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Jonathan Schwartz Boasts About Sun xVM

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Jonathan Schwartz, CEO of Sun Microsystems, wrote a blog post based on the recent Sun quarter financial announcements. From the post:

“Topping the list was the interest in Sun xVM. xVM is our free, open source virtualization platform, which we unveiled at Oracle Open World, alongside our management platform, xVM Ops Center. xVM will virtualize Windows, Linux or Solaris, on either Dell, HP, IBM or Sun hardware. We’ve seen broad interest from across the world, especially from customers that want to avoid putting a proprietary virtualization technology at the base of large scale open source datacenters (“why go back?” one said to me). Interest in our virtualization story (from xVM to Solaris containers) expands to every industry, and nearly every customer – it’s just about the number one item on the agenda.”

Not sure about you, but reading xVM out loud (ex-VM, get it?) always makes me smile 🙂

Funding For CiRBA and Virtual Iron, Dell Completes Acquisition of EqualLogic

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More interesting news today:

CiRBA Raises $12 Million With Sigma Partners

CiRBA Inc., today announced that it has raised $12 million in its second round of institutional funding led by Sigma Partners . Existing investors including Edgestone Capital Partners and others also participated in the round. The funding will enable CiRBA to further accelerate growth on a global scale, with investments in sales, marketing and product development.

Virtual Iron Capitalizes on Strong Market Momentum, Raises $20 Million in New Equity Financing

Virtual Iron Software, a provider of enterprise server virtualization software, today announced that it has secured $20 million in new venture equity financing. The funding, provided at an increased valuation, will be used to accelerate product development and expand global sales, marketing and distribution efforts. The investment brings Virtual Iron’s total venture funding to $65 million in invested equity capital and includes Highland Capital Partners, Matrix Partners, Goldman Sachs, Intel Capital and SAP Ventures.

Dell Completes EqualLogic Acquisition

Today Dell completed the EqualLogic acquisition, a leading provider of high-performance storage area network (SAN) solutions designed for virtualization and ease-of-use. The purchase extends Dell’s leadership in simplifying IT for customers.

“Customers face extreme challenges with data growth. Storage solutions that use existing infrastructure, install in minutes not days, manage themselves, can grow easily as needs increase and plug into the virtualized IT ecosystem will help businesses with their storage needs. EqualLogic provides these storage solutions and that’s the incredible value that Dell will now be able to deliver to our customers.  With Dell’s PartnerDirect channel, we will unleash the power of iSCSI and virtualization to redefine the economics of storing and processing data.”

Internal Memo From VMWare Staff Criticizes Microsoft And Questions Its Partnership With Citrix

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When Microsoft issued a long press release last week on its ‘Vision and Strategy to Accelerate Virtualization Adoption ‘, the internal sales channel at VMWare apparently got a memo downplaying MSFT’s announcements and instructing their commercial team to further question the Microsoft-Citrix partnership and its ability to survive Redmond’s plans with virtualization in front of their clients.

Here are some of the quotes a blogger reposted from an obtained copy of the memo (emphasis ours)

…Microsoft announced a hodge-podge of items related to virtualization in a desperate attempt to make it look like it had a new, coherent vision and strategy for virtualization…

…MSFT includes many recycled items in the announcement to make it look substantive. In actuality, they are just rehashes of old items. Microsoft is not delivering anything new, substituting marketing in place of real substance…

…The new items are a collection of loosely connected pieces thrown together to look like a coherent virtualization plan. Microsoft is still talking vision…

…Microsoft’s announcement introduces new conflicts into the Microsoft-Citrix business partnership and begs the question “When will Microsoft dump Citrix and take all of the business for itself?” Is this just a partnership of convenience for Microsoft until it ships its own product?…

…Tell your prospects that are considering Citrix, that MSFT will soon cut Citrix out of the loop…and Citrix is allowing it to happen…

…New Conflict #1: Microsoft System Center or Citrix XenServer for Management…This declaration hits at the heart of Citrix’s stated business model for virtualization – to generate revenue from the management of Windows VMs with Citrix XenCenter. System Center and XenCenter are clearly competitors…

…New Conflict #2: Calista acquisition creates more direct competition with Citrix SpeedScreen (ICA)..This acquisition strikes at Citrix’s core business since ICA is Citrix’s key differentiator and competes with RDP…

Microsoft and Citrix are longtime virtualization partners, but VMware is using Microsoft’s own advances in the market to argue that the two companies are also becoming bigger competitors with each other — despite their recently announced plan to develop interoperability between Citrix XenServer and Windows Server 2008. As Microsoft prepares to launch Windows Server 2008 — featuring the Hyper-V hypervisor — next month, the battle for VMware’s server virtualization market share lead should grow even more intense. Which makes it all more interesting for us, of course 🙂

To Virtualize or not to Virtualize (Windows Vista),That’s The Question

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Just in case you haven’t heard, Microsoft flip-flopped its earlier decision not to allow users to run Vista Home Basic and Vista Home Premium as guest operating systems on a virtual machine. Mac users, and virtualization software vendors such as Parallels can rejoice over the news, which has been extensively covered all over the web , with the best commentary coming from:

 CNET News ,  ZDNet blogs, Ars Technica and The Register .

Microsoft Betting Big on Virtualization; Acquires Calista Technologies. Citrix Up Next?

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Microsoft plans to announce today what it calls a companywide strategy to accelerate broad adoption of virtualization by its customers. As part of the its new approach, the Redmond-based software giant unveiled a suite of services aimed at reducing the number of servers businesses need to use, separating applications from operating systems, reducing costs and lowering carbon emissions.

Microsoft announced that it competed acquisition of Calista Technologies , a California-based startup that makes computer graphics for virtualized computers, and an expanded partnership with Citrix Systems, a VMware competitor based in Fort Lauderdale, Florida. Microsoft and Citrix will jointly market services that virtualize computers, operating systems and applications.

Microsoft wouldn’t disclose how much it paid for Calista, but Roger Kay, President of technology research firm Endpoint Technologies Associates,  speculates that the price tag was likely south of $100 million. He also says Microsoft may be interested in acquiring Citrix. “Citrix, on its own, has a small market share,” Kay says. “VMware was cleaning its clock.” A Microsoft-Citrix combination could present formidable competition to VMware, he suggests. Buying Citrix, however, would be a significant deal: The company has a market cap of $6.4 billion.

[Source: Forbes ]

PortableApps Following In Thinstall’s Acquisition Footsteps?

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Joe Foran is speculating a future acquisition of application virtualization provider PortableApps on the Server Virtualization Blog .

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“There are, of course, differences, but the overall business models are very similar. PA is an open-source outfit, which makes them a bit more transparent than Thinstall, which has a mix of OSS and proprietary products. Since PA is purely open source, and relies a lot on the community to deliver portable-ized apps, their list of of programs is smaller and limited to open source and other freely-licensed software. Still, with the recent focus on OSS in the enterprise, one can’t help but see the value of a PortableApps version of OpenOffice sitting on a Citrix Server for thin-client and virtual desktop users to access.”

The virtualization space is continuously heating up, and no doubt we will see more acquisitions of these types of technology providers in 2008, but will PortableApps really be the next one? Time will tell.