-
Open source leaders unite to accelerate adoption of open
software-defined storage for enterprises and service providers
-
Addition of Inktank positions Red Hat as leading provider of open
software-defined storage across object, block, and file system storage
RALEIGH, N.C.--(BUSINESS WIRE)--
Red Hat, Inc. (NYSE: RHT), the world's leading provider of open source
solutions, today announced that it has signed a definitive agreement to
acquire Inktank, a leading provider of scale-out, open source storage
systems. Inktank's flagship technology, Inktank Ceph Enterprise,
delivers world class object and block storage software to enterprises
deploying public or private clouds, including many early adopters of
OpenStack clouds. Combined with Red Hat's existing GlusterFS-based
storage offering, the addition of Inktank positions Red Hat as the
leading provider of open software-defined storage across object, block
and file system storage.
In a recently-published assessment of the software-defined storage
market, IDC's Ashish Nadkarni, the firm's research director for Storage
Systems wrote: "Software-defined platforms will continue to grow faster
than any other market segment in the file- and object-based storage
market. This growth will primarily be driven by a rich and diverse set
of data-intensive use cases across multiple industries and geographies."1
Founded in 2012, Inktank's main objective has been to drive the
widespread adoption of Ceph, a scalable, open source, software-defined
storage system that runs on commodity hardware. Ceph was developed by
Inktank's founder and chief technology officer, Sage Weil, and is a
replacement for legacy storage systems and provides a unified solution
for cloud computing environments. Inktank's primary goal has been to
help customers scale their storage to the exabyte-level and beyond in a
cost-effective way. Inktank has provided customers with expertise,
processes, tools and support with their enterprise subscription and
service offerings. Inktank's customers include Cisco, CERN and Deutsche
Telekom, and its partners include Alcatel-Lucent and Dell. The company
has offices in Los Angeles and San Francisco.
Red Hat has agreed to acquire Inktank, a privately-held company, for
approximately $175 million in cash, subject to certain adjustments at
closing. As part of the transaction, Red Hat will assume unvested
Inktank equity outstanding on the closing date and issue certain equity
retention incentives. The transaction is expected to close in May 2014,
subject to customary closing conditions.
Red Hat does not anticipate that the transaction will have a material
effect on its financial performance for the first quarter of its fiscal
year ending February 28, 2015 ("fiscal 2015"). Red Hat is also
reaffirming its fiscal 2015 guidance, provided on its March 27, 2014
earnings call, for revenue, non-GAAP operating margin, non-GAAP earnings
per share and operating cash flow. Non-GAAP operating margin and EPS
estimates exclude the impact of stock-based compensation and
amortization of acquisition-related intangibles.
Webcast
Brian Stevens, executive vice president and chief technology officer,
Red Hat, and Sage Weil, founder and chief technology officer, Inktank,
will host a webcast to discuss this announcement today, April 30, 2014,
at 12 p.m. EDT. Following remarks, press and analysts are invited to
participate in a live question and answer session.
To join the webcast or view the replay after the event, visit https://vts.inxpo.com/Launch/QReg.htm?ShowKey=19716.
Supporting Quotes
Sage Weil, founder and CTO, Inktank
"With a shared commitment to open source, open standards and customer
success, joining forces with Red Hat is something we are all very
excited about. We believe our open storage technologies will be critical
in the management of data in the coming era of cloud computing. Joining
Red Hat will no doubt lead to tremendous innovation that will ultimately
serve the industry well and answer the demand for open storage solutions
fully integrated with existing and emerging data center architectures
such as OpenStack."
Brian Stevens, executive vice president and CTO, Red Hat
"We're thrilled to welcome Inktank to the Red Hat family. They have
built an incredibly vibrant community that will continue to be nurtured
as we work together to make open the de facto choice for
software-defined storage. Inktank has done a brilliant job assembling a
strong ecosystem around Ceph and we look forward to expanding on this
success together. The strength of these world-class open storage
technologies will offer compelling capability as customers move to
software-based scale-out storage systems."
Additional Resources
About Red Hat, Inc.
Red Hat is the world's leading provider of open source software
solutions, using a community-powered approach to reliable and
high-performing cloud, Linux, middleware, storage and virtualization
technologies. Red Hat also offers award-winning support, training, and
consulting services. As the connective hub in a global network of
enterprises, partners, and open source communities, Red Hat helps create
relevant, innovative technologies that liberate resources for growth and
prepare customers for the future of IT. Learn more at http://www.redhat.com.
About Inktank
Inktank® is transforming storage with Ceph®, the massively scalable,
open source, software-defined storage system that radically improves the
economics and management of data management. Launched by leading Ceph
developers, Inktank's mission is to help enterprises use Ceph to break
free of expensive and proprietary storage systems to decrease their
storage costs, increase their operational flexibility, and effectively
manage their rapidly growing data. Inktank Ceph Enterprise™ is the
market's first enterprise-grade, dedicated Ceph product offering that
delivers everything needed to confidently run a production Ceph storage
cluster at scale. In addition, Inktank provides best-in-class
professional services and Ceph training.
Forward-Looking Statements
Certain statements contained in this press release may constitute
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking statements
provide current expectations of future events based on certain
assumptions and include any statement that does not directly relate to
any historical or current fact. Actual results may differ materially
from those indicated by such forward-looking statements as a result of
various important factors, including: risks related to delays or
reductions in information technology spending; the effects of industry
consolidation; the ability of the Company to compete effectively; the
integration of acquisitions and the ability to market successfully
acquired technologies and products; uncertainty and adverse results in
litigation and related settlements; the inability to adequately protect
Company intellectual property and the potential for infringement or
breach of license claims of or relating to third party intellectual
property; the ability to deliver and stimulate demand for new products
and technological innovations on a timely basis; risks related to data
and information security vulnerabilities; ineffective management of, and
control over, the Company's growth and international operations;
fluctuations in exchange rates; and changes in and a dependence on key
personnel, as well as other factors contained in our most recent Annual
Report on Form 10-K (copies of which may be accessed through the
Securities and Exchange Commission's website at http://www.sec.gov),
including those found therein under the captions "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and Results
of Operations". In addition to these factors, actual future performance,
outcomes, and results may differ materially because of more general
factors including (without limitation) general industry and market
conditions and growth rates, economic and political conditions,
governmental and public policy changes and the impact of natural
disasters such as earthquakes and floods. The forward-looking statements
included in this press release represent the Company's views as of the
date of this press release and these views could change. However, while
the Company may elect to update these forward-looking statements at some
point in the future, the Company specifically disclaims any obligation
to do so. These forward-looking statements should not be relied upon as
representing the Company's views as of any date subsequent to the date
of this press release.
Red Hat and Red Hat Enterprise Linux trademarks of Red Hat, Inc.,
registered in the U.S. and other countries. Linux® is the
registered trademark of Linus Torvalds in the U.S. and other countries.
The OpenStack mark is either a registered trademark/service mark or
trademark/service mark of the OpenStack Foundation, in the United States
and other countries, and is used with the OpenStack Foundation's
permission. We are not affiliated with, endorsed or sponsored by the
OpenStack Foundation, or the OpenStack community.
1 IDC, IDC's Worldwide Software-Defined Storage Taxonomy,
2014, March 2014, available at http://www.idc.com/getdoc.jsp?containerId=247700.
Red Hat, Inc.
Media Contact:
Karin Bakis, 978-392-1096
kbakis@redhat.com
or
Investor
Relations:
Tom McCallum, 919-754-4630
tmccallum@redhat.com
Source: Red Hat, Inc.
News Provided by Acquire Media