Credit Suisse is planning to recoup the internal software development costs of creating a virtualisation management application by forming a commercial software company to sell the software.
By submitting your email address, you agree to receive emails regarding relevant topic offers from TechTarget and its partners. You can withdraw your consent at any time. Contact TechTarget at 275 Grove Street, Newton, MA.
This is the first time the bank has taken its own internal software to market.
The investment bank had develop its own software, called VRM, because no commercial software company offered tools that would allow Credit Suisse to manage the creation and destruction of virtual machines from different suppliers to comply with financial services regulations.
Credit Suisse plans to sell the software through a company called DynamicOps.
Leslie Muller, chief technology officer and founder of DynamicOps, and formerly director of server virtualisation at Credit Suisse, said, "Internally, Credit Suisse struggled with losing our commercial advantage. But in the end we realised it was essential to spin it out in order to develop the product."
As people left Credit Suisse and joined other banks, Muller said the relatively small investment banking community learned about VRM. "Other investment banks began asking us if they could buy the product." Credit Suisse delayed spinning out VRM into a commercial product until the start of 2008, to maximise its competitive edge, Muller said.
VRM started as a software project in 2005 to support a company-wide plan to virtualise its desktop and server IT estate, of 60,000 desktops and 20,000 Linux and Windows servers.
The VRM product is being launched officially on June 28th.