Broadcom's 'harsh' VMware contracts are costing customers up to 1,500% more
Briefly

Broadcom faces allegations of imposing exorbitant VMware licensing cost increases, leading to customer frustration. A report from the European Cloud Competition Organisation (ECCO) highlights complaints about changed licensing terms and the cancellation of flexible pricing models. The most affected customers have seen price hikes ranging from 800% to 1,500%. Many organizations felt compelled to agree to new contracts under significant pressure, exacerbating their financial strain and limiting their options. While Broadcom has restructured VMware's licensing framework, the consequences have left customers facing increased costs and operational challenges.
One of the main complaints is Broadcom changing licensing terms for VMware software, ending specific products in favor of bundled offers as well as canceling perpetual licenses and pay-as-you-go pricing in favor of three-year-long contracts.
Consequently, while Broadcom has succeeded in transitioning VMware customers to its new licensing framework, these customers continue to face substantial financial burdens and operational disadvantages due to the imposed terms.
Read at IT Pro
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