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Supermarket giant Tesco sues VMware for breach of contract (2025)
11–20 of 44 posts
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#12[flagged]
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#13They're not the only ones pissed off with VMWare [1]. What I don't understand is what prevents them to shop around for alternatives. What is VMWare's very good moat that prevents the competition from invading their castle? https://www.theregister.com/software/2026/03/24/half-of-vmwa...
1. Tesco is migrating off
2. Tesco had a good deal they paid for ahead of time, with the full support cycle detailed in the contract that Broadcom is refusing to honor.
3. Broadcom is arguing that since Tesco is migrating off, they can't sue for damages. Tesco would probably counter argue that the migration is due to Broadcom not honoring the original contract.
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#14They're not the only ones pissed off with VMWare [1]. What I don't understand is what prevents them to shop around for alternatives. What is VMWare's very good moat that prevents the competition from invading their castle? https://www.theregister.com/software/2026/03/24/half-of-vmwa...
Big ships turn slowly is all. It’s no easy feat to move away from something like that.
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#15Having VMware in 2026 is a sign of low tech.
Comments like this are a sign of someone living in a bubble.
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#16[flagged]
There is always some dependency which would be devastating to lose. Maybe it is VMWare, maybe it is your Oracle database, could be your Visa payment processor. Sometimes you have to accept the risk and move on without owning a copper mine so as to smelt chips.
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#17They're not the only ones pissed off with VMWare [1]. What I don't understand is what prevents them to shop around for alternatives. What is VMWare's very good moat that prevents the competition from invading their castle? https://www.theregister.com/software/2026/03/24/half-of-vmwa...
because there are no real alternatives. Everything that could be considered an alternative has drawbacks or things that are missing. Proxmox comes close but doesn't offer proper enterprise support contracts, so you'd be stuck with a 3rd party.
Then there's training. you can't easily switch your admins and service desk techs to a different product. That alone takes months, of not years, and costs a lot. Rewrite all processes, etc.
Then there's 3rd party integration. Since VMware was basically the "default", most 3rd party products offered turnkey integration into VMware, and VMware only. Think backup applications or security etc. You don't switch backup vendors easily (for the same reasons - training, features, ...) and if you do consider it, it adds to the cost
This is why, for many companies that don't have 50-100 people or more in their IT department, it's more expensive to switch away from VMware so they grudgingly pay, while trying to move as much workload away from it as possible.
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#18VMware really damaged their business longterm, as anyone that can transition off, is doing so, and anyone else is planning on it.
Broadcom doesn't care. They just want to milk VMware for all it's worth to goose their short-term profits.
Yeah this was clearly willingly and knowingly done.
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#19Negotiating tactic. Never really makes it to court.
I do suspect they'll settle but I doubt it will result in a new contract. They've already made significant investments migrating off VMWare and none of those will snap back with a new contract. Tesco was also cut off from updates and support, and so had to purchase 3rd party support, so they have real damages.
Re: Supermarket giant Tesco sues VMware for breach of contract (2025)
#20Earlier quoted context omitted.
Broadcom doesn't care. They just want to milk VMware for all it's worth to goose their short-term profits.
Yeah this was clearly willingly and knowingly done.
They did the same rugpull to PLX customers. This is Broadcoms business model. Never ever do business with Broadcom.