Congratulations to all the Long holders of the VMW stock who bought early and have been holding on during the bumpy ride for the past month! It's nice to break out and hit new highs, isn't it? Of course, we must remember to thank our friends - the short sellers - who may have helped make this rise possible as they covered positions ahead of VMworld.
Yesterday VMware announced that IBM, HP, Dell, and other hardware OEM vendors would be including ESX Server 3i chips into new systems starting the end of 2007. This is a very powerful message to the technology world that VMware has the support of these companies. These OEMs have now placed their bets that VMware will have tremendous industry demand.
What about XenSource? They announced an embedded version. They have not disclosed their OEM support channel yet but promised to release details during VMworld. Keep an eye out to see the announcement.
VMware has also released the Site Recovery Manager product. This product helps customers automate the process of disaster recovery. Six years ago today, a terrorist attack took down the Twin Towers and halted Wall Street for a full week. Companies scrambled to rebuild hundreds and hundreds of workstations & servers to be operational when the markets reopened. The Site Recovery Manager product will help companies quickly bring their business systems back online quickly in the event of terrorism, earthquake, flooding, or any other disaster.
VMware has also announced that the Virtual Desktop Infrastructure (VDI) solution now has a Beta program for Virtual Desktop Manager v2 (codename: Silverstone). Again, watch the VMworld news or sign up for the beta to understand how this new product will change the enterprise desktop.
It is interesting to note that Intel invested $218 million and Cisco invested $150 million in VMware despite their long-time relationships with Microsoft. In my personal opinion, this says a lot about the lack of support for Microsoft's upcoming virtualization solution. That is one of the reasons I purchased shares on day one of the IPO.