When Broadcom acquired VMware, the news spread fast across the IT industry. Many organizations that relied on VMware for years are now facing steep cost increases, limited licensing options, and reduced flexibility. For IT leaders, the changes have raised an urgent question: what’s the right path forward?
This blog will help you understand what’s happening, what steps you should take to protect your IT investments, and how a trusted partner can support you in navigating these changes.
The New VMware Reality
1. From perpetual to subscription
Broadcom has retired VMware’s perpetual licenses in favor of subscription-only models. While subscription software has its benefits, the shift means IT budgets that once relied on predictable capital purchases are now tied to recurring operating costs.
2. Bundled software you may not need
VMware has consolidated many of its products into a handful of bundles. That sounds simple on paper, but in practice it means customers may be forced to pay for features and modules they may never use.
3. Rising and unpredictable costs
Reports from across industries show customers receiving renewal quotes several times higher than in previous years. Some organizations have seen costs double or even triple, with little time to evaluate alternatives before renewal deadlines.
4. Partner and support disruption
The VMware partner program is being reshaped, reducing the number of resellers and partners able to provide support. This limits customer choice and may make renewals and troubleshooting more difficult.
5. Roadmap and innovation uncertainty
With Broadcom focused on profitability, many IT leaders worry about slowed innovation and shrinking product options. That uncertainty makes it harder to plan a long-term virtualization strategy with confidence.
Steps You Can Take Now
We know many VMware customers are unsure about what their options might be following the Broadcom acquisition. It may be difficult to know whether you should keep what you have running for the foreseeable future or migrate to other technologies. A trusted technology partner can help you navigate these challenges.
At WIN, we recommend clients:
- Audit licenses and usage. Take inventory of what you own, what you’re using, and what’s bundled into your next renewal.
- Run cost comparisons. Model your future subscription costs against past spending. Look for unnecessary or underutilized licenses.
- Explore phased migration. Not every workload needs to move immediately. Start by identifying workloads that are least dependent on VMware-specific features.
- Prepare your team. Even if you don’t migrate from VMware right away, begin building knowledge of alternative platforms and tools.
Why Work with a Partner
For most IT teams, already stretched thin, analyzing costs, comparing platforms, and planning migrations can be time consuming. That’s where a trusted partner can help.
- Independent perspective. A partner can give you a clearer view of what other organizations are experiencing and help benchmark renewal pricing.
- Strategic guidance. Instead of reacting to Broadcom’s changes, you can make proactive decisions about whether to stay or transition.
- Technical expertise. Partners can perform detailed assessments, map dependencies, and identify risks before migration begins.
- Hands-on support. From proof-of-concepts to phased workload moves, a partner helps execute transitions with minimal disruption.
- Long-term alignment. Beyond the transition itself, partners remain a resource for ongoing support, optimization, and future planning.
Considering Alternatives: Nutanix as an Example
If you decide to explore alternatives, Nutanix is one platform many organizations are turning to. Its hyperconverged infrastructure combines compute, storage, and virtualization into a single, simplified solution. With Nutanix, licensing is more predictable, migration tools like Nutanix Move can ease the transition, and management is streamlined under a unified console.
Organizations that have migrated to Nutanix report notable cost benefits, including up to 40% time savings on routine tasks which translates directly into operational cost savings. Over the long term, many also see reductions in licensing and infrastructure expenses compared with traditional VMware deployments.
The point isn’t that every organization should immediately switch, but that it’s important to understand your options and compare them against the costs and constraints VMware now imposes.
Where To Go from Here
Broadcom’s acquisition of VMware has changed the playing field for virtualization customers. While some organizations may choose to stay with VMware, others have already moved to an alternative to avoid unexpected costs and maintain flexibility.
The most important step is to begin evaluating now — before renewal deadlines limit your options. Organizations typically need 5+ months to properly plan, implement and migrate to another hypervisor.
With the right partner, you can gain clarity, protect your IT investments, and chart a path forward that supports your organization’s long-term goals. Contact us to learn more.