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EMC Announces Agreement to Acquire Virtustream

Bill Fathers headshotBy Bill Fathers, Executive Vice President and General Manager, Cloud Services Business Unit, VMware

Earlier today EMC announced that they have entered a definitive agreement to acquire privately-held Virtustream, a cloud services provider focused on the managed private cloud. This is great news for our customers, VMware and the EMC Federation of companies. As the leader of VMware’s Cloud Services business, I wanted to offer some perspective.

With the addition of Virtustream, the EMC Federation of companies will be able to offer customers a comprehensive set of hybrid cloud offerings, including private, managed and public cloud solutions. The refreshed portfolio will include VMware vCloud Air, the Federation Enterprise Hybrid Cloud solution (based on a combination of EMC and VMware technology), and now a complementary Virtustream managed cloud offering. With this comprehensive hybrid cloud solution, our customers will be able to run any application or workload from the cloud, whether private, managed or public.

The synergy doesn’t stop there as Virtustream is a long-standing member of VMware’s vCloud Air Network of partners and is also a VMware customer.

The unique value proposition of vCloud Air and VMware’s vCloud Air Network remains the same – to enable VMware customers to seamlessly extend their data center applications to the cloud. VMware provides unprecedented flexibility and choice of cloud services on a local basis with vCloud Air and through our 3,900 vCloud Air Network partners around the world. And, with our One Cloud, Any Application, Any Device architectural approach, customers can rapidly develop, automatically deliver and safely consume all of their enterprise applications. This holistic approach provides customers openness and choice in how to build and manage their applications and cloud environments based on their specific needs. 

Over the coming weeks and months, we will be working on how we jointly market and sell this new capability. Once the deal closes, we’ll update you further with details on how to take advantage of this new offering.

For more information, please see the EMC press release.

The Self-Service Revolution: A Double-Edged Sword

Bill Fathers headshotBy Bill Fathers, Executive Vice President and General Manager, Cloud Services, VMware

The characteristics of cloud computing are many and varied, but the feature perhaps most responsible for its rapid adoption across organizations of all sizes is self-service procurement. The reason for this is fairly obvious: whereas interfacing with the IT department and waiting on approval was once the biggest bottleneck in provisioning new resources, workers today can simply bypass all that and go directly to a cloud-services provider.

While cloud computing has cleared the IT bottleneck by enabling self-service and instant access to technology infrastructure, it has created a new set of problems. Sure, organizations can save time and money by lowering the bars of procurement, but are employees procuring the right resources? And is the organization’s overall infrastructure model sustainable?

The strategic significance of self-service

It’s important to identify what the benefits of a self-service model actually are. First and foremost, self-service empowers companies to move at the speed of business and deploy new capacity instantly in response to market factors. Instead of being reactive, organizations can be proactive through an IT framework that scales in real time.

Self-service can also greatly mitigate waste. In a conventional model, resources like storage capacity must be procured in set increments (50 gigabytes, 20 terabytes, etc.). In contrast, self-service allows users to take only what they need and pay only for what they use.

In addition, self-service portals significantly reduce the burden on IT departments. If a dev team needs a new server, for example, numerous stakeholders are typically looped into an approvals process that can span weeks, if not months. If the dev team no longer needs to speak with anyone internally to get the resources they need, the IT department can be freed up to pursue more meaningful and less menial tasks.

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A War Zone Taught Me the Importance of Infrastructure

Bill Fathers, EVP, Hybrid Cloud Services Business Unit, VMwareBy Bill Fathers, Executive Vice President and General Manager, Cloud Services Business Unit at VMware

We’ve arrived at a pivotal turning point in IT. As the pace of innovation continues to accelerate and our technology begins catching up with our imaginations, the greater challenge is no longer building the next disruptive product, but providing a cloud infrastructure model that can deliver it anywhere, at anytime. For those who’ve been paying attention, this shift will come as no surprise. I first recognized the significance of infrastructure during my military service.

As an officer in the British Army, you are taught how to fight conventional battles, with established rules of engagement and clarity of purpose. We didn’t have that in Sarajevo. The UN peacekeeping mission was comprised of nations who had never worked together before, certainly not in a very high-pressure environment.

At the height of the war, Sarajevo was blockaded, bombarded and under constant sniper fire. Water was cut off and Bosnian forces were preventing even medical supplies from entering. Still, the city endured. Then, somebody literally stole the mobile phone network installed by a multinational firm a few years earlier, and everything went to total mayhem.

And so I learned the gravity of infrastructure. That realization would inform my trajectory for decades to come.

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VMware Continues vCloud Air Global Expansion Extending Hybrid Cloud Reach to Australia

Bill Fathers, EVP, Hybrid Cloud Services Business Unit, VMwareBy Bill Fathers, executive vice president and general manager, Cloud Services Business Unit, VMware

Today, we have very exciting vCloud Air news to share. Not only are we extending our hybrid cloud service to Australia, but after completing a successful beta program, vCloud Air will be generally available in Japan in the coming weeks. The combination of vCloud Air with the VMware vCloud Air Network of service providers, which includes more than 20 data centers in Australia, makes VMware the largest hybrid cloud network in the Asia Pacific region.

In Australia
The new service location in Australia, expected to be available in the first half of 2015, provides customers with a hybrid cloud option operated by VMware that addresses local compliance and data sovereignty concerns. VMware vCloud Air enables organizations to seamlessly expand their on-premises IT infrastructure to the public cloud. The resulting hybrid cloud is compatible with clients’ existing applications and allows them to build new cloud-native applications, delivering agility and efficiency to the business in a secure, reliable and compliant manner. IT departments can view, manage, and operate the cloud environment in a unified way and the service is compatible with Hybrid Cloud Services powered by the VMware vCloud Network of service providers.

In Japan
After the successful beta program announced this past July with SoftBank Telecom Corp. and SoftBank Commerce & Service Corp. (SoftBank C&S), vCloud Air will be generally available in Japan in the coming weeks. The beta program was a success with more than 50 companies who participated; these companies will be making the transition to general availability allowing them to provide a true hybrid cloud for enterprises.

Today’s announcement is a true testament to VMware’s commitment to partnering with our clients as they begin or continue their journey to the cloud and to the global expansion of our products and services.

VMworld 2014 US: VMware Hybrid Cloud Momentum

Bill Fathers, EVP and GM, Hybrid Cloud Services Business Unit, VMwareBy Bill Fathers, executive vice president and general manager, Hybrid Cloud Services Business Unit, VMware 

It is only day two of VMworld, and there is so much excitement around cloud services from VMware. On August 21, we announced the rebranding of vCloud Hybrid Service to vCloud Air, our new name for the industry’s only enterprise-ready Hybrid Cloud. We also introduced the vCloud Air Network, providing more choice in cloud service options to our customers than any cloud provider in the industry.

The cloud is VMware’s second DNA, and the rebrand to vCloud Air represents how VMware will deliver innovation as a service, from the data center to the desktop and mobile applications, all on top of the vCloud Air platform.

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VMware Extends Hybrid Cloud Reach to Asia-Pacific Region

Bill Fathers, SVP & GM, Hybrid Cloud Services Business Unit, VMwareBy Bill Fathers, Senior Vice President and General Manager, Hybrid Cloud Services Business Unit

I am pleased to announce the expansion of VMware’s hybrid cloud service footprint into the Asia-Pacific region through two new and exciting partnerships in Japan and China.

This week in Japan, Pat Gelsinger will join Ken Miyauchi, representative director and COO of SoftBank, onstage at SoftBank World to announce a new joint venture between our companies to launch VMware vCloud® Hybrid Service in Asia. This service is already available to clients in Japan as a private beta today and will become generally available in Q4 of this year (Read more about our announcement with SoftBank here).

In addition, this week in China, Pat joined China Telecom executives to announce plans to build a world-class hybrid cloud service in Beijing. Based on VMware hybrid cloud technology, the new service will be operated by China Telecom, as CT E-surfing Hybrid Cloud Services (Powered by China Telecom and VMware). The new service is expected to deliver hybrid cloud offerings such as Infrastructure as a Service, Disaster Recovery as a Service and Desktop as a Service (Read more about our announcement with China Telecom here).

We are honored and excited to work with SoftBank and China Telecom to deliver hybrid cloud services to clients.

Taking a step back to get a wider view, there has been a lot of buzz around our vCloud Hybrid Service since it went live in September 2013. Our scale out is progressing at an aggressive rate. VMware now operates vCloud hybrid service in North America (6 sites in the US), Europe (in the UK) and now Asia to meet the needs of both our regional and global clients. By the end of 2014 a VMware cloud will be available in over 75% of the world’s cloud market through both VMware-operated services and our vast global network of over 12,000 VMware-based cloud service providers.

Throughout, we have kept up the pace of innovation announcing new hybrid capabilities and new service offerings such as Desktop as a Service, Disaster Recovery as a Service and support for Cloud Foundry. Increasingly VMware’s global client base can regard vCloud Hybrid service as an extension of their existing environments, and they can quickly deploy both new and existing applications without compromising on performance or security.

We have been busy… But we are not stopping here. Today’s news should leave no doubt. We are committed to continuing the expansion of our global hybrid cloud service footprint and providing our clients, where ever they may be in the world, with the fastest path to cloud.

To get started with the vCloud Hybrid Service, visit vCloud.VMware.com.

For future updates, follow us on Twitter at @vCloud and Facebook.com/VMwarevCloud.

Forward-Looking Statements

This blog post contains forward-looking statements including, among other things, statements regarding VMware and its affiliates plans for further expansion of its vCloud Hybrid Service offerings, the general availability of the vCloud Hybrid Service and Japan and the CTC service in China, the benefits to customers of vCloud Hybrid Service, and the expected growth of VMware vCloud Hybrid Service.  These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to (i) adverse changes in general economic or market conditions; (ii) delays or reductions in information technology spending; (iii) competitive factors, including but not limited to pricing pressures, industry consolidation, entry of new competitors into the cloud computing market, and new product and marketing initiatives by our competitors; (iv) our customers’ ability to develop, and to transition to, new products and computing strategies such as cloud computing; (v) the uncertainty of customer acceptance of emerging technology; (vi) rapid technological and market changes in virtualization software and platforms for cloud computing; (vii) changes to product development timelines; (viii) VMware’s ability to protect its proprietary technology; and (ix) VMware’s ability to attract and retain highly qualified employees. These forward looking statements are based on current expectations and are subject to uncertainties and changes in condition, significance, value and effect as well as other risks detailed in documents filed with the Securities and Exchange Commission, including our most recent reports on Form 10-K and Form 10-Q and current reports on Form 8-K that we may file from time to time, which could cause actual results to vary from expectations. VMware assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this post.

Bringing the VMware vCloud Hybrid Cloud Service to the UK

Today, we’re announcing that we are expanding the VMware vCloud Hybrid Service to the United Kingdom. Our data center will be located in Slough, and for the first time UK clients will have access to a public cloud that is built on VMware infrastructure and managed by the team that knows VMware products best.  This is the first step in expanding our service to Europe, and we are extremely excited to broaden our footprint in the UK as a first step.

For clients in the UK, we will be delivering a hybrid solution that offers enterprises the opportunity to operate their own clouds with consistency while moving workloads without friction to a VMware public cloud.  We also know data location and sovereignty is important to every organization and public cloud data centers need to meet both internal IT standards as well and local data requirements. The Slough data center is the first step to providing our international clients a local service built with global best practices for architecting public clouds.

With a public cloud that matches existing infrastructure architectures and data location, IT departments can enable their business partners with new services and capacity and ensure the same security, compliance and piece of mind as their private cloud.

Our VP of Cloud Services Mathew Lodge provides more details on the vCloud blog about our UK expansion as well as some new features and capabilities to make managing hybrid cloud environments easier.

Every client has unique needs, and we designed vCloud Hybrid Service with the architectural flexibility to match their private cloud environments and move workloads to wherever they make the most sense. The VMware hybrid approach extends the same applications, networking, management, operations and tools across both on-premises and off-premises environments and is designed to be the fastest path to the cloud. For IT departments a hybrid cloud can remove traditional barriers to innovation and change the relationship between IT and the business. We’re excited to enable a new era of innovation for more clients around the world.