Broadcom calls for tech to go back where it belongs: On-prem
Briefly

Broadcom positioned VMware Cloud Foundation (VCF) as offering superior user experience, stronger security, and better cost control than hyperscale public clouds. CEO Hock Tan urged customers to embrace Cloud Foundation and stay on-premises rather than migrate straight to public cloud. VMware VP Paul Turner compared current skepticism to earlier virtualization and software-defined datacenter shifts and pledged VCF will be proven right. VCF will expand to include Private AI Services at no extra cost, bundling a model mart, agent builder, and blueprints to build AI applications. The package targets predictable costs and data protection for emerging on-prem AI workloads, debuting in Q1 2026. VMware also announced a closer relationship with Canonical.
CEO Hock Tan took the keynote stage in Las Vegas and asserted that the VMware Cloud Foundation (VCF) private cloud suite offers better security and cost management than hyperscale clouds. "Most of you continue to be weighed down by legacy infrastructure, and you are afraid to move forward," he said. "The answer is not to run straight to public cloud like you did 10 to 15 years ago." He instead wants buyers to embrace Cloud Foundation "and stay on-prem."
The company has a plan to back the rhetoric, led by expanding VCF to include Private AI Services at no extra cost. The AI bundle includes a model mart, agent builder, and blueprints to build AI apps. VMware previously sold it as an add-on to VCF. Now it's part of the package, because a pillar of Broadcom's claim to improve on public clouds is that they have predictable costs. Renting cloudy AI, Broadcom suggests, will cause even bigger bill blowouts as enterprises experiment with the technology.
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