VMware ups its mobile game with acquisition of AirWatch for US$1.54bn

22 Jan 2014

Virtualisation and cloud player VMware has acquired mobile device management company AirWatch in a deal valued at US$1.54bn.

Privately-owned Airwatch employs 10,000 people across nine global offices and provides a secure enterprise-mobile management platform for thousands of businesses.

“With this acquisition VMware will add a foundational element to our end-user computing portfolio that will enable our customers to turbo-charge their mobile workforce without compromising security,” explained VMware chief executive Pat Gelsinger.

VMware will pay US$1.17bn in cash as well as a further US$365m in installation payments and unvested stock options.

“When we started AirWatch, we set out to help businesses succeed in the mobile explosion that was set to come,” said Alan Dabbiere, co-founder and chairman, AirWatch.

“Now there are more than 2 billion smart phones and tablets in the world and more than half of those devices touch an enterprise,” Dabbiere added.

“By joining a proven innovator like VMware, we now have an opportunity to bring our leading-edge solutions to an even broader set of customers and partners to help them optimize for the mobile-cloud world.”

Mobile cloud image via Shutterstock

John Kennedy is a journalist who served as editor of Silicon Republic for 17 years