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I have a very different view on this purchase, and I f my thesis is right, then it just might be the best move ever ( Michael Dell has certainly won again with

I have a very different view on this purchase, and I f my thesis is right, then it just might be the best move ever ( Michael Dell has certainly won again with this deal.) Here is my vie, VMware has become the OS of the private cloud. Sure Linux based, but from an enterprise perspective, VMWAre is closer to the HW than any other OS. Considering that Broadcom is a HW company, and that they are looking to fend off Qualcomm, Amd, and Intel as key competitors, should they move to build ARM or RISK-V based server for the enterprise, they could be at a mejor advantage on those CPU architecture. Just a thought from over the pond, but they could buy Ampere and be in that market very well positioned to take in the Enterprise space end to end, they would only need storage if you don’t consider VSAN as a valid solution in that space. Tim will tell.

sokoloff 4y ago
It might be the hypervisor and related ecosystem of private cloud today, but I wouldn’t bet $61B on VMWare against the entire field (xen/kvm in Type 1, and all the container solutions) for 2027.
gmassman 4y ago
Who's Tim?
- system2 4y ago
  I believe he meant "Time will tell". Or Tim can come and tell us, up to Tim.
peeters 4y ago
I can't say it's not possible, but Broadcom (the corporation, not the semiconductor division within Broadcom) acts more like a holding company. I'd make a comparison to private equity but the goal there is typically to flip the company for a profit. Broadcom's goal is typically to milk high-margin sales for established companies. Purchase, identify the most profitable parts, and cull everything else. Their MO is typically not strategic acquisitions for innovation. If any of their acquisitions can be called strategic it would be in how much the company's top customers align with Broadcom's, which allows them to increase vendor lock-in and jack the price.

sokoloff 4y ago

It might be the hypervisor and related ecosystem of private cloud today, but I wouldn’t bet $61B on VMWare against the entire field (xen/kvm in Type 1, and all the container solutions) for 2027.

gmassman 4y ago

Who's Tim?

system2 4y ago
I believe he meant "Time will tell". Or Tim can come and tell us, up to Tim.

peeters 4y ago

I can't say it's not possible, but Broadcom (the corporation, not the semiconductor division within Broadcom) acts more like a holding company. I'd make a comparison to private equity but the goal there is typically to flip the company for a profit. Broadcom's goal is typically to milk high-margin sales for established companies. Purchase, identify the most profitable parts, and cull everything else. Their MO is typically not strategic acquisitions for innovation. If any of their acquisitions can be called strategic it would be in how much the company's top customers align with Broadcom's, which allows them to increase vendor lock-in and jack the price.