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VMware: 2009 will be crucial!

But hey , just look around. Before I do the simple copy-paste of that techcruncher, the financial markets are in panic. A human factor, panic and pandemonium has taken over. My Time magazine subscriptions are spelling doomdays. Last mag had pictures of the great depression and this week it was about London sinking. Gawwshh....

So the times are hard and some real hardcore warriors are needed should any firmwant to go out there and chase newer markets.

Now back to VMware, simple and quick advice:

  • Go global
  • Go to BRIC countries now!
  • Keep expanding your presence in EMEA and other newer economies
  • Keep flattening the pie and go to mass markets
  • Cloud Computing is emerging trend, ride it out and you'll ride out the recession


My list of advice can go on and on. There has been a shake up and surely other competitors will go after you. VI4 is coming, and pack it up with some really mass consumerable juices.

Now reality check and the post from Techcrunch

Given the current economic climate, VMWare should be doing better than ever. With the growth of Apple’s Intel based computer platform people are using VMWare’s Fusionsoftware, and its competitor Parallels Desktop, to boot Windows on Apple hardware. But more importantly in the current economic downturn, one way that organizations will squeeze more computing power out of existing hardware is to spend budgets on virtualization software rather than on new servers. This is because virtualization lets enterprises deploy multiple virtual computers on a single set of hardware while simultaneously maximizing hardware utilization and consolidating resources. This is why virtualization was ranked one of the top ten strategic technologies to watch in 2009 according to Gartner. As further evidence of the growth in the virtualization market, IDC noted that virtualization shipments increased a staggering 53% between the second quarter of 2007 and the second quarter of 2008. With enterprise grade products like VMWare Server and VMWare ESXi, the company seemed well positioned to make the most of the current economic situation.

The introduction of Hyper-V, which is priced extremely competitively, in combination with senior management turn over and slumping share prices has caused VMWare to be downgraded by at least three different investment houses (1, 2, & 3) in the past month. This combination of factors seems to be the perfect storm to disrupt VMWare from being able to take advantage of the opportunities which the current economic duress could have afforded it. Lets hope for the sake of their employees and their shareholders that they can get it together.


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