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Linux Red Hat Buys JBoss

The Linux developer company, Red Hat Inc, has agreed to buy JBoss. Red Hat is an open source software developer that specializes in Linux solutions. Jboss will be acquired for $350 million, 60 percent will be in stock, and the rest will be cash. According to future performance by JBoss, Red Hat would pay an addition $70 million bonus.

Red Hat said the acquisition of privately held JBoss will likely hurt earnings slightly in the quarter ending Aug. 31, but probably has no impact on the full fiscal year. Support for Linux has grown tremendously in the past few years. The open source operating system has demonstrated new abilities, and it is expected to merge into new markets in the near future. Red Hat is building a solid base for these future developments in the open source market, and Jboss will be a beneficial addition.

Open-source operating systems such as Linux allow users to copy distribute and modify the program?s code. Proprietary systems such as Windows do not allow users to modify its secret code.