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Maritz Goes to EMC, Gelsinger To Run VMware

Gelsinger will start running VMware September 1

Paul Maritz, the CEO of EMC subsidiary VMware for the last four years, is stepping down and will be replaced by president and COO of EMC Information Infrastructure Products Pat Gelsinger (pictured below), the 30-year Intel veteran who might have wound up as CEO there if he had stayed and Paul Otellini retired.

Gelsinger will start running VMware September 1 for the experience ahead of EMC deciding who’s going to replace CEO Joe Tucci.

The news was confirmed late Tuesday after rumors that Maritz had been ousted depressed VMware stock price by 5%.

As it turns out Maritz is gonna be some kind of Big Data and cloud-oriented applications strategist at EMC, reporting to Tucci and keeping his seat on the VMware board.

EMC CFO Dave Goulden, another candidate to replace Tucci in what is evidently a three-horse race, was named president and chief operating officer of EMC, responsible for all EMC’s business units while remaining CFO. EMC’s CMO Jeremy Burton will be VP, product operations and marketing.

Tucci said in a statement: “In Pat and Paul, we are fortunate to have two world-class leaders. The strong teams that we now have in place at VMware and EMC allow me to ask Pat and Paul to take on two of the defining challenges and opportunities of the new unfolding IT era: Cloud Infrastructure and Big Data. They have unique backgrounds and skills, and I look forward to continuing to work with both of them. I want to personally thank and congratulate Paul for all he’s accomplished over the past four years helping transform VMware from a technology leader in virtualization to an industry leader in cloud computing, and I’m excited that he’ll now be working full-time on these new opportunities.”

VMware also announced pre-announced Q2 results, including record quarterly revenues of approximately $1.123 billion, up 22% year-over-year, versus guidance of $1.1 billion to $1.12 billion, and second quarter non- GAAP operating margins of approximately 32% versus guidance of 30.25% to 31.25%.

VMware expects full-year 2012 revenues to be between $4.54 billion and $4.635 billion with non-GAAP operating margins between 30.25% and 31.25%. It reports July 23.

More Stories By Maureen O'Gara

Maureen O'Gara the most read technology reporter for the past 20 years, is the Cloud Computing and Virtualization News Desk editor of SYS-CON Media. She is the publisher of famous "Billygrams" and the editor-in-chief of "Client/Server News" for more than a decade. One of the most respected technology reporters in the business, Maureen can be reached by email at maureen(at)sys-con.com or paperboy(at)g2news.com, and by phone at 516 759-7025. Twitter: @MaureenOGara

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