The comment was just directed to the virtualization of storage comment... I just asked after you commented on the artical... everything you state here is correct, but I was interested in Greene's comments in case I was missing something substantial. In my realm virtual storage is nothing more than a addressability mapping between private and common storage effected by the addressing mode (24, 31, or 64 bit)... Clearly virtual isn't real!
I really wasn't taking a shot at EMC, I bought some when it hit 20 on the way down and some more at 3.60, but it isn't a cheap stock and the overall market risks are high in a time when the indexes are all in violation of their 200 moving averages...
I am certainly not recommending that anyone sell here. I am selling, and I am doing it on several fronts... Capital preservation is more important to me than profit and I have had a successful year if I back away now...
I wish you success with your shares...
The transports are sitting on the 200 day average, if the 200 day is violated it will be time to consider the safety of your investment capital... If a bottum is forming here... it is a weak one
<but I am missing the link between storage and VMWARE.>
The author clearly states:
[The rub is that VMware isn't directly tied to storage boxes. Instead, it's central to computer servers sold by EMC 's fiercest competitors, such as IBM and H-P. ]
Barrons never said there was link btw virtualization and storage as of yet, but that was the possible future. And I don't see any "gaps in the analyst perceptions" since the quote related to the thrust into virtualization storage comes from Diane Greene, VMWare's founder and CEO, not any analyst.
Ms Greene should know better than the rest of us what VMWare is capable of: VMWare took an old IBM technology in virtualization, not only made lots of money out of it (100% rev growth last Q), got IBM to renew its partnership and rev sharing agreement w/ VMWare way into the future.
On another note, VMWare was/is backed by VCs who were pioneers in Seagate, so perhaps VMWare has the culture and understanding of the storage business.
But please SELL into strength if you must. I'm not here to tell others when or what to buy or sell. EMC has been declining $1 a month the last 6~7 months, so you could be selling at the bottom, or as others have posted here, there's more pain to come.
I only asked since you quoted it... If the article was making a case on a software basis, I could have bought into the logic, but I am missing the link between storage and VMWARE.
I often see gaps in the analyst perceptions of technical information... I recently saw a push for Oracle where the statements were completely misplaced and it was clear that the analyst had no concept of a DB2 Datasharing group's imapct on sharability of data and availability enhancements... This looks like another case of the same.
I'll be selling on any strength and thanking Baron's for the oportunity... Long term EMC will be a player which is why I'll grab a few leaps while raising cash...
<Please explain what "virtualization storage" is>
Lol, over the years I've always stated I'm not a techno person, and I will clearly make an ass out of myself if I start posting technical jargon.
Here's the clip from Barrons, and the person to email is Mark Veverka whose articles are always meaningful and relevant:
<<<But it was Tucci's next software acquisition that sent a small shock wave through the industry.
This year, he paid $625 million for VMware -- a nascent developer of server-virtualization software that was considered a hot property, but not necessarily germane to data storage.
"I don't think Joe even knew who VMware was eight months before the deal," says VMware's president and co-founder, Diane Greene. VMware provides a layer of software that sits between the hardware and the operating system and "virtually" manages a network of computer servers to gain efficient use of each machine's computing power. In essence, it lets information-technology managers get more from existing networks.
"At first, it was considered a small gem of a little company, but that was an understatement. It is a large gem of a little company," Goldman's Conigliaro says.
The rub is that VMware isn't directly tied to storage boxes. Instead, it's central to computer servers sold by EMC 's fiercest competitors, such as IBM and H-P. That led Tucci to the wise move of partitioning the firm's operations from the rest of EMC 's software division.
The big question for investors is whether EMC can import some of VMware's vaunted visualization technology into its core storage business. Greene, a former naval architect who had her choice of suitors for her prized start-up, thinks she chose the right buyer. "There will be virtualization of storage," Greene says. "And the world is going to find out that this was a wildly sensible thing for Joe to do."
If she's right, Tucci's shopping spree has made EMC 's shares worth buying.
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You posted a comment from the last paragraph of the Baron's artical, <<VMWare is the most promising in achieving EMC's thrust into the software space; that its success in virtualization servers will soon lead to virtualization storage.>>
Please explain what "virtualization storage" is... I was planning on asking the author of the artical... I work in a shop with over 200 terabytes of dasd. I have managed virtual storage in our MVS images in the past and I have extreme difficulties placing any significant amounts of physical storage for "virtual" needs. VMWARE may support different operating systems from an emulation perspective... But if I am emulating an operation system, then my take is that the emulated system already exists, which means the data that the emulated system needs was already on the floor... I was only looking for server variety by choosing VMWARE...
based on the indications for the market, I'm hoping barons has provided me to sell the few thousand shares I didn't sell at 14, if the stock rallies tomorrow... I'll sell 5 minutes after the open and buy some in or out of the money calls out some time when the stock pulls back... I am selling in general and will wait for a confirmed market turnaround signal before putting money to work in anything but the jackup drillers and CEF which buys bullion and is the closest thing to an EFT...
The danger signs are present unless a real bottom forms immeadiately... The signs required to conform to a bottom are not evident, but there are no guarentees in this game...
If the transports violate the 200 day average after this last bounce, it will be time to insure you are prepared to preserve your investment capital...
"the pundits' prediction no longer matter. They were reasonable BEFORE oil prices and terrorism. Now the game is new"
poeticvision2000, credit to your point that the pundits' prediction no longer matter.
I don't agree however, with your statement that oil prices and terrorism make the 'game' new. For one, if anything, terrorism feeds companies fear of lost data for operations, and for that matter, lawsuits. I hate to say there's a silver lining in terrorism economics, but I'm just trying to tell you that it probably would be a net plus for storage co's.
Secondly - oil prices will stablilize, maybe sooner that we all think (i.e. this too will pass).
poeticvision2000, you do make good points that could mean a new game. I've just been around long enough to know that the 'worst' rarely happens (yea, your seeing my fingers crossed :-)
is Gay.....expect ratings agnecies to upgrade NJ Bonds due to the additional funding for Biotech companies located in NJ. Expect the Demo's to rally around the coccksucking adulterer and celebrate his diversity to not only give it but, bend over and take it too.
Who Democrat is next? First Bill creams Monica's dress, Now McGreevy hires his gay lover to a government job, 'security consultant', but can't get a security clearance because he is a foreigner. DAH!! you F***ing idiot