Aomori Group - VMware Disappointing Outlook.

(prHWY.com) March 4, 2013 - Sugar Land, TX -- Aomori Group reportedly highlighted in a recent meeting that VMware the server efficiency specialists share price fell after their sales forecasts fell short of estimates. VMware, whose products enable computer servers to run multiple operating systems, saw their share price fall by 22 percent, after forecasting first quarter revenues of between $1.17 billion and $1.19 billion.

VMware has seen impressive growth since its initial public offering in 2007, after surging demand for their products, which enable computer servers to run multiple operating systems, meaning data centers can run much more efficiently and allow significant hardware savings. Aomori Group are understood to have noted that the increasing competition from lower cost alternatives, including by Microsoft Corp., has slowed growth.

Aomori Group allegedly stated that a spokesperson for VMware publicized that the sluggish economy and weakening governmental demand has meant they are facing a challenging first half to the year. Later this year, the Palo Alto, California based firm said that they are expecting an increase in contract renewals.

EMC, the largest storage computer manufacturer in the world, bought VMware in 2004 for $625 million, before bringing it public in 2007, a move that made it one of the biggest software companies in the world.

VMware announced earlier that they would cut around 900 jobs and streamline their business this year, which will create one time costs of between $90 million and $110 million. However, Aomori Group are understood to have relayed that a VMware spokesperson confirmed that the company is continuing to hire new employees and actually expects to end the year with a net increase of 1,000 staff.

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