The Amazon Web Services-VMware Inc. agreement that will see VMware virtualization services running natively on bare-metal AWS servers is a potential big win for enterprise IT, writes Wikibon CTO David Floyer.  In some ways the partnership is a natural, Floyer writes. Each partner is strong in areas where the other either is weak or does not play at all – AWS in public infrastructure as a service and VMware on premise.

The partnership promises to create a virtual hybrid cloud supporting a single virtual environment combining VMware users’ on-premise environment with  VMware on AWS. This will let customers transfer applications and data between the two environments or run applications on premise with data on AWS, for instance, without doing major  conversions.

However, Floyer writes, in these kinds of agreements the devil is always in the details, and many of those have not been revealed. Open questions include:

• Performance management on the AWS cloud;
• Storage configurations, especially for performance-sensitive VMs;
• Licensing of databases and other ISV software; and
• Overall pricing strategies.

Wikibon will report as those issues as answers become available.

Pluses and minuses

This agreement promises benefits for both partners. AWS gains an entry into the on-premise IT world and can convert VMware users to its native services over time using tools it already has in place. VMware gets a presence in enterprise public cloud that it has lacked, heading off the constant bleed of business to the cloud as companies migrate workloads.

However, Floyer writes, “Many important details of pricing, interfacing and function have yet to be agreed upon. Putting the partnership into practice will require significant compromise from two successful and aggressive companies who don’t compromise easily.” Floyer urges senior IT executives to prepare to test out the service as soon as it becomes available, which will be sometime next year.

Floyer’s full Professional Alert provides a more detailed analysis of the positioning of AWS vs. Microsoft Azure, VMware and Oracle Corp. as well as the potential advantages of the partnership to VMware users. Wikibon Premium subscribers can read the full Alert here. To learn about subscribing, look here.

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