VMware has listened to its community – which hated the vTax when it was introduced, and never warmed up to the whole idea over time. VMware has killed the vTax, removing the price on density which it represented.

More importantly, VMware has also gotten rid of the per VM pricing for its management solutions – a pricing model which exacted another tax upon success – as the cost of these solutions grew as the number of VM’s grew.

The New VMware Pricing Model

VMware has now standardized upon per CPU socket pricing for its key new product, the vCloud Suite. So now the product that combines vSphere 5.1, vCloud 5.1, vCenter Operations, and vShield is avaiable on one simple packaging and licensing model. There are no more virtual memory entitlements, no more core entitlements, and no more need to purchase licenses for management products as VM density increases.

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Bernd Harzog (328 Posts)

Bernd Harzog is the Analyst at The Virtualization Practice for Performance and Capacity Management and IT as a Service (Private Cloud).

Bernd is also the CEO and founder of APM Experts a company that provides strategic marketing services to vendors in the virtualization performance management, and application performance management markets.

Prior to these two companies, Bernd was the CEO of RTO Software, the VP Products at Netuitive, a General Manager at Xcellenet, and Research Director for Systems Software at Gartner Group. Bernd has an MBA in Marketing from the University of Chicago.

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