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We recently passed the 100-day mark since VMware joined Broadcom. While much work remains, we’ve made substantial progress as we build the world’s leading infrastructure technology company.

In the 18-month process of evaluating and acquiring VMware, we looked at everything to identify what’s needed to create more value for our customers. We’ve acted decisively to increase customer value since we closed the acquisition in late November.

We overhauled our software portfolio, our go-to-market approach and the overall organizational structure. We’ve changed how and through whom we will sell our software. And we’ve completed the software business-model transition that began to accelerate in 2019, from selling perpetual software to subscription licensing only – the industry standard.

Of course, we recognize that this level of change has understandably created some unease among our customers and partners. But all of these moves have been with the goals of innovating faster, meeting our customers’ needs more effectively, and making it easier to do business with us. We also expect these changes to provide greater profitability and improved market opportunities for our partners.

Beyond our commitment to simplification across the organization and portfolio, and to making our products easier to buy, deploy, and use, we’ve committed $1 billion to invest in innovation.

VMware Cloud Foundation – A Platform for Agility, Innovation, and Resiliency

Like Broadcom, VMware has a remarkable history of innovation. Many major brands and Fortune 500 companies run their mission-critical workloads on VMware software. What Broadcom has brought to the table is a renewed sense of focus.

When I spoke to CIOs, CTOs, our partners and influencers over the past 20 months, three themes consistently emerged:

Technology complexity is slowing organizations down, in an era in which speed is critical to win;

There’s a need to simplify IT to support this increased business velocity and provide the flexibility needed to respond quickly to market changes; and

Resilience and security are paramount, along with attracting and retaining developers.

VMware Cloud Foundation, or VCF, is our platform for innovation going forward. It’s the solution that will help us address the business outcomes our customers have expressed to me directly as their most critical priorities.

VCF is a completely modernized platform for cloud infrastructure. It’s fully software-defined compute, networking, storage and management – all in one product with automated and simplified operations. It’s more fully integrated, so our customers can reap the full value from our technology.

With VCF, our customers will achieve a highly efficient cloud operating model that combines public cloud scale and agility with private cloud security and resiliency. And we believe it delivers this at a lower cost of ownership for the average enterprise customer, compared with the ever-increasing cost of a public cloud. To allow more customers to benefit from VCF, we’ve cut the previous subscription list price by half and increased support service levels.

VCF also makes life easier for developers by offering a self-service, private cloud experience, which enables greater productivity.

In short, it allows you to be your own cloud provider.

Three distinct product portfolios add value to our VCF platform and make it competitive with current public cloud offerings: Tanzu accelerates application development, delivery and management of workloads on containers; Application Networking and Security brings distributed firewall and threat intelligence, and load balancing into this infrastructure; and Software-Defined Edge extends the public cloud to the edge.

I’ve recently been on the road meeting with customers to explain our strategy and the virtues of VCF. For more details, including an update on innovations we’re working on and how our pricing strategy will benefit customers and partners, check out this recent post from VMware’s Prashanth Shenoy.

The first 100 days were a strong start for VMware as part of Broadcom. Please stay tuned. There’s much more to come.

About Hock Tan:

Broadcom

Hock Tan is Broadcom President, Chief Executive Officer and Director. He has held this position since March 2006. From September 2005 to January 2008, he served as chairman of the board of Integrated Device Technology. Prior to becoming chairman of IDT, Mr. Tan was the President and Chief Executive Officer of Integrated Circuit Systems from June 1999 to September 2005. Prior to ICS, Mr. Tan was Vice President of Finance with Commodore International from 1992 to 1994, and previously held senior management positions with PepsiCo and General Motors. Mr. Tan served as managing director of Pacven Investment, a venture capital fund in Singapore from 1988 to 1992, and served as managing director for Hume Industries in Malaysia from 1983 to 1988.

Cloud Computing

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By Hock Tan, Broadcom President & CEO

The trend towards sovereign clouds has been one of the central topics that customers, particularly in Europe, have raised since we announced the Broadcom-VMware transaction. They want to know what role a combined Broadcom-VMware would play as governments increasingly recognize the power of data – economically, politically, and geo-politically – to drive local, national, and even multi-national economic development. In short, Broadcom sees cloud sovereignty as extremely important to the future of data management, and we see VMware, with its multi-cloud strategy and offerings, as being a key enabler in the adoption of sovereign clouds.

A sovereign cloud is essentially a cloud computing architecture for a suite of digital services built specifically around a common set of national or multinational standards. Adhering to these standards provides cloud providers with an open architecture to give their customers greater interoperability and, more importantly, greater control over their data.

The shift to sovereign clouds has been driven by rapidly expanding requirements from governments and businesses alike to enhance data privacy, cybersecurity, and broader economic development. More than 70% of large organizations surveyed last year, by the Capgemini Research Institute, said they planned to adopt cloud sovereignty, both to protect customer data and ensure compliance with new national data protection and localization rules. Those rules are proliferating quickly. The Information Technology and Innovation Foundation found that the number of laws, regulations and government policies requiring digital information to be stored in a specific country more than doubled globally over the most recent four-year period.

Gaia-X, for example, is a sovereign cloud architecture led by France and Germany driven by customer data sovereignty under a framework that delivers Europe’s digital transformation. Frameworks like Gaia-X have promoted many European industry leaders — from OVHcloud to Deutsche Telekom –to incorporate sovereign clouds as part of their overall IT infrastructure. The EU Cloud Certification Scheme (EUCS) is another effort to develop a single cloud security certification set of requirements at EU-wide level.

However, sovereign clouds are but one piece of a data management puzzle that is highly complex and continues to evolve. As a trusted partner, Broadcom must anticipate this evolution for our customers and then innovate to meet the challenges we see ahead. We feel strongly that our acquisition of VMware will accelerate this innovation, particularly in multi-cloud, where VMware already has leading solutions.

I’ve said before that multi-cloud is the future of enterprise IT. A multi-cloud approach enables the flexibility to manage and protect data across different environments – private, public, or sovereign – at will. And when integrated with sovereign cloud, multi-cloud enables customers to deliver differentiated services at scale while remaining secure and in compliance with regulatory frameworks. Maintaining this choice, control, and agility is both crucial for growth and a daunting task for enterprises globally.

Following the close of Broadcom’s acquisition of VMware, we will have a complementary portfolio that provides our customers – such as governments and critical infrastructure operators, including banks and healthcare operators – the tools they need to use the various cloud environments strategically and impactfully. Just as important, we will invest in our innovation engine and long-term product improvement to drive new, customer-centric solutions for the multi-cloud era and empower more customers to exercise their own sovereign choices when storing and managing data.

To stay updated on the news about the transaction, click here.

Cautionary Statement Regarding Forward-Looking Statements

This communication relates to a proposed business combination transaction between Broadcom Inc. (“Broadcom”) and VMware, Inc. (“VMware”).  This communication includes forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934, as amended, and Section 27A of the U.S. Securities Act of 1933, as amended.  These forward-looking statements include but are not limited to statements that relate to the expected future business and financial performance, the anticipated benefits of the proposed transaction, the anticipated impact of the proposed transaction on the combined business, the expected amount and timing of the synergies from the proposed transaction, and the anticipated closing date of the proposed transaction.  These forward-looking statements are identified by words such as “will,” “expect,” “believe,” “anticipate,” “estimate,” “should,” “intend,” “plan,” “potential,” “predict,” “project,” “aim,” and similar words or phrases.  These forward-looking statements are based on current expectations and beliefs of Broadcom management and current market trends and conditions. 

These forward-looking statements involve risks and uncertainties that are outside Broadcom’s control and may cause actual results to differ materially from those contained in forward-looking statements, including but not limited to: the effect of the proposed transaction on our ability to maintain relationships with customers, suppliers and other business partners or operating results and business; the ability to implement plans, achieve forecasts and meet other expectations with respect to the business after the completion of the proposed transaction and realize expected synergies; business disruption following the proposed transaction; difficulties in retaining and hiring key personnel and employees due to the proposed transaction and business combination; the diversion of management time on transaction-related issues; the satisfaction of the conditions precedent to consummation of the proposed transaction, including the ability to secure regulatory approvals on the terms expected, at all or in a timely manner; significant indebtedness, including indebtedness incurred in connection with the proposed transaction, and the need to generate sufficient cash flows to service and repay such debt; the disruption of current plans and operations; the outcome of legal proceedings related to the transaction; the ability to consummate the proposed transaction on a timely basis or at all; the ability to successfully integrate VMware’s operations; cyber-attacks, information security and data privacy; global political and economic conditions, including cyclicality in the semiconductor industry and in Broadcom’s other target markets, rising interest rates, the impact of inflation and challenges in manufacturing and the global supply chain; the impact of public health crises, such as pandemics (including COVID-19) and epidemics and any related company or government policies and actions to protect the health and safety of individuals or government policies or actions to maintain the functioning of national or global economies and markets; and events and trends on a national, regional and global scale, including those of a political, economic, business, competitive and regulatory nature.

These risks, as well as other risks related to the proposed transaction, are included in the registration statement on Form S-4 and proxy statement/prospectus that has been filed with the Securities and Exchange Commission (“SEC”) in connection with the proposed transaction.  While the list of factors presented here is, and the list of factors presented in the registration statement on Form S-4 are, considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties.  For additional information about other factors that could cause actual results to differ materially from those described in the forward-looking statements, please refer to Broadcom’s and VMware’s respective periodic reports and other filings with the SEC, including the risk factors identified in Broadcom’s and VMware’s most recent Quarterly Reports on Form 10-Q and Annual Reports on Form 10-K.  The forward-looking statements included in this communication are made only as of the date hereof.  Neither Broadcom nor VMware undertakes any obligation to update any forward-looking statements to reflect subsequent events or circumstances, except as required by law.

No Offer or Solicitation

This communication is not intended to and shall not constitute an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.  No offering of securities shall be made, except by means of a prospectus meeting the requirements of Section 10 of the U.S. Securities Act of 1933, as amended.  

Additional Information about the Transaction and Where to Find It

In connection with the proposed transaction, Broadcom has filed with the SEC a registration statement on Form S-4 that includes a proxy statement of VMware and that also constitutes a prospectus of Broadcom.  Each of Broadcom and VMware may also file other relevant documents with the SEC regarding the proposed transaction.  The registration statement  was declared effective by the SEC on October 3, 2022 and the definitive proxy statement/prospectus has been mailed to VMware’s stockholders. This document is not a substitute for the proxy statement/prospectus or registration statement or any other document that Broadcom or VMware may file with the SEC.   INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT, PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT MAY BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION.  Investors and security holders may obtain free copies of the registration statement and proxy statement/prospectus and other documents containing important information about Broadcom, VMware and the proposed transaction, once such documents are filed with the SEC through the website maintained by the SEC at http://www.sec.gov.  Copies of the documents filed with the SEC by Broadcom may be obtained free of charge on Broadcom’s website at https://investors.broadcom.com.  Copies of the documents filed with the SEC by VMware may be obtained free of charge on VMware’s website at ir.vmware.com.

Participants in the Solicitation

Broadcom, VMware and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction.  Information about the directors and executive officers of Broadcom, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in Broadcom’s proxy statement for its 2022 Annual Meeting of Stockholders, which was filed with the SEC on February 18, 2022, and Broadcom’s Annual Report on Form 10-K for the fiscal year ended October 31, 2021, which was filed with the SEC on December 17, 2021.  Information about the directors and executive officers of VMware, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in VMware’s proxy statement for its 2022 Annual Meeting of Stockholders, which was filed with the SEC on May 27, 2022, VMware’s Annual Report on Form 10-K for the fiscal year ended January 28, 2022, which was filed with the SEC on March 24, 2022, a Form 8-K filed by VMware on April 22, 2022 and a Form 8-K filed by VMware on May 2, 2022.  Other information regarding the participants in the proxy solicitations and a description of their direct and indirect interests, by security holdings or otherwise, are or will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC regarding the proposed transaction when such materials become available.  Investors should read the proxy statement/prospectus carefully before making any voting or investment decisions.  You may obtain free copies of these documents from Broadcom or VMware using the sources indicated above.

About Hock Tan:

Broadcom Software

Hock Tan is Broadcom President, Chief Executive Officer and Director. He has held this position since March 2006. From September 2005 to January 2008, he served as chairman of the board of Integrated Device Technology. Prior to becoming chairman of IDT, Mr. Tan was the President and Chief Executive Officer of Integrated Circuit Systems from June 1999 to September 2005. Prior to ICS, Mr. Tan was Vice President of Finance with Commodore International from 1992 to 1994, and previously held senior management positions with PepsiCo and General Motors. Mr. Tan served as managing director of Pacven Investment, a venture capital fund in Singapore from 1988 to 1992, and served as managing director for Hume Industries in Malaysia from 1983 to 1988.

IT Leadership

Posted on Posted in Digital transformation, General topics Tagged with , , , , , ,

By Hock Tan, Broadcom President & CEO

In October I shared my thoughts about what a combined Broadcom and VMware will mean for customers. I wrote about the conversations I’ve had to date, the future of multi-cloud, and our philosophy on pricing, and I reiterated Broadcom’s commitment to keeping customers at the center of our business.

Nonetheless, I’ve continued to see questions in press reports about whether we intend to raise prices on VMware products. The answer is simple: No.

Given the continued interest, I wanted to expand on my thoughts about the pending transaction and share more on how Broadcom will support VMware customers and innovate VMware products once the transaction closes.

Building on Our Commitment

It’s important to remember that Broadcom is an engineering-first company. Our commitment to innovating leading-edge technology, ensuring successful deployments of our solutions, and delivering value for our customers is what drives our growth.

The addition of VMware will further Broadcom’s commitment in each of these three areas.

Our business model is predicated on adding long-term value to our products and improving them over time. Following the transaction’s close, we’re going to focus on making VMware’s products better for all of our customers, including enterprise customers who want products that are even easier to use. And, to be clear, we intend to continue serving customers of all sizes. VMware has a robust partner ecosystem that we will build upon to help us serve even the smallest companies. In short, we plan to take a “no customer left behind” approach.

Innovating for Success

How will we spur higher growth and drive customers of all sizes to buy more VMware products than ever before? We’ll do it the way we’ve always done it: through our laser-focus on execution and innovation.

Broadcom has the scale and capacity to invest major resources in R&D innovation and build on VMware’s talented team by recruiting the best engineers — an advantage that has historically allowed us to develop better technology and product solutions than the competition, whether it’s in broadband, ethernet switching, or endpoint protection.

By investing and innovating in infrastructure software and VMware’s broad portfolio — including multi-cloud and cloud-native capabilities — we will bring our customers greater flexibility and deliver new solutions to help them connect, scale and protect their IT infrastructure. 

Post-close, we intend to apply this formula for success by investing in and operating VMware with a concerted focus on growth and innovation, while furthering our track record of delivering consistent, justifiable value with our fairly priced solutions.

Greater Customer Choice

As we look to our shared future, we know what goes into successful customer relationships. We also know that if customers don’t find consistent value in the solutions we deploy, they’ll go elsewhere.

Don’t just take my word for it. IDC highlighted in a recent report that any vendor looking to cultivate successful customer partnerships has to first offer products, support and services that translate into real value.

In the report, IDC shared a comment from a CIO of a large, global financial services company who noted that, “This acquisition is unique, and it makes sense for [Broadcom and VMware] to form one organization that can increase productivity and deliver a more complete customer experience. Together, Broadcom and VMware will give us [customers] more power to modernize and transform our IT infrastructure to meet the needs of an ever-evolving world, ensuring secure, reliable, and flexible, choices.”

This CIO is exactly right. As workloads continue to grow rapidly across environments and multi-cloud options expand, a combined Broadcom and VMware will be focused on giving customers greater choice and flexibility over where and how they run their critical operations. We will invest in and innovate VMware’s products to create the next generation of technology that solves customers’ most complex IT challenges.

To stay updated on the news about the transaction, click here.

Cautionary Statement Regarding Forward-Looking Statements

This communication relates to a proposed business combination transaction between Broadcom Inc. (“Broadcom”) and VMware, Inc. (“VMware”).  This communication includes forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934, as amended, and Section 27A of the U.S. Securities Act of 1933, as amended.  These forward-looking statements include but are not limited to statements that relate to the expected future business and financial performance, the anticipated benefits of the proposed transaction, the anticipated impact of the proposed transaction on the combined business, the expected amount and timing of the synergies from the proposed transaction, and the anticipated closing date of the proposed transaction.  These forward-looking statements are identified by words such as “will,” “expect,” “believe,” “anticipate,” “estimate,” “should,” “intend,” “plan,” “potential,” “predict,” “project,” “aim,” and similar words or phrases.  These forward-looking statements are based on current expectations and beliefs of Broadcom management and current market trends and conditions. 

These forward-looking statements involve risks and uncertainties that are outside Broadcom’s control and may cause actual results to differ materially from those contained in forward-looking statements, including but not limited to: the effect of the proposed transaction on our ability to maintain relationships with customers, suppliers and other business partners or operating results and business; the ability to implement plans, achieve forecasts and meet other expectations with respect to the business after the completion of the proposed transaction and realize expected synergies; business disruption following the proposed transaction; difficulties in retaining and hiring key personnel and employees due to the proposed transaction and business combination; the diversion of management time on transaction-related issues; the satisfaction of the conditions precedent to consummation of the proposed transaction, including the ability to secure regulatory approvals on the terms expected, at all or in a timely manner; significant indebtedness, including indebtedness incurred in connection with the proposed transaction, and the need to generate sufficient cash flows to service and repay such debt; the disruption of current plans and operations; the outcome of legal proceedings related to the transaction; the ability to consummate the proposed transaction on a timely basis or at all; the ability to successfully integrate VMware’s operations; cyber-attacks, information security and data privacy; global political and economic conditions, including cyclicality in the semiconductor industry and in Broadcom’s other target markets, rising interest rates, the impact of inflation and challenges in manufacturing and the global supply chain; the impact of public health crises, such as pandemics (including COVID-19) and epidemics and any related company or government policies and actions to protect the health and safety of individuals or government policies or actions to maintain the functioning of national or global economies and markets; and events and trends on a national, regional and global scale, including those of a political, economic, business, competitive and regulatory nature.

These risks, as well as other risks related to the proposed transaction, are included in the registration statement on Form S-4 and proxy statement/prospectus that has been filed with the Securities and Exchange Commission (“SEC”) in connection with the proposed transaction.  While the list of factors presented here is, and the list of factors presented in the registration statement on Form S-4 are, considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties.  For additional information about other factors that could cause actual results to differ materially from those described in the forward-looking statements, please refer to Broadcom’s and VMware’s respective periodic reports and other filings with the SEC, including the risk factors identified in Broadcom’s and VMware’s most recent Quarterly Reports on Form 10-Q and Annual Reports on Form 10-K.  The forward-looking statements included in this communication are made only as of the date hereof.  Neither Broadcom nor VMware undertakes any obligation to update any forward-looking statements to reflect subsequent events or circumstances, except as required by law.

No Offer or Solicitation

This communication is not intended to and shall not constitute an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.  No offering of securities shall be made, except by means of a prospectus meeting the requirements of Section 10 of the U.S. Securities Act of 1933, as amended.  

Additional Information about the Transaction and Where to Find It

In connection with the proposed transaction, Broadcom has filed with the SEC a registration statement on Form S-4 that includes a proxy statement of VMware and that also constitutes a prospectus of Broadcom.  Each of Broadcom and VMware may also file other relevant documents with the SEC regarding the proposed transaction.  The registration statement  was declared effective by the SEC on October 3, 2022 and the definitive proxy statement/prospectus has been mailed to VMware’s stockholders. This document is not a substitute for the proxy statement/prospectus or registration statement or any other document that Broadcom or VMware may file with the SEC.   INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT, PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT MAY BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION.  Investors and security holders may obtain free copies of the registration statement and proxy statement/prospectus and other documents containing important information about Broadcom, VMware and the proposed transaction, once such documents are filed with the SEC through the website maintained by the SEC at http://www.sec.gov.  Copies of the documents filed with the SEC by Broadcom may be obtained free of charge on Broadcom’s website at https://investors.broadcom.com.  Copies of the documents filed with the SEC by VMware may be obtained free of charge on VMware’s website at ir.vmware.com.

Participants in the Solicitation

Broadcom, VMware and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction.  Information about the directors and executive officers of Broadcom, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in Broadcom’s proxy statement for its 2022 Annual Meeting of Stockholders, which was filed with the SEC on February 18, 2022, and Broadcom’s Annual Report on Form 10-K for the fiscal year ended October 31, 2021, which was filed with the SEC on December 17, 2021.  Information about the directors and executive officers of VMware, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in VMware’s proxy statement for its 2022 Annual Meeting of Stockholders, which was filed with the SEC on May 27, 2022, VMware’s Annual Report on Form 10-K for the fiscal year ended January 28, 2022, which was filed with the SEC on March 24, 2022, a Form 8-K filed by VMware on April 22, 2022 and a Form 8-K filed by VMware on May 2, 2022.  Other information regarding the participants in the proxy solicitations and a description of their direct and indirect interests, by security holdings or otherwise, are or will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC regarding the proposed transaction when such materials become available.  Investors should read the proxy statement/prospectus carefully before making any voting or investment decisions.  You may obtain free copies of these documents from Broadcom or VMware using the sources indicated above.

About Hock Tan:

Broadcom Software

Hock Tan is Broadcom President, Chief Executive Officer and Director. He has held this position since March 2006. From September 2005 to January 2008, he served as chairman of the board of Integrated Device Technology. Prior to becoming chairman of IDT, Mr. Tan was the President and Chief Executive Officer of Integrated Circuit Systems from June 1999 to September 2005. Prior to ICS, Mr. Tan was Vice President of Finance with Commodore International from 1992 to 1994, and previously held senior management positions with PepsiCo and General Motors. Mr. Tan served as managing director of Pacven Investment, a venture capital fund in Singapore from 1988 to 1992, and served as managing director for Hume Industries in Malaysia from 1983 to 1988.

IT Leadership

Posted on Posted in Digital transformation, General topics Tagged with , , , , , , , , , , , , , , , , ,

“The barriers confronting organizations in South Africa that want to achieve carbon neutral status by 2030 are significant. Among them is the simple reality that most of the nation’s power production originates from coal-fired plants located in the northeastern part of the country while the greatest potential impact for sustainable approaches like solar and wind lie in the south. We can’t immediately upend the entire power grid structure, but together with a willing and enthusiastic government and strong partners like VMware, we can make a difference. We now have a framework in place to support Africa’s nascent efforts to achieve zero carbon emissions and support providers intent to achieve and apply the tenets of VMware Zero Carbon Committed program to their operations.” 

– Bryce Allan, head of sustainability at Teraco Data Environments

Sumeeth Singh, head of VMware’s Cloud Provider Business in sub-Saharan Africa, was not surprised when the region’s leading cloud solutions and services companies enthusiastically embraced the VMware Cloud Verified initiative. With an established track record of success and extensive experience with the full VMware stack, many were ideally prepared to complete the rigorous process to apply for and receive the distinction.

The VMware Zero Carbon Committed initiative was, however, a different story. Singh knew that among providers the intent and desire to decrease their carbon footprints was strong. But the requirements, difficult in areas with an already mature sustainable energy infrastructure in place, were overwhelming in sub-Saharan Africa.

Specifically, partners would be required to commit that their data centers achieve zero carbon emissions by 2030, an effort that would require the use of 100% renewable energy. For partners in Europe where significant renewable energy sources exist in conjunction with a mature regulatory system of carbon offsets and credits, the process is still difficult.

“Like their counterparts in Europe, South African companies are increasingly mindful of resource constraints and the impact of fossil fuels on climate change,” said Singh. “They are also becoming more and more aware that their data center operations are a very large contributor to their overall carbon footprint. They also know that electricity in sub-Saharan Africa is primarily sourced from coal-fired plants. They want to do the right thing and minimize their emissions, but they are also seeing a dramatic increase in demand for hybrid and multi-cloud solutions and services – a reality that means they need more power, not less.”

Singh notes that for most partners, the resulting reality is that it would simply be unrealistic to pledge to achieve zero carbon emissions by 2030 because there are not enough renewable sources of energy in place to make it feasible. When no partners signed up for the VMware Zero Carbon Committed initiative, it was both a disappointment and a validation.

“Partners here didn’t sign up for this initiative not because they didn’t want to achieve zero carbon emissions by 2030, but because they didn’t think it was a realistic goal,” he says. More to the point, they didn’t view VMware Zero Carbon Committed as a marketing effort, but rather as a genuine commitment that should only be made if they believed they could achieve what they signed up for.”

Singh had a choice. He could either accept that the requirements for VMware Zero Carbon Committed were too challenging for the region, or he could find an alternative.

“We don’t have the luxury to postpone taking action when it comes to climate change,” he adds. “We have to do something now. In our case, we could either wait to ramp up the Zero Carbon Committed initiative until South Africa’s sustainability efforts are more mature – in other words do nothing now – or we could modify the requirements to find a more manageable solution.”

That solution came in the form of Teraco, South Africa’s largest and most interconnected data center platform. With four ultra high-performance data centers in South Africa – including facilities in Cape Town, Durban, and Johannesburg – the company forms the core of the nation’s internet backbone, and serves as the interconnection for both local and global cloud services. Providing the connectivity for the Africa Cloud Exchange, Teraco’s carrier and cloud neutral platform is also Africa’s largest hub for AWS, Google Cloud, and Microsoft Azure.

In addition, it serves as the direct access point for more than 300 network providers, including telecommunications, terrestrial fiber, satellite connectivity, and submarine cable carriers; as well as more than 130 IT service providers, leading enterprises and financial services companies, and innumerable Internet eXchange points. Recently acquired by Digital Reality – the world’s largest provider of cloud and carrier neutral data center, colocation, and interconnection solutions – the company’s role connecting Africa to the world’s IT infrastructure will only increase.

Teraco is also the co-location provider of choice for most VMware Cloud Verified partners. But perhaps most importantly for those organizations that want to embrace VMware Zero Carbon committed, it is also no stranger to efforts to reduce carbon emissions. In fact, it was already in the midst of Africa’s most ambitious effort to produce 100% sustainable power.

Singh saw an opportunity. If VMware Cloud Verified partners could engage Teraco for data center services that use the company’s renewable energy, they could offset their own power usage and realistically commit to significantly decrease their own carbon footprint.

It was an effort Bryce Allan, head of sustainability at Teraco Data Environments, immediately embraced.

“At Teraco we are aggressively pushing to increase our use of renewable energy sources,” he says. One of our two newest and most significant solar projects is already under construction and we’ve set aside nearly $250 million over the next five years for the development of renewable energy sources and facilities. We also entered into a development service agreement with an experienced renewable energy developer and are already working with them to build two 100 megawatt solar facilities in Cape Town.” 

Allan expects the first of those to go online early in 2023 and to produce 500 million kilowatt hours of electricity per year. Notably, this is in addition to the company’s extensive solar projects at its data centers, with the facility in Johannesburg already including a high-output solar system that is the first of its kind on the continent. Similar systems are being constructed for each of the company’s data centers, with those expected to be operational by the end of this year.

“We’re really excited to start building big solar plants that make a real impact on the region’s use of fossil fuels,” says Allan. “The fact that we can simultaneously provide motivated VMware Cloud Verified partners with the access to the power they need to make zero carbon emissions a realistic goal is another great benefit.”

Notably, Teraco committed to achieving the use of 50% renewable energy sources by 2027 and 100% renewable energy sources by 2035. Given the difficulty of achieving both goals in Africa, the decision was made to allow VMware Cloud Verified Partners who want to achieve the VMware Zero Carbon Committed distinction to pursue it in conjunction with Teraco and those metrics.

“We are years behind our partners in other areas of the world in our efforts to lower emissions,” adds Singh. “But if we can work together to achieve the use of 50% renewable sources of energy in five years, we will have accomplished something truly significant while simultaneously enabling Africa’s cloud solutions and services providers to pursue contracts that reward and encourage additional efforts to decrease emissions. That is a win for all involved.”

Within days of the partnership with Teraco being announced, five companies in South Africa joined the VMware Zero Carbon Committed initiative.

The inaugural partners in Africa’s VMware Zero Carbon Committed initiative

The first five VMware Cloud Verified partners to embrace the tenets of the VMware Zero Carbon Committed initiative – and to make the transition to renewable sources of energy a key focus with the goal of using only renewable sources of energy by 2035 –  include Network Platforms, Routed, Saicom, Silicon Sky, and Strategix. We recently asked senior leaders at each company to share why they believe it’s crucial to radically decrease carbon emissions.

Network Platforms – Servicing businesses since 2003, Network Platforms provides a host of solutions to create effective ICT business environments. Its services are tailored to help businesses grow through increased productivity, profitability, and peace of mind. Its range of world-class, innovative products and services enables businesses to connect, communicate, and collaborate.

“It is imperative for all companies in Africa to look at the big picture and how we can collectively transition to renewable sources of energy. By transitioning to the cloud and software-defined data centers enterprises are taking a positive step for the environment. If we can run the hardware required for those endeavors with renewable sources of energy, we can collectively make a huge difference.”

– Bradley Love, founder and CEO of Network Platforms.

Routed – Routed is an experienced South African specialist VMware Cloud Operator offering scalable – full or hybrid cloud – vendor neutral hosting solutions. As a VMware Principal Partner, Routed proudly boast many “firsts”: first VMware Cloud Verified provider in Africa; first Validated VMware DRaaS provider in Africa; and now also a VMware Zero Carbon Committed partner, backed by the highest levels of sales, service, and support for its partners and customers.

“Routed empowers its partners and its customers to prosper and grow, grounded by solid and secure cloud infrastructure foundations. In much the same way, the baobob tree, our company symbol, provides for people in Africa’s savannah regions – serving as the tree of life and giving them the materials they need for shelter, clothing, food, and water – all while providing the roots that serve as a strong foundation. We like to think of ourselves as the baobob of cloud infrastructure providers. That means we must safeguard our environment here in Africa and that starts with a commitment to decrease emissions.”

– Andrew Cruise, managing director of Routed

Saicom – Saicom is a leading service provider in the local market delivering a host of solutions designed to help organizations move to the cloud, improve their collaboration and deliver an unsurpassed customer experience. Saicom understands that what businesses need most, as they navigate the move to the cloud, is choice, support, and flexible solution architecture.

“The environment in Africa is one of the world’s richest and most beautiful. We must take action to ensure that we can pass it on to future generations. Climate change is a horrific danger, but it’s also a wakeup call that we cannot continue to build our businesses and our lives around sources of energy that are finite and that once used cannot be replaced. As an ICT leader, we have an opportunity to help our customers do more with less impact on the environment by embracing a software-defined approach that simultaneously delivers unprecedented computing power and potential.”

– Kyle Woolf, CEO of Saicom

Silicon Sky – Silicon Sky is a specialist IT infrastructure service provider. Silicon Sky specializes in Infrastructure as a Service (IaaS). Silicon Sky has a vast IaaS portfolio including compute, network, storage, security, backup, recovery and disaster recovery. Silicon Sky has enterprise grade managed cloud platforms co-located in multiple carrier natural data centers in South Africa and the USA.

“ICT has transformed how companies do business and so many aspects of how we live our lives. As a cloud services and solutions leaders, we have an opportunity, and an obligation, to demonstrate in our words and more importantly in our actions, how technology can combat climate change and make a difference. VMware Zero Carbon Committed presents us with an exceptional opportunity to do just that.”

– Brenton Halsted, CEO of Silicon Sky

Strategix – Strategix Cloud Services provides flexible, scalable, secure, simplified costings easy to scale. Strategix is the only certified cloud provider as well as VMware PSO certified (Professional Services Organization), thereby offering assurances to assist customers in their digital evolution including, application modernization and digital workspace in public, private, or hybrid Clouds.

“We strive to always make an impact in a positive manner in our work with customers and our interactions with each other. That same philosophy applies to imperatives like sustainability and efforts to address climate change. Action and positive impact begin with making a commitment. For Strategix, that begins with pursuing the VMware Zero Carbon Committed distinction.”

– Jaco Stoltz, CEO of Strategix

For more information on VMware’s partnership with Teraco, view VMware’s “Feature Friday” video podcast here.                                                                                                                                                               

Green IT, IT Leadership, VMware

Posted on Posted in Digital transformation, General topics Tagged with , , , , , ,

By Hock Tan, Broadcom President & CEO

Over the last several weeks, I have had the opportunity to visit with Broadcom customers around the world to discuss what’s on the horizon as they navigate increasingly complex IT operating environments. During these visits, I’ve also answered their questions and shared our vision of what a combined Broadcom and VMware will look like following the close of the transaction.

It’s clear from these conversations that three topics are top of mind for customers as it relates to the VMware-Broadcom transaction: multi-cloud, cloud-native apps and pricing. Ultimately, what I’ve stressed to them has been straightforward: our customers are and will remain the most important part of our business. That said, I want to discuss each of these topics and share my current thinking to help address the concerns I’ve heard.

Broadcom’s Strategy

I hope I’ve made clear that at Broadcom, we are continuing to embrace and invest in customers’ priorities. My priorities for Broadcom are very much aligned with customers.

By investing and innovating in infrastructure software and VMware’s broad portfolio — including multi-cloud and cloud-native capabilities — we will bring our customers greater flexibility and deliver new solutions to help them connect, scale and protect their IT infrastructure. This will also empower our customers to modernize and architect their IT infrastructure while ensuring there will be large-scale, secure, and reliable, yet flexible, solutions to do so. Similarly, continuing to develop our ecosystem will enable partners to grow their businesses with expanded offerings of the combined portfolio and even better meet customers’ needs.

Multi-Cloud

As I met with customers across the U.S., U.K., Germany and France, I asked about their current and future priorities. For some time, Broadcom has recognized that the future of enterprise IT is multi-cloud — the ability to distribute applications and services across a combination of clouds. It’s one of the many reasons Broadcom solutions complement what VMware does in the multi-cloud space across private, public, edge and sovereign clouds today. It’s clear our customers have already adopted this mindset, too. I’ll share an example.

While in London, I met with the chief technology officer of a global financial services firm. We discussed the increasing need for financial institutions to adopt innovative solutions and ensure legacy infrastructure is efficient and secure. We agreed multi-cloud solutions meet this need, ultimately improving performance and strengthening resilience at a lower cost. Customers are enthusiastic about the multi-cloud vision and, with increased resources from Broadcom following transaction close, the potential to implement it as VMware grows and increases momentum in the space.

Cloud-Native Apps

Customers are similarly excited about VMware’s momentum around cloud-native apps. Containers are changing the way modern applications are built, resulting in faster and more predictable development and deployment. Developers also can take advantage of Kubernetes clusters, which more efficiently use the containerized infrastructure that power those applications. Kubernetes clusters bring other advantages, including making apps more resilient and easier to manage, bringing cost savings to organizations; and  making apps more portable between different clouds and internal environments, because Kubernetes clusters can run on premises or within public clouds. The resulting modern applications are more scalable and flexible, accelerating the speed and agility of innovation within organizations. By providing customers with the environment and hands-on guidance to help build cloud-native applications quickly and upskill their teams along the way, a combined Broadcom-VMware can help them drive forward their businesses.

Since the announcement of our intention to acquire VMware in May, I have had the opportunity to spend time with many VMware and Broadcom customers, partners and the VMware Product and Go-to-Market leadership teams. I have gained a deeper understanding of the VMware Tanzu portfolio and the strategic importance of cloud-native applications and modern app development and management. Customers are telling me that modern applications are a central part of their go-forward strategy in a multi-cloud world, and that the VMware Tanzu portfolio of products and solutions are an important area of focus for them.

Many customers and partners are asking me how I see the VMware Tanzu portfolio and Broadcom’s future commitment to the Tanzu business. My answer to them is that I see Tanzu as a strategic part of the VMware software portfolio and it will remain that way as we move forward within Broadcom. VMware Tanzu customers are running some of the most mission critical applications in the world. As customers think about future investments in cloud native applications and the modern application development space, they should feel confident in Broadcom’s commitment going forward.

Pricing

We work with our customers every day to tackle a wide spectrum of challenges, and we are constantly innovating to create the next generation of technology to address their needs. This is largely what has made our business successful, and we intend for this to continue.

Our growth into a global technology leader was not based on taking existing products and raising their prices, but by creating technology and products that provide clear value to customers and continuing to improve them. We fuel growth by offering more and better products so customers are using more of our entire portfolio of technology products, rather than just one or two. By delivering long-term value to customers and investing in improved, customer-focused R&D, we can innovate, scale and offer better products without raising prices.

VMware develops technology for the future and addresses a growing market. The Broadcom business case for this transaction is premised on focusing on the business model, increasing R&D, and executing so that customers see the value of the full portfolio of innovative product offerings — not on increasing prices. Following the close of the transaction, we will invest in and innovate VMware’s products so we can sell even more of them and grow the VMware business within enterprises, deepening and expanding the footprint instead of potentially raising prices.

Of course, our other main priority once the transaction is complete will be integrating VMware and its employees. VMware is an innovation success story — but the company’s story is far from finished and we’re excited to help write the next chapters. I have tremendous respect for what VMware has built, and experiencing the company’s excitement for the future at VMware Explore in San Francisco earlier this year reinforced my belief that we are on the right path.

I came away from my recent travels even more excited about what a combined Broadcom and VMware can deliver to our customers, and I look forward to continuing these valuable conversations as we progress toward closing. More than that, once we complete our transaction, I look forward to starting the important work of fostering an environment of growth and innovation aligned with our customers’ priorities.

To stay updated on the news about the transaction, click here.

Cautionary Statement Regarding Forward-Looking Statements

This communication relates to a proposed business combination transaction between Broadcom Inc. (“Broadcom”) and VMware, Inc. (“VMware”).  This communication includes forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934, as amended, and Section 27A of the U.S. Securities Act of 1933, as amended.  These forward-looking statements include but are not limited to statements that relate to the expected future business and financial performance, the anticipated benefits of the proposed transaction, the anticipated impact of the proposed transaction on the combined business, the expected amount and timing of the synergies from the proposed transaction, and the anticipated closing date of the proposed transaction.  These forward-looking statements are identified by words such as “will,” “expect,” “believe,” “anticipate,” “estimate,” “should,” “intend,” “plan,” “potential,” “predict,” “project,” “aim,” and similar words or phrases.  These forward-looking statements are based on current expectations and beliefs of Broadcom management and current market trends and conditions. 

These forward-looking statements involve risks and uncertainties that are outside Broadcom’s control and may cause actual results to differ materially from those contained in forward-looking statements, including but not limited to: the effect of the proposed transaction on our ability to maintain relationships with customers, suppliers and other business partners or operating results and business; the ability to implement plans, achieve forecasts and meet other expectations with respect to the business after the completion of the proposed transaction and realize expected synergies; business disruption following the proposed transaction; difficulties in retaining and hiring key personnel and employees due to the proposed transaction and business combination; the diversion of management time on transaction-related issues; the satisfaction of the conditions precedent to consummation of the proposed transaction, including the ability to secure regulatory approvals on the terms expected, at all or in a timely manner; significant indebtedness, including indebtedness incurred in connection with the proposed transaction, and the need to generate sufficient cash flows to service and repay such debt; the disruption of current plans and operations; the outcome of legal proceedings related to the transaction; the ability to consummate the proposed transaction on a timely basis or at all; the ability to successfully integrate VMware’s operations; cyber-attacks, information security and data privacy; global political and economic conditions, including cyclicality in the semiconductor industry and in Broadcom’s other target markets, rising interest rates, the impact of inflation and challenges in manufacturing and the global supply chain; the impact of public health crises, such as pandemics (including COVID-19) and epidemics and any related company or government policies and actions to protect the health and safety of individuals or government policies or actions to maintain the functioning of national or global economies and markets; and events and trends on a national, regional and global scale, including those of a political, economic, business, competitive and regulatory nature.

These risks, as well as other risks related to the proposed transaction, are included in the registration statement on Form S-4 and proxy statement/prospectus that has been filed with the Securities and Exchange Commission (“SEC”) in connection with the proposed transaction.  While the list of factors presented here is, and the list of factors presented in the registration statement on Form S-4 are, considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties.  For additional information about other factors that could cause actual results to differ materially from those described in the forward-looking statements, please refer to Broadcom’s and VMware’s respective periodic reports and other filings with the SEC, including the risk factors identified in Broadcom’s and VMware’s most recent Quarterly Reports on Form 10-Q and Annual Reports on Form 10-K.  The forward-looking statements included in this communication are made only as of the date hereof.  Neither Broadcom nor VMware undertakes any obligation to update any forward-looking statements to reflect subsequent events or circumstances, except as required by law.

No Offer or Solicitation

This communication is not intended to and shall not constitute an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.  No offering of securities shall be made, except by means of a prospectus meeting the requirements of Section 10 of the U.S. Securities Act of 1933, as amended.  

Additional Information about the Transaction and Where to Find It

In connection with the proposed transaction, Broadcom has filed with the SEC a registration statement on Form S-4 that includes a proxy statement of VMware and that also constitutes a prospectus of Broadcom.  Each of Broadcom and VMware may also file other relevant documents with the SEC regarding the proposed transaction.  The registration statement  was declared effective by the SEC on October 3, 2022 and the definitive proxy statement/prospectus has been mailed to VMware’s stockholders. This document is not a substitute for the proxy statement/prospectus or registration statement or any other document that Broadcom or VMware may file with the SEC.   INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT, PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT MAY BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION.  Investors and security holders may obtain free copies of the registration statement and proxy statement/prospectus and other documents containing important information about Broadcom, VMware and the proposed transaction, once such documents are filed with the SEC through the website maintained by the SEC at http://www.sec.gov.  Copies of the documents filed with the SEC by Broadcom may be obtained free of charge on Broadcom’s website at https://investors.broadcom.com.  Copies of the documents filed with the SEC by VMware may be obtained free of charge on VMware’s website at ir.vmware.com.

Participants in the Solicitation

Broadcom, VMware and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction.  Information about the directors and executive officers of Broadcom, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in Broadcom’s proxy statement for its 2022 Annual Meeting of Stockholders, which was filed with the SEC on February 18, 2022, and Broadcom’s Annual Report on Form 10-K for the fiscal year ended October 31, 2021, which was filed with the SEC on December 17, 2021.  Information about the directors and executive officers of VMware, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in VMware’s proxy statement for its 2022 Annual Meeting of Stockholders, which was filed with the SEC on May 27, 2022, VMware’s Annual Report on Form 10-K for the fiscal year ended January 28, 2022, which was filed with the SEC on March 24, 2022, a Form 8-K filed by VMware on April 22, 2022 and a Form 8-K filed by VMware on May 2, 2022.  Other information regarding the participants in the proxy solicitations and a description of their direct and indirect interests, by security holdings or otherwise, are or will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC regarding the proposed transaction when such materials become available.  Investors should read the proxy statement/prospectus carefully before making any voting or investment decisions.  You may obtain free copies of these documents from Broadcom or VMware using the sources indicated above.

About Hock Tan:

Broadcom Software

Hock Tan is Broadcom President, Chief Executive Officer and Director. He has held this position since March 2006. From September 2005 to January 2008, he served as chairman of the board of Integrated Device Technology. Prior to becoming chairman of IDT, Mr. Tan was the President and Chief Executive Officer of Integrated Circuit Systems from June 1999 to September 2005. Prior to ICS, Mr. Tan was Vice President of Finance with Commodore International from 1992 to 1994, and previously held senior management positions with PepsiCo and General Motors. Mr. Tan served as managing director of Pacven Investment, a venture capital fund in Singapore from 1988 to 1992, and served as managing director for Hume Industries in Malaysia from 1983 to 1988.

IT Leadership, Multi Cloud

Posted on Posted in Digital transformation, General topics Tagged with , , , , , , , , ,

Did you know that evaluating, selecting, and purchasing B2B software can be a long cycle with an average of 3-6months being the minimal time spent on this process? Only 21% of the business believe that they spent less than 3 months looking for and procuring cloud solutions and products however, 80% of the businesses spent over 3 months to 6 months to a year to fit a software that goes step by step with their strategy (Gartner, 2022).

Gartner

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VMware

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VMware

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VMware

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Watch this video to find out how the ‘Cloud Provider Services’ plugin works, how you can find your perfect partner directly from your vSphere console, and start protecting your VMware investment to a validated VMware Cloud DR and Migration partner.

Cloud Computing, Disaster Recovery, IT Leadership

Posted on Posted in Digital transformation, General topics Tagged with , , , , , , , , , , , ,

Fundaments, A VMware Cloud Verified partner operating from seven data centers located throughout the Netherlands, and a team of more than 50 vetted and experienced experts – all of whom are Dutch nationals – is growing rapidly. With an expanding customer base that includes public and private-sector leaders, demand for the company’s solutions is being driven by enterprises that must monitor their data and ensure that it remains on Dutch soil at all times.

We recently connected with Larik-Jan Verschuren, chief technology officer at Fundaments, to learn more about the company’s recently announced honor of being the first to earn the VMware Sovereign Cloud distinction in the Netherlands, find out what’s driving the demand for sovereign approaches to data management, and get his thoughts on future demand.

“One of the unique things about Fundaments is that we offer a mission-critical, sovereign cloud and Infrastructure-as-a-Service for managed service providers and independent software companies as well as other private-sector businesses and government agencies,” says Verschuren. “Sovereignty means having true control from A to Z – from the physical hardware and services that are located here in the Netherlands, to the engineers operating workloads, and everything that is under their orchestration and management. At Fundaments, all data is stored in the Netherlands and we have a completely Dutch organization. Customers’ data is not exposed to any foreign input in any way.”

Verschuren notes that Fundaments, which operates a network of seven tier-3 datacenters across the nation, chose to achieve the VMware Sovereign Cloud distinction after seeing a significant increase in demand for data to be stored in the Netherlands. Just as importantly, these same enterprises had to be able to demonstrate certification and compliance with sovereignty requirements.

“Due to the increase in globalization and digitization more and more data is being used in the cloud, and more and more companies find it important to know that this data, their most important asset, is accessible and safe on a Dutch cloud platform,” adds Verschuren. “The introduction of the General Data Protection Regulation (GDPR) also prompted companies to think carefully about where their data is stored and the sovereignty issues that must be considered to be compliant.”

Verschuren also notes that compliance officers and chief information security officers are increasingly mindful of data integrity and demand the strongest levels of protection. Simultaneously, the pandemic accelerated digitization and contributed to the growing demand for innovation, analytics, and the capabilities the cloud delivers. Both factors directed organizations to Fundaments.

“By virtue of our VMware Sovereign Cloud status and the innovation and focus on compliance inherent in our work, Fundaments fulfills all of these needs,” he says. “Our customers know that their data sovereignty requirements will be met and that they are compliant with all relevant regulations here in the Netherlands – all on a platform that enables them to transform their businesses with the power of the cloud.”

Notably, Fundaments has worked extensively with VMware for years while serving its customers.

“We of course aren’t new at offering sovereign cloud services,” says Verschuren. “For two decades we’ve built our hosting operation around geographically dispersed, high security data centers in the Netherlands,” says Verschuren. “We wanted our cloud offerings to be a fully certified, all Dutch answer to the large hyperscalers, and we wanted them to be utterly stable, reliable, and scalable – qualities that differently reflect the VMware technologies we use in our platform and services.”

Verschuren believes that the demand for sovereign cloud services will only grow in light of geopolitical events and efforts to protect personal information. He also predicts that Fundaments’ ability to provide highly personalized service 24/7 will remain a significant differentiator for organizations that need to manage sensitive workloads that demand sovereignty.

“Our customers can consult with one of our engineers within minutes on any day and at any time,” he says. “With our focus on technology, processes, and people we are able to embrace and address the constantly evolving IT needs of our customers and our partners in an environment that is purpose-built to meet and exceed the most demanding sovereignty requirements.”

Learn more about Fundaments and its partnership with VMware, here.

Cloud Computing, IT Leadership