Red Hat, one of the most famous companies on the Linux distribution market, declared that it steps out from the users’ desktop market and it will concentrate only on the enterprise market.
Red Hat states: “Building a sustainable business around the Linux desktop is tough, and history is littered with example efforts that have either failed outright, are stalled or are run as charities,” and that “[The market] suffers from having one dominant vendor, and some people still perceive that today’s Linux desktops simply don’t provide a practical alternative.”
According to research group Gartner Linux got only about 1.2% of the desktop market in the U.S.
Red Hat actually stated that the decision does not cover the “Red Hat Global Desktop program”, the slimmed down Linux desktop OS designed for low-cost PCs in emerging markets.
Red Hat ‘s announcement: http://www.press.redhat.com/2008/04/16/whats-going-on-with-red-hat-desktop-systems-an-update/