Cloud Computing: Rackspace Hosting Tumbles After Earnings, CEO Departure
Grazed from TheStreet. Author: Keris Alison Lahiff.
Cloud computing specialist Rackspace Hosting is tumbling in the extended session after posting fourth-quarter results and announcing the departure of CEO Lanham Napier. In post-market trading, shares have taken off 8.8% to $36.82, after gaining 2.2% over Monday.
In the three months to December, the San Antonio-based company earned 14 cents a share on revenue 16% higher year-over-year to $408 million. Earnings came in as analysts surveyed by Thomson Reuters had expected, while sales beat by nearly $4 million. Rackspace’s total server count increased to 103,886, up 2% on a sequential basis…


In its continuing drive to capitalize on opportunities presented by the rush of businesses to "cloud computing," Red Hat (NYSE: RHT) is forming a formal partnership with Hortonworks, one of the leading providers of essential cloud software known as Hadoop. SAS already is a partner with Hortonworks as the Cary-based software firm aggressively pursues its own Hadoop technology for use with "big data" analysis.