Key VMware Executive Suddenly Resigns

By Chris Preimesberger  |  Posted 2008-09-02 Print this article Print

VMware has had a rough 2008. First, a quarterly financial report wasn't up to expectations and VMware lost $8 billion on paper. Then, VMware lost its CEO, Diane Greene, in a corporate shakeup by its parent company, EMC, on July 8. Now a key R&D exec, Richard Sarwal, quits on short notice.

VMware continues to have a rough year.

First, VMware posted a lackluster Q4 2007 quarterly report Jan. 29 which caused the paper value of the company to drop a whopping $8 billion in a matter of hours in after-market trading.

In June, super IT power Microsoft became a major competitor with its new Hyper V virtualization platform. Then, VMware lost its CEO, Diane Greene, in a sudden corporate shakeup by its parent company, EMC, on July 8. Shortly thereafter, its next quarterly financial report also wasn't quite up to expectations.

Last month, VMware issued a warning to customers about the v3.5 update to its bread-and-butter ESX hypervisor that it could cause system disruptions due to virtual machines failing to power on.

Now it has lost its director of research and development after a mere nine months on the job.

VMware's Richard Sarwal announced his resignation from his $1.25 million-per-year job Sept. 2, saying he will return to Oracle. Sarwal had moved to VMware from Oracle in December 2007.

Paul Maritz, the current VMware president and CEO, said in a perfunctory statement that "we thank Richard for his service and we wish him well in the future. I expect to announce organizational changes to replace Richard in due course."

VMware CTO and Senior Vice President of R&D Stephen Herrod will assume day-to-day responsibilities for VMware's research and development organization until a new administrator is hired. Herrod has been with VMware since 2001.

Maritz, who replaced Greene, previously was EMC's head of cloud computing. Before that, he was one of Microsoft's top executives.

A call to Oracle this morning revealed that Sarwal is not yet on the company's telephone list. A call to VMware was not returned today.

For more perspective, see John Hazard's blog, "First Read."

Chris Preimesberger Chris Preimesberger was named Editor-in-Chief of Features & Analysis at eWEEK in November 2011. Previously he served eWEEK as Senior Writer, covering a range of IT sectors that include data center systems, cloud computing, storage, virtualization, green IT, e-discovery and IT governance. His blog, Storage Station, is considered a go-to information source. Chris won a national Folio Award for magazine writing in November 2011 for a cover story on and CEO-founder Marc Benioff, and he has served as a judge for the SIIA Codie Awards since 2005. In previous IT journalism, Chris was a founding editor of both IT Manager's Journal and and was managing editor of Software Development magazine. His diverse resume also includes: sportswriter for the Los Angeles Daily News, covering NCAA and NBA basketball, television critic for the Palo Alto Times Tribune, and Sports Information Director at Stanford University. He has served as a correspondent for The Associated Press, covering Stanford and NCAA tournament basketball, since 1983. He has covered a number of major events, including the 1984 Democratic National Convention, a Presidential press conference at the White House in 1993, the Emmy Awards (three times), two Rose Bowls, the Fiesta Bowl, several NCAA men's and women's basketball tournaments, a Formula One Grand Prix auto race, a heavyweight boxing championship bout (Ali vs. Spinks, 1978), and the 1985 Super Bowl. A 1975 graduate of Pepperdine University in Malibu, Calif., Chris has won more than a dozen regional and national awards for his work. He and his wife, Rebecca, have four children and reside in Redwood City, Calif.Follow on Twitter: editingwhiz

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