The U.S.-based cloud and virtualisation services provider VMware said the acquisition of EMC by Dell will help the company expand its presence and customer reach in India. The Nasdaq-listed company also said the significant presence of Dell in the small and medium business (SMB) category in India will help it explore various opportunities in the country.
In October last, PC maker Dell had announced its plans to acquire storage company EMC, which holds majority stake in VMware, for about $67 billion. “India is a great example where Dell’s presence in the marketplace is meaningfully higher than VMware,” said Pat Gelsinger, Chief Executive Officer, VMware. “So, not only is it an opportunity for us to co-innovate but it is an opportunity for us to accelerate the presence of our products into that market,” he said.
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VMware, which has so far focused on large enterprises in India like State Bank of India and Maruti, said that the new Dell strategy will help it to grow its pie in the strong Small and Medium Business Sector in India.
Speaking to the media at its annual technology conference VMworld, Mr. Gelsinger said, “Dell has a strong presence in the mid-market space and in the smaller markets in India. This is a great opportunity for us to reach out to customers that we have not been able to till now and help them on their digital transformation journey.”
According to analyst firm Gartner, the public cloud services market in India is projected to grow 30.4 per cent in 2016 to total $1.26 billion.
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The highest growth will come from cloud system infrastructure services like infrastructure as a service, projected to grow 32.5 per cent in 2016 with platform as a service (PaaS) projected to grow at 31.7 per cent.
“We are creating the world’s largest enterprise systems company which offers servers, storage, virtualisation, cloud software, commercial PCs, digital transformation, software defined data centre, converged, hyper converged mobility, security,” said Michael Dell, Chairman and Chief Executive Officer, Dell.
“We have a great opportunity to grow in India and all over the world,” he said.VMware India employs about 4,000 people in its centres at Bengaluru and Pune.
VMware also announced new solutions for cloud computing and virtualisation, including a partnership with IBM to offer cloud foundation solutions.
(The writer is in Las Vegas at the invitation of VMware)