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Monday, March 2, 2020

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Red Hat, Inc. is an American multinational software company providing open source software products to the enterprise community. Founded in 1993, Red Hat has its corporate headquarters in Raleigh, North Carolina, with other offices worldwide. It became a subsidiary of IBM on July 9, 2019.

Red Hat has become associated to a large extent with its enterprise operating system Red Hat Enterprise Linux. With the acquisition of open-source enterprise middleware vendor JBoss, Red Hat also offers Red Hat Virtualization (RHV), an enterprise virtualization product. Red Hat provides storage, operating system platforms, middleware, applications, management products, and support, training, and consulting services.

Red Hat creates, maintains, and contributes to many free software projects. It has acquired several proprietary software product codebases through corporate mergers and acquisitions and has released such software under open source licenses. As of March 2016, Red Hat is the second largest corporate contributor to the Linux kernel version 4.14 after Intel.

On October 28, 2018, IBM announced its intent to acquire Red Hat for $34 billion. The acquisition closed on July 9, 2019. Red Hat's lead financial adviser in the transaction was Guggenheim Securities.

Red Hat operates on a professional open-source business model based on open-source software, development within a community, professional quality assurance, and subscription-based customer support. They produce open-source code so that more programmers can make adaptations and improvements.

Red Hat sells subscriptions for the support, training, and integration services that help customers in using their open-source software products. Customers pay one set price for unlimited access to services such as Red Hat Network and up to 24/7 support.

In September 2014, however, CEO Jim Whitehurst announced that Red Hat was "in the midst of a major shift from client-server to cloud-mobile".

Rich Bynum, a member of Red Hat's legal team, attributes Linux's success and rapid development partially to open-source business models, including Red Hat's.
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