Broadcom Software Academy Blog

The 2026 VMUG Report: Why Network Observability is the Heart of the New VCF Era

Written by Alec Pinkham | Dec 17, 2025 9:24:23 PM
Key Takeaways
  • Discover the top takeaways from the VMUG Cloud Operations and VCF User Experience Report 2026.
  • Establish performance baselines with network observability tools—before migrating to VMware Cloud Foundation (VCF) 9.
  • Harness cross-functional visibility by removing the silos that separate cloud operations and network operations teams.

The cloud landscape is no longer just about "getting to the cloud"—it is about mastering the complexity once you are there. For organizations using VMware Cloud Foundation (VCF), the stakes have never been higher. As infrastructure converges, the margin for error shrinks, and the need for precision grows.

To understand how the industry is navigating these changes, we dive into the VMUG Cloud Operations and VCF  User Experience Report 2026. Based on a comprehensive survey of over 800 VMUG members conducted in October 2025, this report offers an essential snapshot of the current state of priorities, challenges, and adoption timelines.

The data points to a singular, undeniable theme: The role of network observability and cross-functional collaboration is critical. Whether you are planning a migration to VCF 9, exploring VMware Private AI, or simply trying to keep the lights on, the network has become the cornerstone of operational success.

Here are the salient findings from the report and what they mean for your IT strategy.

1. Network performance is no longer a passive concern

In the past, the network was often treated as "plumbing"—you only noticed it when it leaked. Today, that mentality is obsolete. In a distributed cloud environment, the network is the direct enabler of application success.

The survey confirms this shift with a decisive statistic: 65% of respondents view network performance as "very important" for cloud applications to meet business expectations. It is no longer just about uptime; it is about achieving positive business outcomes through reliable connectivity.

This mindset shift is most visible during troubleshooting. When an application fails, where do teams look first?

  • 40% of respondents immediately use network monitoring tools with end-to-end visibility as their first step.

This proves that latency and connectivity are recognized as the primary suspects in application performance issues.

2. The great divide: Cloud operations versus network operations

While everyone agrees the network is critical, there is significant disagreement on who should control it. The report highlights a fascinating organizational tension that many IT leaders will recognize immediately.

Despite the technical convergence of cloud and network infrastructure, organizational silos persist:

  • 33% of respondents believe cloud operations should have full ownership and visibility of the network, collaborating closely with network operations.
  • In contrast, 24% believe cloud operations should only be informed of network health by network operations, favoring a traditional "separation of duties."

The takeaway: This data highlights a major industry challenge. Our technology has converged, but our org charts haven't. To achieve the agility promised by VCF, organizations must bridge the gap between cloud operations and network operations. Operational excellence is becoming a team sport, and those clinging to traditional silos may find themselves struggling to troubleshoot issues in complex, multi-layered environments.

3. The visibility gap: Enterprise versus SMB

Achieving operational excellence requires more than just network stats; it requires end-to-end visibility into the actual user experience (UX). The good news is that visibility is generally strong across the VMware community:

  • 65% report end-to-end visibility from the application perspective.
  • 71% report end-to-end visibility from the network perspective.

The most successful organizations (56%) are actively managing UX through cross-functional visibility, integrating data insights across teams.

However, the report uncovers a worrying disparity based on company size. While enterprises are leveraging this cross-functional data, small to midsize businesses (SMBs) report a higher instance of no one owning UX as a dedicated metric. This suggests a gap in operational maturity for SMBs. In these organizations, UX issues may not be noticed until after they have had an impact on the bottom line.

4. VCF 9 adoption: A "measured" migration

With the release of VCF 9, the community faces a decision: upgrade now or wait? The survey results reveal a community that is exercising caution, prioritizing stability over speed.

The primary hurdle isn't budget or compatibility—it is a skills gap.

  • 32% of respondents cited "lack of expertise or needing more education" as the top barrier to moving to VCF 9.

This caution is reflected in the adoption timelines:

  • 37% plan to transition within the next 12 months (the aggressive early adopters).
  • 43% plan to wait at least 18 months, or until versions 9.1 or 9.2 are released.

The takeaway: The majority of the community is adopting a "wait and see" approach. They are waiting for platform maturity to address initial bugs and using the interim time to train their internal teams. If you are feeling hesitant about an immediate jump to VCF 9, you are not alone—you are in the majority.

5. VMware Private AI: Strategic evolution, not just hype

The introduction of VMware Private AI has generated significant buzz, but how is it translating to real-world adoption? The interest is mixed but emerging.

60% of organizations currently have plans to use VMware Private AI. This leaves a significant portion of the market still evaluating the technology. The immediate interest is coming from organizations that fit a specific profile:

  • They have high-priority AI and machine learning workloads with strict data privacy requirements.
  • They have established data science practices ready to leverage integrated capabilities.
  • They run a mature VCF environment capable of supporting resource-intensive workloads.

We are seeing a staged adoption in this arena. As use cases mature and "early adopters" prove the value, we can expect the "no plan" segment to shrink.

6. Troubleshooting: Start with computing, fix with communication

When an incident occurs in a complex VCF environment, knowing where to start is half the battle. The survey sheds light on the "order of operations" for modern troubleshooting:

  • Step 1 (diagnosis): 33% start by looking at cloud infrastructure metrics of the application’s computing resources. The health of the VM is the first line of defense.
  • Step 2 (resolution): 52% proactively engage with the network operations team on a daily or weekly cadence.

This reinforces the earlier point about collaboration. While you may start your investigation in the computing layer, resolving the issue almost always requires opening a channel of communication with the network team.

7. The strategic recommendation: Baseline before you migrate

Perhaps the most actionable insight from the 2026 report pertains to VCF migrations. The shift to a new VCF version inherently introduces change and potential performance variance. Therefore, the key question is, “How can you migrate to VCF 9 while ensuring optimized network performance?”

The report makes a formal recommendation: Before migrating to VCF v9, establish a performance baseline using a robust network observability solution.

Implementing Network Observability by Broadcom prior to migration enables you to achieve these objectives:

  • Identify the root cause of issues: Determine if a post-migration issue is the network, the app, or the new VCF infrastructure.
  • Ensure peak performance: Avoid blind spots and resolve issues before users are affected.

By having an unbiased "before" picture, performance validation becomes significantly faster and more accurate post-migration.

Conclusion: Operational truths for 2026

The VMUG Cloud Operations and VCF  User Experience Report 2026 serves as a compass for navigating the immediate future of the cloud. As we contend with the complexities of VCF 9, VMware Private AI, and distributed environments, three operational truths stand out:

  • Network performance is non-negotiable: It is directly linked to business success.
  • Cross-functional collaboration is key: Operational excellence is a team sport; the walls between cloud operations and network operations must come down.
  • Adoption is measured: There is no shame in waiting for stability. The community is prioritizing expertise and maturity over speed.

By understanding these realities, IT leaders can tailor their strategies to meet the evolving needs of their organizations, ensuring a seamless and high-performing future in the cloud. To learn more, be sure to visit our Network Observability for VMware Cloud Foundation page.