GLG News by Server Purchasers

The next evolution of Xen software puts further pressure on VMWare’s market share and margins.  This is a clear indication that VMWare’s business model will require a major overhaul sometime in the next year or two.  Microsoft will be less impacted since they have less today. 

Intel’s next-gen Nehalem processor ups the performance bar, making it increasingly difficult for AMD.  Server manufacturers and software vendors will also be impacted, positively or negatively, by this generation of processors, which will also provide further impetus to cloud computing.

1. Using on-line apps as an experiment is possible 2. When will we see massive adoption?

I believe that both Cisco and EMC are expanding their base technologies to translate Data into meaningful Information.  They both have capabilities to analyze and direct Data into predetermined and structured storage and processing domains. The translation of Data into meaningful Information for...

Rumors abound that Cisco might purchase EMC, but that seems very unlikely given the cost involved and the lack of apparent synergy.  Cisco could, however, purchase VMWare.  Cisco has made virtualization a key strategic focus, and adding VMWare would instantly catapult them to the top of the...

Microsoft’s acquisition of DATAllegro should put to rest any skepticism on whether Microsoft is serious about the data warehouse and Business Intelligence (BI) market.  They have been progressively moving more into BI and data warehouses for several years, but have focused on the low-end BI user. ...

HP maintains worldwide leadership, but Dell is staging a comeback.  HP may be able to leverage their wide array of products for an advantage.  The second-tier vendors will continue to do well in places but seem to have little chance of unseating either Dell or HP.  Apple is a dark horse...

At a market cap of $7-8B and $2+B in the bank, along with healthy free cash flow, Sun is starting to look ripe for an acquisition.  It’s becoming increasingly clear that Sun’s current business model isn’t working, but their IP, customer base, brand recognition and employee base makes them attr...

VMWare is doing great, so how could they be in trouble?  By having both Microsoft and open source invade their market.  Their easy growth is in the past, and now the question becomes whether they can thrive in a highly competitive environment.

1. Power consumes more than the cost of the PC. 2.  Virtualization of PC's can reduce the IT budget.