The big news today is that Redhat acquired KVM code maintainer , Qumranet, for about $100 million. There were rumors floating around that Qumranet might have been a target for acquisition by VMware but that rumor is now put to rest. Frankly, I’m not surprised at this acquisition especially after Redhat recently decided to support kvm as it’s primary hypervisor. According to the source, Qumranet will become RedHat’s R&D center in Israel.

With this acquisition, more resources should translate into faster development of features, products and management tools around KVM. In my opinion this was a worthwhile investment for Redhat and will place Redhat strategically within the server virtualization market.