VMware renewals force organizations to rethink infrastructure strategy

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Three years after Broadcom completed its acquisition of VMware, the consequences of one of the biggest shake-ups in enterprise software are only now beginning to emerge. When the deal was announced in 2023, much of the discussion centered on what it might mean for VMware’s customers, partners and product portfolio.

While there was widespread speculation about changes to licensing and pricing, many organizations remained insulated by existing multi-year agreements, meaning the immediate impact was relatively limited.

Founder and CEO at Novatech.

Today, that situation has changed. Thousands of organizations are reaching the end of those legacy contracts and entering renewal discussions for the first time. For many, those conversations have brought significant increases in licensing costs as Broadcom’s shift towards subscription licensing, product bundling and a streamlined product portfolio takes effect.

The technology itself remains highly capable. VMware continues to be one of the most mature and widely deployed...

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