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An Overview of the VMware Purchasing Programs

Thought-Leadership by Swati Pandey
on June 25, 2015

an-overview-of-the-vmware-purchasing-programs

VMware’s Purchasing Programs are a convenient and cost-effective way for customers to purchase VMware products and services per their individual needs. It is a credit/token-based system, meaning that you purchase a number of credits or tokens which can then be allocated towards a specific product or service. The more credits you purchase, the greater the discount.

VMware has four global Purchasing Programs:

  1. Volume Purchasing Program (VPP), which is ideal for making more frequent, smaller purchases.
  2. Enterprise Purchasing Program (EPP), which is ideal for larger, strategically planned purchases.
  3. Subscription Purchasing Program (SPP), which provides the flexibility to purchase VMware subscription services for anywhere between 1 month to 3 years.
  4. Cloud Credits Purchasing Program (CCPP), which is designed for customers who want to add public/hybrid cloud to their IT strategy.

VMware Volume Purchasing Program

VPP provides incremental, tier-based discounts to VMware customers over a rolling two-year period. Below is a listing of the discount levels based on point accruals:

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Each VMware product is assigned a specific VPP point value, with 1 point equating to roughly $100 USD, or the equivalent in local currency. For example, vSphere Enterprise Plus is worth 35 VPP points regardless of the country or currency the product was purchased.

For more information, visit VMware’s Volume Purchasing Program Guide.

VMware Enterprise Purchasing Program

Similar to the VPP, EPP is a token-based program that provides even greater discounts on volume purchases than VPP, with the addition of using the tokens for Support and Subscription (SnS). An initial minimum purchase of 2,500 tokens ($250K USD) must be made to enroll in EPP. After that, customers can make incremental purchases of 500 tokens to add to their VPP Fund.

The below chart is a brief, high-level representation of the differences between EPP and VPP:

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For more information on EPP, visit VMware’s Enterprise Purchasing Program Guide.

VMware Subscription Purchasing Program

Moving away from volume, perpetual purchases, the Subscription Purchasing Program (SPP) is a vehicle for acquiring VMware hosted subscription services. A purchase of SPP Credits creates a Fund that can be redeemed for services that include VMware vCloud Air and VMware Horizon Air.

SPP terms can range from 1 month to 3 years. The below chart is a simplified depiction of these agreement terms:

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Consider the below challenges commonly resolved by SPP:

  • IT department needing speed in internal procurement to meet unpredictable or urgent needs
  • IT wishes to try VMware cloud services with an On-Demand model.
  • Existing budget that will expire, and has yet to identify the services mix needed over the next 12 months.
  • Searching for ways to efficiently manage multiple VMware subscriptions across multiple departments.
  • You need the flexibility of adjusting a subscription solution deployment strategy based on anticipated or unanticipated changing business conditions.

For more information on SPP, visit VMware’s Subscription Purchasing Program Guide.

VMware Cloud Credits Purchasing Program

CCPP is ideal for VMware Solution Provider Partners and customers who want to improve business agility while reducing IT capital expenditures on new equipment. Customers purchase Cloud Credits from their VMware Solution Provider Partner and allocate those credits towards specific Infrastructure as a Services (IaaS) demands as they see fit, including:

  • Compute
  • Storage
  • Networking
  • Operating System
  • Support for shared infrastructure

Consider enrolling in CCPP if you:

  • Have deployed VMware solutions and have an interest in extending those solutions to public/hybrid cloud scenarios.
  • Have security concerns and would like better control over individual business units.
  • Want to observe and report public and hybrid cloud business usage.

For more information on CCPP, visit VMware’s Cloud Credits Purchasing Program Guide.

VMware makes it easy to enroll in any of their Purchasing Programs, but determining which one is right for you can be a challenge if you’re unsure of your long-term IT needs. As a 2015 Global VMware Solution Provider Partner of the Year, SoftwareONE has the expertise to help you discover the ideal solution that best suits your needs. Click the banner below to schedule an appointment with your local Licensing Specialist.

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