When I left in early 2016, soon thereafter VMware ditched that partnership in favor of... IBM. No comment.
And now it's 2020, IBM is far behind everyone else in the cloud, and VMware and Google are cranking along just fine. This partnership makes a ton of sense for both of them. AWS is eventually going to lose its "monopoly" over cloud (disclaimer: I was at AWS 2008-2014).
It gives me a good feeling. Especially for the very talented engineers that I met on both sides. Sometimes they have to put up with a ton of red tape and politics. At least this will make some of them smile.