IBM’s acquisition of Red Hat is huge news for the Linux world

IBM’s acquisition of Red Hat is huge news for the Linux world 1

IBM today announced it would be acquiring iconic Linux firm Red Hat in a $34 billion all-cash deal.

According to a joint statement issued by both companies, IBM will pay $190 for each share of Red Hat, with Big Blue intending to absorb its latest purchase into its Hybrid Cloud division.

This move is huge for IBM. After spending the past ten years delving into the worlds of artificial intelligence (via Watson) and blockchain with little to show for it, the company is returning to an area where it’s traditionally excelled — enterprise services.

Red Hat, although not quite a household name, is an undeniably significant company, with lots of fingers in lots of pies, especially when it comes to cloud computing and the Linux ecosystem.

The gem in its crown is arguably the platform-as-a-service (PaaS) provider OpenShift, which directly competes with the Salesforce-owned Heroku and Google App Engine. It also owns and develops Red Hat Enterprise Linux (RHEL), which is employed across several commercial settings, including workstations, servers, and supercomputers.

It’s also worth noting that this is by no means an exhaustive list. Over its 25 years, Red Hat has invested heavily in a variety of enterprise-friendly technologies — from containers and serverless computing, to storage and big data file systems. Thanks to this acquisition, IBM is getting its hands on all of them.

Beyond the two companies, this acquisition has massive implications for the Linux ecosystem.

After all, Red Hat is an enthusiastic contributor to several major Linux projects, playing a role in developing Libre Office and GNOME, as well as the Kernel itself.

For context, in 2016, Red Hat was the second most prolific contributor to the Linux Kernel, narrowly trailing silicon mega-titan Intel.

Understandably, many are wondering what this acquisition means for these projects. After all, IBM is no stranger to shifting priorities, and it isn’t afraid to scale back its efforts and workforce as the market dictates. Just ask the OS/2 team.

I’m no clairvoyant, but I don’t think there’s much to worry about here. For starters, both Red Hat and IBM has emphatically stressed that for Red Hat’s open source contributions, things will be very much business as usual. Here’s the pertinent paragraph from the press release:

“With this acquisition, IBM will remain committed to Red Hat’s open governance, open source contributions, participation in the open source community and development model, and fostering its widespread developer ecosystem. In addition, IBM and Red Hat will remain committed to the continued freedom of open source, via such efforts as Patent Promise, GPL Cooperation Commitment, the Open Invention Network and the LOT Network.”

Worried Linux enthusiasts and developers can also look at IBM’s track record, which is impressive.

Big Blue has historically been a stalwart contributor to Linux and several Linux-related projects. The company first announced its support for the free operating system in 1999, back when Microsoft Windows reigned triumphant across both desktop and server, and Linux was nowhere near as mature as it is today.

By 2008, IBM employed around 600 developers working across over 100 Linux projects, including Xen, the Linux Toolchain, Apache, Eclipse, and the kernel itself.

And weirdly enough, back in 2001, it hired Star Trek: Deep Space Nine actor Avery Brooks as part of a $210 million advertising blitz, where he narrated an advertisement touting the company’s enthusiasm for Linux.

[embedded content]

In short, Linux is in IBM’s lifeblood. It has been for an extremely long time. Over the past nineteen years, the company has spent millions — possibly billions — supporting the Linux ecosystem by donating money and developer time.

While it didn’t exactly do this from a place of pure altruism, the fact remains that IBM has had an undeniably positive impact on Linux. Moving forward, it’ll be interesting to see what the acquisition of Red Hat means for iconic tech company, as well for the broader Linux ecosystem.

IBM’s acquisition of Red Hat is huge news for the Linux world 2
About the author

E-Crypto News was developed to assist all cryptocurrency investors in developing profitable cryptocurrency portfolios through the provision of timely and much-needed information. Investments in cryptocurrency require a level of detail, sensitivity, and accuracy that isn’t required in any other market and as such, we’ve developed our databases to help fill in information gaps.

Related Posts

E-Crypto News Executive Interviews



bitcoin
Bitcoin (BTC) $ 47,657.00
ethereum
Ethereum (ETH) $ 3,582.49
cardano
Cardano (ADA) $ 2.43
tether
Tether (USDT) $ 1.00
binance-coin
Binance Coin (BNB) $ 423.50
xrp
XRP (XRP) $ 1.10
solana
Solana (SOL) $ 154.50
polkadot
Polkadot (DOT) $ 34.84
dogecoin
Dogecoin (DOGE) $ 0.239806
usd-coin
USD Coin (USDC) $ 1.00
USD
EUR
GBP
bitcoinBitcoin (BTC)
$ 47,657.00
ethereumEthereum (ETH)
$ 3,582.49
tetherTether (USDT)
$ 1.00
bitcoin-cashBitcoin Cash (BCH)
$ 632.83
litecoinLitecoin (LTC)
$ 187.67
bitcoinBitcoin (BTC)
40.306,15
ethereumEthereum (ETH)
3.029,91
tetherTether (USDT)
0,845755
bitcoin-cashBitcoin Cash (BCH)
535,22
litecoinLitecoin (LTC)
158,72
bitcoinBitcoin (BTC)
34,349.97
ethereumEthereum (ETH)
2,582.17
tetherTether (USDT)
0.720775
bitcoin-cashBitcoin Cash (BCH)
456.13
litecoinLitecoin (LTC)
135.27

Automated trading with HaasBot Crypto Trading Bots

Crypto Scams

Crypto Scams
Crypto Scams Still Persistent In 2021, SEC Warns About Red Flags To Watch
September 9, 2021
Poly Network
Here’s How Hackers Stole Over $600 million in the Poly Network Attack
August 12, 2021
The World’s Most Infamous Crypto Hacks and Scams
July 31, 2021
Cryptocurrency Exchanges
Cryptocurrency Exchanges and the Plague of Scams and Bans
June 29, 2021
What Role Do Cryptocurrencies Play In The Era Of Ransomware Attacks?
June 9, 2021

Blockchain/Cryptocurrency Questions and Answers

Beginner’s Guide to Investing in Cryptocurrency
August 9, 2021
Short-Sell Cryptocurrency
How to Short-Sell Cryptocurrency: A Brief Overview
July 17, 2021
Klaytn
What Is Klaytn (KLAY) And How Does It Work?
July 16, 2021
Cryptocurrencies
Our Crypto Roundup Interview Asks- Do Cryptocurrencies Have a Future?
July 15, 2021
Solana
What Is Solana (SOL) And How Does It Work?
June 26, 2021


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin48,168 0.91 % 0.43 % 4.52 %
Ethereum3,628.6 1.08 % 3.35 % 3.77 %
Cardano2.460 1.06 % 4.67 % 0.74 %
Tether0.9986 0.03 % 0.08 % 0.23 %
Binance Coin427.26 0.72 % 2.20 % 3.20 %
XRP1.110 0.67 % 0.60 % 0.04 %
Solana156.16 0.35 % 3.42 % 17.52 %
Polkadot30.87 2.19 % 17.29 % 10.73 %
Dogecoin0.2422 0.72 % 1.40 % 5.61 %
USD Coin1.000 0.15 % 0.14 % 0.15 %

bitcoin
Bitcoin (BTC) $ 47,657.00
ethereum
Ethereum (ETH) $ 3,582.49
cardano
Cardano (ADA) $ 2.43
tether
Tether (USDT) $ 1.00
binance-coin
Binance Coin (BNB) $ 423.50
xrp
XRP (XRP) $ 1.10
solana
Solana (SOL) $ 154.50
polkadot
Polkadot (DOT) $ 34.84
dogecoin
Dogecoin (DOGE) $ 0.239806
usd-coin
USD Coin (USDC) $ 1.00