Crimson Hat introduced a brand new CEO final month when it promoted 16-year veteran Matt Hicks, who’s been on the job for a number of weeks now. His predecessor, Paul Cormier, stepped down to maneuver into the chairman position.
It’s by no means simple making a transition like this, however Hicks has Cormier, his longtime mentor, to lean on as he takes the Crimson Hat reins. In his new position, Hicks has to stroll the road between reassuring prospects and staff that there can be stability within the firm’s management whereas transferring it ahead and placing his personal mark on issues.
For essentially the most half, Hicks mentioned he’ll proceed on the identical path as Cormier. IBM has allowed Crimson Hat to be unbiased for essentially the most half since buying it for $34 billion in 2018. IBM sells Crimson Hat providers to benefit from its gross sales clout, however Crimson Hat has remained unbiased, with many companions in addition to IBM.
As Cormier advised me about his relationship with IBM CEO Arvind Krishna in a Could interview: “The best way Arvind characterizes Crimson Hat is that IBM can be opinionated on Crimson Hat, however it will probably’t work the opposite means round. So what meaning is IBM has fully standardized on Crimson Hat because the [company’s] hybrid platform,” Cormier mentioned.
Beneath Cormier, Crimson Hat helped IBM return to development after an extended interval of stagnation. Huge Blue’s income was up 9% in its most up-to-date earnings report final month. Crimson Hat grew 12% and has been a giant contributor to IBM’s development technique
It’s as much as Hicks to maintain that going whereas taking Crimson Hat wherever it’s going to go subsequent. I spoke to him just lately concerning the transition to his new position and what it means for all events concerned, from prospects and staff to mum or dad firm IBM.