Enterprise software player VMware, which is partially owned by EMC — which, in turn, just got bought by Dell for $67 billion — today announced that it’s making some big changes to its cloud services.
Virtustream, for its part, will become part of a new Cloud Services Business that will be owned by EMC and VMware — each side will own half. The Virtustream business will report its finances in VMware’s quarterly earnings statements.
It’s a feat of financial engineering at its best.
— Stuart Miniman (@stu) October 20, 2015
One wrinkle in all of this: Dell was at one point trying to build a public cloud, but abandoned those plans. Now, by bringing together Virtustream and vCloud Air, Dell will have a stronger cloud to push, and will perhaps one day be a competitive force that could challenge the likes of Amazon Web Services, Google Cloud Platform, Microsoft Azure and IBM SoftLayer. Maybe.