Red Hat announced that it is set to acquire open source middleware provider Jboss. This acquisition will allow Red Hat to speed up its drive into service-oriented architectures.
Red Hat said it will pay $350 million of which 40 percent would be in cash and 60 percent in stock for JBoss with another $70 million to be paid with the completion of certain future performance milestones. Red Hat’s sales grew 42 percent in its most recent fiscal year.
The company said: “Red Hat believes the combination, once consummated, will help accelerate the shift to SOA by making innovative, powerful solutions available to developers and customers that seek to lower development and deployment costs.”
JBoss had also been acquiring firms with SOA capability. JBoss recently acquired J2EE and Web services transaction technology from Hewlett-Packard and Arjuna Technologies.