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Red Hat acquires Qumranet

Red Hat, Inc. (NYSE: RHT), the world’s leading provider of open source solutions, today announced the acquisition of Qumranet, Inc. The acquisition includes Qumranet’s virtualization solutions, including its KVM (Kernel Virtual Machine) platform and SolidICE offering, a virtual desktop infrastructure (VDI), which together present a comprehensive virtualization platform for enterprise customers.

In addition, Qumranet’s talented team of professionals that develop, test and support Qumranet solutions, and its leaders of the open source community KVM project, will join Red Hat.

This acquisition advances Red Hat’s efforts to transform the virtualization market and drive comprehensive virtualization technology and management solutions into every system, from servers to desktops, on both Linux and Windows. Red Hat can now deliver what virtualization-only vendors cannot: a comprehensive solution integrated with the operating system, which can drive down IT costs while simultaneously enhancing the flexibility and responsiveness of IT infrastructure.

This acquisition adds to Red Hat’s differentiated and comprehensive solutions portfolio for the virtual enterprise, enhancing the opportunities for customers to improve the productivity and reduce the cost of IT infrastructure. Red Hat’s solution components include:

• The industry’s leading open source operating system, Red Hat Enterprise Linux, with built-in virtualization.
• An embedded hypervisor which supports all major operating systems
• A consistent management platform for both virtual and physical systems, uniting servers, desktops, storage and networks
• A defining cloud and grid management solution
• Advanced, high-speed inter-application messaging
• High availability clustering solutions
• Integrated security infrastructure

The fact that Qumarnet has been acquired by Red Hat isn’t really all that surprising when one considers Red Hat’s previous statements about focusing heavily on KVM. It also tends to support the view that Red Hat, while remaining a partner with Citrix and the Xen community as a whole, wanted to control its own destiny a bit more closely.

With the addition of Qumranet’s technology, Red Hat will find itself in a position few other suppliers are in. They’ll have a powerful operating system, development environments, database software, virtualization technology of several types and access to a dynamic open source community. Only Oracle and Sun have a similar portfolio.

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Are you serious? Are you kidding? VMware plan to buy Redhat?

According to MSNBC, open source software supplier Red Hat is racking up growth figures that much of techdom might envy. Sales rose 32%, to $157 million, in the quarter ended May 31, and profits climbed a respectable 7%.

One possible suitor is virtualization software company VMware (VMW), which some industry executives says is on the lookout for an operating system to add to its portfolio. Former VMware CEO Diane Greene, ousted by her board in July, had set up meetings with Red Hat in part to position VMware as friendly to open source and possibly as a prelude to a buyout discussion, according to a person familiar with the conversations. Representatives of both companies declined to comment.

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While Novell introduced SUSE Linux Enterprise 10 SP2, Redhat released the second update to Red Hat Enterprise Linux 5. The Redhat Enterprise Linux 5.2 Update brings broad refresh of hardware support and improved quality, combined with new features and enhancements in areas such as virtualization, desktop, networking, storage & clustering and security.

Enterprise Linux 5.2 Highlights

Red Hat Enterprise Linux 5.2 enhancements we are releasing are primarily focused in six areas:

• Virtualization
• Laptop and Desktop improvements
• Encryption and Security
• Cluster & Storage Enhancements
• Networking & IPv6 Enablement
• Servicability

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Red Hat is proving you can make money from Open Source and Linux.

Red Hat Inc. said Thursday its fourth-quarter profit rose 7 percent as the software distributor worked to expand the footprint of its open source products with costly internal investments.

New CEO James Whitehurst believes Red Hat is now ready to continue rapid growth through an economic downturn as the Raleigh-based company pitches its free software to organizations looking to cut their tech budgets.

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