"Last month, the supermarket giant announced plans to sue Broadcom for £100 million over VMware licensing contracts. Broadcom bought VMware in 2022 for $61 billion, sparking a backlash from its own customers by changing licensing terms in a way that led to price increases for many. Tesco said via court filings that the licensing changes led to prices it paid for VMware software to jump by 237%, accusing Broadcom of refusing to negotiate and taking advantage of its market dominance to hike up prices."
"As spotted by , Computacenter has filed a legal claim against both Broadcom and Dell. Court filings seen by the publication noted that Computacenter used Dell to distribute VMWare software, and in 2021 quoted Computacenter for subscriptions for Tesco to use VMware's Tanzu Basic and Tanzu Mission Control for five years with an extra four years of support. Computacenter is suing for damages if Tesco wins because it hasn't supplied those services at the prices quoted, despite the agreement, and Dell for breaching its contract. Dell told the publication that because of "the changes within VMware and actions by Broadcom" it couldn't fulfil the promised renewals at the pricing."
Tesco filed a £100 million lawsuit against Broadcom, alleging post‑acquisition VMware licensing changes caused a 237% price increase for its VMware software and that Broadcom refused to negotiate. Computacenter was named as a defendant because it supplied Tesco's VMware licenses. Computacenter has filed its own claim against Broadcom and Dell, saying Dell distributed VMware via Computacenter and that quoted Tanzu Basic and Tanzu Mission Control subscriptions with extended support were not supplied at the agreed prices. Dell said changes within VMware and actions by Broadcom prevented it from fulfilling the promised renewals at that pricing. Broadcom has defended itself, citing product availability and partner program changes.
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