EMC will be announcing its quarterly earnings Thursday and along with that, it is hosting a special press conference at 9:30 a.m. ET. We’ve just been invited to dial and listen.
EMC typically releases earnings before the opening bell. But its routine conference call with Wall Street analysts is scheduled for 8:30 a.m., so this press conference is something different. We understand the news will break at 8 a.m., likely with the earnings release.
We don’t know what EMC will announce.
Bloomberg tech reporter Dina Bass tweeted out that this involves EMC’s divorce from partner Cisco. She tweets, “The EMC news is…that they are buying out most of Cisco’s stake in their VCE joint venture, which will now become part of EMC, sources say”
That’s interesting. The rift between Cisco and EMC has gotten wider since EMC subsidiary VMware has been trying to take down Cisco’s core business with a new technology called “software-defined networking.”
We were tempted to speculate that EMC might talk about breaking up, splitting VMware off. It’s been under pressure from investor Elliott Management to do that and breakups are all the rage, these days.
In the past few weeks, eBay, HP, and Symantec have decided to split. Valley super investor, Marc Andreessen, a board member for both eBay and HP, says more older conglomerate tech companies will do the same, so they can better compete with startups.
Again, we don’t know what this news will be, but looks like it won’t be about a breakup. We’ll all find out in a few hours.