- Report Finds 86% of Customers Still Looking to Reduce Their VMware Footprint
- 85% of respondents are worried about rising prices – concerns have not eased in two years
- Migration complexity, high costs and technical barriers stand in the way
Two years after Broadcom acquired VMware, new data has revealed that customers are still trying to leave the platform, confirming initial concerns of a “mass exodus.”
The CloudBolt study found that 86% of North American enterprises are actively seeking to reduce their VMware footprint.
But the transition isn’t without challenges: Nearly two in three (63%) have changed their strategy at least twice since acquiring Broadcom in November 2023, suggesting that this decision may not be so simple.
By 2024, about three-quarters (73%) of VMware customers expected costs to more than double, and it’s a concern that continues today as 85% of them remain concerned about future price increases.
The reality is that even though prices haven’t doubled for most customers, operating costs have still increased. Three-fifths (59%) saw prices increase by more than 25%, with the median increase being between 25 and 49%. Some of the most extreme cases are at a much higher level, 350 to 700 percent.
However, moving away from VMware is proving to be a challenge, with only 4% of survey participants having migrated entirely. And 41% of them plan to stay with VMware as they focus instead on optimizing their footprint.
“The fear has subsided, but the pressure remains the same – and most teams are now taking concrete steps to create leverage and options – although for some that includes realizing that part of their wealth never leaves VMware,” wrote Mark Zembal, CloudBolt’s CMO.
But the desire to leave is clear, with VMware’s strategies now widely discussed, a testament to the effects of price changes on Broadcom’s customers.
Going forward, most (72%) migrating customers are moving to public cloud IaaS rather than alternative hypervisors, but they are held back by migration complexity (25%), higher-than-expected alternative costs (23%), and technical barriers (21%). The outlook is largely positive, with almost two thirds (62%) seeing migration as “difficult but achievable”.
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