The $61 billion acquisition of VMware by Broadcom in November marked the coming together of two innovative giants of the tech industry, now on a combined mission to enhance capabilities for global enterprises in managing private, hybrid and multi-cloud environments. Speculation of how the takeover will impact VMware’s existing customer base has been answered with a recent announcement on changes to the way the suite of virtualisation solutions are procured.
Different value propositions
The main change is a shift from traditional perpetual licensing to subscription-based services, the culmination of a year-long journey by VMware to transition to a model already embraced as the standard for cloud consumption. It’s a response to consistent feedback from customers for simplification, a widespread feeling that VMware licensing structures had become too complicated.
Secondly, perpetual licenses, hybrid/subscription purchase programmes and Support and Subscription (SnS) renewals for perpetual offerings have been discontinued.
Ergo has been invited to join the Broadcom Advantage Partner Program and will be a leading provider in Ireland of a simplified VMware portfolio. If you have any questions regarding the changes, please get in touch with Ergo’s team.
Simplified portfolio
VMware Cloud Foundation division portfolio now has two key offers:
- VMware Cloud Foundation is the flagship enterprise-class hybrid cloud solution. Subscription charges VMware Cloud Foundation will cover enhanced support for activation and lifecycle management.
Source: vmwa.re/skus
- vSphere Foundation provides a simplified platform for mid-sized customers. It will now come with Aria Suite Standard that provides operations management with data insights for optimising performance.
Source: vmwa.re/skus
Both solutions will have optional add-on offers around VMware’s portfolio such as its ransomware recovery, disaster recovery and application licences platform.
Additional advanced services and offerings, including Private AI, will be available soon and a ‘bring-your-own-subscription’ license option is being introduced, providing license portability to VMware validated hybrid cloud endpoints running VMware Cloud Foundation.
Opportunity to innovate
The shift to a subscription model is about ensuring faster time to value for customers on their digital transformation projects. We know how hard the transition can be. The easier it is to procure tools to advance your progress, and the more predictable the investment outcomes, the greater the chance of success.
For customers on perpetual licenses, it’s an excellent time to review their inventory around current VMware infrastructure and management products and make themselves familiar with the new subscription offers.
We encourage customers to reach out to us directly, as we collaborate with Broadcom to assist in facilitating the transition from perpetual products to new subscription offerings. Contact us, and we will guide you through analysing your current licensing, providing personalized recommendations, and helping you navigate the various upgrade pricing incentives available within our new bundle options.
Reach out to us to assist you in the transition from perpetual products to new subscription offerings.
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