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VMware's prices surge as IPO debuts

VMware's prices surge as IPO debuts!


It marked the year's biggest stock-market debut in terms of one-day gains, according to data from Thomson Financial. The previous record was held by Fortress Investment Group, which jumped 68% on its Feb. 8 unveiling.

"This is a milestone for VMware," said Chief Financial Officer Mark Peek. "We still believe we're in the very early stages of virtualization, but this reaction says a lot about our market and our products."
What's made VMware a hot commodity is its virtualization-software technology, which is used by companies to simplify how they manage their system hardware from their software applications. The technology allows more efficient use of business systems and can help cut down on those systems' costs.
VMware bills itself as the leading provider of virtualization solutions, a category forecast to grow from $5.5 billion in 2006 to $11.7 billion by 2011, according to IDC.


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