Broadcom ends business with VMware’s lowest-tier channel partners
- Broadcom is streamlining its VMware partner program, a move that could impact smaller resellers and prompt some customers to seek alternative solutions.
- Brian Moats, a Broadcom executive, announced the change in a blog post, stating that the program would now consist of three tiers: Pinnacle, Premier, and Select.
- Broadcom maintains that the majority of its buisness comes from partners in the top three tiers.
Broadcom Streamlines VMware Partner Program, sparks Concerns
Updated June 3, 2025
Broadcom is streamlining its VMware partner program, a move that could impact smaller resellers and prompt some customers to seek alternative solutions. The enterprise technology firm has reduced the number of tiers in its Broadcom Advantage Partner Program for VMware Resellers, focusing on partners with larger VMware deployments. This shift, though, raises concerns about support for smaller customers and potential migrations away from VMware.
Brian Moats, a Broadcom executive, announced the change in a blog post, stating that the program would now consist of three tiers: Pinnacle, Premier, and Select. The Registered tier has been eliminated. According to Laura Falko, Broadcom’s head of global partner programs, marketing, and experiance, affected partners received 60 days’ notice of the change, wich impacts the Americas, Asia-Pacific, and Japan.
Broadcom maintains that the majority of its buisness comes from partners in the top three tiers. Falko told The Register that many of the removed partners were ”inactive” and lacked the capabilities to adequately support customers navigating VMware’s private cloud evolution. When asked for specifics, Broadcom directed inquiries back to Moats’ blog post.
The move has already affected some partners. Members IT Group, a Canadian managed services provider (MSP) and long-time VMware partner program participant, learned it would no longer be a VMware reseller. Dean Colpitts, CTO, noted that his firm has been a VMware partner for over 19 years and has seen its VMware business decline since Broadcom’s acquisition.
The only reason we were “inactive” is because of their own stupid greed. We and our customers would have happily continued along even with a 10 or 20 percent increase in price. 50 percent and more with zero warning last year after customers already had their FY24 budgets sets was the straw that broke the camel’s back …
We have transacted a couple of deals with [VMware] since the program change, but nothing like we previously would have done before Broadcom took over.
Members IT Group is now transitioning its client base to Hewlett Packard Enterprise’s VM Essentials virtualization solution.
What’s next
The long-term effects of Broadcom’s partner program changes remain to be seen. The company’s focus on larger deployments could streamline operations, but it also risks alienating smaller customers and driving them toward competing virtualization platforms. The industry will be watching to see how these changes impact VMware’s market share and customer satisfaction.
