Broadcom's New Sales Strategy Impacts VMware Customer Retention

Thursday, 5 December 2024, 20:50

Broadcom's approach to VMware may significantly influence customer decisions. By focusing on 500 of VMware's largest customers, Broadcom aims to deter migrations while channel partners expand their role. This strategic shift raises questions about VMware's future amid rising costs and customer dissatisfaction.
Arstechnica
Broadcom's New Sales Strategy Impacts VMware Customer Retention

Broadcom's Sales Strategy Unpacked

Broadcom has adjusted its strategy regarding VMware by targeting just 500 of its biggest customers. This shift allows for increased collaborations with channel partners, potentially offering greater value to existing VMware clients. However, skepticism surrounds the true impact this strategy will have on preventing migrations away from VMware.

Customer Reactions to Changes

After acquiring VMware, Broadcom made several controversial changes that have left many customers concerned. Notable actions included the cessation of perpetual license sales and the reduction of product SKUs. Since then, companies like Beeks Group have reported massive increases in costs, prompting them to explore alternatives like OpenNebula. As a result, multiple businesses are now reconsidering their engagement with VMware.

The Future of VMware Customers

With the tech industry continually shifting, Broadcom's latest approach may not be enough to retain clients faced with rising costs and limited options. Firms are increasingly seeking alternatives, making it imperative for all stakeholders in the VMware ecosystem to stay informed.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.

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