$1 Billion in Annual Bookings in 2013 for VCE

VCE Company, LLC, in converged infrastructure systems, surpassed its 2013 goal of generating $1 billion in annual sales (sales figure is based on 2013 VCE bookings), and demand for VCE products and services reached a $1.8 billion annualized demand run rate exiting the fourth quarter of 2013.

Demand run rate is an annualized calculation of orders received in the applicable period by VCE, VMware, Inc., EMC Corp. and Cisco Systems Inc. for the sale of VCE Vblock products and related services.

In the first quarter of 2014, demand for Vblock Systems once again grew at over 50% year over year, representing the fourth consecutive quarter of accelerated year-over-year growth.

“When we set out to create VCE in 2009, we knew there was a significant opportunity to provide the simplest, most efficient way to deploy and run IT,” said John Chambers, chairman and CEO, Cisco. “Four years later, we’re witnessing a major industry shift toward the integrated infrastructure model that has drastically simplified IT and enabled enterprise and service provider customers to focus on delivering business outcomes. At Cisco, we view VCE as a natural extension of our application-centric data center strategy and look forward to continue driving the industry forward together.“

“In only four years, VCE has revolutionized the IT industry through converged infrastructure, leading the way for customers to achieve truly transformative results for the most demanding, mission-critical environments,” said Joe Tucci, chairman and CEO, EMC. “VCE has rightly earned the trust of its customers and partners, and we’re delighted with the company’s achievements. Through our strong partnership with Cisco, VCE has become a recognized leader for cloud infrastructures.”

“VCE experienced a historic 2013, in no small part due to our laser focu,n providing outstanding customer experiences and developing groundbreaking technology innovation,” said Praveen Akkiraju, CEO, VCE. “Our enterprise and service provider customers have deployed Vblock Systems as their foundation for next-generation data center and cloud architectures across every major industry vertical including financial services, healthcare, energy and public sector. As we look toward 2014 and beyond, we expect to stay ahead of the innovation curve for converged infrastructure, with cloud-ready soluions and software capabilities that wil accelerate customers’ IT transformation while delivering dramatic improvements in operational costs and simplicity.“

VCE also achieved other key company milestones in 2013, including:

• 1,750th Vblock System Sold: After three years of product availability, VCE has now sold more than 1,750 Vblock Systems worldwide to more than 800 customers in nearly 60 countries, making Vblock Systems a key pillar of IT infrastructures serving numerous customer use cases and industry verticals.
• No. 1 Market Share, Significant Industry Growth Expected: For the second year in a row, VCE has been named by a leading industry analyst group as the market share leader in integrated infrastructure systems (Gartner, Market Share Analysis: Data Center Hardware Integrated Systems, December 12, 2013), with the highest revenue of any other converged infrastructure vendor – demonstrating technology leadership from VCE and signaling the industry trend toward convergence. Analysts also expect the integrated infrastructure category for integrated systems to grow at 43.2% CAGR to $11.2 billion in 2017, an increase from $3.6 billion in 20134.
• Success with Global Service Providers and Telcos: In 2013, VCE and several major service providers further extended successful relationships to deliver differentiated public and private cloud computing offerings, including Capita, CSC and SoftBank. Additionally, seven of the 10 largest telecommunications companies in the world are now VCE customers.
• Broader Product and Services Portfolio: In 2013, VCE launched several new products, including new Vblock Systems and new Vblock Specialized Systems for SAP HANA, Extreme Applications and High Performance Databases. The company also introduced the VCE Vision Intelligent Operations software, enabling the Vblock System to be managed as a single converged infrastructure object.
• Geographic Expansion: Ending 2013 with more than 1,600 employees, VCE continued to expand its footprint throughout the year, building out its presence with new leadership in EMEA and in AsiaPac and Japan.