VMware perpetual license holder receives audit letter from Broadcom

The letter, signed by Aiden Fitzgerald, director of global sales operations at Broadcom, claims that Broadcom will use its time “as efficiently and productively as possible to minimize disruption.”

Still, the security worker that Ars spoke with is concerned about the implications of the audit and said they “expect a big financial impact” for their employer. They added:

Because we are focusing on saving costs and are on a pretty tight financial budget, this will likely have impact on the salary negotiations or even layoffs of employees. Currently, we have some very stressed IT managers [and] legal department [employees] …

The employee noted that they are unsure if their employer exceeded its license limits. If the firm did, it could face “big” financial repercussions, the worker noted.

Users deny wrongdoing

As Broadcom works to ensure that people aren’t using VMware outside its terms, some suggest that the semiconductor giant is wasting some time by investigating organizations that aren’t violating agreements.

After Broadcom started sending cease-and-desist letters, at least one firm claimed that it got a letter from Broadcom despite no longer using VMware at all.

Additionally, various companies claimed that they received a cease-and-desist from Broadcom despite not implementing any updates after their VMware support contract expired.

The employee at the Dutch firm that received an audit notice this month claimed that the only update that their employer has issued to the VMware offerings it uses since support ended was a “critical security patch.”

That employee also claimed to Ars that their company didn’t receive a cease-and-desist letter from Broadcom before being informed of an audit.

Broadcom didn’t respond to Ars' request for comment ahead of publication, so we’re unable to confirm if the company is sending audit letters without sending cease-and-desist letters first. Ars also reached out to Connor Consulting but didn’t hear back.

“When we saw the news that they were going to send cease-and-desist letters and audits, our management thought it was a bluff and that they would never do that,” the anonymous security worker said.

Broadcom’s litigious techniques to ensure VMware agreements are followed have soured its image among some current and former customers. Broadcom’s $69 billion VMware acquisition has proven lucrative, but as Broadcom approaches two years of VMware ownership, there are still calls for regulation of its practices, which some customers and partners believe are “legally and ethically flawed.”