VMware stung by defections and layoffs after Broadcom close

“Subsequently, many of VMware’s enterprise clients are exploring alternatives to its virtualization, cloud management, end-user computing, and hyperconverged infrastructure products despite the company’s dominance in these technologies,” they added.

It’s a significant collapse in a short period since Pat Gelsinger departed as CEO to take the helm of Intel. Is there any connection? Charles King, principal analyst with Pund-IT, doesn’t believe so.

“Senior execs typically leave their jobs after acquisitions, so Dhawan’s departure is no surprise. Unfortunately, substantial layoffs also follow the completion of such deals, so, basically, no surprises there, either,” he told me.

King couldn’t speak to the Forrester claims about migrations off VMware, but he doesn’t think Gelsinger’s departure had anything to do with it. “His job was to shape VMware into a standalone company, which he accomplished admirably. In fact, that purchase price is over 100x more than the $652 million that EMC originally paid for VMware in 2004. Pretty remarkable, overall,” said King.