VMware, a Broadcom business unit, has escalated its lawsuit against Siemens over the alleged unauthorized use of its software. The dispute began in March when Siemens provided a list of VMware software it used during contract negotiations, which revealed that Siemens had used more products than it had licensed. VMware claims that Siemens demanded support for the software, despite not having a license, and failed to address the issue of unlicensed use. When talks stalled, VMware filed a copyright lawsuit.
Siemens has attempted to move the case to a German court, arguing that the matter is a contractual dispute rather than a copyright claim. However, VMware has fired back, arguing that Siemens’ interpretation of its software licenses is incorrect and that the case should be heard in the US court where it was originally filed. VMware’s lawyers claim that Siemens is trying to limit its exposure by characterizing the matter as a contractual dispute, rather than a copyright infringement claim.
The case is similar to VMware’s previous disputes with companies such as Tesco and AT&T, which were settled or are ongoing. The core issue is Broadcom’s decision not to sell support services for older software sold under perpetual licenses, and its push to sell its Cloud Foundation (VCF) private cloud suite. VCF is a comprehensive suite that includes many VMware products, but it is expensive and can result in significantly higher bills for customers.
The lawsuit has been ongoing for eight months, and it’s unlikely to be settled soon. VMware has hinted that it may pursue copyright claims in multiple jurisdictions, which could lead to a lengthy and costly legal battle. The outcome of this case may have significant implications for VMware’s customers, particularly those who are considering migrating to alternative platforms. With VMware set to end support for version 8.0 of its products in 2027, some organizations may be planning to switch to other vendors to avoid being locked into expensive support contracts.
The dispute highlights the challenges faced by companies in managing their software licenses and the importance of ensuring compliance with licensing agreements. It also underscores the aggressive approach that VMware is taking to enforce its licensing terms and protect its intellectual property. As the case continues to unfold, it will be interesting to see how the court rules on the matter and how it may impact the software licensing landscape.