VoIP Business and Virtual PBX

VMware acquires virtual networking software company Nicira

On the same day as reporting strong second-quarter results, virtualization software developer VMware said Monday that it has entered into an agreement to purchase network software Nicira for $1.05 billion. The company's software is used to manage network deployments and create virtualized network infrastructure. VMware expects the deal to close in the second half of the year.

"The acquisition of Nicira adds to our portfolio of networking assets and positions VMware to be the industry leader in software-defined networking", VMware CEO Paul Maritz says. Others called it a major move which positions VMware then in the fast-growing cloud computing sector.

"By combining Nicira's research with VMware's market-leading server virtualization and cloud products, VMware today creates a clear path to becoming the most important infrastructure company across servers, networks and storage for the straightway 10 years", Ben Horowitz explains. Horowitz is co-founder and General Partner at the Menlo Park, Calif.-based venture capital firm Andreessen Horowitz. The firm was one of the key early backers of Nicira.

More information: Betanews