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IBM acquires Red Hat
- mk89 8y agoI still fail to see how this will help Red Hat achieve "even more", as they claim in the statement. Sad day!
- deleted 8y ago[deleted]
- giiguughh 8y agoQuick, get ride of RHEL
- jraph 8y agoI see that Linus retiring from kernel development for a few days has indeed massive consequences. Also see https://news.ycombinator.com/item?id=18281465 https://news.ycombinator.com/item?id=18281465
- billwear 8y agoHonestly? I think IBM isn’t as relevant as they’d like to be, so they’re buying a Nike. They haven’t thought about the details, or worked out the long term. It could still go either way, but RH will chamge some over time. The real problem will probably be the perception, largely thanks to Oracle and it’s behavior with Sun. Does make you wonder if open source is a sustainable business model in the ultra-long-term.
- tannhaeuser 8y agoAm I the only one cautiously optimistic about this merger? RH has dominated Linux development for too long anyway, pushing systemd, namespaces, procfs and other crap, and making RHEL an overcomplicated jack-of-all-trades O/S which would only run with the specific gcc, glibc, and RH-specific kernel patches and build tools anyway (which is kind of the point of RHEL, and of IBM as well - PTF466735 anyone?). RH now being IBM will make people turn to Debian and derivatives such as Ubuntu and Devuan. The press release on redhat.com talks almost exclusively about "the cloud", but "the cloud" is, and always has been, antithetical to Unix (Unix being about site autonomy and simple tools working together). Why would indie devs and idealists want to contribute their efforts to enslaving people in "the cloud" anyway? "Cloud" stuff is also at odds with user freedom, and only seeks to make software runnable over shitty web frontends for undue profit and privacy invasion, when F/OSS software has been out there in abundance for over a decade. I hope we'll also see some love for the BSDs, and a renewed shared understanding that only POSIX and other standards guarantee long-term autonomy to both individuals and corporations alike.
- bipson 8y agoYour post is mixing arguments with idealism and very specific angles, e.g. on what the cloud is and how it works. I'm pretty sure RH means something completely different when they talk cloud. Most of all, I think your post comes down to "RH is bad, systemd is bad, [...] it should die anyway".
- M_Bakhtiari 8y ago> "the cloud" is, and always has been, antithetical to Unix (Unix being about site autonomy and simple tools working together) Does the physical hardware being on the actual premises or not really have anything to do with "site autonomy" or the granularity of the toolchains? In fact, can you even buy any viable physical hardware to run on your site that's not already a virtualised "cloud" with the real host OS firmly in the control of your corporate overlords, e.g. Intel ME and AMD PSP?
- dijit 8y agoI'm going to go against the grain here and say that the cloud is not simply 'server hosting' because, if that was the case we'd still be calling them VPS'. "The cloud" is a set of APIs for provisioning but also a bunch of managed services that surround your instances, pub/sub, DNS, load balancers, managed SQL. All of this is almost designed to be a vendor lock-in. However, disregarding the vendor lock-in: How does my OS integrating with AWS's APIs help my on-prem services?
- M_Bakhtiari 8y ago> "The cloud" is a set of APIs for provisioning but also a bunch of managed services that surround your instances, pub/sub, DNS, load balancers, managed SQL. All of this is almost designed to be a vendor lock-in. A lot of it is, but I strongly disagree that all of it is. Many of these are perfectly interchangeable with the exact same software (FOSS DBMS, web server, load balancer, etc.) running on a competitor's managed service, VPS or on your own premises. As for the services that aren't, I do think the IT architects and managers who agree to use them are absolutely crazy and ought to be fired. If all of them are fired, cloud providers would be forced to provide interoperable provisioning APIs and services or perish. > However, disregarding the vendor lock-in: How does my OS integrating with AWS's APIs help my on-prem services? I suppose it doesn't, but why should it? If you think they bloat up your local installation, maybe you can just not install the kernel modules/daemons/libraries in question.
- jlgaddis 8y agoI haven't made it through all of the comments on this thread yet but, in case it hasn't been mentioned, HN'ers who are using AWS may be interested in knowing that, Amazon Linux (i.e., the official Amazon Linux AMIs) also appears to mostly be a clone of RHEL. I can't be certain as I've just barely played with it but, from first appearances, it sure seemed very similar to RHEL and CentOS! I don't know if AWS is starting with RHEL and rebuilding everything from source and "re-branding" it like CentOS does or if they're starting with CentOS and then rebuilding and rebranding that -- or perhaps I'm completely incorrect and they aren't doing anything of the sort -- but any future changes or decisions (by IBM/Red Hat) that impact the development or future existence of CentOS could very well affect the future of Amazon Linux as well. That's certainly something to think about if you use the Amazon Linux distribution, just like I -- and, I imagine, a ton of other CentOS users -- am wondering right now about the future of CentOS. The good thing is that IBM is old and slow and any decisions that might affect the future existence of CentOS will likely take a few years to actually be realized. By that I mean that I don't think we'll see 7.x affected by this acquisition -- or probably even the first couple of point releases of CentOS 8 -- but, at this point, it's anybody's guess whether 8 will live out its normal/expected lifetime and still be around 10 years after release. As a side note, recently I've been thinking that an announcement of the release of 8.0 should be arriving any day now. I'm kinda curious if this acquisition has affected (delayed) the release of 8.0 in any way.
- jlgaddis 8y ago> release of 8.0 "beta of 8.0" is what I meant.
- nosjwshere 8y agoThe CoC makes so much more sense now
- mangecoeur 8y agoTomorrow: Microsoft acquires canonical :P
- anticensor 8y agoThe week after: Ubuntu LTS ditched, Ubuntu gets forced updates; https://github.com/Microsoft/Windows https://github.com/Microsoft/Windows returns 200 OK, containing Windows 10 source code :)
- pjmlp 8y agoSo basically we are getting the consolidation of companies that bother to spend money on FOSS. This is what happens when everyone expects to use the work of others for free without paying a dime. Eventually the companies go looking for buyers with deep enough pockets to support them. Apple, Google, IBM, Oracle, Microsoft, Facebook,..., take your pick.
- pmden 8y agoWe're in the middle of a rollout of CoreOS. We'll finish the deployment, but won't be going in on any of the differentiators like locksmith. If only to make our possible migration to either (1) Debian or (2) The inevitable fork of Container Linux easier.
- xte 8y agoTalking about procrastination I see a big problem for us user of FOSS desktop: RH need to be on GNU/Linux desktop just to play a SUN-like role. IBM have no need for that. So after Ubuntu ditch desktop and actual "Gnome disaster" I think things will go even worse, leaving us with no more generic GNU/Linux desktop for end-users, pushing us again on a small tech/geek niche, witch in turn push end-users, many "power users" included, to the cloud-mobile world so delete the last bastion of digital freedom we have. On desktop we have our system, we control our files, we decide when and how to upgrade, what to install or uninstall. On mobile vendor choose for us and we are powerless.
- wyoh 8y agoI am extremely worried for Fedora. I don't see IBM allowing RH to support us with servers and employees.
- Quequau 8y agoI have to wonder if folks aren't making more of this news that is really there. I mean besides a lot money changing hands and the usual process of IBM taking on a lot of employees and eventually laying many of them off. Could anyone venture to predict how this might effect the wider Linux ecosystem?
- deleted 8y ago[deleted]
- randiantech 8y agoThe only remaining question to know is how many layers of shit, unnecessary complexity will IBM add on top of the preexisting shit, unneccesary layers already added by Red Hat on their products.
- voodooranger 8y agosimple software that’s easy to use is anathema to companies like red hat. to the extent you can keep software simple, you won’t need red hat, pivotal, etc. these support companies have every incentive to make you dependent on them. think about that next time you reach for one of the technologies they peddle.
- balozi 8y agoRH + IBM is like making a bad thing much much worse.
- markznyc 8y agowhy so many people want to work on their own project when whey work at IBM, I bet the job must be so boring there
- Zolomon 8y agoNice spearfishing from [0]Mozilla: "Hey @RedHat employees - if working for @IBM isn't your idea of a good time, Mozilla has a bunch of interesting roles we're actively hiring for: https://careers.mozilla.org/listings/?team=Engineering" https://careers.mozilla.org/listings/?team=Engineering" [0] https://twitter.com/mike_conley/status/1056693061038825472?s=21 https://twitter.com/mike_conley/status/1056693061038825472?s...
- irrational 8y agoWe have been preparing to move from Windows to RHEL. We are pretty far along in the process, but there is still time to switch distros. This is primarily for database and web servers. Does anyone have any recommendations on a different distro?
- pinewurst 8y agoWondering how this is going to affect their recruiting pipeline. I submitted an application myself last week but now have absolutely no interest in being a guest at this feast.
- ironfootnz 8y agoThey failed at PC. They failed at Cloud They failed with Watson They failed with Bluemix They ...... with Redhat. In game theory, there are two types of players: Finite and Infinite. They are in the long run for sure and definitely they don't have pure strategy just a mixed one that doesn't go anywhere but stay where is it, until there's no one else playing the game anymore. IBM stands for ( I Bullshit Millions)
- ironfootnz 8y agoThey failed with watson, They failed with Bluemix They .... with Redhat. I don't think that's a good move from Redhat perspective.
- GDV 8y agoHi all, I'm a reporter with Bloomberg. I'm keen to track the acquisition and how it's being received, especially from the Red Hat end. If you're an employee and would like to chat, please reach out. I can keep it completely anonymous. gerritdevynck@protonmail.com Thank you!
- noja 8y ago.
- whydoineedthis 8y agooohhh..maybe we can finally get some laptop drivers written for linux!
- TechieKid 8y agoAssuming you are thinking of Thinkpads, IBM hasn't owned that since 2006.
- binaryapparatus 8y agoRed Hat already had too much grip on Linux, it will be interesting how this all plays when IBM steps in. In other shocking news Poeterring now works for IBM? Can we blame IBM for systemd in the future?
- kache_ 8y agoNew IBM hire, software developer. So far; I've taken part of 3 separate events where I was essentially sat through a presentation on why I should file patents (so they could farm IP off of me and my peers). IBM is a pathological company, and definitely not good news for open source.
- lucb1e 8y agoDid you expect this beforehand? I can imagine they try to show themselves as being innovative and stuff, and only after you join you get the company policy details on stuff like what you just mentioned.
- hn_throwaway_99 8y agoIBM is legendary for monetizing (many/most would say abusing) their patent portfolio. Be hard to miss this when getting hired. Here is a pretty famous story: https://www.forbes.com/asap/2002/0624/044.html https://www.forbes.com/asap/2002/0624/044.html
- chrisseaton 8y agoAll major tech companies file patents - shouldn't be surprising that it's going to be part of the job.
- deadmik3 8y agoRed hat even has like 2000 patents
- arendtio 8y agoHow about SAP? Aren't they a European company where software patents have no legal force? Do they fill patents for the US too?
- jacques_chester 8y agoEurope has software patents but (this was the advice given to me) the bar to obtain one is very high. Otherwise you may apply for patents in any country that has them. And indeed you need to file in each country where you want protection.
- cyphar 8y agoMy main worry is that this will end up like the Novell acquisition of SUSE. 10 years on and there is still scar tissue running through SUSE and openSUSE. Lots of bad blood was stirred up (and in many ways this is what cause the drop in interest in SUSE). IBM has hardly had the best history when it comes to treating its acquisitions (or its employees for that matter). On the other hand, I know quite a few folks who work for IBM and do great free software work. I want to think that RedHat would be treated like OzLabs -- a fairly isolated group that gets to continue working on all of the free software work they have always done. Here's hoping it works out. The survival of RedHat (or any large free software company) is very important to the longevity of the projects that we all depend on. [I work at SUSE, though I wasn't around during the Novell years I have heard plenty of horror stories. And I've used GroupWise.]
- sparkling 8y agoWow. Not good for Red Hat in the long-term. Feels like the Sun takeover by Oracle a few years ago. Maybe they can maintain their efficient internal structures, but i have the feeling they will get caught in IBM internal power struggles and politics and lose their hands-on problem solving power.
- deleted 8y ago[deleted]
- marenkay 8y agoI had to check twice if I hibernated and it was April 1st. TL;DR IBM just bought a controlling interest in almost every Linux based system on the planet, and thus all the big companies making money with Open Source.
- outbackcoder 8y agoThis is just as well, as I'm moving quite a bit to Net and OpenBSD. I'm tired of the Linux drama (systemd, CoC, balkanised standards, etc.) the broken stuff between distros. The slower changes for BSD development typically means more stable software. And ZFS. Plus, I actually prefer the ICS/BSD license for software in general, as it's maximally free. I've found over the years, that my BSD boxes are far and away more stable than their Linux counterparts. I do devops mostly, so stability and long-term availability are key factors. ext4 is getting long in the tooth and btrfs is nowhere near ZFS in stability or ability or I/O. I've never had a BSD system crash unexpectedly other than bad HW. I cannot say the same for Linux, even RHEL. I feel like a kid again in many ways, because I get to explore all the cool things the BSDs can do again. I'm even moving my Raspberry Pi over to NetBSD in the coming days as a prototype platform to explore BSD embedded possibilities.
- pokemongoaway 8y agoI've gotten into the habit of replying to hidden and/or censored comments on HN :) Would be sweet to see some competition by BSDs on mobile. Like an OpenBSD-Android. I guess that would take forever to get up to speed at this point, though... Hopefully manufacturers like OnePlus donate to the CopperHeadOS project so their hardware gets supported!
- timvisee 8y agoInteresting to see no comments praising this at all. I wonder what happened to RedHat for them to make this decision.
- zokier 8y ago50% premium on stock price, or $10B+ of extra money
- downrightmike 8y agoFuck. RH seemed like a good company, and for it to go into a slow wasting death at IBM is a bummer.
- pinewurst 8y agoHoping this is false! IBM is the worst of acquirers and they treat their people like utter garbage, especially the more experienced ones. If there's any truth to this, it means those in charge have basically given up - assuming growth is capped and/or that the big return of a buyout premium would counter recent stock pricing setbacks. (Update: now officially announced!)
- cmurf 8y ago"those in charge have basically given up" Yes but which company's leadership has given up? If this is the ordinary acquisition model, where the buying company (IBM) leadership stays in charge, then I say it's Red Hat's leadership that's given up. If it's the 'buy a company to get an entirely new leadership team' then it means those in charge of IBM might actually understand their dire situation. But I have no idea if they have that awareness.
- deleted 8y ago[deleted]
- achamayou 8y agoUnless the leadership happens to hold quite a lot of shares, their stance isn’t going to matter too much.
- Juliate 8y agoYour don't buy/hire a leadership team to tell them what to do (unless you happen to like to waste time and money). This happened at Apple (NeXT took over). Somehow with Disney/Pixar too if I'm not mistaken.
- achamayou 8y agoNo, but you can certainly buy a brand, a customer base, a bunch of product trademarks or even a patent portfolio. What happened with Apple and NeXT is the exception, not the rule.
- wereHamster 8y agoIs this event comparable to when Oracle bought Sun? Should we expect IBM to rip RH apart and alienate all existing customers?
- pinewurst 8y agoIt's worse, IMHO. IBM treats their customers as prey just like Oracle plus they treat their own people worse. I know people who've had the IBM licensing ninja squad show up at their door for surprise validation with a big bill as a result.
- jjoonathan 8y agoHowever nice their open source work is, RH licensing is already every bit as scummy as the others, at least if my coworkers in the department I used to work for are to be believed. Bait and switch freebies, "we need to run this sketchy shell script on your production system to determine how much money you owe us" nonsense, coming back with a ludicrously inaccurate bill that has to be argued over point-by-point with lawyers, the works.
- dihedron 8y ago> bait and switch freebies. How true.
- tejtm 8y agoWhen IBM bought Informix they replaced competent database support with aggressive DB2 marketing droids and presented us with an annual bill sixty times more than Informix had charged.
- KaiserPro 8y agoI have extensive dealings with both. Oracle are actually malicious. IBM are just incompetent. If you can find a good account manager inside IBM for your needs, then there is a chance that you'll be able to get on well. Otherwise you'll have to do what I did which is say publicly shame the head of department on a public platform, with their superiors listening in. Oracle however, have no shame.
- xienze 8y agoWow, if this is true, my condolences. I was a former IBMer and Red Hat folks, your world is about to be turned upside down.
- ausjke 8y agoThe only positive side I can think of is that, Microsoft did not buy RH before IBM does. This is a threat to OSS, sadly. Maybe Google or Amazon will buy Canonical soon?
- seanmcdirmid 8y agoI see IBM as being worse than MS as a company. They have steadily imploded over the last 20 years.
- lghh 8y agoI don't want Google or Amazon anywhere near Canonical.
- notyourwork 8y agoWhy?
- lghh 8y agoBecause more consolidation at the top is not good, and there is already far too much.
- actuator 8y agoI don't know about Google but Amazon should definitely not come near Canonical. Amazon is the worst among FAANG & Microsoft towards Open Source. Look at what they have given back to the community.
- pinewurst 8y agoI'm not sure Amazon would be worse than the likes of bloodsucking PE (private equity) owning Suse.
- dagw 8y agoMaybe Google or Amazon will buy Canonical soon? What makes you think that would be a good thing?
- bdavis__ 8y agoRedHat can be replicated. Not cheap, and it will take a few years. What do I mean? Well, IBM will slaughter this goose very quickly. Customers will experience vendor hate to a high degree. But, RH is based on open source. A replacement, open source friendly, can fork RHEL at any time.
- cb504 8y agoThis is great news for Canonical.
- Kye 8y agoUbuntu looked like it was taking over last time I paid attention. Every new cloud thing touted its pre-configured Ubuntu images, for example. Even Microsoft started with Ubuntu with WSL. Maybe that's why a still multi-billion dollar company decided to cash out even as Linux seems to be making inroads. People used Red Hat for the same reason they used IBM: it was corporate, understood corporate needs, and knew how to serve them. Now it seems like corporations are offloading IT to AWS and friends with Ubuntu. Everyone talks about what Canonical did for the desktop while missing what they did for friendly apt-based Linux on the server with SLAs and LTSes and support contracts from a company that speaks corporation. And if all the paying customers switch to Debian-based distributions... The writing is on the wall.
- rvense 8y agoRed Hat is a lot more than the distros, isn't it?
- jacques_chester 8y agoWorking for a competing company (Pivotal), I can say that yes, Red Hat does more than RHEL.
- tapoxi 8y agoYou'll see a lot of preconfigured CentOS images, not RHEL because of the licensing. Red Hat's recent (and sensible) play has been on-prem Kubernetes with OpenShift.
- OddMerlin 8y agoThis is terrible news. I hope its not true.
- codeCatalyst 8y agoRIP RedHat.
- foobarbazetc 8y agoNooooooooooo.
- utnick 8y agoWow this would be a very expensive purchase for IBM , redhat is currently worth about 20% of IBM's market cap
- claydavisss 8y agoRedHat had a good reputation as a place to work. Meanwhile, when I worked at IBM my health insurance contribution for a family of four was $1k a month
- pinewurst 8y agoPlus the wonderful 401k match once a year plus the "colocation" scandal etc, etc.
- MrStonedOne 8y agoBig if true >bloomberg.com if true
- gowthamgts12 8y agoOh my god
- mirekrusin 8y agoGood news for Canonical/Ubuntu I guess? I wonder how Linux distro popularity will plot out in next few months.
- donedealomg 8y agoMicrosoft will probably buy Ubuntu now Canonical is basically bankrupt
- hawski 8y agoNow I wonder who will buy Canonical. If/when Shuttleworth will be tired of running it I assume it also will happen. Maybe Microsoft to continue their open-source hat-trick.
- gtycomb 8y agoI use Fedora Linux on my laptop. What does this mean for the Fedora Project? Any thoughts on an alternate OS with a lesser memory footprint than Fedora? It takes about 1 GB to boot up Fedora 27 now. And what's the future for CentOS?
- mixmastamyk 8y agoNot sure it is time to run yet, but I enjoy using Ubuntu Mate. Xubuntu is a low mem choice as well.
- tomsmeding 8y agoAs for alternate Linux distributions, I don't know how similar you want to stay to Fedora, but my current setup would surely conform to your stated requirements: Arch linux, with i3 as window manager. I use st as my terminal emulator. All together, the memory footprint is minimal, and it makes my not-all-that-low laptop specs shine far more than a heavier distribution would have. If you want something similar to Fedora, dunno. I believe the desktop interface is a big part of the memory usage of most distributions, so unless I'm mistaken in that, wanting low memory usage as well as a nice interface is going to be difficult.
- megous 8y agoI also use this, and memory footprint is ~100MiB, mostly on the Xorg side. i3 itself + various other components is ~20MiB total.
- bpye 8y agoHave you tried sway instead of i3? Any reason you've stuck to i3 with X11 instead or just no reason to change?
- megous 8y agoNo reason to change. Though I might try it on one of my Orange Pi's one day. Does sway support OpenGL ES 2.0? EDIT: Actually I probably use a few things that would need to be modified to work, like screencast recording via some custom gst-launch command, that depend on X in a non-trivial way.
- jpdb 8y agoI'm a fan of Red Hat. I am a Red Hat Certified Engineer and contemplating working towards the architect certification. When I heard they aquired the company behind Ansible a few years ago I was excited. If this deal goes through I'll be super disappointed.
- donedealomg 8y agowww.redhat.com it's a done deal, sorry for your loss
- ddavis 8y agoTerrible news for scientific computing :(
- AdmiralAsshat 8y agoThere cannot be a single Red Hat employee outside of RH's board of directors that thinks this would be a good move for Red Hat.
- andrewstuart2 8y agoAs a Red Hat employee (opinions my own, not Red Hat's, etc) and though not involved in any discussions like this, I can see some potential for it being a good move. There's a lot of work being done to a) move things from mainframe to distributed and b) help people squeeze the last bits of utility out of their mainframes. That requires knowledge on both sides of the house. The world is going to open-source distributed systems built on commodity hardware, which Red Hat has done a great job of building a business model around. For old established companies, though, the migration is a lot of work, and there are _definitely_ still plenty of large companies who have purchased/leased mainframes for long periods of time, and would like to modernize, but also can't afford to throw everything away and rebuild from scratch. There's a lot of work being done already between the two companies to run Go, Docker, Kubernetes, etc, on mainframe, and for companies with mainframe resources, being able to get a little more utility out of those sunk costs is very attractive, and something Red Hat's expertise has (and would continue to, presumably) help accomplish. That being said, I'm pretty surprised at the news, and I'll be watching closely to see how things go.
- btown 8y agoThis is the most positive comment I've seen in this thread. To the extent that the ensuing development effort finds bugs in container orchestration systems, creates new features, creates new abilities to manage services on "hybrid" private-cloud-plus-mainframe systems, helps to modernize old-school businesses that run infrastructure the global economy relies upon... this could actually be a very good thing for open source and future investment therein. Skepticism is healthy and warranted, but this could be a good match.
- neuromantik8086 8y agoIt's also worth pointing out that Red Hat (and Big Banks) have been desperately trying to train new mainframe operators with limited success due to the shift to distributed, to the extent that they've even been giving money to select colleges specifically to develop mainframe-centric curriculum.
- crb002 8y agoThis will only work out if IBM beefs up it's data centers to clone AWS (Lambda, Batch, S3, RDS, SQS, Fargate), gobbles Netifly, then puts mainframe DB2 in the cloud next to commodity servers. Also needs to open the ZOS toolchain and get a modern syntax and tooling around COBOL.
- delfinom 8y agoTried IBM cloud when it was "released". 50% of the portal pages were failing due to their own cross origin policies. Only a idiot would touch such an incompetent cloud system.
- whoisjuan 8y agoThis has been my experience too, and not when it was released. I was playing with some of their APIs last month and it was horrible: CORS issues, high latency, random failures or server errors for no reason.
- deleted 8y ago[deleted]
- bengalister 8y agoI worked for a company that used bluemix PAAS (cloudfoundry based back in 2016). We were early adopters(customers), the service was not really stable at that time (but we were not in production yet) but it improved and ended up quite stable before we left for different reasons. I think I preferred (cost aside) their PAAS offering to some competitors like AWS beanstalk.
- exabrial 8y agoPlease no.
- chris_wot 8y agoOh shit. This is one of the worst things I can imagine.
- IronBacon 8y agoWell, I can easily imagine something worse, like for example Oracle buying it... ^__^;
- exabrial 8y agoCan the shareholders block this somehow?
- johannes1234321 8y agoSure, those are the ones having to sell their shares to IBM, but IBM would pay a premium and before anouncement discuss with key investors.
- tialaramex 8y agoFor a large public corporation usually a clear majority of shares are held as pure investment by big institutional investors like pension companies. Their goal is to turn a small amount of money into a large amount of money without too much risk. So they have no reason to block this sort of deal. Moreover, such companies are often desperate to minimise overheads on operations. Once upon a time they'd employ dozens of specialists, now they're relying on computer models as much as possible to reduce costs and don't much care about what's actually driving the price changes that the model is looking at. Boards at big companies actually now know this. Suppose you're the board of a big corp and you'd like $10M each even though you didn't do a good job? Just write up paperwork saying you propose that you get paid $10M extra each because of diddly-dee, put it up for a vote by shareholders with a recommendation that they vote "Yes". A few smaller shareholders are paying attention, they'll vote "No". The big institutions are entirely on auto-pilot, and will follow your "Yes" recommendation, your vote passes, you now get $10M with no effort. Giving the board a pile of money for no reason might bankrupt the company. Not your problem, the shareholders voted for it. For the pension company making your shareholders $10 and then asking for $1 to cover overheads from actual specialists (10%) is seen as worse than making your shareholders $8 and then asking for 10¢ to cover overheads from a few pencil pushers (1.25%) even though in the first scenario the shareholder kept $9 and in the second they only got $7.90. Nobody wants to pay 10%. The result was foreseeable but it's hard to say if it could have been prevented. The Red Hat board will recommend shareholders accept the offer. Big institutions will (and in this case in my opinion quite rightly) automatically agree and so it doesn't matter what a handful of small private shareholders do.
- Tehchops 8y agoRIP Red Hat Linux. Can't think of any company I'd want less to be a steward of CentOS upstream. Looks like Ubuntu is about to get much more serious consideration for production workloads.
- downrightmike 8y agoDupe https://news.ycombinator.com/item?id=18321937 https://news.ycombinator.com/item?id=18321937
- mrkstu 8y agoIf IBM has one brain cell left, they'll pull a NeXT/Apple merger and let Red Hat executives start running the combined company. That is the one path to a real future for IBM instead of its slow decline into complete irrelevance.
- imroot 8y agoGinny has drained the life out of IBM -- and not in a good way.
- pinewurst 8y agoThat's a positive scenario but I don't see Ginni Rometty relinquishing control voluntarily. The IBM board has given no signs of dissatisfaction with her performance.
- jarym 8y agoRH are good at a LOT of things but sales remains a bit of a weak point compared to Oracle and to a lesser degree IBM. Hopefully the RH guys can bring back a focus on technology to IBM while IBM figure out how to sell it to customers. PS: so will it be called Blue Hat?
- dexterous 8y agoNo one beats Oracle at sales, they are a sales organization; they just happen to be selling software.
- Aloha 8y agouse the IBM sales org, with the RH leadership ;-)
- ddingus 8y agoPurple hat
- filereaper 8y ago
- geff82 8y agoHearing this, nothong else than a big f word comes out of my mouth.
- jarym 8y agoAy ay ay... if this is true then everything from RH is gonna get fatter, slower and more expensive. Add a bit of WebSphere here, a bit of Domino there and voila. It'll then be ready for 'resource action' (aka layoffs). Jokes aside, RH is an engineer-focussed business - IBM is an accountant-focussed business. There's just NO way these two cultures are going to work well together.
- techntoke 8y agoRH has been a sales-based organization.
- cmurf 8y agoRemember when NeXT bought Apple with Apple's money? If there's meaningful Red Hat leadership being put at the helm at IBM as part of the deal, it might not be hideous news. But if it's the usual acquisition, well I cannot imagine more incompatible cultures than IBM and Red Hat, integration seems very unlikely.
- jmspring 8y agoIf this happens, I see older engineers targeted by IBM as they have done over the for "cost savings" as part of the acquisition.
- deleted 8y ago[deleted]
- throwaway713 8y agoWelp, there goes any chance Research Triangle Park ever had of being a major tech hub.
- jnbiche 8y agoIt already is a major tech hub (top 10 in the nation, pretty close to top 5). But I agree that this isn't a good sign for RTP.
- sz4kerto 8y agoGuys, this is not just, or mainly not RH Linux. :( - kernel development - Ansible - JBoss (I know HN hates Java, especially Java EE, but it was and is an important factor in enterprise OSS adoption) - OpenShift - Ceph, Gluster All these are in danger, not just RHEL. I don't know about any other company that is large, successful, focuses on the enterprise and absolutely behind OSS. Canonical is way behind Red Hat in terms of revenue (1/20). Sad.
- sjellis 8y agoRed Hat's Open Source only approach does mean that none of these projects can be closed down, though: AFAIK, IBM are acquiring people and a brand, but no significant proprietary IP. If higher-ups at IBM turn out to be as clueless as Oracle, then key engineers will just walk and continue working on those projects elsewhere.
- coderjoe 8y agoWhere elsewhere? The landscape of options to be paid for your OSS has just become a barren field. Yes, OSS as a concept can survive only on gratis work. However I'm not sure the portfolio of projects supported largely by Red Hat maintainers could. If maintainers are forced to start walking as they did with Oracle I expect to see quite a few projects fall into disrepair.
- Aloha 8y agoIBM has been very open source friendly over the last 20 years, more so as of recently.
- sz4kerto 8y agoMany companies are OSS friendly, but I think being OSS friendly is different than building your whole organization on OSS. RH does the latter, many-many companies are the former.
- rodgerd 8y agoShow me a single core product IBM have open sourced.
- cyphar 8y agoOpenBMC is worked on by the OzLabs group (which is the core of some of their mainframe BMCs), as well as lots of work around POWER9 and s390. Don't get me wrong, they are a proprietary shop at the end of the day, but they do an incredible amount of free software work.
- zokier 8y agoTheir J9 JDK alongside with WebSphere AS.
- paulbjensen 8y agoRedhat website confirmed it. https://www.redhat.com/en https://www.redhat.com/en
- jt2190 8y agoEditors: This really should be the top link. Additionally, there's more detail in the email sent to RedHat employees, published here: https://www.redhat.com/en/blog/red-hat-ibm-creating-leading-hybrid-cloud-provider https://www.redhat.com/en/blog/red-hat-ibm-creating-leading-... Edit: Notably, from Jim Whitehurst's email: > ... When the transaction closes, as I noted above, [Red Hat] will be a distinct unit within IBM and I will report directly to [IBM chair, president, and CEO] Ginni [Rometty].
- dang 8y agoThat URL looks like the best one so far, so we'll use it. Thanks!
- redwood 8y agoThe real story here is that cloud is killing them both.
- adventured 8y agoWhere do you see any of that represented in Red Hat's business performance? Their growth has been strong the last five years and shows no sign of high stress or decline being imminent. They're tracking to solidly double their sales over four years from the end of fiscal 2015.
- donedealomg 8y agoyou should read the latest earnings statements, growth was declined and a huge miss of estimates hence the IBM merge, Redhat probably felt they couldn't do it anymore on their own
- erikb 8y agoI think when you figure out why Amazon is currently losing to Microsoft you will also understand why Red Hat, just like Docker, was completely crushed by Google, and why IBM, despite trying super hard, wasn't even a player until now.
- deleted 8y ago[deleted]
- sys_64738 8y agoWhat will happen to the parts of IBM and Red Hat which overlap? If there is competing tech which adds to IBM's bottom line then chances are that is what IBM will keep. It will be interesting to know what those areas are.
- zokier 8y ago> It will be interesting to know what those areas are. JBoss vs WAS will be a major thing where they are most directly competing. Java, especially in its EE incarnation, is not so hot on HN but massively important in the enterprise.
- majewsky 8y agoGood thing we're using CoreOS instead of Red Hat. /me looks at the CoreOS article on Wikipedia Fuck.
- wging 8y agorelevant line: > The CoreOS corporation was purchased by Red Hat in January 2018 for a purchase price of $250 million.[71]
- technofiend 8y agoWell, fuck. I spent the last couple of years completely revamping my UNIX support group. I got rid of all the weak SAs and used a mix of in person and online vendor training plus internal challenges to elevate everyone's skills. We were able to completely repurpose the "Level 3" UNIX engineering group because all the "Level 2" guys no longer needed to escalate to Level 3 for anything. Critical to that was buying RedHat Learning Subscription and pushing my top guys through RedHat's Certified Architect program. But I'm skeptical but we'd have the same leverage to obtain similar learning discounts from IBM. Honestly as my org gets more comfortable with pure open source solutions it may be time to just consider Fedora instead, particularly as our workloads are moving from bare metal to VMs to containers it arguably means less and less where the app is hosted anyway. In the end it may mean RHEL going the way of Solaris as ever dearer license fees combined with a drop in support quality undermines their value proposition. But I guess that's a problem for the next guy; my org transformation is done so I took a job doing provisioning using Terraform.
- classichasclass 8y agoFor those of us running Red Hat or Fedora on IBM POWER, though (I run Fedora 28 on a Talos II), this is probably a good sign of future commitment. Hopefully they don't screw up Fedora maintaining the enterprise side.
- akhilcacharya 8y agoOut of curiosity what sort of workloads are you running on a Talos II?
- classichasclass 8y agoJust using it as a big workstation. Firefox, Krita, LibreOffice. The software has improved to the point where it can realistically be a daily driver (that can also compile Firefox at -j24 on this octocore SMT-4 machine in about a half hour).
- akhilcacharya 8y agoInteresting. I wouldn’t have expected those tasks to require an expensive machine though?
- 0xFFFF0000 8y agoOh, no!
- nilsocket 8y agoIt Red hat and later canonical were bought by some companies. This is going to be a big setback to open-source software as both compaines contribute a lot to Linux distroes. Smaller companies will find it hard to rely or choose a distribution. If IBM acquires Red hat, I hope they leave it alone.
- setquk 8y agoJudging by IBM’s history over the last 20 years I suspect this is akin to putting Satan at the wheel and giving him a bottle of Jack Daniels. Several layers of abstraction down the line I get the feeling this will hurt us ansible and centos users now they have been pulled under the umbrella. What happened to companies standing tall and alone?
- mindcrime 8y agoR.I.P. Red Hat.
- Rampoina 8y agoWelp, just as I got hired to work at Red Hat. :(
- techntoke 8y agoRH has been full of corporate drones for a while. You'll fit right in after the acquisition.
- deleted 8y ago[deleted]
- altmind 8y agoThis is terrible news, I really hope this deal does not go through, get blocked by shareholders or by anti-trust laws. I also remember that IBM is not doing good - profits are decreasing and their software and services division fail to produce any innovation for the last years. Did IBM need to buy whole RH to strengthen their cloud offering? Couldnt they just partnered with RH cloud division, leaving RH Core team independent?
- trhway 8y agoRH fell behind the times. Their paradigm of a stable though an older kernel was suitable for the times when kernel wasn't that stable and things in the industry were developed slower than today. I work in a big enterprise space and usually we do Ubuntu if we can and SUSE Enterprise if we can't :), i recently tried Docker/Kubernetes on a recent RHEL - looking at the kernel version i already didn't expect the stuff to work and of course it didnt work (no complete namespaces features support). Their push for their own custom software platform instead is a good match for IBM.
- cozzyd 8y agoYou know you can run your own kernel, right?
- trhway 8y agoGood luck IT-blessing kernel changes at BigCo-s. And what would be the purpose of a BigCo buying RHEL if one has to mock around with kernel afterwards? Anyway though, the RH not being a cloud player that has been making it obsolete too.
- MrStonedOne 8y agoOracle2.0. Good news for fedora thou
- jammygit 8y agoWhat is your reasoning? In the other HN news thread, there were some people specifically worried about Fedora after the acquisition
- gdsdfe 8y agoThis is a cloud play ... But they're like late by a decade, hmm interesting times!
- moomin 8y agoBig BlueHat
- smooc 8y agoSo now everyone will be wearing blue pyjamas and talk about Watson while not delivering anything. Seriously. Can anyone explain why this would be good?
- avip 8y agoCan anyone walk me through the reasoning behind all this IBM hatred? What's going on? I thought they just sell mainframes.
- SteveNuts 8y agoIBM is a sales-driven company that mainly focuses on closed-source proprietary software. Red Hat is an engineer-focused, innovation driven company that's completely built around the open-source Linux kernel. The two worlds just seem incompatible to me, and I assume a lot of people share the same concern as I do.
- whoisjuan 8y agoTry to use something made by IBM and then tell us if you like it.
- classichasclass 8y agoI'm of two minds to this. I have a personal POWER6 running AIX and it handles my main hosting and mail. It's a great box and I love the hardware, but the IBM salesdroids would never talk to me (I do all my business through a VAR), and the CUoD nonsense and having to use a whole separate HMC to manage the single LPAR is obnoxious. On the other hand, I absolutely love my Talos II. It's not an IBM machine, but it's engineered by them; the POWER9 is IBM, a lot of the OpenPOWER and PowerNV stuff is still as IBM designed it, and IBM contributes hardware support. So I understand this feeling when dealing with IBM as a vendor. They suck. But I think IBM hardware is solid and their R&D is top-notch, and I'd buy IBM again (just not from them).
- starefossen 8y agoThis affects on so many open source projects in addition to RHEL. ANSIBLE, Ceph, OpenShift, Linux kernel, JBoss as well as everything Red Hat acquired from CoreOS.
- haolez 8y agoI hope CoreOS succeeds regardless. It has built a very nice ecosystem around it.
- mhsabbagh 8y agoFirst Microsoft buying GitHub and now IBM buying Red Hat. I wonder how the next year will be for Linux and open source in general, looks like we are going to have a lot of drama.
- patrickaljord 8y agoHoping they will stick to this: "IBM to maintain Red Hat’s open source innovation legacy, scaling its vast technology portfolio and empowering its widespread developer community Red Hat to operate as a distinct unit within IBM’s Hybrid Cloud team" I guess this was an important part of the deal, otherwise it wouldn't make much sense.
- reikonomusha 8y ago“Y buys X for it to operate distinctly within Y.” usually doesn’t mean much. It doesn’t imply independence.
- bepotts 8y agoGod help us. Will there be any independent open source/open source friendly company that isn't controlled by some corporate giant?
- mhsabbagh 8y agoProbably if things go wrong, every community will just fork the code and move on.
- outbackcoder 8y agoThe problem being that forked projects rarely get much traction. Look at Devuan. Only the very hard core Debian fanboys moved over. Sure, it's nice not having systemd, but the project will never have the user base and developer support that its parent project enjoys. Maybe, though, with RH being bought out, people will take a second look. I've always favoured Debian over RH for servers, as the upgrade path is dead simple and almost always works. RH/CentOS is a tough row to hoe in this regard comparitively.
- jammygit 8y agoUnless I'm mistaken, almost all of open source is driven by corporate development. The linux kernel is an alright example: roughly 85% of development seems to be sponsored by a corporation[1]. I felt a little weird when I first learned that [1] https://www.infoworld.com/article/2610207/open-source-software/who-writes-linux--corporations--more-than-ever.html https://www.infoworld.com/article/2610207/open-source-softwa...
- outbackcoder 8y agoThe BSDs are all open source and not tied to anyone. Since operating systems are literally key components of being free, this truly matters. Red Hat had too much of a grip on Linux (kernel), the userland and much more. systemd, while an atrocity on its own, has now become a requirement for certain userland software projects, which is heresy. So much for the tenet of a software program doing one thing well.
- filereaper 8y agoI'm surprised at the amount of backlash here. IBM's had the Linux Technology Center (LTC) for a long time and has been contributing to the community. All the platforms Z, POWER etc... support Linux as a first class citizen and plenty of other ecosystems are also supported (i.e GCC, OpenJDK, etc...) Maybe its time to re-evaluate the old biases? The old incumbents like Microsoft have warmed up to OSS, not sure why Big-Blue is getting this much flak.
- cenal 8y agoMicrosoft has been doing a lot to rebuild itself as a cloud provider. IBM has been doing a lot to go out of business. Microsoft's first CEO is still chairman and helping lead the company even from the sidelines. IBM is a floating raft of failed leadership. Microsoft isn't trusted fully by the community but they are making inroads under their new CEO. IBM has been firing its most senior people in an effort to slow its cash burn and to hire younger folks. IBM also claims it's also to bring on folks with more relevant skills to emerging technologies. I think there is a lawsuit about this. Anyway, IBM has done nothing in recent years to show they are a true contender. If the Redhat team is able to pull a Next here and assume leadership roles inside of IBM this could be stellar. Big Blue's formidable sales team and reputation with a great product line overseen by passionate people would be powerful. If the IBM existing leadership team emerges as the winners here it will likely continue to fade into irrelevance.
- greenyoda 8y ago> Microsoft's first CEO is still chairman Bill Gates is no longer the chairman of Microsoft. He stepped down in 2014 to concentrate on the Gates Foundation. https://en.wikipedia.org/wiki/Microsoft https://en.wikipedia.org/wiki/Microsoft (see "Key people" in the sidebar)
- rdiddly 8y agoHe does still have a regular (i.e. not the chairmanship) board seat though, "non-independent" like Nadella.
- 8y ago
- marknadal 8y agoThis reminds me of an article[1] I wrote predicting shifting trends in Open Source development, in particular of core infrastructure tools. There is a huge ripe opportunity for a new company/non-profit to step in and set precedence on the future of developer tools. People don't "Dream Big" anymore, and having the biggest OSS companies absorbed by the most proprietary of companies is a perfect example of hope being lost. I hope we can revert this trend, who wants to help? 1. https://hackernoon.com/the-implications-of-rethinkdb-and-parse-shutdowns-c076460058f7 https://hackernoon.com/the-implications-of-rethinkdb-and-par...
- MrStonedOne 8y agoTime for an increased focus on productivity and deadlines and shareholder return until all talent leaves from burn out. Good news for any tech company looking for talent in the next few years.
- Alexander_ 8y agoI think Microsoft should buy Ubuntu now, and we are all set.
- setquk 8y agoPlease don't give anyone any ideas.
- nilsocket 8y agoI hope all companies using opensource software would contribute back either by returning some percent of their profit or in-terms of work-force. It's like many companies take, but doesn't give back.
- nilsocket 8y agoI hope all companies using opensource software would contribute back either by returning some percent of their profits or in-terms of work-force. Many companies take, but doesn't give back.
- trimbo 8y agoI look forward to IBM marketing taking over. "yum, powered by Watson"
- filereaper 8y ago"dnf, powered by Watson"
- tannhaeuser 8y agoSystem/D, powered by Tivoli Cluster Manager
- ezoe 8y agoActually Red Hat is exactly like IBM. Huge and slow. I know the contribution to FOSS from Red Hat is great and all, but their product, RHEL, was a cancer for a modern software development. Just easier to maintain for sysadmins doesn't make enough excuse for really long release cycle and the worst of all is they keep supporting the old products. The result is a nightmare development environment for all the programmers who has to workaround the old bugs that was fixed years ago in the upstream but not fixed in the RHEL packages, but they have to use the RHEL packaged software for stupid sysadmin reasons.
- donedealomg 8y agoLook how slow Redhat moves up their kernel, Redhat simply is the IBM in the open source world!
- pfranz 8y agoWhat's the alternative? All of the places I've worked that used Red Hat never explicitly looked at the Red Hat support timeline. They looked at their business, the software they used, the features they needed, and based their upgrade cycles around that. They'd only upgrade the major versions of their primary software when a project would benefit and skipped major updates that were problematic. At my current job they're only now upgrading from a 2016 piece of software to 2018, they're also straddling Cent 6.7 and Cent 7.2 and only making moderate progress. Usually the reason for updating the OS is because new software doesn't run, there's a major feature needed, or supporting the old OS is too much trouble. But it's not like it's any different on the Windows side. XP stuck around forever. At my previous job they had Win7 on workstations with little to no intention of updating to Win10. On the server side it was all over the place including Windows Server 2003.
- shaklee3 8y agoUbuntu seems like a good replacement. We use it, and I greatly appreciate that the compiler is not stuck on barely getting C++11 support.
- 8y ago
- solatic 8y agoIt's like Vader asked Luke to join him in defeating the Emperor (Microsoft) and ruling the galaxy as father and son - and instead of the audience hearing "I'll never join you!!", we hear "sure, let's team up." The cognitive dissonance is so strong here. WTF just happened? If you asked me a month ago to put down serious money in Vegas on this never happening, I'd have happily done so. What on Earth were they thinking? IBM is basically taking it's failing Kubernetes distribution, saying "why lose when we can just buy the winners?", and went ahead and bought Red Hat and OpenShift instead. A year from now, we'll start to see heavy IBM integrations into OpenShift, radically increased licensing fees for RHEL to squeeze every penny out of enterprises which bought RHEL specifically because they need the support guarantees because they can't migrate away quickly, and every other Red Hat project - Ansible, Cockpit, Fedora, CentOS, etc., will get torn to pieces by IBM bean counters. Red Hat shareholders just sold out. Goddamnit.
- bboreham 8y ago> Red Hat shareholders just sold out. Might be going out on a limb here, but maybe that’s why they bought the stock, so they could sell out at a profit?
- M_Bakhtiari 8y ago> The cognitive dissonance is so strong here. Where? Can you give an example of an expression of cognitive dissonance here?
- mindslight 8y agoWell, at least my shares of DEBN just shot up.
- le-mark 8y agoWhich went up because.... it's now seen as an acquisition target as well? Edit; ah sorry I didn't know...
- icebraining 8y ago
- dang 8y agoThere were several threads about this. We merged them into the one that was posted first. We changed the url to the most readable and least press-releasey. The others were: https://twitter.com/EdHammondNY/status/1056604618015285248 https://twitter.com/EdHammondNY/status/1056604618015285248 https://www.bloomberg.com/news/articles/2018-10-28/ibm-is-said-to-near-deal-to-acquire-software-maker-red-hat https://www.bloomberg.com/news/articles/2018-10-28/ibm-is-sa... https://www.redhat.com/en/about/press-releases/ibm-acquire-red-hat-completely-changing-cloud-landscape-and-becoming-world%E2%80%99s-1-hybrid-cloud-provider https://www.redhat.com/en/about/press-releases/ibm-acquire-r...
- mrep 8y agoIn my opinion: Either invest in developing hacker news support for updated news comment threads better (my recommendation is to split each thread by the original article/time in a megathread and use the newest title for the base merged thread and sort the sub-threads by time or stop merging these threads because it makes it so freaking confusing as the comments are based on totally different contexts and yet they are all intermingled. Prime other example being the tesla going private thread which I think is this one but I'm not sure because the threads are so hacked together or duped I cannot find a hacker news link to the original tweet [0]. [0]: https://news.ycombinator.com/item?id=17709799 https://news.ycombinator.com/item?id=17709799
- dang 8y agoThis happens whenever a story is changing rapidly. It doesn't have to do with merging the threads—it has to do with different comments dating from when different information was available. In this case the initial story was "might acquire" and then turned into "has acquired". The threads weren't neatly partitioned before we merged them; people just post to whichever discussion they happen to see. When a story has been changing while the comments have been accumulating, HN readers are smart enough to figure it out, and I'm not sure adding new software would help much.
- mrep 8y agoThe threads were neatly partitioned because they were all based on an initial source of information (the source article), but it was then merged into one mega-thread contained conflicting sources and thus it makes it confusing since all the comments which were based on different sources are now intermingled.
- gcb0 8y agoThe articles (and Stalman interviews) happening recently pointed to this situation. Open Source, as adopted currently, is a flawed model that valors corporate protection more than end-user freedom. github is now sourceforge. redhat is now suse Linux. etc. all the little benefits you got having an apache or bsd license over gpl will start to bite you now. Case in point: every major company has a opensource executive whose only job is to make sure all projects are using closed-source-permissive licenses.
- kartan 8y ago> Open Source, as adopted currently, is a flawed model that valors corporate protection more than end-user freedom. I see your point, and I mostly agree. I would like to differentiate between Open Source organizations - like Linux Foundation, Apache Foundation or Mozilla Foundation - and mixed organizations like Oracle (owns MySQL), RedHat (owns too many to list), etc. The first ones represent the pure Open Source approach. Were the software and how it better serves humanity is their main concerns. The second ones are just business that see in Open Source and gratis (free as in beer) software a way to get a bigger user base and to kill any possibility of competitors from the bottom as new entries cannot compete as easily with products that you do not need to pay for. Real Open Source foundations are fundamental for a functional global software industry. The other ones bring value, but they use Open Source projects as a weapon against competitors, not as something for the good of its users. And that ones are the ones that value corporate protection more than end-user freedom.
- gcb0 8y agomost projects on those incubators are there to die a slow death after being abandoned by the group you call "open source corporations"
- vorg 8y ago> to die a slow death The operative word is here slow. Software is taken to the ASL by its backers so they can extract as much benefit as possible for as long as possible. They get an ASL Vice-Presidency position which they tout on their CV's. No upgrades to new major versions, just the current version milked via consulting and conferences.
- severino 8y agoWell, I don't know anybody in the FOSS community which would be worried it systemd became endangered ;)
- ddingus 8y agoYou win! Truth I know. It is perfectly OK. I will bever be a fan of systemd.
- bdavis__ 8y agoredhat had a lot of love in the world. any other vendor that shoved systemd down everyones throat would have been villified. redhat was given a pass. (karma, anyone?)
- village-idiot 8y agoIndeed. Canonical tried and failed, hard.
- icebraining 8y agoKarma? Red Hat shareholders will be getting a 60% premium over the current value.. if it's karma, then pushing systemd was a good action.
- pritambaral 8y ago1. Every distro that already uses systemd (which is close to 100%) 2. (Close to 100% of) packagers and maintainers of system services 3. System administrators using distros from #1 (which is, again, practically everyone)
- dijit 8y agoThe warnings for #1 were clear. Nobody wanted to hear or heed them. I have little sympathy for those that adopted it despite many people begging them (distro maintainers) not to.
- 8y ago
- pasbesoin 8y agoBad news. Sure, there are ways you could argue it could work well. But, IBM would have to change. Good luck with that.
- lnsp 8y agoI am worried about the future of the numerous Open Source projects. I mean, why did they sell RedHat? The bet on OpenShift does not seem to pay off then. I always saw RedHat as the "enterprisy" OSS company that helps moving all these Java monoliths to the cloud. Even more problematic is the influence this aquisition has on the landscape of OSS in the cloud space, especially since CoreOS, RHEL and CentOS are now run by IBM.
- kartan 8y agoIBM has been historically a Linux contributor. Eclipse, their open source IDE, opened the other to Java and other programming languages in the OS. And Power processors supported Linux early on. From that perspective to purchase Red Hat makes sense. It makes even more sense as the announcement states that they are trying to create a bigger cloud provider to compete with Amazon Web Services, Google Cloud, and Microsoft Azure. My main concern is the reduction on variety. All big businesses are buying layer after layer of different markets reducing the number of options that one can choose. * https://thenewstack.io/contributes-linux-kernel/ https://thenewstack.io/contributes-linux-kernel/ * https://www.redhat.com/en/about/press-releases/ibm-acquire-red-hat-completely-changing-cloud-landscape-and-becoming-world%E2%80%99s-1-hybrid-cloud-provider https://www.redhat.com/en/about/press-releases/ibm-acquire-r...
- OpenBSD-reich 8y agoAccording to their 10Q and 10K filings, IBM is over seventy percent a consultation business with less than ten percent of revenue being made from hardware.
- phkahler 8y agoSo with RedHat and the remains of IBMs hardware division, they make a push into the cloud with their own RISC-V servers with chips fabbed on an advanced node and with a full software stack driven by both IBM and RedHat developers. They'd be vertical in their cloud offerings. You don't need to tell me I'm hallucinating - I know. But it's fun to imagine something good coming from this rather than the simple destruction of RedHat.
- xorcist 8y agoWhy would they drop OpenPOWER for RISC-V?
- phkahler 8y ago>> Why would they drop OpenPOWER for RISC-V? IBM is member of the RISC-V foundation. If they could make a similar high performance server chip with RISC-V ISA I'd take that over OpenPOWER any day due to the much wider acceptance of it. They could also support both and see which goes further.
- gigatexal 8y agoHere's my take since we're all weighing in and are all in different levels of shock: IBM needs Redhat to stay relevant. The way I think about it is in a few ways. 1) IBM's stock price has been tanking because I think they're not investing in new products but just cutting expenditures to meet stupid Wall-Street targets. But with the introduction of RedHat they get new "blood" as it were. Who knows, what if they make the CEO of RedHat the CEO of IBM a la Satya Nadella and Microsoft? They have said that RedHat would remain an independent part of IBM as part of their cloud push. Let's take them at their word unless they prove us wrong. Also, if nothing else, this could give RedHat even more money to make ambitious bets -- perhaps we might see Power9 systems running Fedora soon? In the end I think this is, on the whole, a good thing. Now, does MS buy Canonical?
- joebolte 8y agoWhat do you mean “a la Satya Nadella and Microsoft”? He didn’t join MSFT through an acquisition. Did you mean Jobs/NeXT/Apple?
- gigatexal 8y agoThe analogy isn’t 1:1 but I think the core of MS and what he was doing in the cloud division might as well had him an outsider. MS was still highly Windows first all others second under Ballmer. Under Nadella he bet the future of the company on cloud and it’s been the right choice. What if they do the same with a changing of the guard — not immediately but eventually?
- mindfulplay 8y agoThey will put the Watson marketing department and the salespeople to work and cut off any meaningful tech. Sigh.
- billfruit 8y agoSeriously the amount of Watson hype IBM is spinning is astounding. Recently went to a vendors sales presentation on IBM Rhapsody, and they are touting some sort of rudimentary interactive agent, as powered by 'Watson'.
- starpilot 8y agotips Fedora
- Yhippa 8y agoIn retrospect I'm surprised this didn't happen a long time ago. Good lucky RH brothers.
- tawy39 8y agoJust started a new job at Red Hat around a year ago. I kept thinking "this is too good to be true". It was. Good luck everyone, massive layoffs, salary cuts, and destruction of benefits coming soon I bet.
- yuhong 8y agoThe fun thing is that IBM stock was already recently dropping.
- ianai 8y agoThe history of the “free economy” is one of concentration of market power. Good reference is Galbraith’s “1929 the great crash”
- cosinetau 8y agoI feel you're right, which is why I'm surprised by the seemingly negative response to this news, and the overwhelmingly positive response from GitHub+Microsoft. Some of the same conflicts of interest exist in both modern cases, notwithstanding, both have opposite contribution histories. Am I missing something?
- throwaway2048 8y agoI wouldn't call the GitHub+Microsoft acquisition response "overwhelmingly positive".
- icebraining 8y agoI agree, plenty of criticism and skepticism here: https://news.ycombinator.com/item?id=17227286 https://news.ycombinator.com/item?id=17227286
- SmellyGeekBoy 8y agoI got the impression that nobody at all on HN was happy about the GitHub thing, FWIW.
- ethbro 8y agoIBM the company is like an iceberg. The R&D and open source contributions are the tip. And the other 90% is services revenue. And most people's experience with IBM services isn't positive.
- jlg23 8y ago> most people's experience with IBM isn't positive. That does not reflect my or my friends experience. Once one gets beyond the local representatives, service for me always was exceptional.
- tw04 8y agoHe's talking about IBM global services. If you had an exceptional experience with an IT department outsourced to IGS you'd be the first.
- ethbro 8y agoTo be fair, there are AAA teams even in global services. I believe I worked with some guys from the Hong Kong team that were !@#$ing amazing? But they were supporting a major bank. IBM in general seems fairly aware of who their best teams are, and you're probably not going to get one of those teams. (Unless you're a huge account and/or the project is in dire straits)
- djsumdog 8y agoMaybe for hardware. There are pretty good about hardware support. At two companies I worked at we got people sent to us for on-site repair. Their software support is something else. I haven't had to use IBM tooling in a while, but back when I did, everything they sold was absolutely fucking terrible (DB2, RAD, WebSphere, Clear Case, Tivoli) compared to many open source equivalents. The only reason people buy this rubbish is because they're in an old company (bank, insurance, etc.) that has relied on it for ages and don't care about the inefficiency or cost.
- deleted 8y ago[deleted]
- KaiserPro 8y agoSo, I have mixed feelings. I don't think in the short term this will be a problem. However IBM has lost it's way. its a very large unwieldy organisation that doesn't change very fast. It also has an awful lot of lifers, who would flounder horribly outside the soft warm IBM shell. But, there are some brilliant engineers and technologies that are inside IBM. The ones I know are about are to do with GPFS, which is a shining beacon compared to ceph and gluster. A clever organisation _could_ mix GPFS, the vast experience with scheduling and resource allocation, and second to none documentation (have you read a Red book? they are marvels of readability.) to make a spectacular platform. One that unlike K8s would be easy to use, understand, tune, script for and run. They won't be able to execute it properly, but they have the potential.
- sabujp 8y agoif gpfs still has NSD limits it ain't gonna work on a cloud scale
- rodgerd 8y ago> GPFS, which is a shining beacon compared to ceph and gluster. Solves an entirely different problem.
- KaiserPro 8y agoDepends on how you use it, and what its for. _most_ object storage is actually used as a pseudo filesystem (ie S3 et al) because a shared, fast & reliable filesystem are vanishingly rare. Apart from openstack (and I've never seen a successful deployment of it outside of rackspace) most use cases I've seen involve either bolting on a NFS head, or some other filesystem to ceph and serving it publicly. which is frankly not all that great. I like the _idea_ of ceph, but I don't want to have to support it. Like Nexenta, it seems great, but it soon hurts during crunch. What I like about GPFS is that it allows you to join up large amounts of block storage, regardless of the underlying fabric. Everything has a hook, so if a file has been created/updated/moved/deleted/metadata changed, you can attach a script to that action. There is an inbuilt HSM, which allows you to shuffle files about based on their content: raw footage? move it to the spinny disk array, final deliverables? move it to the storage based in the other country. File bigger than 1TB, and hasn't been touched in two weeks, sure you can kick it out on to tape. crucially because its all one name space, the end user doesn't have to care about where the file is, the system takes care of that based on rules. The best part is, there are no special tricks needed for the end program, its just standard file io. However it is one global system, which is it's downside. for pure uptime its better to have an array of file servers, to limit the blast radius, but then you don't get the goodness
- bb88 8y agoHaving been a linux user for 20 years now, I'm not worried. Mostly because in the OS market there is enough competition that didn't exist back in the 1990's when RedHat was founded around the Linux kernel. And we continue to have valid choices in the Linux market. And as we move forward into Kubernetes, we're looking at lightweight OS's to host a single purpose microservice. Most companies don't really need the full features that a full-service Linux OS offers anymore. Another example of this trend is the declining use of Sendmail and it's alternatives. There are much better ways of handling email now than using Sendmail. Yes, it too was popular in the 1990's, and while people still use it, it's more likely for startups to use something like gmail for employee email, because it's just painless.
- raesene9 8y agoofc you realise that one of the major contributors to the Kubernetes ecosystem is Redhat. So IBM now control key elements of k8s setups like etcd (a CoreOS project, ergo a Redhat Project, ergo an IBM project)
- manigandham 8y agoAt the same time, K8S team has been rapidly standardizing everything and turning it into a very modular system. etcd is pretty much a "done" project, but if it ever goes bad, it can easily be replaced.
- majewsky 8y agoIf IBM ever takes etcd in a direction that k8s does not like, the k8s fork of etcd will be the one that's relevant going forward.
- jacques_chester 8y ago> Mostly because in the OS market there is enough competition that didn't exist back in the 1990's when RedHat was founded around the Linux kernel. I'd disagree; the 90s had a lot more OS diversity in the for-profit sector than we see today.
- 8y ago
- karussell 8y agoGood bye last true open source company!
- sytse 8y agoRedHat does a great job of being a trusted advisor for companies. Their people are often embedded at customers and are the first stop to ask for advise on anything related to Linux. Recently RedHat was transitioning from selling the VM based RHEL to the cloud native OpenShift. They used the relationship they had with customers already using RHEL to 'up-sell' them to OpenShift. IBM already had a SaaS offering for Kubernetes in https://www.ibm.com/cloud/container-service https://www.ibm.com/cloud/container-service and RedHat adds a strong self-managed offering for Kubernetes in the form of OpenShift. IBMs revenue comes from consulting but a lot of their profit comes from software https://www.quora.com/What-is-the-split-between-IT-and-consulting-revenue-for-IBM https://www.quora.com/What-is-the-split-between-IT-and-consu... They are also a trusted advisor and are great at closing large and complex purchases. This move will allow IBM to sell more software products and therefore increase their margins. I have a lot of respect for RedHats policy to open source all the software they sell. I expect that policy to continue.
- shmerl 8y agoNo, IBM isn't going to be good for Linux. RedHat as an independent company supported a lot of efforts to make Linux better overall, including reverse engineering hardware drivers, which most companies won't care about in the least. I don't trust IBM to continue that, so it will be a major setback to Linux efforts.
- chrisper 8y agoDoes this mean they will turn the super good red hat documentation in IBM style super useless documentation?
- xtat 8y agoGood news for Debian :)
- Ice_cream_suit 8y agoIBM have a consistent, decades long history of acquiring superb firms and then mismanaging them into marketplace irrelevance.
- partycoder 8y agoRed Hat has contributed so much to open source projects. Even if you don't use their distribution, their contributions are present in countless initiatives and projects.
- 55555 8y agoCan someone help me understand... What exactly do IBM and Oracle do? I assume they are mostly hired to build software and do software/hardware/networking/database services. How much of their business is government contracts? Everyone here is talking about how nobody enjoys hiring them but they are billion-dollar companies... I have never worked in the public sector nor at a conglomerate so I am unable to comprehend this.
- kazen44 8y agonobody got fired for buying IBM/Oracle/SAP. usually, IBM is used for very large enterprise projects and it is usually done at a "high level". (aka, architecture et al, not direct implementation). IBM is a slow, corporate monster, but it is very good at doing high, exec level consulting.
- TomasD 8y ago"First they ignore you, then they laugh at you, then they fight you, then they buy you."
- devwastaken 8y agoRed hat has been owned by corporate execs, it's not owned by developers. Made 2.9 billion in 2017. Once that kind of money flows the big offers come from the oligarchs. There is no integrity in corporate business. If they get a big offer, they're going to sell. IBM in a proper world of business shouldn't exist, but patents keep them alive. We will need a new replacement to red hat, but I'm afraid the hyper reliance and patenting IBM will enforce will make this impossible.
- spiritcat 8y agofork?
- gregf 8y agoJust glad I jumped ship to FreeBSD a year ago. Sad that Ansible is involved in this though. We were just considering switching from Chef.
- headgasket 8y agoLeft CentOS about 4 years ago for Ubuntu, never looked back. Debian is a better system, Ubuntu is a very nice consistent distro. You should check out Proxmox, also debian based, very nice alternative for containers in small-medium deploys. Cheers and open-source on! EDIT: AGAIN down voted for no good reason! Is this automatic? How does this work? Cheerio, will log off for another six months, if anybody can suggest another real hacker's forum I'd be very grateful! TIA
- EwanG 8y agoThis feels like Sears buying KMart - One ailing firm buying another in the hopes that scale will fix everything...
- enitihas 8y agoI think KMart bought Sears and then renamed itself as Sears.
- mxuribe 8y agoSo...how does this - if at all - impact linux (running smoothly) on thinkpads? From what i hear, beyond the normal open source contributors, numerous redhat engineers contribute towards fundamental device drivers for the thinpad platform of laptops...which, as i undestand it, why linux distros run soooo smoothly on for example my thinkpad t420. Perhaps my thought is selfish, but i love me some thinkpads - specifically because they run linux sooo nicely. So, will ibm force these guys to focus on other stuff? Or, am i worried for nothing?
- kazen44 8y agoonly time will tell i guess. Thinkpads are still nice machines to run not only linux on, but also openBSD. (most, if not all openBSD dev's run thinkpads as their development machines).
- mxuribe 8y agoHmmm, i didn't know that about the openBSD devs. Good to know. I'll have to take good ol' openBSD for a little test drive on my thinkpad. Cheers!
- rwmj 8y agoThe Thinkpad brand has been owned by Lenovo since around 2006.
- thinkingemote 8y agoExpect business as usual for a year. Any changes will occur after then.
- mindentropy 8y agoI am having a feeling that Dell might buy Canonical soon.
- rafaelturk 8y agoThis is a massive cash expenditure. IBM's biggest bet to be back into the cloud game. Given the amount of cash involved this might be IBM's last card, at least from an M&A perspective, so this deal needs to work. RedHat is much smaller than IBM, however far better managed with a clear product roadmap, lean sales and customer support. In a good scenario a reverse takeover will take place and RedHat management will take control and lead new IBM to a better future, however this is very unlikely. IMO: This is great for RedHat shareholders, terrible for the new IBM co...
- pinewurst 8y agoThere are strong rumors that IBM will be selling/spinning off its services group so perhaps that’s the funding justification?
- jacques_chester 8y agoIf this kind of a split were happening it would be more accurate to describe it as the services group spinning off its product department.
- pinewurst 8y agoThat's an interesting thought, though Red Hat has a significant services group too, so they'd still have one afterward.
- alsadi 8y agoMany comments mistaken redhat as an OS company? They are not. IBM did not buy redhat to get RHEL. They bought it for the hybrid cloud as clearly stated. Redhat has openstack platform, cloud formation/manage iq, openshift, ansible, ceph, glusterfs, codeenvy (behind eclipse che),... Etc
- gred 8y agoI haven't felt this way since March 25th, 2014. https://news.ycombinator.com/item?id=7469115 https://news.ycombinator.com/item?id=7469115
- aphextron 8y agoDoes this have regulatory approval already?
- eyalm 8y agoCloud native/kubernetes race is just exploding. RH strategy was mostly focused around OpenShift lately, which makes complete sense. Kubernetes is the next datacenter OS, just as ESX (and virtualization in general) was in the past 15 years and it's going to drive a radical shift in the enterprise IT world in the coming years. IBM (as an active member of the kubernetes community) see that huge opportunity and are doubling down on their efforts. Any bets on the next player in this space to be acquired by an IT behemoth? Docker and Rancher both come to mind.
- raesene9 8y agoDocker just took more funding, so it'll likely be a while, but yeah I'd say they're very likely to get acquired in the medium - long term. Rancher haven't raised in a couple of years, so might be more prone to acquisition in the short term. In general it lseems likely that as containerization has taken off over the last couple of years , larger players who missed the boat will be looking to make acquisitions to become more relevant in that space.
- xorcist 8y agoRancher desperately needs to find a niche. Docker seems to be determined to strike it out on their own. The implications of Kubernetes takes time to materialize, and they might well sell too late.
- techntoke 8y agoCanonical will likely be acquired by Microsoft.
- cb504 8y agoInteresting ... don't see it happening. The invested but never bought Cyanogen, so I could see them buying some stock but not buying the company.
- lima 8y agoI admire Red Hat as a company for their principled and uncompromising stance on open source. I contribute to many Red Hat open source projects and even promote their products, because they share my values. Their success directly contributes to the open source ecosystem in many ways, and they have a history of doing the right thing (tm). I'm not sure how I feel about doing the same thing for IBM. This is either very good news, or very bad. If Red Hat can truly remain independent and preserve their culture and values, they can achieve a lot more with IBM's money, and hopefully change IBM for the better. If the culture changes for the worse, it's the end. Many, many people work at Red Hat because of the culture, not the pay (which is average), not to mention community contributors. This is particularly true for their top-tier engineers. Red Hat's leadership is acutely aware of this, so I'm optimistic. I can only imagine the discussions going on on their internal mailing lists. Friends of mine who are RH employees have fun stories to tell about epic discussions about much more inconsequential decisions :-)
- inscrutable 8y agoI can see independent software vendors like Heptio and Canonical being the main beneficiary of this deal. IBM can sweat the old large companies but they have no credible cloud offering and this doesn't change that. Converting on-prem to kubernetes and using a proper cloud like Google, AWS or Microsoft without also paying steep margin to IBM would seem to be more attractive.
- worldvoyageur 8y agoI dunno. IBM was pretty generous with the operating system when they invented the PC in the first place.
- tradesmanhelix 8y ago$50 says someone like Microsoft or Google responds to this by buying Canonical.
- i_am_nomad 8y agoYou could make a hell of a lot more than fifty bucks on that prediction.
- swalsh 8y agoWhy would either of them need them?
- int_19h 8y agoAt this point, Microsoft might as well do its own Debian-based distro. What would they need from Canonical, really? Experienced people? I suspect it'd be much cheaper to pull a Hejlsberg with them.
- jacques_chester 8y ago> What would they need from Canonical, really? Staff, existing customer relationships and credibility.
- techntoke 8y agoMicrosoft likely. I think Google is too smart to actually buy Canonical, considering that it is an antiquated distro overall.
- Jedd 8y agoWill this warrant an Our Incredible Journey [1] entry? Not technically an exit, I guess, at least not for most of the staff that start to work for Big Blue in a month. [1] https://ourincrediblejourney.tumblr.com/ https://ourincrediblejourney.tumblr.com/
- Apocryphon 8y agoI figured bringing up that Tumblr will get flagged or at least downvoted, but it is amusing to ponder what would be the biggest, most high-profile acquisition in tech to merit an entry. Doubly funny when the firms involved aren't Silicon Valley startups but old enterprises.
- Jedd 8y agoI guess any publicly traded company is by definition at risk of being bought (or merged in this case) without notice or even much public speculation -- but this one feels particularly surprising as I'd been assuming much of Red Hat's value for its customers was its corporate-friendly support arrangements combined with its apparent independence from the traditionally-perceived excessively-corporate heavyweights. The arguably customer-hostile licensing changes at Red Hat over the last few years are possibly an indicator of a shift in company culture. On the other side, I've actually felt positively towards IBM since the 1990's when they started to commit heavily to a lot of free software efforts.
- thinkingemote 8y agoHas Richard Stallman responded yet? I'd be interested to see if any of the legends of Linux have commented and what they have to say.
- teddyh 8y agoRMS is usually eminently practical and pragmatic. Since this has not caused any practical change yet, there is nothing to comment on – it’s all speculation, and RMS usually does not speculate.
- tilt_error 8y agoAt a former employer, we were heavily invested in Purify, Quantify et al. When taken over by IBM, the license management cost at our side increased an order of magnitude -- not for the products per se but by the administration of the licenses. Even though we loved the products, we found it was increasingly not worth it. 'Killed by license management', has a nice ring to it :)
- jordigh 8y agoI grieve the most that this will really weaken the argument for commercial free software. We could always say, look at Red Hat, they don't sell a drop of non-free software. It's possible to be free and commercial! I doubt Red Hat will continue to operate this way, especially if they are receiving money from IBM's other ventures. I hope there's room for another Red Hat in this world.
- colordrops 8y agoRed Hat used to sell non-free software using the freemium model with Redhat Enterprise. Is that no longer the case?
- jordigh 8y agoNo, RHEL isn't freemium. They sold you access to the source code. You also have the right to redistribute RHEL, which is how CentOS happened. I understand they did threaten to terminate support if you redistributed, but they couldn't stop you from doing so if you so chose.
- dingaling 8y agoThey also require a support contract to view their bug tracker.
- trasz 8y agoTime to update the FreeBSD Handbook, I suppose: https://reviews.freebsd.org/D17745 https://reviews.freebsd.org/D17745
- anoncoward111 8y agoOh, that's suuuuuper gross. Red Hat is pretty cool for open source but this can only mean one thing if IBM is going to suck blood from the stone.
- red-tea 8y agoWhy are these things announced on Sunday? Microsoft acquiring Github was announced on Sunday too.
- tannhaeuser 8y agoMaybe to prevent insider deals during stock hours eg. traders already in the know of upcoming acquisitions minutes before others?
- rdiddly 8y agoI had to mentally check the calendar to see if it was April 1. (Sadly, it is not.)
- barbecue_sauce 8y agoHopeful outcome of this, provided IBM realizes it is the student in this situation: IBM's historical reputation coupled with Red Hat's proven success and products creates a serious competitor to Microsoft at the small-to-medium enterprise level. As Red Hat gains share, other corporate Linux flavors ride the rising tide, and Linux finally captures the long tail. Further out, Microsoft transitions to being a device company a-la Apple. Bill Gates comes back to save the floundering company but insists that each device offer mechanized vaccinations, leading to skyrocketing prices and general shunning from the populace, which has gradually devolved into rabid anti-vaccination fervor. Microsoft fails, and is ultimately embraced, extended, and extinguished by IBM/Red Hat.
- crb002 8y agoColocation of mainframe and commodity compute is huge if they can pull it off.
- virtualwhys 8y agoThis is an HN black-bar-worthy event (given the OSS implications). -- longtime CentOS/Fedora user
- nickysielicki 8y agoI really don't understand this. Redhat has been very profitable lately, what do they stand to gain from this? Why do they need cash so badly, what are they investing in? Their success is so dependent on having management that understands how unique their business model is, I just can't understand why they'd be so desperate for cash that they'd risk screwing that up. Even if you have confidence that it's going to be fine for the next 5 years, what about 15 years from now? They've signed their soul away.
- blihp 8y agoThey don't need the cash, they want the cash. What management and shareholders stand to gain from it is cashing out. That's the way business works. Not saying it's the way things should be, just the way they are.
- The_rationalist 8y agoHELP, I have a big question : The buyout will go to the shareholders, that is a deterministic ~30% net benefit. (the offer being ~30% > than the market cap) So WHY shouldn't us the readers of the news, buy shares right now, before the market react ? And we can even imagine a Web crawler software that detect that entreprise X announce to buy entreprise Y && the offer being > to the market cap, then auto buy ?
- awestroke 8y agoThe market has already reacted. The bot strategy you describe is widely implemented. This is not an original idea.
- The_rationalist 8y agoStill the price stock hasn't gone uploads.disquscdn.com but this must be because we need to wait for tomorow opening. Are there any of thèses bots on github ? Why don't they work, are the market already fully saturated with those bots ?
- _wmd 8y agoBecause there is nowhere(?) you can trade those shares right now, and if those places do exist, the local price almost certainly already reflects this news. Tomorrow morning, the new information will also influence the opening auction, and retail trades haven't a mission of catching any of the action You might find on Monday the price tends upwards slightly for most of the day, which seems typical of this kind of news, but really, all the value of this deal is captured by existing shareholders -- who is going to sell you their shares at a cut price?
- adambyrtek 8y agoIt's already too late to buy "before the market reacts". This is public information now, so it will be priced into the market price once the stock market opens.
- The_rationalist 8y ago
- thrower123 8y agoI don't really understand how IBM keeps rolling along, as they outsource more and more of their workers and kill off entire divisions of their best-known products. They don't really make software anymore, they don't really make hardware. Their cloud offerings are an also-ran behind Oracle. They have a massively overhyped, marketing-driven AI division. Mostly they seem to do the awful kind of IT consulting that the other H1B sweatshops engage in, but perhaps at a slightly more prestigious level.
- inscrutable 8y agoThis is fine.
- kernal1974 8y agoWhen I was at IBM my laptop ran RedHat enterprise. Was the brightest spot in working for a miserable company like IBM. I miss that now that I am forced to use Windows 7.
- ChuckMcM 8y agoAssuming RedHat was in a 'sell or die' situation[1] I'm glad it was IBM that stepped in rather than Oracle. [1] I have no reason to believe that it was a dire situation at RedHat, I make the observation that companies that are meeting their goals and doing what they want, don't generally get acquired just because.
- jacques_chester 8y agoIf it was a sell-or-die situation IBM wouldn't have offered such a hefty markup over the market price and they would have used less cash and more shares to pay for it. I think it's been obvious to everyone for a year or two that someone was going to buy Red Hat; I feel that no small part of their share price rising over the last 18 months has priced in that expectation. Like everyone else I am mostly pleased that they didn't get bought by Oracle. Disclosure: I work for a competing company, Pivotal, so feel free to treat my observations as motivated by ... I dunno, actually. I'm looking for a cool French word here but "ennui" isn't quite fitting.
- lerie82 8y agoFirst Github and now Redhat, is the world changing for the better or worse?
- bitL 8y agoWhat has just happened?? Was there some behind-the-door takeover, from a friend to a friend? Or a pressure from investors like MS with Nokia? It just doesn't make any other sense...
- netmonk 8y agocan someone explain to me what will happen tomorow at market opening ? Currently redhat is quoted 114$, IBM announced they will buy all share at 190$. will it be tradable tomorow morning at market opening ?
- zapita 8y agoThis was to be expected. Red Hat had no future as an independent company. Their flagship product RHEL still dominates their revenue 20 years later... But they have already saturated the enterprise Linux server market, and that market is in decline. All attempts to diversify have failed. Openshift and Ansible have potential, but compared to the decline of their core business, it’s too little too late. The current CEO is a peacetime CEO: he managed a successful business competently in fair wheather, but is not fit to navigate the rough seas ahead. This allows him to leave on a victory (“the largest software acquisition ever!”) and go on a book tour or something. Meanwhile IBM can delude themselves a few more years until they’ve finished milking Red Hat’s products for easy growth. Then they will have to face the reality of their situation: they have no real answer to Big Cloud eating their lunch. For now, though, they can pretend this is it.
- 83sjeodeke 8y agoDo you think Ubuntu has a future as an independent company?
- zapita 8y agoI don’t understand your question, sorry. Can you explain what you mean?
- bpye 8y agoI think the implication is that Canonical are in the same, shrinking market. Whilst I assume Ubuntu Server has a smaller market share (though I have no figured to back this up), are they not going to end up in the same spot where they can't really progress?
- zapita 8y agoWell, Canonical was never a successful business in the first place. Red Hat on the other hand has revenue in the billions... which is huge! It’s just not growing fast enough to keep up with the competition from cloud providers and others. Canonical hasn’t even graduated to that sort of first-class problem (and I doubt they ever will).
- B1FF_PSUVM 8y agoOh boy, am I going to have a field day ribbing my Fedora-sporting friends about their IBM PCs ...
- webwanderings 8y agoThey should have taken over docker. Instead, they went old fashioned. Fine. But this probably doesn’t scare competition away (MS, AWS, Google).
- deleted 8y ago[deleted]
- alanzhong 8y agoI probably can understand the motivation from IBM side. Most big/great companies have a long term vision and strategy. I did not get Redhat, is it good to join IBM?
- GautamGoel 8y agoWelp, there goes Fedora!
- deleted 8y ago[deleted]
- honestlyidk 8y agoThat blog post from cormier scares me. Its so cheerleading and the use of "we" like any one besides the employees at RedHat get a piece of that buyout. "Opensource is here to stay." ... Im not holding my breath. But I am bullish on the possibilities. If IBM doesnt F this up I hope they realize that people dont have negative feelings about them like Amazon and Google. People want a tech company that is more tech and less politics. IBM dont do anything special just have a simple payment structure with a product that works.
- RandomTisk 8y agoKind of surreal news honestly, my interest in this is about like I would imagine if I was going to a Monster Truck show and found out several drivers would be absolutely plastered the whole time: I'm pretty sure something very bad is going to happen.
- tomohawk 8y agoHmmm - even less happy about systemd and all the other red had stuff that's been pumped into linux.
- _emacsomancer_ 8y agoMaybe IBM can re-acquire ThinkPad from Lenovo too. Red Hat traditionally uses ThinkPads internally.
- techntoke 8y agoRed Hat employees traditionally use Macs and Windows PCs.
- _emacsomancer_ 8y agoIs this really the case? I had always heard that part of the reason ThinkPads have such good Linux support is their use internally at Red Hat (who pushed the relevant code upstream).
- techntoke 8y agoYes it really is. There are some people internally that use Fedora, but even they are becoming more rare. Canonical on the otherhand requires their employees use their distro. I personally run Arch and haven't had issues on any hardware that I've tested, and it has the benefit of staying current with the latest stable kernel and software, so it doesn't have to backport fixes and features.
- _emacsomancer_ 8y agoMy understanding (via the Ubuntu podcast) is that Canonical allows people (outside of core desktop team) to use at least non-Ubuntu distros.
- techntoke 8y agoThis could be a more recent change, but while I was working there in 2015 it was part of the hiring process to use your own laptop with Ubuntu, and that is how they would test compatibility with multiple devices. Heck, if I could run Arch Linux, I'd consider going back.
- dhimes 8y agoI would feel a lot better about this if their other recently acquired properties showed a better user experience, especially weather underground and the weather channel. I'm not an IBM hater by any means. My FIL was a beemer; I have a good friend who is still one, along with various others I've known through my life. I cut my teeth on IBM mainframes, and my nostalgia for things like xterm stem from that. But their recent track record is troubling. To an outsider it seems like they haven't formed a cohesive corporate strategy, and they've been making things up quarter to quarter. I don't feel good about this, I'm sorry to say. I hope I'm wrong.
- franga2000 8y agoSo, with SUSE getting sold to some equity firm and Red Hat being bought by Oracle's slightly less evil twin brother, is Canonical really the only "independent" Linux OS vendor left? And here I thought this was going to be The Year of The Linux Desktop™...
- ir193 8y agoIt's not about IBM at all. We have AWS/Azure/GCP out there. IBM and Red Hat? That reminds me Intel+samsung or Nokia+Qt when there are already Android/iOS/WP.
- simonebrunozzi 8y agoMy 0.02: IBM:Oracle=RH:Sun (question from a non-native English speaker: is the above interpreted as IBM is to Oracle as RH is to Sun ?) Bad times are coming for open source.
- bpye 8y agoIBM is to RedHat what Oracle was to Sun
- mandeepj 8y ago> Second quarter total revenue of $823 million, up 14% year-over-year, or 14% in constant currency ARR around $3.3 billion. I think they have sold the company very cheap. Source - https://www.redhat.com/en/about/press-releases/red-hat-reports-second-quarter-results-fiscal-year-2019 https://www.redhat.com/en/about/press-releases/red-hat-repor...
- liftbigweights 8y agoI wouldn't have sold also, but IBM paid an 80% premium. Not exactly cheap.
- justinclift 8y agoUgh. Terrible news. Better than by MS or Oracle though. Just.
- j1vms 8y agoOne word: SCO. It's amazing if you consider how differently this sort of acquisition would have been viewed, way back during the SCO v. IBM [0] era. [0] https://en.wikipedia.org/wiki/SCO_Group,_Inc._v._International_Business_Machines_Corp https://en.wikipedia.org/wiki/SCO_Group,_Inc._v._Internation....
- wangyjx 8y agoIBM's market cap is a little more than 100B so far. It costs more than 30B to acquire RH, that means IBM realize that if it doesn't do something useful, it will sink. RH maybe the only one that's worth of purchasing and IBM can afford.
- watertom 8y agoIBM is where Unisys was in 1990, this is not positive for Red Hat.
- ChicagoDave 8y agoLike ten years after they should have done this.
- kalefranz 8y agoAt least it’s not Oracle.
- throw2016 8y agoIBM like Redhat is a long time contributor and both are commercial companies driven by profits and shareholders so this does not change things. However no one can deny Redhat has a disproportional influence in pushing its interests that may not always be in the community's best interests. These now move to IBM. The bigger problem is the growing tilt of open source towards corporate interests so much so that dependence on individual companies passes without notice or scrutiny. This is perhaps not the end result that motivated the initial community of open source contributors over the last 20 years and if we do not find ways to motivate the next generation open source will likely become a shell of itself, propped up by paid contributors and self interest.
- chasd00 8y agoEvery aquisition I've been a part of immediately resulted in a massive brain drain as everyone who made the aquired company great jumps ship. I wonder if Redhat's competitors are licking their chops.
- jhallenworld 8y agoWhen I worked for IBM (via acquisition), I wanted to fix bugs in Cygwin (owned by Red Hat). Red Hat does not accept patches unless you get permission from your current employer. I could not get anybody in IBM to sign Red Hat's permission slip. Nobody would sign because it's all risk, no reward from IBM's point of view.
- linker3000 8y agoDeeply regrettable. One of my colleagues identified and fixed an issue with Duplicity while he was working on a backups subsystem for our server estate, and after a quick check with a Director I was able to sign off the work for release back to the Duplicity project.
- _pmf_ 8y agoThat's more a Red Hat legal failure than a IBM legal failure.
- paulie_a 8y agoHonestly I probably would have just scribbled a name in a terrible hand writing (not hard for me anyways) and called it a day. They just wanted something on file that would never be looked at again.
- jtl999 8y agoCouldn't you just submit patches under a pseudonym?
- dredmorbius 8y agoLinux kernel, as an example, expressly rejects this. Source: multiple discussion with GKH.
- bunderbunder 8y agoI think that, if you were to ask open source maintainers, "What would you think of me committing fraud to get around your project's policies?" most of them would say, "Thanks, but no thanks."
- anonymous192836 8y ago(Don't want to use my regular id for this) We were transitioning from an old IBM app stack to a Red Hat stack. I was spending a lot of time trying to make this happen. This news makes me want to laugh and cry at the same time - it is so ironic.
- jhallenworld 8y agoA big loser here is Microsoft. IBM has basically just purchased Linux at the time when Microsoft has finally embraced it.
- techntoke 8y agoNah, they'll end up picking up Canonical. I'm guessing this acquisition was preemptive.
- kurczynski 8y agoI am so sad about this. There is nothing good that I see coming out of this, but I hope that's just my bias. Red Hat has been a huge contributed to Linux and open source for years, I want to keep my Fedora!!
- ulkesh 8y agoI completely agree. I feel the same about MS buying Github, too. We are seeing so much consolidation in so many markets, the only true outcome will be that it will be a worse environment for the rest of us.
- burtonator 8y agoProud to be part of Americas 5 companies!
- setheron 8y agoWho do people dislike more : Oracle or IBM?
- senozhatsky 8y agoI am living in an alternate Universe now? - Linus is super polite here; - RedHat is IBM here; - IBM is still bad, tho. -ss P.S. Sad news.
- calibas 8y agoHow easy is it to switch to Ubuntu instead of upgrading my web server to CentOS 7?
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- dreyfiz 8y agoWhat the expletive! (Awesome, really didn’t see it coming though!)
- amrx431 8y agoRIP Red Hat.
- giis 8y agoI went to IBM(India) interview sometime in 2011, after leaving GlusterFS (Red Hat). Interview went well, during final call with management. I was asked to stop working on Open Source during weekends or off-hours even though the IBM project and my Open Source work has nothing in common. I said, "I thought, IBM support Open Source right?" his response, "Yes, but that's another team" I decided to call-off the interview after that.
- alexott 8y agoThe same is for Intel...
- andy_ppp 8y agoI can see Joel's points here and this is relevant to the discussion. It's probably the article he has written I disagree with the most as there is a simple way to deal with this; be very clear about the projects, code and designs the employee works on each month and sign them over as they are delivered. That way the employee's own work will be clear should there be any legal wrangling. This could be done by a status in Jira for example. https://www.joelonsoftware.com/2016/12/09/developers-side-projects/ https://www.joelonsoftware.com/2016/12/09/developers-side-pr...
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- kitd 8y agoI'm an IBMer and the current rule is you can work on OS projects in your own time as long as it isn't to the detriment of IBM's projects.
- amjadcsu 8y agoIBM had power and if anyone remembers it was also part of cell architecture team along with sony and Toshiba. I worked with yellow dog linux the official linux distro for sony ps3 . IBM at that point was still pushing for Red hat instead of investing in yellow dog which was powerpc centric. Red hat fedora later dropped support for powerpc. So in all IBM hardware failed and now it is trying to go is way?
- stephenr 8y agoI kind of wonder how many of the people here bemoaning this buyout, also buy into the vc model, where the ultimate 'goal' for most startups is a buyout by a bigger company.
- jaimex2 8y agoWell Canonical - if you were waiting for the right moment to push hard and take Red Hat's business this is it.
- alishan-l 8y agoAnother one bites the dust
- mathattack 8y agoAs a Corp buyer of both, it seems like one dinosaur buying another. When IBM (Or CA or Oracle or any other old school firm) buys another company, it almost always results in underinvestment in product and worse support.
- hardwaresofton 8y agoThanks to CoreOS and all the other teams under RedHat who have done amazing work up until now. To be fair I've used (and enjoyed/been impressed by) your software for free so obviously I'm not owed anything but I'm gonna be looking for alternatives. I'm suuuuuuuuuper glad I jumped off of CoreOS Container Linux earlier after the acquisition by RedHat and subsequent bundling into Project Atomic. I avoided OpenShift all together for other reasons, mostly complexity. Now I can watch from a relatively relaxed standpoint and start figuring out how to make sure no IBM sneaks into my stack, if they start tanking products. As others have noted, this is more than RHEL. Keep in mind: - Ansible is GPLv3 - CephFS is GPLv2 w/ some mix of BSD and others I assume licenses will serve as a canary for when things start shifting. I might even be so bold as to predict some variation of the LICENSE + PATENTS.md clause.
- bonzini 8y agoRed Hat does not have CLAs, not does it own all the copyright, on either Ansible or Ceph. It cannot change their licenses unilaterally, that can only happen with permissive (non-copyleft) terms.
- hardwaresofton 8y agoYes, this is true right now, but does not mean it will be true in the future -- I meant to imply that Ansible was the safest, due to it's GPLv3 licensing (from what I understand GPLv2 is more permissive). My second point was that I expect those terms to change depending on how IBM moves forward, and movement on that front (from the current state of things) should act as a canary.
- bonzini 8y ago_Anything_ that does not have a CLA and is copyleft is safe. That's pretty much the definition of copyleft; IBM cannot do anything about it, and they know.
- chopete 8y agoThere is a saying in the enterprise software business. You are a Walmart or becoming one. There is no middle ground. The enterprise executives do not have the luxury of time or risk appetite to keep doing multi-dollars deals and review MSAs. In that respective, IBM just extended their life by another 10-15 years. It is a brilliant move by IBM. No serious enterprise uses an operating system or any piece of enterprise software without costly support and maintenance. Once they are in, the support and maintenance agreements disappear only if the purchaser goes out of business.
- pookeh 8y agoHaving worked at IBM for 10 years, this is what I have come to know how IBM operates top-down: 1. To make significant profits, we need to sell services on top of our software products (this is essentially GBS and their "strong" sales people) 2. To make very good profits, we need to make highly customizable software (for example AI and BI offerings). 3. To make even more profit we need to make sure the software is tuned to the hardware we make. If one of those weakens the entire IBM portfolio and profits weaken dramatically. Here's problems in last 7 years tho: 1. People moving to the cloud so the hardware business flatlines. 2. Because people moved to the cloud they found replacements to IBM software. 3. At the end of the day IBM is forced to deliver professional services on top of other companies' software and hardware (and services employees are not cheap). At some point the IBM execs must have had an epiphany that their AI offerings don't sell because they don't have a platform that sells other commodity cloud services on top of which AI components can be sold as high-priced addons. So thus IBM decided to do what it does best --- take control of the entire stack. With this acquisition IBM has the potential to become a next gen. cloud vendor. For example IBM has been trying to sell Bluemix as a hybrid PaaS/IaaS but haven't been very successful. The engineering team in Bluemix is weak and one way to really up the ante is getting access to top talent in the industry to do this (CoreOS team, Openshift.io team, linux kernel devs, distributed storage devs).
- k_bx 8y agoWhat's not clear here is that why would one company, which is dong pretty well, better every year, would want to be sold to another company, which doesn't look well (from your own description), instead of just continuing growing and eventually "winning" the cloud market by themselves? Is that just because top Red Hat people wanted to cash out more quickly?
- seqastian 8y agoredhat must also have seen that their ability to grow will rely on a handful of clouds that may or mayn't continue to enable them on their platforms. .. they probably though the price right now is better than what they would get in 5 years.
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