By VSM News Staff published: Monday, December 29 2003
Street illusionist David Blaine has amazed everyone with incredible magic that often leave jaws hanging. The industry has seen its own magic act, with EMC gobbling up Vmware.
The acquisition of VMware, by EMC , would make even illusionist David Blaine envious.
While the technical community was ready for VMware, to go public or possibly be acquired by IBM; EMC pulled a quick one on everyone.
The December 2003 issue of Forbes Magazine mentioned VMware as potentially being a red hot IPO in 2004. VMware was among a handful of companies that showed a profit during the recent technical recession.
Most industry observers viewed IBM as a likely suitor since IBM has been in the virtualization business since the mainframe and they were the first major OEM to tout the advantages of virtualization on an Intel platform - using Vmware's product.
For clients looking into moving VMware's flagship product out to their SAN, IBM was the most likely choice and EMC was far behind since IBM and Vmware had the closest relationship and thus the best support.
Why would IBM not purchase VMware or allow EMC to do so makes one wonder? Does IBM have a secret project that they are ready to unveil that would overshadow Vmware 's products and future virtualization new comer Microsoft? Yes, the IBM conspiracy is mere speculation ; however we all know that IBM has decade’s worth of experience in virtualization and if anyone could leapfrog Vmware it would most likely be IBM.
What will the Vmware purchase mean for current Vmware users? The reaction has been mixed and mostly positive. Many sited the purchase as an affirmation that virtualization and Vmware are here to stay. A good sign to some early adopters of the technology who had been concerned about Microsoft coming to the dance. Others who had standardized on the EMC line were understandably enthusiastic. An improvement in support was also cited as a likely outcome.
IBM and HP , who have embraced Vmware said its business as usual and were not bothered by the purchase. Clearly if EMC adds hooks into Vmware's product line making it more beneficial to buy EMC storage instead of IBM or HP, this situation will change. Will IBM and HP continue to offer OEM support of the Vmware product line is another looming question.
How do Vmware business partners view this purchase? In recent years , EMC has moved from nearly an all direct sales model to a greater reliance on business partners (VARs) and distributors. EMC's relationship with Dell has irked many of their VARs. Will Dell's sales force get access to EMC's Vmware product line any time soon is another hot topic?
At press time, it still appears that Vmware is a long way ahead of the pack. IBM and HP are still fine with the recent EMC acquisition and the rumors swirl that Microsoft Virtual Server may be delayed again.
