VMware Acquires Integrien and TriCipher

Company Announces Acquisitions During VMworld 2010 Keynote Outlining IT as a Service Vision; New Technologies Expand vCenter Management Portfolio and Enable More Efficient Provisioning of SaaS Applications for End User Computing

SAN FRANCISCO, Aug. 31, 2010 — Today at VMworld 2010, VMware, Inc. (NYSE: VMW), the global leader in virtualization and cloud infrastructure, announced that it has entered into definitive agreements to acquire Integrien, a leader in real time application and infrastructure performance analytics software, and TriCipher, a leader in secure access management and enterprise identity federation for cloud hosted Software as a Service (SaaS) applications. 

Integrien: Simplifying Performance Management and Improving Operational Efficiency

“Today’s IT organizations are under pressure to increase service levels and build the next-generation infrastructure and applications for the cloud — all with the resources they have today,” said Boaz Chalamish, vice president and general manager, management products, VMware. “The dynamic nature of modern infrastructures and cloud environments requires a new management paradigm, and VMware is uniquely positioned to build on the foundation of virtualization and fundamentally improve how organizations manage IT services.” 

Integrien’s patented real-time performance analytics solution helps customers simplify the complexity of managing application and infrastructure performance by transforming data from existing management tools into actionable intelligence. Combined with VMware vCenter management products, Integrien’s capabilities enable VMware customers to achieve the level of automation and control required for virtualized and cloud infrastructures.

“VMware has led the transformation of IT infrastructure, significantly reducing complexity through virtualization,” said Dale Quayle, president and CEO, Integrien. “As such, VMware is the company that is best-equipped to redefine the IT management discipline for this new world. We are very excited to join VMware and align around a management vision that can deliver value for both our customers and employees.”

TriCipher: Bridging Hybrid Cloud Security, Improving End User Provisioning and Security of SaaS Applications

As customers evolve to a hybrid cloud composed of customer-owned and SaaS applications, internal and external infrastructure clouds, technologies for identity federation, SaaS authentication and access management are required to deliver convenient application access for end users and security controls for IT. TriCipher's capabilities will support multiple VMware initiatives, including identity-based security, integration of hybrid clouds and managed access to SaaS application from any device, where and when a user needs it.

“Customers are increasingly looking for ways to take advantage of the flexibility and new services in the public cloud and want to extend the security and control of their private clouds to this new environment,” said Brian Byun, vice president and general manager, cloud services and applications, VMware.  “TriCipher brings to VMware important authentication and identity technologies that will accelerate our delivery of new solutions for hybrid cloud integration and end user computing.”

“TriCipher has been a pioneer in the field of identity and access management as a service, providing secure authentication and seamless single sign on access to over 3,000 public and private Web and SaaS applications,” said John De Santis, chairman and CEO of TriCipher.  “We are excited to join the VMware family and further build on our foundational technology to fulfill VMware’s cloud and end user computing vision.”

Both acquisitions are expected to close in the third calendar quarter of 2010.  Financial details of the transaction were not disclosed. VMware does not expect the transactions to have a material impact on its previous expectations for 2010.

About VMware

VMware delivers virtualization and cloud infrastructure solutions that enable IT organizations to energize businesses of all sizes.  With the industry leading virtualization platform – VMware vSphere™ – customers rely on VMware to reduce capital and operating expenses, improve agility, ensure business continuity, strengthen security and go green. With 2009 revenues of $2.9 billion, more than 190,000 customers and 25,000 partners, VMware is the leader in virtualization which consistently ranks as a top priority among CIOs. VMware is headquartered in Silicon Valley with offices throughout the world and can be found online at www.vmware.com

Forward-Looking Statements

This press release contains forward-looking statements including, among other things, statements regarding the timing and consummation of the Integrien and TriCipher acquisition and the integration of Integrien’s and TriCipher’s technology into VMware’s technology platforms, business and operations.  Actual results could differ materially from those projected in the forward-looking statements in this press release as a result of numerous risk factors, including but not limited to: (i) failure to complete the Integrien and TriCipher acquisitions due to the failure to satisfy one or more closing conditions for the transaction; (ii) failure to successfully integrate Integrien’s and TriCipher’s technology, employees, business and operations into VMware’s business and operations; and (iii) failure to successfully execute VMware’s IT as a Service and cloud computing strategies;. These forward looking statements are based on current expectations and are subject to other risks detailed in documents filed with the Securities and Exchange Commission, including our most recent reports on Form 10-K and Form 10-Q and current reports on Form 8-K that we may file from time to time, which could cause actual results to vary from expectations. VMware assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this release.

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