Red Hat Reports $823 Million in Revenue for Second Quarter 2019
Strong performance for cloud and container products leads to a 14% increase over last year.
Red Hat has evolved beyond its original role as a Linux vendor and is now positioned as a cloud player that offers complete solutions to enterprise customers. The company has been expanding its product portfolio to help customers embark on their cloud native and digital transformation journey.
Red Hat’s aggressive repositioning is reflected in its revenue. The company earned the total revenue of $823 million, up 14% year-over-year, in the second quarter of the fiscal year 2019.
“The expansion of our technology portfolio has increased our strategic importance with customers, which is evidenced by the number of deals over five million dollars in the second quarter more than doubling year-over-year,” said Jim Whitehurst, President and Chief Executive Officer of Red Hat. “Customers continue to prioritize their digital transformation initiatives, and they are adopting Red Hat’s hybrid cloud enabling technologies to modernize their applications and drive greater efficiency and effectiveness in their business.”
Which technologies segments are growing within Red Hat is apparent from the breakout of the revenue. Subscription revenue remains the largest earnings at $527 million, but it registered a mere 8% in year-over-year growth. On the other hand, revenue from emerging technologies (read cloud and containers) was $196 million for over 31% year-over-year growth.
If Red Hat keeps up this pace, it might touch the $4 billion annual revenue mark in 2019.
Subscribe to our Linux Newsletters
Find Linux and Open Source Jobs
Subscribe to our ADMIN Newsletters
Support Our Work
Linux Magazine content is made possible with support from readers like you. Please consider contributing when you’ve found an article to be beneficial.
News
-
Linux Hits an Important Milestone
If you pay attention to the news in the Linux-sphere, you've probably heard that the open source operating system recently crashed through a ceiling no one thought possible.
-
Plasma Bigscreen Returns
A developer discovered that the Plasma Bigscreen feature had been sitting untouched, so he decided to do something about it.
-
CachyOS Now Lets Users Choose Their Shell
Imagine getting the opportunity to select which shell you want during the installation of your favorite Linux distribution. That's now a thing.
-
Wayland 1.24 Released with Fixes and New Features
Wayland continues to move forward, while X11 slowly vanishes into the shadows, and the latest release includes plenty of improvements.
-
Bugs Found in sudo
Two critical flaws allow users to gain access to root privileges.
-
Fedora Continues 32-Bit Support
In a move that should come as a relief to some portions of the Linux community, Fedora will continue supporting 32-bit architecture.
-
Linux Kernel 6.17 Drops bcachefs
After a clash over some late fixes and disagreements between bcachefs's lead developer and Linus Torvalds, bachefs is out.
-
ONLYOFFICE v9 Embraces AI
Like nearly all office suites on the market (except LibreOffice), ONLYOFFICE has decided to go the AI route.
-
Two Local Privilege Escalation Flaws Discovered in Linux
Qualys researchers have discovered two local privilege escalation vulnerabilities that allow hackers to gain root privileges on major Linux distributions.
-
New TUXEDO InfinityBook Pro Powered by AMD Ryzen AI 300
The TUXEDO InfinityBook Pro 14 Gen10 offers serious power that is ready for your business, development, or entertainment needs.