VMware needs to win back trust – and VMware Explore Barcelona 2024 is its chance to do so
It’s been a year since VMware was last in Barcelona for its annual VMware Explore conference, and quite the year it’s been. At last year’s conference, Broadcom was just around the corner from finalizing its $61 billion acquisition of the firm, leaving it in a tumultuous position.
While the firm announced some data management and private AI offerings, there was a sidelining of the acquisition last year. While Broadcom CEO Hock Tan appeared onstage during the event’s opening keynote to reassure attendees that Broadcom would maintain VMware R&D and streamline its products, this didn’t entirely cut through the sense of anticipation that ran through the event.
Unfortunately for VMware, this anticipation has given way to genuine concern over the last 12 months as Broadcom has weathered criticism for VMware licensing changes.
VMware Explore Barcelona 2024 needs to change the conversation. If the firm wants to retain its long-standing command of the server virtualization market then its leadership needs to allay fears surrounding services and memberships.
As the first such event held under the Broadcom banner, it’s a defining moment for the firm – with a slight make-or-break atmosphere. Already, customers are seeking alternatives to VMware, with research from UK cloud firm Civo finding that over half (51.9%) are considering abandoning services following the acquisition.
VMware’s future as a company depends on its ability to turn the tide on these sentiments and convince the industry that it can still be relied on under Broadcom’s ownership.
The need for better messaging
It’s no secret that VMware is suffering in the wake of its acquisition, with some firms even looking to capitalize on VMware’s flailing customer base. Take Pure Storage, for example, which released a virtual machine (VM) assessment tool specifically targeting VMware licensing spend.
Gartner predicted that businesses may start undergoing ‘devirtualization’ processes, moving workloads back onto physical systems in the face of spiraling costs triggered by the Broadcom turmoil.
VMware Explore Barcelona is a prime stage from which VMware can broadcast welcome news on its licenses and help quash customer concerns. It’s by no means last chance saloon – but any step in the wrong direction risks ceding ground to other firms offering virtualization or on prem solutions.
The firm also needs to get its messaging right – or rather, the leadership at Broadcom needs to get its messaging right. Following its slashing of perpetual licenses and backlash against the cutting of other products, Tan did little to ease fears or console users.
Tan described the changes as part of a simplification of VMware’s structure and said he thought the firm was off to a good start under this new ownership, largely sidelining concern.
With Tan’s comments doing little to reduce the fallout, Cloud Infrastructure Providers in Europe (CISPE) quickly hit out at the licensing changes, calling Broadcom’s practices “anti-cloud” in nature.
Regardless of the stance you take on the changes at VMware, it’s clear that Broadcom needs to take this year’s event as a chance to realignits messaging on the subject.
As such, VMware Explore 2024 is just as much a PR event as it is a tech event.VMware will need to underscore any announcements with clear messaging that keeps users in the loop about how their experience of VMware services might change.
Taking back cloud leadership
Every cloud has silver linings and it’s important to note that VMware has not had a year bereft of positive announcements. The firm has released products even as it has cut others, and VMware Explore 2024 will no doubt offer up headline announcements to interest partners and customers alike.
In June, VMware announced an expansion to its private cloud platform, VMware Cloud Foundation (VCF), aimed at reducing complexity and responding to customer needs around deployment and resiliency.
Later in the summer, the firm rolled out another update to VCF, this time with a focus on improving speed, ease, and cost for the deployment of private cloud systems for businesses.
On the back of these announcements, we can expect private cloud to be a big topic at VMware Explore 2024. The firm will likely leverage its virtualization credentials to position itself as a leader in this area.
Whatever the focus, VMware will be laser-focused on delivering value for its customers in next week’s offerings. Attractive products and platforms will inevitably play a vital role in securing VMware’s ongoing customer base.
Though Broadcom posted healthy revenue growth in its most recent earnings call, trust in the firm’s leadership of VMware is showing signs of weakness. The good news is VMware has every chance to shore up support at this pivotal event.
ITPro’s George Fitzmaurice will be covering VMware Explore Barcelona live from 4 – 6 November. To stay up-to-date with the latest news and announcements from the conference, follow our live blog and subscribe to our newsletter above.
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