Comments
Will VMware Challenge Amazon Head On?
Newest First  |  Oldest First  |  Threaded View
Shawn Douglass
50%
50%
Shawn Douglass,
User Rank: Apprentice
3/20/2013 | 8:29:52 PM
re: Will VMware Challenge Amazon Head On?
From security and governance policies that follow entire application stacks to cloud portable services, the technology VMware is talking about as a future has been offered by at least one cloud management platform for a while now. However, a fight over IaaS is not a fruitful place to be without a discussion about how it supports the strategic endgame of increased business agility, faster time to innovation while decreasing operational costs. For a view of CMPs:
http://bigfatfinanceblog.com/2...
- Shawn Douglass, CTO, ServiceMesh
timwessels
50%
50%
timwessels,
User Rank: Apprentice
3/19/2013 | 7:19:19 PM
re: Will VMware Challenge Amazon Head On?
Well, now that the VMware vCloud Hybrid Service has been formally announced, it is interesting to see what it is not. Mr. Gelsinger said that VMware is not building infrastructure to host the service and will continue to rely on its vCloud partner network of providers to deliver the service in cooperation with VMware. This is a far cry from VMware going head-to-head with AWS or announcing a plan to build its own data centers to deliver the service. I agree that VMware needed to make some bold announcement to re-inflate its stock price after seeing its value decline by 22% in one day, but vCloud Hybrid Service hardly looks like the "AWS killer" announcement everyone was expecting.
Frankinca
50%
50%
Frankinca,
User Rank: Apprentice
3/19/2013 | 11:26:08 AM
re: Will VMware Challenge Amazon Head On?
Thanks for the article. I am a fledgling business software provider and recommender. As a contractor to a group of dentists nearby who have common and separate data distribution needs, a hybrid cloud scheme is the answer. Have worked with virtual at desktop level, can now see how it can be applied at the cloud or universe level. Articles like these wake me up to the future and the possibilities of providing a superior IT capability to my dental group. I am going to follow VMware's business services closely and would like to be a test bed for their new cloud products. Are you listening VMware?
lleblanc951
50%
50%
lleblanc951,
User Rank: Apprentice
3/16/2013 | 1:18:09 AM
re: Will VMware Challenge Amazon Head On?
For VMware customers who want the flexibility to manage hybrid on and off-premise resources that includes Amazon EC2, they should check out the VMware Ready HotLink Hybrid Express (www.hotlink.com). It extends VMware vCenter to natively manage Amazon EC2 resources including cross platform administration, cloning, snapshots, templates, migration and bi-directional workload conversion. It won Best of Show at VMworld 2012.
Andrew Binstock
50%
50%
Andrew Binstock,
User Rank: Author
3/15/2013 | 8:02:10 PM
re: Will VMware Challenge Amazon Head On?
Agreed, another great piece by Charlie. You wrote "VMware going head-to-head with AWS seems very unlikely." I agree that they won't make an obvious us vs. them play, but in all other respects, I think they have to go head-to-head with AWS, but not as you suggest. Their best chance, IMHO, is to convince companies that private/in-house clouds are better than using public clouds. This tack will work for fin svs and some highly regulated industries. But eventually, I expect, the tide will flow towards public clouds. Not quickly, but inexorably.
cbabcock
50%
50%
cbabcock,
User Rank: Strategist
3/14/2013 | 9:41:21 PM
re: Will VMware Challenge Amazon Head On?
Yes, DynamicOps is a cross-hypervisor technology that VMware acquired and that fits its hybrid cloud strategy. Good point by Tim Wessels. From my perspective, VMware has different, major constituencies: its customer base, in its partner ecosystem and on Wall Street. It can't say (and isn't saying) different things to each. But when it's stock is down and it addresses Wall Street analysts, you should expect VMware to say it has a brilliant cloud strategy and will have no problem coping with Amazon and other cloud vendors. Remember, its comments on hybrid cloud followed its projection that it will grow revenues faster next year (20%) and the years thereafter than it is this year. And it will do so in an expanding cloud market. It made a bold case, and in two days the stock has gained back 12% of the 20% value that it lost after its fourth quarter earnings report in January. Mission accomplished, as our fearless leader used to say. But it has yet to really explain what VMware Hybrid Cloud Service is or what the Pivotal Initiative will do. There's a wide range of opinion on what Jim Gelsinger's remarks mean. Why clarify when the stock is moving upside? Charlie Babcock, InformationWeek
timwessels
50%
50%
timwessels,
User Rank: Apprentice
3/14/2013 | 5:25:47 PM
re: Will VMware Challenge Amazon Head On?
Well, yet another really excellent piece of tech writing from Mr. Babcock. VMware going head-to-head with AWS seems very unlikely. AWS is the gold standard for running Web-scale applications as inexpensively as possible. VMware is the gold standard for virtualizing legacy apps in enterprise data centers as expensively as possible. Their business models are fundamentally different. The friction comes as a result of AWS constantly introducing new services and lowering prices while actively soliciting enterprise cloud-era application workloads. VMware has had nothing to offer their customers, other than to point them to their vCloud partners. 175 vCloud partners do not equal AWS so VMware will have to do some heavy lifting. VMware is not interested in competing with AWS on price. It is interested in moving the legacy application workloads running in VMware virtualized enterprise data centers to its own VMware hybrid cloud service and hope that those customers will eventually build and run their cloud-era application workloads there too. The Nicira SDN technology will play in large VMware virtualized data center environments and in the VMware hybrid cloud. The DynamicOps technology will allow VMware to orchestrate more than just VMware environments. None of this will be offered at low cost to VMware's customers. The VMware hybrid cloud announcement is as much about keeping VMware's customers locked-in and the revenue stream flowing, as it is about the technology being deployed.
Laurianne
50%
50%
Laurianne,
User Rank: Author
3/14/2013 | 4:17:04 PM
re: Will VMware Challenge Amazon Head On?
It will be interesting to see which Intel ecosystem lessons Gelsinger applies here. And to see how he chooses to compete with Amazon on cost.

Laurianne McLaughlin
InformationWeek


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 Tech Digest September 24, 2014
Start improving branch office support by tapping public and private cloud resources to boost performance, increase worker productivity, and cut costs.
Video
Slideshows
Twitter Feed
InformationWeek Radio
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.