Understanding VMware Cloud on AWS Pricing

In case you missed it, there are new pricing updates for VMware Cloud on AWS.

In November, we made 1-year and 3-year subscription pricing available. These longer-term commitments help customers get a 30% and 50% discount respectively over on-demand pricing. Combined with our Hybrid Loyalty Program that allows a maximum of 25% discount, customers can achieve significant cost savings with VMware Cloud on AWS.

Let’s go through a few examples to understand how:

The pricing example below illustrates what you can expect to pay for a 1-year subscription of 4 hosts. At a list price of $51,987/year/host the price for 4 hosts turns out to be $207,948/year ($51,987×4).

Easy-peasy!

As you can see, this is approximately 30% cheaper than the on-demand service. If utilized continuously over the same duration of a year, the on-demand service would cost $293,218/year (8.3681/hour*4 hosts*24 hours*365 days).

With me so far?

Great, now let’s move onto the Hybrid Loyalty program.

The hybrid loyalty program is valid only with 1-year and 3-year subscription pricing. It is the savings you can achieve on VMware Cloud on AWS based on licenses* you own on-premises as long as you are active on support and subscription for those licenses. The way it works is that for every 2 CPU licenses that you have on premises you get this discount on 1 host (2 CPUs) of VMware Cloud on AWS.

Now, let’s look at an example where you purchase a 1-year subscription of 10 hosts and have made investments with us on-premises. At a list price of $51,987/year/host the price for 10 hosts turns out to be $519,870/year ($51,987 x10). In order to understand how the Hybrid Loyalty Program works let’s consider three scenarios.

Scenario 1

You have 100 CPUs of vSphere Enterprise Plus licenses on-premises that are active on Support and Subscription. You can receive a 10% discount on all 10 hosts.

So, your expected bill would be ($51,987x (1-10%) x 10) = 467,883 which results in 36% savings over on-demand.

Scenario 2

You have 100 CPUs of vSphere Enterprise Plus Licenses and 10 CPUs of NSX licenses on-premises that are active on Support and Subscription. You can receive a 20% discount first 5 hosts and 10% on the remaining 5.

The expected bill in this scenario would be ($51,987x (1-20%) x 5) + ($51,987x (1-10%) x 5)= 441,890 which results in 40% savings over on-demand.

Scenario 3

You have 100 CPUs of vSphere Enterprise Plus Licenses, 20 CPUs of NSX licenses and 20 vSAN licenses on-premises that are active on Support and Subscription. You can receive a 25% discount on all 10 hosts.

So, your expected bill would be ($51,987x (1-25%) x 10) = 389,903 which results in 47% savings over on-demand.

In the above example, the combined 1-year subscription and Hybrid Loyalty Program savings over on-demand go up till 47%. You can further maximize your cloud savings by opting for a 3-year subscription pricing which combined with the hybrid loyalty program can result in savings up to 63% over on-demand. It is also worth noticing that the larger your on-premises foot-print the more you save on VMware Cloud on AWS.

With the Hybrid Loyalty Program, you can continue to confidently invest in VMware on-premises and use this investment to save on cloud infrastructure that you may need now or in the future. All you need to do is stay active on your on-premises support and subscription.

It’s really that simple!

Please note: Only certain on-premises licenses qualify, to find more information you can visit https://cloud.vmware.com/vmc-aws/pricing or https://cloud.vmware.com/vmc-aws/faq.

To find out more about VMware pricing and packaging and the hybrid loyalty program, visit https://cloud.vmware.com/vmc-aws/pricing or https://cloud.vmware.com/vmc-aws/faq.

You can also find out more about all of our VMware Cloud Services at cloud.vmware.com.

Visit our resources page and discover more about VMware HCX technologies.

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