There are Solid Alternatives to Consider
Being an experienced 4x CIO and CISO who has navigated numerous tech transitions over the past couple of decades, I've come to realize that change is a constant in our industry. The recent purchase of VMware by Broadcom for a whopping $61 billion has caused quite a stir in the enterprise IT world, leaving many top executives pondering the future of their virtualization and cloud infrastructure strategies.
I vividly remember feeling uncertain back in 2015 when Dell acquired EMC (which had a big share in VMware at the time). However, the Broadcom acquisition seems different this time around and here's why; Broadcom has a history of making significant changes to pricing and support models after acquiring companies, often causing frustration among some of its current customers.
Let's take a closer look at the current scenario and consider some attractive alternatives that could transform your enterprise's virtualization and cloud infrastructure strategy.
One important note: I am just presenting the information and citing most of it, not trying to render an opinion on which of the three options is the best, as that will likely depend on several factors that are unique to your business, budget, and environment.
The Broadcom Impact; A Reason for Apprehension
Broadcom's approach to acquisitions has typically been about maximizing profits from existing product lines rather than promoting innovation. An example of this is their acquisition of CA Technologies back in 2018.
After the acquisition, Broadcom raised prices for mainframe clients by as much as 30% and made changes to support terms, causing disruptions for many businesses [1]. This shift has not gone unnoticed.
A recent survey by Wakefield Research of 300 IT decision-makers regarding VMware had 99% of them expressing concern about potential impacts of the acquisition by Broadcom, and more than three-quarters of them characterized their concern level as extreme. Almost every respondent said the acquisition had been disruptive to their IT strategy. [2]. These concerns are prompting action, with 27% of VMware customers actively looking into alternatives and another 33% considering doing so soon.
Speaking from my experience as a CIO who has had to justify technology expenses to the board, I can confirm that potential price increases like these could throw carefully planned IT budgets into disarray. It's not just about the financial impact; it's also about preserving the agility and innovation that VMware has brought to many organizations.
Exploring Alternatives: Red Hat OpenShift and Nutanix
Considering these issues, it is wise to explore alternative options that could either replace or complement your existing VMware setup. Two notable choices worth exploring are Red Hat OpenShift and Nutanix. Let's compare these solutions across various key aspects:
- Architecture and Infrastructure
VMware's architecture relies on the ESXi hypervisor, which has long been regarded as the industry standard in virtualization. However, both Red Hat OpenShift and Nutanix present intriguing alternatives.
Red Hat OpenShift is based on Kubernetes, featuring a container based structure that is gaining popularity for its flexibility and scalability. It can operate on bare metal, virtualized setups or in the cloud, providing a level of adaptability that VMware cannot match [3].
On the other hand, Nutanix utilizes its own AHV hypervisor, built on the open source KVM platform. One distinctive aspect of Nutanix is its hyper converged infrastructure (HCI) strategy, which consolidates computing, storage and networking into a unified system. This approach can greatly simplify data center management and reduce costs [4].
While VMware enjoys broad hardware compatibility due to its established market presence, Nutanix excels in its tightly integrated HCI model despite offering a more limited range of hardware support. OpenShift's open source nature ensures extensive software compatibility but may require additional effort for seamless integration with existing legacy systems.
Noteworthy: Nutanix includes its AHV hypervisor at no extra cost within their HCI solution, potentially delivering significant cost savings compared to VMware's licensing framework.
- Performance and Scalability
VMware has been widely recognized for its performance and scalability, although larger setups may require more intricate configurations. However, OpenShift and Nutanix have emerged as strong contenders in this field. Nutanix shines in scalability, making it easy to expand horizontally by adding nodes to the cluster. VMware provides robust scaling capabilities; OpenShift, a container orchestration platform, offers flexibility in scaling individual applications and microservices.
Red Hat's OpenShift, a platform for orchestrating containers, offers flexibility in scaling individual applications and microservices. It has showcased impressive scalability with some clients running clusters surpassing 2,000 nodes [5]. Its architecture based on containers enables swift scaling and efficient utilization of resources, which can be particularly beneficial for organizations with fluctuating workloads.
Nutanix excels in scalability by facilitating horizontal expansion through the addition of nodes to the cluster, displaying strong performance metrics. According to an 2022 IDC Research study, Nutanix users reported 43% reduced total cost of operations and 97% less unplanned downtime compared to their previous setups [6]. These statistics suggest that Nutanix could potentially deliver superior resource efficiency and uptime compared to some traditional VMware deployments.
- Management and Orchestration
vSphere, despite its strong capabilities, can present a steep learning curve for some administrators, which should be taken into consideration. While, both OpenShift and Nutanix are known to have user friendly management interfaces that are becoming increasingly popular. This area really comes down to your organizational goals, personal tastes and your staff, as their familiarity with one solution may provide an advantage over another.
The management dashboard of Red Hat OpenShift is crafted with DevOps principles in mind, providing seamless integration with CI/CD pipelines and automated scaling. According to a study by Forrester, OpenShift can significantly cut down developer setup time by as much as 75% compared to traditional virtualized environments [7].
Nutanix's Prism management interface is praised for its simplicity and user friendliness. Nutanix claims that their customers can set up infrastructure in just an hour, a stark contrast to the days or weeks required by traditional solutions [8]. This streamlined management process could be a key consideration for organizations seeking to optimize their IT operations.
- Security Features
In the current landscape of cybersecurity threats, maintaining robust security measures is crucial. While VMware boasts strong security features, both OpenShift and Nutanix also offer competitive options.
Red Hat OpenShift comes equipped with built in container security functionalities such as automated health checks for containers and integration with SELinux for enhanced isolation. It also ensures compliance with various industry standards like PCI DSS, HIPAA and GDPR right out of the box [9].
Nutanix offers native encryption, micro segmentation and data-at-rest encryption. They have recently unveiled their Flow Security Central platform, which utilizes machine learning to provide continuous security assessment and remediation recommendations [10].
Noteworthy: OpenShift and Nutanix are designed with modern security principles from the ground up, potentially offering more cohesive security structures compared to VMware's approach of integrating security features into an existing setup.
- Cost and Licensing
The exact pricing may vary depending on specific setups, but both Red Hat OpenShift and Nutanix could potentially provide cost benefits over VMware, particularly due to its licensing model that can be seen as complex and potentially expensive as environments expand. Additionally, concerns about potential price increases under Broadcom ownership should be taken into account.
Red Hat OpenShift's subscription based model might be a more cost efficient option for organizations looking to transition from capital expenses to operational expenses. A study by Forrester Total Economic Impact indicated that OpenShift could generate a return on investment of 531% over three years [11].
Nutanix also follows a subscription based pricing model that incorporates all features in a single license, making budgeting easier and reducing unexpected costs. Some Nutanix users have reported up to 62% lower total cost of ownership compared to traditional three-tier infrastructure.
The Path Going Forward; A Call for Action
As top level executives, we often face the responsibility of making decisions that can influence the future direction of our companies. The potential transformations within VMware following its acquisition by Broadcom present both challenges and opportunities.
Here are some suggestions to consider;
- Evaluate your current deployment of VMware and analyze how much you rely on the platform.
- Collaborate with your IT teams to explore Red Hat OpenShift and Nutanix as potential alternatives or complementary solutions.
- Test these alternatives through pilot projects to determine their suitability for integration into your organization.
- Develop a backup plan in case of possible price hikes or support changes from VMware that may not align with your preferences.
It's important to note that the aim is not necessarily to replace VMware, given its strong capabilities; rather, it's about ensuring that your organization is equipped with the flexibility and choices needed to thrive in a constantly evolving technology landscape.
Having navigated through numerous technological transitions, I can affirm that actively exploring alternative solutions is wise not only in this scenario but in most situations, safeguarding your competitive edge amidst today's rapidly changing environment.
The future of enterprise IT infrastructure is not fixed. When you explore options such as Red Hat OpenShift and Nutanix, you're not only getting ready for any potential drawbacks with VMware should they arise, but also putting your company in a stronger position for upcoming cloud and virtualization advancements.
Sources:
[1] ZDNet, "Broadcom to raise prices for CA Technologies customers"
[2] CIODive, "IT leaders chafe as VMware costs skyrocket under Broadcom"; Hystax, “How VMware prices and policies changed after Broadcom’s acquisition”
[3] Red Hat, "OpenShift Container Platform Architecture"
[4] Nutanix, "One Unified Platform"
[5] Red Hat Case Study, "Argentine Ministry of Health"
[6] IDC White Paper, sponsored by Nutanix, "Calculating the Business Value of HCI-Powered Cloud Platform”
[7] Forrester, "The Total Economic Impact™ Of Red Hat OpenShift"
[8] Nutanix, "Why Nutanix"
[9] Red Hat, "OpenShift Security Guide"
[10] Nutanix, "Security Central"
[11] Forrester, "The Total Economic Impact™ Of Red Hat OpenShift"
[12] Nutanix, "The Definitive Guide to Hyperconverged Infrastructure"