VMware Introduces Significant New Virtualization Products and Advances

Virtualization Leader Announces Next Generation Hypervisor to be Integrated in Server Hardware; New Solutions for Virtual Desktop Management and Disaster Recovery

PALO ALTO, Calif., September 10, 2007— VMware, Inc., the virtualization leader, today announced the industry’s next generation thin hypervisor to be integrated into server hardware, as well as new desktop management and automated disaster recovery solutions. The groundbreaking products will be showcased this week at VMworld 2007 in San Francisco.

“Virtualization is rapidly becoming the way computing is done,” said Diane Greene, president and CEO of VMware.  “VMware released the industry’s first hypervisor for x86 systems six years ago, and the industry is now building on that for an infrastructure refresh which is transforming information technology.  Organizations of all sizes, with five to 5000 servers, are deriving significant value from moving to a virtualized architecture. VMware has a track record of delivering highly reliable, functional, and groundbreaking product. We also continue our commitment to developing and working with industry standards and to supporting full interoperability with our partners to guarantee our customers complete freedom of choice.”

Today VMware announced VMware ESX Server 3i - the industry’s next generation thin hypervisor integrated in server hardware and without any operating system requirement or dependence; VMware Virtual Desktop Manager– the company’s new connection broker for virtual desktop infrastructure (VDI); and VMware Site Recovery Manager – an automation solution for planning and managing recovery from data center outages.  This line up of new products and solutions further extends the value of virtualization for organizations of all sizes (see today’s related announcements). 

“The advancements announced today are in response to our customers’ product usage and also VMware’s focus on the best customer experience,” continued Greene, “The new VMware ESX Server 3i represents the next generation hypervisor architecture.  Rather than being tied to the operating system, the hypervisor is an extension of the hardware. Customers running VMware Infrastructure across their datacenter will be able to drop in new hardware boxes and have them automatically detected and added into the pool of available resources for running their operating system and application workloads. VMware ESX Server 3i raises the bar for reliability, security, and manageability for the virtualization platform.  All major server vendors will deliver VMware ESX Server 3i as part of the hardware and servers will arrive at the customer’s site virtualization-enabled.”

About VMworld 2007

VMworld 2007 is expected to bring together more than 10,000 IT professionals and executives, technology providers and industry experts from around the world to discuss and share ideas on virtualization, including unveiling the latest demos and best practices for deploying virtualization solutions. General sessions will include presentations from AMD, Cisco, Intel, VMware executives and others as well as a panel on reducing the energy footprint of data centers.  The conference will feature more than 250 unique sessions, 130 exhibits and 100 hands-on labs.  VMworld, now in its fourth year, will take place September 11-13 at the Moscone Center in San Francisco.

About VMware

VMware (NYSE:VMW) is the global leader in virtual infrastructure software for industry-standard systems.  Organizations of all sizes use VMware solutions to simplify their IT, fully leverage their existing computing investments and respond faster to changing business demands.  VMware is based in Palo Alto, California and majority-owned by EMC Corporation (NYSE:EMC).  For more information, visit www.vmware.com.

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This release contains “forward-looking statements” as defined under the Federal Securities Laws. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to: (i) adverse changes in general economic or market conditions; (ii) delays or reductions in consumer or information technology spending; (iii) competitive factors, including but not limited to pricing pressures and new product introductions; (iv) the transition to new products, the uncertainty of customer acceptance of new product offerings and rapid technological and market change; (v) insufficient, excess or obsolete inventory; (vi) war or acts of terrorism; (vii) the ability to attract and retain highly qualified employees; (viii) fluctuating currency exchange rates; and (ix) other one-time events and other important factors disclosed previously and from time to time in VMware’s filings with the U.S. Securities and Exchange Commission.  VMware disclaims any obligation to update any such forward-looking statements after the date of this release.