VMware this week dismissed its lawsuit against its former-COO-turned-Nutanix-CEO Rajiv Ramaswami.
Ramaswami (pictured) ended his four-year tenure as COO of products and cloud services at VMware in December 2020. Two days later, he joined competitor Nutanix as its CEO.
Later that same month VMware filed a lawsuit against Ramaswami alleging the former COO breached his legal and contractual duties to VMware by “secretly meeting” with Nutanix’s top brass for at least two months before resigning while working with VMware’s leadership to shape that company’s strategy.
“Rajiv Ramaswami failed to honor his fiduciary and contractual obligations to VMware,” the vendor said in a statement that has since been removed from the VMware website.
Earlier this year, Ramaswami told SDxCentral he’s “letting the lawyers handle the lawsuit,” while he runs Nutanix. “Now, that said, we strongly believe the law is very much in our favor.”
However, it appears that the two rival companies are closing out 2021 on a more conciliatory note.
“VMware and Rajiv Ramaswami, its former co-Chief Operating Officer, have settled their dispute regarding Mr. Ramaswami’s departure from VMware and, accordingly, VMware has dismissed its lawsuit against Mr. Ramaswami,” a VMware spokesperson wrote in an email to SDxCentral. “VMware is pleased that the matter has been resolved, allowing it to focus on developing exceptional products and services for its customers.”
Nutanix issued its own statement about the legal battle coming to a close.
“VMware’s lawsuit was misguided and inappropriate, as there was no wrongdoing on Mr. Ramaswami’s part,” the Nutanix statement said. “VMware has agreed to dismiss the lawsuit and we are very pleased that the matter has been favorably resolved.”