How a Dell and VMware merger could affect EMC storage
Whatever strategic alternatives @DellTechnologies and its @VMware subsidiary pursue, storage experts say the outcome will not change much for those companies’ products and technologies. Dell CEO @Michael Dell told his employees last week the vendor’s leadership is considering options such as going public or completing a reverse merger with @VMware, which Dell owns most of and is already traded publicly. Those moves could help reduce the billions of dollars of debt the company took on when it acquired EMC and VMware for more than $60 billion in late 2016. Dell also said in his email to employees that one option is “business as usual” for Dell and VMware. Even if Dell and VMware decide to merge, Dell EMC storage customers are unlikely to be affected, said Scott Sinclair, a storage analyst at Milford, Mass., research firm Enterprise Storage Group. “I don’t believe this would have an impact on Dell EMC customers, negatively or positively. From my perspective of talking to customers after the Dell EMC merger, their reaction has been pretty favorable. I think the only thing that would change would be the company’s accounting structure,” Sinclair said.