Hock Tan's Keynote at VMware Explore 2024: Building a Future with Private Cloud and AI

Hock Tan, CEO of Broadcom, took the stage at VMware Explore 2024 in Las Vegas with a clear and compelling message for the technology community: the future of enterprise IT lies in private, on-premise clouds bolstered by advanced AI capabilities. In his keynote, Tan highlighted the critical role of VMware Cloud Foundation (VCF) as a robust, enterprise-class platform that offers the scalability and resilience of public clouds within the secure confines of an organisation's own data centre.

Since Broadcom acquired VMware in November, there has been a renewed focus on refining VCF to make it more user-friendly and integrated. Tan emphasised that more than 80% of enterprise CIOs are reconsidering their public cloud strategies, with many opting to repatriate workloads back to private clouds. This trend underscores a growing demand for greater control, reduced complexity, and enhanced cost efficiency—key attributes that VCF is designed to deliver.

During his speech, Tan announced the forthcoming VMware Cloud Foundation 9, which promises simplified deployment, enhanced management capabilities, and new features tailored to modern enterprises' needs. The event also saw the launch of VMware Tanzu Platform 10 and advancements in software-defined edge products, positioning VMware as a leader in both cloud and edge computing.

Tan's keynote was not just about the technology but also a rallying call for practitioners, partners, and CIOs to embrace private cloud solutions to drive business innovation. As the industry shifts towards hybrid and private cloud environments, VMware, under Broadcom's leadership, is poised to provide the tools and platforms necessary to navigate this evolving landscape.

Doubling Down on User Experience and Integration

Reflecting on nearly a year since Broadcom acquired VMware, Tan underscored a significant shift in strategy focused on listening to customer needs. "We've been hearing from you," Tan remarked, emphasising that customers demand more cohesive, user-friendly products. This feedback has driven Broadcom to "roll up our sleeves" and ensure VMware products function seamlessly together and address the evolving demands of enterprise IT environments.

Tan critiqued the early rush to public cloud adoption, likening it to a collective rush driven by 'bright, shiny objects' that ultimately led to challenges, including high costs, increased complexity, and compliance burdens. Highlighting a shift to on-prem solutions, Tan cited a survey indicating that over 80% of CIOs consider repatriating workloads from the public cloud to private infrastructures. He portrayed the hybrid world as one where the private cloud is the primary platform for innovation and control, with the public cloud reserved for specific use cases such as elastic demand.

Streamlining Complexity: The Power of a Unified Platform

One of the core messages from Tan was the need to eliminate the inefficiencies created by legacy data centre silos—where storage, computing, and networking exist in separate realms, complicating governance and increasing operational costs. According to Tan, these fragmented environments hinder collaboration and resilience, causing delays and escalating costs when issues arise.

VMware Cloud Foundation aims to address these challenges by offering a unified, fully virtualised data centre platform. "We take the software we have grown to trust and love—ESX, vSphere, vSAN, NSX, and vRealize—and make it all work together very well," Tan explained. This integration allows organisations to build a resilient, secure environment that costs significantly less than public cloud alternatives while providing a rich catalogue of microservices to drive high-velocity service delivery.

The Future is in Simplicity and Community

Tan concluded his keynote by reiterating Broadcom's commitment to simplifying VMware's product suite and making it more accessible. Before the acquisition, VMware had 8,000 SKUs; today, that has been streamlined to just four core offerings—a testament to Broadcom's focus on efficiency and ease of use. "We are investing a lot to make these products easy to use and work together," Tan stated, highlighting a robust catalogue of advanced services designed to support diverse application needs.

Further reinforcing the company's dedication to its ecosystem, Tan emphasised the importance of partner and customer success as integral to VMware's ongoing strategy. "Your success represents our success," he affirmed, positioning VMware and its community as the vanguard of the private cloud revolution. As enterprises increasingly recognise the value of private and hybrid clouds, VMware, with Broadcom's backing, is strategically positioned to lead this transformative shift.