VMware Layoffs 2020: Some Targeted $VMW Staff Cuts Confirmed
VMware layoffs have impacted a limited number of employees, though the virtualization and cloud software provider did not disclose the exact number of staff cuts.
Among the departures: Shawn Toldo, VP of VMware’s Worldwide Partner Organization, CRN reports.
The VMware layoff reports surface less than a month after majority owner Dell Technologies also cut some headcount. Both Dell and VMware have closely managed costs amid the coronavirus pandemic and challenging economy.
VMware and Dell Temporarily Freeze Salaries
Indeed, VMware in May 2020 confirmed plans to freeze employee salaries, cut executive pay and suspended 401K retirement plan matching. Dell made similar moves that same month.
Both companies have also had channel chief transitions in recent months. Dell Channel Chief Joyce Mullen is exiting the data center hardware giant on August 14. Separately, VMware Channel Chief Jenni Flinders quietly exited the hybrid cloud software company in June.
Dell is seeking a successor to Mullen, but has plenty of channel bench depth in the meantime. Sandy Hogan, senior vice president of worldwide commercial and partner sales, leads VMware’s Worldwide Partner Organization.
Related: Technology Industry Layoff List
Dell and VMware: Dates to Watch
Among the dates partners and investors should track:
- August 27, 2020: Dell is expected to announce Q2 fiscal 2021 earnings. VMware earnings are scheduled for the same day.
- September 29-October 1: The VMware VMworld 2020 virtual conference is scheduled.
- October 21-22: Dell Technologies World 2020 virtual conference is scheduled.
Both Dell and VMware announced reasonably strong financial results during their previous reporting period.
Dell and VMware: Spin-Off Discussions and Acquisitions
Dell has also been exploring potential ways to spin-off, sell or unlock the value of its VMware stake. The PC giant owns roughly 81 percent of the virtualization software maker.
Meanwhile, VMware has remained active on the M&A front, acquiring:
- Lastline for network detection and response;
- Octarine for Kubernetes security;
- Nyansa for SD-WAN services;
- Blue Medora’s True Visibility suite to further help vRealize Operations partners; and
- Datrium for disaster recovery as a service (DRaaS) that protects VMware Cloud on AWS.