Source URL: https://www.theregister.com/2025/01/13/anexia_vmware_to_kvm_migration/
Source: Hacker News
Title: Euro-cloud provider Anexia moves 12,000 VMs off VMware to homebrew KVM platform
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**Summary:** Anexia, an Austrian cloud provider, has migrated 12,000 virtual machines (VMs) from VMware to an open-source KVM hypervisor platform due to significant licensing cost increases following Broadcom’s acquisition of VMware. The decision was driven by cash flow concerns and the need to maintain competitive service offerings.
**Detailed Description:**
– Anexia, a cloud service provider founded in 2006, has transitioned a substantial number of VMs to a KVM hypervisor because of a drastic increase in VMware licensing costs post-Broadcom’s acquisition.
– The CEO of Anexia, Alexander Windbichler, expressed that the new licensing terms imposed by Broadcom (minimum 500% increase and advance payment requirements) would have significantly strained their financial resources.
– Legal options were considered but deemed slow and costly, leading to the migration decision.
– Anexia’s existing infrastructure and its ownership of Netcup (another hosting business on a KVM platform) facilitated this migration, which involved adapting their “Anexia Engine” abstraction layer that hid VMware from customers.
– The KVM hypervisor’s compatibility with VMDK formats allowed for a smoother migration process.
– Customer buy-in was crucial, and a strategic presentation framed the move as a fight against Broadcom’s pricing strategy, garnering customer support.
– Anexia’s developer team created an automated migration tool that allowed customers to successfully migrate with minimal disruptions.
– The entire migration process was completed by May 2024, showcasing Anexia’s resource management capabilities during complex transitions.
– The shift away from VMware has improved Anexia’s financial stability, and the CEO anticipates that more companies will follow suit, citing a loss of trust in Broadcom.
– Windbichler also highlighted engagement with regulators and industry groups regarding Broadcom’s pricing practices.
**Key Points:**
– Migration of 12,000 VMs to KVM due to high VMware licensing costs.
– Financial implications of licensing changes led to strategic migration.
– Utilization of existing infrastructure (Netcup) aided the transition.
– Customer engagement and support were critical to the migration’s success.
– Positive financial outcomes expected post-migration.
– Potential shift in the industry as more companies reconsider VMware partnerships.
– Regulatory interest in Broadcom’s pricing practices illustrates broader implications for cloud service providers and competition in the technology sector.