The benefits of virtualizing networking and storage will be very different than were the benefits of virtualizing CPU and memory. VMware’s success to date has not come at the expense of server vendors. However VMware’s success with virtualized networking will come at the expense of Cisco. The success with virtualizing storage will come at the expense of enterprise storage vendors. By commoditizing networking and storage VMware will deliver substantial benefits to its customers, and create strained relationships with vendors who used to be partners.
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