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TheStreet.com  8 hrs ago  Comment 
NEW YORK (TheStreet) -- Shares of Red Hat were falling 0.5% to $76.28 in mid-morning trading Tuesday. The software company announced new updates to its JBoss Data Virtualization and JBoss Data Grid enterprise products. The updates bring a...
Forbes  Mar 24  Comment 
A couple of years ago (almost to the day) Forbes covered the suggestion that PayPal was going to drop VMware from its infrastructure in favor of OpenStack. The article actually impacted upon VMware's share price for a time and it only surfaced...
Forbes  Mar 24  Comment 
More moves in the increasingly busy container management space as Joyent rolls out its own offering, Triton. First though, a bit of context. Docker, the company and initiative that has popularized the Linux Container, has become something of a big...
Cloud Computing  Mar 11  Comment 
Years ago companies saw a major improvement in efficiency in the heyday of virtualization. As the world looked to the cloud to solve business challenges these savings were forgotten. Today we live in a post cloud world with pre-virtualization...
Forbes  Mar 9  Comment 
If you're VMware, you have lots of competitive threats on your radar. Enterprises moving work loads to Amazon Web Services? Yup, that's a problem. OpenStack making inroads into the private cloud market? Yup, that's kind of worrying. Microsoft...
Cellular News  Mar 9  Comment 
Ericsson and Telefonica have announced that they will continue working together to transform the operator's global networks, extending an agreement originally made in 2013 Click here for more.
Cloud Computing  Mar 6  Comment 
Virtualization is everywhere. Enormous and highly profitable companies have been built on nothing but virtualization. And nowhere has virtualization made more of an impact than in Cloud Computing, the rampant and unprecedented adoption of which...
Forbes  Mar 1  Comment 
Communications companies are realizing that to be agile and nimble, they need to use software-defined networking (SDN), as well as cloud and virtualization.
Cloud Computing  Feb 25  Comment 
Employees are using mobile devices both for personal and for business purposes. In order to keep the two domains separate and protect business data, companies are using containerization or sandboxing to control devices. As more companies adopt...
Cloud Computing  Feb 13  Comment 
Read some great stories about why leading organizations across financial, retail, communications, utilities, travel, insurance, and other industries fell in love with service virtualization... Why leading organizations across financial, retail,...




 
TOP CONTRIBUTORS

Computer virtualization is a technology that enables multiple operating systems to run on one physical computer. This technology has several important implications:

  • It allows a computers' tasks to be abstracted from a physical machine. As a result, backup and disaster recovery are much more flexible and comprehensive, and data can be moved or restored to a different machine in a matter of seconds. This alleviates the need to have duplicate copies of every business critical machine and reduces IT costs.
  • Computer hardware resources are more flexible. A powerful computer can run multiple tasks concurrently across different operating systems such as Linux, UNIX, Windows, and Mac, at the same time.

Computer virtualization is just starting to gain widespread acceptance, and its main customers are telecommunications firms, pharmaceutical companies, and technology-related businesses.

Companies involved in virtualization

2006 breakdown of the $900MM server virtualization market
2006 breakdown of the $900MM server virtualization market
  • VMware Inc. (VMW) holds a commanding lead in the computer virtualization market. With its recent IPO, the company is well-positioned to continue its growth as the market for such products expands.
  • Microsoft (MSFT), Novell (NOVL), XenSource, and Red Hat (Linux) all participate in the virtualization market as well.
  • Apple (AAPL) could be developing its own virtualization software.


Trends and forces

Virtualization software holding fort in downturn

Which business software categories are bearing the brunt of the economic downturn in 2008? Enterprise Resource Planning, Document and Enterprise Content Management, and Customer Relationship Management Software have all been hard hit.

Image:Software spending areas.gif

But on the bright side, corporate spending for Virtualization Software has increased significantly, with VMware strengthening its domination over this market. This shows points to a significant trend that considering that Virtualization is in its growth stage, its relatively less vulnerable to the downturn.

[[Image: Virtualization vendors.gif]

None of the other major competitors have exhibited anything like this explosive growth, although Citrix (26%; up 5-pts) has also shown a jump in current share. Looking at planned corporate software purchases over the next 6 months, VMware (73%; down 3-pts) towers over the rest of the market, with better than a four-fold lead over its closest competitors. But once again, Citrix (15%; up 8-pts) is showing momentum going forward.

Thus, in a depressed corporate spending environment, Virtualization is one of the only software spaces showing an increase in purchasing going forward

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