THE FUTURE OF DELL TECHNOLOGIES
Open Letter to Customers and Partners from Michael Dell
Dear customers and partners,
Dell Technologies announced today that we are spinning-off our 81% equity ownership of VMware. This is a significant moment and tremendous opportunity for both companies and our customers. As part of this transaction, Dell Technologies and VMware will retain a strong commercial agreement that is unique and differentiated, preserving our relationship while allowing strategic flexibility for both companies.
For you, our customers and partners, the way you engage with Dell Technologies and VMware doesn’t change. Our joint momentum in road maps and innovation and in sales and support all move forward full steam ahead. We believe deeply in the “better together” power of these two great companies as your trusted partner for the digital future. With this announcement, we will be even stronger. By simplifying the ownership and capital structures of Dell Technologies and VMware, we will unlock new opportunities to innovate and invest in our companies and across our ecosystems.
Above all, the commercial agreement is designed with the long-term interests of our valued customers and partners in mind, including:
- a commitment for Dell Technologies and VMware to drive innovation together,
- preservation of our go-to-market synergies,
- flexibility for a well-balanced ecosystem of partners for Dell Technologies, VMware, our customers and partners, and
- continuing to service VMware through Dell Financial Services to help customers enable their digital transformations.
The transaction is expected to close during the fourth quarter of calendar 2021, but from your perspective it will be business as usual. While we see a very exciting future for Dell Technologies and VMware as separate commercial entities, we also see a very exciting future for Dell Technologies and VMware together – working together as your partner, solving your greatest challenges, delivering your greatest opportunities and, with all of you, continuing to drive our world and our society forward.
– Michael Dell