VMware – a leading Cloud infrastructure firm, has initiated legal action against its former COO Rajiv Ramaswami for breaches of his legal and contractual duties and obligations to VMware. The company has filed a lawsuit citing non-disclosure of conflict of interest.
Why VMware is taking legal action against Rajiv Ramaswami
According to the VMware management team, Rajiv was working with Senior Leadership on some of the critical projects and roadmaps that would shape VMware’s strategic vision and direction. At the same time, Mr. Ramaswami also was secretly meeting with at least the CEO, CFO, and the entire Board of Directors of Nutani, Inc. to become Nutanix’s, Chief Executive Officer.”
Nutanix had appointed Ramaswami as chief executive on December 10, after founder Dheeraj Pandey had announced to step down from the role.
Nutanix and VMware are competitors, and both firms offer many similar products. Nutanix, Inc. is also a cloud computing company that sells hyper-converged infrastructure software, cloud services, and software-defined storage. VMware invests billions of dollars in Cloud R&D, knowledge, and information on VMware products and strategies that Rajiv has created a potential conflict of interest to VMware. VMware expected to have disclosed this conflict of interest to VMware to have taken steps to protect itself.
According to VMware, as mentioned in the ET, the company tried to resolve the matter without litigation, but Ramaswami and Nutanix refused to engage with VMware satisfactorily.
Who is Rajiv Ramaswami
Rajiv Ramaswami is the President and CEO of Nutanix. He joined in December 2020 from VMware, where he served as Chief Operating Officer of Products and Cloud Services.
Before this role, Rajiv led VMware’s Networking and Security business, one of the company’s fastest-growing units, as executive vice president and general manager.
He led multibillion-dollar product lines in switching, data center and storage, and optical networking in his prior roles at Cisco, apart from various leadership positions at Nortel, Tellabs, and IBM.
Rajiv earned his BTech in Electrical Engineering at the Indian Institute of Technology and his Master’s and Ph.D. in Electrical Engineering and Computer Science at the University of California, Berkeley. He is an Institute of Electrical and Electronics Engineers Fellow and holds 36 patents, primarily optical networking.