“For most of the 1990s, competing head-on against Microsoft was
a singularly stupid thing to do. Entrepreneurs who dared to try
were treated like modern-day Don Quixotes begging funds for a
windmill-demolition start-up. It wasn’t just hard for them to find
venture capital financing. It was practically impossible.”
“Now comes Red Hat, a tiny company out of North Carolina with
the temerity to put Microsoft and its Windows operating system
smack in its cross hairs. A lost cause? Intel, Compaq, Dell,
Novell, Oracle, and SAP don’t think so-they’ve all taken equity
stakes in Red Hat, as have two major Silicon Valley venture capital
firms. Earlier this month, the company announced plans to offer
stock to the public.”