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Cisco's Chambers & EMC's Tucci: Buddies in Bad Times

By Sean Michael Kerner on November 5, 2009 10:24 AM

From the 'Former Wang Employees' files:

Sometimes is not what you know that's important, it's who you know -- right?

This week, Cisco, EMC and VMware entered into a partnership for delivering integrated virtual data center solutions.

Aside from the news itself, one of the most interesting pieces of drama in the whole event was the extreme chumminess between Cisco CEO John Chambers and EMC CEO Joe Tucci.

During the event there were a few back slaps (and the pic left from Cisco shows one of them, that's Chambers on the left and Tucci on the right) and many friendly words shared and said between the two CEOs.

Chambers said at multiple points during the launch press conference how his 20 years of friendship with Tucci helped to make the deal possible. Chambers actually worked for Tucci at one point, when both men were at the now-defunct Wang Labs.

"I trust Joe with my life," Chambers said.

Trust is a key component of the new Cisco/EMC/VMware partnership, for both the partners involves as well as for customers. All parties need to trust each other to do the right thing to get the best solution.

Cisco and EMC both have plenty of other partners, and in a limited way also have some overlapping solution and service sets. To actually get a 'one throat to choke' from the vendors that will be responsible for a joint solution is a big deal and in my view will be the real proof point for the success (or failure) of the new venture.

But why didn't Cisco just try and buy EMC? Or merge with them? Wouldn't that be an option?

During Cisco's first quarter fiscal 2010 earnings call, Chambers explained his strategy for when it makes sense to buy, build or partner.

"General rule of thumb, partner big to big, acquire big to small," Chambers said.

It's an idea that makes a lot of sense, as Chambers wants and need to be in control. If the general friendship between Tucci and Chambers did not exist, the partnership might still exist, but it just would seem as honest, would it?

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