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Red Hat's business model

How does Red Hat's business model enable it to survive selling commercial Linux support when there are discounts, free versions out there, etc.?

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Red Hat sells reliability and certainty about a collection of programs, not the collection itself. While there are a multitude of Linux distros available for no fee, not all of them come with certified apps, support, etc. I don't think Red Hat is particularly worried about competition from free Linux distros.

This was first published in June 2007

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