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they've been partnering for years by irishrock
on what people call the small plan markt (under $25mm). this is for Sep-Ira and individual 401k's so it won't affect much.
Dirty little secret...people don't want Vanguard so much as they want low cost index funds...Fidelity/Blackrock/state Street are often lower in cost and we use them more than Vanguard...but Vanguard has a brand.
On larger plans, Vanguard's Recordkeeping isn't known for being all that great. When we use their funds, we often do it on other Recordkeeper platforms.