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VMware to Share Its Software Move Anticipates Microsoft's Arrival

Posted on: Tuesday, 9 August 2005, 09:00 CDT

VMware, the leader in the rapidly growing market for virtual machine software, will try to create an industry standard by sharing its underlying engine with partners like IBM, Intel and Hewlett- Packard.

The move by VMware anticipates a drive by Microsoft into the field with its next version of Windows, to be introduced late next year.

"We think this technology should be out there and standardized before the juggernaut gets in," Diane Greene, the VMware chief executive and co-founder, said in advance of the formal announcement on Monday. A virtual machine mimics a computer so that several copies of an operating system say, Microsoft Windows or Linux or both can run on one physical computer. More recent versions make it possible to juggle computing chores across many machines to increase efficiency and reduce costs in corporate data centers.

The VMware decision also points to the pressure on software companies to adopt a more open approach and share their technology. The big industry partners have become increasingly concerned that VMware could rule its market much as Microsoft does for personal computer operating systems.

Virtual machine technology was first used on mainframe computers, going back to the 1960s. But VMware has pioneered the commercialization of virtual machine software tailored for lower- cost computers powered by chips from Intel and Advanced Micro Devices.

VMware plans to share its underlying engine with Advanced Micro, Cisco Systems and Red Hat, in addition to IBM, Intel and Hewlett- Packard. The partners will be able to modify the basic engine for their own products, to be sold to customers. But the VMware program does not go so far as to allow the engine to be freely distributed to anyone.

VMware, Greene said, sees continued growth opportunities by adding features and services on top of its basic technology.

Analysts say Microsoft has been slow to move toward virtual machine software even though it bought a maker of virtualization software, Connectix, two years ago, possibly because it could reduce the strategic importance of Windows.

"Microsoft's been late to the game, but this VMware move is certainly going to put its feet to the fire," said Martin Reynolds, an analyst for Gartner.

Source: International Herald Tribune

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