transition
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Navigating the New WMvare Ecosystem – FAQ

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117 - Bullet Points

Brief Timeline of the VMware's Transition to Broadcom

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2022-05

Broadcom agrees to buy cloud computing company VMware in a $61 billion cash-and-stock deal; reveals $32 billion in funding commitments for the deal.

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2023-11

Broadcom finalizes all regulatory requirements and closes its acquisition of VMware. 

  • Broadcom announces it's intention to exclude VMware EUC (Horizon as parts of its integration into their product offerings).
  • VMware EUC is put up for sales with an estimated asking price of $5B
16 - FAQs - Accordion

As we embrace a new chapter in the VMware ecosystem, we at Altanora recognize the questions and concerns this transition may bring for our esteemed clients and partners.

 

In our commitment to transparency and guidance, we have assembled an FAQ to address these inquiries and assure you of our unwavering support through these changes.

About Broadcom, VMWare and this acquisition.

Broadcom

Overview:
- Broadcom Inc. is a global technology company that specializes in designing, developing, and supplying a broad range of semiconductor and infrastructure software solutions. 

Core Products and Services:
- Its product lines include a diverse range of chips, integrated circuits, and software solutions for various industries, including data center, networking, software, broadband, wireless, and storage.

Market Position and Influence:
- Broadcom is known for its strong presence in the semiconductor industry, particularly in the areas of data center and networking solutions.


VMware Inc.

Overview:
- VMware is a leading innovator in enterprise software, known for its virtualization and cloud computing solutions. 

Core Products and Services:
- The company's flagship products include VMware vSphere, a leading virtualization platform, and various cloud infrastructure and management solutions. VMware also offers digital workspace products like VMware Horizon.

VMware Horizon:
- VMware Horizon is a virtual desktop infrastructure (VDI) product that allows users to access and use virtual desktops and applications through a single digital workspace.

Market Position and Influence:
- VMware has a significant presence in the enterprise IT space, particularly for its contributions to cloud infrastructure and virtualization technologies.


Broadcom's Acquisition of VMware

Purpose of the Acquisition:
- The acquisition is aimed at strengthening Broadcom's portfolio in enterprise software, diversifying its offerings, and enhancing its position in the infrastructure technology market.

Benefits and Synergies:
- The merger is expected to create synergies in product offerings, combining Broadcom's hardware and semiconductor expertise with VMware's software and virtualization capabilities.
- It aims to enhance customer offerings by providing more integrated and comprehensive solutions.

Strategic Goals:
- Broadcom is likely aiming to expand its reach in the cloud computing and virtualization sector, areas where VMware excels.
- The acquisition could also help Broadcom to cross-sell products to a wider customer base and penetrate new markets.

Exclusion of VMware Horizon:
- The exclusion of VMware Horizon from the deal could be strategic, allowing Broadcom to focus on core infrastructure and cloud technologies that align more closely with its existing product lines.
- This move might also be due to regulatory concerns, market positioning, or a strategic decision to focus on specific technology areas.

Desired Outcome: projected
- Ultimately, Broadcom aims to become a more significant player in the enterprise software space, leveraging VMware's technology to enhance its product suite and market reach.
- The company may also seek cost efficiencies, R&D synergies, and enhanced market competitiveness as a result of the acquisition.


In conclusion, the Broadcom purchase of VMware, excluding VMWare Horizon, represents a strategic move to enhance Broadcom's position in the enterprise software market, particularly in cloud computing and virtualization technologies. The merger aims to create synergies between Broadcom's hardware expertise and VMware's software prowess, although it also presents challenges in terms of integration and market positioning.

What is happening with the VMware Horizon product line in light of Broadcom's acquisition of VMware?

Broadcom has acquired VMware, but VMware Horizon is excluded from this deal. This means that VMware Horizon will continue to operate as a separate entity, distinct from the Broadcom-VMware integration.

Why is VMware Horizon being excluded from Broadcom's acquisition?

The exclusion of VMware Horizon from Broadcom's acquisition of VMware is a strategic decision. This could be due to a variety of factors including market positioning, regulatory considerations, or a focus on specific technology areas by Broadcom.

What is the impact on End User Computing (EUC) as a result of the exclusion from Broadcom's integration?

The future of VMware’s EUC solutions, such as Horizon and Workspace ONE, which are central to digital workspace management and virtual desktop infrastructure, is now under scrutiny. The impact of Broadcom's ownership on the investment and development in VMware's EUC offerings is uncertain, given Broadcom's past acquisition patterns.

 

How will this affect the development and updates of VMware Horizon?

As VMware Horizon is not part of the acquisition, its development and updates will continue independently of Broadcom's strategies for VMware. Users can expect continued innovation and regular updates, as per VMware Horizon's roadmap and commitments.

Will there be any changes in the support structure for VMware Horizon?

Currently, there are no announced changes to the support structure for VMware Horizon. It will continue to be supported by VMware's dedicated support teams. Any future changes to the support structure will likely be communicated directly to existing customers.

Can we expect any changes in the pricing or licensing of VMware Horizon?

As of now, there are no indications of immediate changes in the pricing or licensing structure for VMware Horizon due to its exclusion from the Broadcom deal. However, pricing and licensing are subject to change based on VMware's independent business strategies.

Note however that there have already been significant changes in the Broadcom-VMware licensing model which has seen significant price increases amongst the acquired assets.

How will this affect the integration capabilities of VMware Horizon with other VMware products?

Since VMware Horizon remains a part of VMware's product portfolio, it is expected to maintain its current integration capabilities with other VMware products.

However, future integrations may evolve independently of Broadcom's influence on other VMware products.

This is an area of uncertainty for many at this phase of the transition. 

Will there be any changes in the sales and distribution channels for VMware Horizon?

At this moment, there are no announced changes to the sales and distribution channels for VMware Horizon. It will continue to be available through the existing VMware sales and distribution networks.

How will this impact the security and compliance aspects of VMware Horizon?

VMware Horizon will continue to uphold its security and compliance standards. Any changes or enhancements to these aspects will be guided by VMware Horizon's independent security policies and compliance requirements.

What should current VMware Horizon customers do in light of this news?

Current VMware Horizon customers should continue using the product as usual. It's recommended to stay informed about any official updates from VMware regarding Horizon and to maintain regular communication with VMware representatives for any specific concerns or queries.

Where can I find more information and stay updated about VMware Horizon?

Altanora updates this section on a daily basis. 

You can reference this page for the latest information and updates on VMware Horizon. Alternatively you can visit the official VMware Horizon webpage and subscribe to VMware's newsletters and official communication channels.

Recommendation

VMware customers, especially those relying on on-premises virtualization and EUC solutions, to approach changes with a measured and informed perspective.

 

Locking in prices at renewal times might be a thoughtful approach to manage costs predictably, ensuring stability in your operational budget.

 

Exploring alternative solutions should be viewed as a strategic exercise to understand the market better and not necessarily a move towards immediate change.

 

Staying updated on developments regarding Broadcom's integration with VMware will enable informed decision-making for the continuity and strategic goals of your business.

119 - Industry Use Cases

Comprehensive Solutions Tailored for You

Solutions designed to address the unique requirements and challenges of your business and sector.

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Healthcare

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Education

public

Public Sector

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Accounting Legal Services

defense

Defence / Aerospace

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Financial Services

logistics

Logistics & Transportation

manufacturing

Manufacturing

aec

Architecture, Engineering and Construction

system-integrator

System Integrators, MSP, VAR

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