Red Hat's Enterprise Strategy

Red Hat has been growing up, learning how to be an Enterprise Vendor.

In 2001, customers like Wall Street told them, CTO Michael Tiemann says, "you don't support the data center ecosystem."  But now with the Advanced Server product and changes in how they serve their customers (like going to a 12 to 18 month release cycle for Advanced Server - Data Centers don't want to upgrade every six months), things are changing.

They are working hard to certify Red Hat as being compatible for important applications so the customers will see fewer problems at each upgrade.  They don't ever expect to get to, for example, the 14,000 applications Sun's Solaris enjoys, but they've gone from 12 last year to dozens today and expect the number to continue to growth rapidly.

Red Hat is continuing to focus on the server.  It's not that they wouldn't like to see Linux on the desktop (and of course, some of their product lands there), but rather that they see it as an issue of market readiness.  Tiemann sees 100% of the market as ready for Linux on servers and only a very small percentage as ready for the desktop. "We'll wait," he says. 

We asked him if he could see a change in who was using Linux, since a big buy-in by scientists and computer companies was nice but a little too geeky for proof.  He pointed out that while in the industry he did have lots of users at places like Dell, Oracle, and Amazon and in the early user community on Wall Street, he was now starting to see more business users in segments like car dealers and film makers (DreamWorks, Pixar and the other studios are all major Linux users).  It's progress.  

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