Enterprise software player VMware, which is partially owned by EMC — which, in turn, just got bought by Dell for $67 billion — today announced that it’s making some big changes to its cloud services.
VMware’s vCloud Air public cloud portfolio is becoming part of public cloud and cloud software provider Virtustream, which VMware acquired earlier this year.
Virtustream, for its part, will become part of a new Cloud Services Business that will be owned by EMC and VMware — each side will own half. The Virtustream business will report its finances in VMware’s quarterly earnings statements.
It’s a feat of financial engineering at its best.
June 5th: The AI Audit in NYC
Join us next week in NYC to engage with top executive leaders, delving into strategies for auditing AI models to ensure fairness, optimal performance, and ethical compliance across diverse organizations. Secure your attendance for this exclusive invite-only event.
My diagram of ownership in the Federation just got torn up. #dellemc #DellWorld #cloud https://t.co/WJDqO7yOxT
— Stuart Miniman (@stu) October 20, 2015
One wrinkle in all of this: Dell was at one point trying to build a public cloud, but abandoned those plans. Now, by bringing together Virtustream and vCloud Air, Dell will have a stronger cloud to push, and will perhaps one day be a competitive force that could challenge the likes of Amazon Web Services, Google Cloud Platform, Microsoft Azure and IBM SoftLayer. Maybe.
