I think I saw this before but which VMware BUs are considered to be a higher priority under Broadcom? I know there is vSphere, vSAN, ad vCenter, but what else?
10 replies (most recent on top)
I think that the hiring is to replace people who left. However I am seeing management at the director and VP level act as if Broadcom isn't happening. Possiblly they are hiring to keep the revenue up, or maybe they are just oblivious. It's hard to tell. In any case they won't give a darn about laying off people who were just hired 6 months before.
yes, there are a lot of engineers and technicians in SEBU. so maybe they are hiring in marketing because they don't have enough marketing folks then?
SEBU has a huge number of engineers making the SASE platform and a huge number of technicians running the SASE SaaS service. Layoffs are coming for sure.
@icwt+1h1RMfCa
I agree.. SASE/Edge is 50/50... probably a bit more than 50/50.
SD-WAN is profitable. Edge is important strategically to Broadcom.
The only thing the revenue/employee number. So my guess will be that they won't get rid of the BU but have cuts in expenses (layoffs) to align with the rev/emp goal.
Unfortunately, this will still mean big layoffs within the BU, especially non-engineering. even engineering will have 20-25% haircut. Marketing, Prod management probably 40-50% cut. Other supporting roles (even within BU) will be 80% gone.
What really surprises me is that the BU is still hiring. What gives? So, those folks who joined now, how will the management face them if those folks are laid off on day 1?
Or maybe management is hiring only those positions, that they know will not be laid off?
SASE is a 50/50 as far as them keeping it. SD-WAN is profitable but not all that high revenue compared to vSphere. The SASE security part is not ready for prime time and is dragging down SEBU. NSX is in the same situation as SD-WAN. Edge Compute is unproven and low revenue but it could be strategic to Broadcom as they can put their chips in the edge devices. Tanzu has potential as it is in a growing market but the product doesn't have much traction and revenue is low. SA and CB might overlap with other Broadcom products.
What about OCTO and the teams in OCTO (such as Open Source and Blockchain)?
Will the entire OCTO and the teams be retrenched?
Tom Krause explicitly listed vSphere, VSAN, vRealize and NSX as the core products they will be focusing on. Same is mentioned in https://www.theregister.com/2022/05/27/broadcom_vmware_subscriptions/.
What about SASE (SD-WAN)? probably not?
I would suspect WS1 and Horizon aka EUC. Both are SaaS based and both have large accounts.
Is NSX a high priority BU?
EUC