Feeds

Could Red Hat be Novell's spouse?

Jim Whitehurst says his firm will 'look at anything'

The essential guide to IT transformation

Red Hat's CEO Jim Whitehurst declined to dismiss the possibility of buying out his company's Linux rival Novell in a meeting with reporters in London today.

Whitehurst said the open source software vendor was eyeing up possible virtualisation and cloud acquisitions but added nothing was on the horizon yet.

On the subject of Novell, which is currently seeking a suitor among up to 20 different prospective buyers, Red Hat's boss said:

"Given we’re Novell’s competitor I could make some snide comments about it… but then I’ll feel bad and will have to call Ron [Hovsepian] and apologise," he said.

"I’ll just say I can’t comment on anything specific going on out there but we’ll look at anything."

Meanwhile, Red Hat is ambitiously pursuing Whitehurst's goal of making the vendor a $5bn company, which pulled in revenues of $750m in 2009, in the next few years.

"It will take a long time," he said. "We want to be a $1bn company by next year but we need to generate bookings this year… What we do just dramatically reduces revenue in the categories we’re in.

"With the open source model we are still one of the most profitable software companies in terms of the margins. The power of the model allows us to generate a order of magnitude greater value for our customers and still be profitable.

"But again our shadow’s bigger than our profit would suggest. I think we can get to $5bn but it will take us a few years."

And as for Red Hat's flirtations around cloud and virtualisation firms, Whitehurst said: "You will likely see us increase our acquisitions. We’re highly cashflow positive.

"There’s nothing upcoming but we’re actively looking at our opportunities." ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
The Return of BSOD: Does ANYONE trust Microsoft patches?
Sysadmins, you're either fighting fires or seen as incompetents now
Munich considers dumping Linux for ... GULP ... Windows!
Give a penguinista a hug, the Outlook's not good for open source's poster child
Intel's Raspberry Pi rival Galileo can now run Windows
Behold the Internet of Things. Wintel Things
Linux Foundation says many Linux admins and engineers are certifiable
Floats exam program to help IT employers lock up talent
Microsoft cries UNINSTALL in the wake of Blue Screens of Death™
Cache crash causes contained choloric calamity
Eat up Martha! Microsoft slings handwriting recog into OneNote on Android
Freehand input on non-Windows kit for the first time
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Rethinking backup and recovery in the modern data center
Combining intelligence, operational analytics, and automation to enable efficient, data-driven IT organizations using the HP ABR approach.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.