Red Hat (NYSE: RHT) is mulling the relocation of its engineering headquarters in Massachusetts to California and is preparing to add up to 180 new jobs.
According to Westford Eagle newspaper, the city has offered tax incentives in an attempt to convince Red Hat to expand the operation there.
Angus Jennings, the town’s director of Land Use Management, told the newspaper in an interview published Nov. 12 that Red Hat is looking at Mountain View and Sunnyvale, Calif. as possible locations for the headquarters.
Through two recent acquisitions, Red Hat has a growing presence in the Silicon Valley area.
According to Jennings, Red Hat is looking to add 180 new jobs with 100 to be created over the next two years.
Red Hat recently decided to keep its corporate headquarters in Raleigh, adding jobs and taking space in a building now occupied by Progress Energy in the city’s downtown.
Westford is offered a 50 percent property tax reduction for “new development,” Jennings told the newspaper. He also said Red Hat is seeking an investment tax credit from the state of Massachusetts.
Red Hat is expected to make a decision about where to expand by the end of this year, according to Jennings.
A move to Silicon Valley would reflect Red Hat’s increasing interest and presence there.
Last month, Red Hat paid $136 million to acquired Gluster, which is based in Sunnyvale.
Gluster offers a software storage solution to link existing servers and computing systems into what Red Hat described as a “storage pool.” Red Hat envisions the technology as one that will enable it to offer services that link private, public and hybrid networks of storage.
A year ago, Red Hat bought another California firm – Makara – which is focused on cloud application development. In buying Makara, Red Hat acquired a privately held firm backed by high-profile Silicon Valley venture backers Shasta Ventures, Sierra Ventures, Marc Andreessen and Ben Horowitz.
Makara was based in Redwood City.
Read the full Westford newspaper story here.
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