Broadcom snuggled its VMware business ever closer to Microsoft’s Azure cloud, making it easier for customers to run the Broadcom-edized VMware Cloud Foundation (VCF) subscription platform on Azure and extending some differentiation for Microsoft versus larger hyperscaler rival Amazon Web Services (AWS).

The warmer embrace allows VCF customers to use their licenses on the Azure VMware Solution platform and in their own private data centers. This means they can move those VMware workloads “as is with minimal to no refactoring” between those two environments.

“This streamlines migration and allows customers to continue using familiar skills while learning new Azure skills,” executives from both firms noted in a blog post.

The executives also threw in some licensing notes that may or may not help further clarify Broadcom’s recent controversial changes to its VMware distribution structure.

“Customers can currently purchase the [Azure VMware Solution] with VMware licenses included, and this option will continue to be available for customers that prefer to purchase their VMware licenses as part of their solution from Microsoft,” they wrote, later adding, “VMware customers that have already purchased and begun deploying the new VMware Cloud Foundation will be able to transfer the remaining value of an existing subscription to Azure VMware Solution.

Additionally, customers will be able to move their VMware Cloud Foundation subscription between on-premises and Azure VMware Solution as their needs and requirements evolve over time. Customers will retain the rights to their software subscription when moving their VMware Cloud Foundation subscription to Azure VMware Solution.”

This new caability and portability will be available later this year.

The two firms also touted their recently launched migration partnership as a way to ease integration. That program is based on the VMware Rapid Migration Plan, which provides the licensing benefits and a level of price consistency for workloads moved to the Azure VMware Solution platform.

The migration program offers users access to reserved instances at a set price over a set term of one, three or five years. These reserved instances are basically a way for a customer to pay upfront for the use of instances to run an application in Azure as opposed to a pay-as-you-go model, with the benefit of the reserved model charging less per instance.

Microsoft is incentivizing the reserve push by offering a 20% discount on Azure VMware Solution for customers purchasing a new one-year reserve instance term if that purchase is made before the end of the year. The hyperscaler also noted the five-year option will only be available for purchase through the end of June.

Microsoft is also providing up to $120,000 in Azure credit for customers that purchase a new reserved instance plan. This credit can be used for the Azure VMware Solution or other Azure services.

Can Microsoft build on VMware momentum? Broadcom’s closer relationship with Microsoft is a stark contrast to recent moves with Amazon Web Services (AWS).

Broadcom last month took over distribution of its VMware Cloud on AWS product from the hyperscaler. Broadcom CEO Hock Tan highlighted the move in a blog post, explaining that VMware Cloud on AWS “is no longer directly sold by AWS or its channel partners.”

“It’s that simple,” Tan curtly wrote. “What this means is that customers who previously purchased VMware Cloud on AWS from AWS will now work with Broadcom or an authorized Broadcom reseller to renew their subscriptions and expand their environments. Customers who have active one- or three-year subscriptions with monthly payments that were purchased from AWS will continue to be invoiced by AWS until the end of their term.”

The move comes despite the VMware Cloud on AWS platform being a critical success for VMware.

Tan wrote in his blog post that the decision was prompted by what he claims were erroneous reports that the VMware Cloud on AWS product was on the chopping block.

“Unfortunately, there have been false reports that VMware Cloud on AWS may be going away, which is causing unnecessary concern for our loyal customers who have used the service for years,” Tan wrote. “We are acting quickly to correct this misinformation. … I’m pleased to report the service is alive, available and continues to support our customers’ strategic business initiatives just as it always has.”

Broadcom’s tighter integration with Microsoft could also help the hyperscaler as it claws ever closer to its larger rival. Recent analyst reports have shown Microsoft’s Azure platform gaining market share ground on AWS.

Synergy Research Group (SRG) reported that AWS continued to be the biggest public cloud revenue hog, sucking up 31% of market revenues during the first quarter of this year. However, that share was down slightly from the 32% share AWS garnered for the first quarter of 2023.

Microsoft, in contrast, managed to grow its market share from 23% last year to 25% this year, while smaller rival Google Cloud Platform (GCP) increased its share from 10% last year to 11% this year.

“Amazon maintains a strong lead in the market though Microsoft and Google had the stronger year-on-year growth numbers,” SRG noted in its report. “All three saw their growth rates increase substantially in the last two quarters.”