“It is all about the software defined datacentre of the future. If it were on premise, this would be a juggernaut/ super combination," says Holger Mueller, principal analyst and vice president, Constellation Research, on Dell’s acquisition of EMC.
The two companies have announced that Dell has agreed to acquire EMC in a cash-and-shares deal valuing the company at US$67 billion.
Michael Dell will become chairman and CEO of the merged company.
If executed right, Dell owns the majority of Pivotal, the most popular enterprise PaaS, and has a seat at the table for next generation applications.
Commenting on what is being hailed as the biggest technology merger, Mueller says, “We know much of the future load will run in the public cloud, so the new Dell has to find a way beyond being an OEM/ provider for the public clouds as e.g. put up by telcos and others - but find the capex to build a consistent, SLA based, global cloud infrastructure using Dell server and software assets, EMC Storage, VMware and Airwatch.
“This is where VMware/EMC have not leveraged what they should have leveraged in the market,” he adds.
“No one knows better what loads enterprises run on premises than VMware. when to move and transfer this load beyond on premise data centres is the master plan.
“Finally, if executed right, Dell owns the majority of Pivotal, the most popular enterprise PaaS, and has a seat at the table for next generation applications.”
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