VMware unveils cloud service provider program, signaling a major shift in its channel strategy under parent company Broadcom. The redesign aims to streamline partner eligibility, sharpen the focus on scalable cloud services, and create a more exclusive environment for providers who can deliver end-to-end solutions anchored in VMware’s technology.

Here are eight major changes that current and prospective VMware partners should be aware of.

VMware Unveils Cloud Service Provider Program

VMware unveils cloud service provider program. Here are some of the key details.

1. New invite-only structure

Rather than the prior broadly available VCSP program, the new iteration is invite-only. Partners who were part of the previous structure are not guaranteed participation in the new scheme—hundreds, if not thousands, of former VCSP partners were not invited to join According to Ahmar Mohammad, VMware’s vice-president of partners, managed services and solutions go-to-market, “The idea of the new VCSP program was not about just [partner] reductions; reduction is a by-product of it.”

2. Deadline for legacy partners

For those former VCSP participants who were not carried over into the new program, VMware has provided a transition window: their existing contracts will continue until March 2027, but renewal under the old structure will not be permitted. This gives partners time to plan migration, wind-down or explore partnerships with invited suppliers.

3. End of white-label model

Under the new scheme, VMware is eliminating its white-label program for channel providers. From 31 October 2025, no future white-label offerings will be accepted, and partners currently offering them must end those models by March 2027.

4. No dual role: CSP and reseller cannot coexist

Another major change is that a partner can no longer act simultaneously as a cloud service provider and a reseller of VMware licenses. Partners will have to choose one model: either offer cloud services built on VMware infrastructure, or be a reseller of VMware software, but not both.

5. Elevated standards for VCSP selection

The new VCSP program emphasizes technical depth, infrastructure ownership, and end-to-end service capabilities. According to VMware and Broadcom’s channel leadership, ideal partners are those who can design, implement, support and manage the full spectrum of the VMware Cloud Foundation (VCF) stack — including services such as disaster-recovery-as-a-service, backup-as-a-service, sovereign cloud and containers-as-a-service.

6. Focus on competing with public cloud hyperscalers

VMware’s strategy is now positioning itself more clearly as a hybrid/private cloud alternative to major public cloud vendors. Broadcom’s global channel chief Brian Moats emphasized that VMware is betting on its CSPs to provide “a cloud experience,  more predictable on cost, has lower costs and is more secure” an alternative to running workloads in public-cloud hyperscaler environments.

7. Licence portability tied to certified CSPs

Under the new rules, only partners who are part of the certified VCSP or are hyperscale cloud partners will qualify for licence-portability of VMware Cloud Foundation (VCF) to public-cloud environments. Partners not selected for the new VCSP will not be certified for such portability.

8. Transition expectations for non-renewing partners

For partners not invited into the new programme, VMware is encouraging strategic action: either divest their business, transition their customers to invited VCSP partners, or merge their books of business. “For non-renewing partners, now is the time to create value by evaluating strategic alternatives … for seamlessly transitioning impacted customers or transferring the VMware book of business to ensure zero disruption,” said Mohammad.

VMware Unveils Cloud Service Provider Program: What does this mean?

For VMware-centric solution providers, managed-service providers and system integrators, these changes represent a turning point. Being part of the new VCSP programme means demonstrating real cloud-services capability, infrastructure ownership or commitment, and a willingness to invest in VMware technologies (particularly VCF 9.0 and beyond). Partners who fit this profile stand to gain from VMware and Broadcom’s renewed focus and go-to-market momentum.

On the other hand, smaller partners or those reliant on legacy reseller or white-label models may face pressure. The transition window until March 2027 gives some breathing room, but the strategic direction is clear: VMware is prioritising fewer, larger, more capable cloud-service providers.

For customers, the shift is also noteworthy. VMware end-users seeking cloud services via VCSPs should expect providers with stronger infrastructure, clearer service-level agreements and more consistent operational models— potentially a more robust alternative to public cloud models.

As the channel ecosystem digests these changes, the key question will be how many prior VCSPs pivot successfully into the new model, and how many new partners step up to meet the more demanding criteria. VMware’s partner leadership has made clear: “We want our CSPs to grow bigger and bigger and bigger and much faster.”

With the new VCSP program now in effect, VMware and Broadcom are laying down a marker: this is no longer about broadly offering cloud-services, but about building a select group of elite cloud-service providers who can deliver a full VMware-powered stack with the agility, scale and cost predictability that enterprise customers are increasingly demanding.

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