Broadcom enhances the integration between Google Cloud and VMware

Since the acquisition, Broadcom and Google Cloud have developed a closer partnership, enhancing the integration of VMware products into Google Cloud environments. This partnership aims to improve the efficiency of VMware workloads on Google's core infrastructure using the Vertex AI analytics platform.

Broadcom will move VMware workloads—including both internal and customer-facing services and products—to Google Cloud. This transfer is intended to leverage Google's Vertex AI analytics platform to enhance the efficiency of VMware workloads on Google's core infrastructure.

Broadcom and Google Cloud will closely integrate their go-to-market strategies and offerings to strengthen product development, sales, deployment, and support. This alignment will better equip both companies to help customers modernize their infrastructure and identify opportunities for business growth.

Broadcom also plans to increase its product offerings in the Google Cloud Marketplace, adding Symantec Network Protection to its current lineup, which already includes VMware Tanzu Application Suite, AppNeta, and Clarity.

Broadcom reaffirmed its intention to bring license portability for VMware Cloud Foundation (VCF) to the Google Cloud VMware Engine platform. The timeline might extend slightly beyond initial expectations, with availability now stated to be by July.

This initiative will allow Google Cloud VMware Engine customers to use their subscription in supported hyperscale cloud settings and deploy software on-premises. Customers can choose to purchase access to a fully integrated Google Cloud VMware Engine environment with VCF software directly from the hyperscale, or transfer the balance of their existing subscription.

The introduction of license portability, part of Broadcom's initiatives after acquiring VMware, has generated market anxiety. This move has caused significant confusion among businesses that have long relied on VMware's perpetual licensing model.

Prashanth Shenoy, Vice President of Marketing at VMware, acknowledged the difficulty in justifying the price increase. The shift from a perpetual licensing model to a subscription model has resulted in a distinct cost experience for customers, leading to perceived price increases due to the incomparable nature of old and new cost structures.