Single Blog
- Home
- News & Insights
- Tech Insights
- Broadcom’s Acquisition of VMware: Implications and Strategic Choices
Broadcom’s Acquisition of VMware:
Implications and Strategic Choices
In late 2023, Broadcom Inc., a leader in global infrastructure technology, acquired VMware, a renowned cloud software provider. This acquisition has led to significant changes in VMware’s business model, transitioning from a perpetual licensing model to a subscription-based one.
Implications
The shift to a subscription model has introduced several challenges for organizations:

The new pricing structure is based on the physical cores of host servers, leading to higher expenses.

The new subscription model requires updates to existing profiles or the creation of new ones, complicating the migration process.

Companies may be wary of the changes and the associated costs, prompting them to explore alternatives.
How SSR Can Help
Navigating the changes brought by Broadcom’s acquisition of VMware can be challenging, but you don’t have to do it alone. Whether you choose to stay with VMware under the new model or explore other IT alternatives, our company is here to support you. Given these changes, it’s essential for companies to understand their options and make informed decisions. Here’s how our company can assist:
OPTION 1:
Stick with VMware by Broadcom
We can help determine the costs associated with the new licensing model based on your server’s physical cores. Our team would assist in updating or creating new profiles required for the migration to the new VMware by Broadcom subscription model.
OPTION 2:
Explore Alternatives
We can help you transition to Microsoft Hyper-V or another alternative, which offers similar functionality to VMware without the subscription fees and stringent licensing requirements. We can help do an assessment of your IT environment, set up a migration strategy, install and configure networking and storage options, execute the plan, and continuously improve through monitoring, updates, and patching.
OPTION 3:
Cloud Migration

Wary of completely migrating to the cloud? We recently put together a blog article defining the pros and cons of different infrastructure solutions here.
Conclusion
By laying out these options clearly, we aim to provide you with the information needed to make an informed decision that aligns with your business goals and IT requirements. Whether you choose to stay with VMware under the new Broadcom model, switch to a different platform like Microsoft Hyper-V, or embrace the cloud, we are here to help. Please contact us to learn more: https://www.ssrtotalit.com/connect/ .