Enterprise IT virtualization is a growing market, influenced by government initiatives and economic diversification strategies throughout the region. In 2024, the MEA’s data center virtualization market generated a revenue of USD 307.3 million, predicted to grow at a compound annual growth rate of 19.9% from 2025 to 2033.
VMware is a global leader in virtualization software. The program provides hypervisors that enable the creation and management of enterprise-scale, virtualized:
- Servers
- Networks
- Storage
However, recent changes to the VMware licensing model are creating challenges for companies looking to maintain and optimize their virtual data center environments without overpaying or running unnecessary risks.
This article explores the changes to VMware licenses, how this has affected the market, and how third-party support presents a secure and cost-effective solution. To learn more about what VMware is, its challenges and how it can benefit your business, read our industry guide “What is VMware?”.
A look at VMware licenses: Perpetual vs. Subscription
In the past, businesses could purchase perpetual VMware licenses. When you purchase a VMware perpetual license, you pay upfront for the software and own it forever.
However, Broadcom discontinued VMware perpetual licenses in December 2023 and shifted to a subscription model.
Here is a breakdown of the key differences between the two:
| Perpetual license | Subscription license |
|---|---|
| One-off payment | Recurring payments |
| High initial outlay, but the cost is amortized over the years | Lower initial investment, but regular payments can build up costs long-term |
| Does not include support and maintenance fees | Includes maintenance and updates |
| Unavailable for purchase since 2023 | The only VMware license model available on the new market |
Although they are no longer available on the market, businesses with existing perpetual VMware licenses can continue to use them. This licensing model was, and continues to be, suitable for companies which require VMware products long-term. The longer a business keeps its license, the lower the annual cost becomes, as the initial investment is spread over time.
What are the challenges facing the VMware market?
The changes to VMware’s licensing model have had a significant impact on businesses. Some of the most significant challenges facing the region’s VMware market include:
Rising support costs
While the VMware subscriptions and bundles include maintenance and support, they come at high and ongoing costs. This can put strain on IT budgets, especially for smaller businesses.
In fact, the European Cloud Competition Observatory has been critical of Broadcom’s changes to VMware’s licensing model, giving the company a red status in both late 2023 and May 2025. The Cloud Infrastructure Services Providers in Europe (CISPE) reported price increases ranging from “800% to 1,500%”, to the European Commission.
Forced cloud migration
VMware’s newer bundles are cloud-aligned. This pressures businesses to migrate their data centers to the cloud to get the most out of their subscription.
Alternatively, businesses which can no longer afford the subscription costs of the software turn to the cloud as a cheaper alternative. This can be a false solution, as the cloud is not necessarily the most cost-effective option, especially for heavy workloads.
Such migrations also pose their own risks. These include:
- data loss
- security breaches during the migration process
- compliance issues
Barriers to exploration
Of course, there are alternatives to subscribing to a VMware license. These can cover:
- Software from other manufacturers
- Open-source hypervisors
- Leveraging third-party support for your current software
However, a lack of resources can limit a business’s ability to explore these alternatives. These range from capital and time to internet connectivity.
Insufficient resources to research, discover or implement other options can leave businesses feeling trapped.
What are the risks of traditional vendor dependency?
Vendor lock-in
Businesses which rely solely on VMware’s ecosystem often struggle to switch to another vendor or incorporate other software. This leaves companies “locked” into their relationship with a single vendor, making it difficult to use alternative solutions without major disruption.
Limited flexibility
Reliance on a single vendor can restrict a business’s ability to scale or adapt its infrastructure to changing needs. Companies may find themselves limited by:
- the vendor’s roadmap
- support timelines
- bundled offerings
This reduces a business’s control over their IT strategy.
Cost escalation
A vendor may choose to raise its prices or restructure its licensing, as Broadcom has with its VMware offerings. This can lead to steep increases in operational costs, especially for long-term customers with complex IT deployments.
Why switch to Third-Party VMware support?
Businesses with pre-existing perpetual licenses can continue to use them but are not eligible for vendor support or updates from VMware. Without the correct support, an IT infrastructure is open to failures, extended downtime or security vulnerabilities. However, instead of switching to an overpriced subscription, companies are turning to third-party support as a key solution for their maintenance needs.
Preserve your license and your IT control
Switching to third-party maintenance services means enterprises can maintain their current VMware license and still receive technical support. This way, businesses:
- save the significant costs of investing in a subscription
- keep control over their IT infrastructures
This relieves businesses of any pressure to migrate to the cloud, follow vendor timelines or limit its flexibility in the face of changing demands.
Reduce support costs
Third-party maintenance can save enterprises up to 70% in support costs compared to original vendor or manufacturer support. This takes the strain off business IT budgets without sacrificing performance or regulatory compliance. These cost savings can then be redirected to other projects.
Access expert support
Third-party software support providers employ trained engineers to offer the best service possible. L3 VMware expert support translates to:
- Enhanced system performance and reliability
- Ensured data security
- Minimized downtime and risk of failure
Third-party maintenance for perpetual VMware licenses helps businesses optimize their IT operations, reduce costs and take back control of their virtual infrastructures.
Why choose Evernex for your VMware maintenance?
Through expert support and optimizations, Evernex empowers organizations to continue using VMware products without vendor lock-in, elevated costs or putting their operations at risk. Discover some of the main reasons to consider Evernex as your VMware alternative support partner:
Full VMware product coverage
Our specialist technicians have extensive experience across the entire VMware range. This means no matter what package you have, we can provide efficient and effective support.
Unsure if Evernex covers your VMware software product?
To see the full range of VMware products we support, check out our dedicated brochure.
TPM integration for streamlined operations
Evernex is a globally trusted, certified provider of third-party maintenance services. As well as expert VMware support and optimization, we offer comprehensive IT hardware solutions. These include:
- IT hardware lifecycle management
- Data center relocations
- Repairs and part replacements
- Responsible IT asset disposal
Many businesses choose Evernex as a single point of contact for their hardware and software support needs.
With Evernex’s comprehensive IT services, enterprises achieve:
- Lower overall costs
- Reduced administrative burden
- Flexibility with customizable service-level agreements
Local presence and human-first support
Evernex has a local presence in over 165 countries across the world. Our multilingual engineers provide on-site IT support, no matter how remote a data center or infrastructure may be. We also offer several coverage options, including 24/7 availability, to offer our clients peace of mind.
If you are facing rising support costs and want to avoid overpaying for rigid software subscriptions, it’s time to rethink your VMware support strategy.
Optimize your VMware investment with Evernex
To maximize the value of your perpetual VMware licenses while cutting costs, discover our flexible VMware Support alternative.
About the Author
Yassine Bartout is Evernex’s Sales Manager for North Africa. He is an expert in innovation and end-to-end data center maintenance services and has been contributing his extensive knowledge of African business development to Evernex since 2021.
