Red Hat Acquires Neural Magic to Optimize AI on Commodity Hardware | eWeek

Red Hat Acquires Neural Magic to Optimize AI on Commodity Hardware

Close-up blurry metal sockets on a computer video board. Concept for the production of computer televisions and audio speakers
Written By
J.R. Johnivan
J.R. Johnivan
Nov 29, 2024
2 minute read
eWeek content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

Red Hat laid out its vision for the future of AI and open source software in early November when it announced the acquisition of industry-leading machine learning optimizing model Neural Magic. The move could have long-term ramifications for generative AI and model optimization.

What is Neural Magic?

Neural Magic’s machine learning model optimization runs on current-generation commodity hardware, including central processing units (CPUs) and graphic processing units (GPUs). By using off-the-shelf hardware instead of the tensor processing units (TPUs) typically used in machine learning, the company hopes to make large language models (LLMs) more accessible to everyone. To this extent, it offers a repository of pre-built templates for immediate deployment. For advanced users, Neural Magic also supports customized workflows via the ONNX or PyTorch models.

While the concept of AI optimization software isn’t exactly new, Neural Magic’s platform is available to users at no cost. It also integrates with numerous open source tools, which makes it ideal for the growing Red Hat AI portfolio. Red Hat is perhaps best known for its Red Hat Enterprise Linux distribution.

“At Neural Magic, we’ve assembled some of the industry’s top talent in AI performance engineering with a singular mission of building open, cross-platform, ultra-efficient LLM serving capabilities,” Neural Magic’s CEO Brian Stevens said in a recent interview.

Taking the Next Step in LLM Processing

As a company, Red Hat is already known for its contributions to the open source software movement. In recent years, however, the company has been making headlines around the world for its move toward AI. Not only does the acquisition of Neural Magic represent the latest step toward the embrace of generative AI, but it specifically gives Red Hat the ability to support LLM deployments and AI workloads for enterprises of any size and scale.

Since Red Hat already uses Virtual Large Language Model (vLLM) for inference in products like Red Hat Enterprise Linux AI and OpenShift AI as a port of its hybrid cloud AI solutions, the acquisition of Neural Magic was a natural next step for the company. The Red Hat team hopes to use the recent acquisition to increase its presence in the vLLM community and help drive changes, including easily scalable and highly efficient inference, among systems that are using commodity hardware.

Red Hat has been at the forefront of technology since the 1990s. The Neural Magic acquisition solidifies its position as an industry leader in generative AI integration and implementation.

J.R. Johnivan

J.R. Johnivan is a 17-year veteran whose writing is focused on innovation and technology, including IT, computer networking, security, cloud computing, staffing, human resources, real estate, sports, entertainment, and more.

eWeek Logo

eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site's focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

Property of TechnologyAdvice. © 2026 TechnologyAdvice. All Rights Reserved

Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.