Oracle is not happy enough with Sun, now buys Virtual Iron

Posted by virtualization.info Staff   |   Wednesday, May 13th, 2009   |  

oracle logo

virtualiron logo

Less than one month ago Oracle acquired Sun Microsystems, closing one of the most strategic deal of the last ten years.
With Java, Solaris, MySQL, Oracle also inherited the entire Sun xVM virtualization portfolio.

Oracle has its own Xen-based hypervisor, Oracle VM Server, and its own management console, Oracle VM Manager, but it’s reasonable to believe that these two products will merge with Sun xVM Server and Ops Center in the coming months.

Any customer at this point would assume that Oracle has enough resources, engineers and developed code to release a strong virtualization product against VMware, Citrix and Microsoft.
It seems that this is not the case.

Today the company announced a second, major acquisition in the virtualization space: Virtual Iron, for an undisclosed sum.  
This confirms the rumors that virtualization.info reported in March.

So far Virtual Iron raised $65 million in five rounds of investment, one of the highest sum ever granted to a virtualization vendor.
In the last couple of quarters the company reported a healthy growth: 130% revenue growth in Q4 2008 and 65% growth in Q1 2009.
During the last year anyway, many of the original executives left the company, including the founder and CTO Alex Vasilevsky who is now heading the startup called Virtual Computer.

After the release of Xen by XenSource (now acquired by Citrix), Virtual Iron was one the first competitors to adopt it, so the company can probably count on seasoned virtualization engineers and the favor of a certain number of the Xen adopters. 
Despite that, most of the features of the Virtual Iron hypervisor overlap the Oracle VM Server and Sun xVM Server ones.
So it’s not completely clear why the database giant needed to close this additional deal.

Is Oracle trying to become the fourth major player in the virtualization space by consolidating the market?
Or is this an indirect admission that both its product and the Sun one are not competitive enough against ESX, XenServer and Hyper-V?

For sure Oracle has a big challenge now: merging the code and the portfolio of the three products will require a flawless and timely execution.
Without it the company will not be credible to the eyes of its investors, customers and partners, and it will risk a mass exodus of the Sun and Virtual Iron virtualization experts to other companies.

The first virtualization vendor to be disturbed by the new Oracle/Sun/Virtual Iron giant is Red Hat, that plans to lead the open source market with a new virtualization solution based on KVM.

The virtualization.info Virtualization Industry Radar has been updated accordingly



blog comments powered by Disqus


virtualization.info Newest articles
IBM announces Docker Based Container Services

July 1st, 2015

Containers continue to gain traction, IBM announced the release of enterprise class containers based on Docker and built on its Platform as a Service, Bluemix for hybrid environments. It will…

Release: Xen Project Hypervisor 4.5.1

July 1st, 2015

The Xen Project, the community which develops the Xen hypervisor under the GNU General Public License (GPLv2) announced the availability of a new maintenance release, version 4.5.1 of the Xen…

Red Hat Summit 2015 Wrap-up

June 29th, 2015

Last week, Red Hat held its premiere event in Boston, Massachusetts from June 23 to 26, the Red Hat Summit,  where several announcements have been made.
The summit offered over…

Midokura expands OpenStack Team with Takashi Yamamoto

June 29th, 2015

Network virtualization is one of the hot topics within the OpenStack community. Last week japanese startup Midokura focused on network virtualization announced the assignment of Takashi Yamamoto as OpenStack…

Red Hat announces Q1 2015 earnings

June 24th, 2015

On June 18 Red Hat announced its financial results for its fiscal year 2016 and for the first quarter of 2015.
Total revenue for the first quarter ended May 31,…

Rancher Labs raises $10M in Series A funding

June 11th, 2015

Rancher Labs is a startup providing management on top of the Docker containers, today the company has announced that it has raised $10 million in a series A funding…

EMC acquires Virtustream

May 26th, 2015

EMC has acquired Virtustream, a Infrastructure as a Service (IaaS) provider originally funded among the others from SAP for 1.2 billion US dollars. Virtustream also provides a Cloud Management Platform…

Release: Midokura Enterprise MidoNet (MEM)

May 25th, 2015

Japanese startup Midokura focused on network virtualization announced the availability of Midokura Enterprise MidoNet (MEM). MidoNet is a scalable network virtualization solution integrated with OpenStack Kilo networking project and…

Release: Red Hat CloudForms 3.2

May 20th, 2015

Red Hat yesterday announced the release of version 3.2. of its cloud management software, CloudForms. CloudForms allows the management of hypervisors from Red Hat, VMware and Microsoft as well as…

Gartner predicts that Worldwide Cloud IaaS spending will grow around 33 percent is 2015

May 20th, 2015

Besides releasing their annual Magic Quadrant for Cloud Infrastructure as a Service, research and consulting firm Gartner also made some predicitons about the growth of Cloud Infrastructure as a Service…

Gartner releases its Magic Quadrant for Cloud Infrastructure as a Service for 2015

May 20th, 2015

Gartner this week updated its Magic Quadrant for Cloud Infrastructure as a Service (IaaS) for the year 2015. The Magic Qudrant for 2014 was released in May last year (covered…

Red Hat announces the Cloud Suite for Applications

May 19th, 2015

Red Hat yesterday announced a new Suite which bundles its cloud portfolio to manage both Infrastructure as a Service (IaaS) and Platform as a Service (PaaS) workloads. The suite, which…

VMware announces new SaaS offering for building, delivering and managing desktops and applications

May 18th, 2015

A day before the start of Citrix annual Synergy conference, rival VMware announced project Enzo. Project Enzo is the name of a new Software as a Service offering from VMware…

Announcements from Citrix annual Synergy Conference

May 18th, 2015

Last week, Citrix held its annual Synergy conference in Orlando. During the conference Citrix made several announcements which will be summarized in this blogpost.
Citrix Workspace Cloud, which is a…

 
Monthly Archive