EMC AND VMWARE have spun off the Pivotal Initiative as the two firms work on big data products.
VMware, which recently had former EMC and Intel CTO Pat Gelsinger take the helm, announced that it will join EMC in working on big data projects through one organisation. The two firms decided to call this virtual company the Pivotal Initiative and 1,400 employees from the two firms will work together on it.
VMware will be putting forward 800 employees to work on products developed under the Pivotal Initiative while EMC will put 600 of its own workforce into the project. The virtual organisation will be headed by Paul Maritz, who is the chief strategy officer at EMC and was the CEO of VMware until Gelsinger took over.
Terry Anderson, VP of Global Corporate Communications at VMWare said the move to combine the two firm's resources is intended to "drive more quickly towards the rising opportunities", or to put it bluntly, take on larger firms such as IBM, Oracle and now thanks to Autonomy, HP, without wasting time fighting against EMC.
VMware said that anything that comes out of the Pivotal Initiative will be optimised for use on its Vcloud Suite, though it didn't say how EMC's products will be integrated with the fruits of Pivotal's labour. Instead Anderson said "the Pivotal Initiative signals an entirely new level of focused investment and organization" for EMC.
Both firms will post updates on their new virtual joint venture in the first quarter of 2013. µ
Plus the cost of ambition as moonshots eat into the coffers
Spoiler alert: it's probably VeriSign
Did we say cuts off? We meant traps them inside their own home