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Home / Enablement Hub / Training / Technical / How to allocate and optimise VCSP licenses and avoid overages.

How to allocate and optimise VCSP licenses and avoid overages

Broadcom: VCSP License Swap and Overage Update

5th February 2025 | Phi Dao, Senior Technology Advisor, Cloud
Important Update for Broadcom Pinnacle and Premier Partners

Important Update for Broadcom Pinnacle and Premier Partners

Your Guide to the Broadcom License Swap:

> Generating and allocating Broadcom license keys

> Overage invoicing and usage reporting processes

> Pointers to avoid unexpected overage charges


Broadcom License Swap Overview

As covered in our recent Overage and Certification Requirements webinar, by now all Pinnacle and Premier partners should have received Broadcom’s communication regarding the swap of existing VMware license keys.

Critical points to keep in mind:

> Deadline: Partners must complete the license key swap within 30 days of contract execution for new contracts.

Key Characteristics and Limitations

1. Multiple Contracts:

For partners managing multiple contracts (e.g., Contract A with 2,000 cores and Contract B with 3,000 cores), it is essential to generate license keys specifically tied to the respective contract.

Important: License keys are not automatically pooled across contracts.

2. License Key Generation:

– Keys must be generated through the Broadcom Consumption Portal (Broadcom Support Portal).

Important: These keys are not automatically provided.

– Each key has a maximum capacity of 65,000 cores.

It is recommended to generate each key with a 20% buffer above your committed usage. For example, if you intend to use a key for 2,400 cores under Contract A, ensure it is generated accordingly.

Important: There is no automatic reallocation or pooling between contracts.  This means usage exceeding the contracted limit (e.g., more than 2,000 cores from Contract A) will incur overage charges, even if unused cores are available in another contract (e.g., 3,000 cores from Contract B).

 

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Consumption Usage Reporting and Overage Invoices.

In addition to the overage information shared during the webinar, Broadcom provides a Consumption Usage Report (CDR) companion file to accompany overage invoices.

Here’s what you need to know:

Key Details on CDR Files

> Breakdown: The CDR file offers an hourly breakdown of overage usage and estimated costs.

It is similar to the Hourly Usage Report (HUR).

The report allocates costs per contract, identified by serial or contract numbers.

> Limitations: The CDR does not provide data at the Usage Meter or individual host level.

It also omits license key details. Partners must generate their HUR or Virtual Machine History report (VMH) for reconciliation purposes.

Delays in CDR File Distribution

At the time of writing, there are delays in Broadcom’s backend systems sending CDR files.

As a result, Crayon and other partners may experience a delay of a few days in receiving and distributing these files.

Recommendations for Partners

Recommendations for Partners

Generate Keys Early

Avoid last-minute issues by generating license keys well before your planned usage. Ensure compliance with the recommended 20% buffer.

Monitor Usage

Regularly monitor your license consumption using the HUR and VMH reports to prevent unexpected overage charges.

Coordinate with Crayon and Broadcom
Stay in communication with Broadcom support for updates on CDR file availability and overage reporting processes.
Understand Contract Constraints

Familiarise yourself with the limitations of your contracts to avoid overage penalties and ensure proper allocation of cores.

 

Watch the Webinar

We're on our Partners' side. Always

We're on our Partners' side. Always

If you need help with any aspect of the Broadcom License Swap or support with reconciliations, book a session with our cloud Technology Advisory Group and have your usage reports handy.

Related tags:
License Keys VCSP VMware by BroadcomCloud Horizons
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