I'm happy that I sold significant part of my VmWare (VMW) position ahead of earnings. Drop after earnings was spectacular. Here's what I think is happening.
Cloud computing changes. It looks like companies are not that eager to create internal clouds. I'm sure that some companies are still doing it, but not enough for quite a crowded market. Which means that it's time to sell VmWare (VMW) and Red Hat (RHT), my other cloud position.
On the other hand, Infrastructure as a Service and Software as a Service models are doing great. For IaaS major providers are Google (GOOG) and Amazon (AMZN). I own Google and Amazon looks scary with it's sky high valuation. For SaaS I'm watching Saleforce.com (CRM). Other providers include IBM (IBM), which also provides IaaS, Microsoft (MSFT) and Oracle (ORCL). But CRM is the only pure player. Of course, there are other providers in SaaS and IaaS areas, but I don't see anything significant. I'm looking.