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VMware Cost Increases: What You Need to Know

Written by Victoria Wurzel | Aug 14, 2025 5:42:26 PM

What Has Changed with VMware Pricing?

In November 2023, Broadcom acquired VMware, and since then, the company has implemented major changes to VMWare services and pricing. Customers report price increases of 500-600% last year. In addition, many of special VMWare programs have been canceled, including the VMware Academic Software Licensing Program and the VMware IT Academy.

These changes have many companies and institutions rethinking their virtualization strategies. More than half of current customers are considering leaving the platform.

At AJ Boggs, we help organizations transition from VMware to cost-effective cloud hosting quickly, securely, and without disruption or downtime.

How Do These Changes Affect Higher Education?

Before the acquisition, VMware offered discounted licenses to educational institutions. That discount is now gone and colleges are subject to standard, more expensive commercial pricing.

Institutions are also facing increased costs from VMware’s shift to subscription-based licensing. Many colleges and universities face dramatic price increases, with some renewals costing several times more than their previous perpetual licenses. These changes mean reduced budgets for academic IT projects and uncertainty for long-term planning.

What Should You Do?

The best time to plan a migration from VMware is before your next renewal cycle. Waiting risks:

  • Further price hikes
  • Shortened timelines for transition
  • Greater risk of downtime if forced into a rushed migration

By planning early, you can ensure a smooth, low risk move with lower long-term costs.

AJ Boggs Helps You Manage the Transition

We understand the unique needs of virtualization platforms and can streamline your systems to ensure a secure hosting solutions that is sustainable. What advantages do AJ Boggs offer?

  • Cost savings: Budget-friendly pricing up to 70% lower than VMware licensing renewals
  • Compliance: HIPAA, FERPA, SOC 2, PCI-DSS, and GDPR
  • Security: 24/7 monitoring, automated backups, and disaster recovery.
  • Tailored hosting: Direct access to our experts who will guide your migration every step of the way

VMware’s software licensing changes are more than inconvenient, they are an opportunity to adopt a hosting solution that’s more cost-effective, compliant, and reliable. AJ Boggs is ready to help you navigate this transition smoothly.

Ready to learn more?

Schedule a free discovery call with our dedicated migration experts today and see how much we can help you save.

Or contact us here:  https://www.ajboggs.com/contactus