VMware: Dealing with Broadcom's Massive Changes

Running VMware software? Big changes are afoot, following Broadcom's takeover.

Broadcom's Shaking Things Up

• Price Changes - Some VMware customers report big price changes when they attempt to renew their subscriptions.
• ‘Per Core’ Pricing - Instead of paying per CPU package, you’ll pay per CPU core, with a 16-core minimum per host.
• Subscriptions Only - You can no longer buy perpetual licences or support for perpetual licences.
• Mandatory Bundles - You can no longer buy many products except as part of a bundle.
• Fewer Partners - VMware had 28,000 partners. Broadcom invited 18,000 to become partners. Not all accepted.
• End-User Computing Sold Off - Horizon and Workspace ONE were sold to KKR. The business will be called Omnissa.
• Staffing Changes - Broadcom has cut VMware’s headcount. Partners will handle more 2nd-line Sales/Technical support.

VMware Product Line Simplification

Your existing licences remain valid. However, when it comes to NEW licenses and licence RENEWALS, you will likely need to switch to new VMware product bundles, such as VMware Cloud Foundation or VMware vSphere Foundation. 

Impacted by VMware Licensing Price Rises? Here's What You Can Do

VMware often advises a shift to VMware Cloud Foundation, but it's worth checking whether the cheaper, less-functional VMware vSphere Foundation might be sufficient for your needs. See our comparison of VMware Cloud Foundation and VMware vSphere Foundation.

Do consider VMware-based hosting. It can allow you to keep using VMware after your current licence expires without committing to a new multi-year contract. That buys you time to research your options and implement change at your own pace.

VMware-based hosting can provide a smart way around Broadcom's decision to charge for a minimum of 16 cores per host. Your hosting provider makes that commitment. You don't have to.

VMware-based hosting is also ideal for those negatively impacted by the shift from per-CPU licencing to per-core licencing, as VMware hosting costs aren't as closely tied to the number of CPU cores you use. 

If you're facing substantial VMware licensing cost increases and aren't convinced it's worth the money, there are alternatives. For on-premises systems, there's Microsoft Hyper-V, Red Hat Virtualization and Nutanix Acropolis Hypervisor.

But if you're going to switch to a new platform, it's worth considering cloud migration while you're at it. It won't necessarily save you money, but, is likely to bring other benefits such as improved scalability, performance and reliability. It will also free you from server hardware responsibilities.

How hSo Can Help You Respond to VMware's Changes

hSo's hosted VMware service enables you to continue using VMware without having to make a new multi-year commitment. We help you duck the 16-core-per-host minimum and upgrade your hosting platform without you having to buy any hardware.

Our VMware-based hosting service's standard pricing model charges you for a pool of resources that can be reassigned to different virtual machines and contended. This delivers predictable monthly bills, while giving you day-to-day flexibility. You can overcontend your resources, like you do on-premises. This helps you achieve better value for money.

If you decide to move away from VMware entirely, hSo can help you migrate to AWS and Azure, as an AWS and Microsoft partner.

Our hosting experts can optimise your cloud to minimise unnecessary costs. This is particularly important if you're planning to lift-and-shift to the public cloud.

If you're not sure of the right way forward, we can help you review your options.

To arrange a free, no-obligation discussion with our hosting team, call us on 020 7847 4510 or fill in the form below.