VMware Goes Beyond Dell Family Matters

VMware’s challenges are no longer just a matter of its tricky family relationships.

Last week’s news that VMware was in discussions to acquire Pivotal Software had a whiff of self-dealing. Dell is the majority owner of both companies, and Pivotal wasn’t doing great. Its share price was down nearly 50% for the year before the talks were reported. The reported price of $15 a share was equal to the stock’s IPO price from last year. Walt Pritchard of Citigroup observed in a note at the time that the deal should remind VMware…

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