Companies have questions about VMware’s new direction after its acquisition by Broadcom. As a long-time VMware partner, we are committed to guiding our clients figure things out moving forward.
Now that it’s official and VMware will soon be part of the Broadcom ecosystem, iShift clients are asking us what this second largest acquisition for the year really means for them. Their concerns are based on what industry analysts and observers are saying about the merger:
- According to Josh White of Vanderbilt University the acquisition could potentially lead to bundling of services and price hikes.
- Citing Broadcom’s strategy presented at a November 2021 Investor Day with its focus on cost cutting, The Register suggests that these savings will come from not addressing the needs of smaller customers. Further, when The Register’s writers interviewed over a dozen VMware customers at a VMware user group conference in Australia, their overall reaction to the acquisition can be summed up in the statement, “This is not good news.”
- Computerworld veteran Matt Hamblen agrees with other analysts who view the $61 billion deal to be good for investors, but not necessarily for VMware’s customers. Their reasoning is at least in part based on what has happened with Broadcom’s previous acquisitions, CA and Symantec.
No doubt, this is going to be a dramatic change in company culture for VMware and we are glad our clients are asking these questions and turning to us for informed advice on what to do.
While there are a lot of question marks about VMware’s new direction after its acquisition, there is an encouraging indication that Broadcom is likely to take advantage of VMware’s extensive partner network to service the company’s 300,000-plus customer base. Our clients can continue to rely on our team to get uninterrupted support and quality of service. As a long-time VMware partner, we know the product suite inside out, and our team will help you figure things out moving forward.
The VMware acquisition by Broadcom very much coincides with the evolving role of the data center in the Cloud era. That’s the focus in Part 2 of this post. In it, we make the point that the VMware sale just might be the ideal time to get a new plan in place for your organization’s data center. And it does make sense to start thinking about it now. Want to know more? Let’s talk.
