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Broadcom's bold VMware strategy pays off financially, but customers are unhappy with price hikes
A key driver of this growth is the integration of VMware into Broadcom's infrastructure software business unit, which posted revenue of $6.7 billion in Q1 2025 –...
Bottom line: Broadcom's acquisition of VMware has yielded impressive financial results, according to the company's recent quarterly earnings report. This sharp revenue growth is largely attributed to Broadcom's strategy of bundling VMware products into higher-priced subscription packages rather than selling them as standalone licenses. While Broadcom's financial results suggest its strategy has effectively driven revenue growth, the long-term implications remain uncertain, as concerns persist about potential customer migrations away from VMware.
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