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EMC completes VMware deal

EMC has completed its $625m purchase of VMware, which will retain its name and operate as a subsidiary of the storage company.

EMC has completed its $625m purchase of VMware, which will retain its name and operate as a subsidiary of the storage company.

The acquisition gives EMC access to VMware's virtualisation technology, which allows users to run multiple operating systems on Intel-based servers. VMware will continue to be headed by Diane Greene, the firm's former president and CEO.

VMware will retain its own brand and products, and EMC will increase research and development spending at the subsidiary.

EMC will integrate VMware's virtualisation capabilities in its storage products. Analysts believe the EMC acquisition will also help VMware stand up to Microsoft, which acquired virtualisation technology Connectix last year.

Patrick Thibodeau writes for Computerworld

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