8 min read 01 Sep 2025
How organizations can tackle Trade-offs needed by clients looking for VMware alternatives
The virtualization world is undergoing a seismic shift, thanks to Broadcom’s VMware acquisition and the resulting VMware cost increase. With VMware subscription cost increasing by up to 10x* for customers who are not using the full stack, many organizations are exploring alternatives such as AWS, Azure, IBM Cloud, GCP, OCI, or on-premises options like Nutanix, Red Hat OpenShift Virtualization.
But timing is everything—especially with looming renewal deadlines. Think of VMware migration like planning a cross-country move amid rising rent costs. If your lease ends tomorrow, you grab essentials and relocate quickly (lift and shift). With more time, you declutter, renovate, and optimize for the long haul (refactor).
In this blog, we will outline step-by-step approaches for different timelines of VMware subscription renewals. We’ll cover trade-offs, specific examples, and how DartIQ VeeMigrate—an AI-native, end-to-end platform—accelerates processes with up to 60% faster execution and up to 74% cheaper costs, delivering TCO savings VMware users look for.
One of the things we see is that few enterprises may still need part of their workloads on premises on VMware, due to considerations other than cost. The below provides a sample view of step-by-step approach and trade-offs. Your specific case will depend on your specific needs.
When renewal is imminent, prioritize speed over perfection to avoid locking into higher costs. The goal is immediate relief via lift and shift (Rehost) or minor adjustments (Replatform), ensuring business continuity.
Step-by-Step Approach:
Trade-Offs:
Situational Example:
A mid-sized retail MSP with 500 VMs faces a 3x VMware cost increase in 2 months. Their e-commerce platform can’t afford downtime. They can Rehost to Azure AVS (for example), migrating VMs intact.
Key trade-off is that they pay partial VMware licensing short-term but save some subscription cost because of the volume that Azure can bring vs. complete renewal. This allows them to buy time for full cloud-native shift.
With DartIQ VeeMigrate, even in <3 months, we enable Replatform options. Our AI provides VM-level R-factor recommendations (e.g., Replatform 80% of VMs to Azure VMs for up to 40% faster setup), automating landing zones in days to weeks. This pulls Replatforming forward, helping drive better ROI. Assessment will tell you if your environment is complex. What is complex? What trade-offs should I be prepared for? Take a look here
This window allows blending quick exit with targeted improvements, focusing on Rehost for critical workloads and Replatform for others.
Step-by-Step Approach:
Trade-Offs:
Situational Example:
A healthcare client with 400 VMs under GDPR compliance has 4 months left. Their patient database requires high IOPS. They Rehost prod VMs to Nutanix AHV for familiarity, then Replatform non-prod to Azure (for example) for scalability.
Nutanix preserves performance but requires few weeks of training. Azure could save you budget on storage but adds initial setup complexity. DartIQ VeeMigrate offers application or package-level R-factors (e.g., Replatform database VMs to Azure while Rehosting others) for you to take a quick decision. Read more here
With half a year, incorporate deeper changes like Replatforming most workloads and piloting Refactor (VM to containers) for select apps.
Step-by-Step Approach:
Trade-Offs:
Situational Example:
A manufacturing MSP with 500 VMs spread across datacenters has 8 months. Their ERP system needs low latency. They Replatform networking to AWS for a cost reduction, especially when they use Reserved Instances, then Refactor edge apps to containers on OpenShift.
Trade-offs include time to be spent for rule mapping and skill development on a new platform.
This timeframe supports ambitious transformations, emphasizing Replatform for efficiency and Refactor for modernization.
Step-by-Step Approach:
Trade-Offs:
Situational Example:
A financial firm with PCI-DSS needs and strong internal business controls has 18 months left to migrate 1000 VMs. They Replatform storage to IBM Cloud for compliance, then Refactor trading apps to Kubernetes without code tweaks.
Sample trade-offs may be a possible higher initial cost though IBM Cloud, but this meets your data residency needs. Refactoring scales apps but requires time validation.
Ample time enables complete optimization that includes Refactoring, including VM to containers, alongside Retain/Retire for legacy.
Step-by-Step Approach:
Trade-Offs:
Situational Example:
An enterprise with 1,000 VMs and 30 months plans a hybrid shift. They Refactor core apps to containers on Azure Kubernetes Service (AKS), retaining VMware for certified legacy systems.
Sample trade-offs include time needed for application testing. Hybrid footprint with partial workloads on VMware and the rest in Azure builds some complexity for management.
Ready to Accelerate Your VMware Migration?
Whether facing a time crunch or whether you are planning ahead, DartIQ VeeMigrate can help you to analyze best plan of action from the entire Datacenter level down to Wave/package level and even down to the individual VM level. This helps you to get tailored options, including specific trade-offs that need to be made, in order to hyper-automate your journey to the alternatives.
Practical Checklist Before Deciding on VMware Alternatives:
How long do you have left in your contract? Contact us today for a demo and start your journey to TCO savings you deserve. Talk to us
*Few customers saw a decrease or modest increase in VMware subscription cost at the time of their renewal.
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