Comment on Broadcom has willingly dug its VMware hole, says cloud CEO
BearOfaTime@lemm.ee 5 months agoI’m not even sure they’re going to bin it. Maybe shed the last-profitable customers to maximize profit from the large consumers. At least for a few years.
Call me cynical, but to me it’s about pushing consumers (SMB) to cloud providers instead of virtualizing on-prem with VMware. Broadcom can still sell VMware and support to larger vendors, or to SMB’s for a heftier profit margin.
I can only hope many SMB’s have support vendors who see the value in shifting to TrueNAS, Proxmox, etc (there are vendors who provide support contracts for those Open-source packages).
bluGill@kbin.social 5 months ago
The problem with large customers is they can see value and if you charge too much it goes they can build their own.
maynarkh@feddit.nl 5 months ago
Not by next quarter. By the time that happens, this set of execs will be already at the next company.
bluGill@kbin.social 5 months ago
Often execs stick around longer than that.
maynarkh@feddit.nl 5 months ago
Even if they do, they get bonuses for short term stock gain, not long term stuff. If the going gets bad, they totally do bail. Some companies - khm Reddit khm - even bring in execs just to take a fall when that happens, only for the same guys who set the problem up to take back the reins after the fallout.
tabris@lemmy.world 5 months ago
I just left one of the UK’s largest VMWare customers, in a team working directly on VSphere and ESXI products. The team was just starting to tool up for a new internal project to manage VMs within the company using some of the newer features in these tools. We had well over 1 million VMs across more than a dozen datacenters. The cost of running this is expected to go up by 30 times or more.
While it’s going to take some time, they’re now looking at migrating to a different solution. So Broadcom are going to get their extra pay for a while, but not forever.