New Challengers Threaten VMwares Dominance
Since that IPO, the x86 virtualization field has become crowded with competitors, although VMware still maintains its lead both in terms of technology and the overall perception that the company's hypervisor technology remains superior. While rivals such as Citrix have started challenging VMware's dominance, the biggest challenge seems to have come from Microsoft with it recently announced Hyper-V for Windows Server 2008. In an interview with eWEEK earlier this year, Greene sounded confident that VMware would not only hold its own, but would continue to thrive even as Microsoft, Citrix and a host of others entered the field. In the interview, Greene indicated that VMware would delve deeper into management features for its Virtual Infrastructure suite and offer additional capabilities, such as third-party security.With Microsoft now entering the market, it would seem logical to turn to a former Microsoft executive to take charge of VMware. Maritz worked at Microsoft for 14 years and helped with products such as Windows 95 and Windows NT before founding Pi Corp. in 2003. EMC would later buy Pi, which focused on cloud computing, in 2008, and Maritz joined the storage giant as head of its Cloud Division in February. Maritz will now hold the title of CEO and president of VMware and sit on the company's board. Although VMware's IPO had been successful and its revenues helped with EMC's bottom line, the company's stock price had fallen in the past year. VMware will announce its quarterly numbers on July 22, and its 2008 revenues are expected to be below the 50 percent it recorded in 2007.
"We have been expecting Microsoft and all these other large [companies] to come into the virtualization space from the very beginning," Greene said at the time. "We have known for years that it would happen, and it's a validation of the market that now they are finally here."