Krishna was on Norges podcast a while ago and mentioned that Red Hat would be (not his words) brought to heel with the rest of IBM. IMO, it is a version of the Broadcom/VMware playbook, boil-the-frog style.
Redhat underpins many low-visibility, very important Linux projects, and most have no idea they are doing it. For example, look at kernel committers:
weighted by market cap, the disparity is even more severe imo.
There is more visible projects (eg Ansible) that are great, but with very lackluster monetization and little impetus for IBM to GAF.
These guys are pursuing the wrong strategy, they should be using super popular, high-mindshare projects to drive new wave of tailored business solutions leveraging existing consulting teams they already have (IBM revenue to hugely reliant on PS, 33%). Basically the largest "forward deployed eng" transition ever, backed by existing very strong open-source software and tailored (with Watson, dear god) as the "AI powered" engine to appease the shareholder gods. You would run over so many startups with poor penetration at the F2000 level.
Krishna's words on the podcast you cite were: "Red Hat has not been integrated... yet. [...] Engineering in Red Hat, I actually believe given the open-source nature
of Red Hat, is going to have to be its own function. So, engineering I
will likely not integrate because working at their scale of open source,
maybe that is one where IBM learns from them, and things that are open
source should belong much more in the Red Hat methodology than ours".
Operations (HR, finance, legal, IT) has already been integrated into IBM and that's what the post is talking about. Not engineering.
<a href="https://www.youtube.com/watch?v=IxqrSXiRja4" rel="nofollow">https://www.youtube.com/watch?v=IxqrSXiRja4, 6:37 starts discussion about integration, so you can judge exactly what he says.
"The only one we have not fully fully integrated yet, and I will emphasize the "yet" is RedHat".
"on the go to market side, I really believe in full integration".
you already mentioned the engineering teams, and I do think your framing is mostly right. However, I think it unrealistic to say I am going to fully integrate back-office, fully integrate GTM, and somehow engineering is totally untouched.
They are not fully integrating go-to-market. In the podcast Krishna says that the size and organization of Red Hat's GTM was larger than every other acquisition, and they were looking at partial integration only. Since then they actually have moved the sales teams for smaller markets to IBM. Red Hat kept the 20 or so largest markets and the verticals.
Right now operations is employed by IBM but still mostly working as they did at Red Hat. We'll see how that changes over the next couple years, as that would be the first look at Red Hat integrating into IBM.
Hasz · · focus · HN ↗
Redhat underpins many low-visibility, very important Linux projects, and most have no idea they are doing it. For example, look at kernel committers:
<a href="https://insights.linuxfoundation.org/project/korg/contributors?timeRange=past365days&start=2025-10-01&end=2026-10-01" rel="nofollow">https://insights.linuxfoundation.org/project/korg/contributo...
weighted by market cap, the disparity is even more severe imo.
There is more visible projects (eg Ansible) that are great, but with very lackluster monetization and little impetus for IBM to GAF.
These guys are pursuing the wrong strategy, they should be using super popular, high-mindshare projects to drive new wave of tailored business solutions leveraging existing consulting teams they already have (IBM revenue to hugely reliant on PS, 33%). Basically the largest "forward deployed eng" transition ever, backed by existing very strong open-source software and tailored (with Watson, dear god) as the "AI powered" engine to appease the shareholder gods. You would run over so many startups with poor penetration at the F2000 level.
bonzini · · focus · HN ↗
Operations (HR, finance, legal, IT) has already been integrated into IBM and that's what the post is talking about. Not engineering.
Hasz · · focus · HN ↗
<a href="https://www.youtube.com/watch?v=IxqrSXiRja4" rel="nofollow">https://www.youtube.com/watch?v=IxqrSXiRja4, 6:37 starts discussion about integration, so you can judge exactly what he says.
"The only one we have not fully fully integrated yet, and I will emphasize the "yet" is RedHat".
"on the go to market side, I really believe in full integration".
you already mentioned the engineering teams, and I do think your framing is mostly right. However, I think it unrealistic to say I am going to fully integrate back-office, fully integrate GTM, and somehow engineering is totally untouched.
bonzini · · focus · HN ↗
Right now operations is employed by IBM but still mostly working as they did at Red Hat. We'll see how that changes over the next couple years, as that would be the first look at Red Hat integrating into IBM.