VMware Acquires Pivotal for $2.7B

VMware has announced its acquisition of Pivotal Software after closing a $2.7B in August. The acquisition helps VMware in its efforts to transition from a virtual company to an enterprise-ready cloud-native, according to a press release. VMware said Pivotal will be key to VMware Tanzu, a collaboration geared toward enhancing enterprise solutions and developer productivity, HITInfrastructure reported. Pivotal’s offerings will also help guide customers in the way they run and manage their most vital applications. Pivotal will operate as a wholly-owned subsidiary of VMware, and stockholders are entitled to $15 per share. “Digital transformation and the applications that drive it should not be restricted only to cloud and software giants,” said Ray O’Farrell, an executive vice president at VMware. The acquisition was well-received by several of the companies’ mutual customers.