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IT director warns of 241% jump in VMware licensing after Broadcom changes; migration would take months
Summary
Brown County IT director reported that Broadcom's new pricing for VMware licensing will raise the county's annual costs from about $5,000 to roughly $18,000 (241% increase); staff said moving to an alternative would require six to eight months and could cost well over $100,000 in staff time and implementation.
Eric, the county’s IT director, told the board that Broadcom’s pricing changes for VMware licensing will increase the county’s annual spend from approximately $5,000 to about $18,000 — a 241% increase — for effectively the same virtualization services. He said Broadcom delayed providing pricing until after the new year, and the county received a cease-and-desist-style notice from the vendor’s attorneys warning of legal action if the new price was not accepted.
Eric said there is no immediate drop-in alternative that can be implemented quickly: migrating to a competitor would require creating a mirrored virtual environment and is a 6–8 month project with nontrivial cost. He estimated that building a physical alternative would exceed $100,000 in one-time costs and argued the county should evaluate competing virtualization products and prepare for a multi-month migration if it chooses not to accept the vendor price increase.
Why it matters: The price increase is a single line item within the county’s overall budget, but a 241% variance merits scrutiny and possible council action. Eric said he will present detailed options and cost estimates to the county council and commissioners in coming weeks.
Commissioners and staff discussed next steps; they asked for a full proposal and cost estimates and noted the technical timeline and lead time required if the county decides to move off VMware.
