Gartner: 55% of enterprises will test VMware alternatives by 2029, up from 25%

Gartner predicts that by 2029, 55% of enterprises will start proofs of concept for alternatives to their VMware deployments, up from 25% in 2026, The Register reported on September 22, 2026. The prediction appears in Gartner's Distributed Hybrid Infrastructure Magic Quadrant, where VMware is still rated a Leader alongside AWS, Nutanix, Microsoft and Oracle. In a separate, first-in-a-decade Server Virtualization Magic Quadrant, Gartner calls VMware the technical leader but says clients report that per-core subscriptions have caused significant cost increases with little room to negotiate.

For businesses that run their own servers or private cloud, this confirms what many have seen at renewal: VMware remains capable, but cost and commercial practices are pushing buyers to at least look at alternatives. Gartner also flags drawbacks elsewhere, including complex Nutanix pricing, multiple management consoles for Microsoft, and limited enterprise application support for Proxmox.

Before your next VMware renewal, document how many cores you license and what you actually use. Ask your provider or advisor to price at least one alternative, and to estimate the cost and risk of migrating, not just the license price. Gartner's own advice is that clients should carefully evaluate the ROI of potential migrations.

The Register notes that many customers signed three-year subscriptions, making 2029 a natural point to reassess. Starting a small proof of concept well ahead of a renewal gives you real data and better leverage.

Sources

1.The Register ↗theregister.com

Vendor in this insight

VMware

Server virtualization, software-defined networking, and HCI platform — acquired by Broadcom for $61B in 2023. VMware vSphere remains the dominant enterprise hypervisor running ~70% of virtualized workloads in enterprise data centers globally. Broadcom converted VMware's perpetual licenses to subscription-only in 2024, forcing all customers into VMware Cloud Foundation (VCF) bundles — causing widespread price increases of 3-10x and accelerating migration to Nutanix and Microsoft Azure Stack HCI. VMware's end-user computing (Workspace ONE, Horizon VDI) was sold to KKR and rebranded as Omnissa in 2024. Despite Broadcom controversies, vSphere remains deeply entrenched and is the primary infrastructure platform for healthcare, financial services, and government data centers.

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Gartner: 55% of enterprises will test VMware alternatives by 2029, up from 25%

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