"Much has changed since the acquisition by Broadcom in November 2023. The licensing model has been changed from perpetual licenses to subscriptions, and products have been combined into more expensive packages. The number of partners authorized to sell VMware has been significantly reduced. Large organizations are still benefiting from the new model, but for smaller companies and organizations with edge or remote locations, the costs are quickly becoming unaffordable."
"A major turning point occurred when Broadcom decided that hyperscalers, such as AWS, would no longer be allowed to resell VMware subscriptions. As a result, organizations that use VMware in the cloud are now forced to look for alternatives. Gartner expects hyperscalers to encourage their customers to actively adopt the public cloud. Palmer emphasizes that migration is not just a question of cost. Those who make the switch purely to save money may end up disappointed. Migration offers an opportunity to modernize applications."
Gartner predicts that by 2028 more than a third of current VMware workloads will run elsewhere, especially those using hyperscalers. Broadcom's November 2023 acquisition triggered a shift from perpetual licenses to subscriptions, pricier bundled products, and a reduced partner network, increasing costs for smaller and edge deployments. Broadcom's decision to prevent hyperscalers like AWS from reselling VMware subscriptions is pushing cloud users to seek alternatives and public cloud options. Migrations present opportunities to modernize applications and operations, with full migrations often taking three years or more and partial migrations frequently completable within a year. Nutanix and public clouds are among viable alternatives.
Read at Techzine Global
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