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So Broadcom is basically just milking VMware until it completely dies? I guess you should always consider the risk of a company buying a product you use and the
by difosfor 2y ago
So Broadcom is basically just milking VMware until it completely dies? I guess you should always consider the risk of a company buying a product you use and then doing this
- fragmede 2y agoYeah but how does it make any business sense for Broadcom to be doing this? They could have raised prices 100% and fewer people would flee and they'd make more money overall. 1,000% price raises are just plain extortion.
- RedShift1 2y agoBuy, extract as much money as possible, then dump the carcass. I'm sure they did the math on this.
- Y_Y 2y agoThis is the classic "golden goose" strategy. Why wait around all week for steady returns when you can just rip the thing open and see what you can get for the internal organs.
- ChrisRR 2y agoWhenever companies make moves that people don't like, the comments go on as if they haven't thought any of it through They knew they would lose customers, they've factored that into their business plan
- ar_lan 2y agoConsidering half the comments are “Proxmox” and “Virtualbox/Parallels” are so much better anyway, I’m guessing most commenters in here are extremely naive and not aware of the IT landscape.
- ChrisRR 2y agoThe issues of large scale infrastructure are so different to running a glorified NAS at home
- 486sx33 2y agoRaise prices. Layoff staff. Less support. = more cash flow (Short term). In order to sell?, spinoff?, or use the cash to finance something else?
- perlgeek 2y agoIf the action of a company doesn't seem to make sense, ask yourself: could you imagine an incentive structure within the company that could lead to such actions?
- Ekaros 2y agoMathematically if they can extract say 1.5 times the money they used to buy something in 3 years. It is a good deal for them. And even better if they can extract more money beyond those 3 years and then sell what is still left to reclaiming bit more money. Making 15% a year on investment and it fully paying back is not bad move.
- Hilift 2y agoVMWare has been dying a death of 1000 cuts for years. It's been passed around to now the third owner. They created an entire market and have been watching it erode away.
- RedShift1 2y agoVMware has been increasing revenue year after year [1]. That seems quite the opposite of dying? [1] https://www.netcials.com/financial-revenue-history-usa/1124610-VMWARE-INC/ https://www.netcials.com/financial-revenue-history-usa/11246...
- teitoklien 2y agonot if it keeps losing market share.
- HPsquared 2y agoA rising tide makes the pie bigger. Something like that.