VMware and Heptio Will Drive Cloud Native Technologies Forward to Create More Value for Customers and the Open Source Community

BARCELONA, Spain, Nov. 06, 2018 (GLOBE NEWSWIRE) -- Today at VMworld 2018 Europe, VMware, Inc. (NYSE: VMW) announced that it has signed a definitive agreement to acquire Heptio, a leader in the open Kubernetes ecosystem. Heptio’s products and expertise help organizations deploy and operationalize Kubernetes. Terms were not disclosed.

Founded in 2016 by Joe Beda and Craig McLuckie, two of the creators of Kubernetes, Heptio has applied its unique insight to a growing set of products, open source projects and contributions to upstream Kubernetes. This is complemented by Heptio’s work with organizations through training, support and professional services that speed integration of Kubernetes and related technologies into the fabric of enterprise IT. As a result, Heptio will be able to open new channels for VMware to further engage the open source community and harden upstream Kubernetes as well as support the cloud native needs of the largest enterprises in the world upon closing.

VMware and Pivotal have delivered PKS, the industry’s most comprehensive Kubernetes portfolio covering customer use cases for on-premises deployment and as a cloud service. The offerings enable organizations to operate Kubernetes and run their modern applications in a cloud-agnostic fashion. Upon completion of the acquisition, Heptio’s Kubernetes solution, expertise and community leadership will enhance the VMware portfolio and further accelerate enterprise adoption of Kubernetes.

“Kubernetes is emerging as an open framework for multi-cloud infrastructure that enables enterprise organizations to run modern applications,” said Paul Fazzone, senior vice president and general manager, Cloud Native Apps Business Unit, VMware. “Heptio products and services will reinforce and extend VMware’s efforts with PKS to establish Kubernetes as the de facto standard for infrastructure across clouds upon closing. We are thrilled that the Heptio team led by Craig and Joe will be joining VMware to help us guide customers as they move to a multi-cloud world.” 

“The team at Heptio has been focused on Kubernetes, creating products that make it easier to manage multiple clusters across multiple clouds,” said Craig McLuckie, CEO and co-founder of Heptio. “And now we will be tapping into VMware’s cloud native resources and proven ability to execute, amplifying our impact. VMware’s interest in Heptio is a recognition that there is so much innovation happening in open source. We are jointly committed to contribute even more to the community—resources, ideas and support.”

The transaction is expected to close in VMware's fiscal Q4 2019, subject to customary closing conditions, including regulatory approvals. This acquisition is not expected to have a material impact on fiscal 2019 operating results.

Industry Perspective on the News
“Heptio has an incredibly talented team and exciting portfolio of products that will expand and accelerate Pivotal and VMware’s customers’ journey with cloud native software upon closing. VMware and Pivotal have worked together to co-develop PKS which enables enterprises to more effectively build and run modern applications. We are thrilled for Heptio to join VMware and look forward to working with them to drive greater innovation together,” said Ian Andrews, senior vice president, products and marketing, Pivotal.

Additional Resources

About Heptio
Heptio unleashes the technology-driven enterprise with products and services that help customers realize the full potential of Kubernetes and transform IT into a business accelerator. The company’s training, support and professional services speed integration of Kubernetes and related technologies into the fabric of enterprise IT, while its products reduce the cost and complexity of running these systems in production environments. To learn more visit heptio.com.

About VMware
VMware software powers the world’s complex digital infrastructure. The company’s compute, cloud, mobility, networking and security offerings provide a dynamic and efficient digital foundation to over 500,000 customers globally, aided by an ecosystem of 75,000 partners. Headquartered in Palo Alto, California, this year VMware celebrates twenty years of breakthrough innovation benefiting business and society. For more information please visit https://www.vmware.com/company.html.

Forward-Looking Statements

This press release contains forward-looking statements including, among other things, statements regarding VMware's intention to acquire Heptio; the expected benefits of the acquisition; the anticipated closing of the acquisition in fiscal Q4 2019; the expected impact on fiscal 2019 operating results; and the expected complementary nature and strategic advantages of combined product and solutions offerings after close. These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to: (i) the ability of the parties to satisfy closing conditions to the acquisition on a timely basis or at all; (ii) market conditions, regulatory requirements and other corporate considerations that could affect the timing and closing conditions to the acquisition; (iii) the ability to successfully integrate acquired companies and assets into VMware; (iv) VMware's customers' ability to accept emerging technology and to transition to new products and computing strategies; (v) competitive factors, including but not limited to entry of new competitors into the industries in which VMware competes, and new product and marketing initiatives by VMware's competitors; (vi) VMware's ability to enter into and maintain strategically effective partnerships; (vii) rapid technological changes in the virtualization software and cloud, end user and mobile computing industries; (viii) changes to product and service development timelines; (ix) VMware's ability to protect its proprietary technology; (x) VMware's ability to attract and retain highly qualified employees; (xi) adverse changes in general economic or market conditions; (xii) changes in VMware's financial condition; and (xiii) VMware's relationship with Dell Technologies and Dell's ability to control matters requiring stockholder approval. These forward-looking statements are made as of the date of this press release, are based on current expectations and are subject to uncertainties and changes in condition, significance, value and effect as well as other risks detailed in documents filed with the Securities and Exchange Commission, including VMware's most recent reports on Form 10-K and Form 10-Q and current reports on Form 8-K that we may file from time to time, which could cause actual results to vary from expectations. VMware assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this release.

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VMware Global Communications
1.650.427.6145
eontiveros@vmware.com