Broadcom continues to wage war on VMware customers, this time sending cease-and-desist letters to VMware perpetual licensees.

VMware used to offer a perpetual license, but Broadcom was quick to end the option after buying the virtualization company in late 2023. Since the acquisition, Broadcom has moved squeeze every last bit of profits out of VMware, raising some customers price by as much as 1,050%, and has faced lawsuits as a result.

In its latest move, Broadcom is now sending cease-and-desist letters to customers who are continuing to use unsupported versions of VMware. Many users took to Reddit to report their experience.

User HJForsythe got the discussion going in the SysAdmin subreddit.

This comes from one of my colleagues that is chronically offline but he informed me that his organization received a threat of audit from VMWare because they didn’t convert their perpetual licenses to subscription licenses. The wording was specifically related to questioning whether my colleague’s organization used “support services” after their support contract had expired or not. It was my understanding that it’s impossible to contact VMWare’s support if you don’t have a support contract or a subscription and that they are also making it impossible to update without a download token in a week or so.

Others were quick to confirm similar experiences, such as user seniorblink.

We let the first of a few VMware licenses expire (moving to Proxmox), and we got a nasty looking cease and desist letter from Broadcom, threatening an audit, etc. I had to notify legal and all that fun stuff. Thanks Broadcom. You continue to confirm we are making the right choice.

Ars Technica was able to get a copy of the letter, which is provided in full below.

Dear ___

The above referenced Order(s) between _____________ (“Customer”) and VMware LLC (as successor in interest to VMware, Inc. and hereinafter referred to as “VMware”) expired on or before __, 2025 (“Expiration Date”). Accordingly, Customer’s right to receive Support Services for the perpetual Software listed in the Order(s) expired on or before such date.

As no new order(s) for subscription licenses and support services has been executed between the parties, Support Services are no longer available for the perpetual Software listed in the Order(s) and such SOftware licenses deployed in your environment are running unsupported.

VMware, therefore, immediately demands that all use of Support Services associated with VMware Software, including Maintenance Releases/Updates, Minor Releases, Major Releases/Upgrades extensions, enhances, patches, bug fixes or security patches (with the exception of zero-day security patches for vSphere 7.x and 8.x, CVSS score greater than or equal to 9.0, so long as those are generally provided by VMware at no cost) be ceased.

The implementation of any of the aforementioned (excluding select zero-day patches as defined above) past the Expiration Date must be immediately removed/deinstalled. Any such use of Support past the Expiration Date constitutes a material breach of the Agreement with VMware and an infringement of VMware’s intellectual property rights, potentially resulting in claims for enhanced damages and attorneys’ fees.

Additionally, Customer must comply with any post-expiration reporting requirements related to the Order(s) and governing license agreement. Failure to comply with such requirements may result in a breach of the Agreement by Customer and VMware may exercise its right to audit Customer as well as any other available contractual or legal remedy.

If you have any questions, please contact your Broadcom/VMware Account Director or authorized reseller.

This communication shall not prejudice or waive any rights or remedies that Broadcom or VMware may have as respects the subject matter set forth herein, all of which are hereby expressly reserved.

Sincerely,

Mike Brown
Managing Director, Broadcom

Conclusion

Industry experts, employees, and customer raised numerous concerns about Broadcom acquiring VMware, concerns that continue to be proven true.

Broadcom’s strong-arm tactics are costing it partners and customers alike. The virtualization market has changed substantially in the years since VMware first burst onto the scene, with a wealth of open-source solutions now available, giving companies viable options that don’t involve 1,000% price hikes or cease-and-desist letters.