Technology Broadcom ends VMware perpetual license sales, testing customers and partners

silversurfer

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Broadcom has moved forward with plans to transition VMware, a virtualization and cloud computing company, into a subscription-based business. As of December 11, it no longer sells perpetual licenses with VMware products. VMware, whose $61 billion acquisition by Broadcom closed in November, also announced on Monday that it will no longer sell support and subscription (SnS) for VMware products with perpetual licenses. Moving forward, VMware will only offer term licenses or subscriptions, according to its VMware blog post.

VMware customers with perpetual licenses and active support contracts can continue using them. VMware "will continue to provide support as defined in contractual commitments," Krish Prasad, senior vice president and general manager for VMware's Cloud Foundation Division, wrote. But when customers' SnS terms end, they won't have any support.

Broadcom hopes this will force customers into subscriptions, and it's offering "upgrade pricing incentives" that weren't detailed in the blog for customers who switch from perpetual licensing to a subscription.
 

SeriousHoax

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Q: What products and bundles are impacted by this new policy?

A: Here is a list of products impacted by the new licensing policy:
  • VMware Cloud Foundation
  • VMware vSphere
  • VMware vSAN
  • VMware NSX
  • VMware HCX
  • VMware Site Recovery Manager
  • VMware vCloud Suite
  • VMware Aria Suite
  • VMware Aria Universal
  • VMware Aria Automation
  • VMware Aria Operations
  • VMware Aria Operations for Logs
  • VMware Aria Operations for Networks
So, I assume VMware Workstation Pro won't be affected by it?
 

silversurfer

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VMware's new owner is ending the virtualization and cloud computing company's partner programs. It's unclear who or how many current partners will be able to sell VMware-related offerings after April 2024, leaving the potential for tens of thousands of businesses to be disrupted.

Broadcom, which closed its VMware acquisition in November, told The Register in late December that “effective February 5, 2024, Broadcom will be transitioning VMware’s partner programs to the invitation-only Broadcom Advantage Partner Program.” This signaled the end of VMware's partnerships with solution providers, resellers, and distributors. But today’s news reportedly reveals a final closure date for the cloud services provider partner program, which debuted in 2019.

Today, The Register reported that Broadcom recently shared an end-of-partnership date specifically for VMware cloud service provider partners that work with VMware through the VMware Partner Connect Program that launched in 2020.

"Effective April 30, 2024, the ability to transact as a VMware Cloud Services Provider, under the VMware Partner Connect Program, will come to an end," a notice sent to partners reads, per The Register.
 

silversurfer

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Broadcom has made a lot of changes to VMware since closing its acquisition of the company in November. On Wednesday, VMware admitted that these changes are worrying customers. With customers mulling alternatives and partners complaining, VMware is trying to do damage control and convince people that change is good.

Not surprisingly, the plea comes from a VMware marketing executive: Prashanth Shenoy, VP of product and technical marketing for the Cloud, Infrastructure, Platforms, and Solutions group at VMware. In Wednesday's announcement, Shenoy admitted that VMware "has been all about change" since being swooped up for $61 billion. This has resulted in "many questions and concerns" as customers "evaluate how to maximize value from" VMware products.
 

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