Broadcom CEO announces VMware's refocus on core business and divestment of non-core assets

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Broadcom,CEO,Vmware

Broadcom CEO, Hock Tan, announced during Broadcom's Q4 2023 earnings call that VMware will be refocusing on its core business of creating private and hybrid cloud environments and divesting non-core assets. Tan explained that the strategy going forward is to enable global enterprises to run apps across datacenters and public clouds by consuming VMware's software stack. The end-user computing portfolio and the Carbon Black security software unit are among the assets to be divested.

Speaking on Broadcom's Q4 2023 earnings call, Tan told investors "We are now refocusing VMware on its core business of creating private and hybrid cloud environments among large enterprises globally and divesting non-core assets." "Our strategy going forward is to enable global enterprises to run apps across datacenters and public clouds by consuming VMware's high value software stack," Tan explained, adding:"To attract and retain workloads we are investing in microservices tools.

" Tan named VMware's end-user computing portfolio – which comprises desktop virtualization, application publishing, and mobile device management – as one asset to be divested. The Carbon Black security software unit is also on the way out, after on November 27"We're now going to invest and focus our sales and R&D on those core areas of VMware Cloud Foundation," Tan continued."And to us, end-user computing, Carbon Black, good assets as they may be, we prefer now to divest them. We'll find good homes for them because there are a lot of very interested parties who are more than happy to take those asset

 

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