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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."

11 of 86 comments (clear)

  1. Xen not "closest competitor". by Courageous · · Score: 4, Informative


    Xen is, of course, not VMWare's "closest competitor". Microsoft has over 25% of the market with their Virtual Server product. After that, Virtuozzo has the next largest deployment.

    C//

  2. Re:kvm by pipatron · · Score: 2, Informative

    KVM needs hardware support for virtualization. Xen is nice for us old folks with old computers.

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  3. Uhh... by TheRealFixer · · Score: 4, Interesting

    VMware offers little in the realm of... desktop virtualization

    Actually, no, not really. VMware has been doing quite a lot with VDI for a couple of years now. Really, they've pioneered it. It's Citrix that was trying to adapt and catch up in this field, as it threatened their traditional market. The purchase of XenSource goes a long way to help them compete in a market that VMware has been dominating.

    In fact, I would go as far as saying that this purchase is primarily about Citrix keeping up with VMware in VDI.

    1. Re:Uhh... by TheRealFixer · · Score: 2, Insightful

      VDI is an overall [i]concept[/i] that VMware has been building with various third-party application vendors (including Citrix - though I'd imagine that's going to change now). VMware sells a VDI edition of VI3 licensing, but it's not required to actually do VDI. At the core, all you need is a virtualization platform, and a remote client to interact with the desktops. You can even do it with VMware server for free if you want.

      What do you mean by "graphics"? Are you talking about 3D games, or full motion video? If so, Citrix is not any better at this than VDI. If you're just talking about GUI applications, then you really don't know what you're talking about here. In typical VDI installs, you're virtualizing Windows XP workstations and interacting with them through RDP (which was originally licensed from Citrix, ironically). In Citrix, you're accessing a Windows server over their own ICA protocol. Since RDP 5.1, there's not a whole lot of difference between ICA and RDP. I believe ICA still holds a bit of an edge in bandwidth utilization and efficiency, but not much anymore. Over a LAN, it's not even noticeable. Visual performance-wise, there's not really a difference between VDI and Citrix.

  4. Re:So... What does this mean for OSS? by larry+bagina · · Score: 2, Interesting

    my buddy works at citrix. They use some linux boxes on their intranet, but they're not down with it. A cpuple days ago, we were out drinking and looking for tail. He's not a penguin, but he knows I am. He mentioned that Xen would be close sourced, but that was just his educated guess. If ESR or Bruce Perens can get the ear of the CxOs, maybe they'll keep it GPL.

    --
    Do you even lift?

    These aren't the 'roids you're looking for.

  5. You've been reading propaganda again by postbigbang · · Score: 3, Informative

    Microsoft's VS is the old Connectix stuff. It's ok, and changes when a new hypervisor becomes part of Windows Server 2008. They tend to focus on servers, because their heads are up in their behinds about using mulitple desktop OSes-- anything else but theirs.

    Virtuozzo isn't a server VM, it's an app VM.

    VMWare and Xen are a bit different. VMWare has lots of depth and maturity. Xen has nearly similar compatibility but has fewer API sets to work with it. Xen's app hosting capabililities are more astute and highly competitive with Microsoft's SoftGrid and Citrix's remote apps. That's why Citrix bought them.

    Virtuozzo has roots in site hosting, and it's maturity with Apache also extends to OpenVZ.

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    ---- Teach Peace. It's Cheaper Than War.
  6. If by propaganda you mean using the products... by mikaelhg · · Score: 2, Interesting

    Not so much reading propaganda than using the actual products.

    We mostly use VMware ESX, which is really directed to IT departments. All of the tools assume central control. They work extremely well and reliably, as long as you're willing to stick with the centrally managed model. We've been using VMware Server on our development workstations to develop and test applications with specific images.

    I've been using Amazon EC2, which is a Xen-based value-adding product, for external software testing and random one-off hosting. I've installed Xen with CentOS 5 and FC6/7 on development servers and workstations, to try it out. The open source Xen tools are extremely rudimentary. The XenSource "enterprise" tools are basically copies of the VMware model, and mimic the centrally managed thing without doing it quite as well. However, the Xen API is very malleable towards a non-centrally-management tool model. By that I mean that you could very easily (and I'm doing just that on my copious free time) build a self-service server station for a IT department, to provide quick service to those internal customers who just need some commodity server space, right now, and for the right price.

    Virtuozzo's story is basically over. With absolutely everybody in the underdog space choosing Xen, it's not likely they'll get much new business outside their narrow niche. It doesn't matter how neat your product is, if the product next door is completely acceptable, open to newcomers, free, and adopted by all of your other suppliers.

    1. Re:If by propaganda you mean using the products... by postbigbang · · Score: 3, Interesting

      I'm not so sure about Virtuozzo; its mgmt components are ok.

      Microsoft's VS seems to give a comfort level to homogeneous Microsoft 'houses'. Yet we've also seen it run Fedora seamlessly....although you can't get reasonable instrumentation without going to other stuff.

      VMWare is nice, sexy, red, lipstick, and costs a fortune.

      Yet Xen, while far better than early releases (ugly), seems to peak many interests in our web racks... for cost. Slick, it is not. But Citrix specializes in 'slick' and so we expect there to be interesting changes.

      Unless you don't use Windows at all (and I'm not saying anyone does), the Microsoft VS will migrate onto Xen soon, too. Who'll win the race? Performance, price, reliability, in reverse order.

      --
      ---- Teach Peace. It's Cheaper Than War.
  7. I hate Citrix by celardore · · Score: 2, Insightful

    A couple of years ago at work, the IT dept. changed all our 486s for terminals and a Citrix network. It was awful. The server and connection to said server were, and still are, buggy. Whereas before, if the network went down, we could still at least type a letter or work on a spreadsheet. Now if the network goes down (which is at least weekly) we're stuck with nothing to do. In an accounts department it is vital that we have Excel, Word, etc to do the most basic of tasks. Worst move ever.

    On the plus side, I got to keep my 486 which I installed Linux on and now it runs pretty nicely.

  8. 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.

    1. Re:If they're smart, they'll be more open with Xen by tji · · Score: 2, Informative

      > Converting a stock Debian Etch install to a Xen dom0 takes about 5 minutes, including the reboot. Creating a new domU takes about 2 minutes, from deciding to do it until I have an up-and-running virtual server.

      Sure, getting a Xen-capable Linux going is simple. In recent Linux distributions it's just a matter of selecting a couple packages for installation.

      Installing client VMs (DomU in the really intuitive Xen nomenclature) can be easy, and can be a MAJOR pain in the ass.

      Installing the trivial 'ttylinux' was painless. Specify the ISO, start the VM, and it's done before it starts.

      Installing CentOS was not so simple. Install failed completely and silently. Dig around for support info.. there are hundreds of sources, each very superficial and fragmented. Finally find a random user report on a forum recommending to set the OS type to Solaris for the install. Finally works.

      Installing Windows was also not a simple process. The first stage of the install was easy. Point it to the ISO, and let it fly. But, after the system reboot, re-mounting the ISO and getting the VM to find it proves to be very difficult. Finding obscure command-line options gets it moving in the right direction (although, the documented parameters fail to actually mount the ISO), after much more searching and experimentation, I was able to get it to recognize the physical disk in a CD drive and complete the install.

      Installing a pre-built Xen "virtual appliance" also proves to be near impossible. This is partly because the suppliers of those appliances have little or no Xen documentation (one can only assume this reflects their userbase.. VMWare documentation is more plentiful). And, it is partly because of the configuration issues in Xen. Is this a paravirtualized image or a full hardware virtualized image? What type of disk image does it use? Again, back to hunting down configuration information all over the Internet. Many suggestions, few actually work to do anything useful. I still haven't gotten these working.

      Then, with the OS's that do successfully install, using them can be troublesome. In both Windows and Linux GUI environments, there is some quirk with the mouse pointer that causes the shown VNC pointer to be offset from the GUI pointer by varying amounts (yes, I did disable mouse acceleration. Problem decreases a bit, but is still quite bad). There are many other quirks, which often don't respond well to the documented fixes: making a VM actually reboot - rather than just stopping when rebooted, requiring command line intervention to restart the VM; automatically starting VMs on reboot of the hypervisor host (Dom0). Getting a hung VM to correctly respond with status incormation or actually quit when told to. And many more issues...

      Managing and monitoring multiple VMs on a host is also quite weak on Xen, and the strength of VMWare ESX server. It's all done through an intuitive GUI, tons of status and monitoring information is available, and there are bunches of APIs to extend beyond what ESX does itself.

      > When I compare that to the hell that was setting up (and remotely administering) VMWare, I realise I'd never want to go back. And that's without even getting into VMWare's habit of eventually swallowing up all RAM and swap on the host until everything grinds to a clanking halt.

      The only way I could see Xen, in its current state, being superior is if you absolutely had to use only text based console management. You can, and often must, manage xen from the terminal. If you want to use a GUI, to ease management and hide the details of all those command-line tools, Xen just doesn't measure up.

      I have seen some third party projects that aim to make better Xen management tools. Red Hat has a Python based GUI that is better than nothing. And, as I mentioned, XenSource's proprietary tools are not bad. The good news is, that Xen could easily be very competitive.. the hard work is done, the virtual machine works. Wrap a GUI around it, and it becomes available to 10x as many users.