
Here’s an article based on the information from The Register’s report:
Broadcom Sees Strong Demand for VMware Solutions as Customers Embrace Evolving Software Landscape
San Jose, CA – September 5, 2025 – Broadcom Inc. has reported a robust performance in its third fiscal quarter of 2025, with significant contributions from its VMware software division. The company indicated that it has successfully transitioned a substantial number of VMware customers to its new licensing and support models, signaling a positive reception to Broadcom’s strategic direction for the virtualization giant.
Speaking to investors, Broadcom executives highlighted that many long-standing VMware customers have opted to adopt the company’s current software offerings. This adoption suggests that organizations are actively seeking solutions to modernize their IT infrastructure and embrace the efficiencies and innovations that Broadcom’s integrated VMware portfolio provides. The term “shelfware,” often used to describe software that has been purchased but not actively utilized, was acknowledged in the context of this transition, implying that customers are moving towards more engaged and beneficial use of their VMware investments under the new framework.
The shift in licensing, which moved from perpetual licenses to a subscription-based model, has been a cornerstone of Broadcom’s integration strategy since its acquisition of VMware. While such transitions can present challenges, Broadcom appears to be navigating this period effectively, with a notable portion of the customer base actively engaging with the new terms. This indicates a strategic decision by many businesses to align with Broadcom’s vision for the future of hybrid cloud and enterprise software.
“We’re pleased with the engagement we’re seeing from our VMware customers,” stated a Broadcom spokesperson. “The transition to our current software portfolio reflects a clear demand for modern, efficient, and integrated solutions. Our customers are recognizing the value in our updated offerings and are actively embracing them to enhance their IT operations and drive business agility.”
Broadcom’s approach has focused on simplifying the VMware product suite and offering bundled solutions, which appear to resonate with customers looking for streamlined procurement and support. This consolidation is intended to provide a more cohesive and powerful platform for managing complex IT environments, from on-premises data centers to public cloud deployments. The company’s emphasis on delivering tangible value and robust support services is a key driver behind the positive customer uptake.
The successful integration and subsequent sales performance of VMware products underscore Broadcom’s strategic intent to leverage this acquisition as a significant growth engine. The company’s ability to secure renewed commitments from existing VMware users, and attract new ones to its current software stack, is a testament to the perceived value and strategic importance of Broadcom’s evolving enterprise software portfolio in today’s dynamic technology landscape.
Broadcom admits it’s sold a lot of shelfware to VMware customers
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