Sergey Tarasov - stock.adobe.com

Nutanix courts VMware customers in APAC amid Broadcom concerns

Nutanix is driving double-digit growth across the region by capitalising on the evolving cloud landscape with its hybrid cloud and artificial intelligence offerings, as well as anxieties about the future direction of VMware under Broadcom’s ownership

Nutanix is capitalising on growing concerns surrounding Broadcom’s acquisition of VMware as it expands its presence in the Asia-Pacific (APAC) region.

In a recent interview with Computer Weekly in Singapore, Nutanix CEO Rajiv Ramaswami highlighted the company’s strategy, emphasising the long-term partnerships Nutanix cultivates with customers and the opportunities arising from the evolving cloud landscape.

Ramaswami pointed to the company’s double-digit growth across key APAC markets – including Australia, Indonesia, Malaysia, Taiwan and Hong Kong – as evidence of the company’s success in the region. He attributed this growth to the broad applicability of Nutanix’s platform, which caters to the digital transformation needs of diverse organisations across various sectors.

“Almost every company is going digital,” said Ramaswami. “They all have these applications that they are trying to modernise and run in a modern cloud infrastructure.”

This universal need for modernisation, coupled with increasing anxieties about the future direction of VMware under Broadcom's ownership, is creating a fertile ground for Nutanix.

“Broadcom is a big concern,” said Ramaswami, noting that many organisations are grappling with the decision of whether to remain with VMware or explore alternatives.

The higher costs arising from VMware’s new licensing model has been driving businesses to re-evaluate their long-term IT strategies. To that end, Ramaswami highlighted Nutanix’s commitment to customer success and long-term partnerships. “If we do short-term things like jack up the price three or four times, we know what the outcome is going to be,” he said.

Early days for hybrid cloud

Ramaswami noted that while the APAC region is still early in adopting hybrid cloud, there is a growing consensus that a hybrid approach is the optimal strategy.

This preference for hybrid cloud is fuelled by several factors, including cost sensitivity, data security concerns, data sovereignty regulations, and the need for secure, air-gapped environments for sensitive industries such as defence. These considerations, Ramaswami said, make Nutanix’s platform particularly attractive to APAC customers.

Ramaswami cited the case of Computershare, a mid-sized share registry company in Australia, which migrated 24,000 VMware virtual machines to Nutanix within a year, as an example of the platform’s capabilities and the speed at which migrations can be executed.

He emphasised, however, that for most customers, particularly larger enterprises, the transition is a multi-year journey influenced by factors such as existing hardware depreciation cycles, VMware licence renewal timelines, and the complexity of their existing IT environments.

While migrating virtual machines is relatively straightforward, replicating complex firewall rules and micro-segmentation configurations can be more intricate and time-consuming. Ramaswami stressed that Nutanix works closely with customers to navigate these complexities and ensure a smooth transition.

Beyond infrastructure modernisation, Nutanix is also positioning itself as an enabler of artificial intelligence (AI) adoption. Ramaswami emphasised the importance of running AI applications close to data sources, particularly for organisations that prefer to keep their data on-premise due to cost, security, or regulatory considerations.

He highlighted Nutanix’s GPT-in-a-Box offering, which provides a turnkey solution for deploying open source machine learning tools and simplifies the process of downloading, fine-tuning  and deploying pre-trained AI models. This offering, along with Nutanix’s support for Kubernetes, is designed to empower developers to build and deploy AI-powered applications seamlessly.

How SBS Transit is using Nutanix

Singapore transport operator SBS Transit recently made the move to Nutanix to support its ongoing five-year digital transformation journey.

Its chief technology officer, Teng Joo Loh, said the move to Nutanix was driven by a desire for a future-proof infrastructure that supports modernisation and simplifies operations. He cited features like developer tooling, enhanced security and interoperability with public cloud as key factors in the decision.

The operator, responsible for about 60% of Singapore’s bus services and a portion of the city-state’s rail network, has begun migrating planning applications to Nutanix using the lift-and-shift approach, and plans to expand its use of Nutanix to other workloads, leverage the platform’s developer tools, and implement micro-segmentation to enhance workload security.

It is also exploring how Nutanix can further support its hybrid cloud strategy. Loh said while mission-critical applications will remain on private cloud, SBS Transit is looking at leveraging public cloud for specific services, particularly those requiring scalability and cost-effectiveness.

A dedicated task force has been set up to explore modern technology stacks, software development approaches and secure-by-design principles, culminating in a successful lighthouse project demonstrating the company’s growing cloud proficiency.

AI also plays a critical role in SBS Transit’s digital transformation. The company is already using AI for predictive maintenance for its buses and trains, allowing for proactive interventions before issues escalate.

Loh sees AI as a powerful enabler for operational excellence, internal productivity and enhancing commuter engagement, adding that SBS Transit is collaborating with different partners to leverage the best AI models for specific use cases.

The recent launch of an innovation hub further reinforces SBS Transit’s commitment to collaborative problem-solving in the transport sector. “The intent is to bring startups, small and medium-sized enterprises, government agencies and industry leaders together to tackle the transport challenges we’re facing,” said Loh.

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