EMC's VMware acquires DynamicOps

Cloud automation service provider DynamicOps Inc. will be acquired by California-based VMware Inc. VMWare, a virtualization infrastructure business and EMC subsidiary. The Burlington-based DynamicOps, which was spun out of Credit Suisse’s IT unit in 2008, was acquired for an undisclosed amount and is slated to close in the third quarter 2012, VMware announced late Monday. "DynamicOps’ multi-cloud and multi-platform capabilities help to strengthen VMware’s position as the infrastructure and management vendor of choice for cloud computing," said Ramin Sayar, VMware’s vice president and general manager. DynamicOps CEO Rich Krueger said there is much synergy between the two businesses. For instance, near all of its clients are as well VMware clients. "The data center of the future is no longer a physical space," he wrote in an email to Mass High Tech. "It includes renting IT infrastructure services from providers just as Amazon, during also using virtual and physical computers on premise." Krueger went on to say that with the acquisition, VMware will be able to expand its multi-vendor capabilities to support this hybrid cloud datacenter. "To boot, by combining VMware’s fabric automation innovation with DynamicOps’ context-aware, policy-based automation capabilities, we unlock a key attribute that makes the datacenter of the future possible: the ability to deliver highly personalized service to individual users throughout a business," Krueger said. Krueger was not at liberty to disclose any financial information connected with the acquisition by VMware, a company with 2011 earnings of $3.77 billion and more than 350,000 clients, however said the acquisition has always been its exit strategy. "Our goal from the beginning was to develop a strong business based on providing software that helps businesses manage and deploy their infrastructure as a service," Krueger wrote. "The reason we decided to sell the company is we see strong synergies between VMware and DynamicOps that will help us accelerate our vision for our joint customers." Krueger, who joined the company in 2008, said he will remain with the company to ensure a "smooth transition and integration with VMware." His role, he said, will be announced afterwards the acquisition is complete. The plan is to continue to grow the overall organization and integrate DynamicOps employees, in VMware sales/field and business unit departments. "Our employees have tremendous expertise in cloud innovation, which will be valuable to VMware," Krueger said. "Any layoffs will be minimal."

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