The Future Of Enterprise Is Private: Broadcom’s Hock Tan At Explore’24
Tan reaffirmed commitments to simplify VMware’s products, improve integration and ease of use, and invest in ecosystem development
The future of the enterprise is private, said Hock Tan, President, CEO and Director, Broadcom, as he kicked off VMware Explore’24 on Tuesday in Las Vegas.
Tan cited the challenges associated with public cloud adoption, such as high costs, complexity, and compliance and asserted that the future of enterprise IT lies in private cloud solutions and private AI.
“Of course, you continue using the public cloud for elastic demand and bursting of workloads. But in this hybrid world, the private cloud is the platform to drive your business and innovation,” he said.
Tan acknowledged VMware’s acquisition by Broadcom last year and resonated with the attendees' feedback, which underlined the desire for VMware’s products to be more user-friendly and better integrated.
While highlighting the inefficiencies and problems associated with legacy data centres, Tan unveiled VMware’s Cloud Foundation 9 (VCF), accelerating customers’ transition from siloed IT architectures to a unified and integrated private cloud platform.
“It’s resilient, secure, and costs much less than public cloud,” he said and elaborated on the extensive catalogue of microservices available on VCF.
“We have security, disaster recovery, automation, ransomware, orchestration and now, Private AI. All these rich catalogues of services run on top of VCF,” he added.
Broadcom stated that VCF is the industry’s first private cloud platform to deliver public cloud scale and agility with private cloud security, resilience and performance, and low overall total cost of ownership.
Tan reiterated the three main commitments made post-VMware’s acquisition: simplifying VMware’s product offerings, enhancing ease of use and integration, and investing in ecosystem development for partners and customers.
Explore’24 is the first VMware’s Explore conference since Broadcom acquired VMware. Broadcom’s latest quarter, which ended May 5, 2024, was the first quarter, which included a full quarter of contribution from VMware.
Net consolidated revenue was $12.5 billion, up 43 per cent year-on-year. Excluding VMware’s, consolidated revenue was up 12 percent year-on-year. The company attributed this 12 per cent organic growth in revenue to AI revenue, which stepped up 280 per cent year-on-year to $3.1 billion.
While giving the guidance, the company said that it expects the revenue from AI to be much stronger, at over $11 billion for fiscal ’24, and raised the consolidated revenue guidance to $51 billion for this fiscal.
