Dell updates OpenStack cloud and Hadoop service as buyout vote delayed

Michael Dell submits revised a buyout proposal – delaying a vote until next week – but it was business as usual in the cloud division

Michael Dell and private equity firm Silver Lake have submitted a revised buyout proposal for a second time, delaying a shareholder vote until next week. But it was business as usual in its cloud and open source services divisions.

Shareholders were due to vote on a $24.4bn (£15.9bn) offer today but Michael Dell and Silver Lake’s latest revised proposal improved the offer by $150m.

“This is our best and final proposal. We are not willing to discuss any further increase in the merger consideration,” said Michael Dell in a letter to the Special Committee of Dell’s board. Dell termed the revised proposal “fair and reasonable”. The company’s founder aims to take control of the ailing company to revive it as a software and services firm at a time when PC sales are crashing.

Dell’s board has postponed the shareholder vote until Friday 2 August 2013 to consider the new buyout offer from Michael Dell.

As shareholders consider the improved takeover bid, the company announced key updates to its OpenStack powered cloud services and the open source Hadoop services.

Dell has extended its cloud service to support the latest version of OpenStack platform, Grizzly, and has extended reference architecture support. The company is also offering a new consulting services to provide expert assistance with assessing, building, operating and running cloud environments, and to enable and accelerate enterprise OpenStack adoption.

Separately, in a bid to streamline Hadoop deployments, Dell improved its Cloudera Hadoop Solution to support the latest version of Cloudera Enterprise. The updates allow customers to perform real-time SQL interactive queries and Hadoop-based batch processing, simplifying the process of querying data in Hadoop environments, according to the company.

Among other developments in its open source software and cloud initiatives, Dell has improved its Crowbar software, the configuration service designed to simplify OpenStack cloud deployment.

“Datacentres everywhere are being transformed by the rapid diffusion of innovations through open source, especially in Apache Hadoop and OpenStack,” said Girish Juneja, general manager of Big Data Software and CTO of the Datacenter Software Division at Intel.

“Our collaboration with Dell on the reference configuration for the Intel Distribution for Apache Hadoop on Dell PowerEdge servers streamlines the customer experience. And to simplify the deployment of trusted compute pools solution in OpenStack, we collaborated with Dell to enable Intel TXT in Crowbar.”  

Dell has also pledged that it will further develop and support the Dasein open source project, the Java-based cloud abstraction layer that enables programmers to build applications.

“Dasein is the backbone of Dell Multi-Cloud Manager and is invaluable to users ranging from commercial software vendors to individual developers,” said George Reese, executive director of Cloud Computing at Dell.

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