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Citrix Announces Agreement to Acquire XenSource

An anonymous reader writes "'Citrix has signed a definitive agreement to acquire XenSource a leader in enterprise-grade virtual infrastructure solutions. The acquisition moves Citrix into adjacent and fast growing datacenter and desktop virtualization markets.' For nearly $500 million, including about $100 million of unvested options, Citrix would be purchasing VMWare's closest competitor in the server virtualization market, with XenEnterprise v4 offering technology similar to VMWare's flagship product — and arguably overtake them as a combined solution, as VMWare offers little in the realm of application and desktop virtualization. Though subject to the customary closing conditions, both boards of directors have approved the transaction, and the deal is expected to close in Q4 of 2007."

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  1. If they're smart, they'll be more open with Xen by tji · · Score: 3, Insightful


    Xen has a lot of potential. The basic virtualization capabilities are on par with VMWare or anybody else.

    What Xen _really_ blows at is usability / manageability. Setting up Xen is a pain in the ass, especially if you're on something other than 32bit x86. Figuring out obscure command line options and text config file syntax won't take them very far.

    XenSource has a closed source, functionally limited GUI management tool in their free (as in beer) XenExpress. It makes managing Xen VMs more realistic, but the limitations are too severe (maximum of 4 VMs, missing some features).

    If they want to compete with VMWare, and fend off KVM, they'll need a lot more traction. They only way they'll get it is to start building the user-base.

    They need to open source their management tools, and make Xen as easy to use as VMWare. Maybe they need to hold back a few enterprise-grade features, so that they can still sell product at the high end. But, the common linux users, and low-end business users could still be enticed away from VMWare, to a more open solution, if it was available. If they continue their half-open approach, they even compete with themselves, in Xen on Ubuntu/Suse/RedHat.

    If they don't open up, VMWare continues to dominate. Microsoft's upcoming hypervisor expands to the strong number 2 option, and other wildcards might crop up.. KVM with a good mgmnt too.