vCloud Air, formerly known as vCloud Hybrid Service, allows organisations to extend their vSphere environments into the public cloud or to create a pure public cloud environment.
"Australian businesses want the ability to shift workloads between private and public clouds with no fuss, without their data becoming locked into one or the other," said VMware ANZ managing director Duncan Bennet.
In Australia, VMware will initially operate vCloud Air from Telstra data centres.
"This is all from a single management interface customers already know, with the control and the agility necessary to deliver high performance and results – a service offering we're excited to give our customers."
VMware's Duncan Bennet said "Eighty per cent of Australian enterprises already run VMware virtualised environments and this expanded partnership with Telstra will create an even smoother pathway to the cloud for customers adopting a hybrid model.
"The flexibility and freedom of VMware vCloud Air, coupled with the performance and resiliency of the Telstra network, will be a very exciting combination for organisations looking to a hybrid cloud solution."
The service complements and is compatible with those offered by VMware partners participating in the vCloud Air Network. The difference is that the new service is operated by VMware itself.
Companies including Data#3, Deloitte and Rackspace welcomed the announcement.
"We see vCloud Air's local availability as a momentous step forward for our 8-year partnership with VMware and hybrid cloud adoption in Australia and the Asia-Pacific region," said Rackspace ANZ director and general manager Angus Dorney.