End of perpetual licenses
Broadcom has ended sales of new perpetual licenses. Existing perpetual licenses can still be used, but once support ends the customer loses updates and technical support.
TCO analysis · July 2026
A business comparison: licensing costs and the return on switching
After acquiring VMware, Broadcom fundamentally changed its licensing
Broadcom has ended sales of new perpetual licenses. Existing perpetual licenses can still be used, but once support ends the customer loses updates and technical support.
The new model charges for every physical core, with a minimum of 16 cores per CPU and 72 cores per order.
The original perpetual editions were discontinued or replaced by subscription offerings. Smaller environments can still buy a vSphere Standard subscription, but it lacks vSAN and DRS; a hyper-converged cluster like our model one is therefore steered towards VVF or VCF.
2–5×
higher renewal quotes reported in licensing advisors' analyses for some VMware customers after moving to the new model
Source: licensing advisory analyses, 2025–2026
A typical production virtualization cluster of a mid-sized company
5
virtualization nodes
1 CPU socket per node
160
physical cores
32 cores per socket
1.28 TB
total RAM
256 GB per node
5 TB
usable storage
shared usable capacity (raw is higher, per redundancy)
~50
virtual servers
production workload
3
years – typical horizon
TCO computed for 1 / 3 / 5 years
Identical hardware in both scenarios – only software and support costs are compared.
What customers used to pay, what they pay today, and what Proxmox offers
Our cluster: ~€9,600 / year (SnS)
Our cluster: €26.6–48.9k / year
Our cluster: €1.9–5.5k / year
Model cluster (160 cores / 5 sockets), VMware prices per third-party market estimates, thousand EUR per year
k€ / year
5–9×
lower annual costs with Proxmox VE Premium compared to VMware VVF / VCF
* SnS = annual support for previously purchased perpetual licenses (Ent+ / vSAN Adv. / vCenter). FX: 1 USD = 0.874 EUR, 1 EUR = 24.27 CZK.
Price per CPU socket per year (excl. VAT) – the software is identical across all tiers
| Tier | € / socket / year | Cluster / year (5 sockets) | Tickets / year | Response time |
|---|---|---|---|---|
| Basic | €370 | €1,850 | 3 | 1 business day (Austria) |
| Standard | €550 | €2,750 | 10 | 4 hours on business days (Austria) + SSH support |
| Premium | €1,100 | €5,500 | unlimited | 2 hours on business days (Austria) + SSH support |
Swipe the table sideways →
Recommendation for production: Standard or Premium – access to the stable enterprise repository and guaranteed first-response times for critical requests (on Austrian business days).
Both solutions are hyper-converged (HCI) – disks live directly in the nodes, no external array
| Aspect | VMware vSAN | Proxmox Ceph |
|---|---|---|
| Licensing | Only partially included: VVF 0.25 TiB / core, VCF 1 TiB / core (raw capacity); beyond that ~$350 / TiB / year market estimate | Fully part of the solution, no capacity-based licensing |
| Our scenario (5 TB usable) | Covered by the entitlement – 5 TB usable ≈ 10–15 TiB raw at common redundancy, VVF includes 40 TiB raw calculated | Covered, €0 extra |
| Hardware | Certified vSAN ReadyNodes / HCL | Commodity servers and SSD/NVMe of your choice |
| Redundancy | RAID-1 / erasure coding (RAID-5/6) | 3× replication / erasure coding |
| Scaling and repairs | By adding nodes, managed by vCenter | By adding nodes / disks, self-healing |
Swipe the table sideways →
Other supported storage options: VMware – FC/iSCSI SAN, NFS, NVMe-oF (external array required). Proxmox – ZFS with replication, LVM-thin, NFS/iSCSI/FC SAN. An existing storage array can therefore also be used with Proxmox.
VMware prices per third-party market estimates (Broadcom publishes no public price list); Proxmox includes a one-time migration – an indicative €20,000 (services and training)
| 1 year | 3 years | 5 years | 5 years (CZK) | |
|---|---|---|---|---|
| VMware VVF | ~€26.6k | ~€79.7k | ~€132.8k | ~CZK 3.2M |
| VMware VCF | ~€48.9k | ~€146.8k | ~€244.7k | ~CZK 5.9M |
| Proxmox Premium(incl. migration) | ~€25.5k | ~€36.5k | ~€47.5k | ~CZK 1.2M |
| Proxmox Standard(incl. migration) | ~€22.8k | ~€28.3k | ~€33.8k | ~CZK 0.8M |
| Proxmox Basic(incl. migration) | ~€21.9k | ~€25.6k | ~€29.3k | ~CZK 0.7M |
Swipe the table sideways →
5-year total-cost difference depending on the chosen support tier: roughly €85–105k vs. VVF (~CZK 2.1–2.5M) and €195–215k vs. VCF (~CZK 4.8–5.2M).
Table values are rounded – the inputs are estimates, so euro-level precision would be misleading. Detailed calculation for your own environment:TCO calculator
Cumulative costs in thousand EUR (Proxmox includes the migration in year 1)
| k€ | start | year 1 | year 2 | year 3 | year 4 | year 5 |
|---|---|---|---|---|---|---|
| VMware VCF | 0 | 48.9 | 97.9 | 146.8 | 195.8 | 244.7 |
| VMware VVF | 0 | 26.6 | 53.1 | 79.7 | 106.3 | 132.9 |
| Proxmox Premium | 0 | 25.5 | 31 | 36.5 | 42 | 47.5 |
| Proxmox Standard | 0 | 22.8 | 25.5 | 28.3 | 31 | 33.8 |
| Proxmox Basic | 0 | 21.9 | 23.7 | 25.6 | 27.4 | 29.3 |
A VMware subscription is a recurring annual operating cost; the Proxmox migration cost is incurred once, up front.
Indicative one-time investment of €20,000 (analysis, cluster build, moving 50 VMs, training) – the exact price comes from a quote
~10–12 months
payback vs. VMware VVF (depending on the Basic–Premium support tier)
calculated
~6 months
payback vs. VMware VCF (depending on the Basic–Premium support tier)
calculated
~CZK 2.1–5.2M
saved over 5 years depending on the support tier and VMware variant
calculated
The annual subscription savings pay back the one-time migration cost in roughly 6–12 months; every following year of operation is pure savings. A negotiated VMware discount extends the payback – yet even with a 40% discount off VVF it stays under 2 years.
Both platforms cover the key enterprise features
| Feature | VMware vSphere / VCF | Proxmox VE |
|---|---|---|
| High availability (HA) and live VM migration | ||
| Software-defined storage | vSAN (capacity-based licensing) | Ceph, ZFS – included |
| Software-defined networking (SDN) | NSX (VCF only) | SDN module included |
| Containers | Tanzu / vSphere IaaS | LXC natively + VMs for Kubernetes |
| Backup | 3rd party (Veeam etc.) | Built-in backup + Proxmox Backup Server (separate product, support sold separately); Veeam supports PVE (own licensing) |
| Central multi-cluster management | vCenter (bundled) | Datacenter Manager (free) |
| API and automation (Ansible, Terraform) | ||
| Source code and independence | Proprietary | Open source (AGPL) – lower single-vendor dependence |
Swipe the table sideways →
In the model scenario (~50 VMs on 5 nodes), the assessed requirements appear technically achievable with Proxmox VE, subject to a pilot and validation of specific integrations.
Openly: what needs to be handled so the migration has no impact on operations
Administrator training is part of the migration budget; the concepts (HA, live migration, snapshots) are similar and day-to-day administration happens in a single web UI.
Veeam officially supports Proxmox VE (since v12.2) and Zabbix provides an official template; for Ansible and Terraform there are actively developed community integrations. Specific integrations are verified during the pilot.
A subscription with guaranteed first-response times – from 2 hours for critical requests during Austrian business days – directly from the vendor + a network of local partners for 24/7 monitoring.
Built-in import from ESXi; smaller VMs see downtime in the range of minutes, large disks or complex systems take longer – the pilot determines the exact figures. The procedure includes a rollback plan, with VMware running in parallel until the end.
Applications certified only for vSphere, deep existing integrations and automation, team know-how tied to VMware, or a requirement for global-scale support. These are exactly the points the initial analysis and pilot examine.
A gradual transition without big-bang risk – VMware runs in parallel until the very end
VM inventory, dependencies, cluster and Ceph design, migration plan
Proxmox cluster build, test migration of selected VMs, backups, monitoring
Gradual migration of ~50 VMs in waves; the pilot validates per-VM downtime (typically minutes for smaller VMs)
Monitoring, training, switching VMware off and ending the VMware subscription costs
Ideal timing: 3–6 months before your current VMware support / subscription expires.
on annual virtualization software costs compared to current VMware prices
the one-time migration investment pays for itself within a year, even against the cheapest VMware option
HA, live migration, shared storage (Ceph), backups and support with guaranteed first-response times are all available after the switch
Request a current renewal quote from Broadcom (real numbers instead of estimates).
Calculate your own scenario in the TCO calculator.
Approve a Proxmox VE pilot (3 nodes, test VMs, 1 month).
official price listofficial price list · continuously updated · verified 07/2026
official price listofficial Broadcom KB · continuously updated · verified 07/2026
market estimatethird-party market estimate · 2026 · verified 07/2026
market estimatethird-party market estimate · updated Jun 2026 · verified 07/2026
official price listofficial documentation · GA Aug 2024 · verified 07/2026
official price listofficial documentation · updated May 2026 · verified 07/2026
official price listofficial FX rates · daily rates · verified 07/2026
How figures on this page are labelled:official price listmarket estimatemodel assumptioncalculatedestimate – validate in pilot