Gartner Research

Assess How IBM’s Acquisition of Red Hat Would Impact Your Business

Published: 19 February 2019

ID: G00379422

Analyst(s): Dennis Smith , Dennis Gaughan


IBM’s proposed acquisition of Red Hat promises to give it a stronger story with which to tap the growing hybrid cloud and multicloud opportunity. CIOs that buy from these vendors must assess risks relating to product overlap, contracts and strategic direction, in light of their organizations’ needs.

Table Of Contents


  • IBM Places a Very Big Bet That Cloud Computing’s Future Is Hybrid
  • The Acquisition Raises Questions About Overlapping Products and Software Contract Consolidation
  • Maintaining Red Hat’s Relationships With Other Major Cloud Providers Will Be a Key Measure of the Deal’s Success for Customers
  • Red Hat OpenShift Container Platform Is the Key Technology in the Deal, Though It Generates Only a Small Part of Red Hat’s Revenue

Gartner Recommended Reading

©2021 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Purchase this Document

To purchase this document, you will need to register or sign in above

Become a client

Learn how to access this content as a Gartner client.