Are you trying to decide between Proxmox vs ESXi for your virtualization needs? While these two popular hypervisor solutions offer virtualization capabilities, they differ significantly in terms of pricing, features, and usability.

Let’s compare Proxmox vs ESXi to help you determine which is the best fit for your needs.

What is Proxmox VE?

Proxmox VE is an open-source hypervisor based on Debian Linux, integrating Kernel-based Virtual Machine (KVM) for full virtualization and LXC for container-based virtualization. 

It is completely free to use, with all enterprise features available without licensing fees. Proxmox also offers a subscription-based support model for those who require professional assistance.

Key Features of Proxmox:

• Open-source with all enterprise features enabled by default.
• Supports a wide variety of storage backends such as iSCSI, NFS, GlusterFS, ZFS, LVM, and Ceph.
• Includes built-in clustering and high availability without additional costs.
• Supports both full virtualization (KVM) and container-based virtualization (LXC).
• Can run on older hardware, supporting non-VT-enabled CPUs for container-based workloads.

What is VMware ESXi?

VMware ESXi is a proprietary hypervisor widely used in enterprise environments. While VMware historically offered a free version of ESXi, recent versions require a paid license to unlock full functionality. The platform is well-known for its stability, strong ecosystem support, and enterprise-grade features.

Key Features of VMware ESXi:

• Industry-leading stability and performance.
• Advanced networking features such as vNetwork Distributed Switch (vDS).
• Extensive integrations with third-party vendors.
• Supports enterprise-grade backup and disaster recovery solutions.
• Requires licensing for essential features like vCenter, clustering, and advanced storage options.

What are the Key Differences Between Proxmox vs ESXi?

While Proxmox is free and open-source, ESXi requires a paid license for full functionality. Key differences include their support for containers, storage options, and high availability features, making each platform more suitable for specific use cases depending on hardware, budget, and scalability needs.

Performance Comparison: Proxmox vs. ESXi with NVMe/TCP

To compare real-world performance, a benchmark test was conducted by Blockbridge using Proxmox VE 7.2 and VMware ESXi 7.0 Update 3c on identical hardware:

• Test Server: Dell PowerEdge R7515
• CPU: AMD EPYC 7452 (32-Core)
• Networking: Mellanox 100Gbit
• Storage Backend: NVMe/TCP with Blockbridge 6
• Workload: 32 Ubuntu virtual machines, each with 4 vCPUs and a single virtual disk running fio benchmarks.

Key Findings:

• ESXi relies heavily on SCSI-based storage virtualization, which introduces a slight performance overhead when using NVMe devices.
• Proxmox, using native KVM/QEMU storage drivers, achieved lower latency and higher IOPS in high-throughput scenarios.
• VMware’s vSAN and VMFS file systems provide more mature enterprise storage management but require additional licensing fees.

The benchmark test revealed that Proxmox VE 7.2 outperformed VMware ESXi 7.0 Update 3c in high-throughput scenarios due to its native KVM/QEMU storage drivers. This resulted in lower latency and higher IOPS. In contrast, ESXi’s reliance on SCSI-based storage virtualization introduced slight performance overhead when using NVMe devices. 

While VMware’s vSAN and VMFS offer more mature enterprise storage management features, they come with additional licensing costs, making Proxmox a more cost-effective choice for performance-focused workloads.

What Is the Installation and Hardware Compatibility?

When it comes to setting up a virtualization platform, Proxmox delivers a hassle-free experience through its ISO-based installer, seamlessly accommodating a variety of systems—from cutting-edge servers to aging hardware—without rigid requirements. 

VMware ESXi keeps installation simple but imposes stricter hardware demands, especially for network components, and tends to phase out compatibility with legacy systems as updates roll out.

Proxmox Installation:

• Straightforward ISO installation.
• Supports a wide range of hardware and network adapters out of the box.
• Runs on both old and new hardware without strict hardware validation.

ESXi Installation:

• Also features a simple installation process.
• Requires specific hardware compatibility, particularly for network adapters.
• Older hardware often loses official support in newer ESXi releases (e.g., Dell R410s are unsupported in ESXi 6+).

How Does the User Interface and Management Work?

Managing virtual environments in Proxmox feels intuitive thanks to its web-based dashboard, which leans on a familiar Linux networking framework to streamline operations. 

VMware ESXi, meanwhile, ups the ante with a sleek, professional-grade interface—elevated further by vSphere—but unlocking its full potential often means investing in a vCenter license. As VMware shifts toward an Electron app for future management, Proxmox sticks to its reliable web-based roots.

• Proxmox uses a web-based interface (accessible via port 8006) with a Linux-style networking model.
• ESXi has a more polished UI, with vSphere providing a unified management experience. However, full functionality requires vCenter licensing.
• VMware is moving towards an Electron app for management, while Proxmox retains a web-based approach.

How Does Clustering and High Availability Work?

For those building resilient and scalable systems, Proxmox VE stands out by embedding clustering and high availability tools directly into its platform, all without extra fees. 

VMware ESXi, by contrast, reserves these advanced capabilities for users willing to pair it with vCenter, which drives up costs. 

• Proxmox VE offers built-in clustering and high availability at no extra cost.
• ESXi requires vCenter to enable clustering and HA, adding to licensing costs.

Proxmox vs. ESXi: Which One Should You Choose?

Proxmox VE offers a compelling alternative with all features unlocked for those on a budget or seeking open-source flexibility. 

If you require a highly polished enterprise solution with extensive vendor support, VMware ESXi is still a top choice—provided you are willing to pay for licensing.

OpenStack as an Alternative Consideration

OpenStack is a cloud-scale virtualization ecosystem worth exploring if you’re looking for an alternative outside of traditional hypervisors. 

However, OpenStack is not a simple one-weekend experiment—it is best suited for larger-scale deployments requiring deep infrastructure automation. We’ll cover this soon in an upcoming blog.

VMware vs Proxmox? HorizonIQ Has You Covered

At HorizonIQ, we offer flexible solutions to meet your virtualization needs, supporting both VMware and Proxmox VE platforms. Our Managed Private Cloud, built on VMware, is designed for customers requiring scalability, security, and high availability. 

This fully managed service provides a dedicated virtualized infrastructure, ideal for businesses migrating from public cloud environments or seeking comprehensive management of their cloud infrastructure.

For those who prefer an open-source approach, HorizonIQ allows customers to run Proxmox VE on our bare metal fleet, enabling the creation of a private cloud. 

In this model, HorizonIQ manages the underlying server infrastructure, while customers install and manage their virtual environment using Proxmox VE. This option offers flexibility and control, catering to organizations that favor open-source solutions.

Whether you’re looking for a fully managed VMware environment or the versatility of Proxmox VE on dedicated hardware, HorizonIQ provides the infrastructure and support to meet your specific requirements. Contact us today to learn more.