OPENING & WELCOME TOM MCCALLUM. Vice president, Investor Relations

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2 OPENING & WELCOME TOM MCCALLUM Vice president, Investor Relations

3 MORNING SESSION 10:30 11:00 a.m. Jim Whitehurst, president and chief executive officer 11:00 11:45 a.m. Frank Calderoni, executive vice president, Operations and chief financial officer 11:45 a.m. 12:00 p.m. Break (pick-up box lunches) 12:00 12:45 p.m. Paul Cormier, president, Products and Technologies 12:45 1:15 p.m. Question and answer with Frank, Jim, and Paul 1:15 1:45 p.m. Break (relocate to Moscone Convention Center) 1:45 3:00 p.m. Keynote (featuring Microsoft), Moscone Convention Center 3:00 3:30 p.m. Break

4 AFTERNOON SESSION 3:30 3:40 p.m. Gunnar Hellekson, director, Product management, Red Hat 3:40 3:55 p.m. Sven Loberg, global open source lead, Accenture 3:55 4:10 p.m. Dietmar Fauser, vice president, Architecture, Quality, & Governance, Amadeus 4:10 4:25 p.m. Michael Hermus, chief technology officer, Department of Homeland Security 4:25 5:00 p.m. Customer and partner panel 5:00 6:30 p.m. Reception

5 SAFE HARBOR MESSAGE Certain statements contained in this presentation may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to the ability of the Company to compete effectively; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; delays or reductions in information technology spending; the integration of acquisitions and the ability to market successfully acquired technologies and products; the effects of industry consolidation; uncertainty and adverse results in litigation and related settlements; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company's growth and international operations; fluctuations in exchange rates; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Annual Report on Form 10-K (copies of which may be accessed through the Securities and Exchange Commission's website at including those found therein under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic and political conditions, governmental and public policy changes and the impact of natural disasters such as earthquakes and floods. The forward-looking statements included in this presentation represent the Company's views as of the date of this presentation and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this presentation.

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7 AT THE HEART OF DIGITAL DISRUPTION JIM WHITEHURST President and CEO, Red Hat

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11 DISRUPTION

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19 EXECUTING ON OUR GROWTH STRATEGY FRANK A. CALDERONI Executive Vice president, Operations and Chief Financial Officer

20 SAFE HARBOR MESSAGE Certain statements contained in this presentation may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to the ability of the Company to compete effectively; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; delays or reductions in information technology spending; the integration of acquisitions and the ability to market successfully acquired technologies and products; the effects of industry consolidation; uncertainty and adverse results in litigation and related settlements; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company's growth and international operations; fluctuations in exchange rates; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Annual Report on Form 10-K (copies of which may be accessed through the Securities and Exchange Commission's website at including those found therein under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic and political conditions, governmental and public policy changes and the impact of natural disasters such as earthquakes and floods. The forward-looking statements included in this presentation represent the Company's views as of the date of this presentation and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this presentation, June 30,

21 OUR FINANCIAL PERFORMANCE (billions except EPS) Long-Term Consistency +16% CAGR $ % CAGR $ % CAGR $1.91 Recurring Revenue Model $1.1 $0.3 $1.10 Strong Revenue and Profit Growth Revenue Non-GAAP operating income Non-GAAP EPS diluted FY2012 FY2013 FY2014 FY2015 FY Non-GAAP Operating Income excludes non-cash share-based compensation expense, amortization of intangible assets, facility exit costs and transaction costs related to business combinations of $99.0m, $125.4m, $144.1m, $166.1m & $195.9m for FY12, FY13, FY14, FY15 & FY16 respectively. Non-GAAP EPS excludes those amounts and non-cash interest expense related to the debt discount of $7.3m and $18.6m in FY15 and FY16 respectively. Please refer to appendix or for a GAAP to Non-GAAP reconciliation.

22 EXPANDING DIVERSIFIED PORTFOLIO FY2012 Total Revenue: $1.13B FY2016 Total Revenue: $2.05B Consistent Infrastructure Growth High Growth in App Dev and Emerging Portfolio Positions for Long-Term Growth 77% 8% 15% +14% CAGR 72% +36% CAGR 16% 12% +10% CAGR Infrastructure-related subscriptions Application development-related and other emerging technologies subscriptions Training and services 5

23 INCREASING INFLUENCE Leadership Position in Open Source and Hybrid Cloud Strong Advocacy with 93% of Fortune 500 Customers Partnership Momentum with Accenture, Microsoft and SAP 6

24 STRONG CASH FLOW GENERATION (millions) $675 $716 Grew FCF 18% CAGR Returned 53% of FCF to Shareholders via Share Repurchases Consistent OCF Margins of ~35% $346 $392 FY2012 FY2013 FY2014 FY2015 FY2016 FCF OCF 7 OCF defined as GAAP net cash provided by operating activities; FCF defined as OCF less CapEx Note: This chart does not include impact of ASU which was adopted in Q1 FY2017

25 SOURCES AND USES OF CASH (millions) $2,737 $349 $1,291 $693 $299 $1,995 $1,192 Beginning Cash & Investments 2/28/11 Cash From Operations Convertible Bond/ Other Investing & Financing Share Repurchases Net Acquisitions CapEx Ending Cash & Investments 2/29/16 8

26 VERY SOLID PERFORMANCE - Q1FY17 % OF TOTAL REVENUE 50% Growth with Deals over $1M Highest Q1 Growth Rate in USD in the Past 3 Years Billings Proxy Increased 16%; Short Term Billings Proxy Grew 19% 71% 17% 12% Infrastructure-related tech App Dev & emerging tech Training & Services Total Revenue Y/Y GROWTH 14% 39% 18% 18% 9 Billings proxy is calculated by adding revenue to the change in total deferred revenue from the Cash Flow Statement. Short term billings proxy is calculated by adding revenue to the change in short term deferred revenue.

27 Q2FY17 & FY17 GROWTH OUTLOOK Reaffirmed FY Growth Outlook Operating Margins In-line Y/Y Excluding Acquisitions FY17 Operating Cash Flow of $800M-$820M Revenue Q2FY17 $587M- $593M Guidance $2,380B- $2,420B FY2017 W/O Acquisition Impact* $2,380B- $2,420B Y/Y Growth 16-18% 16-18% 16-18% Non-GAAP Operating Margin 22.8% 23.0% 23.6% Non-GAAP EPS $0.54 $2.19-$2.23 $2.26-$ Outlook assumes currency exchange rates as they were June 22, All guidance metrics given on June 22, 2016 remains unchanged. Please refer to earnings press release issued on June 22, 2016 at for a GAAP to Non-GAAP reconciliation. *W/O Acquisition impact excludes expenses associated with the acquisitions of Ansible and 3scale is 23.6% in FY2017. Operating cash flow includes ASU and Acquisition of 3scale

28 DELIVERING SHAREHOLDER VALUE BUSINESS STRATEGY FINANCIAL STRATEGY OPERATIONAL EXCELLENCE Modernize Existing Workloads Enable and Manage Hybrid Cloud Deliver Next Gen Architectures Portfolio Management to Invest in Growth Drive Long-Term Profitable Growth Capital Return to Our Investors Scale the Enterprise Customer Centric Focus on Efficiencies 11

29 BUSINESS GROWTH DRIVERS EXPANDING OPPORTUNITY Drive new opportunities and expanded market potential by identifying promising new technologies INCREASING TRACTION Land and expand customers by building on core technologies and expanding into new markets DRIVING SCALE Leverage partners to scale out success within established and emerging technologies 12

30 GAINING SHARE IN ADDRESSABLE MARKETS $69B FY19 Addressable Opportunity New Technologies Targeting Fast Growing Markets Red Hat Outpacing Market Growth (FY13-16)* ~7x ~3x >2x FY13 FY14 FY15 FY16* FY17 FY18 FY19 Infrastructure Application development Emerging 13 Source: Analyst and various Market revenue estimates. Not to be construed as company guidance. Company growth rates based on bookings data.

31 GROWTH IN CORE INFRASTRUCTURE BUSINESS 2015 SERVER OS REVENUE: $12B Red Hat is the Largest Paid Linux Provider Additional Opportunities: 17% Windows Linux Public Cloud Virtual Workloads + Management Embedded / IoT 54% 12% 11% 6% Unix IBM System z Other OS Linux Fastest Growing Segment 14 Source: Gartner Market Share Analysis: Server Operating Systems, Worldwide, Published 20 May 2016

32 RED HAT ENTERPRISE LINUX IN THE PUBLIC CLOUD Public Cloud is Our Fastest Growing Channel Existing Large Hybrid Customers Increased Both On-Premise & Cloud Consumption of RHEL Large Customers >200% Annual Growth 24% 13% 6% 44% >30% Annual Growth Faster Expansion in Verticals for Scale Out 13% Telecom Tech/Media Financial Other SMB/divisional 16 Source: FY16 company bookings data from one public cloud partner Note: SMB/divisional customers are spending <$4,500 per quarter

33 STRATEGIC POSITION DRIVING LARGER DEALS Cross-Sell and Up- Sell Driving Customer Growth and Larger Deals Growth in Deals >$1M Shows Increasing Strategic Importance to Customers FY2012 FY2013 FY2014 FY2015 FY2016 Deals >$1M Deals >$10M Customers >$1M 22% CAGR Deals >$5M Customers Deals > $1M 31% CAGR Source: Company annual bookings data

34 CUSTOMER ADOPTION OF TECHNOLOGY PORTFOLIO 93% of top 100 customers using more than 1 technology 84% of top 1,000 44% of top 10,000 2 technologies: 23% 3 technologies: 70% 2 technologies: 57% 3 technologies: 27% 2 technologies: 39% 3 technologies: 5% 18 Technologies defined here as Infrastructure-related, Application development-related and Emerging technologies. See appendix for offerings within each category Source: Company bookings data FY16

35 PORTFOLIO EXPANDING IN A GROWING NUMBER OF LARGE CUSTOMERS INFRASTRUCTURE "One of the things that made this attractive to us was the open source component, which allows Verizon to have many different companies competing and innovating. -Chris Emmons, Director, Network Infrastructure Planning at Verizon. APPLICATION DEVELOPMENT EMERGING TECHNOLOGIES 19

36 PARTNERS ACCELERATE GROWTH OPPORTUNITIES FY % Indirect FY % Indirect PARTNER STRATEGY Drive Scale and Efficiency Be the Engine for Company Growth Aggressively Expand New and Emerging Routes TOP PARTNERS 32% of Annual Bookings Driven by Developing Partner Routes 20 Partners: Distributors, OEM and Value Added Resellers; Independent Software Vendors and System Integrators; Cloud Providers and IoT

37 LONG RANGE PLANNING APPROACH Addressable Opportunity Customer Objectives Products & Differentiation Use Cases / Workloads Investments & Resources Risks & Competition Diverse Portfolio Positions for Growth Defining Initiatives to Support Investments and Drive Scale & Efficiencies Focused Execution Financial Returns 21

38 PORTFOLIO APPROACH ENHANCES GROWTH EMERGING Cloud Management Mobile NFV OpenShift (PaaS) OpenStack (IaaS) Storage GROWTH Application development ESTABLISHED Infrastructure Time 22 Chart is for illustration purposes only. Not representative of Red Hat reported sales or projections.

39 PORTFOLIO MIGRATION SCENARIOS INFRASTRUCTURE FOCUS BALANCED GROWTH EMERGING PRODUCT FOCUS Revenue, $M Non-GAAP Op Margin Revenue, $M Non-GAAP Op Margin Revenue, $M Non-GAAP Op Margin Infrastructure App Dev, Emerging & Services 23 Charts are for illustration purposes only. Not representative of Red Hat reported sales or projections.

40 CAPITAL ALLOCATION STRATEGY Invest in Business Strategic Acquisitions & Investments Shareholder Returns* *Goal: A Minimum of 50% of Free Cash Flow Annually in Share Repurchases

41 ACQUISITION INNOVATION ENABLING GROWTH CLOUD MANAGEMENT MIDDLEWARE MOBILE STORAGE VIRTUALIZATION

42 RETURNING VALUE TO SHAREHOLDERS FY2012 FY2013 FY2014 FY2015* FY2016 Shares repurchased (millions) Diluted weighted average shares outstanding (millions) 26 *FY2015 includes $375 million for an Accelerated Share Repurchase.

43 OPERATIONAL EXCELLENCE SCALE THE ENTERPRISE Long-Range Planning Talent Acquisition Leadership Development New Tools and Processes CUSTOMER CENTRIC Faster to Yes Smart Solutions Customer First Easy To Work With FOCUS ON EFFICIENCIES Global Scale Enterprise PMO Operating Mindset Integrated Business Services 27

44 OPPORTUNITY IS MORE THAN JUST MARKET SIZE OPEN ORGANIZATION INCREDIBLE CUSTOMER ADVOCACY PARADIGM-SHIFTING TECHNOLOGY ICONIC BRAND EXTRAORDINARY MOMENTUM 28

45 MOVING FORWARD Balancing Growth and Profitability Capitalizing on our Broad Portfolio Driving Shareholder Value 29

46 31 APPENDIX

47 TECHNOLOGY DEFINITIONS CATEGORY Infrastructure Application Development Emerging TECHNOLOGIES Directory & Certificate RHEL RHEL w/ Smart Virtualization RHEV Satellite/Smart Management Acceleration (EAP, Web Service, EPP, JON, Other) Automation (BPM/BRMS) Integration (A-MQ, SOA, Data Virt/Services, Fuse, Messaging) Ansible CloudForms Mobile OpenShift RHCI RHEL-OpenStack Platform Gluster Ceph 32

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54 WHY CHANGE? WHY OPEN SOURCE? WHY RED HAT? WHY WHYNOW? PAUL CORMIER PAUL CORMIER President, Products andtechnologies President, Products and Technologies

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56 BUSINESS DEMANDS ARE DRIVING INDUSTRY TRENDS

57 DIGITAL TRANSFORMATION

58 I.T. IS EVOLVING Deliver new agile workloads while modernizing current applications

59 WHY OPEN SOURCE?

60 OPEN TECHNOLOGY IS THE LEADINGCHOICE

61 OPEN SOURCE DEVELOPMENT DRIVES RAPID INNOVATION

62 WHY RED HAT?

63 FROM COMMUNITY TO ENTERPRISE

64 TRANSFORMING INFRASTRUCTURE

65 CONTINUEMOMENTUM OF RED HAT ENTERPRISE LINUX SUCCESS

66 ONLY 2 OPERATING SYSTEMS WILL REMAIN

67 CONSISTENCY ACROSS ALL 4 FOOTPRINTS

68 APPLICATION PORTABILITY ACROSS ALL 4 FOOTPRINTS

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71 A LEADER IN PRIVATE CLOUD

72 SET THE STAGE FORNEXT-GENERATION INFRASTRUCTURE

73 OPENSTACK CONTINUES TO GROW

74 RED HAT DELIVERS NEXT-GENERATION TELCO INFRASTRUCTURE

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76 REDEFINE SOFTWARE-DEFINED STORAGE

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83 SET THE NEXT-GEN STANDARD FOR APPLICATION DEVELOPMENT

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