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2 April 2025

VMware licensing change 2025: Broadcom raises minimum requirements

  • VDC
Signpost

Since Broadcom’s acquisition of VMware, one change has followed another. Many companies are less than thrilled. Smaller IT environments and service providers with lean structures in particular are coming under increasing pressure. The new requirements make running classic VMware infrastructures economically unattractive for many SMEs in Switzerland.

From 10 April 2025, Broadcom requires a minimum licensing of 72 CPU cores per customer for VMware vSphere Foundation. There is also the threat of a 20% penalty fee if the subscription is not renewed on time.

Virtualisation without restrictions

Giving up the technological benefits of VMware and switching the virtualisation layer entirely is not an option for many companies. But the increasing restrictions of direct licensing hamper flexibility and strain the budget.

Netstream offers an alternative: a VMware-based cloud infrastructure from Switzerland – flexible, transparent and with no minimum commitment. Our Virtual Data Center (VDC) lets you use VMware technology as usual – but as a fully managed environment with usage-based billing. You neither have to run your own infrastructure nor license it separately.

Benefits with the Netstream Virtual Data Center

  • no minimum number of CPU cores
  • no long-term licence contracts
  • no penalty fees on renewal
  • Private (dedicated infrastructure) and Public Cloud (shared infrastructure)
  • simple pay-as-you-go models
  • CAPEX and OPEX models
  • VMware-based environment in Swiss data centers
  • certified security and personal support

Existing VMware licences? Migration without detours

For companies with existing VMware installations, we review the current situation together. Whether a full migration to the cloud or hybrid scenarios – we develop an individual solution that minimises effort and costs while guaranteeing continuity. We can also look into taking over existing licence commitments to simplify the migration considerably.

Stay flexible

Broadcom’s new licensing terms make direct use of VMware unattractive for many companies. Anyone looking for more flexibility, transparency and security will find a reliable option at Netstream – without having to give up familiar VMware technology. Interested? Then feel free to contact us for your individual solution.

Try the Virtual Data Center now with no obligation.

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