News
News
9/26/2005
03:58 PM
Connect Directly
RSS
E-Mail
50%
50%

Intel Funds Data-Center Virtualization Upstart

Virtual Iron's technology addresses all of the elements in a data center, including CPUs, memory, I/O, and storage.

Virtual Iron Software, which came out of stealth mode last month, finally took the wraps off its channel plans Monday. The company, which develops Windows-based virtualization technologies for the data center, also revealed that Intel Capital has invested $8.5 million in the startup’s third round of venture funding.

While many companies develop software that allows businesses to virtualize servers, storage or applications, Virtual Iron's technology addresses all of the elements in a data center, including CPUs, memory, I/O, and storage, said Mike Grandinetti, chief marketing for Virtual Iron, of Acton, Mass.

"This gives users the ability to pool those resources as needed," Grandinetti said. "They can provision servers, networks, and storage automatically without having to touch them. In the past, whether in the mainframe or Unix space, there have been substantial capabilities to manage those resources. We are aimed at the Windows space."

The investment will help Virtual Iron and Intel work together to develop data center virtualization, said Grandinetti. "It's rare that Intel announces it is leading a round of funding," he said. "The funding includes a collaboration agreement. We get access to Intel's roadmaps, and to technologies like Intel's VT (Virtualization Technology) chip."

Lucy McQuilken, investment manager of Intel Capital, said that her company invested in Virtual Iron because of its technology for virtualizing an entire data center, which lets customers balance workloads and increase resource usage, all without the need to purchase excess capacities to meet peak loads. "Our strategy is to invest in companies aligned with [Intel's] strategic goals," McQuilken said.

This is not Intel's first investment in the virtualization industry. Besides developing its Vanderpool virtualization technology for its processors, the company in June also invested in Herndon, Va.-based SWsoft, a developer of technologies to allow multiple virtual servers to share one physical server.

The initial version of the Virtual Iron virtualization platform was released early summer, said Grandinetti. Part of the funding will be used to expand its marketing efforts, which will now include a channel. "We were direct at first, like any early-stage company," said Grandinetti. "We are now working with application vendors, and are recruiting resellers with data center experience, server and storage virtualization experience or experience in certain markets. A formal reseller program will be rolled out pretty quickly."

Comment  | 
Print  | 
More Insights
IT's Reputation: What the Data Says
IT's Reputation: What the Data Says
InformationWeek's IT Perception Survey seeks to quantify how IT thinks it's doing versus how the business really views IT's performance in delivering services - and, more important, powering innovation. Our results suggest IT leaders should worry less about whether they're getting enough resources and more about the relationships they have with business unit peers.
Register for InformationWeek Newsletters
White Papers
Current Issue
InformationWeek Must Reads Oct. 21, 2014
InformationWeek's new Must Reads is a compendium of our best recent coverage of digital strategy. Learn why you should learn to embrace DevOps, how to avoid roadblocks for digital projects, what the five steps to API management are, and more.
Video
Slideshows
Twitter Feed
InformationWeek Radio
Archived InformationWeek Radio
A roundup of the top stories and trends on InformationWeek.com
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.