Red Hat Powers an Efficient, Open Source AI Future with Neural Magic Acquisition
Red Hat, Inc., the world's leading provider of open source solutions, is announcing that it has completed its acquisition of Neural Magic, a pioneer in software and algorithms that accelerate generative AI (gen AI) inference workloads. With this acquisition, Red Hat AI will leverage Neural Magic’s expertise in inference performance engineering and model optimization to amplify its mission of supporting high-performing, use case-specific AI workloads.
Backdropping this acquisition is Red Hat’s belief that through smaller, continuously improved, open source-licensed models, enterprises can strike the balance between AI innovation and resource and cost optimization. As a leading contributor to vLLM—an open source project developed by UC Berkeley for open model serving—Neural Magic fits neatly into Red Hat’s AI vision.
“Neural Magic’s research and technical contributions to open source AI have significantly reduced the infrastructure required to deploy state-of-the-art large language models at scale,” said Brian Stevens, CEO, Neural Magic. “Red Hat shares our vision that the Future of AI is Open, and we are looking forward to together enabling enterprises to capture the value of GenAI without all of the friction.”
Powered by Neural Magic’s expertise in both technology and performance for GenAI, Red Hat aims to democratize AI at scale through four key areas:
- Open source-licensed models capable of high scale that can run anywhere and everywhere across the hybrid cloud—including in data centers, on multiple clouds, and at the edge
- Fine-tuning capabilities that allow enterprises to easily configure large language models (LLMs) to address their unique, private data and use cases without sacrificing security
- Inference performance and engineering expertise designed to help organizations increase their operational and infrastructural efficiencies
- A broad partner and open source ecosystem that promotes customer agility and choice from LLMs they can choose to tooling, certified hardware, and underlying chip architectures
“Efficiency, optimization, and choice aren’t unique concepts when it comes to traditional enterprise IT, and we feel that GenAI should be no different,” said Matt Hicks, president and CEO of Red Hat. “By adding Neural Magic’s expertise in GenAI performance engineering and optimization to Red Hat AI, we’re furthering our commitment to a GenAI that answers customers’ unique needs, from where workloads run to how they are tuned and trained.”
“Red Hat's acquisition of Neural Magic is a strategic enhancement to its AI capabilities, facilitating AI deployment across hybrid clouds by leveraging Neural Magic's expertise in model optimization and inference acceleration,” explained Dave McCarthy, research vice president, cloud and edge services, worldwide infrastructure research, IDC. “This move not only aligns with Red Hat's commitment to open-source innovation but also positions the company to offer more cost-effective, scalable AI solutions that reduce dependency on specialized hardware.”
To learn more about Red Hat’s latest acquisition, please visit https://www.redhat.com/en.