Telefónica Germany announced it has moved its Broadcom-VMware support function to Spinnaker Support, a third-party provider. This decision follows a significant increase in fees to remain with VMware after Broadcom introduced a new subscription licensing model.
Spinnaker Support will now provide third-party software support for Telefónica Germany’s entire SDDC VMware environment for the next three years. Telefónica Germany had previously renewed its Oracle support contract with Spinnaker for three years.
This shift by a major telecommunications provider indicates potential customer dissatisfaction and challenges associated with Broadcom's new VMware licensing model. It could lead to a loss of direct support revenue for Broadcom and impact the perception of its software business.
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