Are used VMware licences legal?

Many organisations are currently asking: Are used VMware licences legal?
The short answer is: Yes, resale is legally permitted.

Yes, used VMware licences are legal. Their resale is safeguarded across the EU by a landmark ruling of the European Court of Justice (ECJ) — provided certain legal requirements are met. Nevertheless, many organisations remain unsure whether they are allowed to buy or sell used VMware licences. This question is arising more frequently, particularly in the context of new subscription models and increasing cloud dependencies.

In this article, we explain why trading in pre-owned VMware licences is permitted, what organisations should consider, and why perpetual licences continue to represent an attractive alternative for many organisations.

Why are used VMware licences legal?

The basis is a ruling by the European Court of Justice (ECJ, C-128/11), which explicitly permits the resale of used software within the EU.
This ruling states that a software manufacturer’s so-called distribution right is “exhausted” once a licence has been sold for the first time.

In short: once a software licence has been properly acquired, it may also be resold — even if the manufacturer seeks to restrict this in its licence terms.

This also applies to:

• perpetual software licences
• downloaded software
• enterprise software such as VMware vSphere

So the answer is clear: the resale of used VMware licences is legal and recognised across the EU.

Which VMware licences can legally be resold?

Above all, traditional perpetual VMware licences (permanent one-time licences) can be resold in a legally compliant manner. These include, for example:

• VMware vSphere Standard
• VMware vSphere Enterprise Plus
• VMware vCenter Server
• VMware vSAN
• VMware NSX

These licences were originally offered as a one-time purchase without a subscription and can be used permanently. For this very reason, they are now particularly attractive to organisations that deliberately rely on on-premises infrastructures or prefer to avoid long-term subscription commitments.

What are the requirements for legally reselling licences?

To enable the legal transfer of used VMware licences, several conditions must be met:

• The licence was originally acquired lawfully within the EU
• It is a perpetual (non-expiring) licence
• The original purchaser no longer uses the licence after the sale
• The licence is transferred completely
• Verifiable licence documentation is available

If these conditions are met, both buyers and sellers operate on legally sound ground.

Why do organisations buy used VMware licences?

Many organisations want to continue operating their existing VMware environment without moving to a subscription-based licensing strategy. Used VMware licences offer clear advantages, particularly in this context:

• no ongoing subscription costs
• full cost control
• no cloud dependency
• stable, proven software versions
• in some cases, significant cost savings

This approach is particularly cost-effective for mid-sized organisations, the public sector, and established data centre environments.

Are used VMware licences technically secure?

Yes. From a technical perspective, used VMware licences do not differ from new licences. They enable the same functionality and allow the use of all security features.

The key factor is simply that organisations consider the support status of the deployed version and maintain their infrastructure accordingly.

Used VMware licences are legal and economically sound

Yes. Used VMware licences may be legally sold and used within the EU, provided they were originally acquired lawfully, remain valid on a perpetual basis, and all licence rights are transferred.

In brief

• used VMware licences are legal
• EU law permits resale
• perpetual licences are particularly suitable
• no subscription or cloud obligation
• full functionality at reduced cost

Feel free to also read our article VMware vSphere – High Performance Virtualisation

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