How Aussie Broadband Eliminated 195 VMs, 1K CPU Cores and 1TB of Memory by Switching to Bare Metal Kubernetes and vCluster

195 Virtual Machines Running Kubernetes, Leading to High Costs and Low Utilization

Before adopting vCluster, Aussie Broadband ran Kubernetes clusters on a single-tenant, VM-based architecture in their private cloud. While this provided flexibility, it led to significant inefficiencies and rising costs.

Challenges

• 195 VMs running Kubernetes clusters – Many clusters were underutilized, leading to wasted resources
• High hypervisor licensing costs – Running Kubernetes on virtual machines required hypervisor licenses, adding to private cloud expenses
• Duplication of tools – Each VM required its own security and compliance tools, increasing operational overhead
• Low CPU and memory utilization – Resources were allocated across too many small VMs, leading to inefficient usage
• Slow provisioning times – Developers had to wait for new VM-based clusters, slowing down workflows

VM Utilization Before vCluster

• VMs: 195
• CPU Utilization: 1,560 cores
• Memory Utilization: 3.1Ti

Single Bare-Metal Kubernetes Cluster with 100+ Virtual Clusters

Aussie Broadband sought a more cost-efficient, scalable approach to Kubernetes. After evaluating namespaces, Kamaji, and vCluster, they chose vCluster to replace their VM-based Kubernetes infrastructure with a single, high-utilization bare-metal cluster running multiple virtual clusters.

With this transition, Aussie Broadband eliminated VM sprawl and achieved higher efficiency at a lower cost.

Advantages

• Zero hypervisor licensing costs – Eliminating 195 VMs removed hypervisor-related fees
• Lower ISV software costs – Running fewer VMs meant fewer instances of monitoring and security tools
• Higher resource efficiency – Consolidated workloads onto fewer, more powerful physical machines
• Improved performance – Running Kubernetes directly on bare metal improved speed and stability

Total Savings

• 195 VMs Eliminated → No more VMware costs
• Over 1,000 CPU Cores Saved → Lower hardware and power consumption
• 1TB Memory Saved → Reduced infrastructure spend
• Faster Deployments → Bare-metal Kubernetes improves cluster performance

Beyond VM Reduction: Streamlining Kubernetes for Cost and Performance Gains

By adopting vCluster, Aussie Broadband eliminated the complexity and high costs of a VM-based Kubernetes architecture, allowing them to consolidate their infrastructure onto a single, high-performance bare-metal cluster.

This shift not only reduced operational overhead and licensing expenses but also ensured greater efficiency and flexibility for their teams. The vCluster support team played a key role in this transition, providing hands-on collaboration and direct access via Slack Connect to quickly resolve any technical challenges.

With a leaner, more efficient Kubernetes architecture, Aussie Broadband is now positioned for long-term cost savings and scalability, with the flexibility to adapt as their infrastructure needs evolve.