VMware's COO Eschenbach Resigns in Advance of Dell Dealby
Eschenbach reported to leave for venture capital firm
Second top executive to depart ahead of Dell-EMC acquisition
VMware Inc.’s chief operating officer is leaving the company, the second senior executive to depart the maker of virtualization software in two weeks ahead of its effective acquisition by Dell later this year.
Carl Eschenbach resigned from his position as president and COO, VMware said in a statement, saying he would pursue a “new career opportunity.” Fortune reported that Eschenbach left for Silicon Valley venture capital firm Sequoia Capital. Eschenbach’s responsibilities will be divided up among other executives, the company said, and he will remain as a strategic adviser to Chief Executive Officer Pat Gelsinger.
The shakeup follows the departure last week of another top executive, Martin Casado, who left for venture capital firm Andreessen Horowitz. It also adds to the upheaval at VMware and its parent EMC Corp., which is being acquired by closely held Dell Inc. In January, VMWare forecast sales and profit for 2016 that missed analyst estimates and said it would fire 800 employees.
VMware gained less than 1 percent to $50.75 at the close in New York. The company has declined 10 percent this year.
Eschenbach’s departure will see expanded roles and responsibilities for other executives at the company, including Maurizio Carli, Ray O’Farrell and Sanjay Poonen, VMWare said.