Red Hat Posts Its Best Quarter Yet

Posted by CowboyNeal on Thursday September 18, 2003 @08:26PM from the more-than-just-hanging-in-there dept.

wrinkledshirt writes "Anybody remember the days when the naysayers said you couldn't build a viable business model centered around open-source software? After Red Hat's 2nd quarter report, well, insert(&mouth, FOOT); is all I have to say. Okay, okay, the hubris of a Linux zealot aside, the numbers look pretty good. Revenue for the quarter was $28 million, with net income at $3 million. You'd think SCO's blathering would have damaged them, but they're actually up the last couple of quarters after posting some net losses in previous quarters." Kudos to Red Hat. They must be doing something right.

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What's terrifying by Anonymous Coward · 2003-09-18 20:34 · Score: 5, Interesting
- Red Hat has a profit of $3 million this quarter
- Microsoft has so much money they can afford to just randomly toss off $8 million this quarter as a random aside just becuse dropping that money into keeping SCO afloat might generate bad PR from one of their competitors.
Implication: It is more than twice as profitable in the short term to become Microsoft's random lackey and wait for bribes from them than it is to make a useful, worthwhile product that competes with Microsoft.
Is this a sign of a company with too much power? Nahhhhhh....