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July 2022

Things sound good now, but will they stay that way?

Following the announcement of Broadcom’s plan to buy VMware, people have been wondering what it might mean for the channel. If you listen to Thomas Krause, president of Broadcom’s Software Group, the answer seems to be only good things. “I think there are some things that we have learned relative to the CA and Symantec acquisition in terms of the value of the channel. We want to continue to support the channel,” he told analysts in a call. “That’s going to allow us to support a lot more revenues in a cost-effective way. So we see a real opportunity to leverage that.” He didn’t stop there, adding at a later point in the call: “I think one thing we’ve learned is there’s an opportunity to embrace the channel, the two-tier distribution model, distribution partners and key value-added resellers…with this transaction, we are focused on serving all customers via a combination of our collective direct sales organisations as well as through our important channel partners.” Still, a closer look at those comments might concern some ...

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