A Simplified Route and a Simplified Solution
Earlier this week, Broadcom’s President and CEO Hock Tan and Vice President of Global Partner and Commercial Sales Cindy Loyd each shared their perspectives on the progress we’re making with VMware’s modernized product offerings and our different routes to market, and one theme stands out: Simplification. In the case of our product offerings, we took roughly 8,000 disparate and confusing SKUs and modernized and simplified them into four core offerings. And with our routes to market, we have created three fundamental paths that are more efficient and consistent.
One of those routes is meant for customers big and small who want to run their applications on a virtual private cloud, but don’t want to own infrastructure on their premises. We offer them a way to run those applications on our VMware Cloud Foundation (VCF) solution through a network of managed or VMware cloud service providers (CSPs). By creating this simplified CSP route to market, we are offering customers a model that is an alternative to a public cloud.
Of course, for our existing base of CSP partners and customers, the journey to simplified routes and solutions may raise questions, which is why we are committed to providing as much information as possible and answering questions as they arise. Resetting the go-to-market model meant having to hit pause as we moved to a simplified solution, but we are doing so without changing any partner’s opportunity to continue to be a CSP. Transitioning to a new partner program has to be done in a way that makes sense and is focused on creating a simplified, single seamless cloud experience, while facilitating hybrid cloud opportunities through license portability.
Yes, this CSP transition will take some time, and because of that, we have facilitated the transition by being flexible on terms and conditions. The dialogue and collaboration also have been productive – for us at Broadcom, our provider partners, and their end-customers. We are seeing growing momentum with provider partners around the globe, which will provide greater choice for customers as they consider options for private, public, and sovereign clouds.
How Are We Getting There
Think of the CSP route to market as the Broadcom Advantage Partnership Program operating as a three-lane highway, with each lane a path to a managed cloud solution for our customers:
- Pinnacle Partners: Addressing the needs of customers that require deep technological knowledge and proficiency, and broad national or global reach.
- Premier Partners: Addressing the needs of customers that have national or regional footprints and require competencies and technical validations specific to a geographic market.
- Registered Partners: Registered partners that also meet the requirements for the Broadcom Advantage Partner Program and work through either Pinnacle, Premier, Cloud Commerce Manager (CCM) partners to procure and offer VCF to their end-customers.
To make this simplified three-lane CSP highway work effectively, we offer streamlined administrative and operational support, so that our Pinnacle and Premier partners can keep their eyes on the road and create value for their customers. That’s why we created VMware CCM to perform those essential functions, whether its order submissions and monthly billing for Pinnacle and Premier partners, or VCF adoption guidance for Premier partners.
Updates in the Routes for Small CSPs
We recently announced updates to the VMware Cloud Service Provider (VCSP) program for our smallest CSPs, with several important changes that include:
- Expanded access for existing Registered Tier partners so that all existing VMware partners under the former program could apply for the VCSP Advantage Program Premier Tier.
- Registered Advantage Program Partners can apply for White Label offerings from Pinnacle and Premier Tier Service Providers in case they do not want to join the Premier Tier.
- Those who were in the previous VMware Cloud Provider Program and do not want to join the VCSP Program (under any tier) can exit the VCSP program and will have service continuity through April 2025.
Sovereign Cloud - Simplified
Our transition to a simplified, single seamless cloud experience that facilitates hybrid cloud through license portability comes at a time when the demand and competition for sovereign cloud services are on the rise. This trend is gaining momentum as organizations and governments embrace the importance of data as a strategic asset and see a clear difference in providers being able to deliver sovereign cloud services. Our partners’ sovereign cloud offerings provide:
- Flexible deployment options, including dedicated, shared, or managed VCF environments.
- Assurance that data and metadata are safeguarded within a sovereign jurisdiction, operated locally, and in strict adherence to local laws, ensuring optimal data security and privacy.
- A foundation designed for privacy, control, compliance, and future innovation that covers essential use cases, such as Sovereign AI.
Our sovereign partners must meet the highest security and operational standards due to increased competition and critical sovereign requirements. All data, including metadata and backups, are managed, stored, and processed within a locally-built, Sovereign 10-point attested platform that aligns with the EU General Data Protection Regulation and regional national security standards.
Growth in VCSP Partnerships Globally
There is no greater demonstration of the value customers see in simplified products and routes to market than the partnerships that are generated as a result. The numbers speak for themselves:
- Since we launched VCSP in February, more than 90 Pinnacle VCSPs have already committed to the new Advantage Program Pinnacle tier and aligned on the new commercial model. Our newest Europe-based VCSP Pinnacle Partners, including Redcentric and Telia are poised to provide tremendous value to their end customers in Europe, including the potential of sovereign cloud capabilities that will be enhanced thanks to a seamless VCF software solution and license portability.
- More than 19 VCSPs in EMEA are Sovereign Cloud-attested partners, including 15 in Europe. These partners are experts not only in crafting bespoke solutions and managing complex environments but also in delivering sovereign cloud services that meet the stringent requirements of today's data-driven world.
- More than 390 Premier VCSPs have already committed to the CSP Program.
- More than 2100 Registered VCSPs have signed up for White Label model from a Pinnacle or Premier VCSP, or from a Cloud Commerce Manager (CCM).
- Eleven Cloud Commerce Managers (CCMs) have committed to the CSP Program to deliver services to Pinnacle, Premier, and White Label CSPs.
I encourage all of our partners to continue to visit the VCSP section of the Broadcom Partner Portal to learn more about these and other important updates and their associated requirements. Together, through this simplified partnering approach, we will provide greater customer choice as they consider options and requirements for private, public, and sovereign clouds.
*Updated June 14, 2020