA large-scale migration from VMware\u2019s server virtualization platform will require multiple person-years of effort, considerable one-time project costs and business risk, and have an elapsed duration of 18 to 48 months.\u201d \u2014 <a href=\"https:\/\/www.gartner.com\/document\/5330263?ref=solrResearch&amp;refval=416207081&amp;\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Gartner<\/a>&nbsp;<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">We\u2019ve compiled a list of the top VMware alternatives and their advantages and disadvantages based on findings from <a href=\"https:\/\/www.acecloudhosting.com\/blog\/top-vmware-alternatives\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Ace Cloud Hosting<\/a> and reviews on <a href=\"https:\/\/www.gartner.com\/peer-insights\/home\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Gartner Peer Insights<\/a>.&nbsp;<\/p>\n<\/div>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Provider<\/strong>&nbsp;<\/td><td><strong>Advantages<\/strong>&nbsp;<\/td><td><strong>Disadvantages<\/strong>&nbsp;<\/td><\/tr><tr><td><a href=\"https:\/\/www.nutanix.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Nutanix<\/a>&nbsp;<\/td><td>Manage multiple clusters through a single console&nbsp;Customisable and easy to scale&nbsp;Helpful and reliable support&nbsp;Built-in security&nbsp;<\/td><td>Requires the purchase of new hardware&nbsp;Complex licensing structure&nbsp;Uses significant system memory&nbsp;Limited communication on software updates, patches or releases&nbsp;Requires specialised knowledge&nbsp;<\/td><\/tr><tr><td><a href=\"https:\/\/learn.microsoft.com\/en-us\/windows-server\/virtualization\/hyper-v\/hyper-v-on-windows-server\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Microsoft Hyper-V<\/a>&nbsp;<\/td><td>Live migration, replication and integration with Windows&nbsp;Versatile platform for Windows and Linux operating systems&nbsp;Offers nested virtualisation&nbsp;Easy to customise and make changes&nbsp;Intuitive interface&nbsp;Able to log into multiple domains simultaneously&nbsp;<\/td><td>Limited administrator notifications&nbsp;Must use third-party applications to monitor the replication status between hosts&nbsp;Uses a large amount of space&nbsp;Performance can be slower than other options&nbsp;<\/td><\/tr><tr><td><a href=\"https:\/\/www.citrix.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Citrix<\/a>&nbsp;<\/td><td>Live migration, high availability and disaster recovery&nbsp;Secure with no single point of failure&nbsp;Scalable, supporting up to 288 physical cores and 12TB of RAM per host&nbsp;Centralised dashboard with visibility and insights into resource utilisation&nbsp;<\/td><td>Requires the purchase of new hardware&nbsp;Limited support for guest operating systems&nbsp;Complex to set up and manage&nbsp;<\/td><\/tr><tr><td><a href=\"https:\/\/www.proxmox.com\/en\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Proxmox<\/a>&nbsp;<\/td><td>Free with optional support plans&nbsp;Live migration and replication&nbsp;Supports Windows and Linux environments&nbsp;High availability features automatically manage node failures&nbsp;Open-source flexibility allows customisation&nbsp;<\/td><td>Learning curve&nbsp;Limited support for third party plugins for backup and recovery&nbsp;<\/td><\/tr><tr><td><a href=\"https:\/\/linux-kvm.org\/page\/Main_Page\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">KVM<\/a>&nbsp;<\/td><td>Free and open source&nbsp;Robust security features&nbsp;Flexible deployment&nbsp;Enterprise-grade features without licensing fees&nbsp;<\/td><td>Limited support options&nbsp;Integration with non-Linux may require extra effort&nbsp;<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Depending on current platforms, integrations, functionality, etc., moving away from VMware may not be possible for every organisation. Before jumping off the VMware ship, assess your current products and their capabilities to avoid creating a more expensive problem.&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-group is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"h-how-service-express-can-guide-you-through-the-changes-nbsp\"><strong>How Service Express can guide you through the changes<\/strong>&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">We understand this change is widespread and impacts many \u2014 if not all \u2014 of our customers. Although the waters seem a tad murky, the good news is that you don\u2019t have to navigate them alone. Ultimately, our priority is to help our customers get the most out of their budget without compromising performance. Our team of Infrastructure Sales Consultants is equipped to weigh your options and advise on the best strategy to maximise your VMware investment.&nbsp;<\/p>\n<\/div>\n\n\n<div class=\"persistent-cta alignfull wp-block-serviceexpress-persistent-cta\" aria-hidden=\"true\">\n\t\n\n<div class=\"wp-block-group persistent-cta__container has-white-color has-royal-background-color has-text-color has-background is-layout-constrained wp-container-core-group-is-layout-11b687a5 wp-block-group-is-layout-constrained\">\n<div class=\"wp-block-group persistent-cta__content is-layout-flow wp-block-group-is-layout-flow\">\n<p class=\"has-medium-font-size wp-block-paragraph\" style=\"font-style:normal;font-weight:500\">Connect with our team to weigh your VMware options<\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-primary-light\"><a class=\"wp-block-button__link wp-element-button\" href=\"\/uk\/hardware-solutions\/data-center-hardware\/#contact\">get started<\/a><\/div>\n<\/div>\n<\/div>\n<\/div>\n\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>VMware\u2019s changes to its pricing and product offerings have impacted IT budgets across the industry. Here\u2019s an overview of the changes and tips for what\u2019s next.<\/p>\n","protected":false},"author":81,"featured_media":77127,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ep_exclude_from_search":false,"freeform":false,"hero_image_id":77128,"show_author":true,"table_of_contents":[{"id":"0b4ba345-dda0-4077-aa8c-045509650f41","level":"2","title":"1. Moving to a subscription-based model, discontinuing free and perpetual licenses\u00a0","url":"moving-to-a-subscription-based-model-discontinuing-free-and-perpetual-licenses"},{"id":"9d10d72e-cb8a-4343-846d-2c0fa51095e5","level":"2","title":"2. Condensing the VMware portfolio to two primary solutions with options for add-ons\u00a0","url":"condensing-the-vmware-portfolio-to-two-primary-solutions-with-options-for-add-ons"},{"id":"6ec8a7f4-a5d5-4a8d-81b9-dfa9f10ec1a1","level":"2","title":"3. Calculating pricing per core (with a minimum of 16 cores)\u00a0","url":"calculating-pricing-per-core-with-a-minimum-of-16-cores"},{"id":"166f4231-cb18-4278-ba74-8f1b3a1c6b8e","level":"2","title":"4. Rolling out changes to their partner program and framework\u00a0","url":"rolling-out-changes-to-their-partner-program-and-framework"},{"id":"551f4363-f651-4af1-ad74-3d1c18df371a","level":"2","title":"Ways to mitigate VMware\u2019s rising costs\u00a0","url":"h-ways-to-mitigate-vmware-s-rising-costs-nbsp"},{"id":"96c0dc83-0c1f-4f3f-99f9-db080877632c","level":"3","title":"Assess your current environment and utilisation\u00a0","url":"h-assess-your-current-environment-and-utilisation-nbsp"},{"id":"a4e3ae8d-e40d-4433-945e-86be757ef509","level":"3","title":"Find cost savings opportunities\u00a0","url":"h-find-cost-savings-opportunities-nbsp"},{"id":"926d78a3-3587-427a-8aa0-b05406254f0e","level":"3","title":"Evaluate your storage strategy \u00a0","url":"h-evaluate-your-storage-strategy-nbsp"},{"id":"91c45f61-2d9f-431f-9e2f-8214afc35c66","level":"2","title":"Exploring VMware alternatives\u00a0","url":"h-exploring-vmware-alternatives-nbsp"},{"id":"5edb467b-6541-4e8f-9439-e78741c3b99d","level":"2","title":"How Service Express can guide you through the changes\u00a0","url":"h-how-service-express-can-guide-you-through-the-changes-nbsp"}],"footnotes":""},"categories":[733,736,737],"tags":[],"resource":[716],"class_list":["post-77119","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-hardware","category-it-budget-cost-savings","category-it-infrastructure","resource-blogs"],"featured_image_src":"https:\/\/serviceexpress.com\/uk\/wp-content\/uploads\/sites\/5\/2024\/07\/VMware_X_Broadcom_Meta.jpg","yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.7 (Yoast SEO v27.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Navigating VMware changes post-Broadcom acquisition | Service Express<\/title>\n<meta name=\"description\" content=\"VMware\u2019s changes to its pricing and product offerings have impacted IT budgets across the industry. 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