It's hard to see VMWare's strategy on this, but here's my guess: Maybe they've actually got some finance guys looking at their P/E which is in the 70 range. So

It's hard to see VMWare's strategy on this, but here's my guess: Maybe they've actually got some finance guys looking at their P/E which is in the 70 range. So they're probably using their premium stock price as a good way to pick up some bargains while their core business revenue is slowing down with the rest of the economy (and with tough competition). In my mind, it makes me think that they worry about (or are at least are hedging against) their core market being eroded by other players. If they did believe it was VM/VDI for the long haul, then they'd be investing in technologies with far better synergies than the ones they're picking. I mean "cloud" technologies pretty much applies to anything these days, so it'd be a stretch to say these are really "good fit" acquisitions. I have a feeling this could work out okay for VMWare, though it feels more like a business play than a technology one.