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IBM Closes Acquisition of Red Hat for $34B

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Re: IBM Closes Acquisition of Red Hat for $34B

#31
post #28

I really hope IBM can keep their fingers out of Red Hat, if not, it does not matter how many promises they make, they will run it into the ground. If they actually manage to keep away, and let their cloud business grow without interference; they actually have a chance to grab a big piece of the cloud business.

You don't spend $34B to not interfere.

Re: IBM Closes Acquisition of Red Hat for $34B

#32

Does this acquisition open up the market for a Linux company to move into the Linux enterprise space? Maybe Ubuntu could pivot into this space.

Red Hat's business model and open culture isn't changing. We will remain independent and I look at this as an opportunity for more people to engage with our stellar support and field teams.

For some context you can read the email our CEO sent out to the whole company today: https://www.redhat.com/en/blog/jim-whitehurst-email-red-hatt...

Re: IBM Closes Acquisition of Red Hat for $34B

#33
I don't doubt the committment of RH to Open source, but looking at IBMs rather chequered history with regards to how they look to minimize costs, there must be some concern that next time there's a bad set of results, executive management will be looking for cost savings.

There are plenty of examples https://www.thelayoff.com/international-business-machines

specific example related to RH https://www.thelayoff.com/t/ZJ4vNfo

TBH I hope I'm wrong and that IBM corporate leaves RH alone long term, but that's not the general trend with acquisitions...

Re: IBM Closes Acquisition of Red Hat for $34B

#34
post #31
post #28

I really hope IBM can keep their fingers out of Red Hat, if not, it does not matter how many promises they make, they will run it into the ground. If they actually manage to keep away, and let their cloud business grow without interference; they actually have a chance to grab a big piece of the cloud business.

You don't spend $34B to not interfere.

I respectfully disagree - I'm a Red Hatter so you can take that for what it's worth. To me the 34B buys IBM the real estate in the open hybrid cloud market which Red Hat has built up in the last 5 years. That is part of a large and rapidly growing market. If IBM interferes with Red Hat they will likely squander the value of what we've built. If they foster what Red Hat did to win that critical ground then their 34B could stand to increase substantially.

Re: IBM Closes Acquisition of Red Hat for $34B

#35

This is a great move for both companies. The doom and gloom in this thread is depressing. RedHat gets access to IBMs massive sales machine and IBM picks up a number of key technologies. Win-win.

People are horrified because IBM is a sinking ship and a monolithic big business that will attempt to look at everything from a fiscal perspective with no real love for what made Redhat great. Is IBM really going to give Systemd, Fedora, the full time kernel maintainers a break and pay them to make “unprofitable” software?

We’re also seeing the end of independence that was making the open source model work with dignity. It was a huge milestone for the company and many people view this as a regression.

Re: IBM Closes Acquisition of Red Hat for $34B

#37
post #31

Earlier quoted context omitted.

You don't spend $34B to not interfere.

I respectfully disagree - I'm a Red Hatter so you can take that for what it's worth. To me the 34B buys IBM the real estate in the open hybrid cloud market which Red Hat has built up in the last 5 years. That is part of a large and rapidly growing market. If IBM interferes with Red Hat they will likely squander the value of what we've built. If they foster what Red Hat did to win that critical ground then their 34B c…

They’re IBM, of course they will squander it. How do you think they went from king of the hill to grumbling behemoth that is constantly behind the times?

As someone who has worked at a company like that before I can foresee continual IBM management changes until you get the right combination of buiness minded leadership that will can everything at Redhat that isn’t directly related to developing what they consider obvious money makers.

Re: IBM Closes Acquisition of Red Hat for $34B

#38
post #11

Feel sad, I know it's just the way things go in big business, but watching a prime example of a fiscally successful company built on open source who has committed so many resources to kernel development and making the Linux community better get bought by a beached whale like IBM just shakes me.

I mean, Red Hat has 12,000 employees already (granted IBM has 200K - edit 350K, see reply). Red Hat is not a small start-up.

ibm has 350k employees.

Re: IBM Closes Acquisition of Red Hat for $34B

#39

Does this acquisition open up the market for a Linux company to move into the Linux enterprise space? Maybe Ubuntu could pivot into this space.

Red Hat's business model and open culture isn't changing. We will remain independent and I look at this as an opportunity for more people to engage with our stellar support and field teams. For some context you can read the email our CEO sent out to the whole company today: https://www.redhat.com/en/blog/jim-whitehurst-email-red-hatt...

I think there's some confusion here: your company just got bought, which means that you stopped being independent.

Re: IBM Closes Acquisition of Red Hat for $34B

#40

This is a great move for both companies. The doom and gloom in this thread is depressing. RedHat gets access to IBMs massive sales machine and IBM picks up a number of key technologies. Win-win.

People are horrified because IBM is a sinking ship and a monolithic big business that will attempt to look at everything from a fiscal perspective with no real love for what made Redhat great. Is IBM really going to give Systemd, Fedora, the full time kernel maintainers a break and pay them to make “unprofitable” software? We’re also seeing the end of independence that was making the open source model work with digni…

What's the antibody response? Can someone else pick up the mantle of wrapping Fedora in an Enterprise offering?
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