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High and above all low of the IT market

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While Apple reports a decrease in profits, but should continue in the series of positive results, other protagonists of the IT world seem to be doing worse.

AMD has informed that the revenue for the current fiscal quarter will go from 620 to 700 million dollars, much less than the projections made in March, which indicated a figure oscillating between 820 and 900 million dollars. The fault would be attributable to the weakness of the PC market and in particular to tired European and North American sales.

Now the situation becomes difficult for AMD, which with this result has slipped the unenviable score of four negative fiscal quarters on the last four, and analysts expect the trend to continue.

Instead, those who manage to improve expectations, limiting losses, are RedHat, the largest manufacturer of Linux distributions, which has announced a loss, for this quarter, of 4.3 billion dollars, or 3 cents per share. performance however is not enough to change analysts 'opinion we believe the shares are overvalued,' says Victor Raisys of the SoundView Technology Group.

CEO Matthew Szulik claims that at this point RedHat's priority is to convince as many software houses as possible that their applications can work well with RedHat, and he goes on to say that the real competition is with Sun and Microsoft, not with SuSE , Caldera or other Linux vendors.

RedHat is a server-oriented distribution (it is clear that, with Linux, money can only come from the business market, certainly not from the home market, in fact RedHat generates half of its revenue from the sale of services), and has recently launched its Advanced Server version, which has been very successful.

Expectations are also good for the future: the COO Tim Buckley thinks he can have a second fiscal quarter with a positive cash-flow, but the challenge is the duty to continue to guarantee more and more services, which require hiring staff with related expenses and facing new competitors like the giant IBM, which push to enter the Linux market in a big way. (By Marco Centofanti)