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Press Release

EMC Increases Investment, Commitment to Bay Area

Software Leader Completes First Phase of New, State-of-the-Art Santa Clara Campus; EMC Invests in Regional Expansion to Tap Rich Engineering Resources

SANTA CLARA,, Wednesday, June 22, 2005 - 

EMC Corporation (NYSE: EMC), the world leader in information storage and management, today announced an increased commitment and investment in the Bay Area through the expansion of EMC Software Group's West Coast operations. EMC Software Group's regional software development, sales and service will be co-located in a new, state-of-the-art campus in Santa Clara and in its expanded Pleasanton campus. The Santa Clara facility will include a customer and partner briefing center to showcase EMC's market-leading portfolio of information management software and services, as well as training facilities for employees and partners.

EMC grew its software and services business to comprise more than 50% of total revenues in the first quarter of 2005. This growth has been accelerated by EMC's acquisitions of northern California-based Dantz, Documentum, Legato and VMware and New York-based SMARTS. The first phase of construction of the Santa Clara campus was completed last week, and the facility is expected to be fully occupied by the end of 2005. When the campus is completed, EMC's operations in the Bay Area, including EMC subsidiary VMware's headquarters in Palo Alto, will total more than one million square feet.

"Accelerating customer adoption of EMC software has continued to extend our market leadership position," said Dave DeWalt, President, EMC Software Group. "Our expansion and investments in Silicon Valley and the East Bay are vital to supporting the customers turning to EMC and its comprehensive set of software and services to manage and protect information throughout its lifecycle. Our new operations will allow us to take better advantage of the robust pool of engineering talent in the region, and most importantly, deliver additional value to customers into the future."

Formed in July 2004, the EMC Software Group includes EMC's core open software and its acquired software businesses Legato, SMARTS, Dantz and Documentum and is responsible for advancing the company's integrated information lifecycle management solutions that manage a customer's information from creation to disposal.

EMC also acquired VMware, the leading provider of virtual infrastructure for industry-standard systems, in January 2004. VMware is an EMC subsidiary and operates independently from EMC and the EMC Software Group.

As one of the world's leading software companies, EMC focuses significant resources in development of innovative software that helps customers address their most complex information management challenges. The company expects to invest approximately $1 billion in research and development in 2005, with the majority of that spending going to software development. According to IDC, EMC led the storage software market for the fifth consecutive year in 2004, extending its lead to 30.9% revenue share, nine points ahead of its nearest competitor. [a]

About EMC

EMC Corporation (NYSE: EMC) is the world leader in products, services and solutions for information storage and management that help organizations extract the maximum value from their information, at the lowest total cost, across every point in the information lifecycle. Information about EMC's products and services can be found at www.EMC.com.

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