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EMC’s divisions after company reorganization

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Dec. 19 2014, Updated 3:39 p.m. ET

Emerging technology division

As mentioned in the earlier part of the series, EMC (EMC) has reorganized its operations into two divisions. The emerging technology division encompasses EMC’s Isilon scale-out NAS technology, ViPR software-defined storage technology, and DSSD. The DSSD acquisition let EMC focus on developing rack-scale, server-side flash storage technology. Products like ScaleIO, hybrid cloud gateways, HPC storage, and ViPR will be part of the emerging technology division. CloudScaling will be integrated into this division.

The above graph shows EMC’s contribution to research and development (or R&D) as a percentage of revenues. EMC peers NetApp (NTAP), IBM (IBM), Citrix (CTXS) and Cisco (CSCO) have spent ~13%, 6%, 17%, and 12% in 2013 on R&D, respectively.

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Core technology division

EMC’s core technology division now includes three of the company’s former divisions: enterprise, mid-range systems, and data protection and availability. XtremIO all-flash storage array has now shifted from the emerging technology division to the core technology division. The company intends to promote XtremIO along with every VMAX and VNX sale.

Guy Churchward, who is currently president of data protection division, will head the new core technology division. Recent cloud acquisitions, Spanning and Maginatics, will be part of this division.

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