Cisco is not Intel
Intel benefitted from VMware on x86 because it allowed them to go up market into the Unix space, Sun's space in particular. Yes, some of their sprawl was consolidated which resulted in fewer low value x86 servers, but they broke into the more lucrative top half of the server space. Cisco is not Intel, Cisco is Sun. They are selling expensive proprietary gear which will be commoditized by Nircira. Intel will start to partner with bottom barrel switch makers to produce white box switches, aka dumb bandwidth, and all of the high value management software will move to a vendor agnostic software layer.... There is no way Cisco is falling for this assurance from VMware. EMC/VMware is now Cisco's largest competitor. VMware knew they would be going to war with Cisco when they bought Nicira, but the upside is worth the downside of losing Cisco as a partner and they needed to counter Hyper V which was getting close to ESX at a lower cost.