The Troposphere

Jan 6 2011   9:25PM GMT

Eucalyptus and Red Hat sitting in a tree

CarlBrooks Carl Brooks Profile: CarlBrooks


Eucalyptus has announced it is in a technical partnership with Red Hat to bundle Deltacloud, Red Hat’s cloud platform project with the much more mature Eucalyptus platform. Check out the Euca-Hat FAQ here.

Red Hat’s Deltacloud tools will function more or less as a cloud management layer when used with Eucalyptus; their strength is reportedly in enabling the use of multiple public cloud services and internal, private cloud resources in a single view: cloud management, much like enStratus does.

CEO Marten Mickos said in an interview that the user base of the two companies are simpatico, and that’s why he he wanted the deal. “We see a very good overlap; the same people who are downloading Eucalyptus are downloading Red Hat,” he said.

Of course, you can do that for free, so that’s a good sign of interest but not necessarily potential revenue. Mickos said the deal was a good way for Eucalyptus to broaden its appeal and look towards the next few years when, he said, enterprises will be moving almost universally to a hybrid cloud model.

Right now, the products will be offered by both companies as a cloud lineup, but support and updates will come from each company separately. Mickos said this was an opportunity for Red Hat as well.

“For Red Hat, it is great because it allows them to compete against VMware going forward,” he said. Red Hat gets a robust cloud platform and Eucalyptus gets a monster-sized install base. A match made in free/open source software (FOSS) heaven.

Could a buy be in the works? Eucalyptus says it is roaring ahead on customers and capitalized to the tune of $35 million, putting a potential sale price around a minimum $120 million (VC investors like to get four times their money back, goes the common wisdom). Cloud technology is definitely a niche product, but the Mickos MySQL pedigree could be worth a lot…

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