VMware Announces New Services to Help IT Leaders Drive Business Value through IT Transformation

VMware Accelerate Advisory Services will focus on partnering with customers to help measure, define and guide a successful IT course through the Cloud Era

PALO ALTO, Calif., April 16, 2012 — VMware, Inc. (NYSE: VMW), the global leader in virtualization and cloud infrastructure, today announced the formation of VMware Accelerate Advisory Services, a group of former Chief Information Officers (CIOs), Chief Technology Officers (CTOs) and industry consultants, dedicated to enabling senior enterprise business and IT executives to deepen their understanding of how cloud computing can deliver business value across an organization.

Leveraging VMware's thought leadership, market experience and resources, Accelerate addresses the increasing role IT organizations play in the overall effectiveness of business outcomes. These new services, the result from years of work with hundreds of clients, provide for the first time custom methods to help accelerate IT and business transformation in areas such as:

Meaningful measurement. Accelerate empowers CIOs and other IT leaders to determine what Key Performance Indexes (KPIs) are required to quantify, measure and analyze the organizations journey to virtualization and cloud implementation, and combines that with a body of data to help benchmark performance relative to peers and industry bests.
Market perspective. Informed by direct learning gained from VMware technology deployments across the globe, as well as a deep ecosystem of more than 50,000 partners, Accelerate provides context and helps define how and why IT is leading the way in defining this type of business transformation.
Actionable strategy. As analysts point to a need for CIO’s and other IT leaders to focus more on business issues rather than technical matters, Accelerate connects the critical points needed to guide IT toward truly affect business value across an entire organization.

"IT’s most important mission is creating business value, and having the right IT strategy is already determining winners and losers in many industries," said Carl Eschenbach, VMware chief operating officer and co-president. "VMware Accelerate helps IT leadership measure, define and guide the transition from technology steward to business partner, so IT can most effectively help business serve customers and create competitive advantage.”

Built upon VMware’s rich virtualization benchmark data and understanding of the current and best-in-class IT transformation performance indicators, a key element of Accelerate will be providing IT executives with a strong, fact-based approach for assessing their progress toward achieving a cloud infrastructure and shaping the overall business.

In addition, today VMware announced it has acquired certain assets of Virginia-based Info Tech Health Check (iTHC), which will enhance Accelerate’s already robust benchmarking service. Specific key benefits will include:

The addition of 3,500 metrics, building a view that includes multiple perspectives which enable an exercise that is relevant and focused.
The inclusion of 20 industries, providing insight into a broader set of comparisons across organizations and functional peers.
Data covering four key geographies, giving an all-important perspective of international business operations and challenges.

The benchmarking capabilities brought together by VMware and iTHC will also align and complement VMware’s overall services strategy and partner community investments. For example, VMware will be working with select consulting and integration partners on extending their cloud advisory service capabilities and leveraging the iTHC assets and Accelerate. Additionally, a broader set of IT Business Management (ITBM) services and products will be offered to partners with established ITBM and IT Strategy practices.

"In today’s market environment, business and technology strategies have become inextricably intertwined, especially with the expanded role IT is being asked to play in managing increasingly complex enterprise resource planning systems," said Peter Blatman, principal, Deloitte Consulting LLP. “Successful IT leadership, then, means gathering and leveraging the best, most comprehensive information to drive the right balance between capabilities and costs in a way that ultimately creates more business value."

The Accelerate services are the result of a knowledge base derived from years of delivering VMware services and technology to hundreds of clients. These close partnerships underscored the need for a more targeted look at the transition CIOs and other IT leaders are experiencing, as a result of IT moving toward an infrastructure defined by virtualization and cloud computing, as well as how IT teams are managing services more closely aligned with business strategy.

“Historically, enterprise IT organizations have been the builders and managers of the physical IT infrastructure supporting business processes,” said Paul Lewis, vice president of Technology, Architecture and Security at the financial services solutions provider Davis + Henderson Corporation. “What we’ve worked with VMware and the Accelerate team on, is how I can look to shift my team’s view of metrics from things like availability and uptime, and more toward IT’s contribution to business growth; the ability to speed innovation; improving customer satisfaction; and lowering risk and cost.”

Availability

VMware Accelerate Advisory Services are immediately available in North America, the United Kingdom, France and Germany, as well as China, Australia, Japan and across Southeast Asia. These services also will be available more broadly in Europe and Asia during the second half of 2012. For more information, visit www.vmware.com/go/accelerate.

About VMware

VMware is the leader in virtualization and cloud infrastructure solutions that enable businesses to thrive in the Cloud Era. Customers rely on VMware to help them transform the way they build, deliver and consume Information Technology resources in a manner that is evolutionary and based on their specific needs. With 2011 revenues of $3.77 billion, VMware has more than 350,000 customers and 50,000 partners. The company is headquartered in Silicon Valley with offices throughout the world and can be found online at www.vmware.com.

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VMware, VMware Accelerate Advisory Services, iTHC and VMware IT Business Manager are registered trademarks and/or trademarks of VMware, Inc. in the United States and/or other jurisdictions. All other marks and names mentioned herein may be trademarks of their respective companies. The use of the word "partner" or "partnership" does not imply a legal partnership relationship between VMware and any other company.

Forward-looking statements

This press release contains forward-looking statements including, among other things, statements regarding the expected availability of VMware Accelerate Advisory Services in Europe and Asia, the expected role of VMware and iTHC benchmarking capabilities in IT transformation roadmaps and their prospective benefits to our customers. These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to (i) our ability to integrate iTHC capabilities into our benchmarking services; (ii) adverse changes in general economic or market conditions; (iii) priorities, delays or reductions in information technology spending; (iv) competitive factors, including but not limited to pricing pressures, industry consolidation, entry of new competitors into the virtualization and cloud computing markets, and new product and marketing initiatives by our competitors; (v) our customers’ ability to develop, and to transition to, new products and computing strategies such as cloud computing and desktop virtualization; (vi) the uncertainty of customer acceptance of emerging technology; (vii) rapid technological and market changes in virtualization software and platforms for cloud and desktop computing; (viii) changes to product development timelines; (ix) VMware’s ability to protect its proprietary technology; and (x) VMware’s ability to attract and retain highly qualified employees.. These forward looking statements are based on current expectations and are subject to uncertainties and changes in condition, significance, value and effect as well as other risks detailed in documents filed with the Securities and Exchange Commission, including our most recent reports on Form 10-K and Form 10-Q and current reports on Form 8-K that we may file from time to time, which could cause actual results to vary from expectations. VMware assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this release.