> Additionally, Broadcom killing VMware perpetual licensing has reportedly upended financials for numerous businesses. In a March “User Group Town Hall,” attendees complained about “price rises of 500 and 600 percent,” The Register reported. In February, ServetheHome reported that "smaller" managed service providers focusing on cloud services were reporting seeing the price of working with VMware increase tenfold. "They do not have the revenue nor ability to charge for that kind of price increase, especially this rapidly," ServeTheHome reported.
There is zero chance, none, nada, that I would consider building a critical business process on top of VMware today. I know what my budget is today. I don't want to have to ask my boss next year to either 10x it or shutter my project.
My experience of the VMWare changes has been significantly different, actually noticeably financially positive. I won't speak of specifics but I will say why I think it has been.
VMWare have bundled all their products in to a single license. If you were previously, only purchasing a single, small product, now at renewal the only option is to buy a license that contains lots of other products too.
For companies already purchasing lots of VMWare products, they may find not only is their renewal cheaper, but they have access to other products too essentially for free.
Where previously a company was purchasing vCenter, they now have access to vRealize Aria Automation for example.
That change cuts through so much red tape within enterprise... Do you go though the entire compliance/governance process, go out to tender for (Ansible Tower, Chef, Saltstack), spend months haggling, review boards... or do you say we're already licensed for vRealize Saltstack, lets evaluate if the product we already own, contracted for, that integrates with all our VMWare products does the job..
Broadcom's CEO Hock Tan said:
> "[Broadcom's methodology] was not based on taking existing products and raising their prices"
I think their intention is to not raise prices per product, but get people using more of their products.
Sorry for being vague, we're a customer of VMWare but i don't have my employers permission to release details :)
There is zero chance, none, nada, that I would consider building a critical business process on top of VMware today. I know what my budget is today. I don't want to have to ask my boss next year to either 10x it or shutter my project.