From Channel Insider
Citrix Systems is acquiring XenSource, whose founders helped develop the open-source Xen hypervsior, for $500 million in a move that caps a significant week in the development of virtualization technology.The XenSource acquisition, which both companies announced Aug. 15, comes just a day after VMware, which has long been the dominant player in the x86 virtualization market, announced an initial public offering of 33 million shares of stock. By the end of its first day of trading, the company's stock closed at almost $51 a share.The purchase of XenSource by Citrix also comes a few days after XenSource launched the latest version of its XenEnterprise, which offers several improvements compared to previous versions and looked to compete with VMware's Virtual Infrastructure suite.The XenSource acquisition, which is expected to close in the fourth quarter, was not totally unexpected. Citrix has been advocating for faster delivery for Web- and Windows-based desktop applications.