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VMware SWOT and PESTLE Analysis

ID : 52700453| Feb 2023| 21 pages

COMPANY PROFILE -VMware

Business Sector :Information Technology

Operating Geography :United States, North America, Global

About VMware :

VMware is one of the biggest software companies which is publicly traded and is registered at NYSE. It is one of the few companies to virtualize x86 architecture and the first commercially successful company to do so. The desktop software of VMware operates on Windows, Linux, and MacOS whereas VMware ESXi, its software hypervisor operates on server hardware. Its products cover the important aspects like Cloud management, application management, storage and availability, networking and security and many more. VMware eases the desire of organizations to become digital businesses so as to ensure quality experience delivery to their end-users and empower its employees to perform their best. Its software spans across the fields such as computations, cloud infrastructure, networking, security, and digitalized workspace. It was founded in the year 1998 and is headquartered at Palo Alto, California, United States. The next evolution of Alibaba Cloud VMware Service, a jointly created public cloud service, was unveiled in April 2022 by Alibaba Cloud and VMware, Inc. Businesses all over China can accelerate the enterprise cloud transformation to support digital innovation with lower costs and risk thanks to Alibaba Cloud VMware Service.

VMware has pioneered the virtualization segment and has been delivering a consistent and a quality platform to its customers for cloud and business mobility, which is their unique selling proposition. The VM Ware vision statement reads, “To make the people empowered by simplifying IT solutions through virtualization, through innovation, which will drive the speed of business and bring in competitive advantage.” The mission statement reads, “To help their clients and customers in the digital transformation journey by enabling them with a software-centric and technology-defined approach to business.”

VMware Revenue :


Gross revenue:
$12,851 Million – FY ended 28th Jan, 2022 (YoY growth 9%)
$11,767 Million – FY ended 29th Jan, 2021

Competitive Analysis of VMware

SWOT
PESTLE
The SWOT analysis of VMware is presented below:
Strengths
Weaknesses
1. VMware’s ability to operate “live migrations” for its users.
2. VMWare products are more adaptable in different platforms.
3. It has one of the best virtualization software in the segment, with the inclusion of virtual dual processors.
1. The brand communication is very low compared to its competitors.
2. The product is also very less diversified which do not cater to needs of many users.
Opportunities
Threats
1. With the mainstream processes opting for virtualization along with the others, there are multiple opportunities on the cards for VMware.
2. Since the revenues are high, ample investment can be on the diversification aspects of the products.
1. Economic slowdown is a prime threat.
2. Security breach is always a big concern
3. With technological advancement, competition is high in the form of opting newer technology and a greater number of companies coming up.
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Detailed SWOT Analysis of VMware

 

Strength

1. VMware’s ability to operate “live migrations” for its users: This particular feature put forward for its users by VMware is a huge boost to its value addition in the user segment and building trust with innovation. It ensures comprehensive customer satisfaction.
Server downtimes are a frequent encounter in the IT industry. A majority of which is not in anyone’s control but there are certainly some downtimes which can be restricted. The downtime that occurs in order to migrate the existing application in one server to another can be easily discarded with the use of ‘live migration’ feature of the products of VMware. VMware’s vSphere vMotion is the product which offers this feature. The application still remains live during migration and users get an uninterrupted service even during transition of servers. This is possible in case of vswitches, cluster and for clouds as well.
Moreover, VMWare products are more adaptable even across different platforms. This is an important feature which every user is worried about as the platform dependency nature and compatibility are crucial features for a software product. VMware’s products are more adaptable and compatible with different platforms than its competitors. The compatibility of its products are much better and suited to Windows OS.

2. It has one of the best virtualization software in the segment with the inclusion of virtual dual processors: With the introduction and advancements made in the field of AI, virtual reality is the most significant feature people expect in the products they use. The standards that VMware has been maintaining in the virtualization software segment are paramount. It is the virtual or software-based creation of the hardware functionalities. It is one of the most effective ways of reducing expenses in the industry and adds agility and efficiency across all industries. The benefits which this technology includes reduced operating costs, minimized downtime, increased productivity, efficiency, and agility, simplified storage and data center management.

Weakness

This section is available only in the 'Complete Report' on purchase.

Opportunity

This section is available only in the 'Complete Report' on purchase.

Threat

This section is available only in the 'Complete Report' on purchase.

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VMware SWOT and PESTLE Analysis - SWOT & PESTLE.COM

SWOT & PESTLE.com (2023). VMware SWOT and PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/vmware/ [Accessed 09 Dec, 2023].

In-text: (SWOT & PESTLE.com, 2023)

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