Accordingly, IBM bought all of Red Hat’s popular and circulated common shares for $ 190 per share in cash, equivalent to the total equity value of about 34 billion. dollars.
The deal reshaped the cloud computing market for businesses. Red Hat’s open hybrid cloud technologies will now be combined with IBM’s scale and depth of innovation and expertise in each industry, as well as IBM’s business leadership in more. 175 countries. IBM and Red Hat will work together to accelerate innovation and innovation by providing a next generation multicloud hybrid platform. Based on open source technologies, such as Linux and Kubernetes, the platform will enable businesses to deploy, run and manage data and on-premises applications securely and on private cloud and multicloud (multi cloud).
Ginni Rometty - Chairman, Chairman and CEO of IBM said: " Businesses are entering the next chapter of digital initiatives, infrastructure modernization and migration. they download important work through private cloud and multicloud from multiple vendors, they need open, flexible technology to manage multicloud and hybrid cloud environments, and they need partners they can trust to managing and securing these systems IBM and Red Hat are well-suited to meet those needs As a leading hybrid cloud provider, we will help customers build and strengthen the platform. technology of their business for decades to come. ”
Under the deal from the deal, IBM will maintain Red Hat’s headquarters in Raleigh, North Carolina, along with Red Hat’s foundations, brands and practices. Red Hat will operate as a separate unit in IBM and will report its business results to IBM’s cloud computing and awareness solutions suite.
Both companies have built the leading cloud computing business for businesses with strong revenue growth, by supporting customers to transform their business models into the cloud.
IBM’s cloud revenue over the 12-month period until the first quarter of this year has increased to more than $ 19 billion. Red Hat’s acquisition is expected to contribute about two additional gross revenue growth points to IBM over a five-year period.
IBM reinforces Red Hat’s commitment to open source and neutrality
IBM and Red Hat have deep open source values and experience. The two companies that have worked together for more than 20 years to turn open source become the default choice for modern IT solutions, including open governance and support of open source projects and communities through continuous contribution.
With Red Hat, IBM acquired one of the most important software companies in the IT industry. IBM is committed to expanding and accelerating open source and hybrid cloud for businesses in the economic sectors, as well as preserving the independence and neutrality of Red Hat’s open source legacy.
Red Hat’s ongoing mission and commitment to open source will not change and Red Hat will continue to provide the choice and inherent flexibility for open and hybrid IT environments. Red Hat will also continue to build and expand partnerships, including large cloud service providers, such as Amazon Web Services, Microsoft Azure, Google Cloud and Alibaba.
IBM and Red Hat also share a strong commitment to social responsibility and a sense of purpose to apply technology and expertise to help solve some of the world’s most important social challenges. The two companies have pledged to expand this long-term commitment through new joint initiatives, addressing education and skills, civic and social needs and developing the Faculty workforce. Study, Technology, Engineering and Mathematics (STEM).
