May 4, 2010

VMForce: a Joint Strategic Move by VMware and Salesforce.com

Salesforce.com and VMware have just announced VMforce.com, a new PaaS that enables Java developers deploy their systems on VMware/SpringSource/force.com based cloud platform. This solution has a lower vendor lock-in barrier than the current force.com, but it includes all existing benefits of force.com pre-built platform elements, including reporting and analytics, search, web services API, and application security services.


This announcement is a result of several strategic moves in the market:
  • Salesforce.com is turning from SaaS and very limited PaaS platform (Force.com) to a closer position to the IaaS market. By this move it turns itself into a valid competitor in the PaaS market (the market that Google App Engine and Microsoft Azure are aiming to).
  • SpringSource acquisition by VMware less that a year ago, enabled VMware with its first PaaS platform component (SpringSource was behind the Spring framework that enables instant delivery and management of Java applications). 
Few prospects into the future that only time will tell:
  • Salesforce.com move into the PaaS world may signal that its next target is the IaaS market that it currently controlled by Amazon Web Services. This move can be achieved by acquiring smaller players such as OpSource Cloud.
  • VMware is currently focused in the hypervisor market (vendor position). Will this move take it closer to cloud computing provider market (service provider)? Or will it keep with its mother company strategy: keep playing with all market providers?
  • Will EMC get into the Enterprise Software market in response to Oracle move into the Storage and Hardware market (Sun acquisition)? Will EMC acquire Salesforce.com gaining both a cloud computing provider and the leading SaaS package in the market?
Keep Performing,
Moshe Kaplan

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