Navigating the VMware Shake-Up: Why Now Is the Time to Rethink Cloud Strategy:

The VMware Landscape Has Changed-Dramatically

The IT world has been rocked by Broadcom’s acquisition of VMware and the sweeping changes that followed. From April 10, 2025, VMware customers are facing a new reality: minimum core licensing requirements have jumped from 16 to 72 cores per order, and perpetual licenses have been replaced by mandatory recurring subscriptions. These changes have led to cost increases ranging from 150% to over 1,000% for some organisations, particularly those with smaller deployments or edge locations.

What is Driving the Shift?

Broadcom’s overhaul of VMware’s licensing model is centered on:

• Transitioning to subscription-based licensing, eliminating perpetual license ownership.
• Bundling products, which means customers must pay for features they may not need, reducing flexibility and increasing costs.
• Raising minimum core requirements, which disproportionately impacts small and mid-sized businesses.
• Imposing late renewal penalties-20% surcharges for missing renewal dates-further complicating budgeting and planning.
• Requiring long-term contract commitments

This new structure has left many VMware customers searching for alternatives that offer both cost efficiency and architectural flexibility, especially as integration with modern cloud-native technologies like Kubernetes and containers becomes more critical.

A Prime Opportunity for ICT Consultancies and MSPs

For ICT consultancies and Managed Service Providers (MSPs) delivering cloud solutions, these sweeping changes present a significant opportunity. Now is the ideal time to explore platforms that are purpose-built for today’s cloud-native development and cost-efficiency goals.

Nebul.com: A Strategic Alternative for Modern Cloud Needs

Nebul.com stands out as a compelling alternative. Its private cloud services are designed specifically for AI workloads and containerized applications, providing:

• High-performance, sovereign European cloud infrastructure optimised for AI, featuring NVIDIA GPUs.
• Flat-fee pricing for predictable budgeting.
• Full compliance with GDPR and EU regulations, ensuring data sovereignty.

Nebul’s Private NeoCloud platform supports containerised workloads, enabling MSPs and consultancies to deliver scalable, resilient, and innovative cloud-native solutions. By leveraging Nebul’s end-to-end private AI stack and multi-cloud fabric, service providers can offer customers secure, cost-effective, and high-performance cloud environments-without the vendor lock-in or soaring costs now associated with VMware under Broadcom.

The Bottom Line: Embrace Change, Drive Innovation

As VMware customers grapple with rising costs and reduced flexibility, Nebul’s private cloud with robust container support emerges as a strategic path forward.

For ICT consultancies and MSPs aiming to deliver next-generation cloud solutions, Nebul offers a platform that prioritises sovereignty, compliance, and innovation-helping you stay ahead in a rapidly evolving landscape.

by: Ray Lange