Analysis: Nicira Buy To Bring VMware Closer To OpenStack, Networking Vendors


VMware's planned acquisition of Nicira and its virtualized networking technology is also not likely to bring the company in competition with traditional networking vendors as many in the press and analyst community believe.

Kevin Johnson, CEO of Sunnyvale, Calif.-based networking vendor Juniper Networks, on Tuesday told financial analysts that his company is committed to developing technology related to software-defined networking, including working with Nicira and VMware.

"We're going to continue to be very thoughtful and balanced in terms of what we're doing on the R&D agenda to make sure that we're delivering the best possible solutions to our customers, and certainly, the work that we're doing in our switching and fabric business, as it relates to datacenters is very applicable and very relevant to Nicira and very applicable and relevant to what VMware is doing," Johnson said.

Bob Muglia, executive vice president of software solutions for Juniper, said on the same call that Juniper is developing technologies like OpenFlow and other open source capabilities across its products going into 2013.

"We have products today, and we're going to continue to enhance and expand those products, and we'll work very closely across the industry, including with partners like VMware, to ensure that Juniper Networks, the platforms and the software that we provide, is the best complement to the software that they deliver," Muglia said.

Joe Tucci, chairman and CEO of storage vendor EMC, which owns the majority of VMware and has a strong partnership with Cisco through their VCE joint venture, on Tuesday said during EMC's second quarter financial call that VMware's Nicira strategy will work well with Cisco.

The Nicira acquisition is an area where VMware can extend its relationship with Cisco, including running the virtualized networking technology across Cisco's hardware layer, Tucci said.

"As such, (Cisco Chairman and CEO) John Chambers and I remain very committed to VCE," Tucci said.

Cisco was unable to reply at press time other than to note that a blog related to the topic is expected to be posted soon.

Balkansky said that networking vendors, rather than being worried about competition from VMware, will instead more likely see an expansion of their business in building cloud infrastructures.

NEXT: Balkansky Says Nicira Will Drive New Networking Tech