In late 2023, Broadcom – a “global technology leader that designs, develops and supplies a broad range of semiconductor, enterprise software and security solutions” – acquired VMware, a brand known for its cloud solutions. With any merger and acquisition come periods of upheaval. There will be a lot of shifting pieces, and customers as well as MSP resellers can be heavily impacted by the ongoing changes. Even after the ink is dry, there can be clients who are not wholly happy with the adjustments. Nortec can help you explore your options and offer managed IT support during this transition.
Find the right roadmap – work with us today to plan for the future.
How Will VMware’s Merger With Broadcom Affect Customers?
With mergers and acquisitions comes uncertainty. For Broadcom’s acquisition of VMware in particular, clients and MSP resellers could see:
- A downgrade in solutions and customer service, especially while the merger is in process
- Higher prices
- Changes in vSphere licensing
- Shifts from perpetual licenses to a subscription model
- Price hikes
- Ongoing impacts on cloud service providers due to new licensing models
What About VMware’s End User Computing Division?
Although Broadcom acquired VMware in 2023, they quickly announced that VMware’s End User Computing (EUC) would be sold off. In February 2024, it was announced that Kohlberg Kravis Roberts (& Co. (KKR) would acquire the EUC division and it would be run under a new name in the future.
Customers who previously used VMware’s EUC have already experienced disruptions, and more could be seen in the coming months and years. With new hands behind the wheel, clients and MSPs could also see ongoing changes to innovation, support, and licensing.
Managed IT Support Can Help You Navigate This Merger
Mergers and acquisitions are rarely pretty for the customer. Navigating these challenges on your own can be headache inducing and costly. Nortec can help you explore your options and help you identify the best route forward. Here are a few ways we can assist:
A Review of Alternative Options
If you’ve found that Broadcom or KKR is no longer serving your needs, you’re frustrated with the lack of support, or you’re worried about an increase in prices, you do have options. Nortec can help you review these solutions, including Hyper-V and Azure from Microsoft, while also assisting you with the actual cloud migration. With our experience in VMware and Hyper-V, we can deliver smooth transitions and ongoing support.
Ongoing Guidance During Renewals
If you decide to stay on with Broadcom or KKR, Nortec can provide guidance on hardware refreshes to meet changing demands. In addition, we can assist with handling renewal bills, helping you to determine if you’re getting the best bang for your buck.
License Evaluation
License evaluation and management ensures your business is receiving the solutions and support it needs to run at full capacity. Nortec is equipped to help you review your licenses to determine if they’re truly meeting your needs, and we can advise you on your options.
Transition Roadmaps
With a detailed cloud services audit, we can help determine where you are and what you need to do in order to be where you want to be as a business. We can create transition roadmaps for Broadcom, Hyper-V, and other cloud solutions to ensure smooth sailing in the months to come.
Planning for the Future With Managed Technology Services
Of course, your IT is not just about today. Managed technology services, like Nortec, can assist businesses in aligning technology investments with strategic goals into the future. This can help align transition roadmaps to your needs while creating a plan for moving forward with the cloud. We can also help determine the necessity of ongoing support contracts, which can save you money and improve efficiency in the long run.
Change is scary, and mergers and acquisitions can deeply affect client relations. If you’re already experiencing the winds of change and don’t like what you see, you need a reliable partner. At Nortec, we offer a no-obligation consultation to discuss potential impacts, strategies that fit your goals, cloud computing plans, and more.
