Remember that VMware spin off? It’s baaa-aack

VMware is finally getting ready to spin off most of its non-core products to an EMC-run subsidiary, GigaOM has learned. If everything goes according to plan, the move will be announced next week, according to several sources familiar with the effort.

We reported on a similar plan in July but now it looks like it’s ready to roll with the Cloud Foundry Platform as a Service (PaaS); GemStone data caching technology; SpringSource Java frameworks and other non-core VMware offerings all moving over to a subsidiary owned by VMware parent company EMC, the sources said.

Sources said former VMware CEO Paul Maritz (pictured) will play a key role in the new organization although whether he would be CEO is unclear. And former Pivotal Labs CEO Robert Mee, will also be a key figure. EMC bought Pivotal in March for its agile development expertise

The move will free VMware up to focus on its critical Vsphere and VMware cloud management and virtualization business while the new organization will devote itself entirely to these other products which many say VMware has had a hard time selling.

“The only thing VMware can sell is VMware,” said one source familiar with this situation.

VMware made waves this summer when it talked up a paid commercial version of its Cloud Foundry open-source PaaS, and that ruffled feathers among many of the partners VMware had encouraged to build PaaSes of their own based on Cloud Foundry.  By offloading Cloud Foundry, VMware can avoid that distraction.

VMware could not be reached for comment.


GigaOM