Nor are all enterprises gung-ho to virtualize every aspect of their data centers, King adds. "The cost of failure, especially for large enterprises, typically outweighs the benefits of wholly virtualized environments, so it makes sense for organizations to support those processes and applications with dedicated mission-critical systems," King says.
Despite potent competitors such as Microsoft and Citrix, VMware still leads the way in enterprise virtualization--a springboard for providing cloud services. "The virtualization vendor best-suited to enable that market evolution is VMware," King says.
Although VMware itself doesn't offer a public cloud service, more than 100 third-party hosting providers now use the company's vCloud management package for their own cloud services. According to VMware, those cloud services are used by 350,000 customers in 24 countries.
"We want to offer a lot more choice in regions and types of clouds," Herrod says. "It's about developing a large ecosystem of public clouds."