IBM Announces Deal To Acquire Red Hat At $34 Billion

[atmartens]

34 billion divided with 12'000 employees, thats 2.8 million dollars per employee. If the payout is that big, then Linus Torvalds is due another *hefty* payout by Red Hat. Having read Linus' biography, the previous payout of x-million dollars worth of stock was the biggest payout in his career.

That's not how this works. The $34 billion go to the shareholders, who may or may not be employees of Red Hat.

[L_A_G]

Seeing how the old fashion "Big Iron" approach has been becoming more and more niche as time goes on this really is just a continuation of IBM investing into the future rather than the past. If companies want to use x86 and not Power! then software is the only way IBM can get their foot in the door in any major way.

Hell, if IBM can substantially grow the Red Hat business it may not bode very well for the hardware division. According to current and former employees I've spoken to over the years IBM upper management has been talking about pivoting the company more and more towards becoming a pure software company. However the issue with this is that not even their own employees want to use most of their internal tools so trying to sell them as a product to the general public may be more than what their sales departments can handle.

As holocaust victims can say IBM is not good company, i hoped they will diminish, but they transformer them-self to sect similar to Accenture and because they are unable in such environment develop something, they are trying to buy something..

As much as I'm not a fan of "Big Blue", the whole "IBM made the holocaust possible"-thing is kind of bung... The subsidiary in question was nationalized years before the holocaust began so IBM couldn't have done anything even if they wanted to.

[Anvil]

wonder what this means for FEDORA, but my guess it'll still be kept like when SUSE was bought out recently . RIP Redhat

[Candy]

As I work for a similar size company... All I can say is this: Let the mass layoffs beginn...

[vegabook]

34 beellion for a company which has no proprietary software? That's a huge number and should attract a lot more people to open source. A great thing in my opinion.

Mark Shuttleworth must be cracking the champagne 🍾🍾

[finalzone]

wonder what this means for FEDORA, but my guess it'll still be kept like when SUSE was bought out recently . RIP Redhat

Not much change other than better resource. Red Hat still retains its independence under IBM umbrella. Time will tell.

[Anvil]

Not much change other than better resource. Red Hat still retains its independence under IBM umbrella. Time will tell.

lets hope Fedora actually gets better for starters assuming thats Kept, but wont this also affect Say Gnome an other Redhat sponsored projects

[AndyChow]

The type of customer's IBM has typically serviced like to sign all-inclusive service contracts, i.e., IBM please handle all service of hardware and software stacks on our servers. The buyout just makes that type of contract more appealing. And as was mentioned earlier, IBM was one of the biggest corporate early sponsors of Linux in both money and developer resources. I really don't see them throwing all of that out the window.

Yes. Came here to say that. IBM had a business model that few, or no, other company has. With SAP, Salesforce, Oracle, etc, you sign a contract for a small (comparatively) initial cost. Then, when there are problems, and there are always problems, you pay pay pay.

With IBM, when there are problems, they handle it, no extra charge. Love them or hate them, IBM might be expensive, but they provide outstanding service.

I competed for years with IBM in the human resource outsourcing field. When we won customers from them, it was mostly customers IBM no longer wanted. We were more than happy to take the client and bill them a lot more for each unforeseen problem.

[AdamOne]

That's not how this works. The $34 billion go to the shareholders, who may or may not be employees of Red Hat.

Yeah, yeah, good enough.

[pcxmac]

Resistance is futile ! All your base are belong to us