Red Hat Takes Aim at Vertical Expansion with Partners

-

Red Hat, Inc. (NYSE: RHT), the world’s leading provider of open source solutions, today announced its channel partner ecosystem strategy and key focus for the ASEAN regions. Red Hat’s global channel business has grown over the past four years with channel bookings at 53 percent of total bookings in FY08 to 60 percent in FY12 and most recently, 62 percent for FY13.

Opportunities in Malaysia

Malaysia’s IT industry is expected to have a US$10 billion economy in 2013, according to research and market intelligence firm, IDC[1]. When Digital Malaysia was announced in 2012, the programme outlined the strategies to create an ecosystem to help drive innovation and growth.[2]

According to Damien Wong, general manager, ASEAN, Red Hat, “We believe that businesses will continue to adopt open source solutions as the mainstream technology that not only liberates resources, but at the same time, provides an IT infrastructure that is secure, robust, and agile.” YTL Communications Sdn Bhd, a telecommunications subsidiary of YTL Power International Berhad in Malaysia, shared recently at a press conference that their company has achieved greater efficiency in services and cost-savings on their IT infrastructure, after leveraging Red Hat’s open source solutions.

Investments in Channel Partner Ecosystem

Red Hat has worked closely with partners in Malaysia to reach out to local customers, creating an ecosystem that is supported by both parties. To further support that ecosystem in ASEAN, Red Hat plans to invest in partner-specific marketing, sales and technical support to promote sustainability of the channel partner ecosystem.

Key Verticals

In the latest earnings results, Red Hat achieved the 44th consecutive quarter of revenue growth. Red Hat now provides innovative solutions to more than 90 percent of the Fortune 500 companies, across several verticals including financial services, technology and media, telecommunications,service providers, and government entities. Red Hat is planning to hire between 600 – 800 associates worldwide in FY14, with some of the new hires expected to include sales and customer support roles in ASEAN.

Supporting Quotes

Damien Wong, general manager, ASEAN, Red Hat

“It is wonderful to know that in Malaysia, ICT initiatives such as the Digital Malaysia programme will help promote innovative digital business models, and create new sources of growth. We understand that supporting our channel is critical to Red Hat’s ability to deliver enterprise-ready, reliable, open source solutions to our ASEAN customers. Our partners are an extension of Red Hat, and by investing in resources that our partners need to meet local customer demands, we hope to position them for success.”

Steven Rosen, director, IT, YTL Communications Sdn Bhd

“ The ICT industry is experiencing a paradigm shift as companies migrate to cloud-based solutions with their services becoming more of a commodity. It is crucial for the cloud service providers to standardise on a technology set, such as open source, which can enable the most efficient and cost effective operations. More and more service providers are now leveraging open source for their technology stacks which enable them to build Centres of Excellence (COE) around the different products while keeping the Total Cost of Ownership (TCO) low. For these reasons, YTL Communications has chosen Red Hat to standardise our portals and cloud infrastructures.”

Footnote:

[1] IDC Press Release: Malaysia ICT Top 10: Hyper-Compete for Growth, Speed and Economics – a Confluence of Factors, Says IDC, 6 Dec 2012

[2] About Digital Malaysia, 2012

Additional Resources

Connect with Red Hat

About Red Hat, Inc.

Red Hat is the world's leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, and open source communities, Red Hat helps create relevant, innovative technologies that liberate resources for growth and prepare customers for the future of IT. Learn more at http://www.redhat.com.

Forward-Looking Statements

Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to delays or reductions in information technology spending; the effects of industry consolidation; the ability of the Company to compete effectively; the integration of acquisitions and the ability to market successfully acquired technologies and products; uncertainty and adverse results in litigation and related settlements; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company's growth and international operations; fluctuations in exchange rates; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Annual Report on Form 10-K (copies of which may be accessed through the Securities and Exchange Commission's website at http://www.sec.gov), including those found therein under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic and political conditions, governmental and public policy changes and the impact of natural disasters such as earthquakes and floods. The forward-looking statements included in this press release represent the Company's views as of the date of this press release and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this press release.

###

Red Hat and JBoss are trademarks of Red Hat, Inc., registered in the U.S. and other countries. Linux® is the registered trademark of Linus Torvalds in the U.S. and other countries.

  • About Red Hat
  • Red Hat is the world’s leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, and open source communities, Red Hat helps create relevant, innovative technologies that liberate resources for growth and prepare customers for the future of IT. Learn more at http://www.redhat.com.



  • Forward-Looking Statements
  • Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to delays or reductions in information technology spending; the effects of industry consolidation; the ability of the Company to compete effectively; the integration of acquisitions and the ability to market successfully acquired technologies and products; uncertainty and adverse results in litigation and related settlements; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company’s growth and international operations; fluctuations in exchange rates; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Quarterly Report on Form 10-Q (copies of which may be accessed through the Securities and Exchange Commission’s website at http://www.sec.gov), including those found therein under the captions "Risk Factors" and "Management’s Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic and political conditions, governmental and public policy changes and the impact of natural disasters such as earthquakes and floods. The forward-looking statements included in this press release represent the Company’s views as of the date of this press release and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this press release.