News, Trends, and Insights for IT & Managed Services Providers
News, Trends, and Insights for IT & Managed Services Providers
Business of Tech | Broadcom Counters AT&T’s Claims Over VMware Support Amid Shift to Subscription Model

Broadcom has countered AT&T’s legal claims regarding VMware support, asserting that AT&T opted out of support services despite prior warnings about licensing changes. Broadcom argues that AT&T is attempting to enforce outdated licensing terms while it has transitioned to a subscription model. The court has allowed Broadcom to extend support for AT&T’s VMware deployments until October 21, as AT&T faces rising costs and the need to adapt to new service models following Broadcom’s acquisition of VMware.

Why do we care?

Popcorn watching image goes here.   Broadcom’s response to AT&T’s legal claims reflects a broader tension in the IT industry as vendors push subscription models, often at the expense of customer goodwill. 

Position your MSP as a trusted advisor by providing services that help clients understand and negotiate vendor contracts, ensuring they are not locked into unfavorable terms.   You want to be on the side of the customer.   In cases where clients face significant cost increases or unfavorable terms, explore and present alternative solutions that could offer better value or lower costs, even if it involves transitioning away from incumbent vendors.     Be the protector of their revenue and their cash. 

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