Microsoft and VMware reportedly set aside differences to collaborate on hybrid cloud solutions, stave off challenges by Amazon Web Services
The next big partnership in hybrid cloud computing? VMware and Microsoft. The two companies will create new solutions that provide businesses with options other than AWS. The collaboration might be just the right catalyst to help Microsoft close the cloud market gap with AWS.
The Lowdown: VMware is already a big AWS partner, providing software to the cloud computing giant that enables one of its hybrid computing options. VMware and Microsoft are reportedly working on a similar relationship, in which VMware will supply virtualization software that will enable businesses to implement hybrid computing systems in the Microsoft Azure cloud.
The Details: Hybrid computing enables business to have seamless integration with public cloud resources while maintaining local operations and control in their own data centers. Just how Microsoft and VMware’s collaboration will lead to a new hybrid cloud service is unknown, as neither company is talking specifics. They’re only teasing the development of this new partnership.
The Impact: A Microsoft-VMware hybrid cloud computing partnership could unlock hundreds of thousands of new accounts to Microsoft Azure and tip the cloud computing market share balance away from AWS. Microsoft is trying to catch up to Amazon in the cloud market. While Microsoft’s cloud business grew 79 percent in 2018, Amazon expanded sales 45 percent last year. According to LogicMonitor, the current rate of growth will give Microsoft a 21 percent market share by the end of 2020, compared to AWS’ 52 percent share.
Background: AWS and VMware are longtime partners. AWS uses VMware virtualization technology to facilitate hybrid cloud computing instances. The partnership was a game-changer for Amazon by allowing it to port its AWS services into private data centers. However, Amazon — which hates being dependent on other companies — has a habit of competing with and