Broadcom’s acquisition of VMware has changed VMware’s licensing, product portfolio, and partner ecosystem, prompting managed service providers (MSPs) to reassess the cost and long-term fit of VMware environments. For MSPs considering a migration, Azure Virtual Machines, Google Compute Engine, Nutanix AHV, Scale Computing, and Red Hat OpenShift Virtualization are five leading VMware alternatives to consider in 2026.
The best VMware alternative depends on the customer environment and the MSP’s service model. Azure Virtual Machines is our best overall option and is particularly well suited to Microsoft-centric environments; Google Compute Engine stands out for scalable public cloud infrastructure; Nutanix AHV offers built-in automation and hybrid-cloud capabilities; Scale Computing simplifies deployments for edge and distributed environments; and Red Hat OpenShift Virtualization enables organizations to manage virtual machines and containers on the same platform.
This guide compares five VMware alternatives based on the capabilities and purchasing considerations most relevant to MSPs, including pricing, management and automation, compatibility, migration support, ease of use, and suitability for managing client environments.
- Why consider VMware alternatives?
- Top VMware Alternatives: Comparison
- Azure Virtual Machines: Best overall VMware alternative
- Google Compute Engine: Best for widespread cloud infrastructure
- Nutanix AHV: Best for built-in automations
- Scale Computing: Best for plug-and-play deployments
- Red Hat OpenShift Virtualization: Best for unified VM and container management
- Which VMware alternative is best for your MSP?
- What MSPs should consider before migrating VMware customers
- Key features of virtualization software
- Bottom line: Offering VMware alternatives should include customization to their needs
- Methodology
- Frequently asked questions about VMware alternatives
Why consider VMware alternatives?
Rising costs, complex licensing, and changes in VMware’s partner landscape have given MSPs additional reasons to evaluate alternatives to VMware.
Broadcom’s acquisition of VMware and the retirement of the Partner Connect program introduced changes around pricing, support, and partner incentives. At the same time, MSPs must support customers that increasingly require simpler infrastructure management, automation, hybrid-cloud flexibility, and support for modern workloads.
Evaluating VMware alternatives helps MSPs determine whether another virtualization platform better aligns with a customer’s infrastructure requirements, budget, cloud strategy, and long-term IT roadmap.
Top VMware Alternatives: Comparison
| Product | Best for | Automation & management | Hybrid/cloud support | VMware migration support | Pricing approach |
| Azure Virtual Machines | Best overall VMware alternative | Extensive | Public cloud | Azure Migrate | Pay-as-you-go, reservations & Spot VMs |
| Google Compute Engine | Widespread cloud infrastructure | Extensive | Public cloud | Migrate to Virtual Machines | Pay-as-you-go with usage & commitment discounts |
| Nutanix AHV | Built-in automations | Extensive | Hybrid cloud | Nutanix Move | BYOL & pay-as-you-go options for NC2 |
| Scale Computing | Plug-and-play deployments | Extensive | Edge, on-premises & distributed | Migration tooling available | Per-core subscription; 1-, 3- & 5-year terms |
| Red Hat OpenShift Virtualization | Unified VM and container management | Extensive | Hybrid cloud | Migration Toolkit for Virtualization | Subscription-based; contact for pricing |
Azure Virtual Machines: Best overall VMware alternative
Azure Virtual Machines provides a seamless extension of Microsoft’s ecosystem, presenting a familiar environment for customers already using Microsoft products. Azure offers integration with Microsoft 365, Dynamics, and other Azure services, helping create a cohesive cloud experience for organizations already invested in Microsoft technologies.
The integration is particularly beneficial for MSPs managing clients with a strong reliance on Microsoft products.
Additionally, Azure’s global presence ensures your clients’ applications are supported by a robust, reliable infrastructure that scales to meet any demand.
Features
- Supports a wide range of VM sizes and types, including GPU and high-performance compute options.
- Advanced security management and threat protection to secure client environments in the Microsoft ecosystem.
- Seamless integration with Microsoft 365, Dynamics, and other Microsoft products.
- Rapid backup and restore to ensure client data is secure and recoverable.
Pricing
Azure Virtual Machines offers flexible purchasing options, including pay-as-you-go pricing, reservations, and Spot Virtual Machines, allowing clients to optimize costs based on their usage patterns. New Azure customers can also receive $200 in credit to use within their first 30 days.
| Pros | Cons |
|---|---|
| Extensive integration with Microsoft products. | The wide array of options can be overwhelming. |
| Flexible pricing options. | Integration with non-Microsoft products may require extra configuration. |
| High compatibility and availability. | Customer service quality has room for improvement. |
Google Compute Engine: Best for widespread cloud infrastructure
Google Compute Engine offers an extensive infrastructure that goes beyond traditional virtualization, providing MSPs with scalable and secure compute resources.
It enables MSPs to move beyond traditional on-premises virtualization and leverage Google’s global cloud infrastructure. This includes high-performance, scalable virtual machines (VMs) that offer Google’s advanced data analytics and machine learning capabilities to your MSP’s clients.
Google Compute Engine is a good choice if your customers will need not just virtualization but also integration with cloud-native services.
Features
- Scalable VMs enable MSPs to scale client resources on demand.
- Seamless integration with Google Cloud services provides MSPs with a comprehensive suite of tools to enhance client infrastructure.
- Custom machine types for tailored performance, with configurations optimized for specific client needs.
- Sustained use discounts for cost efficiency help MSPs manage customer costs effectively and maximize value.
Pricing
Google Compute Engine follows a pay-as-you-go pricing model, with additional savings available through options such as sustained use and committed use discounts.
New customers receive $300 in free trial credits to use within 90 days. Pricing varies by VM, storage, networking, and usage, and MSPs can use the Google Cloud Pricing Calculator to estimate costs.
| Pros | Cons |
|---|---|
| Highly scalable and reliable infrastructure. | Potential steep learning curve for those unfamiliar with Google Cloud. |
| Deep integration with Google Cloud services. | Pricing can be complex to understand due to the numerous options available. |
| Extensive global network for improved performance. | Customer support has room for improvement. |
Nutanix AHV: Best for built-in automations
Nutanix AHV is a fully integrated virtualization layer native to the Nutanix Cloud Platform. It consolidates compute, storage, networking, and security under a single control plane, eliminating the overhead of managing separate components.
Admins benefit from an intuitive Prism UI designed even for teams with limited virtualization experience. From one-click upgrades to built-in automation, AHV is designed to simplify management across the virtualization lifecycle.
MSPs that want hands-free day-to-day operations and seamless workload movement between private and public clouds should consider AHV.
Features
- Consumer-grade UI and one unified control plane to ease management of day-to-day operations.
- Built-in live migration, high-availability clustering, and metro-scale failover to ensure SLA compliance.
- Pre-integrated networking and storage capabilities, including microsegmentation and storage snapshots, reduce the need for additional configuration.
- Hybrid-cloud portability enables fast provisioning, with Nutanix Cloud Clusters (NC2) letting you move workloads to Azure or AWS without redesigning apps.
Pricing
Nutanix Cloud Clusters offer a variety of licensing and pricing options, including Bring Your Own License (BYOL) and Pay-as-you-Go, providing flexibility that aligns with your deployment approach.
Although pricing varies by instance, they list only pricing estimates for Nutanix software, excluding cloud infrastructure costs on Azure or AWS.
| Pros | Cons |
|---|---|
| Unified control plane simplifies management | Requires running on Nutanix-certified hardware |
| No separate licensing cost for hypervisor | Smaller ecosystem compared to VMware |
| Supports one-click upgrades and scaling | Upgrade processes can be time-consuming |
| Enables seamless workload mobility to public cloud | Limited support for external storage area networks |
Scale Computing: Best for plug-and-play deployments
Scale Computing delivers simple operability at the expense of granular configuration by packaging virtualization, storage, and networking into a single appliance.
As you evaluate Scale Computing, you’ll note that it’s a self-healing platform, with patented automation that detects and corrects failures in real time. It features a straightforward UI and provides zero-touch provisioning via Fleet Manager, enabling MSPs to deploy and manage clusters with minimal hands-on effort.
READ MORE: We spoke with Scale Computing executives in April 2026 about the partner-first, unified edge strategy the company continues to pursue.
Automated rolling updates further reduce hands-on administration, reinforcing Scale Computing’s positioning as a plug-and-play solution for MSPs. Scale Computing’s appliance-first approach is ideal for edge and distributed environments where minimizing staffing and infrastructure complexity is crucial.
Features
- Zero-touch cluster deployment where nodes ship pre-staged and auto-join clusters on power-up via Fleet Manager.
- Built-in self-healing and one-click full-stack rolling upgrades keep workloads online and uninterrupted.
- HyperCore OS delivers compute, storage, networking, and backup all in one.
- A unified UI that provides role-based access for all infrastructure functions.
Pricing
Scale Computing uses per-core annual subscription licensing, with one-, three-, and five-year term options available.
Pricing varies by edition and deployment, so MSPs should request current pricing based on their environment.
| Pros | Cons |
|---|---|
| Zero-touch provisioning cuts deployment time | Limited native support for external SANs |
| One-click rolling upgrades minimize downtime | Basic snapshot and cloning features |
| Unified browser-based Fleet Manager interface | Bound to certified hardware appliances |
| Transparent per-core pricing over five years | Smaller ecosystem than major rivals |
Red Hat OpenShift Virtualization: Best for unified VM and container management
Red Hat OpenShift Virtualization enables organizations to run and manage virtual machines alongside container workloads within the OpenShift platform. It provides a consistent environment for managing traditional VMs while supporting containerized applications.
For organizations moving away from VMware, Red Hat also provides the Migration Toolkit for Virtualization, which supports migrations from VMware vSphere to OpenShift Virtualization.
Features
- Runs and manages virtual machines alongside container workloads.
- Supports VMware vSphere migrations through the Migration Toolkit for Virtualization.
- Provides centralized management through the OpenShift platform.
- Supports enterprise virtualization use cases while providing a path toward broader OpenShift adoption.
Pricing
Red Hat also offers OpenShift Virtualization Engine, a dedicated virtualization-focused option for organizations primarily looking to deploy and manage virtual machines.
Pricing varies by environment and subscription requirements, so MSPs should contact Red Hat or a partner for current pricing.
| Pros | Cons |
|---|---|
| Industry-leading stability and security | Subscription costs add up at scale |
| Extensive enterprise support | The platform may require specialized knowledge to use effectively. |
| Wide compatibility with enterprise environments | Limited 3rd party application support. |
Which VMware alternative is best for your MSP?
| MSP/customer need | Best fit | Why |
| Microsoft-heavy environment | Azure Virtual Machines | Native Microsoft ecosystem integration |
| Large-scale public cloud | Google Compute Engine | Global cloud infrastructure and cloud-native services |
| Hybrid cloud + automation | Nutanix AHV | Unified management and built-in automation |
| Edge/distributed environments | Scale Computing | Zero-touch deployment and simplified operations |
| VMs + containers | Red Hat OpenShift Virtualization | Unified VM and container management |
What MSPs should consider before migrating VMware customers
Before migrating customers from VMware, MSPs should consider:
- Licensing and TCO: Compare pricing models, subscription terms, support costs, migration incentives, and potential infrastructure expenses to determine the total cost of ownership. Prioritize platforms with transparent licensing that makes it easier to estimate long-term costs.
- Migration complexity: Assess available tools for VM conversion, data mobility, and network reconfiguration. Determine whether workloads can be migrated directly or require planned downtime, additional tooling, or manual replatforming.
- Feature parity and gaps: Map critical capabilities such as live migration, high availability, and storage snapshots against customer requirements and SLAs. Identify which capabilities are native, require add-ons, or depend on third-party integrations.
- Operational readiness: Evaluate deployment, management, and automation capabilities, as well as the training your team requires. Consider how the platform fits existing monitoring, backup and disaster recovery, and lifecycle management workflows.
- Partner ecosystem and support: Review the vendor’s partner program, technical resources, documentation, training, and support options. A strong ecosystem of backup, networking, and orchestration partners can also simplify migration and ongoing management.
Key features of virtualization software
When evaluating virtualization software to replace VMware, certain features stand out as particularly critical for ensuring efficient, secure, and scalable IT environments.
These features include virtual machine management, networking capabilities, storage management, security, and backup and recovery.
Virtual machine management
Effective VM management is the cornerstone of any virtualization platform. This enables MSPs to easily deploy, monitor, and manage client VMs. The capabilities to expect under this feature include VM provisioning, cloning, and snapshot management — all crucial for maintaining flexible and responsive user environments.
Networking capabilities
Networking capabilities within virtualization platforms enable MSPs to configure complex network settings for their customers, including virtual switches, routers, and firewalls. This enables secure, efficient communication between VMs and the external network, supporting a range of client applications, from web services to internal databases.
Storage management
Storage management allows MSPs to optimize and manage storage resources allocated to VMs, including disk provisioning, storage pools, and data deduplication. They can consequently ensure that client data is stored efficiently, securely, and readily accessible when needed, which plays a crucial part in maintaining overall system performance and reliability.
Security features
Security features within virtualization software are critical for protecting client data and applications. This encompasses a range of functionalities, from VM isolation and secure boot processes to advanced encryption and compliance tools, thus helping MSPs safeguard their clients’ virtual environments against threats.
Backup and recovery
Robust backup and recovery options are essential for any virtualization solution, as they provide MSPs and their subscribers with peace of mind that data and systems can be quickly restored in the event of a failure or data loss. Features such as automated backups, point-in-time snapshots, and disaster recovery plans are crucial to ensuring business continuity.
Bottom line: Offering VMware alternatives should include customization to their needs
As MSPs navigate VMware’s evolving licensing, product, and partner landscape, the alternatives presented offer a diverse range of capabilities tailored to different client types and their specific needs.
From the scalability and compatibility of Google Compute Engine and Azure Virtual Machines to the automation of Nutanix and the plug-and-play nature of Scale Computing, MSPs have multiple options for delivering customized, efficient virtualization services to their clients.
Methodology
We evaluated five VMware alternatives based on the capabilities and purchasing considerations most relevant to MSPs managing or migrating clients’ virtualized environments.
Our evaluation focused on core virtualization features, pricing, management and automation, compatibility, customer support, ease of use, and suitability for managing multiple client environments.
Product information was gathered from vendor product pages, documentation, pricing pages, and other publicly available materials. Because costs vary by deployment, infrastructure, licensing, and services, MSPs should assess client requirements and request customized pricing where necessary.
Frequently asked questions about VMware alternatives
What should MSPs look for in a VMware alternative?
MSPs should evaluate VMware alternatives based on total cost of ownership, licensing, migration complexity, workload compatibility, feature parity, management and automation capabilities, backup and disaster recovery support, and the vendor’s partner ecosystem.
MSPs should also consider how a new virtualization platform fits their existing operational workflows. A lower-cost platform may not produce savings if migration, training, infrastructure changes, or ongoing management significantly increase the cost of delivering services.
What is the easiest VMware alternative for MSPs to manage?
The easiest platform to manage depends on the MSP’s existing expertise and the customer’s environment. Nutanix AHV emphasizes centralized management and built-in automation through its Prism interface, while Scale Computing combines virtualization, storage, and networking, providing zero-touch provisioning and automated management capabilities.
MSPs should consider not only initial deployment but also ongoing patching, upgrades, monitoring, backup, disaster recovery, and management across customer environments when comparing platforms.
Is Nutanix AHV a good alternative to VMware?
Yes. Nutanix AHV is a VMware alternative for MSPs seeking built-in automation, centralized infrastructure management, and hybrid-cloud workload mobility. AHV integrates compute, storage, networking, and security within the Nutanix Cloud Platform and supports capabilities including live migration, high availability, and one-click upgrades.
MSPs should consider its infrastructure requirements and ecosystem alongside its management and automation advantages before migrating customers.
Can MSPs migrate VMware workloads to Microsoft Azure?
Yes. Microsoft offers Azure Migrate to assess and migrate VMware workloads to Azure. Azure Virtual Machines can be particularly attractive for customers already using Microsoft products, as MSPs can integrate migrated workloads into the broader Microsoft and Azure ecosystem.
Before migrating, MSPs should assess workload compatibility, networking, storage, backup and disaster recovery requirements, licensing, and potential downtime.
Can I migrate from VMware to Hyper-V?
Yes. Organizations can migrate VMware virtual machines to Hyper-V, although the migration process depends on the existing infrastructure and workloads. MSPs should assess VM compatibility, networking and storage requirements, licensing, backup and disaster recovery processes, and potential downtime before beginning a migration.
Third-party migration and conversion tools can assist with VMware-to-Hyper-V migrations. MSPs should test converted VMs and validate critical applications before moving production workloads.
Why use Hyper-V instead of VMware?
Hyper-V can be a strong alternative to VMware for organizations already invested in Microsoft technologies. It integrates with Windows Server and Microsoft management tools and supports features such as live migration, failover clustering, and dynamic memory.
For MSPs supporting Windows-centric customers, Hyper-V can also reduce the need to introduce a completely new virtualization ecosystem. The best choice still depends on the customer’s infrastructure, licensing requirements, management needs, and long-term cloud strategy.
Do companies still use VMware after the Broadcom acquisition?
Yes. VMware remains in use across enterprise IT environments despite changes to licensing, packaging, and the partner ecosystem following Broadcom’s acquisition. Broadcom also continues to invest in VMware Cloud Foundation.
MSPs should therefore evaluate VMware migration on a customer-by-customer basis rather than assuming every VMware environment needs to be replaced. The decision should account for workloads, total cost, infrastructure strategy, migration requirements, and long-term support needs.
This article was originally published by Collins Ayuya in 2025 and updated by Luis Millares in August 2026.