VMware and Lenovo Announce Agreement to Increase Adoption of VMware Virtualization in China

Lenovo to OEM VMware Infrastructure Platform; VMware Virtualization Provide Datacenter Relief for High-Growth Chinese Market

BEIJING, China, April 24, 2008 — VMware, Inc. (NYSE: VMW) and Lenovo (HKSE: 992) (ADR: LNVGY) today announced an agreement to increase the adoption of VMware virtualization in China. Starting today, Lenovo will sell, distribute and support the VMware Infrastructure 3 platform on Lenovo server systems. This partnership enables businesses and organizations in China to leverage both the performance and scalability of Lenovo servers with VMware virtualization to reduce operating expenses, improve business continuity, strengthen security and reduce their power consumption and carbon footprint.

“Virtualized architectures are gaining momentum in China as a better way to run datacenters,” said Diane Greene, president and chief executive officer of VMware. “Through our relationship with Lenovo and its world-class brand, we are making VMware virtualization more broadly available to the Chinese market.  With VMware virtualization, Lenovo customers can quickly experience its significant business benefits including reducing operating and capital costs by as much as 50 percent, delivering applications more quickly and reliably in virtual machines, and improving security across the datacenter and on the desktop.”

“Together with VMware, our customers will have access to a versatile technology that is helping to transform IT in China and around the globe,” said William J. Ameilio, president and chief executive officer of Lenovo. “Coupling Lenovo’s leading server products with VMware’s broad range of award-winning virtualization solutions will help customers as they come to terms with the rapid datacenter growth taking place in businesses throughout China.”

Customers can now purchase Lenovo servers pre-installed with VMware’s market-leading datacenter virtualization and management platform, VMware Infrastructure 3, provided with full support from Lenovo. VMware Infrastructure 3 enables automatic load balancing, business continuity and power management and the ability to move a virtual machine across physical machines to minimize service interruption. VMware Infrastructure 3 is also compatible with VMware’s desktop virtualization and management solutions.

Availability

VMware Infrastructure 3 is available on Lenovo servers immediately, backed by full support from Lenovo.

About Lenovo

Lenovo (HKSE: 992) (ADR: LNVGY) develops, manufactures and markets high-quality, secure and easy-to-use technology products and services worldwide and is dedicated to building the world's best-engineered personal computers. Formed by Lenovo Group's acquisition of the former IBM Personal Computing Division, Lenovo’s heritage in both emerging and developed markets has resulted in a New World Company business model where ideas, operations and resources are borderless and mobile. With four operational hubs in Beijing, Raleigh, Singapore and Paris, Lenovo has major research centers in Yamato, Japan; Beijing, Shanghai and Shenzhen, China; and Raleigh, North Carolina, as well as a marketing center in Bangalore, India. For more information, see www.lenovo.com.

About VMware, Inc.

VMware (NYSE: VMW) is the global leader in virtualization solutions from the desktop to the datacenter.  Customers of all sizes rely on VMware to reduce capital and operating expenses, ensure business continuity, strengthen security and go green. With 2007 revenues of $1.3 billion, more than 100,000 customers and nearly 14,000 partners, VMware is one of the fastest growing public software companies.  VMware is headquartered in Palo Alto, California and on the web at www.vmware.com.

# # #

VMware and VMotion are registered trademarks or trademarks of VMware, Inc. in the United States and/or other jurisdictions. All other marks and names mentioned herein may be trademarks of their respective companies.

Forward-Looking Statements

Statements made in this press release which are not statements of historical fact are forward-looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements relate, but are not limited, to adoption of VMware products by end users in China.  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, industry consolidation, entry of new competitors into the virtualization market, and new product and marketing initiatives by our competitors; (iv) our customers’ ability to develop, and to transition to, new products, (v) the uncertainty of customer acceptance of emerging technology; (vi) rapid technological and market changes in virtualization software; (vii) changes to product development timelines; (viii) our ability to protect our proprietary technology; (ix) our ability  to attract and retain highly qualified employees; and (x) fluctuating currency exchange rates.  These forward looking statements are based on current expectations and are subject to uncertainties and changes in condition, significance, value and effect as well as other risks detailed in documents filed with the Securities and Exchange Commission, including the report on Form 10-K for the fiscal year ended December 31, 2007, which could cause actual results to vary from expectations. VMware disclaims any obligation to update any such forward-looking statements after the date of this release.