Broadcom CEO says hiking VMware prices is not his strategy

Broadcom president and CEO Hock Tan has penned a blog post in which he declares that increasing the prices of VMware products is not his strategy. "Our growth into a global technology leader was not based on taking existing products and raising their prices, but by creating technology and products that provide clear value to …

[TaabuTheCat]

And SMB?

"Enterprise", "large-scale" - those words make we wonder again who the target customers will be after the acquisition. Would have been been really simple for him to throw in a one-liner that says the SMB market is still important to Broadcom, especially given all the angst. Sometimes it's what they don't say...

[Anonymous Coward]

Uh-huh

Y'all bookmark this article. You might need it when your new Broadcom sales rep shows up for the renewal.

The CEO is right, it isn't about price, it is about value.

"After careful review, we believe the value you are receiving exceeds the our compensation on your existing renewal. We have adjusted your renewal to reflect that value."

[Anonymous Coward]

4th quarter

It's too late to affect 3rd quarter financials but I predict that they will "rationalize" licenses in the 4th quarter so that SMBs will have to pay significantly more or go away.

[sreynolds]

Technically he is correct..

He just sets the policy. The VP will define the strategy, in accord with his policies.

[Scoured Frisbee]

I bought my first VMware license in 2006, and have had an active license / subscription ever since. Until vSphere 7 (which has been nothing but trouble) I was a solid NPS 10. My largest cluster was something like 45 nodes when I left in 2019, many hundreds of VMs rotating in and out.

However a couple weeks ago I installed proxmox on my dev (old) cluster and I'm really impressed, definitely has given me motivation to do some bigger tests before we renew production vSphere in January. Just wanted to leave a note for other folks to consider.

[Evilgoat76]

We have the really, really weird situation where a large customer has decided due to a physical move, that none of the old kit, will move with them. Specifically we will not be bringing the ESXI boxen over if I can make ProxMox fly and starting over. Bye to close to 20 years of cruft and junk.