Red Hat just announced that it acquired the VDI startup Qumranet for $107M.
The startup left the stealth mode in September 2007 and has just 60 employees, all of them will keep their work as Red Hat employees.
The move is critical and has a major impact on many aspects of the virtualization world.
The Qumranet strategy
Qumranet offers an interesting VDI solution made by a management console, a connection broker and a new remote desktop protocol.
But more than that, Qumranet maintains KVM, the new virtualization platform that has been implemented in the Linux kernel after just six months of development.
KVM allows any Linux box to become a virtualization platform, and KVM is the only company at the moment able to offer a VDI solution for KVM.
This means that customers looking for cheap, large-scale virtual desktop infrastructures have to buy the Qumranet solution.
The Red Hat strategy
In the last few years, despite a number of announcements, Red Hat didn’t demonstrate a neat strategy about virtualization. But in June the company officially declared its intention to move from Xen to KVM.
Just two months after, a Red Hat executive formally revealed the company interest in VDI. At that point it was easy to forecast a special deal with Qumranet.
(it seems that when virtualization.info presumed the acquisition, the deal was already signed)
Buying Qumranet Red Hat just solved a number of problems:
- obtaining direct control on the development of a virtualization engine (something that the company was never able to do with Xen because of XenSource, and even less after XenSource was acquired by Citrix)
- obtaining a platform which is ready for virtualization ubiquity (KVM is flexible enough to be deployed on servers, desktops, embedded devices and anywhere Linux can fit)
- obtaining a strong position in the growing VDI market
- differentiating its virtualization offering from the competitor Novell (both are currently adopting Xen)
- enforcing its position of open source leader while the competitor Novell is seen as a suspicious Microsoft ally
The impact on the market
Both Citrix and Red Hat acquired a virtualization company that develop and control an open source virtual machine monitor (VMM). But there’s a major difference between the two companies.
Citrix never had an involvement in the open source world, and despite the culture introduced by Simon Crosby and his staff (and their tireless efforts), the community has a hard time in recognizing Citrix as a company that can give back. When talking about virtualization Citrix is first and foremost seen as the best Microsoft ally against VMware.
Red Hat instead is a beloved, open source paladin. The company made some mistakes in the past, but its effort in supporting Fedora still makes it a leader in the Linux world.
This difference is now specially important: some entities currently contributing to the Xen development may find much more interesting to work with Red Hat rather than with Citrix (think about IBM).
At the same time some firms heavily relying on Red Hat (think about Oracle), may be in deep trouble now that the company is definitively replacing Xen with KVM.
These entities may need to look at Novell now, or start working on their own implementations.
In any case the acquisition of Qumranet is a major achievement for Red Hat, which has now a unique opportunity to become a real virtualization leader.
blog comments powered by Disqus
virtualization.info Newest articles
February 9th, 2017
“We see greater potential strategic opportunity in NSX over the next decade than our franchise product vSphere has had for the past decade.”
said VMware’s CEO Pat Gelsinger talking about…
November 22nd, 2016
Encryption of virtual machines is something that has been requested for years by the security community. VMware continued to postpone its implementation due to the negative operational impact that many…
November 1st, 2016
In September 2012 Dell announced to have completed the acquisition of Quest Software, a Californian company with an history in systems management, security, business intelligence and, falling back in our…
October 21st, 2016
Citrix announced its financial results for third quarter 2016.
The revenues for the second quarter were $841 million for an increase of 3% compared to Q3 2015.
Net income was $132…
October 19th, 2016
2016 edition of VMworld US has been quite turbulent, on the other hand during VMworld Europe, happening these days in Barcelona, the company announced a few more products for the…
October 18th, 2016
Log Insight is a log aggregation, management and analisys tool, that VMware first introduced in 2013 and now is usually compared with Splunk.
Yesterday VMware announced Log Insight’s new major…
October 13th, 2016
Yesterday Microsoft announced the general availability of Windows Server 2016 which the company defines as a cloud-ready OS.
Beside fancy definitions, one of the most relevant perks of this release…
September 22nd, 2016
During Oracle OpenWorld 2016 the company released version 3.4.2 of its enterprise virtualization solution.
Oracle VM is available for both x86 and SPARC based processor architectures and uses the Xen hypervisor…
September 1st, 2016
Today was the last day of VMware’s flagship conference VMworld in Las Vegas, an highly controversial edition which left a good chunk of the audience disoriented if not properly disappointed….
August 11th, 2016
Last week Gartner updated its Magic Quadrant for Cloud Infrastructure as a Service (IaaS) for the year 2016. The Magic Quadrant for the year 2015 was released in May last year…
August 2nd, 2016
Ansible is one of the four main players in the automation market, younger then the well known Chef and Puppet, has been launched in 2013 in Durham, N.C. and acquired…
July 19th, 2016
Yesterday IBM announced its results for Q2 2016.
If we compare with the same quarter in 2015 earnings per share, from continuing operations, decreased 22%. Net income, from continuing operations,…
June 24th, 2016
Red Hat announced its financial results for the first quarter of fiscal year 2017.
Total revenue for the first quarter was $568 million, with an increase of 18% from the…
June 24th, 2016
Today Red Hat released in beta version 4.0 of its KVM-based virtualization platform Red Hat Enterprise Virtualization (RHEV).
As a major release RHEV 4.0 ships a wide series of enhancements including: