Infotech Lead America: VMware is set to buy Virsto Software to strengthen focus on storage technologies.
The cloud software company did not share financial details.
READ VMware’s acquisitions in last 4 years HERE
Virsto makes software to help customers with storage performance and utilization in virtual environments. Customers turn to these software companies for help managing the complexity and cost of storage and other computing tasks.
VMware’s strategy is to deliver software-defined datacenter. As part of this strategy, VMware invests to extend the benefits of virtualization to every domain in the datacenter — compute, network, storage and the associated security and availability services.
VMware has reported 22 percent increase in Q4 revenue to $1.29 billion. Its full year revenue also increased 22 percent to $4.61 billion. Operating income increased 18 percent to $253 million for the fourth quarter. Net income for the fourth quarter increased marginally to $206 million from $200 million.
The acquisition of Virsto will expand VMware’s storage portfolio, which includes the storage virtualization and management capabilities of VMware vSphere and the VMware vSphere Storage Appliance.
Recently, VMware estimated that its first quarter 2013 revenues will be in the range of $1.170 billion to $1.190 billion, an increase of approximately 11 to 13 percent from the first quarter 2012.
John Gilmartin, vice president of storage and availability, VMware, said in his blog post: “We have two plans for the Virsto product. First, we’ll continue to offer Virsto’s standalone virtual appliance to help accelerate storage performance and improve efficiency in VMware vSphere environments. It will also introduce Virsto’s capabilities to new users. Second, we’re planning to integrate Virsto’s architecture and data management services into future VMware products.
EMC plans to license the Virsto technology, extending the cooperative efforts between the two companies in storage architectures.
Organizations are looking for solutions to address the increasing complexity and cost of storage within virtual and cloud environments, particularly for virtual desktop infrastructures (VDI), large software development and test centers and to support business-critical applications.
When implemented within a VDI, Virsto can reduce the cost of storage per desktop by as much as 70 percent.