Linux supplier Red Hat is buying open-source middleware
company JBoss for $350m (£205m) to expand its product
portfolio.
Red Hat will pay a mixture of shares and cash for JBoss, in a
deal it aims to complete next month.
Red Hat chief executive officer Matthew Szulik said the two
companies were a good marriage, as both charge customers
subscription fees for products and ongoing support, instead of
up-front license fees.
He said, “The open-source development model continues to change
the economics of enterprise IT in favour of the customer.”
The acquisition would mean Red Hat gaining a popular open-source
Java-based application server. JBoss’ solutions are used for
running custom business applications and further Java
development.
JBoss is currently developing a middleware suite that includes a
portal platform, messaging technology and a transaction server.
