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Success story

IT provider adapts to change faster with agile infrastructure

POSCO ICT supports the IT infrastructure of POSCO, a multinational steelmaker based in Korea, and offers a variety of IT services to other organizations. Facing compatibility and interoperability issues posed by legacy software running on different platforms, the company wanted to simplify its IT environment. By moving to Red Hat® Enterprise Linux®, POSCO ICT now has an agile, flexible IT infrastructure at a lower total cost.

Customer Since


Seoul, South Korea

Technology Industry


Support growth and business innovation by building an agile, cost-effective IT infrastructure.


  • Intel Xeon processor-based servers
  • IBM x86
  • HP x86

We now have an agile IT infrastructure with lower TCO that can adapt quickly to business changes. Red Hat technologies on Intel Xeon processor-based servers also help us avoid vendor lock-in, giving us freedom of choice.

Ui Jae Lee, Operating team manager, POSCO ICT

IT services firm seeks simplicity

As an IT service provider, POSCO ICT built and maintained a varied and complex IT infrastructure to support its customers. The company’s IT environment included many hardware and operating systems, including Solaris, AIX, HP-UX, Linux, and Microsoft Windows servers. Further complicating matters were numerous applications, ranging from enterprise resource planning and enterprise application integration to database, content management, email, e-learning, and knowledge management.

The complexity and inefficiency of the IT environment made it increasingly hard for POSCO ICT to support business requirements. To simplify IT system management and inject much-needed agility and flexibility, the company needed a reliable, high-performance operating system.

Provider aims to lower cost and spur innovation

From 2004 to 2007, POSCO ICT replaced its legacy IT infrastructure with a new one based on Linux and a third-party virtualization platform running on Intel Xeon processor-based servers. The company launched several projects to move AIX and Solaris-based systems to HP-UX and SUSE Linux. Many of these systems were virtualized using VMware solutions. Supporting the various flavors of UNIX continued to require quality technical support for each.

By 2007, the aging Linux systems needed to be upgraded to meet the demands of a long-term project. The SUSE Linux platform did not meet the project’s needs, so POSCO ICT began looking for a better solution. The main goals of the planned migration were to:

  • Reduce the total cost of ownership (TCO) for the IT infrastructure.
  • Improve agility.
  • Apply new technologies for business innovation.
  • Avoid vendor lock-in.

POSCO ICT selects agile, cost-effective platform

After careful evaluation of the available options, POSCO ICT chose Red Hat Enterprise Linux for its core solution. “In addition to meeting our criteria, Red Hat solutions included high-quality technical support,” Lee said. “We also valued Red Hat’s partnerships and connections with other vendors, including Intel and VMware.”

POSCO ICT deployed Red Hat Enterprise Linux on Intel Xeon processor-based servers, replacing some of its HP-UX-based servers. The migration continued until Red Hat Enterprise Linux and Intel hardware formed the core of the company’s IT infrastructure. Half of the company’s 400 physical servers are now running on Red Hat Enterprise Linux, with another 200 to 300 virtual machines running Red Hat Enterprise Linux on the VMware vSphere environment.

“Since more than 400 systems were running on VMware and were installed with many third-party solutions, Red Hat advanced technical support services are critical for handling multivendor issues,” said Lee. “The right support helps us avoid problems.”

Company gets agility to ease datacenter move

POSCO ICT’s implementation of Red Hat solutions has yielded many benefits, most importantly an agile, flexible IT infrastructure capable of supporting the company’s future growth.

“Red Hat helped us in our migration and made maintenance and operation much easier,” said Lee. “We now have an agile IT infrastructure with lower TCO that can adapt quickly to business changes. Red Hat technologies on Intel Xeon processor-based servers also help us avoid vendor lock-in, giving us freedom of choice.”

The new IT infrastructure’s agility paid off when POSCO ICT engaged Red Hat Consulting to help with a recent datacenter relocation. Red Hat Consulting helped by assessing potential risks, checking systems, and troubleshooting. “The relocation was successfully completed without any major incident because of the consulting engagement and our Red Hat Technical Account Manager,” Lee said.

With the agile infrastructure in place, POSCO ICT is now looking at extending into the cloud. “Because of the success of our migration and Red Hat’s broad ecosystem of technologies and partners, we are now considering other Red Hat solutions such as Red Hat Virtualization, Red Hat Storage Server, and Red Hat cloud solutions,” said Lee.

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