Thought Leadership
After massive criticism from the industry, Broadcom is apparently sticking to the previous 16-core regulation.
The company has reversed its controversial decision to increase the minimum number of VMware licenses from 16 to 72 cores. This is reported by the german magazine iX. This U-turn comes after fierce criticism from the IT industry. The original change, which was due to come into force today, April 10, 2025, would have hit small and medium-sized companies particularly hard. Many of these companies operate smaller server infrastructures and would have had to pay for unused computing capacity as a result of the new regulation – a costly scenario that forced many to rethink.
An unnamed distributor confirmed the withdrawal of the measure to iX. Broadcom has already sent a revised price list to its sales partners, which is available to the magazine and documents the retention of the previous model.
Never officially announced a change?
Broadcom’s communication strategy in this matter is strange. When asked by iX, a company spokesperson simply explained that “Broadcom has never announced a price change” and is sticking to the minimum number of 16 cores set in December 2023.
The massive headwind and the threat of customers migrating to competing virtualization solutions were probably the decisive factors behind the turnaround.
