WEBINAR – March 19, 2024

Navigating the VMware by Broadcom Partner & Licensing Changes

Atomic Data vCIO and VMware expert Tim Grosshuesch shared a complete breakdown of everything we do and do not know about the VMware/Broadcom transition. Tim also shared more details on the Atomic Data VMware White Label Solution, including pricing and term details.

View the recording and white label pricing

In this Webinar we dove into:

  • Deadlines for VMware by Broadcom license and channel program changes
  • The new ways in which providers (VCSPs) and clients will transact with VMware by Broadcom
  • Implications of the new subscription model on your bill
  • Paths forward for Cloud Service Providers not invited to Broadcom's partner program
  • Atomic Data's white label solution to keep your VMware workload in place

The changes being rolled out by Broadcom will greatly simplify and reduce confusion regarding what products are necessary to meet business requirements.

What is Atomic Data offering as a VMware by Broadcom white label cloud services provider?

Continue your CSP offerings under your brand and infrastructure.

Professional rightsizing guidance to reduce your licensing liabilities.

Dozens of wrap-around services and add-ons like 24x7 NOC and end-user support.

WANT TO LEARN MORE ABOUT THE VMWARE VCSP WHITE LABEL OFFERING FROM ATOMIC DATA?

Pricing, offer details, and more.

Click the button below for details.

Pricing and offer details

FURTHER READING

Understanding the 2024 VMware Broadcom Licensing Requirements & Partner Changes

And details about how you can continue hosting your VMware by Broadcom workloads through a white label partner.

Read the article

FREQUENTLY ASKED QUESTIONS ABOUT THE 2024 VMWARE BY BROADCOM LICENSING & PARTNER CHANGES

Keeping you informed through change

What is happening?

Broadcom acquired VMware and is making a number of changes to how VMware software is sold and procured.  This will greatly simplify and reduce confusion regarding what products are necessary to meet business requirements.  For Cloud Service Providers (CSPs), VMware is consolidating the market from thousands of providers to approximately 1,000 globally.  Instead of having every product treated as a separate ala carte charge, VMware has moved to a single product, VMware Cloud Foundation (VCF), which includes all VMware products.  This move will reduce overall support costs as environments all move towards a Cloud Director (VCF) Reference Architecture.  Smaller providers that are not invited to the Broadcom Advantage Program have options for what they will do going forward.  VMware is focused around working directly with CSPs who will commit to 7000+ cores (Pinnacle Partners) or 3500+ cores (Premier Partners) and allowing those CSPs to engage with smaller VCSPs through a White Label Program.

What happens to Cloud Service Providers who were not invited to the Premier or Pinnacle Program? 

VMware is providing a White Label path for smaller Cloud Service Providers (CSPs) to partner with a larger CSP that aligns with their Vision and Mission Statement.  The smaller CSP will continue to operate their environment and lean on their White Label provider for licensing, support, and additional White Label services that will help them grow their business. 

What will it cost me to use a white label provider?

All Pinnacle and Premier VCSPs have be provided high-level information about how this program will work along with discounts based on contractual commitments.  There is also a path for On-Demand Licensing that has no commitments.  Smaller CSPs likely will only consume one license, VMware Cloud Foundation ($350/core) which includes vSphere, vSAN, and the Aria suite of products.  Atomic Data is prepared to help other CSPs optimize their core counts and identify additional cost savings.  For example, Atomic Data transitioned from F5 Big IP load balancers to AVI load balancers and we saw a cost savings and aligned our client consumption to our revenue streams for load balancing. 

  • VMware Cloud Foundation (MSRP of $350/Core)
  • Firewall Add-On (MSRP of $120/Core)
  • Firewall with ATP add-on (MSRP of $200/Core)
  • Gateway Firewall add-on (MSRP of 4 * $120 = $480/Core)
  • AVI Load Balancer add-on (MSRP of $5,695 per Service Unit)  

Why White Label under Atomic Data?

Our solution is for non-Premier and non-Pinnacle Cloud Service Provider Partners and allows them to continue their CSP offerings under their own brand in in their current datacenters, preventing an immediate need for extensive investment in infrastructure migration or expertise to change the solution in use today to deliver Cloud Services.  We have experts on staff that can help you right-size your environments to reduce your licensing liabilities and maximize your investment in VMware Software.  

What is the timeline?

February 5 – VMware partner program transition

March 31 – Final month for VMware consumption under existing program

April 19 @ 5PM PDT – Order Submission Cutoff (soft close)
April 24 @ 5PM PDT – Order Systems Shutdown (submission cutoff)
April 26 @ 5PM PDT – Order Booking Cutoff

April 30 – Existing partner agreements terminate

Everyone – Broadcom Employees, Aggregators, and CSPs – are behind.  This is a massive change to a program that has existed for over a decade.  We are hopeful some extensions will be put in place given the amount of contract work that needs to take place between VMware, Aggregators, and CSPs in order to transition to this program and move to White Labeling for those that are interested in pursuing that path.

Is my bill going to double?

This move, similar to Microsoft’s transition to core-base licensing, will sharpen focused efforts to properly size workloads and underlying hardware.  Long-term all customers consuming VMware software will increase their utilization to a level that maximizes their Total Cost of Ownership when using VMware products.  Atomic Data is prepared to help you reduce your future licensing costs through right-sizing virtual machine workloads,  increasing your over-subscription ratio, and aligning with Microsoft SPLA.  Further, we can help you leverage software that is part of the base core license to deliver more value to your clients and reduce your long-term costs running redundant tooling. 

Why should you talk to Atomic Data?

Atomic Data is a privately held Cloud Service Provider, headquartered in Minneapolis, Minnesota.  We have been in business for over 20 years, 15 of which we have been hosting Virtual Servers on VMware software.  We are an IT as a Service Provider.  Our goal is to make Technology Safe, Simple, and Smart for our customers while delivering white glove service.  All of our staff are Atomic Data employees.  We operate a 24x7x365 business and are able to help other Cloud Service Providers deliver NOC, Help Desk, Monitoring, Patching, Backup, and Security services through White Label in addition to VMware hosting.  We operate two geographically separate instances of Cloud Director following the Cloud Director Reference Architecture.  We support customer environments, many of which are similar size or larger.  We have over 40 engineers in areas of SME in Virtualization, Storage, Networking, Databases, and Software Development including a number of VMware VCPs and VCAPs.  We understand the Managed Service Provider/Cloud Service Provider business model and the monthly recurring revenue streams associated with it.  We do not want to compete with your business; we want to support you and help you grow your business.

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