"I wonder how well that play has been working for IBM."
In January IBM reported that OpenShift is pulling in $1 billion in Annual Recurring Revenue [1]. OpenShift existed as a product before Kubernetes but was rebased on Kubernetes with v3. That was released (I think) in 2016? So that's basically 6 years from $0 Kubernetes revenue to $1 billion.
Red Hat numbers overall are sort of blended in with the rest of earnings for their group, I think, so I don't see exactly what Red Hat's numbers are now overall. When I worked for Red Hat they'd break it out internally but I wouldn't be able to share that unless it was reported publicly...
It took Red Hat something like 12 years from IPO to $1 billion in ARR, as an entire company. Not sure when RHEL alone became a $1 billion ARR business, but you have to remember that Red Hat's numbers included JBoss and other software too when they hit $1 billion.
As far as I know, none of the cloud providers break out Kubernetes numbers alone. I don't know, for example, how much AWS racks up via its Kubernetes. Of course, AWS also gets some of the OpenShift business since some of Red Hat's customers are on AWS, there's ROSA, etc. (Then again, AWS also gets a slice of RHEL too...)
Worth noting that Google Cloud posted its first profitable quarter in April of this year. No idea what Google's market share for Kubernetes is, but if I had to guess I'd say that their distribution isn't #1. (If anyone actually can accurately measure this, anyway...)
If IBM expected OpenShift to have grown beyond $1bn by January this year, I'd say that was unrealistic. I mean, obviously because it didn't, but also because when IBM acquired Red Hat officially the total Red Hat revenue was about $3.4 billion and if I'm not mistaken "emerging technologies" (including OpenShift) accounted for only $225 million. [2] If OpenShift was, say, $100m of that then they have (in fact) 10x'ed it.
And, finally, I don't think OpenShift revenues reflect whatever services IBM has packaged for OpenShift as a standard deployment platform. So - if IBM has made it easier to sell other things because they only have to target OpenShift, and they're successfully pushing OpenShift into major customers, then it's a pretty good deal.
But for now they also need to protect their primary Red Hat revenue stream, and that still appears to be RHEL.
[1] https://www.ibm.com/investor/att/pdf/IBM-4Q22-Earnings-Prepa...
[2] https://www.theregister.com/2019/03/26/red_hat_2019_results/