Red Hat will leverage container and hybrid cloud to shake the Asian market

Red Hat will leverage container and hybrid cloud to shake the Asian market
GuideAlthough the Revenue Contribution of the Asian market is small, this is the fastest growing area of Red Hat. As emerging markets continue to deploy new infrastructure, it may continue to grow. Developing markets in many countries in Asia is to create new infrastructure projects, rather than replacing existing technologies...

1. To develop markets in many countries in Asia, we need to create new infrastructure projects, rather than replacing existing technologies. Many of these projects involve open source technologies. For which technology is used, it is often not a proprietary or open-source technology, but an open-source vendor or independent development. ---- Jim whitehust (President and CEO of Red Hat)
2. Because there are a large number of such new businesses in Asia, Red Hat may continue to maintain a rapid growth momentum above the global average. ---- Whitehirst (interview at the Red Hat Forum 2016 Conference in Singapore)

In Red Hat's total revenue in 2016, Asia accounted for about 12.75%, while EMEA and the American market stood at 21.26% and 66% respectively in total revenue.

Revenue in the Asia-Pacific region increased by 11.3% year-on-year, compared with 18.4% year-on-year growth in the Americas and EMEA markets. Whitehirst pointed out that if Japan is ruled out, the overall growth in the Asian market will be higher, because the open-source market in Japan is more mature, so the growth is relatively slow.

When asked whether Red Hat can continue to sell support services when open source gradually enters the mainstream and commercialization, he stressed that this issue is not simply about technical capabilities. "You can hire a lot of people who know about Linux. We know this, but we can build testing capabilities to test all aspects of hardware, every time someone pushes a BIOS upgrade or anything like this to the NIC card of the server, technically anyone can do it. But do you want to provide services for this industry more than once? Who wants to maintain a security response team ?"

"This is not a problem without a senior employee. You need to ask yourself what you want to invest in. This will take a lot of time and effort, this is not as fast as what we are doing."

He added that enterprises like China and India are beginning to realize that this is more costly and risky. Once they use open-source software for production, they will have to maintain huge downstream costs.

According to research results from Forrester in September 2016, 50% of IT policymakers in the Asia-Pacific region believe that open source will help their enterprises support new capabilities, and 60% of respondents said, this will make their company a member of the ecosystem of innovative partners. The study, commissioned by Red Hat, surveyed 455 executives in nine markets in Asia Pacific including Singapore.

Another 66% of respondents said that open source is a cost-saving project for their organizations, said Dane Anderson, vice president of Forrester, Research Director, and regional manager. He said at this year's Forum that 52% of respondents believe that open source will play a key role in Agile hybrid cloud infrastructure in the next two to three years, 44% of respondents mentioned Enterprise Application Integration and API management.

43% of respondents said that open source will play a key role in application development and DevOps, while 42% said IOT, Anderson said.

Red Hat is the first open-source company to earn more than $2 billion in revenue. whitehirst says their business models are sustainable and in good state, and they have more opportunities, he said that Red Hat's main goal is to develop open-source enterprise edition products that can be used by customers.

Specifically, Red Hat aims to win more market points in the data center market, ensuring that all products support all hybrid cloud environments and span the entire stack. Red Hat also focuses on containers, and whitehirst believes that containers will pave the way for future application development.

"When the architecture changes from physical to virtual, a new stack for Virtual Environments appears in the management tool. Similarly, in the process of developing to containers, there will also be a new stack to manage these containerized applications. We are actively investing in this to ensure that these technologies are open-source, and Red Hat are always involved."

He pointed out that Red Hat's investments in Docker and Kubernetes, as well as the acquisition of Ansible, all of which are for container and microservice automation and scheduling.

"There is still a long way to go with containers," he said. "If you have an application that contains 150 types of microservices and you are using this application on a large scale, how can you monitor the occurrence of performance faults? There are currently application performance management software, but these are not developed for microservices ."

He pointed out that there are now many growth fields that can be invested, such as development tools for DevOps, to help simplify the work of developers in the container age.

From: http://soft.zdnet.com.cn/software_zone/2016/1001/3084045.shtml

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