News

Broadcom Revamps VMware Partner Program Again

• By David Ramel
• September 30, 2025

Broadcom recently announced a significant update regarding its VMware Cloud Service Provider (VCSP) program, coinciding with the release of VMware Cloud Foundation (VCF) 9.0, a key component in Broadcom’s private cloud strategy.

Starting this November, Broadcom will implement a new plan for VMware partners for the upcoming fiscal year that will lower the number of authorized VCSPs in many markets. Broadcom’s aim is to focus on a smaller group of providers who stand out with their proven skills, strong history of success and the ability to invest confidently.

As Broadcom updates its program, only invited partners will retain their certification for license portability, which means non-selected providers won't be able to offer hybrid VMware cloud options. Customers who rely on these excluded partners may want to consider switching to new providers to keep full access to VMware's licensed features.

"With this action, we are deepening our commitment to partners we feel are best equipped to drive customer value," said Broadcom exec Ahmar Mohammad in a Sept. 22 post. "Our goal is to cultivate an environment where highly capable and highly trained partners can deliver exceptional value and a superior experience to customers."

Broadcom also said that customer entitlement to port VCF licenses to public cloud services will be limited to those providers included in its Certified Cloud Services program. Non-renewing partners will lose certification for license portability, which could affect customers seeking hybrid options outside Broadcom's chosen ecosystem.

The announcement extends a pattern of major changes since Broadcom closed its $69 billion acquisition of VMware in 2023. Those included eliminating perpetual licenses in favor of subscription models, consolidating VMware's sprawling product portfolio into fewer bundles, and raising prices -- changes that in some cases led to cost increases of several hundred percent. Broadcom also reshaped VMware's partner programs, requiring many service providers to reapply or exit under new terms. These moves drew criticism from customers, smaller partners, and trade associations, with some filing lawsuits or regulatory complaints over contract and competition issues.

Broadcom is framing the September announcement as a quality-over-quantity play. Retained partners will gain larger market share, stronger enablement from Broadcom, and closer alignment with its VCF strategy. For customers, the company says the tighter ecosystem will mean greater reliability, trusted guidance, and a fuller realization of VCF's value. However, for those whose providers do not make the cut, transitions may be necessary, adding to the uncertainty and upheaval that have marked VMware's trajectory since the Broadcom takeover.

• Partner Reduction: The new program significantly reduces the number of authorised partners, being a by-invitation only program. As a result on July 15, 2025 VCSP partners who are not invited to participate in the new Program for VCSP partners will be sent a notice of non-renewal.
• Transition Period Until 31 October, 2025: Non-invited partners can continue to transact until 31 October 2025. After that date, they may only service existing VCSP commitment contracts for the remainder of the current term. No new commitment contracts or renewals will be accepted for those partners.
• White Label Program Ending: Broadcom is also sunsetting the White Label model on 31 October 2025. The same transitional commercial conditions apply to White Label contracts as stated above.
• Immediate Impact: Departing partners are encouraged to work with authorised VCSP partners to ensure a smooth transition for customers who seek to renew a service at the end of their current term.
• Shift Toward Hyperscale Private Compute: Broadcom is reshaping its vision for private compute, whereby VMware Cloud Foundations 9 underpins a small number of hyperscale private cloud platforms in each region. A future where customers buy managed infrastructure from partners like Interactive to support their compute requirements.