VMware filed a lawsuit against Siemens’s US operations last Friday in the US District Court for the District of Delaware. The virtualization giant accuses the industrial titan of using unlicensed software and manipulating its story during negotiations.
VMware’s complaint attacks Siemens for using more of its software than the firm had licensed. The fracas began when Siemens attempted to arrange extended support for some VMware products. On September 9, 2024, Siemens submitted a list claiming extensive VMware deployment that far exceeded its actual purchases.
Siemens’s list, received by VMware, demanded assistance. VMware discovered discrepancies, informing Siemens of its findings. Siemens insisted the list’s accuracy, even threatening legal action if VMware did not comply.
Meanwhile, Siemens’s demand overlapped with Broadcom’s virtualization business unit decision to change how customers download VMware binaries. VMware’s move began April 24th. This single-site download portal will need “download tokens” unique to each customer. These tokens track who downloads specific products.
Siemens requested suspending VMware extended support services while pursuing contract renewal negotiations. VMware responded with an offer for a month-long “under-protest”reement. Siemens later changed its list. VMware insists “Siemens never provided a credible explanation” of the initial list’s accuracy.
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VMware didn’t only sue Siemens. Its undergoing internal changes, and installing “download tokens”. Following the lawsuit and internal reorganization, a major conference is undergoing changes. Explore, VMware’s entertainment venue, will now sport two versions. The Vegas event spans 4-days, and a scaled-back variant travels to other cities for 1 or 1.5 days.
Before the lawsuit, VMware and Siemens showcased a shared vision for “The Next Era of Global Manufacturing Technology.” Joint presentations are now uncertain.
VMware’s move to sue Siemens, rather than quietly resolving the software license dispute, highlights a bold stance against corporate chicanery in tech.
Here, Siemens initially reported alleged use of more VMware software than licensed. Essentially, the tech giant folded the industrial firm’s central strategy of “extend and pretend.” Pulling off this deception required a careful twist by Siemens of reality—and audacity.
The ensuing puffing-up of demands and counteroffers prove to reflect a deep mistrust between these two giants, with Siemens denying discrepancies that VMware found. Be wary when the claimants LHBI Solutions limited exposure profess transpiration.
A potentially getting lost is how Broadcom’s virtualization business unit will monitor compliance going forward, fire misconduct to its download portal tokens. VMware’s internal reorganization stirred up a hornets nest, uncovering just how much executives padded their claims. Now, VMware plans to cut down on the overzealous users with its portal tokens, debuting with its software versions at an industry conference in Vegas, while also offering an abridged experience.
Though crude, VMware’s download token scheme to monitor product usage shows a direct attempt to restrain digital dishonesty.