Broadcom’s acquisition of VMware has significantly and profoundly impacted how customers effectively engage with and utilize VMware's offerings. Here are six main challenges that businesses now face as a result of this transition:

Higher Support Costs
Many small and medium-sized businesses (SMEs) are now grappling with Broadcom's new subscription model, which has been leading to steep hikes in overall support costs—reportedly, support fees have increased by as much as an astonishing 450%. Sectors such as education and healthcare may particularly feel this financial strain, making it increasingly difficult for them to budget for essential services.

Declining Support Quality
Customers have increasingly noticed a troubling drop in the quality of service they receive since the takeover. Broadcom's support is frequently described as hard to reach, compounded by a reliance on less experienced staff members, and a noticeable shift in focus toward serving only high-paying clients, leaving many customers feeling neglected.

Stricter Licensing & Limited Flexibility
Broadcom has made significant alterations to the licensing terms, which now compel SMEs to pay for features they may not necessarily need. Additionally, there is now considerably less compatibility with other solutions, resulting in greater difficulties when it comes to integration into existing systems.

Reduced Innovation
VMware was once celebrated as a leader in innovation within the industry, but Broadcom's profit-driven focus raises serious concerns about the pace of future development. If there is a slowing down of research and development efforts, VMware risks losing its competitive edge, which would impact its market position significantly.

Loss of Partner Network
Many VMware resellers and service providers have been unceremoniously cut out of Broadcom's ecosystem, which has resulted in a substantial reduction in available support options for businesses. This gap has led to third-party maintainers stepping up to provide critical support for customers managing the various changes.

VMware Horizon Sold Off
VMware's Horizon division has been sold to KKR and subsequently rebranded as Omnissa. This significant change has raised notable concerns about future reliability and service quality for customers who rely on Horizon's virtualization products for their operations, leaving them uncertain about the path forward.

How Businesses Can Adapt

To meet these challenges, organizations should:

• Review VMware Licenses: Audit for unused or misaligned licenses to ensure compliance before further changes.

• Consider Alternative Support: Find third-party providers with VMware-certified engineers for reliable support.

• Plan a Transition Roadmap: Develop a migration strategy if moving from VMware, including testing and monitoring.

• Explore Replacement Licenses: Evaluate alternatives from Microsoft, Red Hat, or Nutanix.

• Leverage Trade-In Deals: Use trade-in programs to mitigate the financial impact of licensing changes.

• Stay Updated: Monitor the evolving VMware-Broadcom situation for informed decision-making.

VMware Support from Extended Technical Solutions

At Extended Technical Solutions, we provide reliable third-party VMware support, helping customers navigate Broadcom’s changes while saving 30–50% on support costs. Our VMware-certified engineers deliver comprehensive support, including troubleshooting and software compatibility fixes. We also offer managed IT services to maintain VMware environments and guidance for transitions to alternatives like Nutanix or Hyper-V. Contact us today for tailored VMware support.