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Renew VMware Cloud Foundation, move to Nutanix or migrate to Proxmox VE

11 min read

UK enterprises renewing VMware Cloud Foundation face per-core pricing with a 16-core-per-CPU floor, while a widely reported 72-core order minimum does not appear in Broadcom's current published guidance. This comparison works through VCF, Nutanix Cloud Infrastructure and Proxmox VE costs and migration effort for a UK enterprise infrastructure director.

Written by Kate Bennett Group CEO, Compare the Cloud

Renewing VMware Cloud Foundation means Broadcom's per-core pricing, with a 16-core-per-CPU floor, at roughly $350 (£264) per core per year. Nutanix Cloud Infrastructure bundles its AHV hypervisor free but publishes no price list. Proxmox VE charges per CPU socket, from €120 to €1,100 (£103 to £943) a year, a structurally cheaper unit before any discount. The right route depends on which VCF features you actually use and how much migration risk you can absorb.

Key pointers

  • Rebuild your core count from hardware inventory, not last year's socket count. Broadcom licenses every physical core, with a floor of 16 cores per CPU even if the chip has fewer.
  • Get the applicable order minimum confirmed in writing. Broadcom's own current core-counting guidance shows only the 16-core-per-CPU rule; a reported 72-core-per-order floor from April 2025 does not appear in that guidance today.
  • Ask for VCF, the smaller VVF bundle, Nutanix NCI and Proxmox VE quotes side by side. Each prices on a different unit, so a like-for-like comparison needs the same cluster modelled three ways.
  • Budget for the migration project, not just the licence. Backup, replication and DR tooling built for VMware may need re-validating on a new hypervisor.
  • Do not assume a small estate escapes the maths. Even a modest cluster can clear a five-figure annual VCF bill once the 16-core floor is applied.
  • Request 1, 3 and 5-year quotes before committing. List price is a starting point; volume and term discounts are commonly reported in the 20 to 40% range.
Deciding between VMware renewal, Nutanix and Proxmox VE
The practical sequence for a UK enterprise weighing renewal against migration.

What Broadcom's licensing change means for a UK enterprise

If your organisation has run VMware since before November 2023, your renewal conversation has changed shape twice: once when Broadcom retired perpetual licences and moved everything to subscription, and again as the per-core pricing model has worked its way through UK IT budgets. The practical question for an infrastructure director is not whether the bill has gone up, but which of three routes costs less over the life of the next contract: renew VCF, replatform onto Nutanix Cloud Infrastructure running the AHV hypervisor, or migrate to the open-source Proxmox VE.

A structural point worth flagging early: "Nutanix AHV" is not itself a product you buy. AHV is the free, KVM-based hypervisor bundled into every edition of Nutanix Cloud Infrastructure (NCI); the licence you actually purchase and negotiate is NCI, sold in Starter, Pro and Ultimate editions, priced per physical CPU core with no published list price (nutanix.com). That distinction matters when you are comparing quotes, because the number a Nutanix reseller gives you is an NCI edition price, not a standalone "AHV price".

How the VMware core-licensing bill is actually calculated

The commercial change under Broadcom is simple to describe and easy to underestimate. VCF and VVF licence physical CPU cores across every ESXi host, with a floor: each physical CPU is billed for a minimum of 16 cores even if the chip itself has fewer (Broadcom knowledge base article 313548). A host with a single 8-core CPU is billed as 16 cores; a host with two 8-core CPUs is billed as 32. The floor bites hardest on older, lower-core-count, multi-socket estates, and is irrelevant once you are running modern 32-core-plus processors.

A second, separate claim has caused more confusion than the 16-core floor itself: a reported 72-core-per-order minimum. Distributor memos in late March 2025 described a jump from a 16-core to a 72-core order minimum, effective 10 April 2025. Within roughly two weeks, distributors reported Broadcom had retracted it, while Broadcom told press it had "never announced a price change" (NovaCloud). Broadcom's current published core-counting guidance, checked live on 29 September 2026, describes only the 16-core-per-CPU rule; it does not mention a 72-core order floor. Treat any renewal quote that cites 72 cores as a channel or regional term to confirm in writing, not a documented Broadcom policy.

The scale of the effect depends entirely on hardware shape. At VCF list pricing, three worked examples make the pattern clear:

Cluster designReal physical coresBillable coresVCF list cost per year
3 hosts, 1x8-core CPU each2448$16,800 (~£12,682)
3 hosts, 2x12-core CPU each7296$33,600 (~£25,364)
6 hosts, 2x24-core CPU each288288$100,800 (~£76,093)

Low-core-count, multi-socket hardware pays the floor twice over; high-core-count hardware pays for exactly what it uses. That is the single most useful thing to check before any renewal conversation: what is your real core count, and how far is it below the 16-per-CPU floor.

The diagram below sets out the practical decision sequence: confirm your real core count and get a written quote first, then work through what each platform actually replaces before you commit to a term.

Pricing and cost model for each route

All three platforms price differently, which is exactly why a side-by-side worked example is more useful than a single list price. Take a representative UK enterprise cluster: four hosts, each with two 16-core CPUs, giving 128 physical cores and eight CPU sockets in total.

RoutePricing unitList rateWorked annual cost for this clusterWhat it includes
VMware Cloud Foundation (renew)Per physical CPU core~$350/core/year (~£264)128 cores x $350 = $44,800 (~£33,819)vSphere, vSAN (1 TiB/core), NSX, HCX, Aria Operations and Automation, all in one subscription
Nutanix Cloud Infrastructure, Pro editionPer physical CPU coreNot published; quote-onlyAsk Nutanix or a reseller for a written per-core rate against this exact core countAOS storage, AHV hypervisor (free), Prism Central Pro, Flow networking, erasure coding, encryption
Proxmox VE, Standard supportPer CPU socket€550/socket/year (~£471)8 sockets x €550 = €4,400 (~£3,772)Full feature set including Ceph software-defined storage, SDN, distributed firewall; differs from Basic/Premium only in ticket allowance and response time

Figures are list prices excluding VAT, converted at the European Central Bank reference rate of $1 = £0.75489 and €1 = £0.85718 on 29 September 2026 (Frankfurter/ECB). They exclude support uplift beyond the stated tier, professional services, hardware and any negotiated discount, and are not a substitute for a written quote against your actual estate.

On Nutanix, the absence of a published price is the point, not a gap in this research. Third-party benchmarking of reseller-listed contracts puts NCI Pro anywhere from roughly $130 to $650 per core per year depending on support tier and deal size, a spread wide enough that neither figure should be treated as reliable until your own reseller puts a number against your core count (CheckThat.ai; VendorBenchmark). What is verifiable is the structure: AHV is free, NCI is licensed per physical core with no published minimum order, and a 3-node cluster is the smallest supported production deployment.

On Proxmox, the Community tier at €120/socket/year (about £103) gets stable updates but only community-forum, self-service support, which most enterprises will not treat as adequate for production. Basic, at €370/socket/year, includes three support tickets a year with one-business-day response. For workloads that need faster turnaround, Standard (€550/socket/year, 4-hour response, 10 tickets) is the more realistic enterprise floor, and Premium (€1,100/socket/year, 2-hour response, unlimited tickets, 24/7 from 19 October 2026) is the closest match to VCF's always-on support expectation.

What to check before you decide

  • Ask your reseller for the exact core count they will quote, the minimum rule they are applying, and whether it is 16 cores per CPU only or includes any order-level floor, in writing.
  • Confirm whether your workloads actually use NSX, HCX, Aria Automation or Tanzu. If not, VMware vSphere Foundation (VVF) or a non-VMware platform may cost less without losing anything you use.
  • Check whether your backup and replication tools (for example Veeam or Zerto configurations) are certified against Nutanix AHV or Proxmox VE, not just VMware ESXi, before you commit to a migration timetable.
  • Ask what "24/7 support" actually covers on each platform: response time, escalation path, and whether out-of-hours cover is already live or, as with Proxmox Premium, arriving on a stated date.
  • Get a 1-year, 3-year and 5-year quote for whichever platform you shortlist. Multi-year commitments typically carry a lower per-core or per-socket rate but reduce your ability to change course mid-term.
  • Confirm who is doing the migration work if you switch platforms: an internal team, the incumbent reseller, or a specialist partner, and price that labour separately from the licence.

Vendor and option comparison

CriterionVMware Cloud Foundation (renew)Nutanix Cloud Infrastructure (AHV)Proxmox VE
Pricing unitPer physical CPU core, annual subscriptionPer physical CPU core, annual subscriptionPer CPU socket, annual support subscription
Published list price~$350/core/year (~£264)Not published; quote-only€120 to €1,100/socket/year (~£103 to £943) by tier
Hypervisor costBundled inside VCF subscriptionAHV included free in every NCI editionIncluded in every support tier
Storage includedvSAN, 1 TiB per licensed coreAOS distributed storage, edition-dependentCeph, included in every tier
Networking/security add-onsNSX and HCX bundled into VCF (not VVF)Flow microsegmentation on Pro and aboveBuilt-in SDN fabrics, distributed stateful firewall
Migration effort if switchingNone; incumbent platformNutanix Move, free, cross-hypervisor toolBuilt-in ESXi import in the GUI and API
Documented minimums16 cores per CPU; disputed 72-core order floor3-node minimum for productionNo published core or socket minimum
Admin skillsExisting VMware/vSphere skills carry over directlyPrism replaces vCenter; retraining neededLinux/KVM familiarity helps; smaller admin talent pool than VMware
Best suited toEnterprises that actively use NSX, Aria and HCX and can absorb the renewalEnterprises wanting one bundled, quote-negotiated stack with a free hypervisorCost-sensitive enterprises with in-house Linux capability or a supporting partner

No platform here is a universal winner. An enterprise running Tanzu-based Kubernetes workloads and NSX micro-segmentation loses real functionality by leaving VCF; one running simple VM estates with no software-defined networking dependency may find that functionality was never worth its share of the bill.

Editorial analysis

The most useful number in this decision is not any single vendor's list price; it is the unit each platform prices on. VMware and Nutanix both license physical CPU cores, so a hardware refresh toward higher-core-count, fewer-socket servers reduces your bill under either. Proxmox licenses sockets, so the same refresh has the opposite effect: fewer, denser servers means fewer sockets to license, and the per-socket rate does not change with core count at all. That single structural difference is worth modelling against your actual hardware roadmap before comparing headline prices.

The forced-migration framing in the query is broadly right but the specific mechanism is contested. The 16-core-per-CPU floor is documented, current and confirmed directly on Broadcom's own site. The 72-core-per-order minimum that some reporting still cites was real for roughly two weeks in April 2025 and, on Broadcom's own current guidance, is not currently documented policy. An enterprise budgeting a renewal on the assumption of a 72-core floor may be modelling a cost that no longer applies to their specific order, or may hit it anyway on some channel-specific terms nobody has confirmed. Either way, the number to build a budget from is the one your reseller puts in writing against your actual core count, not a figure from a blog post, including this one.

Sources

Data & Insights

How the 16-core floor inflates a VMware Cloud Foundation quote

Real physical cores against Broadcom-billable cores for three cluster designs, at VCF list pricing.

How the 16-core floor inflates a VMware Cloud Foundation quoteReal physical cores against Broadcom-billable cores for three cluster designs, at VCF list pricing.Real physical c…Billable cores01002003003 hosts, 1x8-core CPU3 hosts, 1x8-co…3 hosts, 2x12-core CPU3 hosts, 2x12-c…6 hosts, 2x24-core CPU6 hosts, 2x24-c…3 hosts, 1x8-core CPU, Real physical cores: 243 hosts, 2x12-core CPU, Real physical cores: 726 hosts, 2x24-core CPU, Real physical cores: 2883 hosts, 1x8-core CPU, Billable cores: 483 hosts, 2x12-core CPU, Billable cores: 966 hosts, 2x24-core CPU, Billable cores: 288
View the data
How the 16-core floor inflates a VMware Cloud Foundation quote
CategoryReal physical coresBillable cores
3 hosts, 1x8-core CPU2448
3 hosts, 2x12-core CPU7296
6 hosts, 2x24-core CPU288288
Source: VMware Made Simple, based on Broadcom KB 313548

Worked example: annual software cost for a 128-core, 4-host cluster

List price comparison for the same hardware footprint under VMware Cloud Foundation and Proxmox VE Standard support, converted to GBP.

Worked example: annual software cost for a 128-core, 4-host clusterList price comparison for the same hardware footprint under VMware Cloud Foundation and Proxmox VE Standard support, converted to GBP.£0.00£10,000.00£20,000.00£30,000.00£40,000.00VMware Cloud Foundation (128 cores)VMware Cloud Fo…Proxmox VE Standard (8 sockets)Proxmox VE Stan…VMware Cloud Foundation (128 cores), Annual list cost (GBP, ex VAT): £33,819.00Proxmox VE Standard (8 sockets), Annual list cost (GBP, ex VAT): £3,772.00
View the data
Worked example: annual software cost for a 128-core, 4-host cluster
CategoryAnnual list cost (GBP, ex VAT)
VMware Cloud Foundation (128 cores)£33,819.00
Proxmox VE Standard (8 sockets)£3,772.00
Source: Broadcom/VMware Made Simple list pricing and Proxmox VE pricing, CTC calculation at 29 September 2026 exchange rates

Frequently Asked Questions

Is the 72-core minimum for VMware Cloud Foundation still in effect?

Broadcom's own current core-counting guidance describes only a 16-core-per-CPU minimum, not an order-level 72-core floor. A 72-core order minimum was reported as introduced in April 2025 and retracted within roughly two weeks after industry pushback. Ask your reseller to confirm in writing which minimum applies to your specific order.

Does Nutanix AHV cost extra on top of Nutanix Cloud Infrastructure?

No. AHV is included at no additional licence cost in every Nutanix Cloud Infrastructure (NCI) edition. The number you negotiate is the NCI per-core rate for Starter, Pro or Ultimate; there is no separate AHV fee.

Why does Proxmox VE price per socket instead of per core?

Proxmox's subscription model predates the industry's shift to per-core licensing and has not changed with it. All four published tiers (Community, Basic, Standard, Premium) charge per CPU socket per year and include the same feature set, including integrated Ceph storage; the tiers differ only in support response time and ticket allowance.

Can I mix VMware, Nutanix and Proxmox in the same estate during migration?

Yes, in principle; a phased migration running workloads on two hypervisors in parallel is a normal pattern for large estates. The practical constraint is usually your backup, replication and monitoring tooling, which needs certified support for whichever platforms are live at the same time, not the hypervisors themselves.

What is the smallest deployment each platform supports?

VMware Cloud Foundation's Management Domain requires a minimum of four ESXi hosts on a standard vSAN cluster, or eight across two availability zones for a stretched cluster, as documented by Broadcom. Nutanix Cloud Infrastructure requires a minimum 3-node cluster for production. Proxmox VE has no published minimum core, socket or node count; a single node can run in production, though clustering is recommended for high availability.