VMware renewal too expensive? Don't sign yet

Hyperconverged infrastructure (HCI) brings compute, storage, networking, and backup into one software layer. A handful of standard servers becomes your own private cloud. Scope of services covers planning, deployment, migration, training, and annual maintenance for both the VergeIO and Arcfra product lines.

What happened

The four points below are compiled from publicly reported market news (source: market reports), not our own statistics. Actual terms are governed by your quote and the vendor's contract.

Perpetual licenses moved to subscription

The buy-once-and-pay-only-maintenance model has ended. Licenses must now be renewed when they expire.

Higher minimum core-count thresholds

Pricing is based on CPU core count, and each host has a minimum purchase quantity. Even a lightly configured host must be licensed up to the threshold.

Repackaged product bundles

Modules that used to be sold separately are now bundled into suites, so you pay for features you don't use.

VCSP ends January 2026

The VMware Cloud Service Provider (VCSP) program is ending. Customers who bought through a service provider under this program need another path.

The question isn't whether VMware is good software. It's what your data center budget will look like for the next three to five years if you sign this quote. Related reading: What to do about VMware license price increases

What is hyperconverged infrastructure (HCI)

A traditional data center has a three-tier architecture: the machine that computes (the server), the machine that stores (an external storage array), plus the storage area network (SAN, usually built from Fibre Channel switches) that connects the two. Three types of equipment, three vendors, three management consoles. Hyperconverged infrastructure (HCI) writes all three functions into one software layer, installed on a handful of standard x86 servers:

  • Virtualization (hypervisor): software that splits one physical server into many virtual machines (VMs).
  • Software-defined storage: pools the disks across servers into shared storage, replacing an external storage array.
  • Virtual networking and micro-segmentation: network isolation and per-VM firewall rules at the virtual layer.
  • Snapshots and off-site disaster recovery: some platforms also offer immutable snapshots, so backups aren't encrypted along with everything else in a ransomware attack.
One piece of software turns a few ordinary servers into your own private cloud. The unit of expansion shrinks from "a whole set of equipment" to "one server."
Traditional three-tier architecture vs. hyperconverged architecture A traditional data center is built from three types of equipment - servers, Fibre Channel switches, and external storage arrays - each from a different vendor with its own management console. Hyperconverged infrastructure uses one software layer to bring compute, storage, and networking into standard servers, so the unit of expansion is a single machine. Traditional three-tier architecture Server Server Server Compute Fibre Channel switch (SAN) Network External storage array Storage Three types of equipment - three vendors - three management consoles Run short on storage and you replace the whole array, run short on compute and you buy another server Unit of expansion: a whole set of equipment Hyperconverged architecture Standard server Compute Storage Network Standard server Compute Storage Network Standard server Compute Storage Network One software layer manages all three at once One software layer - standard x86 servers - one management console No more need for an external storage array or Fibre Channel switches Unit of expansion: one server

The difference isn't just equipment count. Shrinking the unit of expansion from "a whole set of equipment" to "one server" changes how you budget.

Related reading: How is hyperconverged infrastructure (HCI) different from a traditional three-tier architecture?

Two different paths

We support both product lines. The difference is which scenario fits.

VergeIO: one operating system replaces four or five licenses

VergeOS installs on standard x86 servers, and once running, each host acts as a virtualization host, storage node, network node, and backup node at the same time. Licensing is calculated "per physical server" - the price is the same regardless of how many CPUs or cores you install, which is the most direct cost difference compared with per-core pricing. Notable features are VDC (Virtual Data Center - a fully virtualized data center that can be cloned and nested, at no extra charge according to the vendor) and ioProtect. The latter leaves production untouched and only requires licensing the disaster-recovery site, letting you validate the platform at minimal risk. The vendor is a US company.

One license per serverVDC virtual data centerioProtect for a low-risk start
Arcfra: an enterprise cloud for VMs, containers, and AI together

Arcfra Enterprise Cloud Platform (AECP) integrates virtualization, distributed storage, software-defined networking, Kubernetes (a container cluster management tool), backup and disaster recovery, and multi-cluster management into one platform. Licensing is a per-CPU-core subscription, with no extra charge for storage capacity or node count - a clear advantage for customers whose data volume grows quickly. AKE lets you build Kubernetes clusters through a graphical interface (built in from the Standard edition up), paired with the Neutree model-serving platform for on-premises AI inference. The vendor, ARCFRA PTE. LTD., is registered in Singapore.

Per-CPU-core subscriptionNo extra charge for storageAKE with built-in Kubernetes
How to evaluate which to choose

Beyond scale and features, one point in vendor selection is often overlooked and should be settled first: whether your industry or your customers require supply-chain source review. Government agencies, some financial institutions, and Taiwan subsidiaries of foreign companies may have restrictions on the source of ICT products or internal procurement rules. This directly affects which platform fits. Please confirm the applicable rules with your compliance or procurement department. We adjust the recommendation once that's confirmed, and can help request country-of-origin declarations and compliance documents through the supply channel where needed. See How to choose hyperconverged infrastructure: three evaluation criteria. We source vendor products and support through authorized channels in Taiwan, and provide planning, deployment, migration, training, and annual maintenance services.

Hardware: planning software and servers together

Hyperconverged software still runs on physical servers in the end. Node count and CPU core configuration directly determine licensing cost and headroom to expand. Where a project needs it, we plan GIGABYTE high-performance and GPU servers alongside the software, finalising both in the same architecture design - so you don't end up with software and hardware from separate vendors pointing fingers at each other when something goes wrong.

On-premises AI: your data never leaves your own data center. Adding GPU servers to the same cluster keeps both models and data inside the company. This matters most directly for industries handling trade secrets, personal data, or confidentiality obligations. Arcfra's Neutree model-serving platform (an open-source edition plus an enterprise edition) and VergeIO's VergeIQ, released with VergeOS 26 (announced October 2025), are both newer modules. We recommend a proof of concept (POC) to confirm performance and compatibility before deploying to production.

IT operations: once the data center is built, who watches it every day

A hyperconverged platform's built-in console only sees its own cluster. But your company's IT also has databases, application systems, network equipment, hundreds of employee PCs, and batch jobs that need to finish every night. This section covers the highlights only - see the Hitachi JP1 IT operations management platform for the full picture.

  • JP1/AJS3 (batch job scheduling): define a flow such as "close the books at 23:00, reconcile once that succeeds, then generate and send the report - notify and auto-retry if any step fails" - replacing scattered schedules nobody dares to touch.
  • JP1/IM3 (integrated monitoring): brings alerts from every system into one screen for correlation analysis, so you can tell that "these 200 alerts are really just one failed switch." The current generation is JP1 Version 13 (V13.5, released 2025-09-30).
  • JP1/ITDM2 (IT asset management): inventories PC hardware, installed software, whether licenses are fully covered, and update status, keeping records for audit.
JP1 manages the machines. ERP manages the business.

Whether a server is down or a batch job finished is JP1's job. For orders, inventory, and receivables/payables, see ERP Business Management.

One more thing: HULFT enterprise file transfer

HULFT is often mistaken for a Hitachi product, but its actual vendor is Saison Technology Co., Ltd. (TSE Standard: 9640). It moves data securely and reliably between different systems; JP1/AJS3 decides when to move it and how to handle failures. Technically, AJS3 can schedule and monitor HULFT jobs - the actual integration is confirmed case by case for each environment. Integration with other vendors' equipment is mainly via standard syslog, SNMP trap, or API forwarding; the exact scope of support varies by product and version.

How migration works

Five stages. The first two leave production completely untouched - you decide whether to proceed once the numbers are in.

1
Current-state assessment and licensing health check
Inventory VM count, CPU core count, storage usage, and license expiry dates, and run a total cost of ownership (TCO) comparison.
2
Proof of concept (POC)
Build a small cluster on existing hardware or test machines, and test performance and operating procedures against your actual workloads.
3
Phased migration
Migrate in batches by priority with scheduled cutover windows, starting with non-critical systems, and keep a rollback path for every batch.
4
Validation and training
Performance validation and failover drills, plus hands-on training and documentation handover for your IT staff.
5
Annual maintenance contract
Business-hours support, troubleshooting, periodic health checks, and handling vendor renewals on your behalf.
See the full service chain

FAQ

How do we manage platform lock-in risk?

Both platforms run on standard x86 servers. Changing software doesn't scrap your hardware. We recommend testing the VM export and migration path during the proof-of-concept (POC) stage, and writing acceptance criteria into the contract for an exit path. You can also start with a minimal commitment: VergeIO's ioProtect only requires licensing the disaster-recovery site, and Arcfra can take over an existing ESXi environment first and replace it gradually.

Support process when something goes wrong

Our engineers handle first-line intake and resolution during business hours. When vendor assistance is needed, we file the case. We source vendor products and support through authorized channels in Taiwan; the actual scope of service follows your annual maintenance contract.

We already have JP1 or another monitoring system - would this be a duplicate purchase?

No, they operate at different levels. The hyperconverged console only sees its own cluster; JP1 sits above it, pulling company-wide alerts into one screen and then handling scheduling and asset inventory. The two are layered, not substitutes for each other.

Do we have to replace everything at once?

No. A common first step is the disaster-recovery site or a test environment, which minimizes downtime impact while still being a real-world test. When and whether to migrate production fully is decided once the POC numbers are in.

Free licensing health check and TCO calculation

As a renewal deadline approaches, the most expensive decision is "no time to evaluate, just sign." Complete the three items below before you sign.

Assess the current state
VMs, CPU cores, storage usage, and license expiry dates, laid out in one table.
Compare the numbers
A cost-structure comparison across three scenarios: renew everything, renew partially, or replace the whole environment.
Scenario recommendation
A first-step recommendation based on your supply-chain review requirements, container and AI needs, and migration risk.
Book a licensing health check

Contact us for a licensing health check and migration assessment

Leave your contact details and a description of your needs, and an engineer will follow up to help assess architecture planning, deployment approach, and the scope of annual maintenance.

Send an enquiry
LINE Ask us on LINE