Broadcom Just Killed vSphere Standard. Here's What SMBs Are Doing Instead

Broadcom's acquisition of VMware has turned into a slow-moving disaster for small and midsize businesses—and it just got worse. The tech giant recently announced the end-of-sale for vSphere Standard, a move that caught many longtime VMware users off guard. For companies running a handful of virtual machines across a couple of hosts, it feels like they're being nudged out of the party they helped build. So, what's really going on here—and what are SMBs doing about it? ## A Familiar Gut Punch Broadcom's message came through quietly: vSphere Standard would be discontinued at the end of October. The timing was "courteous," sure—right before annual renewals—but the intent was clear. If your infrastructure is small, Broadcom doesn't want your business. And this isn't the first red flag. Previously, many small IT shops had already been pushed off vSphere Essentials—another casualty of Broadcom's licensing overhaul. So they upgraded (read: paid more) for vSphere Standard. Now, that safety net is gone too. The next step up? Much pricier. As one small business IT admin put it, "We used vSphere Essentials until Broadcom discontinued it, then went to Standard—which was 2.8x more. Now that's being killed too." For smaller organizations with eight VMs on two hosts, it's simply not sustainable. ## The Community Speaks: Enough is Enough On the ground, the response is pretty consistent: migrate. Users aren't just frustrated—they're done. Many see Broadcom's strategy for what it is: a squeeze. One commenter summed it up bluntly: "Broadcom doesn't care about 99% of the companies that used VMware. They're just trying to choke out all the cash they can." That's led to a surge in conversations about alternatives—and two names keep coming up over and over: Proxmox and Hyper-V. ## Proxmox: The Crowd Favorite Proxmox VE (Virtual Environment) has been getting serious traction, especially among tech-savvy IT admins and sysadmins who don't shy away from open-source tooling. It's lightweight, flexible, and—most importantly—free to use. Paid support is available but optional, and several U.S.-based Proxmox partners offer support packages that don't break the bank. For many SMBs, Proxmox hits the sweet spot. "Management is built-in, lightweight, and great for SMB environments," one user wrote. Another echoed, "We migrated and haven't looked back. Everything just works." Of course, it's not without its drawbacks. Some warned that Proxmox support isn't 24/7 and may be based overseas, though partners can fill that gap. Still, if you're comfortable with Linux or willing to work with a managed service provider (MSP), it's a top contender. ## Hyper-V: The Default Backup Plan Then there's Hyper-V. Microsoft's hypervisor isn't flashy, but for Windows-centric environments—especially ones already paying for Windows Server licenses—it's a practical fit. One admin shared that they've been running Hyper-V since 2012, noting fewer support headaches and better host efficiency compared to VMware. "Crammed more VMs on a host, performed better on CPU and IO metrics," they reported. Another added, "If you already pay for Windows licenses, you're not adding extra costs." However, it's important to recognize Hyper-V's limitations. Microsoft has officially deprecated the standalone Hyper-V Server SKU. Hyper-V now lives inside the Windows Server ecosystem, which means you're either buying into that stack or looking elsewhere. But for small shops managing 2-4 hosts? It still gets the job done. ## What About Nutanix? Another name creeping into the conversation is Nutanix AHV, particularly for those looking for more enterprise-grade support. The edge licensing model targets small deployments—like sub-25 VM shops—with per-VM pricing that's marketed as competitive. However, that "competitive" pricing can be a bit of a mirage. Multiple users reported Nutanix costing about 90–95% as much as Broadcom's offerings. One IT pro pointed out that Nutanix's storage-heavy architecture can be a performance bottleneck for certain workloads—especially those with heavy database or disk IO requirements. Still, others praise Nutanix's support and overall product quality. The big catch? You're back in vendor-lock-in territory, and for a lot of SMBs, that's exactly what they're trying to escape. ## The Migration Reality A recurring theme among vSphere Standard users is time. Some are trying to secure one last year under their current license just to buy breathing room. One user explained, "If I can get Standard for one more year, I'll have 15 months to migrate instead of three. I can do it in three months if I must—but I'd rather not." And that seems to be the strategic move: grab one final renewal, stand up the new environment in parallel, test thoroughly, and then flip the switch. Tools like Proxmox's backup server and community forums help ease the transition. And for Windows shops, Hyper-V migration is fairly straightforward thanks to tight integration with Windows Server. ## A New Chapter In the end, what's happening here isn't just a product sunset. It's a shift in philosophy. VMware—under Broadcom's command—is moving upstream, chasing bigger contracts and leaving smaller fish to fend for themselves. That's their choice. But it's also a moment for SMBs to rethink their stack. There are now viable, modern alternatives that don't come with the strings—or the sticker shock. Maybe VMware was a good fit for a long time. But in 2025, it's clear: that era is over. Whether it's Proxmox, Hyper-V, or something else entirely, small businesses are making their move—and not looking back.