PALM SPRINGS, Calif., Nov. 16 /PRNewswire/ -- Matthew Szulik, chairman of Red Hat, Inc. , was today named the Ernst & Young Entrepreneur Of The Year(R) 2008 overall national winner. He was also named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Technology category. Now in its 22nd year, the awards recognize leaders and visionaries who demonstrate innovation, financial success and personal commitment as they create and build world-class businesses.
Szulik was recognized for turning Red Hat from what some called a questionable idea into a billion-dollar business. "Matthew Szulik follows a proud tradition of pioneering entrepreneurs who overcame skeptics and brought a novel, seemingly improbable business idea to market successfully," said James S. Turley, chairman and CEO, Ernst & Young LLP. "For 22 years, we have honored the dedication and drive that defines those entrepreneurs through the Ernst & Young Entrepreneur Of The Year(R) awards. We're proud to add Matthew Szulik's name to this distinguished list of business leaders."
Szulik was honored at the Entrepreneur Of The Year(R) gala in Palm Springs - the culminating event of the Ernst & Young Strategic Growth Forum, the nation's most prestigious gathering of high-growth, market-leading companies. Awards were given in nine additional categories. All Ernst & Young Entrepreneur Of The Year(R) winners were selected by an independent panel of judges from approximately 400 regional award recipients.
Open-source Brings Out the Skeptics
Open-source gives users the freedom to develop software for any application they choose, because the code is freely available over the internet. Szulik was intrigued by the creative, no-holds-barred-attitude and collaborative approach to developing software - and its potential to change the world.
In 1998, he joined Red Hat as president and CEO, challenged with turning the Linux technology into a profitable business when no one believed a company could make money on free software. Investors were hot for the stock after the IPO, but many cashed out early. When the dot-com boom turned to bust, investors were concerned.
Szulik found a new direction for the company by talking to customers, who were tired of paying for software licenses and maintenance and then waiting for upgrades, only to receive imperfect software. Szulik bet the company on a strategy to compete in the enterprise computing market by offering businesses an alternative to other operating systems.
Red Hat's business customers pay annual subscriptions for support and training. Its open-source model gives them the freedom to design software to meet their needs without locking them into using a particular proprietary software for upgrades. Red Hat software is public, with no proprietary license, and makes rapid innovation possible.
A Novel Idea Pays Off
In just 10 years, Szulik has built Red Hat into the only profitable public open-source software company, revolutionizing the software market. Its unconventional and collaborative business model has made it the leading open-source Linux provider, with more than 80% of the business market. Red Hat has become one of the world's most recognized technology brands, with 3,000 people in 60 offices worldwide. In 2005, 2006 and 2007, Red Hat was rated No. 1 for product quality, service and value by IT executives surveyed by CIO Insight magazine.
Red Hat's market share has increased, and the company has posted record profits. Its annual sales for 2007 were $523 million.
In late 2007, he turned over the reins of Red Hat's day-to-day operations to Jim Whitehurst in order to spend more time with his family. He remains Chairman of Red Hat and a frequent and active advocate of open-source software before the North Carolina legislature and US Congress.
Entrepreneur Of The Year(R) 2008 national finalists in the Technology category
In addition to Szulik, the Ernst & Young Entrepreneur Of The Year(R) national finalists in the Technology category are President and CEO Don Bulens and founder Paula Long of EqualLogic, Inc., the leading provider of complete, enterprise-class iSCSI storage area networks; CEO Glen Tullman of Allscripts Healthcare Solutions, Inc. , the leading provider of clinical software, connectivity and information solutions for physicians; and David Vieau, president and CEO of A123Systems, which develops and manufactures advanced lithium-ion batteries and battery systems using nanoscale materials.
Additional Entrepreneur Of The Year(R) Category Award Winners
James R. Barnes of OAKLEAF Waste Management in East Hartford, Connecticut was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Services category.
Dr. Bernard J. Duroc-Danner of Weatherford International Ltd. in Houston was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Energy, Chemicals and Mining category.
Jay Flatley of San Diego-based Illumina, Inc. was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Health Sciences category.
Alan D. Gold of BioMed Realty Trust, Inc. in San Diego was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Real Estate, Hospitality and Construction category.
Thomas A. James of Raymond James Financial, Inc. in St. Petersburg, Florida was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Financial Services category.
Amin Khoury of B/E Aerospace, Inc. in Wellington, Florida was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Distribution and Manufacturing category.
David Liu of The Knot, Inc. in New York, was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winners in the Media, Entertainment & Communications category.
Steven Nichtberger, M.D. of Tengion, Inc. near Philadelphia was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Emerging category.
Tom Sullivan of Lumber Liquidators, Inc. in Toano, Virginia was named the Ernst & Young Entrepreneur Of The Year(R) 2008 national winner in the Retail and Consumer Products category.
Sponsors
Founded and produced by Ernst & Young LLP, the Entrepreneur Of The Year(R) awards are pleased to have the Ewing Marion Kauffman Foundation and SAP America as national sponsors.
For video footage from the event, please visit http://www.thenewsmarket.com/EYSGF.
About Ernst & Young's Entrepreneur Of The Year(R)
Ernst & Young's Entrepreneur Of The Year(R) is the world's most prestigious business award for entrepreneurs. The award makes a difference through the unique way it encourages entrepreneurial activity among those with potential and recognizes the contribution of people who inspire others with their vision, leadership and achievement. As the first and only truly global award of its kind, Ernst & Young Entrepreneur Of The Year(R) celebrates those who are building and leading successful, growing and dynamic businesses, recognizing them through regional, national and global awards programs in more than 135 cities in 50 countries.
About Ernst & Young's Strategic Growth Markets Practice
Ernst & Young's Strategic Growth Markets (SGM) practice guides leading high-growth companies. Our multi-disciplinary team of elite professionals provides perspective and advice to help our clients accelerate market leadership. SGM delivers assurance, tax, transactions and advisory services to thousands of companies spanning all industries. Ernst & Young is the undisputed leader in taking companies public, advising key government agencies on the issues impacting high-growth companies, and convening the experts who shape the business climate. For more information, please visit us at http://www.ey.com/us/strategicgrowthmarkets.
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