I understand wanting to be optimistic and having a positive mindset however, for your own benefit, I would start revising that strategy. I cant reveal details, as it’s too risky but in a nutshell, Broadcom is beginning to intervene in deals and contracts to push their financial strategy and it’s exactly what you would expect in-line with the Broadcom reputation. Personally, I will leave VMware as soon as I have a good offer
24 replies (most recent on top)
Shouldn’t be a secret, they’re rejecting any deals in excess of historical ELA lengths and large perpetual license deals at discount rates you would be accustomed to at your volume level.
Going forward - pricing is going to be open and transparent via rate card… which isn’t a bad thing necessarily.
IMO the largest opportunity going forward is bracing your customers that their perpetual license SNS cost that they’ve known for years shouldn’t be anticipated going forward - anticipate a flip to annual terms with cr---y trade-in rates.
Fantastic opportunity to either be on the hypersaler (VMC, AVS, GCVE, etc) overlay teams or become employed by them directly. Broadcom is going to push anybody who can entertain public cloud to accelerate that path - at least put yourself in a position to not only capitalize but also be a good advocate for your customers early.
I use VMW but this site autocorrects it to VMWare.
I do work here, just under two years. I believe nothing Management is saying. Every press release speaks to the goals for this acquisition and it is very clear big giant cuts are coming.
But believe what you will, I hope no one is cut, genuinely, but that is not the case based on everything I am hearing from everyone.
Good luck to you, I believe you will need it.
Lol, reading your comment makes me wonder that.
You are completely clueless clearly and just spasming because perhaps it’s fun for you. Broadcom didn’t talk about cost per employee in their press release, where did they bring that up? Dont make stuff up
If you work at VMware you would know that the messaging on the inside is to completely dismiss the fact that much will change so yes, to the people of VMware reading this post, this is news if they drank their managers’ koolaid. If you work at VMware you would also know better than to capitalize the W lol
You either dont work ar VMware or you are just a lost person
Seriously? “If customers will be priced out then there will be less business. Less business means fewer employees needed to carry out the business.”
You are acting like this is some new news. We’ve known about Broadcom cheating VMWare since the press release identified the cost per employee goals.
It is no wonder why we are being acquired. Reading some of these comments makes me wonder how we even operated as a stand alone company.
It’s immediately clear why what I said relates to layoffs if you think for longer than two seconds. If customers will be priced out then there will be less business. Less business means fewer employees needed to carry out the business.
What's being mentioned here is precisely why the EU thinks the deal smells. This is such a ham- fisted acquisition.
It is relevant to layoffs in that we are already seeing signs of the expected playbook being executed even before the deal is closed, thus providing some “circumstantial” evidence of the future layoffs that are central to that playbook. Think of it as a slow simmer, on the way to a boil.
How is this relevant information relevant to layoffs though? And before you get rabid with me, I’m asking what does this tell us. Even if you are 100% telling the truth, everyone knows acquisition = major changes. Do you now have an idea of what teams are getting axed or you can just see spending has changed?
@ pfl+1hOmuOsg
Im not here to convince you of anything, I’m just telling you what I know and what I see from working at vmware. I wish it wasn’t true but it is. I can tell you of a dozen accounts in EMEA who have had their deals and discounts blocked by BCOM. Clearly I’m not stupid to share those details on this board and its up to you do decide if I’m here to offer factual information. There is no need to share more b0ll0x on here as there is already too much here as it is.
@pfl+1hOmuOsg do you have a clue how these boards work? Thanks to the OP, cause ya know, folks really do have nothing better to do than to go here and just make up detailed stories about how the internals of vmware are working.
I am at vmware and I can see changes wrt to marketing spend...not going up and what they are cutting is certainly not 'business as usual' nor is it 'oh, the economy is going to suck so we need to hold back'. It is pretty clear they are getting signals from broadcom about how to control spending.
But yea, I'm just a liar also cause I don't want to expose who I am and how I come across this information, sorry no zoom recording to share with you.
Thanks to all bcom/vmware folks who are helping.
Bcom are 100% getting details on customers spend, even on ones not doing new deals this Q.
Email in my inbox this AM looking for data of all sales from a certain company under the guise of Bcom needing to approve a completely separate non-sales agreement
@@tia+1hOmuOsg Oh. If you confirm it, it must be true. I am totally convinced now.
I can also confirm this is true.Bcom is evaluating all deals above 10m and mebbe fewer smaller once which have discount etc.. there is an excel file literally for this.well i dnt hb issues with bcom doing this,but pity our leaders...
@hxr+1hOmuOsg my options are 1- Reveal more info and risk getting in trouble 2- Keep it vague and protect myself but people like yourself will choose to ignore the advice. I dont mean this in a bad way it’s just the truth but you can go to he-l for all I care, you will believe whatever the f you want anyway.
"BCOM are all over deals and are in stage 6 of the approval process"
Can you explain what stage 6 is, what the previous stages were and what stages are remaining?
This is accurate. BCOM are all over deals and are in stage 6 of the approval process. If the deal has deviated away from a traditional purchase by the customer such as duration and or discount it will be declined. Whoever mentioned this on the thread is accurate and it seems wholly inappropriate that BCOM can do this ahead of completion.
No real surprises here. Any large company doing business with us is well aware of how Broadcom operates. Is it really unrealistic to believe that a customer would ask or be concerned about this? The laws are clear about what Broadcom can and can’t do until the transaction closes, but I have no doubt customers are asking now and Broadcom can say something like “when the deal closes are intentions are Z”.
This is 100% accurate. I was the contracts.
Sounds like you are making it up to be honest. Does it make you feel good?
@Tickingclocksphere
No nothing product specific but from what I know, it’s easy to prices will increase and smaller customers will be priced out of deals which aligns with their previous playbooks where they limited the focus to a select group of high paying customers.
The OP is correct. If you have big deals going through you will see this.
Dont think this is news, it's already been posted by people in that slack ama channel that Broadcom is reviewing deals that deviate from a certain threshold
If you have info and proof, report it to the FTC and CA authorities.
Broadcom is not able to direct anything internal to vmware until the acquisition is complete.
But, don't waste your time reporting it to ETICA.
Without revealing too much, are you implying that only vSphere is being pushed and every other product BU is at risk ? I understand not wanting to reveal too much however folks need atleast product level info to read in between the lines if their BU would be safe.