Breaking Up with VMware: Why Companies Are Moving Away

ByBob McCool

If you’ve been watching the virtualization space, you’ve likely noticed a shift: more and more companies are moving away from VMware. This isn’t just a trend—it’s a response to real changes in cost, licensing, and strategy following Broadcom’s acquisition of VMware in late 2023.

Let’s explore what’s driving this shift, what alternatives are gaining traction, and how your organization can make a smooth transition.

The VMware Licensing Shake-Up: What Changed?

  • Perpetual licenses eliminated – Everything is now subscription-based.
  • Minimum core requirements increased – You must now license a minimum of 72 cores per product, regardless of your actual usage.
  • Bundled products required – Want vSphere? You’re also getting NSX and vSAN, whether you need them or not.
  • Late renewals penalized – Miss your renewal and expect to pay 20% more.
  • Costs skyrocketing – Some organizations are seeing price increases of 150% to over 1,000%.

For many businesses, especially small to mid-sized ones, these changes are simply not sustainable.

Hyper-V vs. Proxmox VE: Which Way to Go?

If you’re considering a move, two standout alternatives are Microsoft Hyper-V and Proxmox VE. Here’s how they compare:

Feature Hyper-V Proxmox VE
Cost Included with Windows Server Free and open-source (paid support optional)
Ease of Use Familiar for Windows admins Web-based UI, Linux-based but intuitive
Performance Excellent in Windows environments Lightweight, efficient, great for mixed workloads
Features Live migration, clustering, replication Live migration, containers + VMs, ZFS support
Support Backed by Microsoft Active community + commercial support
Best For Microsoft-centric environments Cost-conscious, Linux-friendly, hybrid setups

Migration Doesn’t Have to Be Painful

Here’s the good news: you don’t have to go it alone.

We have the expertise to help organizations migrate from VMware to Hyper-V, Proxmox VE, and other platforms—whether on-premise, in the cloud, or hybrid. Our team has deep experience in:

  • Assessing your current environment
  • Planning and testing migrations
  • Executing seamless transitions with minimal downtime
  • Supporting post-migration optimization

We can also handle cross-platform migrations—from Hyper-V to Proxmox, cloud to on-prem, and everything in between.

Final Thoughts

The virtualization landscape is evolving fast. Broadcom’s changes to VMware licensing have prompted many businesses to rethink their strategy—and for good reason. Whether you’re looking to reduce costs, simplify licensing, or future-proof your infrastructure, now is the time to explore your options.

If you’re ready to talk about what a migration could look like for your organization, we’re here to help.  Contact us today for a free consultation.

Let’s make your next move your best one yet.

 

Ariel IT helps businesses simplify technology, strengthen cybersecurity, and stay compliant with evolving standards. As Business Professionals - Technical Experts, we partner with organizations to deliver reliable IT solutions that support growth and peace of mind.  Contact us to learn more

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