Platform9 Slams Broadcom’s VMware ‘Betrayal’ as Cloud Industry Tensions Escalate

In a fiery critique that echoes growing sentiment across the cloud computing ecosystem, Platform9 has publicly condemned Broadcom’s handling of VMware, calling it a “betrayal” of customer trust and a blow to the open cloud movement.

The sharp criticism comes amid widespread backlash following Broadcom’s controversial changes to VMware’s licensing, support, and partner ecosystem after acquiring the virtualization giant in late 2023. Platform9, a known advocate for open and multi-cloud infrastructure, argues that Broadcom’s decisions have alienated loyal customers and partners, disrupted business continuity, and stifled cloud innovation.

What’s the Controversy?

Since completing its $69 billion acquisition of VMware, Broadcom has introduced sweeping changes to the platform’s business model. These include:

  • Eliminating perpetual licenses in favor of subscription-only pricing
  • Terminating long-time partner agreements with smaller resellers and managed service providers (MSPs)
  • Shifting focus to high-margin, enterprise-only deals, leaving SMBs and mid-tier clients in the lurch

For many, these changes felt abrupt, poorly communicated, and fundamentally at odds with VMware’s previously open, partner-friendly approach.

Platform9’s Position

Platform9 CEO Bhaskar Ghosh didn’t hold back. In a recent blog post, he accused Broadcom of “trading long-term trust for short-term margins,” stating that the fallout from these changes is being felt not just by partners but by end users who suddenly face escalating costs, limited support, and a loss of choice.

“VMware was once the foundation of innovation in the cloud-native space,” Ghosh wrote. “But Broadcom’s strategy has effectively cut off oxygen to the very ecosystem that made VMware valuable.”

Platform9, which offers Kubernetes-as-a-Service and open cloud infrastructure, has positioned itself as a more flexible, open alternative to VMware — and now sees an opportunity to win over disillusioned customers seeking more transparent, developer-friendly platforms.

A Broader Industry Backlash

Platform9 isn’t alone in its criticism. A growing chorus of vendors, MSPs, and IT leaders have voiced concerns over Broadcom’s direction, with many actively exploring alternatives like Nutanix, Red Hat, OpenStack, and Platform9 itself.

Final Thoughts

Platform9’s bold rebuke of Broadcom’s VMware strategy taps into a broader frustration in the cloud community: that enterprise software giants are increasingly prioritizing profit over ecosystem health and customer experience.