PHD Wins VMware Media Duties

Omnicom’s PHD has been awarded the global media assignment for the fast-growing Silicon Valley cloud-computing and virtual technology developer VMware after a review, according to sources.

The client relied on numerous local agencies in markets where it sells products, but has now consolidated the assignment with PHD. Spending on the largely business-to-business account is estimated at $20 million.

Cloud computing has gained a lot of traction recently, and VMware’s revenues have climbed sharply in the past few years. Last year, the Palo Alto, CA-based company reported a 32% gain in revenue to nearly $3.8 billion. That was after a 41% revenue surge in 2010.

Revenues for the client exceeded $1 billion in the fourth quarter of 2011. Company officials have indicated they expect another $1 billion-plus revenue total for the first quarter of 2012.

For PHD, the win follows recent awards from both Hyatt hotels (global digital media duties) and mobile phone giant Sony Ericsson (global media assignment).

PHD declined to comment on the VM review, referring calls to the client. A VM marketing executive did not return calls seeking comment. 

Creative, search and lead generation duties on the VM account were not part of the review. Those responsibilities are handled by Gyro, the London-based agency, which has offices in New York and other U.S. cities. 



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