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“Trust, not features, is the real deficit”: VMware tries to appease SMBs

“Trust, not features, is the real deficit”: VMware tries to appease SMBs

Summary

Broadcom’s takeover of VMware led to changes in how VMware sells its software, shifting from one-time purchases to expensive subscription packages that many small and medium businesses (SMBs) find too costly. VMware plans to update its lower-cost product, vSphere Standard, to better serve these SMB customers, but trust issues remain due to past sales practices.

Key Facts

  • Broadcom acquired VMware and ended perpetual (one-time) license sales.
  • VMware now sells expensive subscription bundles focused mainly on VMware Cloud Foundation (VCF).
  • Many SMBs say VCF is too costly and has features they do not need.
  • Sales reps reportedly pushed VCF aggressively and sometimes claimed vSphere Standard was unavailable.
  • VMware will release an updated vSphere Standard product soon, with more information expected in October.
  • VMware focused on improving VCF security and promoted private clouds as a cheaper alternative to public clouds.
  • Some partners and customers say they no longer trust VMware or Broadcom and have switched to competitors like Nutanix and Microsoft Hyper-V.
  • Experts say VMware must offer clear pricing, better licensing options, and reliable service to regain SMB trust.
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