UK CHANNEL SIGNS UP FOR NEW IBM/RED HAT INITIATIVE

Raleigh

United States, April 30, 2001

Five premier IBM business partners certified for joint IBM / Red Hat Linux solutions

Red Hat and IBM today announced the first five UK channel partners that will join the new joint channel initiative from IBM and Red Hat. AnIX, Future Network Systems, Real Solutions, Sire Technology and TBC Ltd have all signed-up to resell the joint IBM/Red Hat solutions to businesses investing in Linux-based e-business applications. The initiative will enable IBM channel partners to exploit the rapidly expanding market for business-ready Linux solutions, delivering Red Hat Linux-configured IBM eServer xSeries platforms directly to customers as plug and play e-business application servers.


The programme will enable the five participating channel partners to achieve significant competitive advantage in the market through being able, for the first time, to offer customers credible, reliable, manageable and fully supported Linux solutions for their Internet infrastructure. Certified partners will benefit from:


Partner Web Zone: An exclusive resource on configuration and optimisation processes including relevant marketing material, 'How to Guides' and additional marketing and sales resources to promote the IBM and Red Hat solutions


IBM and Red Hat certified configuration training for staff


Discount on Red Hat training


Telephone support from Red Hat


"The market opportunities for Linux are already so extensive and, as total cost of ownership of IT becomes a key consideration for organisations, the market can only increase," said Richard Warren, director, Real Solutions. "But, to succeed in this market, we need to be able to deliver business-ready Internet solutions, and the new channel programme from IBM and Red Hat is a great way for us to tap into the Linux market and continue to grow our business."


"Linux is a relatively new but rapidly growing technology, we want to be certain that we're playing in that market," said Barry Kiddell, director, Sire Technology. "Up to now Linux solutions have been bespoke but now, with the IBM/Red Hat programme, we can offer our customers plug-and-play Internet solutions that are fully certified and supported. This new initiative will enable us to play a strong role in the Linux market."


"Businesses of all sizes are seeing Open Source technology as an increasingly attractive option," said Stuart Mann, managing director, Future Network Systems. "Whether it's in an enterprise department or in a SME, application servers are critical elements in building an e-business infrastructure. This joint offering from IBM and Red Hat will complement the products and services we can deliver to our customers. We're very excited by the opportunties ahead."


"When the world's largest IT vendor and the world's leading Linux company come together with a joint programme, you want to be part of it," said Neil Cornish, sales director, AnIX. "The joint IBM/Red hat programme presents us with an excellent opportunity to develop our product range and provide pre-configured Linux server solutions to our customers."


"With total cost of ownership becoming increasingly important to businesses of all sizes, we're finding that there's a clear increase in customer demand for Linux based solutions" said Patrick Mangan, marketing director, TBC Ltd. "With IBM and Red Hat announcing this major joint initiative, we were determined to be in on it from the start, so that we can offer our customers leading edge solutions from two of the biggest names in the IT world."


For more information about the joint channel programme, please visit http://www.europe.redhat.com/RedOnBlue


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About IBM eServer


IBM is the number one server vendor in the world. For more information, visit the IBM servers Web site at http://www.ibm.com/servers/eserver


For more information relating to Linux at IBM, please visit http://www.ibm.com/linux


About IBM eServer xSeries


The eServer xSeries is IBM's line of scalable industry-standard, Intel-based servers that enable customers to confidently run their e-businesses. The xSeries leverages IBM's x-architecture leadership to to provide highly scalable servers for multiple operating environments incorporating the latest mainframe technologies at the right price for customers of all enterprises.


About Red Hat, Inc.


Red Hat is the leader in developing, deploying and managing solutions built on the benefits of an open source platform. These solutions include an open source product platform for devices to mainframes, a complete end-to-end set of Professional Services, and the Red Hat Network as the Internet-based backbone for deployment and management of the products and services. Red Hat's open source platform includes the award-winning Red Hat Linux operating system platform, the Interchange e-Commerce platform, Stronghold Secure Web Server, Credit Card Verification software, High Availability Server, GNU-based developer toolkit for embedded development and embedded run-time Linux, eCOS and RedBoot solutions.


Red Hat backs up their open source offerings with end-to-end services that include: Red Hat Professional Consulting focused on multiplatform infrastructure and engineering services; Red Hat Engineering services for software development and porting of the operating system and for embedded platforms and devices; Red Hat Enterprise support services for installation services and Web and telephone support and Red Hat Learning services for Linux certification (RHCE) and courses for Apache, Embedded systems, Advanced Developer and e-Commerce. Red Hat Network provides Red Hat's unique managed services capability to deploy and manage open source products, services, support and management information on-line in real-time to more cost effectively and reliably maintain open source-based solutions.


Red Hat is headquartered in Research Triangle Park, N.C. and has offices worldwide. For investor inquiries, contact Gabriel Szulik at Red Hat, +1-919-547-0012.


Red Hat Europe was established in July 1999 with its European headquarters based in Surrey, United Kingdom and offices throughout Europe. Red Hat Linux is sold and supported through a number of major distribution and industry partners throughout Europe and from http://www.europe.redhat.com/shop


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LINUX is a trademark of Linus Torvalds. RED HAT is a registered trademark of Red Hat, Inc. The IBM logo and eServer xSeries are trademarks of IBM Corporation. All other names and trademarks are the property of their respective owners.


FORWARD-LOOKING STATEMENTS


Forward-looking statements in this press release are made pursuant to the safe harbour provisions of Section 21E of the Securities Exchange Act of 1934. Investors are cautioned that statements in this press release that are not strictly historical statements, including, without limitation, management's plans and objectives for future operations, and management's assessment of market factors, constitute forward-looking statements which involve risks and uncertainties. These risks and uncertainties include, without limitation, Red Hat's dependence on the continued development of the Linux kernel, and the contribution of key individuals within the Linux community who are not associated with Red Hat, reliance upon strategic relationships, management of growth, the possibility of undetected software errors, the risks of economic downturns generally, and in Red Hat's industry specifically, the risks associated with competition and competitive pricing pressures, the viability of the Internet, and other risks detailed in Red Hat's filings with the Securities and Exchange Commission, copies of which may be accessed through the SEC's Web site at http://www.sec.gov