VMware, Inc., (NYSE:VMW), the global leader in virtualization solutions from the desktop to the datacenter, today announced it has completed the acquisition of B-hive Networks, a privately-held application performance management software company with headquarters in San Mateo, California, and principal R&D facilities in Herzliya, Israel. VMware announced a definitive agreement to acquire B-hive on May 28, 2008. Financial terms of the deal were not disclosed.

With this acquisition, VMware will leverage the B-hive team and technology to enhance the VMware portfolio of application and infrastructure management products by offering proactive performance management and service level reporting for applications running within virtual machines. B-hive technology brings insight into the performance of applications and the ability to automate changes using VMware’s industry-leading datacenter virtualization and management suite, VMware Infrastructure, to reallocate resources as needed to ensure service level objectives. In addition, with this acquisition, B-hive’s R&D facility and team will form the core of VMware’s new development center in Israel.

For more information, please visit: http://www.vmware.com/go/bhive