How to Optimize Your VMware Costs in the New Broadcom Era



In one of the biggest tech acquisitions of 2022, Broadcom acquired VMware for a staggering $61 billion. This move has significant implications for VMware customers, as Broadcom plans to transition VMware’s licensing model from perpetual to subscription-based. While this shift may provide more flexibility, it also carries the potential for substantial cost increases. To navigate these changes and avoid unnecessary expenses, customers need to be proactive in optimizing their VMware licensing. That’s where our new VMware Optimization Service comes in, designed to help you streamline your VMware footprint and maximize cost savings.

The Broadcom VMware Licensing Changes

Broadcom’s acquisition of VMware signals a major shift in the company’s licensing strategy. The new owner plans to migrate VMware’s customers from perpetual licenses to subscription-based models. This transition is expected to drive up costs for many organizations, as subscription fees will likely be higher than the maintenance fees they’ve been paying for perpetual licenses. Additionally, Broadcom has indicated that they will be increasing the number of audits to ensure compliance, further underscoring the need for proper license management.

To incentivize customers to switch early, VMware will be offering discounted subscription rates to those whose support contracts are expiring soon. While this may seem like a good deal, it’s crucial to understand the long-term implications and ensure you’re not oversubscribing or paying for unused licenses.

In this rapidly evolving licensing landscape, being proactive and optimizing your VMware environment is key to avoiding excessive costs and maintaining compliance.

Our VMware Optimization Service

Our new VMware Optimization Service is designed to help you navigate the complexities of VMware licensing under Broadcom’s new model. We offer a comprehensive approach to streamlining your VMware footprint, reducing excess licensing costs, and ensuring you’re only paying for what you actually need.

Our service focuses on three key areas:

  1. Identifying VMs that can be sunset or consolidated: By thoroughly auditing your VMware environment, we’ll identify virtual machines that are no longer needed or can be consolidated, allowing you to eliminate unnecessary licenses.
  2. Detecting over-allocated VMs and right-sizing licenses: Many organizations inadvertently over-allocate resources to their VMs, leading to higher licensing costs than necessary. Our experts will analyze your VM allocations and recommend right-sizing licenses to match your actual usage.
  3. Performing full audits of customer VMware footprints: We’ll conduct detailed audits of your entire VMware infrastructure, ensuring you have a complete understanding of your licensing requirements and identifying opportunities for optimization.

Through our comprehensive approach, customers can potentially save tens of thousands of dollars or more in licensing costs, while also mitigating the risk of non-compliance and costly audits.

The Optimization Process

First, we’ll work closely with your team to gain a deep understanding of your VMware environment, including current licensing, usage patterns, and future needs. This collaborative approach ensures we have a holistic view of your unique requirements.

Next, our experts will conduct a thorough analysis of your VMware footprint, leveraging advanced tools and methodologies to identify areas for optimization. We’ll present you with a detailed report outlining our findings and recommendations for consolidating VMs, right-sizing licenses, and eliminating unnecessary costs.

Throughout the process, we’ll work hand-in-hand with your team to implement the recommended changes, ensuring a seamless transition and minimizing any potential disruptions to your operations.


The impending changes to VMware’s licensing model under Broadcom’s ownership present both challenges and opportunities for customers. While the shift to subscription-based licensing may initially lead to increased costs, it also creates a prime opportunity to optimize your VMware footprint and reduce unnecessary expenses.

Our VMware Optimization Service is designed to help you navigate these changes seamlessly, providing expert guidance, thorough analysis, and proven strategies to streamline your VMware environment and maximize cost savings. By working proactively to optimize your licenses, you can avoid the pitfalls of over-licensing, minimize the risk of non-compliance, and position your organization for long-term success.

Don’t wait until it’s too late – take the proactive approach and leverage our expertise to optimize your VMware costs today. Contact us now to schedule your free consultation and start realizing the benefits of a streamlined, cost-effective VMware infrastructure.

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