HPE's Freebie: One Year of VM Essentials
HPE is making a bold move to capture VMware refugees: a full year of free VM Essentials licenses for new customers. For 600 top partners, they're extending that to three years (support costs not included). The goal is to lower the barrier to migration, especially the dreaded double-expense period where customers pay for both old and new virtualization platforms.
"One of the big things we see is that as customers are going through this journey on transforming their operating model, you end up with double expenses," HPE EVP and CTO Fidelma Russo told The Register.
Partner Reactions: Good Start, but Not Enough
Dean Colpitts, CTO of Canadian MSP Members IT Group (MITG) — which VMware cut from its reseller program after 19 years — isn't convinced the promotion will move the needle much. "All our clients work on three, four, or five-year life cycles and generally roll that purchase into their initial buy," he told Ars. The bigger blocker? DRAM prices and availability. "The high prices and constraints of DRAM [are] affecting customers' ability to obtain new hardware to migrate onto."
Colpitts points out a chicken-and-egg problem: customers need hardware to run VM Essentials, and new hardware is expensive and scarce. For brownfield migrations (reimaging existing servers from VMware to VM Essentials), the free license helps, but hardware still ties their hands.
On the flip side, Nth Generation, a major HPE partner, expects its VM Essentials sales pipeline to quadruple. Co-president and CTO Dan Molina told CRN: "These additional free licensing and migration capabilities are going to drastically lower the risk of moving to VM Essentials."
The 600-Partner Cap: Shortsighted?
HPE is limiting the three-year free license offer to 600 partners who earn the Private Cloud with Virtualization competency by year-end. Colpitts calls this "very shortsighted." He argues HPE should give VM Essentials to all partners "to facilitate getting [VM Essentials] into customer sites and displacing the competitors." His advice: "They need to fling [VM Essentials] as far and as fast as they possibly [can] to immediately gain traction and draw ISVs to them, which will increase adoption even more."
Technical Reality Check
VM Essentials is HPE's entry-level virtualization platform, positioned as a cheaper alternative to VMware vSphere. It's based on the same underlying technology as HPE's more advanced offerings but with a simpler feature set. Key technical details from the source:
- The promotion covers only the software license; customers still pay support costs.
- For brownfield migrations, customers need to reimage existing hardware — a process that requires sufficient DRAM and storage, which are currently constrained.
- The free period is one year for end customers, three years for 600 qualified partners.
Migration Pain Points
The double-expense problem is real. During migration, organizations often run both platforms side by side, paying for two sets of licenses. HPE's free year eliminates one of those costs, but hardware procurement delays can stretch the transition beyond 12 months. Colpitts's clients operate on 3-5 year hardware cycles, meaning the free license might expire before they're ready to fully switch.
What This Means for Developers
If you're managing VMware infrastructure and considering alternatives, this is a concrete financial incentive to evaluate VM Essentials. The free license removes the upfront cost, but you still need to budget for hardware and migration effort. For shops already on HPE hardware, the integration might be smoother. For those on commodity servers, check DRAM availability first.
Bottom Line
HPE's promotion is a tactical move, not a strategic shift. It lowers the risk of trying VM Essentials but doesn't solve the hardware shortage. Partners are split: some see a pipeline boom, others see a too-limited offer. If you're a VMware customer on the fence, this is your chance to test-drive an alternative for free — but plan your migration timeline carefully.
