Broadcom VCF Division

Product Licensing Guide (PLG) for the

VMware Cloud Service Provider (VCSP)
Route to Market

Publish Date: May 17, 2024

BROADCOM CONFIDENTIAL
 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

Table of contents

I. About the Product Licensing Guide (PLG) 3

II. Definitions 3
III. Partner Offering Requirements 3
Packaging Requirements 3
Pricing Requirements 4
IV. Products 5
VMware Cloud Foundation 5
Add-ons 6
V. VCSP additional entitlements 6
VI. Licensing Metrics 6
VII. Products Pricing 7
MSRP Pricing 7
CCM Reporting 7
Billing and Payment Model 7
Commitments 8
Overage 9
Discount 9
Mandatory Automated Reporting and Usage Meter 9
VIII. License Portability Requirements 11

This Product Licensing Guide (“PLG”) governs product pricing, packaging and usage by our VMware Cloud Service
Providers (“VCSP”) under the Broadcom Advantage Partner Program. Access to and participation in the VCSP route to
market, requires, amongst other things, that the VCSP partner be in good standing under the applicable partner
program and associated terms and conditions as well as having an approved contractual arrangement with an
approved Cloud Commerce Manager (“CCM”) under the Broadcom Advantage Partner Program.

THIS DOCUMENT AND THE INFORMATION IN IT ARE DEEMED CONFIDENTIAL AND SOLELY FOR THE USE OF VCSP
PARTNER, AND MAY NOT BE DISCLOSED TO ANY THIRD PARTY OR USED FOR ANY THIRD-PARTY PURPOSE WITHOUT THE
EXPRESS WRITTEN PERMISSION OF BROADCOM.

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 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

I. About the Product Licensing Guide (PLG)

This PLG forms an integral part of and is incorporated by reference in the Regional Partner Agreement and
Appointment of Rights authorizing our Partners to participate in the VCSP route to market and provides essential terms
and conditions on permitted uses and restrictions as well the pricing and packaging terms of VCF and any Add-ons
made available under the VCSP route to market. The terms found in this PLG are in addition to those found in the in
the applicable VCSP Regional Partner Agreement and Appointment of Rights as well as all referenced terms, including
the SPDs (collectively “Partner Agreement”) which enable VCSP partners to combine their managed services with
certain Broadcom products, as authorized herein, to offer to end users combined service offerings on a subscription
basis (“Partner Offering”).

II. Definitions
In this PLG, the following terms have the meanings set forth:
● “Add-On” has the same meaning ascribed to it in the Agreement, which for clarity are those Broadcom
offerings listed in Section IV
● “Broadcom Portal” means the portal that Broadcom makes available for the purposes of the Broadcom
Advantage Partner Program.
● “Compute Core” has the meaning ascribed to it in the SPD applicable to the Software.
● “Core” has the meaning ascribed to it in the SPD applicable to the Software.
● “Gateway Firewall Core” has the meaning ascribed to it in the SPD applicable to the Software.
● “Partner” means a partner in good standing under the Broadcom Advantage Partner Program and the VCSP
route to market.
● “Partner Offering” has the meaning ascribed to in the preamble of this Guide.
● “Processor” has the meaning ascribed to it in the SPD applicable to the Software.
● “Service Unit” has the meaning ascribed to it in the SPD applicable to the Software.
● “Specific Program Documentation” or “SPD” has the meaning ascribed to it in the License Agreement.
● “TiB” has the meaning ascribed to it in the SPD applicable to the Software.

Any capitalized term not defined herein has the same meaning ascribed to it in the Partner Agreement.

III. Partner Offering Requirements

Partners are authorized to procure subscriptions to and use VCF and any Add-ons, both as described below, to offer a
Partner Offering that meets all requirements described herein.

Packaging Requirements
● Distinct Offering. Partner may offer a single or multiple configuration(s) of a Partner Offering, provided that
each Partner Offering must be a clearly defined, published, and distinctly offered and priced as a cloud
offering.

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Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

● Mandatory Bundling. Partners must bundle at least one VCF component with at least one of its managed
services to create and offer their Partner Offering.
● Mandatory Products. Partners must use at least one VCF component, and at least one managed service to
create and offer their Partner Offering.
● Optional Products. Partners may use any Add-ons, as an additional software to VCF, to create and offer their
Partner Offering.
● Subscription Only. The Partner Offering must be provided on a subscription basis.
● License Holder. Subject to License Portability exception provided below, Partner is and will be the sole licensee
of VCF and any Add-ons used to create and deliver Partner Offering.
● Management Responsibilities. Partner may allow its customer of the Partner Offering to discharge certain IT
infrastructure tasks (such as management of updates and upgrades), provided Partner retains responsibility
for the management of the Partner Offering and provides services for which Partner receives bona fide cash
consideration. In such cases, the Partner remains the licensee to any Products licensed hereunder for that
Partner Offering and remains responsible to Broadcom for complying with the terms of this Guide and the
License Agreement. For clarity, this customer managed option discussed in this bullet is not the same as the
License Portability capability discussed later in this document.
● Support. Partner must provide all levels of support to end users of Partner Offering. Broadcom’s sole support
obligation is to provide L3 support to Partner.
● Sole Source for Partner Offering. Partner must procure all entitlements for use in this route to market under
the Partner Agreement and is not authorized and expressly prohibited from utilizing entitlements obtained
elsewhere, with the exception of the permitted use of a Partner customer’s License Portability entitlements
under the conditions detailed below.

Pricing Requirements
● Licensed Cores. Partner must license a minimum of 16 Cores of VCF per CPU for each host. For clarity, Partner
may offer configurations of Partner Offering with less than 16 Cores per CPU for each host, provided that the
Partner has licensed the required 16 Cores minimum per CPU for each host.
● Physical Cores. All Cores on a host must be licensed even if a lower number of Cores is required. Disabling of
Cores is not allowed. Each physical Core on the physical Processor must be licensed, including physical Cores
deactivated by the BIOS. The required number of core licenses equals the number of physical Cores on the
Processor, subject to the minimum of 16 Core licenses per Processor.
● Not for Resale (NFR) Cores. Subject to Broadcom’s then current processes, Partners are eligible for not-for-
resale (NFR) licenses to:
▪ VCF, VMware Firewall and VMware Firewall with Advanced Threat Prevention for up to 256
NFR Cores for Premier Partners, and up to 512 NFR Cores for Pinnacle Partners, for free (more
NFR Cores may be available subject to written approval pursuant to Broadcom’s then-current
process which may be obtained from the regional representatives); and
▪ VMware Avi Load Balancer for up to 4 Service Units for free.
NFR licenses are to be used for Partner testing and customer demos only. NFR licenses cannot be used in
customer or Partner production environments. NFR license usage must be reported under the Mandatory
Automated Reporting and Usage Meter section below.

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 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

● Consumption Model. Partner Offering may only be provided as a cloud or managed service offering on a
subscription or on-demand consumption model.

IV. Products
● The products available for licensing by Partner are VCF and Add-ons as described in this Section.
● Partner must license VCF for each Partner Offering, while Add-ons are optional.
● Licenses to VCF and any Add-ons are only available on a subscription basis.

VMware Cloud Foundation

● Components, Features and Functionalities. Broadcom continuously enhances features, functionalities, and
components of VCF. For the latest update on the features, functionalities, components and other details of
VCF, please refer to the following resource: https://www.vmware.com/products/cloud-foundation.html
● General Components. The general components of VCF as of the effective date of this PLG version are as shown
below:

● vSAN. The vSAN Enterprise component available in VCF is limited to 1 TiB per VC Core as further described in
the SPDs. Additional consumption requires licensing vSAN Add-on licenses.
● Mandatory Upgrade Regiments.
● Partner must provide an adoption plan to show their aim to maintain on current VCF releases. The VCSP
route to market expected (but not mandatory) software version currency regiment is that new Partner
Offering deployments should be using VCF releases which have been released within the prior 12 months.
For existing Partner Offering deployments, Partners should be using releases which have been released
within the prior 24 months.
● Partner is required to deploy consistent software versions for all deployed components of VCF.

Add-ons
● Available Add-ons. Licenses to the following software are available as “Add-on” and must be used along with
VCF (not licensed to be used on hosts not running VCF):

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 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

● vSAN
● VMware Live Site Recovery
● VMware vDefend Firewall
● VMware vDefend Firewall with Advanced Threat Prevention
● VMware ATP add-on to vDefend Firewall
● VMware vDefend Advanced Threat Prevention Add-on (Bundle)
● VMware Avi Load Balancer
● VMware Private AI Foundation

● Components, Features and Functionalities. Broadcom continuously modifies features, functionalities, and
components of Add-ons. For the latest update on the features, functionalities, components and other details
of Add-ons, please refer to the following resources:
● vSAN Enterprise: https://www.vmware.com/products/vsan/resources.html
● VMware Firewall: https://www.vmware.com/products/nsx-distributed-firewall.html
● VMware Load Balancer: https://www.vmware.com/products/nsx-advanced-load-balancer.html
● VMware Live Site Recovery: https://www.vmware.com/products/live-recovery.html
● VMware Private AI Foundation: https://www.vmware.com/artificial-intelligence/private-ai-foundation-
nvidia.html

V. VCSP additional entitlements

● No charge. The following products are available to Partner at no additional charge for use with the Partner
Offering only:
o VMware Cloud Director Availability (VCDA) Migration.
o VMware vCloud Usage Meter (UM).
● Restricted Use. These products can only be used in the Partner licensed environment and cannot be used on
hosts that are not running the licensed VCF software.
● VMware Cloud Director Availability. The VMware Cloud Director Availability made available for free
hereunder includes only the migration feature, no other feature is authorized for such free use.

VI. Licensing Metrics

● Licensing Metrics. The licensing notes and the licensing metrics of VCF and the Add-ons are found in their
respective SPD.
● Summary Table. The following is a summary of the licensing metrics for each Product (for clarity, the details
of such metrics, including additional terms, are found in the SPD applicable to that Product):
Figure 1: Licensing Metrics.

Product Licensing Metric SKU

VCF Per Core VCF-CLD-FND-5
vSAN Per TiB VCF-VSAN-8
VMware vDefend Firewall Distributed Firewall: per Compute Core (1 Compute Core = 1 ANS-VMW-FW-B
Core)
Gateway Firewall: per Gateway Firewall Core (1 Gateway
Firewall Core = 4 Cores)

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 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

VMware vDefend Firewall ATP for Distributed Firewall: per Compute Core (1 Compute ANS-FW-ATP-B
with Advanced Threat Core = 1 Core)
Prevention ATP for Gateway Firewall: per Gateway Firewall Core (1
Gateway Firewall Core = 4 Cores)
VMware vDefend ATP for Distributed Firewall: per Compute Core (1 Compute ANS-FW-ATPAD-B
Advanced Threat Core = 1 Core)
Prevention Add-on ATP for Gateway Firewall: per Gateway Firewall Core (1
(Bundle) Gateway Firewall Core = 4 Cores)
VMware Avi Load Balancer Per Service Unit ANS-VMW-ALB
VMware Private AI Per Core VCF-PAIFN
Foundation with NVIDIA
and SQL Support
VMware Live Site Recovery Per Protected VM VCF-VLR-PVM
component of VMware
Live Recover

VII. Products Pricing

● Partners pay fees for VCF and any Add-ons based on the MSRP described below minus the discount described
below.

MSRP Pricing
● MSRP Price List. The then current MSRP price for VCF and Add-ons can be found in the Broadcom Portal (“Price
List”) and the then current Price List will govern all orders and overages.

CCM Reporting
● Billing and Reporting. The CCM serves the role of a billing agent between Broadcom and the Partner.

Billing and Payment Model

● Billing Model. The single supported subscription selling model between Partner and Broadcom is a
commitment for capacity for a specific term with the possibility of overage. (e.g. 500 cores per month for three
years, with overage billing). This commitment can be made at the Partner’s aggregate level or on a Partner’s
customer by customer level as described below.
● Basis of measure. Each Product is measured in a non-currency measure (Cores, instances, etc.).
● Payment Model. Partners may use this model with two payment models:
o An up-front billing model, with overage (if any) billed monthly in arrears.
o Monthly billing model, with monthly billing forward for committed capacity and overage based on
usage billed in arrears.

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 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

Commitments
● Commitment Types. There are two types of commitments: Aggregate Commitment and Customer
Commitment.
● Applicable to all commitments.
o Commitment Measure. All commitments are product specific and based on the quantity of the
applicable license metrics. For example, a commitment (regardless of type) may be for 68,000 Cores
of VCF for 3 years.
o Minimum Commitment Term. All commitments must have a minimum term of 3 years.
o Payment Due Date. Commitments can be paid pre-paid for the term, annually, or monthly. Annual
payments are due at the beginning of each year of the commitment term. Monthly payments are due
at the beginning of each month of the commitment term.
o Types of Invoices. Broadcom generates two invoices for each commitment: Commitment Invoice and
Overage Invoice.
o Hourly Measure. Commit and overage is measured hourly. Hourly is calculated by dividing the
applicable annual rate by 8,760.
o No aggregation of commitments. Partner’s Customer Commitments and Aggregate Commitments are
all measured individually.
o No grace period. The commencement date of the commitment period is the date when fees begin to
get charged. Any use before or outside of the commitment period will be charged the overage rate.
● Applicable to Aggregate Commitment.
o Define. This type of commitment allows a Partner to make one commitment that covers multiple
customers. Therefore, Partners can consolidate commitments they receive from multiple customers
and support those with a single Aggregate Commitment to Broadcom.
o Maximum Number of Commitments. Partners may make up to two Aggregate Commitments per
year.
o Shared Hosts. Multi-tenancy at the host level is permitted, meaning hosts can be shared amongst
multiple tenants of a Partner delivering a Partner Offering using the Aggregate Commitment model.
o Co-termination. Additional commitments for a Partner can be co-termed to the original commit of the
same Partner.
● Applicable to Customer Commitment.
o Definition. This type of commitment is on a per Partner’s named customer per term basis.
o No-Multi Tenancy. Multi-tenancy at the host level is not permitted. Each host is dedicated to a
customer and cannot be shared among Partner’s tenants.
o Co-termination. Additional commitments for a customer can be co-termed to the original
commitment of the same customer.
Figure 2: Commits

Pinnacle Premier

Partner Aggregate Commit eligible Yes Yes

Minimum Partner Aggregate Commit (number of VCF cores only, not add-on cores) 7,000 3,500
Customer Commit Yes Yes

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 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

Partner to provide L1 and L2 support Yes Yes

Overage
● Any non-commitment use. Any use outside of the commitment period, or more than the committed amount,
will be charged the overage use rate.
● Payment Due date. Overage usage is paid monthly in arrears.
● No discounts. Overage usage does not receive any discounts off the standard published Price List.

Discount
● Discount Factors. The discount a Partner receives depends on two factors: 1) commitment type and 3)
payment term. See Discount Table below.
● Add-ons. Add-ons receive the same discount as applicable to the VCF instance the said Add-ons are
supplementing.
Figure 3: Discounts

Customer Commit Partner Aggregate Commit On-Demand

Term Upfront Annual Monthly Payment Upfront Annual Monthly Payment Monthly Payment
Payment Payment
3+ Years Term Commitment 55% off MSRP 48% off MSRP 45% off MSRP 38% off MSRP 0% off MSRP

Mandatory Automated Reporting and Usage Meter

● Mandatory Tools. The latest version of VMware vCloud Usage Meter, or any successor or additional metering
and reporting tool that Broadcom may require, (“UM”) must be used to automatically monitor and report
usage of VCF as well as Add-on products. For clarity, all the components of the said Products must always be
connected to the UM and UM must be connected to Broadcom systems at all times. Partner must not interfere
with the UM’s automated reporting feature.
● Air-gapped, data sovereign and other restricted deployments. Upon Broadcom’s written approval and to the
extent required by law, Partner may submit the UM reporting file, without modification, manually to
Broadcom for environments that must be air-gapped or otherwise legally prohibit automated reporting
directly to Broadcom. For clarity, in such cases the use of UM for monthly usage metering remains mandatory,
but Partner will be authorized to use an alternative manual process for submitting the monthly UM reporting
file (which must be submitted without any modifications).
● Mandatory Automated Reporting to Broadcom. By the 2nd day of each month, Partner must provide the
following data (“Hosting Customer Usage Data”) for each of its customers in an automated manner using the
UM in accordance with this PLG:

Customer ID Blank for Aggregate Commitment

Partner ID/ ERP ID Partner ID as mentioned in the Broadcom Partner Portal

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Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

Customer ID Blank for Aggregate Commitment

Customer Name In case of Customer Commitment. Blank for Aggregate Commitment.

Customer Address In case of Customer Commitment. Blank for Aggregate Commitment.

HQ Country Customer HQ Country

Sale Type “VCF Standard”

Deployment Country Where the instance is deployed

Subscription ID Subscription Identifier

Subscription Term 3 or more

Subscription Start Date Date when the subscription starts (Please note all subscription are billed from 1st of the
month irrespective of the actual subscription start date)

Subscription End Date Date when the subscription ends (Please note that there is no proration)

Usage Start Time 2023-11-02T00:00:00Z

Usage End Time 2023-11-02T01:00:00Z

Quantity 1100.0000 (Please note that this is the total used quantity, we do not need overage
calculated separately)

UOM "CORE"

Usage Generation Time "2023-11-02T01:00:00Z"

Time Scale "HOUR"

Product "VCF"

Usage Period "2023-11"

License Key "ASSD-88JHH-HSHS-323HH"

BYOL Yes/No

● Limited Use. Broadcom will use the Hosting Customer Usage Data only for the following purposes: (i)
identification of the appropriate sales/market segment and sales representative; (ii) internal revenue
recognition; iii) internal operations and support resource allocation; iv) improvements to products and
programs; and v) billing and invoicing verification.
● Cadence. Hosting Customer Usage Data in the UM is configured to be shared daily at a mutually agreed hour
and the data granularity is hourly.
● Download and Installation Responsibility. UM is available for download on the Broadcom Portal. It is the
Partner’s responsibility to install and configure the UM using, and in accordance with, the following resources:
o Setting customer rules on UM appliances (please refer to https://docs.vmware.com/en/vCloud-
Usage-Meter/4.8/Deployment-and-Administration/GUID-9936F1A0-FD91-4CCA-8977-
E2A50DE7AEBC.html for product documentation for further details)

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 Broadcom VCF Division
Product Licensing Guide (PLG) for the VMware Cloud Service Provider (VCSP) Route to Market

o UM API can be found at https://developer.vmware.com/apis/1706/

o UM Documentation can be found at https://docs.vmware.com/en/vCloud-Usage-Meter/index.html
● Upgrade. Partners are required to upgrade to the latest version of UM within 30 days of a new minor or major
version release. Broadcom will use commercially reasonable measures to enable automatic upgrades.

VIII. License Portability Requirements

● VCF License Portability Entitlement. Broadcom has authorized customers who purchase licenses to its new
VCF software (i.e. qualifying VCF version 5.1 or above purchased after December 13th, 2023) the right to use
licenses to that software on any cloud services. In furtherance of that right, Broadcom has introduced a new
entitlement whereby customers may obtain consideration from participating cloud providers, subject to
negotiations with such cloud providers, in exchange for the customer’s existing licenses being used on those
participating cloud providers’ Partner Offerings that comply with this section (“License Portability”). In such
cases, Customer retains the original license entitlement.
● Optional Participation by VCSP Partners. Pinnacle VCSP Partners may participate in License Portability by i)
maintaining at least one Partner Offering that is enabled for License Portability with a full VCF software stack
deployed and integrated as part of that Partner Offering (which, for clarity, does not require the deployment
of SDDC Manager), and ii) complete the Partner Certification Requirement described below.
● Partner Certification Requirement. Each Partner Offering that the Partner wishes to enable for License
Portability must be self-certified and registered as a supported platform for VCF, and listed on Broadcom’s
public website listing all VCF Certified Clouds. For each such Partner Offering, Partner must self-certify that
the said Partner Offering satisfy Broadcom’s then-current technical, business and process requirements.
● Customer Verification Requirement. Partner will collaborate with Broadcom in verifying the Hosting
Customer’s VCF purchase (and licensed Core count) and is responsible for reporting ported licenses using
provided metering tools as outlined in the “Mandatory Automated Usage Reporting” section. Hosting
Customer is the Licensee of any licenses used under License Portability entitlements, and will be held
responsible by Broadcom for compliance with applicable end user software license terms and conditions.
● Overage and Renewal. For additional capacity or renewal needs for Partner Offerings using License Portability
entitlements, Hosting Customer may purchase additional license entitlements from Broadcom, or may
purchase the full stack VCF software based Partner Offering from Partner. If a ported license becomes invalid
or expires, Broadcom will collaborate with the Hosting Customer and Broadcom to ensure that the Hosting
Customer becomes compliant or loses access to their service.
● Support. Partner must provide all levels of support to Hosting Customer of Partner Offering. Broadcom’s only
support obligation is to provide L3 support for VCF and any Add-ons to the Partner.
● Add-ons. Partner may sell Add-ons to Hosting Customers who are using License Portability entitlements
provided that the Add-on sold is only used for Partner Offerings that the Partner has certified under this
Section VIII for License Portability.

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