Broadcom 'bulldozes' VMware cloud partners as March deadline looms
- Reference: 1769851815
- News link: https://www.theregister.co.uk/2026/01/31/broadcom_vmware_cloud_partners/
- Source link:
For customers, this potentially represents a massive supplier shake-up, with sources claiming that hundreds of CSPs across Europe are affected.
VMware reboots its partner program again – and it looks like smaller players are out [1]READ MORE
The news may not come as a shock to Reg readers because the direction of travel was indicated when [2]Broadcom shuttered VMware's reseller/solution provider schemes in early 2024 and moved to the invite-only Broadcom Advantage Partner Program. Broadcom has also started to license new [3]bundles , including products previously sold as standalone, and [4]altered support for perpetual license holders .
Dramatic changes also hit cloud service providers. Broadcom gave notice on October 31 that it was phasing out the VCSP program and sunsetting the White Label model for partners in the European Economic Area. It is now moving to an invite-only model with fewer authorized providers and this week informed affected partners.
On Monday, in a non-renewal email seen by The Register , Broadcom said: "We are providing this formal notice that we have closed the current Broadcom Advantage Partner Program for VMware Cloud Service Provider (VCSP) partners, and will not be renewing any of your VCSP partner contracts with Broadcom after 26 January 2026."
[5]
"You may continue to transact new and existing coterminous customer opportunities through the end of your current commitment contract term. The term for any new contracts executed during this period must be coterminous with a current active commitment contract that you have with Broadcom. However, we encourage you to close any open opportunities you may be pursuing by 31 March 2026."
[6]
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In an FAQ document also seen by El Reg , Broadcom said the reason for not continuing with certain authorized VCSPs pertains to "evolving customer requirements" – it didn't specify what these are – and to "enable increased adoption of VMware Cloud Foundation as the core private cloud platform." This means Broadcom needs to "work more closely with a focused set of partners."
CSPs may "execute" new coterminous customer contracts and keep servicing existing customers under VCSP commitments for the remainder of the contract terms with Broadcom, their Cloud Commerce Manager, or their Primary White Label Provider partners.
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"You may not execute any new Aggregate commitment contracts nor any renewals for existing commitment contracts, so that a timely and orderly wind-down of the current Program can become effective at the end of your existing commitment contract term(s)," the notice states.
The Cloud Infrastructure Service Providers of Europe trade group (CISPE), which is [9]pressing the European Commission to overturn its approval of Broadcom's buy of VMware on antitrust grounds, was damning of the January 26 notification. One of its members, Estonia-based WaveCom, said it has invested in VMware for 15 years.
[10]Dell wants £10m+ from VMware if Tesco case goes against it
[11]Lenovo has a hunch you're about to try quitting VMware
[12]Nutanix takes another swipe at VMware with sovereign cloud push
[13]VMware kills vSphere Foundation in parts of EMEA
Kristian Liivak, CTO and founder of WaveCom AS, said a "bulldozer named Broadcom" has "finally rolled over the remaining EU cloud service providers, terminating almost all VMware partner contracts."
"This process had already taken place elsewhere in the world. In the United States, for example, only 19 providers reportedly remain out of thousands. Now the same approach has reached Europe."
Liivak said VMware, under Broadcom's ownership, has "dismantled" the partner network, beginning with "predatory contractual terms and aggressive pricing changes." He claimed the "long onboarding queues of enterprise customers disappeared almost overnight."
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WaveCom previously started to build a virtualization stack based on Apache CloudStack and the EU-based Vates and Xen.
"We still carry long-term government procurement obligations and enterprise contracts. It remains unclear how all customers will transition – whether they will move with us to the new platform or whether contractual challenges will arise due to the forced termination of the VMware ecosystem."
In its FAQ document, Broadcom covered what happens to customers managed by a non-renewing partner, saying: "Non-renewing partners are encouraged to engage with retained VCSP partners to ensure a smooth transition for customers."
Liivak said: "We will not disappear quietly into the night. And we will not hand our customers over to the remaining few providers, as implied by Broadcom's termination notice."
Another CSP source told us: "This isn't partner management, it's market control, a forced consolidation that sidelines long-standing European partners in favor of a much narrower and more limiting ecosystem. Broadcom is deliberately shrinking the choice for customers who will end up paying the price through higher costs, less data sovereignty, compliance concerns, and ultimately reduced choice."
The Register has asked Broadcom to comment on how many CSPs will be joining its invite-only channel program, how many were not renewed and what if customers don't want to move to a new supplier.
A spokesperson sent us a statement:
"Broadcom's strategy since closing the VMware acquisition has been to drive simplification, consistency, and innovation across the VMware ecosystem, including VMware Cloud Services Providers (VCSPs). Recent changes to this ecosystem are consistent with this strategy. Broadcom is focusing more and going deeper with the VCSPs who have demonstrated commitment to their cloud services built on VMware. This will enable us to deliver greater value, stronger execution, and a more streamlined experience for Broadcom's customers and enable an alternative competitive offering to the hyperscalers through our VCSP partners." ®
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[1] https://www.theregister.com/2025/07/16/vmware_reboots_partner_program_again/
[2] https://www.theregister.com/2023/12/28/broadcom_vmware_partner_transition/
[3] https://www.theregister.com/2025/06/20/vmware_price_hikes_excuse/
[4] https://www.theregister.com/2025/07/23/vmware_patch_download_problems/
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/virtualization&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2aX3gzXvsz1Yu8dTPhR3FbwAAAJI&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[6] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/virtualization&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44aX3gzXvsz1Yu8dTPhR3FbwAAAJI&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[7] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/virtualization&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33aX3gzXvsz1Yu8dTPhR3FbwAAAJI&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[8] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/virtualization&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44aX3gzXvsz1Yu8dTPhR3FbwAAAJI&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[9] https://www.theregister.com/2025/12/11/european_cloud_trade_group_vmware_broadcom/
[10] https://www.theregister.com/2026/01/15/dell_vmware_claim_tesco_case/
[11] https://www.theregister.com/2026/01/13/lenovo_fx_multi_hypervisor_hci/
[12] https://www.theregister.com/2025/12/15/nutanix_sovereign_cloud/
[13] https://www.theregister.com/2025/12/11/vmware_kills_vsphere_foundation_parts_emea/
[14] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/virtualization&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33aX3gzXvsz1Yu8dTPhR3FbwAAAJI&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[15] https://whitepapers.theregister.com/
Broadcom made VMware Workstation free of charge for home and business users - one of the few good decisions there regarding the whole VMware portfolio.
I don't understand your problem.
Have we reached the Stallman event horizon?
I admit to being one of the people who once thought that, while Stallman might be right about free software in philosophical terms, commercial reality and the market would ultimately constrain the behaviour of software suppliers. I'm still not sure whether the present situation isn't principally a failure of market regulation, but given that no-one seems about to grasp that nettle, end users are going to have to take responsibility for their own defence.
We're already seeing the same anxiety in regard to the possible weaponisation of dependency on IT products and services at the nation-state level and I don't think this can be entirely separated from the same risk at the corporate level, particularly when those corporates are effectively outside of the jurisdiction of the customers' territory. Ultimately, they both represent a tangible and growing economic and security threat. It may even be the inevitable consequence of globalisation - wealth and power accreting in a few hands that also hold the levers of government - that these things are inextricably linked.
However it came about, the writing on the wall could not be clearer. Our society depends almost entirely on technology - from the creation and distribution of water, food and energy through every aspect of human and commercial life. Those who control it control us.
I suppose many of those affected will have seen this coming since Broadcom made its first move and started dealing with other suppliers.
Why am I ashamed of my tribe ?
Sorry, but if you are 1/10th as good as you think you are as a tech nerd then why do you *need* a specific VM flinger ?
What does VMWare do that *you* can't do with another setup somewhere ?
I get the financial side - beancounters going for what is good for them. But as soon as that looked flaky (well over a year ago) why were you not developing contingency plans ?
In my last job I was charged with having an up to date escape route for vendor lockin. And it worked when Adobe started getting ideas about their station.
Re: Why am I ashamed of my tribe ?
I get the financial side - beancounters going for what is good for them. But as soon as that looked flaky (well over a year ago) why were you not developing contingency plans ?
Because the self-same beancounters never gave you a charge code to create contingency plans and you were swamped with other work which you were given charge codes for.
In my last job I was charged with having an up to date escape route for vendor lockin.
Precisely.
When you only run a couple of VMs on a Linux box, it's VirtualBox for the win! To hell with Broadcom... they screwed me out of my "perpetual license" for VMWare Workstation. There is no way under any circumstances I will ever use one of their products again - even at a client site. Get someone else to do it...