New OVHcloud US report reveals staggering support for subscription-based licensing model and cloud-based virtualization technology.
OVHcloud US has released new research aimed at understanding the outlook of IT decision makers for virtualization technology in the near- and long-term as a result of Broadcom’s recent acquisition of VMware.
Broadcom’s acquisition in November 2023 significantly reshaped IT and cloud computing and reflects an industry-wide trend toward service-oriented architecture.
VMware’s customers and its network of Managed and Cloud Service Providers are seeing notable changes in how they conduct business, signaling a major transition in VMware’s approach under Broadcom’s direction.
The data found that, in contrast to the concerns voiced following Broadcom’s acquisition of VMware and significant changes to both partner programs and licensing models, most VMware users (91%) planned to stay with VMware, with 83% of respondents stating that they are pleased with the changes.
Other key findings include:
- Potential paths forward: When asked about their preferences for on-premises and cloud solutions, 62% of those currently using VMware as an on-prem solution expect to move to a cloud or hybrid cloud solution while 38% plan to continue using VMware on prem.
- Customers’ positive sentiments: When asked to state the foreseen benefits of the acquisition and its changes, 81% of respondents felt that it would help to reduce pricing complexity. The same percentage of respondents felt that the acquisition makes VMware a more attractive option when comparing partners.
- VMware alternatives: For those considering other options, over half of existing VMware customers would choose similar solutions elsewhere. Others are considering moving toward the public cloud or developing their own solutions.
“Given the survey findings, it is clear that both VMware and its users are aligning toward hybrid and cloud-only solutions,” said OVHcloud US General Manager Jeffrey Gregor.
“This comes at a critical time when organizations’ IT teams are looking for ways to optimize cloud management costs. The findings underscore that IT leaders see the Broadcom acquisition as an opportunity to embrace agility and simplicity in cloud adoption and IT infrastructure modernization, and we’re excited to work with customers as they navigate the changing cloud landscape.”
