VMware customers face uncertain future as Broadcom ends VMware partner programs

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2 years ago

January 11, 2024

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VMware, but by Broadcom — VMware customers face uncertain future as Broadcom ends VMware partner programs Only Broadcom’s favorites will be able to sell VMware-related offerings.

Scharon Harding – Jan 10, 2024 11:53 pm UTC EnlargeGetty reader comments 100

VMware’s new owner is ending the virtualization and cloud computing company’s partner programs. It’s unclear who or how many current partners will be able to sell VMware-related offerings after April 2024, leaving potential for tens of thousands of businesses to be disrupted.

Broadcom, which closed its VMware acquisition in November, told The Register in late December that effective February 5, 2024, Broadcom will be transitioning VMwares partner programs to the invitation-only Broadcom Advantage Partner Program. This signaled the end of VMware’s partnerships with solution providers, resellers, and distributors. But todays news reportedly reveals a final closure date for the cloud services provider partner program, which debuted in 2019.

Today, The Register reported that Broadcom recently shared an end-of-partnership date specifically for VMware cloud service provider partners, which work with VMware through the VMware Partner Connect Program that launched in 2020.

“Effective April 30, 2024, the ability to transact as a VMware Cloud Services Provider, under the VMware Partner Connect Program, will come to an end,” a notice sent to partners reads, per The Register. VMware customers under a wave of uncertainty

Broadcom hasnt detailed how it will determine who is invited to its partner program, leaving the possibility that thousands of cloud service providers, distributors, resellers, and other types of solution providers and their customers will soon lose access to VMware. In 2022, CRN reported that VMware had 28,000 partners.

CRN has reported that VMware partners are upset about the lack of clarity around getting into the Broadcom program and say that the confusion has left VMware users in the dark. Advertisement

Broadcom may be trying to save money by having a smaller channel to support. However, Broadcom has claimed that ending VMware partner programs will bring greater profitability opportunities to partners through simplified bundled offerings and more opportunities for service revenues.

Broadcoms lack of specificity has resulted in speculation about what it will take to continue to work with VMware. The Register noted unconfirmed fears that only 10 percent of the biggest VMware cloud service providers would be invited into Broadcom’s partner program. VMware has about 4,000 service provider partners, according to a January 4 report from CRN, which claimed that only 1015 percent of them are expected to get invites into the Broadcom program, citing an unnamed source.

By altering how VMware tech is purchased, long-term customers may be forced to change critical infrastructure or work with a new, potentially much bigger, provider than they’re used to. Theres a deeper concern that Broadcoms VMware won’t prioritize smaller customers during this evolution.

Meanwhile, VMware partners face potential upheaval in their businesses, too. Broadcom has reportedly seized control of an estimated 2,000 of VMware’s top accounts, barring other companies from making money off VMware’s biggest customers, per a CRN report Monday,

In the weeks since taking ownership, Broadcom, which spent $61 billion to buy VMware from Dell Technologies, has quickly changed the landscape for VMware’s users and partners, including engaging in job cuts. As promised, Broadcom is quickly moving VMware into a subscription-based business. It ended VMware perpetual license sales, challenging VMware users and partners, in December.

Companies with ties to VMware should be prepared for more changes and to consider how much they’re willing to pay to continue a relationship with Broadcom.

Broadcom didn’t respond to Ars Technica’s request for comment. reader comments 100 Scharon Harding Scharon is Ars Technicas Senior Product Reviewer writing news, reviews, and analysis on consumer technology, including laptops, mechanical keyboards, and monitors. Shes based in Brooklyn. Advertisement Channel Ars Technica ← Previous story Next story → Related Stories Today on Ars

Technology

CNBC Daily Open: The weight of Nvidia’s crown

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3 hours ago

November 26, 2025

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CNBC Daily Open: The weight of Nvidia's crown

Jensen Huang is interviewed by media during a reception for the 2025 Queen Elizabeth Prize for Engineering, at St James’ Palace November 5, 2025 in London, England, U.K.

Yui Mok | Getty Images Entertainment | Getty Images

Uneasy lies the head that wears the crown.

Shares of artificial intelligence czar Nvidia fell 2.6% on Tuesday as signs of unrest continued rippling through its kingdom.

Over the month, Nvidia has been contending with concerns over lofty valuations and an argument from the “The Big Short” investor Michael Burry that companies may be overestimating the lifespan of Nvidia’s chips. That accounting choice inflates profits, he alleged.

The pressure intensified last week in the form of a potential challenger to the crown. Google on Nov. 18 announced the release of its new AI model Gemini 3 — so far so good, given that Nvidia isn’t in the business of designing large language models — powered by its in-house AI chips — uh–oh.

And on Monday stateside, Meta, a potential kingmaker, appeared to signal that it is considering not just leasing Google’s custom AI chips, but also using them for its own data centers. It seemed like Nvidia felt the need to address some of those rumblings.

The chipmaker said on the social media platform X that its technology is more powerful and versatile than other types of AI chips, including the so-called ASIC chips, such as Google’s TPUs. Separately, Nvidia issued a private memo to Wall Street that disputed Burry’s allegations.

Power, whether in politics or semiconductors, requires a delicate balance.

Remaining silent may shroud those in power in a cloak of untouchability, projecting confidence in their authority — but also aloofness. Deigning to address unrest can soothe uncertainty, but also, paradoxically, signal insecurity.

For now, the crown is Nvidia’s to wear — and the weight of it is, too.

What you need to know today

The UK Autumn Budget 2025 is here. Britain prepares for a “smorgasbord” of tax hikes to be unveiled Wednesday. Follow CNBC’s coverage of the Budget throughout the day on our live blog here.

U.S. stocks advanced on Tuesday. Major indexes had their third straight winning session, erasing earlier intraday losses. Asia-Pacific markets rose Wednesday. Shares of Foxconn climbed more than 3% after the firm received approval for a contract amendment.

Meta is looking to use Google AI chips. That’s according to a Monday report by The Information. Nvidia on Tuesday wrote on X that its chips are “a generation ahead of the industry.” The chipmaker also sent analysts a memo on alleged bubble claims.

Taiwan President pledges $40 billion more for defense. Lai Ching-te, Taiwan’s leader, on Wednesday said the self-governing island will improve its self-defense capabilities in the face of “unprecedented military buildup” by China.

[PRO] What to watch as UK budget is unveiled. Strategists told CNBC they will be monitoring the budget’s effects on interest rates, economic growth and the British pound — and one “rabbit out of the hat” from U.K. Finance Minister Rachel Reeves.

And finally…

Lights on in skyscrapers and commercial buildings on the skyline of the City of London, UK, on Tuesday, Nov. 18, 2025. U.K. business chiefs urged Chancellor of the Exchequer Rachel Reeves to ease energy costs and avoid raising the tax burden on corporate Britain as she prepares this year’s budget.

Bloomberg | Bloomberg | Getty Images

The UK’s Autumn Budget is coming: Here’s what it could mean for your money

The run-up to this year’s U.K. Autumn Budget has been different from the norm because so many different tax proposals have been floated, flagged, leaked and retracted in the weeks and months leading up to Wednesday’s statement.

It has also made it harder to gauge what we’re actually going to get when Finance Minister Rachel Reeves finally unveils her spending and taxation plans for the year ahead.

— Holly Ellyatt

Technology

Uber rolls out driverless robotaxis in Abu Dhabi

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3 hours ago

November 26, 2025

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Uber rolls out driverless robotaxis in Abu Dhabi

Driverless WeRide robotaxis for Uber.

Courtesy: Uber

Uber on Wednesday rolled out fully driverless rides in its fourth market, launching the service in Abu Dhabi in partnership WeRide, a Chinese autonomous vehicle company.

The ride-hailing company said the launch in the United Arab Emirates capital represents the first driverless robotaxi service in the Middle East. In the U.S., Uber already offers robotaxi services in Austin, Phoenix and Atlanta through Alphabet’s Waymo.

Riders in Abu Dhabi can book a WeRide robotaxi when requesting an UberX or Uber Comfort ride, the ride-hailing company said.

WeRide, which is listed on the Nasdaq, formed its partnership with Uber in September 2024 and began offering autonomous rides with an operator on board in Abu Dhabi last December. Uber and WeRide also debuted robotaxi rides with a safety operator on board in Riyadh, Saudia Arabia, in October. In May, Uber said it plans to roll out the WeRide service to 15 more cities, including in Europe, over the next five years.

In recent years, Uber has bet big on autonomous vehicle technology through partnerships.

Uber started offering a robotaxi service in Austin and Atlanta earlier this year, and in Phoenix in late 2023. In July, the company landed a six-year robotaxi deal with electric vehicle maker Lucid and AV startup Nuro.

WeRide, meanwhile, has launched full driverless robotaxi services in China’s Beijing and Guangzhou, according to its website.

Uber has not said how it splits revenue from robotaxi rides with its partners.

Competitors have also readily adopted the technology, with Lyft announcing a deal with Waymo in September to launch robotaxis in Nashville next year.

Uber said the driverless vehicles in Abu Dhabi will operate in certain areas of Yas Island. Riders can boost their chance of a robotaxi drive by selecting the autonomous option. On-board support is available during the ride through the app and an in-vehicle tablet.

WATCH: WeRide CEO: We are using both Tesla and Waymo’s approach to scale robotaxi operations

WeRide CEO: We are using Tesla and Waymo's approach to scale robotaxi operations

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Uber launches true driverless robotaxi operations in the Middle East with WeRide [Video]

Published

3 hours ago

November 26, 2025

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Uber launches true driverless robotaxi operations in the Middle East with WeRide [Video]

Just over a year after Uber announced a strategic partnership in the Middle East with autonomous vehicle specialist WeRide, the companies have officially begun offering the public robotaxi rides without a driver or safety operator present on board.

Today’s latest milestone involving robotaxi operations in the Middle East dates back to September 2024, when Uber and WeRide initially announced a strategic partnership to bring autonomous rides to the UAE.

Three months later, the partner officially launched autonomous rides in Abu Dhabi, but with a safety operator present in the vehicle. At the time, Uber and WeRide said the supervised rides were “laying the groundwork” for a true driverless commercial operations planned for 2025.

That day has come.

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WeRide and Uber have confirmed that commercial robotaxi operations are officially underway in Abu Dhabi without any safety operators on board – a first for the Middle East.

Uber rolls out Middle East robotaxi operations in Abu Dhabi

Uber shared details of its latest milestone late this evening or in the afternoon in the Middle East, depending on where you are.

Beginning today (Wednesday) customers in Abu Dhabi can select an UberX or Uber Comfort ride that enables them to be matched with a fully autonomous WeRide robotaxi without a driver inside. Riders in the Middle East can also increase their chances of hailing one of these driverless rides by select the “Autonomous” option in the Uber app.

In order to qualify, the prosepctive rider’s route must be part of WeRide’s operating territory in Abu Dhabi and a dedicated WeRide GXR Robotaxi vehicle (seen in the featured image above) must be available.

Similar to Uber’s partnership with Waymo in Austin and Atlanta, the global rideshare network will oversee fleet operations for WeRide vehicles, handling end-to end rider support. It has tapped Tawasul Transport to facilitate vehicle cleaning, maintenance, inspections, charging, and depot management. WeRide will remain responsible for vehicle testing.

As you may recall last spring, Uber and WeRide announced an expansion to their strategic partnership beyond the Middle East (although Dubai will be the city for its next robotaxi rollout). Over the next five years, Uber and WeRide intend to deploy true driverless public rides in 15 additional cities, some of which will be in Europe.

As promised, here’s some b-roll footage from Uber showing how riders in Abu Dhabi can order a WeRide robotaxi:

Source: Uber