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Virtualization-as-a-Cash Cow

Smart companies like Capgemini and VMware realize that there are times when it makes good business sense to combine efforts with other companies that offer services that are complementary to their own. So Capgemini--which specializes in technology, consulting, and outsourcing--is hooking up with virtualization major domo VMware to form a high-profile purveyor of business-centric, virtualization-based services available on a pay-as-you-go, IT-as-a-Service model foundation.

Capgemini and VMware say their new offerings are part of a "flexible, consumption-based" model that aims at cutting costs via consolidation and server virtualization. Naturally, the cloud is a major component of this equation, and the two partners are eager to project the growing number of cloud-enabling virtualized data centers that are increasingly dotting the IT landscape, as well VMware's key role in that transition.

According to the joint press release issued by the two firms, virtualization is on the uptick as many companies "overcome the challenges of investment and adopt holistic approaches to transformation, helping them to break through the 30% barrier," which we can only assume is the percentage of servers that have been virtualized to date. At any rate, that sure is a lot of fancy talk. I think it has something to do with people spending a whole bunch of money on virtualization-as-a-cash cow (VaaCC).

If you ask me, it all sounds a little squishy. For example, Capgemini claims they are prepared to offer "measureable business results" because of their time-tested, skills in managing IT infrastructures, which has enabled their clients to "transform" the delivery of their IT services. Beyond this high-flying rhetoric, there are no further, detailed descriptions of savings that customers can expect to experience.

It will be interesting to see what's going on with this alliance a year from now. Any predictions?

Posted by Bruce Hoard on 01/24/2011 at 12:48 PM


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