VMware: Broadcom replaces VCSP program with selective model
Broadcom discontinues the VCSP program for partner companies. It will be replaced by an invitation-only model. But this step does not initially affect Europe.
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- Vincent Rittner
- Arne Bauer
Broadcom is once again changing its partner programs for VMware products. This currently affects partner companies outside the European Economic Area (EEA) that participate in the VMware Cloud Service Provider (VCSP) program. VCSP enables hosting and cloud service providers to license VMware products on a rental basis and provide them to their customers as a service. This is to be discontinued outside the EEA on October 31 and replaced by an invitation-based model that is only accessible to selected partners.
Non-invited providers may continue to carry out transactions until the cut-off date, but will only be able to service existing contracts thereafter. New contracts or renewals will no longer be possible. The white label model, which previously allowed smaller cloud providers to obtain licenses via primary partners, will also be discontinued. When asked by the iX editorial team, Broadcom explained that it had already informed affected partners: "[...] On July 15, 2025, Broadcom informed VMware Cloud Service Providers (VCSPs) directly that –, with the exception of those in the European Economic Area –, a new Cloud Service Provider program will come into effect on November 1, 2025."
Customers must reorient themselves
The measure will hit customers whose service providers have not received an invitation to the new partner program particularly hard. They are faced with the problem of having to find new, authorized providers at short notice. In addition to the changeover and potential migration costs, cost increases and delays in concluding contracts cannot be ruled out.
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This aggressive restructuring of the partner program is a further step in Broadcom's consistent focus on larger, strategic partners. It was only at the turn of the year 2023/2024 that the new owner cut the partner offering for the first time. The white label model was able to serve as a buffer for smaller providers, at least in the short term. This time, however, there is unlikely to be such a detour. It remains to be seen whether partner companies in the European Economic Area will have to fear similar changes at a later date. Broadcom did not respond to a corresponding question from the iX editorial team.
(mho)
