VCE, EMC Unveil New Converged Infrastructures
A growing number of infrastructure vendors are rolling out such solutions. For example, Cisco has been active in this area, not only through its own Unified Computing System (UCS) offering, but also through partnerships with the likes of NetApp (with the FlexPod appliance) and its work in founding VCE, which develops integrated systems called Vblock. EMC in October 2014 bought out most of Cisco's stake in VCE. Cisco had owned 35 percent of the company; its stake is now at 10 percent. Dell also partners with several companies to create integrated offerings. With the Foundation for Federation Enterprise Hybrid Cloud, VCE is enabling customers to buy systems with either Cisco's networking software or VMware's NSX software-defined networking (SDN) technology, which the company inherited when it bought SDN startup Nicira in 2012 for $1.26 billion. The new offering will be available later this quarter. EMC's VSPEX Blue appliance not only offers fast and easy infrastructure deployment, but also comes with the VSPEX Blue Market within the VSPEX Blue Manager Software. The apps store offers business-continuity software that can be downloaded, including EMC's RecoverPoint for Virtual Machines, VMware's vSphere Data Protection Advanced for virtual environments, and hybrid cloud storage through the EMC CloudArray Gateway. VSPEX Blue will be generally available Feb. 17.The federated model has been a point of contention between EMC executives and officials with large investor Elliott Management, which last year began urging EMC to shed VMware and to do away with the federation. The two sides in January agreed to temporarily put the public debate on ice after EMC agreed to put two mutually-agreed-upon people onto EMC's board of directors.
Under CEO Joe Tucci, EMC has created a federated corporate model where EMC and its key subsidiaries—VMware, Pivotal and RSA—align their development strategies and integrate their products, but continue to operate as separate entities that give customers a wide range of freedom to choose what products they want to use. After EMC bought out the bulk of Cisco's share, VCE also became part of the federation.