Red Hat profits tumble 34 percent in Q2

Linux leader Red Hat reported second-quarter income of just $11 million (5 cents per share), down from $16 million (9 cents) last year, even though revenue rose 52 percent to $99.7 million. The news wasn't taken well by investors--Red Hat's stock fell 15 percent. Officials said the second quarter was a low point and that results can only get better. An ongoing concern for Red Hat and rival Novell is that an unpredictable giant like Oracle could release its own Linux or acquire its way into the field, but so far that's only been speculation.

For more on Red Hat:
- read this AP article