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IBM Set to Acquire Red Hat for $34B to Transform Cloud Landscape

Red Hat had been growing on its own, with strong momentum in the cloud with its OpenShift Kubernetes container orchestration platform. While Red Hat has been growing, Whitehurst said that growth has been constrained due to Red Hat’s ability to scale its’ services business.

“The only thing holding back growth on our container platform, is lack of services capability to be able to move applications,” Whitehurst said. “We’ve been building out our own services capability but it is very small relative to what IBM brings to the table.”

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