The spin machine is fully deployed. . .
https://www.bizjournals.com/triangle/news/2018/12/11/ibm-exec-why-buying-red-hat-is-better-than.html
7 replies (most recent on top)
@rdb, is there an existing technology that let you run containers on top of an hypervisor without an OS? Makes no sense to me... Why not skip the hypervisor all together and run your containers directly on bare-metal?
I'm totally amazed that each and every time IBM "buys" technology they immediately believe no other alternatives for a Customer exist. The reality is there's MANY competitive Red Hat alternatives ... and some of these Competitors will get stronger and become more relevant BECAUSE most Customers "dare not" use the IBM-RedHat alternative. IBM may state they want Red Hat to operate like a Switzerland however history is on my side saying this will not be the case. Man ... $34 Billion ... really!
@gup - except Red Hat is going to rapidly be irrelevant. If you can directly run containers on a hypervisor without an OS, why do you need Linux? Ginni wants to return to the pre-Lou era when IBM was a server/platform/os company. And all that stuff is commodity. Why do you need a bloated monstrosity with 15 layers of redundant management and multiple overlays doing the same job to sell commodity open source stuff?
If only the Red Hat CEO would become IBM's CEO.... Maybe IBM would finally reclaim some relevance.
The real price is a complete end to investment in all other extisting product lines...at least those they don't sell off.
IBM = CA
Customers should ask for roadmap updates with committed dates. Don't accept the disclaimers - those are there to buy time to get one more s&s renewal or pad one more ela.
it should read Red Hat buys IBM
This is for you folks who may hit the paywall:
As IBM moves forward with its $34 billion deal to buy Red Hat, its executives continue to defend the acquisition.
The deal, announced in October, brings together two of the Triangle’s biggest employers – IBM, which has one of the largest footprints in Research Triangle Park, and Red Hat, which occupies downtown Raleigh’s Red Hat Tower.
But, as Mark Foster, senior vice president of global business services, pointed out at a recent analyst conference, the pair have long been partners. So why buy Red Hat and not just expand on the existing partnership?
“From our perspective, the fact was that by owning them, first of all, clearly we gain significantly more, even greater access to their tools, to their development, to where their business is going over the long term,” he said Dec. 5 at the Wells Fargo Tech Summit. “We are able to embed that skills methodology into our teams and our people in a way that, frankly, goes far beyond a normal partnership model.”
As IBM believes hybrid multicloud is where the industry is heading, “this is a very strong, clear statement from us that we are in that game and we’re in that game to win.”
Red Hat, in securities filings this week, is once again urging shareholders to vote Jan. 16 in favor of the deal. Red Hat executives have repeatedly restated IBM’s pledge to maintain Red Hat’s independence and culture – as well as its sizable presence in downtown Raleigh.
That’s as CEOs of other technology firms keep saying IBM’s massive investment validates their own commitments to open-source software.
“The move by IBM underscores the importance of open-source software as strategic data center technology,” Tom Reilly, CEO of Cloudera, said last week. “But the real significance of the deal from an industry point of view is its reinforcement of the macro trend towards hybrid and private cloud environments.”
“The world is aligning to the view that we’ve been taking for the last five or six years around this hybrid opportunity,” VMWare CEO Patrick Gelsinger said on his company’s own earnings call. “And we’re really uniquely positioned in the middle of that to represent this hybrid cloud opportunity.”
"It is very unexpected ... The joke I’ve been telling all morning is, 'I think they got the headline wrong – it should read Red Hat buys IBM!' But no, as a transaction it validates what Red Hat has been doing for the last 25 years and is a huge compliment to the team at Red Hat and to the whole open source software movement."
Red Hat stockholders as of the close of business Tuesday will be allowed to vote at the special meeting in January, according to securities filings. The deal, according to Red Hat, is still on track to close late next year.