Cisco and Red Hat are collaborating on virtualization efforts by integrating Cisco's Virtual Network Link technology with Red Hat Enterprise Virtualization. The companies say that joining the Cisco Unified Computing System Virtual Interface Card with the Kernel-based Virtual Machine hypervisor would be advantageous for datacenter deployments as it enables a network infrastructure better armed to take on virtualization for linux platforms resulting in higher performance and lower costs. VN-Link automates the movement of network and storage services so they can track virtual machines around the datacenter ensuring consistent networking across all servers. The combo is set to be released later this year along with Red Hat Enterprise Linux 6 including the Red Hat Enterprise Virtualization Hypervisor.

Red Hat has vigorously expanded its services into the cloud and has been pushing Red Hat Enterprise Virtualization (RHEV) based on Kernel-based Virtual Machine (KVM) virtualization technology. The Enterprise Linux vendor has been one of the few companies to show consistent  strong earnings that have amazingly outperformed in this recent recession . The company has taken advantage of key growth sectors in the High Tech arena pertaining to Cloud computing , virtualization and linux based servers . It reported its first-quarter fiscal 2011 financial results with again an impressive revenue of $209 million this time , up 20% from prior year earnings. It has also come out with Red Hat Cloud Foundations, a stack that bundles up Red Hat Enterprise Linux and Red Hat Enterprise Virtualization for deploying Infrastructure-as-a-Service and Platform-as-a-Service private and public clouds. It has expanded its Certified Cloud Provider program launched in July 2009 together with Amazon to include IBM, NTT and Savvis as partners certified to offer Red Hat-powered cloud solutions.