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This story was printed from CNETAsia.
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Red Hat expands Asian ops
By Winston Chai, CNETAsia
20/1/2005
URL: http://asia.cnet.com/news/software/0,39037051,39214107,00.htm
SINGAPORE--Red Hat is bulking up its operations in Asia-Pacific to
better cope with the growing customer demand for its Linux offerings.

As part of its Asian expansion, the Raleigh, N.C.-based company has
relocated its regional headquarters from Brisbane, Australia, to
Singapore.

According to Steve McWhirter, Red Hat's vice president for Asia-
Pacific, Australia will continue to be the regional hub for
development, engineering and customer support, and there will be no
staff movement between the two countries as a result of this move.

"The Brisbane center will remain as one of our development centers in
Asia-Pacific," he told CNETAsia in an interview.

However, sales, marketing, finance and human resource functions will
mostly be centralized in Singapore, said McWhirter.

To cope with its expanded role, the Singapore headquarters will
increase staff headcount from 15 currently to 30 by year-end. In
addition, plans to open a customer support center in the republic are
also on the drawing board, he confirmed.

If finalized, the Singapore-based center will be Red Hat's third such
support facility in Asia-Pacific, with the first based in its
flagship regional office in Australia and the second in India.

These initiatives come on top of the firm's aggressive expansion
efforts in other parts of Asia, particularly in the Linux hotbed of
China. Red Hat made its mainland foray with the opening of its
Beijing office in Nov. 2004, and this will be followed by a Shanghai
subsidiary to be established later this year.

"Red Hat, as part of our worldwide investment strategy, has
identified Asia-Pacific as the fastest-growing market internationally
and accordingly we will be getting an appropriate share of the
funding," McWhirter said. Previously, the company's strongholds were
largely in more mature Linux markets in Europe and the United States.

McWhirter's revelation goes in tandem with optimistic market
projections for Linux sales in the region. According to IDC, sales of
Linux-based servers will increase by 22.8 percent globally this year,
outpacing the overall server market which is forecasted to grow by a
mere 3.8 percent. In Asia, the research firm expects Linux software
license revenues to grow by 78.6 percent from US$6.48 million last
year to US$11.6 million in 2005.

In the past few years, Linux has garnered support from authorities in
North Asian markets like China, Japan and Korea, as well as
developing Southeast Asian countries such as Malaysia and Thailand.

Singapore has long been considered by industry watchers as a lukewarm
Linux market but, according to McWhirter, the tide appears to be
changing in favor of the open-source camp here.

"I've met multiple government departments here personally and all of
them, to a certain extent, have plans for some Linux implementation.
All of them are talking about increasing servers and desktops
deployed on Linux," he said

In June last year, Red Hat and its longtime ally Oracle set up a
Linux applications porting center in Singapore to rally support from
third-party software developers in the region. The project was
supported by the Economic Development Board of Singapore.

Last October, Singapore's Defense Ministry announced that it had
deployed the OpenOffice productivity package, which includes software
for word processing and spreadsheets, on 5,000 new computers. The
government agency plans to increase the number to nearly 20,000 by
2006.






 
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