Intel Invests $218M in VMWare, Preparing for IPO

RulerOf writes "TechNewsWorld is carrying an article detailing that Intel has made an investment in VMWare for $218.5 million in anticipation of VMWare's imminent IPO. With an expected value of $23-25 a share, VMWare's IPO shows a value of $950 million. This investment brings Intel to an approximately 13% ownership of the EMC subsidiary, and helps to strengthen ties between the two companies. According to the article, 'VMware's virtualization platform runs on Intel architecture and most deployments of the tools are on systems using Intel chips.'"

Comments

Re:What does this hold for AMD

[teh_chrizzle]

*looks over shoulder at opteron box running VMWare server*

my friend and i were wondering the same thing.

Re:What does this hold for AMD

[alen]

AMD and Intel have a cross licensing agreement. AMD can put the same thing on their chips as Intel does to support VMWare

It may be $950m to them

[Anonymous Coward]

But it would be a 19,000 day supply of hookers and cocaine for bender.

Re:Not 13%

[superid]

re: your disclaimer.... I have a friend of a friend (no really!) that works in the toronto office. I mentioned something about the EMC/VM merger and he said "yeah, they come over and steal our bagels"

Re:What does this hold for AMD

[WIAKywbfatw]

VMWare has always been targeting the Linux and Windows server markets. Abandoning AMD would be a shotgun to the foot.

If history has taught us one thing it's that you should never underestimate the ability of companies to shoot themselves in the foot.

Re:What does this hold for AMD

[Amouth]

one of these days they are going to run out of feet.. and have to start on the knee caps

Intel Invests $218M in VMWare?

[One Childish N00b]

Sounds like the perfect investment plan to me - As long as they create a snapshot, if it all goes badly they can just push the right button and go again.