VMware-Dell Spin-Off Deal Successfully Completed

The spin-off of VMware from Dell Technologies has been completed.  The companies will strengthen their mutually beneficial, strategic relationship and continue to co-engineer solutions for customers through a new commercial agreement.  

The spin-off provides an opportunity to enhance and strengthen VMware’s partnership with Dell.  We maintain a strong commercial and technology partnership with Dell, which preserves the most valuable parts of our relationship while allowing strategic flexibility of an open ecosystem for both companies.  

VMware will have an enhanced ability to extend its ecosystem across all cloud vendors and on-premises infrastructure vendors with a simplified capital structure that will support growth opportunities.  An extended ecosystem, which includes our strategic partnership with Dell, will uniquely position us to execute on our multi-cloud strategy, and to provide customers our solutions and services on any​ public cloud and any infrastructure.  

I’m excited about this milestone and what it means for our partners.

Growing a More Robust Ecosystem

VMware has immensely benefitted from our partnership with Dell, including the unique growth synergies that have allowed us to execute on our strategy and become one of the world’s leading multi-cloud infrastructure companies. As we enter the next phase of growth, our strategy is to provide multi-cloud services for all apps, enabling digital innovation with enterprise control.    This transaction helps VMware accelerate this strategy by leveraging freedom, stand-alone governance model, and a flexible and simple ownership structure.

As a stand-alone company, we will have a greater ability to grow an even broader, more robust ecosystem across all cloud and on-premises infrastructure vendors. The opportunities will expand for VMware and for our partner ecosystem.  Over time, we will use our strong financial position and continued emphasis on innovation to explore and grow new partnership opportunities. 

As I shared at VMworld, multi-cloud is and will continue to be at the center of everything we do; we expect multi-cloud will be the ubiquitous operating model for digital businesses for the next 20 years. The need for partners and the connected ecosystem has never been greater. As VMware transitions to a customer-first, partner-led strategy, we’re prioritizing the partner experience and we want our partners to be the multi-cloud delivery model. Our goal is to lead the multi-cloud transformation and become the most essential software ecosystem in the world, with our partners leading the way. 

Creating Customers for Life

This is an incredibly exciting milestone for VMware that supports our transition to the next chapter as a multi-cloud and applications leader and bringing a host of benefits to customers. Our customers will continue to benefit from VMware’s software innovation combined with Dell’s GTM scale and will receive the same high-quality products and superior service from us that they are accustomed to. 

VMware’s mission is to unleash the power of VMware’s connected ecosystems to create customer-for-life value. We are committed to our partnership with our customers, and we are confident this transaction will enhance our ability to deliver the trusted foundation to accelerate customers’ innovation—which is and will remain our top priority.  

The spin-off gives us flexibility to build a well-balanced ecosystem of partners as a stand-alone company while maintaining our deep, strategic relationship with Dell.  I’m excited for the future of our continued strategic relationship with Dell as we work together to create and deliver solutions for our mutual customers.

Sandy Hogan
Senior Vice President, ​
Worldwide Partner and​ Commercial Organization


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