This document discusses digital transformation and how IT must evolve to enable it. It argues that hybrid cloud is the fabric for digital transformation, requiring elastic, scalable, automated and responsive infrastructure. Red Hat can help with its approach of harnessing open source innovation to deliver mission-critical hybrid cloud solutions based on Red Hat Enterprise Linux. It provides examples of customers who have built private or research clouds using Red Hat technologies like OpenStack, CloudForms and OpenShift to modernize environments and support development and hosting.