Virtualizations Time to Roll - ' Inconclusive Results '
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Inconclusive Results
Potential may be the operative word.
According to a June study by The
Strategic Council, 45% of companies
consider their virtualization deployments unsuccessful. More than a
quarter say they have failed to realize
a return on investment or aren't sure
when they will, while more than four
in 10 didn't hit their cost savings
estimates. It's not all blue skies for
everyone.
Still, virtualization is clearly here
to stay. On the day of VMware's IPO,
company shares jumped from their $29
debut price to $51. They have since
traded as high as $82.75. Citrix's acquisition
of XenSource, which hasn't yet
closed, gives the open source virtualization
vendor a wider potential customer
base and the opportunity to integrate
with Citrix's strong application delivery
tools.
Both vendors are also looking to
integrate their virtualization software
directly into the server instead of
being installed on a hard drive. In early
September, XenSource unveiled a software
product that could be embedded
onto server hardware, and VMware followed
days later with its own offering.
Microsoft's entry, whenever it happens,
will provide another boost. While
the software giant only has 9% of the
virtualization market, it has the market
power to grab a bigger share and spur
adoption.
Not that many users are waiting.
With existing vendors and others
improving and broadening their offerings,
this is one train that has already
pulled out of the station.
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A Big Insurer's Virtualization Push
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