Is Your Organization Making Smart Decisions About Your Future with VMware?

The VMware changes in 2024 impacted organizations around the world, from small operations to enterprises. Some companies jumped off VMware immediately. Some stayed and have endured higher costs. But a few companies took a strategic approach that included everything from carefully considering if they were going to stay on VMware or migrate to an alternative cloud option.

Major shifts in the delivery of well-established technologies can be disruptive to some organizations, while others see them as opportunities to refine their strategy and drive innovation. How organizations respond can determine whether they face higher costs and operational disruptions or unlock new efficiencies and competitive advantages.

At Rackspace Technology®, we see opportunities in VMware’s changes. The best way to leverage the possibilities is to start with getting clear on where you are today and what you need to support your future business goals. To that end, we identified six critical decisions organizations using VMware should address to optimize their path forward.

This article provides highlights of the framework’s six decisions. Our new white paper delivers a deep dive on our six-step decision framework and provides expert recommendations throughout the process: The Path to a Future with VMware: A Decision Framework.

Decision 1: Are you going to stay on VMware or consider other options?

With the announcement of VMware’s changes, some organizations’ knee-jerk reaction was to leave the platform. But was that decision the right one? Before making a major change in any platform, organizations should consider critical questions, such as:

• What weaknesses do we need our processes and technologies to address?
• What tools do we use that are critical to our success?
• Would a hybrid or open-source virtualization solution better meet our needs?

Decision 2: Which tools and capabilities will you need to support an ongoing commitment to VMware?

A major technology change in the marketplace is an ideal time to consider your options. You may have become complacent with your current solutions and stopped reviewing the marketplace for alternatives that are perhaps a better fit for what your business needs today. VMware’s changes are a great time to consider these alternatives:

• VMware Cloud Foundation (VCF): A private cloud infrastructure platform for on-premises data centers, combining compute (vSphere), storage (vSAN), network virtualization (NSX) and cloud management (vRealize Suite).
• VMware vSphere Foundation (VVF): A simplified workload platform designed for small- to mid-sized organizations that require essential virtualization capabilities without the complexity of a full cloud stack. 
• VMware vSphere+: A multicloud workload platform that transforms on-premises deployments into a cloud-connected architecture, offering access to VMware Cloud services without a full migration.

Decision 3: How will you offset VMware’s potentially higher costs?

Are the higher costs associated with VMware now a burden on your organization? There are several ways to offset VMware’s potentially higher costs. Consider cost-saving opportunities, such as:

• Moving to hybrid licensing
• Migrating your workloads
• Leveraging existing resources
• Using cost estimation tools

Decision 4: Do you want to change your VMware commitment strategy?

Some companies already have a hybrid cloud strategy and may want to move VMware workloads to other platforms to reduce their dependence on VMware and gain more flexibility. But this move should be done thoughtfully to reduce costs and optimize resources. Decision options could include:

• Retain mission-critical workloads on-premises with VCF while shifting non-essential applications to a public cloud.
• Use vSphere+ or VCF for core e-commerce functions, shifting less critical workloads to the cloud on a seasonal basis.
• Focus on cloud-native innovation, retaining core production workloads on vSphere+ while using a flexible solution for scaling on AI and machine learning models.

Decision 5: How will you estimate your use demands and structure your environment to avoid an overcommitment to VMware licenses?

Although VMware’s new subscription models offer more flexibility, many organizations are finding that they can also result in higher long-term costs. What’s more, going forward, VMware purchases may be defined by core count, protected VMs and/or timelines. Examples of strategies to lower your costs and your VMware commitment include:

• Avoid overprovisioning and maintain flexibility in workload management by rightsizing core and protected virtual machine (VM) allocation for critical applications.
• Scale cores and protected VMs during peak seasons, taking full advantage of solutions that deliver flexibility.
• Start with minimal core counts and expand them as your AI and machine learning workloads increase.

Decision 6: How will you map your migration or hybrid integration timeline and identify expertise gaps?

Your final decision is determining how to map the migration or hybrid integration strategy you have determined is best for your organization’s future cloud demands. Your options could include:

• Design a 12- to 24-month roadmap for gradual migration to hybrid environments.
• Set a timeline of three to six months for scaling up during peak periods.
• Employ a one- to three-month deployment cycle to scale dynamically as needed.

With so many changes still unfolding, it’s more important now than ever to partner with experts who not only understand the technology, but who also have a direct line to Broadcom and the latest updates.

At Rackspace, we help organizations navigate this landscape with confidence and expertise. We can advise you on the right decisions for your business today and also help you establish a strong foundation for long-term success.

Explore our decision framework — discover how we can help you move forward: The Path to a Future with VMware: A Decision Framework.