Red Hat is first $2 billion open sourcer

Red Hat Agent CarterRed Hat has become the first $2 billion dollar open saucy company and doubled its value from four years ago.

What is unusual is that Red Hat made all its value by earning the money rather than fleecing venture capitalists.

Red Hat’s total revenue for its fourth quarter was $544 million – up 17 percent on last year.  Subscription revenue for the quarter was $480 million, up 18 percent and subscription revenue in the quarter was 88 percent of total revenue.

Jim Whitehurst, Red Hat’s president and CEO credits “Enterprises increasingly adopting hybrid cloud infrastructures and open source technologies” for driving the company’s strong results.

Whitehurst said that punters continued, “Customers are demanding technologies that modernize the development, deployment and life-cycle management of applications across hybrid cloud environments. Many are relying on Red Hat to provide both the infrastructure and the application development platforms to run their enterprise applications consistently and reliably across physical, virtual, private cloud and public cloud environments.”

For the full 2016 fiscal year, Red Hat’s total revenue was $2.05 billion, up 15 percent. Subscription revenue for the full fiscal year was $1.8 billion. Subscription revenue in the full fiscal year was 88 percent of total revenue.

Subscription revenue from infrastructure-related offerings for the quarter was $391 million, an increase of 15 percent. Subscription revenue from application development-related and other emerging technologies offerings for the quarter was $89 million, an increase of 38 percent.

Full fiscal year subscription revenue from infrastructure-related offerings was $1.48 billion, an increase of 12 percent in US dollars year-over-year and 18 percent measured in constant currency. Full fiscal year subscription revenue from application development-related and other emerging technologies offerings was $323 million, an increase of 37 percent in US dollars year-over-year and 46 percent measured in constant currency.

Red Hat expects to see between $2.380 billion to $2.420 billion in the coming year.