, the data-storage company that owns 80% of VMware, also holds a majority stake in the Pivotal Initiative, although VMware provided most of the programming staff. It took 69% at launch, and VMware took 31%.
bought a 10% interest in Pivotal in April for help
adapting the software to industrial machinery.
In overnight trading, VMware rose 13.64% after announcing a two cent per share beat on earnings, EMC rose 5% after meeting estimates of 42 cents per share, and IBM was up 1%.
For the cloud, however, this is big news. Cloud players have been struggling to provide an alternative to Amazon's infrastructure. IBM's endorsement of a complete platform could make big customers give OpenStack a second look. The hope is that IBM and Pivotal can build Cloud Foundry tools, allowing a relatively painless move of enterprise applications to cloud infrastructure.
Chris Ferris, chief technology officer for cloud interoperability at IBM, said OpenStack and Cloud Foundry are complementary.
"We're putting our support behind Cloud Foundry and working to have it complement OpenStack," he said.
In its press release, IBM noted that the Cloud Foundry software is available
as the Github open-source repository
as well as at the Pivotal site.
Ferris added that the Cloud Foundry announcement is a natural follow-up to plans
IBM announced in March
to support open standards for its cloud software and services.
IBM and Pivotal will co-host a two-day event on Cloud Foundry
will release a branded and supported version of the software during the fourth quarter.
At the time of publication, the author was long IBM and GE.
This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.