Cempaka Information (Business) Technology: No Recession at Red Hat

The Internet - The first Worldwide Tool of Unification ("The End of History")

" ... Now I give you something that few think about: What do you think the Internet is all about, historically? Citizens of all the countries on Earth can talk to one another without electronic borders. The young people of those nations can all see each other, talk to each other, and express opinions. No matter what the country does to suppress it, they're doing it anyway. They are putting together a network of consciousness, of oneness, a multicultural consciousness. It's here to stay. It's part of the new energy. The young people know it and are leading the way.... "

" ... I gave you a prophecy more than 10 years ago. I told you there would come a day when everyone could talk to everyone and, therefore, there could be no conspiracy. For conspiracy depends on separation and secrecy - something hiding in the dark that only a few know about. Seen the news lately? What is happening? Could it be that there is a new paradigm happening that seems to go against history?... " Read More …. "The End of History"- Nov 20, 2010 (Kryon channelled by Lee Carroll)

"Recalibration of Free Choice"– Mar 3, 2012 (Kryon Channelling by Lee Carroll) - (Subjects: (Old) Souls, Midpoint on 21-12-2012, Shift of Human Consciousness, Black & White vs. Color, 1 - Spirituality (Religions) shifting, Loose a Pope “soon”, 2 - Humans will change react to drama, 3 - Civilizations/Population on Earth, 4 - Alternate energy sources (Geothermal, Tidal (Paddle wheels), Wind), 5 – Financials Institutes/concepts will change (Integrity – Ethical) , 6 - News/Media/TV to change, 7 – Big Pharmaceutical company will collapse “soon”, (Keep people sick), (Integrity – Ethical) 8 – Wars will be over on Earth, Global Unity, … etc.) - (Text version)

“…5 - Integrity That May Surprise…

Have you seen innovation and invention in the past decade that required thinking out of the box of an old reality? Indeed, you have. I can't tell you what's coming, because you haven't thought of it yet! But the potentials of it are looming large. Let me give you an example, Let us say that 20 years ago, you predicted that there would be something called the Internet on a device you don't really have yet using technology that you can't imagine. You will have full libraries, buildings filled with books, in your hand - a worldwide encyclopedia of everything knowable, with the ability to look it up instantly! Not only that, but that look-up service isn't going to cost a penny! You can call friends and see them on a video screen, and it won't cost a penny! No matter how long you use this service and to what depth you use it, the service itself will be free.

Now, anyone listening to you back then would perhaps have said, "Even if we can believe the technological part, which we think is impossible, everything costs something. There has to be a charge for it! Otherwise, how would they stay in business?" The answer is this: With new invention comes new paradigms of business. You don't know what you don't know, so don't decide in advance what you think is coming based on an old energy world. ..."

Saturday, March 29, 2008

No Recession at Red Hat

By STEVE LOHR, The New York Times

Red Hat, the Linux software company, gave a nice welcome present Thursday to its new chief executive, James Whitehurst.

The company, which distributes Linux and other open-source software, reported that its quarterly sales grew 27 percent and earnings slightly surpassed analysts’ consensus estimate. The company also presented an upbeat outlook for its just-started fiscal year, predicting growth of another 30 percent. In after-hours trading, Red Hat shares rose nearly 5 percent.

Red Hat, based in Raleigh, N.C., has done the difficult — built a solid, profitable business around open-source software. It charges its corporate customers yearly subscriptions for its flavor of the Linux operating system along with technical support and training. For its current fiscal year, ending in March 2009, Red Hat expects sales to reach $665 million to $680 million, above Wall Street projections, while earnings per share should rise to 78 cents to 82 cents. The per-share number is a bit below the consensus estimate, but that is more than explained by Red Hat’s assumption that in a recessionary environment, interest rates will fall further, reducing the income on the $1 billion in cash the company is sitting on.

Mr. Whitehurst, who joined the company in January, said that in a recession Red Hat should continue to gain ground, since open-source software is regarded by many corporate customers as a lower-cost alternative to proprietary products.

Red Hat has now established itself as a strong player in the corporate software market. For a year, Oracle has tried to undercut Red Hat by offering a similar version of Linux and charging less for technical support. But it has made scant progress to date.

Red Hat certifies that 4,000 different software applications run on its brand of Linux and has worked closely for years with all the significant hardware vendors. “There’s a network effect there,” Mr. Whitehurst said in an interview. “Oracle doesn’t have the ecosystem.”

Nor does anyone else have that kind of Linux-based ecosystem. It could look attractive to enterprise software companies that increasingly seek to offer corporate customers several layers in the so-called software stack — an operating system, middleware, perhaps a database and applications too. If the Red Hat ecosystem is valuable, it would also not be too expensive at current prices. Its market capitalization is $3.4 billion, a price tag that would be reduced substantially by that $1 billion in cash.

Oracle, Sun Microsystems, I.B.M., EMC (parent of VMware) and even Google have been rumored as possible suitors. The recent flurry, to be sure, is but the most recent round of rumors about Red Hat.

It is flattering to be mentioned, Mr. Whitehurst said, but he noted that corporate customers and the industry benefit from what he called Red Hat’s “Switzerland status” — not being a province of one of the major powers in the technology industry.

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