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A sign of Red Hat and Ubuntu competition to come?

The article describes a small telco in Australia that recently dropped Red Hat for some of its servers in favor of Ubuntu. The article stresses that the decision wasn't about cost.
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But what happens when Linux “just works.” All the time? Does the very stability of Red Hat Enterprise Linux mean that it's paving the way for up-and-coming projects like Ubuntu to do precisely what Linux originally did to Unix? Namely, start at the edge of the network and work its way into mission-critical installations?

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