EMC/VMware cloudy spinoff rumors (and Maritz is out)

This is serious business: EMC (NYSE:EMC) and VMware (NYSE:VMW) are said to be spinning off their cloud computing assets into a new company. Those will include the Cloud Foundry PaaS, Greenplum, Chorus, DynamicOps, and the Project Rubicon IaaS, we're told. And Paul Maritz may be the guy to run it. In IT Blogwatch, bloggers wonder if it could be true.

By Richi Jennings: Your humble blogwatcher curated these bloggy bits for your entertainment. Not to mention: Detroit by Drone...
  
  
Om Malik and Stacey Higginbotham claim their exclusive:

VMware...is planning a corporate shakeup. ... [It] hopes to spin out some of its cloud assets...according to sources close to the deal. ... The move would help VMware...offer a competitor to cloud computing services offered by Google, Microsoft and Amazon. ... VMware declined to comment.
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VMware is a public company, [but] EMC owns [most] of its stock. ... For many...the concept of cloud computing is built on...commodity hardware. EMC’s expensive storage boxes...are at odds with that vision.
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Despite near ubiquity in corporate data centers...VMware needs to firm up its cloud strategy. It has all the pieces...but they haven’t yet coalesced into a cohesive offering. ... This spin out could help EMC capitalize on the cloud even as it cannibalizes its hardware business.      

       
Eric Savitz addz:

...the new company would include [the] Cloud Foundry platform-as-a-service division...EMC’s Greenplum business, [and] an EMC/VMware joint venture in the infrastructure-as-a-service segment called Project Rubicon.
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VMware reportedly declined to comment on the spin-off plans. ... A spokesperson for EMC [said] she had not seen the story, and that in any case the company would not comment on rumors.
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VMware shares in late trading are up...1%, to $85.22.      

And Rachel King rules, dude: [Wait, did Gregg Keizer abdicate? -Ed.]

The timing wouldn't be much of a surprise considering the buzz surrounding the [IaaS] Google Compute Cloud...announced in June. ... VMware has a considerable job ahead of itself if it plans to compete with that...[and] Amazon Web Services, the de-facto choice.
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Most of what is supposedly going to be included will be on VMware's Cloud Foundry open [PaaS] touted to enable users to deploy...without being locked down by a provider. ... [And] earlier this month, VMware acquired DynamicOps [a] cloud automation solution...for managing IT services.
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[I bet it's] introduced at VMworld in San Francisco at the end of August.      

Meanwhile, Kevin McLaughlin learned another tidbit:

Paul Maritz is out as VMware CEO...replaced by Pat Gelsinger...sources familiar with the situation confirmed.
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VMware's CEO switch may be part of a larger corporate restructuring. ... VMware may shed more light on the leadership change and rumored spin-off plans in its second quarter earnings July 23.      

And Alex Williams adds 2+2:

My sources say that Maritz is also mentioned as a candidate to lead Cloud Foundry. ... Maritz has roots in the open-source movement. ... [He] would like the challenge of developing Cloud Foundry as its own business.
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[Or will] he be named CEO of EMC? That’s the question of the day.      

But John Furrier reckons that's just New Math:

I have been tracking the story for months...this has been in the works for some time. ... According to my sources, Maritz will not be taking that role if it...does spin out. Maritz is well know and beloved...in the geek community. ... Martiz was a central figure at Microsoft 1986 to 2000 where he ran the Platforms and Developer Group.
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This story will be the hot topic leading up to VMworld 2012 in SF next month. ... The tech enterprise business is rocking.      

      
And Finally...
Magnificent Decay: Detroit by Drone
[hat tip: Don McArthur]

Richi Jennings is an independent analyst/consultant, specializing in blogging, email, and security. He's also the main author of Computerworld's The Long View and IT Blogwatch -- for which he has won ASBPE and Neal awards. A cross-functional IT geek since 1985, Richi also publishes a full profile and disclosure of his industry affiliations.