While VMware looked like it was in a hole only a couple of years ago, the software giant is now resurgent thanks to a multi-cloud, alliance-building strategy that's resonating in the market, CEO Pat Gelsinger told attendees of the 2017 Best of Breed Conference.
Instead of being displaced by the public cloud, the virtualization leader, under the umbrella of Dell EMC for the last year, has seen six quarters that beat Wall Street expectations, and a surge in its stock price, Gelsinger noted in an onstage discussion with The Channel Company CEO Robert Faletra.
The technological partnerships and shifting product strategies are firing on all cylinders now that VMware is past the "traumatic thing" that was the acquisition of parent EMC by Dell Technologies, he said.
"We're executing, and Dell is executing with and for us," Gelsinger said. Together, the companies are surpassing business goals, including with the channel partners who represented more than 20 percent of business so far this year.
Partnerships with Amazon Web Services, IBM and other cloud giants, and products like NSX network virtualization and vSAN virtualized storage, have made clear to partners VMware is not just part of their past, but also part of their future, he said.
The timing was right, he said, because the IT industry is uniquely primed for growth.
"It's a good market if you're on the right side of the technology transitions," Gelsinger said.
"Tech is breaking out of tech," he added, alluding to the diverse consumer applications to which technology is now being applied.
Four years earlier, VMware's cloud strategy centered on its own Infrastructure-as-a-Service product, vCloud Air. That effort fizzled, prompting the major recalibration.
The cloud deals followed, bolstered by new tools and services designed to enable a hybrid, multi-cloud customer environment.
"While it wasn't the pathway we expected when we started that journey four years ago, I feel every aspect of our cloud strategy is performing well," Gelsinger said.