Wednesday, May 18, 2011

VMware Acquisition Boosts Shavlik Channel, Market Reach

While VMware's vision for Shavlik Technologies' product line is still unclear, its acquisition of the patch and IT management vendor could give Shavik's channel expanded reach into new markets and the opportunity to "ramp up" on virtualization offerings.

The New Brighton, Minn.-based Shavlik Technologies entered into a definitive agreement to be acquired by virtualization giant VMware Monday, in a deal that's expected to be completed later this quarter.





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VMware's acquisition of Shavlik , announced Monday, seemed to be a good fit, executives say.

"It is an exciting time for us to be joining VMware as it builds on our expertise in delivering IT solutions to SMBs, an area we have been dedicated to for many years," said Shavlik CEO Mark Shavlik, in a statement.

For VMware, Shavlik will provide access to a plethora of cloud-based SMB patch and IT management tools, and allow it to push virtualization down market.

For Shavlik, executives say that the acquisition will greatly expand the company's global market presence, and ultimately its product portfolio, as well as give it access to VMware's 30,000 channel partners and spate of robust programs.

"For our channel enablement, it's fantastic. All of a sudden we've got a global reach, and we can take advantage and engage its 30,000 plus channel partners and leverage their channel enablement richness," said Jason Tober, Shavlik vice president of sales and business development. "For us, it’s a broader set of tools, its broader reach."

Meanwhile, Shavlik channel partners are generally optimistic about the possible opportunities and expanded reach created by the acquisition.

Will Gray, sales manager at U.K.-based security and compliance VAR Satisnet , said that one of the biggest benefits will be to have the backing of VMware's strong brand and marketing capabilities behind Shavlik's patch management products, especially as more and more customers --existing and new -- request cloud-based solutions. Gray added that he anticipates that the majority of his customers would likely adopt cloud solutions in the next two to three years.

"We see the biggest advantage is just to increase the penetration even further," Gray said. "When we look at the customers that we have locally, there's a massive adoption of the cloud, and significant adoption of virtual platforms."

Meanwhile, Shavlik still has a wide range of on-premise patch and IT management solutions in its portfolio. While Gray said that communication was strong from both VMware and Shavlik regarding the initial news of the acquisition, the transition was cause for "a little bit of nervousness" about the long-term implications of the acquisition on Shavlik's existing product line.

"I'm interested to hear more about that, what the actual plans of VMware are for the business," Gray said. "I would guess that's an additional benefit for VMware, it acquired a company that has a mix of cloud and on-premise technology. At least I certainly hope so. "

For the time being, it's "business as usual," Tober said, adding that Shavlik had "no plans to phase out products" and will continue to offer both its cloud and on-premise solutions.

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