AT&T intends to quit VMware, Broadcom claims in legal filing

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Summary

That agreement, Broadcom argues, "contains an unambiguous End of Availability provision, which gives VMware the right to retire products and services at any time upon notice." The Broadcom filing claims the chips-and-code conglomerate "nonetheless negotiated in good faith with AT&T for months to enter into a new agreement that will fully address AT&Ts needs. Broadcom also argues that AT&Ts intention to quit VMware means the telco giants argument – that it would suffer harm from not being able to acquire support services – is weak. Weve seen insurance giant Geico, fintech Computershare, Boyd Gaming, and John Deere go public with plans to adopt other platforms. Those would-be migraters now have an example of how Broadcom might handle their negotiations: steep discounts for long-term commitments, hardball legal filings if things get heated.

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Linked Companies

Broadcom Inc.
$50M to $100M
VMware
$1M to $5M