Greene was replaced as president and CEO by Paul Maritz, a former Microsoft (NSDQ:MSFT) exec who joined EMC when that company acquired software startup Pi Corp. in February.
Storage giant EMC (NYSE:EMC), which acquired VMware in 2004, holds an 85-percent stake in the company despite spinning off part of it in a successful IPO last August.
With the switch in leadership, Maritz has also joined the VMware board.
Joe Tucci, chairman of VMware's board and chairman, president, and CEO of EMC, said in a statement, "As one of the founders and the leader of VMware, Diane guided the creation and development of a company that is changing the way that people think about computing. The Board thanks her for her considerable contributions to VMware and wishes her every success in the future. . . .(Maritz) is a leader in the software industry. He has decades of experience building one of the greatest franchises in software history, Windows. Paul was instrumental as part of the core executive leadership team in building much of Microsoft's success."
Maritz retired from Microsoft in 2000 after 14 years during which he managed the development and marketing of such products as Windows 95, Windows NT, and database and other applications. "