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Broadcom ends VMware perpetual licensing and Partner Programs

Last Updated: March 5th, 2024 2 min read Servers Australia

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The recent acquisition of VMware by Broadcom in November 2023 has brought significant changes to the company's licensing and partner programs. While this creates a period of adjustment, customers can find support and guidance from trusted partners like Servers Australia.

Farewell Perpetual Licenses, Hello Subscriptions

One of the most significant changes is the phasing out of perpetual licenses in favour of an entirely subscription-based model for VMware products. This means customers will transition from a one-time upfront payment for a license to a recurring fee for access to the software.

What this means for customers

  • Cost considerations: Customers must evaluate the new subscription costs compared to existing perpetual license spending.

  • Budgeting adjustments: The recurring nature of subscription fees may require adjustments in budgeting.

  • Flexibility: Subscriptions offer greater flexibility in scaling resources up or down to meet changing business requirements.

Simplifying the Offering, But At What Cost?

Broadcom is seeking to simplify VMware's product portfolio through consolidation and reorganisation. While this could streamline the product selection process, initial adjustments may be needed to adapt to the new structures.

Price Adjustments on the Horizon

Customers can expect adjustments to pricing structures in light of the subscription shift.

Support and Guidance Through Transition

At Servers Australia, we understand the evolving nature of the VMware landscape. We are actively working towards acceptance into the Broadcom "Cloud Service Provider" program and maintaining close communication with the Broadcom team. This ensures a smooth transition for our customers and allows us to keep them updated on any upcoming changes.

Change presents both challenges and opportunities. We at Servers Australia are dedicated to remaining your trusted partner during this transition. We will provide you with the latest information and guidance to help you make informed decisions regarding your VMware solutions.

As always, we encourage you to reach out to our team if you have any questions or concerns. We will do our best to address them with the information we have at hand, and we will continue to provide further information throughout this period of change through our website, social media channels, and direct communication.

Please note: This blog post is based on publicly available information and may not reflect all future changes or updates. We encourage you to stay informed by following official channels from Broadcom and VMware.