Top 2%
VMW surprised with good news and
another great Q3, beating estimates again and driving the price even
higher.
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By all means, keep the ball rolling and post a new opinion.
Top 72%
arawak
Oct 25 2007 at 1:01 ET
Their future is no doubt very bright. Hardware developments as a whole are coming into line to support the VM concept -- multi-core CPUs are pretty much standard, RAM is only going get cheaper, and 64-bit computing is gradually taking over, allowing for larger systems (i.e., more VMs per box). Meanwhile the pressure is on to use less equipment for the same task, less power, less datacenter space, etc. They're in a good spot and hardly have a serious competitor. One upcoming competitor to VMware that's worth keeping an eye out for an IPO is egenera.com. Virtualization is built in and the industry seems to be very receptive.
Top 1%
guliamo
Oct 25 2007 at 3:22 ET
Hi Arawak.. you sound like you know your business... my fear is that EMC ownes 80% of this baby so they will: a. manipulate VMW to fit their slow growth organization b. Won't be able to do business with EMC competitors. What do you think adding you as my Guru
Top 2%
shlomi
Oct 25 2007 at 3:28 ET
86% :-)
Top 72%
arawak
Oct 27 2007 at 1:32 ET
It's true that EMC is a ponderous beast but I think they recognize the little gem they own and if they have half a brain between them they won't try to fix something that is working very well. I've read some comments from EMC management to this end, let's just hope they stay true to their word. Overall, though.. no competition! Xen got acquired by Citrix in August which is a small shake-up in the virtualization market. It'll likely mean faster development and better user tools but they have a long way to go to. And with virtualization, once you pick a technology, it's a commitment. It will be hard for Citrix/Xen to steal market share.
Top 2%
shlomi
Oct 28 2007 at 10:23 ET
For now VMWare is the only "good" virtualization company out there, but they are soon to have some serious competition. Microsoft is about to release Server 2008 on Feb of 2008 (I believe, or around there), and when it comes out it will take a big "bite" of the virtualization market .... I'm hoping not :-)
Top 1%
blacktuna
Oct 30 2007 at 9:50 ET
hey arawak, the million dollar question is - do you own WMV? :) the tuna