Allstate accuses Broadcom of retaliatory audits after VMware exit
Original: Allstate accuses Broadcom of auditing it because it quit VMware, CA
Why This Matters
The case highlights escalating enterprise-Broadcom friction as large customers exit VMware post-acquisition.
Allstate Insurance has alleged that Broadcom launched audits against it in retaliation for the insurer's decision not to renew contracts with VMware and CA Technologies. The accusation emerged in a June 12, 2025 filing responding to VMware's December 2025 lawsuit over alleged audit non-compliance.
Allstate Insurance Company has accused Broadcom of initiating audits in bad faith after the insurer decided to exit its relationships with both VMware and CA Technologies. The allegation was made in a June 12, 2026 court filing responding to a lawsuit VMware filed against Allstate in December 2025.
In its original complaint, VMware alleged that Allstate failed to comply with contractual license audit requirements. VMware says it issued a formal audit notice in March 2025, but that despite Allstate acknowledging receipt on May 7, 2025, the insurer stonewalled subsequent requests. Allstate later told VMware it had 'removed VMware from all devices' and considered its audit obligations fulfilled.
Allstate's counter-narrative paints a different picture. The insurer states: 'This case is about VMware's decision to initiate a haphazard audit of Allstate, once it was aware that Allstate did not intend to renew its contracts with VMware or its sister company, CA.' Allstate further claims Broadcom 'simultaneously and unreasonably initiated four separate audits' covering both VMware and CA software use.
Allstate and VMware have been in business since 2008. Broadcom also has a separate ongoing case against Allstate under the CA Technologies brand. Broadcom declined to comment to Ars Technica. Allstate is among thousands of enterprises — including T-Mobile, Tesco, and Western Union — that have migrated away from VMware following Broadcom's acquisition.