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Data Center News > Blog > Global Market > Broadcom changes VMware pricing amid customer backlash and EU questioning
Global Market

Broadcom changes VMware pricing amid customer backlash and EU questioning

Last updated: April 17, 2024 12:21 pm
Published April 17, 2024
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“This ensures prospects is not going to face any licensing mismatch as they transfer between suppliers, and can keep away from switching and extra licensing prices,” Tan wrote within the submit.

VCF additionally will now come “at half the checklist worth in comparison with previous pricing” as a regular expertise stack for cloud suppliers to supply the identical expertise and assist expertise throughout all of them, he wrote, however didn’t specify pricing.

VMware additionally will full its transition plan to a subscription mannequin that gives entry to the newest model of merchandise plus assist for a set time period, one thing that started in 2018, lengthy earlier than Broadcom unveiled plans to buy the corporate, Tan wrote.

He stated the transition is not going to have an effect on prospects’ skill to make use of current perpetual licenses, together with these for older vSphere variations they’ve beforehand licensed. Clients can also proceed to obtain upkeep and assist for VSphere by signing up for one of many new subscription choices; nevertheless, in the event that they select not to enroll in a subscription, they’ll nonetheless obtain free entry to zero-day safety patches for supported variations of vSphere, Tan stated.

Uphill battle

The pending EC investigation into its VMware licensing practices is the most recent concern dealing with Broadcom after its preliminary announcement of its plans to buy of the corporate again in Might 2022, which has been an uphill battle from the beginning for Tan and his crew and has drawn appreciable hearth from prospects.

See also  Colt Technology Services reinforces customer ESG commitments

It took Broadcom 18 months to get the entire requisite approvals wanted to finalize the $61 billion buy. After which as soon as the deal was finalized, Broadcom laid off hundreds of staff, offered off components of the enterprise, after which proceeded to alter licensing phrases in ways in which have been expensive to prospects.

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TAGGED: backlash, Broadcom, customer, pricing, Questioning, VMware
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