Something is going on with Nutanix. The company is firing on all cylinders, beating earnings estimates and rapidly expanding its portfolio to match the continually shifting needs of enterprise IT.
Nutanix was founded on the idea that virtualization is a stepping stone to something bigger. The company has proven that by consistently making bets on the future of enterprise infrastructure–bets that are now paying off.Nutanix built its early success on an approach to infrastructure management called hyper-converged infrastructure. The core idea behind HCI is that the fundamental building blocks of compute, storage, and networking can be combined and managed as a single entity.
The challenge with a Kubernetes-first approach, however, is that it doesn't help with non-containerized workloads. Just in the opposite, it bifurcates the control plane, creating a problem that HCI nicely solved.D2iQ’s Kubernetes Platform earlier this year. At its recent Nutanix .NEXT event in Barcelona, Nutanix demonstrated the power of combining its new Kubernetes expertise with its broader-reaching approach to infrastructure management.
The Broadcom acquisition of VMware, however, introduced uncertainty into the relationship. While neither company has commented publicly, there are reports that Dell and VMware terminated their"to integrate Nutanix HCI technology with Dell servers and storage to create a turnkey HCI solution. At the same time, announcing the deal at its .NEXT conference, Nutanix CEO Rajiv Ramaswami joked that Dell should call it"NxRail.
While there's undoubtedly some tailwind for Nutanix from customers migrating from VMware by Broadcom, it's a disservice to Nutanix to think that's what's behind its earnings success. Unlike switching server vendors, it takes effort to migrate away from VMware, where IT organizations have ingrained tools and processes around the technology. Switching is a burden.
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