Broadcom takes a private cloud victory lap as it axes bottom-tier VMware partners

The tech giant has converted 87% of its 10,000 largest customers to the VMware Cloud Foundation bundle, CEO Hock Tan said during a Thursday earnings call.

Dive Brief:

• Broadcom touted success in moving enterprise customers to the VMware Cloud Foundation private cloud platform during a Thursday earnings call, less than a week after eliminating the bottom tier of its technology partner program.
• The tech giant has converted 87% of its 10,000 largest customers to the VCF bundled offering since finalizing the $61 billion VMware acquisition in November 2023, according to CEO Hock Tan. “The momentum from strong VCF sales over the past 18 months since the acquisition of VMware has created annual recurring revenue, otherwise known as ARR, growth of double digits in our core infrastructure software,” Tan said.
• Broadcom’s infrastructure software segment revenue increased 25% year over year, accounting for $6.6 billion of $15 billion ...