Slide 1: Broadcom to Acquire VMware Investor Presentation
Broadcom to Acquire VMware Investor Presentation May 26, 2022 Exhibit 99.2
Slide 2: Forward-Looking Statements
2 Forward-Looking Statements This communication relates to a proposed business combination transaction between Broadcom Inc. (“Broadcom”) and VMware, Inc. (“VMware”). This communication includes forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934,
Slide 3: No Offer or Solicitation
3 No Offer or Solicitation This communication is not intended to and shall not constitute an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offe
Slide 4: VMware: The Platform Powering the Modern Enterprise
VMware: The Platform Powering the Modern Enterprise 4 Foundation of virtualization of physical servers in the datacenter Expansion into private cloud portfolio and management software Expansion into multi-cloud, application development, and adjacent software Phase 1 Virtualization Pioneer Phase 3 Mu
Slide 5: VMware Aligns with Broadcom's Strategy
VMware Aligns with Broadcom’s Strategy As of VMware’s fiscal year ending January 2022 5 Large Enterprise Customer Base Scale with Leading Multi-National Customers Utilizing Private & Multi-Cloud Environments Long Operating History and Strong IP Portfolio 5,000+ Patents Granted or Assigned to VMware
Slide 6: Creating One of the World's Leading Infrastructure Technology Companies
Creating One of the World’s Leading Infrastructure Technology Companies 6 Source: Company filings Twelve months ended January 29, 2017 Broadcom fiscal year end October Includes VMware revenue for the twelve months ended October 2021 Broadcom FY2021 (2) Broadcom + VMware Pro Forma FY2021 (2) $7.1 | 2
Slide 7: Workloads Growing Everywhere In Private Clouds, Public Clouds, and Multi-Cloud
Workloads Growing Everywhere In Private Clouds, Public Clouds, and across Hybrid- and Multi-Cloud Configurations 7 Millions of workloads +7% CAGR 2020 to 2024 CAGR 12% 8% 5% Enterprises want the flexibility, operational efficiency, and agility of the public cloud to deliver modern applications Using
Slide 8: VMware: The World's Leading Enterprise Infrastructure Software Platform
VMware: The World’s Leading Enterprise Infrastructure Software Platform 8 Next-Generation Multi- and Hybrid-Cloud DevOps Core Private Cloud Infrastructure Security and Edge Tanzu Application Platform Modular platform that provides developer tooling to build and deploy software in the public cloud or
Slide 9: VMware Cloud Foundation
VMware Cloud Foundation Monitoring, Orchestration, Cluster Management and Configuration Management VMware Serves as the Foundation for the Mission Critical Applications of Today’s Global Enterprises Across Private and Public Cloud 9 Compute Network Storage NSX Software Virtualization ESX Hypervisor
Slide 10: Securely Enabling the Application Lifecycle for the Modern Enterprise
Securely Enabling the Application Lifecycle for the Modern Enterprise 10 Develop Apps Deploy & Run Anywhere Secure Optimize Application & Network Performance Enable Ubiquitous Access
Slide 11: Broadcom Software Group to Rebrand and Operate as VMware
Broadcom Software Group to Rebrand and Operate as VMware 11
Slide 12: VMware: Trusted Partner to the World's Largest Enterprises
VMware: Trusted Partner to the World’s Largest Enterprises 12 Large and Expanding IT Budgets Complex IT Infrastructure Heterogeneous Environments Hybrid/Multi-Cloud Approach Regulated Risk-Averse
Slide 13: Multiple Levers to Increase VMware's Profitability
Multiple Levers to Increase VMware’s Profitability Derived from previously reported non-GAAP information from VMware’s filings for the fiscal year ended January 28, 2022 13 (1) Eliminating duplicative General & Administrative functions across information technology, finance, legal, human resources a
Slide 14: Transaction Overview
Transaction Overview 14 Expected to close in Broadcom’s FY2023, subject to receipt of regulatory approvals and other customary conditions, including approval of VMware shareholders Michael Dell and Silver Lake have agreed to vote in favor of the transaction, so long as the VMware Board continues to
Slide 15: Our Capital Allocation Policy and Commitment to a Strong Balance Sheet Remains Unchanged
Our Capital Allocation Policy and Commitment to a Strong Balance Sheet Remains Unchanged 15 Dividends Share Repurchases Debt Retirement and Target Leverage Ratio Maintain target of returning ~50% of prior year’s free cash flows as dividends Continue growing dividends per share over time as cash flow
Slide 16: Dividend Policy Remains Unchanged
Dividend Policy Remains Unchanged Sustainable and growing dividend payments Broadcom Standalone Free Cash Flow (Non-GAAP) (1) $ in billions Broadcom Standalone Dividends per Share $ per share Free cash flow calculated as cash flow from operations less capex Annualized dividend of $4.10 per share of
Slide 17: Proven Ability to De-Lever Post-Acquisitions
Proven Ability to De-Lever Post-Acquisitions Total Debt / LTM Adjusted EBITDA (x) (1) 17 Balance sheet debt, net of debt discount and issuance costs and includes finance leases Enterprise Security
Slide 18: Broadcom Continues to Outperform
Broadcom Continues to Outperform Source: Capital IQ Total Shareholder Return defined as stock price return plus impact of dividends Market data as of May 25, 2022 Indexed from one day prior to Brocade acquisition announcement date of November 2, 2016 18 275% 122% 88% Total Shareholder Return Since A
Slide 19: VMware Aligns with Broadcom's Strategy
VMware Aligns with Broadcom’s Strategy As of VMware’s fiscal year ending January 2022 19 Large Enterprise Customer Base Scale with Leading Multi-National Customers Utilizing Private & Multi-Cloud Environments Long Operating History and Strong IP Portfolio 5,000+ Patents Granted or Assigned to VMware
Slide 20: a BROADCOM
a BROADCOM erything