
No stone unturned
"VMware has a robust partner ecosystem that we will build upon to help us servetake money from even the smallest companies. "
Broadcom president and CEO Hock Tan has again felt the need to state that his company's acquisition of VMware won't lead to price rises. Tan made the same pledge five weeks ago but, citing "questions in press reports about whether we intend to raise prices on VMware products," issued a blog post that states "The answer is …
CEO is right. The price won't change.
There will be a review of value. If a customer's licensing cost has been heavily discounted, then they are receiving more value than what they are compensating VMWare for. They can expect to pay closer to the advertised market price than they were previously.
The price won't change. Huge double-digit discounts though....buh-bye!
Checking my emotions at the door... I don't know if that is a bad thing. The enterprise software industry is known for customers who are routinely discounted to the point of being a net loss when support & other factors were considered. Which is better... Losing a customer who costs money, or retaining market share at the expense of profitability?
VMWare could give away all their products for free and dominate the market share. All they need to do is get those pesky employees to work for free and the greedy shareholders (like the people with mutual funds in their retirement account) to let their stock investment go to $0.
Broadcom is an asshole company and they will absolutely butcher VMware as soon as they can, because fantastic asshattery within corporation. They literally can't do anything else.
See: Symantec.
Also: Price of a licence will not change, you just get only one virtual machine per license with that money. Easy peasy. All the extra virtual machines need a separate licence, one for each.