>>The past two and a half years have seen a dramatic change in the security posture of virtually all organizations. By accelerating the digital business mandate, the isolation economy catalyzed a move toward cloud computing to support remote workers. This, we know this had several ripple effects on CISO and CIO strategies that were highly visible at the board of directors level. Now, the first major change was to recognize that the perimeter had suddenly been vaporized protection. As a result moved away from things like perimeter based firewalls toward more distributed endpoints, cloud security, and modern identity management. The second major change was a heightened awareness of the realities of ransomware. Ransomware as a service, for example, emerges a major threat where virtually anyone with access to critical data and criminal intentions could monetize corporate security exposures. The third major change was a much more acute understanding of how data protection needed to become a fundamental component of cybersecurity strategies. >>And more specifically, CIOs quickly realized that their business resilient strategies were too narrowly DR focused that their DR approach was not cost efficient and needed to be modernized. And that new approaches to operational resilience were needed to reflect the architectural and business realities of this new environment. Hello, and welcome to Why Ransomware isn't your Only Problem, a service of the Cube made possible by dva. And in collaboration with idc. I'm your host, Dave Ante, and today we're present a three part program. We'll start with the data. IDC recently conducted a global survey of 500 business technology practitioners across 20 industries to understand the degree to which organizations are aware of and prepared for the threats they face. In today's new world, IDC Research Vice President Phil Goodwin is here to share the highlights of the study and summarize the findings from a recent research report on the topic. >>After that, we're gonna hear from Curtis Preston, who's the Chief Technical Evangelist at Druva. I've known Curtis for decades. He's one of the world's foremost experts on backup and recovery, specifically in data protection. Generally. Curtis will help us understand how the survey data presented by IDC aligns with the real world findings from the field, from his point of view. And he'll discuss why so many organizations have failed to successfully recover from an attack without major pains and big costs, and how to avoid such operational disruptions and disasters. And then finally, we'll hear from the technical experts at dva, Steven Manly and Anja Serenas. Steven is a 10 time cubo and Chief technology officer at dva. And Anjan is vice president and general manager of product management at the company. And these individuals will specifically address how DVA is closing the gaps presented in the IDC survey through their product innovation. Or right now I'm gonna toss it to Lisa Martin, another one of the hosts for today's program. Lisa, over to you. >>Bill Goodwin joins me next, the VP of research at idc. We're gonna be breaking down what's going on in the threat landscape. Phil, welcome to the program. It's great to have you back on the cube. >>Hey, Lisa, it's great to be here with you. >>So talk to me about the state of the global IT landscape as we see cyber attacks massively increasing, the threat landscape changing so much, what is IDC seeing? >>You know, you, you really hit the, the top topic that we find from IT organizations as well as business organizations. And really it's that digital resilience that that ransomware that has everybody's attention, and it has the attention not just of the IT people, but of the business people alike, because it really does have profound effects across the organization. The other thing that we're seeing, Lisa, is really a move towards cloud. And I think part of that is driven by the economics of cloud, which fundamentally changed the way that we can approach disaster recovery, but also is accelerated during the pandemic for all the reasons that people have talked about in terms of work from home and so on. And then really the third thing is the economic uncertainty. And this is relatively new for 2022, but within idc we've been doing a lot of research around what are those impacts going to be. And what we find people doing is they want greater flexibility, they want more cost certainty, and they really want to be able to leverage those cloud economics to be, have the scale, upper scale, down on demand nature of cloud. So those are in a nutshell, kind of the three things that people are looking at. >>You mentioned ransomware, it's a topic we've been talking about a lot. It's a household word these days. It's now Phil, no longer if we're gonna get attacked. It's when it's how often it's the severity. Talk about ransomware as a priority all the way up the stack to the C-suite. And what are they trying to do to become resilient against it? >>Well, what, what some of the research that we did is we found that about 77% of organizations have digital resilience as a, as a top priority within their organization. And so what you're seeing is organizations trying to leverage things to become more, more resilient, more digitally resilient, and to be able to really hone in on those kinds of issues that are keeping keeping them awake at night. Quite honestly, if you think about digital resilience, it really is foundational to the organization, whether it's through digital transformation or whether it's simply data availability, whatever it might happen to be. Digital resilience is really a, a large umbrella term that we use to describe that function that is aimed at avoiding data loss, assuring data availability, and helping the organization to extract value from their data >>And digital resilience, data resilience as every company these days has to be a data company to be competitive, digital resilience, data resilience. Are you using those terms interchangeably or data resilience to find as something a little bit different? >>Well, sometimes yeah, that we do get caught using them when, when one is the other. But data resilience is really a part of digital resilience, if you think about the data itself and the context of of IT computing. So it really is a subset of that, but it is foundational to IT resilience. You, you really, you can't have it resilience about data resilience. So that, that's where we're coming from on it >>Inextricably linked and it's becoming a corporate initiative, but there's some factors that can complicate digital resilience, data resilience for organizations. What are some of those complications that organizations need to be aware of? >>Well, one of the biggest is what, what you mentioned at the, at the top of the segment. And, and that is the, the area of ransomware, the research that we found is about 46% of organizations have been hit within the last three years. You know, it's kind of interesting how it's changed over the years. Originally being hit by ransomware had a real stigma attached to it. Organizations didn't want to admit it, and they really avoided confronting that. Nowadays, so many people have been hit by it, that that stigma has gone. And so really it is becoming more of a community kind of effort as people try to, to defend against these ransoms. The other thing about it is it's really a lot like whackamole. You know, they attack us in one area and and, and we defend against it. They, so they attack us in another area and we defend against it. >>And in fact, I had a, an individual come up to me at a show not long ago and said, You know, one of these days we're gonna get pretty well defended against ransomware and it's gonna go away. And I responded, I don't think so because we're constantly introducing new systems, new software, and introducing new vulnerabilities. And the fact is ransomware is so profitable, the bad guys aren't gonna just fade into the night without giving it a a lot of fight. So I really think that ransomware is one of those things that here is here for the long term and something that we, we have to address and have to get proactive about. >>You mentioned some stats there and, and recently IDC and DVA did a white paper together that really revealed some quite shocking results. Talk to me about some of the things. Let, let's talk a little bit about the demographics of the survey and then talk about what was the biggest finding there, especially where it's concern concerning ransomware. >>Yeah, this, this was a worldwide study. It was sponsored by DVA and conducted by IDC as an independent study. And what we did, we surveyed 500 is a little over 500 different individuals across the globe in North America select countries in in western Europe, as well as several in, in Asia Pacific. And we did it across industries with our 20 different industries represented. They're all evenly represented. We had surveys that included IT practitioners, primarily CIOs, CTOs, VP of of infrastructure, you know, managers of data centers, things like that. And the, and the biggest finding that we had in this, Lisa, was really finding that there is a huge disconnect, I believe, between how people think they are ready and what the actual results are when they, when they get attacked. Some of the, some of the statistics that we learned from this, Lisa, include 83% of organizations believe or tell, told us that they have a, a playbook that, that they have for ransomware. >>I think 93% said that they have a high degree or a high or very high degree of confidence in their recovery tools and, and are fully automated. And yet when you look at the actual results, you know, I told you a moment ago, 46% have been attacked successfully. I can also tell you that in separate research, fewer than a third of organizations were able to fully recover their data without paying the ransom. And some two thirds actually had to pay the ransom. And even when they did, they didn't necessarily achieve their full recovery. You know, the bad guys aren't, aren't necessarily to be trusted. And, and so the software that they provide sometimes is, is fully recovered. Sometimes it's not. So you look at that and you go, Wow. On, on the one hand, people think they're really, really prepared, and on the other hand, the results are, are absolutely horrible. >>You know, two thirds of people having, having to pay their ransom. So you start to ask yourself, well, well, what is, what's going on there? And I believe that a lot of it comes down to, kind of reminds me of the old quote from Mike Tyson. Everybody has a plan until they get punched in the mouth. And I think that's kind of what happens with ransomware. You, you think you know what you're, you're doing, you think you're ready based on the information you have. And these people are smart people and, and they're professionals, but oftentimes you don't know what you don't know. And like I say, the bad guys are always dreaming up new ways to attack us. And so I think for that reason, a lot of these have been successful. So that was kind of the key finding to me in kind of the aha moment really in this whole thing. Lisa, >>That's a massive disconnect with the vast majority saying we have a cyber recovery playbook, yet nearly half being the victims of ransomware in the last three years, and then half of them experiencing data loss. What is it then that organizations in this situation across any industry can do to truly enable cyber resilience data resilience as it's, as we said, this is a matter of this is gonna happen just a matter of when and how often >>It it is a matter, Yeah, as you said, it's not if when or, or how often. It's really how badly. So I think what organizations are really do doing now is starting to turn more to cloud-based services. You know, finding professionals who know what they're doing, who have that breadth of experience and who have seen the kinds of, of necessary steps that it takes to do a recovery. And the fact of the matter is a disaster recovery and a cyber recovery are really not the same thing. And so organizations need to be able to, to plan the kinds of recovery associated with cyber recovery in terms of forensics, in terms of, of scanning, in terms of analysis and so forth. So they're, they're turning to professionals in the cloud much more in order to get that breadth of experience and, and to take advantage of cloud based services that are out there. >>Talk to me about some of the key advantages of cloud-based services for data resilience versus traditional legacy on-prem equipment. What are some of the advantages? Why are is IDC seeing this big shift to cloud where, where data resilience is concerned? >>Well, the first and foremost is the economics of it. You know, you can, you can have on demand resources. And in the old days when we had disaster recoveries where there we had two different data centers and a failover and so forth, you know, you had double the infrastructure. If your financial services, it might even be triple, the infrastructure is very complicated, very difficult by going to the cloud. Organizations can subscribe to disaster recovery as a service. It increasingly what we see is a new market of cyber recovery as a service. So being able to leverage those resources to be able to have the forensic analysis available to them, to be able to have the other resources available that are on demand, and to have that plan in place to have those resources in place. I think what happens in a number of situations, Lisa, is that that organizations think they're ready, but then all of a sudden they get hit and all of a sudden they have to engage with outside consultants or they have to bring in other experts and that, and that extends the time to recover that they have and it also complicates it. >>So if they have those resources in place, then they can simply turn them on, engage them, and get that recover going as quickly as possible. >>So what do you think the big issue here is, is it that these, these I p T practitioners over 500 that you surveyed across 20 industries is a global survey? Do they not know what they don't know? What's the the overlying issue here? >>Yeah, I think that's right. It's, you don't know what you don't know and until you get into a specific attack, you know, there, there are so many different ways that, that organizations can be attacked. And in fact, from this research that we found is that in many cases, data exfiltration exceeds data corruption by about 50%. And when you think about that, the, the issue is, once I have your data, what are you gonna do? I mean, there's no amount of recovery that is gonna help. So organizations are either faced with paying the ransom to keep the data from perhaps being used on the dark web or whatever, or simply saying no and, and taking their chances. So best practice things like encryption, immutability, you know, things like that that organizations can put into place. Certainly air gaps. Having a, a solid backup foundation to, to where data is you have a high recovery, high probability of recovery, things like that. Those are the kinds of things that organizations have to put into place really is a baseline to assure that they can recover as fast as possible and not lose data in the event of a ransomware attack. >>Given some of the, the, the disconnect that you articulated, the, the stats that show so many think we are prepared, we've got a playbook, yet so many are being, are being attacked. The vulnerabilities and the, and the, as the, the landscape threat landscape just gets more and more amorphous. Why, what do you recommend organizations? Do you talk to the IT practitioners, but does this go all the way up to the board level in terms of, hey guys, across every industry, we are vulnerable, this is gonna happen, we've gotta make sure that we are truly resilient and proactive? >>Yes, and in fact, what we found from this research is in more than half of cases, the CEO is directly involved in the recovery. So this is very much a C-suite issue. And if you look at the, the, the consequences of ransom where it's not just the ransom, it's the loss productivity, it's, it's the loss of, of revenue. It's, it's the loss of, of customer faith and, and, and goodwill and organizations that have been attacked have, have suffered those consequences. And, and many of them are permanent. So people at the board level where it's, whether it's the ceo, the cfo, the cio, the c cso, you know, whoever it is, they're extremely concerned about these. And I can tell you they are fully engaged in addressing these issues within their organization. >>So all the way at the top critically important, business critical for any industry. I imagine some industries may be a little bit more vulnerable than others, financial services, healthcare, education, we've just seen big attack in Los Angeles County. But in terms of establishing data resilience, you mentioned ransomware isn't going anywhere, It's a big business business, it's very profitable. But what is IDCs prediction where ransomware is concerned? Do you think that organizations, if they truly adopt cloud and status based technologies, can they get to a place where the C-suite doesn't have to be involved to the point where they're, they really actually have i i functioning playbook? >>I i, I don't know if we'll ever get to the point where the CCC C suite is not involved. It's probably very important to have that, that level of executive sponsorship. But, but what we are seeing is, in fact, we predicted by 20 25, 50 5% of organizations we'll have shifted to a cloud centric strategy for their data resilience. And the reason we say that is, you know, workloads on premises aren't going away. So that's the core. We have an increasing number of workloads in the cloud and, and at the edge, and that's really where the growth is. So being able to take that cloud centric model and take advantage of, of cloud resources like immutable storage, being able to move data from region to region inexpensively and easily and, and to be able to take that cloud centric perspective and apply it on premises as well as in the cloud and at the edge is really where we believe that organizations are shifting their focus. >>Got it. We're just cracking the surface here. Phil, I wish we had more time, but I had a chance to read the Juba sponsored IDC White paper. Fascinating finds. I encourage all of you to download that, Take a read, you're gonna learn some very interesting statistics and recommendations for how you can really truly deploy data resilience in your organization. Phil, it's been a pleasure to have you on the program. Thank you for joining >>Me. No problem. Thank you, Lisa. >>In a moment, John Furrier will be here with his next guest. For right now, I'm Lisa Martin and you are watching the Cube, the leader in live tech coverage. >>We live in a world of infinite data, sprawling, dispersed valuable, but also vulnerable. So how do organizations achieve data resiliency when faced with ever expanding workloads, increasing security threats and intensified regulations? Unfortunately, the answer often boils down to what flavor of complexity do you like best? The common patchwork approaches are expensive, convoluted, and difficult to manage. There's multiple software and hardware vendors to worry about different deployments for workloads running on premises or in the cloud. And an inconsistent security framework resulting in enterprises maintaining four of five copies of the same data, increasing costs and risk building to an incoherent mess of complications. Now imagine a world free from these complexities. Welcome to the dr. A data resiliency cloud where full data protection and beautiful simplicity converge. 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As data grows and becomes more critical to your business advantage, a data resiliency plan is vital, but it shouldn't be complicated. Dr. A makes it simple. >>Welcome back everyone to the cube and the drew of a special presentation of why ransomware isn't your only problem. I'm John Furrier, host of the Cube. We're here with w Curtis Preston. Curtis Preston, he known in the industry Chief Technical Evangelist at Druva. Curtis, great to see you. We're here at why ransomware isn't your only problem. Great to see you. Thanks for coming on. >>Happy to be here. >>So we always see each other events now events are back. So it's great to have you here for this special presentation. The white paper from IDC really talks about this in detail. I to get your thoughts and I'd like you to reflect on the analysis that we've been covering here and the survey data, how it lines up with the real world that you're seeing out there. >>Yeah, I think it's the, the survey results really, I'd like to say, I'd like to say that they surprised me, but unfortunately they didn't. The, the, the, the data protection world has been this way for a while where there's this, this difference in belief or difference between the belief and the reality. And what we see is that there are a number of organizations that have been hit successfully, hit by ransomware, paid the ransom and, and, and or lost data. And yet the same people that were surveyed, they had to high degrees of confidence in their backup system. And I, you know, I, I could, I could probably go on for an hour as to the various reasons why that would be the case, but I, I think that this long running problem that as long as I've been associated with backups, which you know, has been a while, it's that problem of, you know, nobody wants to be the backup person. And, and people often just, they, they, they don't wanna have anything to do with the backup system. And so it sort of exists in this vacuum. And so then management is like, oh, the backup system's great, because the backup person often, you know, might say that it's great because maybe it's their job to say so. But the reality has always been very, very different. >>It's funny, you know, we're good boss, we got this covered. Good, >>It's all good, it's all good, >>You know, and the fingers crossed, right? So again, this is the reality and, and, and as it becomes backup and recovery, which we've talked about many times on the cube, certainly we have with you before, but now with ransomware also, the other thing is people get ransomware hit multiple times. So it's not, not only like they get hit once, so, you know, this is a constant chasing the tail on some ends, but there are some tools out there, You guys have a solution. And so let's get into that. You know, you have had hands on backup experience. What are the points that surprised you the most about what's going on in this world and the realities of how people should be going forward? What's your take? >>Well, I would say that the, the, the one part in the survey that surprised me the most was people that had a huge, you know, that there, there was a huge percentage of people that said that they had a, a, a, you know, a a a ransomware response, you know, in readiness program. And you look at that and you, how could you be, you know, that high percentage of people be comfortable with their ransomware readiness program and a, you know, which includes a number of things, right? There's the cyber attack aspect of responding to a ransomware attack, and then there's the recovery aspect. And so your, you believe that your company was ready for that, and then you go, and I, I think it was 67% of the people in the survey paid the ransom, which as, as a person who, you know, has spent my entire career trying to help people successfully recover their data, that number I think just hurt me the most is that because you, you talked about re infections, the surest way to guarantee that you get rein attacked and reinfected is to pay the ransom. This goes back all the way ransom since the beginning of time, right? Everyone knows if you pay the blackmail, all you're telling people is that you pay blackmail and >>You're in business, you're a good customer arr for ransomware. >>Yeah. So the, the fact that, you know, 60 what two thirds of the people that were attacked by ransomware paid the ransom. That one statistic just, just hurt my heart. >>Yeah. And I think this is the reality. I mean, we go back and even the psychology of the practitioners was, you know, it's super important to get back in recovery and that's been around for a long time, but now that's an attack vector, okay? And there's dollars involved, like I said, the arr joking, but there's recurring revenue for the, for the bad guys if they know you're paying up and if you're stupid enough not to change, you're tooling, right? So, so again, it works both ways. So I gotta ask you, why do you think so many are unable to successfully respond after an attack? Is it because they know it's coming? I mean, I mean, they're not that dumb. I mean, they have to know it's coming. Why aren't they responding and successfully to this? >>I I think it's a, it's a litany of thing starting with the, that aspect that I mentioned before, that nobody wants to have anything to do with the backup system, right? So nobody wants to be the one to raise their hand because if, if you're the one that raises their hand, you know what, that's a good idea, Curtis, why don't you look into that? Right. Nobody, nobody wants to be, Where's >>That guy now? He doesn't work here anymore. Yeah, but I I I hear where you come from exactly. Psychology. >>Yeah. So there, there's that. But then the second is that because of that, no one's looking at the fact that backups are the attack vector. They, they, they become the attack vector. And so because they're the attack vector, they have to be protected as much, if not more than the rest of the environment. The rest of the environment can live off of active directory and, you know, and things like Okta, so that you can have SSO and things like that. The backup environment has to be segregated in a very special way. Backups have to be stored completely separate for from your environment. The login and authentication and authorization system needs to be completely separate from your typical environment. Why? Because if you, if that production environment is compromised now knowing that the attacks or that the backup systems are a significant portion of the attack vector, then you've, if, if the production system is compromised, then the backup system is compromised. So you've got to segregate all of that. And I, and I just don't think that people are thinking about that. Yeah. You know, and they're using the same backup techniques that they've used for many, many years. >>So what you're saying is that the attack vectors and the attackers are getting smarter. They're saying, Hey, we'll just take out the backup first so they can backup. So we got the ransomware it >>Makes Yeah, exactly. The the largest ransomware group out there, the KTI ransomware group, they are specifically targeting specific backup vendors. They know how to recognize the backup servers. They know how to recognize where the backups are stored, and they are exfiltrating the backups first and then deleting them and then letting you know you have ransom. >>Okay, so you guys have a lot of customers, they all kind of have the same this problem. What's the patterns that you're seeing? How are they evolving? What are some of the things that they're implementing? What is the best practice? >>Well, again, you, you've got to fully segregate that data. There are, and, and everything about how that data is stored and everything about how that data's created and accessed. There are ways to do that with other, you know, with other commercial products, you can take a, a, a standard product and put a number of layers of defense on top of it, or you can switch to the, the way Druva does things, which is a SAS offering that stores your data completely in the cloud in our account, right? So your account could be completely compromised. That has nothing to do with our account. And the, the, it's a completely different authentication and authorization system. You've got multiple layers of defense between your computing environment and where we store your backups. So basically what you get by default with the, the way juva stores your backups is the best you can get after doing many, many layers of defense on the other side and having to do all that work with us. You just log in and you get all of that. >>I guess how do, how do you break the laws of physics? I guess that's the question here. >>Well, when, because that's the other thing is that by storing the data in the cloud, we, we do, and I've said this a few times, that you get to break the laws of physics and the, the only way to do that is to, is time travel and what, that's what it, so yeah, so Druva has time travel. What, and this is a criticism by the way. I don't think this is our official position, but Yeah. But the, the idea is that the only way to restore data as fast as possible is to restore it before you actually need it. And that's what kind of what I mean by time travel in that you basically, you configure your dr your disaster recovery environment in, in DVA one time. And then we are pre restoring your data as often as you tell us to do, to bring your DR environment up to the, you know, the, the current environment as quickly as we can so that in a disaster recovery scenario, which is part of your ransomware response, right? Again, there are many different parts, but when you get to actually restoring the data, you should be able to just push a button and go the, the data should already be restored. And that's the, i that's the way that you break the laws of physics is you break the laws of time. >>Well, I, everyone wants to know the next question, and this is the real big question, is, are you from the future? >>Yeah. Very much the future. >>What's it like in the future? Backup recovery as a restore, Is it air gaping? Everything? >>Yeah. It, it, it, Well it's a world where people don't have to worry about their backups. I I like to use the phrase, get outta the backup business. Just get into the ReSTOR business. I I, you know, I'm, I'm a grandfather now and I, and I love having a granddaughter and I often make the joke that if I don't, if I'd have known how great grandkids were, I would've skipped straight to them, right? Not possible. Just like this. Recoveries are great. Backups are really hard. So in the future, if you use a SAS data protection system and data resiliency system, you can just do recoveries and not have to worry about >>Backups. Yeah. And what's great about your background is you've got a lot of historical perspective. You've seen that been in the ways of innovation now it's really is about the recovery and real time. So a lot of good stuff going on. And God think automated thingss gotta be rocking and rolling. >>Absolutely. Yeah. I do remember, again, having worked so hard with many clients over the years, back then, we worked so hard just to get the backup done. There was very little time to work on the recovery. And I really, I kid you not that our customers don't have to do all of those things that all of our competitors have to do to, you know, to, to break, to try to break the laws of physics. I've been fighting the laws of physics my entire career to get the backup done in the first place. Then to secure all the data, right to air gap it and make sure that a ransomware attack isn't going to attack it. Our customers get to get straight to a fully automated disaster recovery environment that they get to test as often as possible and they get to do a full test by simply pressing a single button. And you know, I, I wish that, I wish everybody had that ability. >>Yeah, I mean, security's a big part of it. Data's in the middle of it all. This is now mainstream front lines. Great stuff Chris, great to have you on, bring that perspective and thanks for the insight. Really >>Appreciate it. Always happy to talk about my favorite subject. >>All right, we'll be back in a moment. We'll have Steven Manley, the cto and on John Shva, the GM and VP of Product Manage will join me. You're watching the cube, the leader in high tech enterprise coverage. >>Ransomware is top of mind for everyone. Attacks are becoming more frequent and more sophisticated. It's a problem you can't solve alone anymore. Ransomware is built to exploit weaknesses in your backup solution, destroying data and your last line of defense. With many vendors, it can take a lot of effort and configuration to ensure your backup environment is secure. Criminals also know that it's easy to fall behind on best practices like vulnerability, scans, patches and updates. In fact, 42% of vulnerabilities are exploited after a patch has been released after an attack. Recovery can be a long and manual process that still may not restore clean or complete data. The good news is that you can keep your data safe and recover faster with the DR A data resiliency cloud on your side. The DR A platform functions completely in the cloud with no hardware, software, operating system, or complex configurations, which means there are none of the weaknesses that ransomware commonly uses to attack backups. >>Our software as a service model delivers 24 7 365 fully managed security operations for your backup environment. We handle all the vulnerability scans, patches and upgrades for you. DVA also makes zero trust security easy with builtin multifactor authentication, single sign-on and role-based access controls in the event of an attack. Druva helps you stop the spread of ransomware and quickly understand what went wrong. With builtin access insights and anomaly detection, then you can use industry first tools and services to automate the recovery of clean unencrypted data from the entire timeframe of the attack. Cyber attacks are a major threat, but you can make protection and recovery easy with dva. >>Welcome back everyone to the Cubes special presentation with DVA on why ransomware isn't your only problem. I'm John er, host of the Cube. Our next guest are Steven Manley, Chief Technology Officer of dva and I, John Trini VAs, who is the general manager and vice president of product management and Druva. Gentleman, you got the keys to the kingdom, the technology, ransomware, data resilience. This is the topic, the IDC white paper that you guys put together with IDC really kind of nails it out. I want to get into it right away. Welcome to this segment. I really appreciate it. Thanks for coming on. >>Great to be here John. >>So what's your thoughts on the survey's conclusion? I've obviously the resilience is huge. Ransomware is continues to thunder away at businesses and causes a lot of problems. Disruption, I mean just it's endless ransomware problems. What's your thoughts on the con conclusion? >>So I'll say the, the thing that pops out to me is, is on the one hand, everybody who sees the survey, who reads, it's gonna say, well that's obvious. Of course ransomware continues to be a problem. Cyber resilience is an issue that's plaguing everybody. But, but I think when you dig deeper and there and there's a lot of subtleties to look into, but, but one of the things that, that I hear on a daily basis from the customers is it's because the problem keeps evolving. It, it's not as if the threat was a static thing to just be solved and you're done because the threat keeps evolving. It remains top of mind for everybody because it's so hard to keep up with with what's happening in terms of the attacks. >>And I think the other important thing to note, John, is that people are grappling with this ransomware attack all of a sudden where they were still grappling with a lot of legacy in their own environment. So they were not prepared for the advanced techniques that these ransomware attackers were bringing to market. It's almost like these ransomware attackers had a huge leg up in terms of technology that they had in their favor while keeping the lights on was keeping it away from all the tooling that needed to do. A lot of people are even still wondering when that happens next time, what do I even do? So clearly not very surprising. Clearly I think it's here to stay and I think as long as people don't retool for a modern era of data management, this is going to stay this >>Way. Yeah, I mean I hear this whole time and our cube conversations with practitioners, you know there, it's kind of like the security pro give me more tools, I'll buy anything that comes in the market. I'm desperate. There's definitely attention but it doesn't seem like people are satisfied with the tooling that they have. Can you guys share kind of your insights into what's going on in the product side? Because you know, people claim that they have tools at fine points of, of recovery opportunities but they can't get there. So it seems to be that there's a confidence problem here in the market. What, how do you guys see that? Cuz I think this is where the rubber meets the road with ransomware cuz it's, it is a moving train, it's always changing but it doesn't seem as confidence. Can you guys talk about that? What's your reaction? >>Yeah, let me jump in first and Steven can add to it. What happens is I think this is a panic buying and they have accumulated this tooling now just because somebody said could solve your problem, but they haven't had a chance to take a re-look from a ground up perspective to see where are the bottlenecks, where are the vulnerabilities and which tooling set needs to lie? Where, where does the logic need to recite and what in Drew we are watching people do and people do it successfully, is that as they have adopted through our technology, which is ground up built for the cloud and really built in a way which is, you know, driven at a data insight level where we have people even monitoring our service for anomalies and activities that are suspicious. We know where we need to play a role in really kind of mitigating this ransomware. >>And then there's a whole plethora of ecosystem players that kind of combine to really really finish the story so to say, right? So I think this has been a panic buying situation. This is like, get me any help you can give me. And I think as this settles down and people really understand that longer term as they really build out a true defense mechanism, they need to think really ground up. They will start to really see the value of technologies like Druva and tried to identify the right set of ecosystem to really bring together to solve it meaningfully. >>Steven, >>I was gonna say, I mean one, one of the, one of the really interesting things in the survey for me and, and, and for a moment, little more than a moment, it made me think was that the large number of respondents who said I've got a really efficient well run backup environment, who then on basically the next question said, and I have no confidence that I can recover from a ransomware attack. And you scratch your head and you think, well if your backup environment is so good, why do you have such low confidence? And, and, and I think that's the moment when we, we dug deeper and we realized, you know, if you've got a traditional architecture and let's face the dis base architecture's been around for almost two decades now in terms of dis based backup, you can have that tune to the help that can be running as efficiently, efficiently as you want it, but it was built before the ransomware attacks before, before all these cyber issues, you know, really start hitting companies. And so I have this really well run traditional backup environment that is not at all built for these modern threat vectors. And so that's really why customers are saying I'm doing the best I can, but as Angen pointed out, the architecture, the tooling isn't there to support what, what problems I need to solve today. Yeah, >>Great point. And so yeah, well that's a great point. Before we get into the customer side, I wanna get to in second, you know, I interviewed Jare, the the founder CEO many years ago, even before the pandemic. You mentioned modern, you guys have always had the cloud, which r this is huge. Now that you're past the pandemic, what is that modern cloud edge you guys have? Cuz that's a great point. A lot of stuff was built kind of Beckham recovery bolted on, not really kind of designed into the, the current state of the infrastructure and the cloud native application modern environment we're seeing. Right? Now's a huge issue >>I think. I think it's, it's to me there's, there's three things that come up over and over and over again as, as we talk to people in terms of, you know, being built in cloud, being cloud native, why is an advantage? The first one is, is security and ransomware. And, and, and we can go deeper, but the most obvious one that always comes up is every single backup you do with DVA is air gap offsite managed under a separate administrative domain so that you're not retrofitting any sort of air gap network and buying another appliance or setting up your own cloud environment to manage this. Every backup is ransomware protected, guaranteed. I think the second advantage is the scalability. And you know this, this certainly plays into account as your, your business grows or in some cases as you shrink or repurpose workloads, you're only paying for what you use. >>But it also plays a a big role again when you start thinking of ransomware recoveries because we can scale your recovery in cloud on premises as much or as little as you want. And then I think the third one is we're seeing a basically things evolving new workloads, data sprawl, new threat vectors. And one of the nice parts of being a SA service in the cloud is you're able to roll out new functionality every two weeks and there's no upgrade cycle, there's no waiting, you know, the customer doesn't have to say, Wow, I need it six months in the lab before I upgrade it and it's an 18 month, 24 month cycle before the functionality releases. You're getting it every two weeks and it's backed by Druva to make sure it works. >>That says on John, you know, you got the, the product side, you know, it's challenging job cuz you have so many customers asking for things probably on the roadmap you probably go hour for that one. But I wanna get your thoughts on what you're hearing and seeing from customers. You know, we just reviewed the IDC with Phil. How are you guys responding to your customer's needs? Because it seems that it's highly accelerated on the, probably on the feature request, but also structurally as as ransomware continues to evolve. What are you hearing, what's the key customer need? How are you guys responding? >>Yeah, actually I have two things that I hear very clearly when I talk to customers. One, I think after listening to their security problems and their vulnerability challenges because we see customers and help customers who are getting challenge by ransomware on a weekly basis. And what I find that this problem is not just a technology problem, it's an operating model problem. So in order to really secure themselves, they need a security operating model and a lot of them haven't figured out that security operating model in totality. Now where we come in as rua is that we are providing them the cloud operating model and a data protection operating model combined with a data insights operating model which all fit into their overall security operating model that they are really owning and they need to manage and operate because this is just not about a piece of technology. >>On top of that, I think our customers are getting challenged by all the same challenges of not just spending time on keeping the lights on but innovating faster with faster, with less. And that has been this age old problem, do more with less. But in this, in this whole, they're like trying to innovate in the middle of the war so to say, right, the war is happening, they're getting attacked, but there's also net new shadow IT challenges that's forcing them to make sure that they can manage all the new applications that are getting developed in the cloud. There is thousands of SaaS applications that they're consuming not knowing which data is critical to their success and which ones to protect and govern and secure. So all of these things are coming at them at a hundred miles per hour while they're just, you know, trying to live one day at a time. >>And unless they really develop this overall security operating model helped by cloud native technologies like Druva that really providing them a true cloud native model of really giving like a touchless and an invisible protection infrastructure. Not just beyond backups, beyond just the data protection that we all know of into this kind of this mindset of kind of being able to look at where each of those functionalities need to lie. That's where I think they're grappling with now. Drew is clearly helping them with keep up to pace with the public cloud innovations that they need to do and how to protect data. We just launched our EC two offering to protect EC two virtual machines back in aws and we are gonna be continuing to evolve that to further many services that public cloud software cuz our customers are really kind of consuming them at breakneck speed. >>So the new workloads, the new security capabilities. Love that. Good, good call out there. Steven, this still the issue of the disruption side of it, you guys have a guarantee there's a cost of ownership as you get more tools. Can you talk about that angle of it? Because this is, you got new workloads, you got the new security needs, what's the disruption impact? Cause you know, you won't avoid that. How much is it gonna cost you? And you guys have this guarantee, can you explain that? >>Yeah, absolutely. So, so Dr launched our 10 million data resiliency guarantee. And, and for us, you know, there were, there were really two key parts to this. The first obviously is 10 million means that, you know, again we're, we're we're willing to put our money where our mouth is and, and that's a big deal, right? That that, that we're willing to back this with the guarantee. But then the second part, and, and, and this is the part that I think reflects that, that sort of model that Angen was talking about, we, we sort of look at this and we say the goal of DVA is to do the job of protecting and securing your data for you so that you as a customer don't have to do it anymore. And so the guarantee actually protects you against multiple types of risks all with SLAs. So everything from, you know, your data's gonna be recoverable in the case of a ransomware attack. >>Okay, that's good. Of course for it to be recoverable, we're also guaranteeing, you know, your backup, your backup success rate. We're also guaranteeing the availability of the service. You know, we're, we're guaranteeing that the data that we're storing for you can't be compromised or leaked externally and you know, we're guaranteeing the long term durability of the data so that if you back up with us today and you need to recover 30 years from now, that data's gonna be recovered. So we wanted to really attack the end to end, you know, risks that, that, that affect our customers. Cybersecurity is a big deal, but it is not the only problem out there and the only way for this to work is to have a service that can provide you SLAs across all of the risks because that means, again, as a SAS vendor, we're doing the job for you so you're buying results as opposed to technology. >>That's great. Great point. Ransomware isn't the only problem that's the title of this presentation, but is a big one. People concerned about it. So great stuff. In the last five minutes guys, if you don't mind, I'd love to have you share what's on the horizon for dva. You mentioned the new workloads on John, you mentioned this new security hearing shift left DevOps is now the developer model, they're running it get data and security teams now stepping in and trying to be as vo high velocity as possible for the developers and enterprises. What's on the horizon, Ava? What trends is the company watching and how are you guys putting that together to stay ahead in the marketplace and the competition? >>Yeah, I think listening to our customers, what we realize is they need help with the public cloud. Number one. I think that's a big wave of consumption. People are consolidating their data centers, moving to the public cloud. They need help in expanding data protection, which becomes the basis of a lot of the security operating model that I talked about. They need that first from before they can start to get into much more advanced level of insights and analytics on that data to protect themselves and secure themselves and do interesting things with that data. So we are expanding our coverage on multiple fronts there. The second key thing is to really bring together a very insightful presentation layer, which I think is very unique to thwa because only we can look at multiple tenants, multiple customers because we are a SAS vendor and look at insights and give them best practices and guidances and analytics that nobody else can give. >>There's no silo anymore because we are able to take a good big vision view and now help our customers with insights that otherwise that information map is completely missing. So we are able to guide them down a path where they can optimize which workloads need, what kind of protection, and then how to secure them. So that is the second level of insights and analytics that we are building. And there's a whole plethora of security offerings that we are gonna build all the way from a feature level where we have things like recycle bin that's already available to our customers today to prevent any anomalous behavior and attacks that would delete their backups and then they still have a way to recover from it, but also things to curate and get back to that point in time where it is safe to recover and help them with a sandbox which they can recover confidently knowing it's not going to jeopardize them again and reinfect the whole environment again. So there's a whole bunch of things coming, but the key themes are public cloud, data insights and security and that's where my focus is to go and get those features delivered and Steven can add a few more things around services that Steven is looking to build in launch. >>Sure. So, so yeah, so, so John, I think one of the other areas that we see just an enormous groundswell of interest. So, so public cloud is important, but there are more and more organizations that are running hundreds if not thousands of SaaS applications and a lot of those SaaS applications have data. So there's the obvious things like Microsoft 365 Google workspace, but we're also seeing a lot of interest in protecting Salesforce because if you think about it, you know, if you, if if someone you know deletes some really important records in Salesforce, that's, that's actually actually kind of the record of your business. And so, you know, we're looking at more and more SaaS application protection and, and really getting deep in that application awareness. It's not just about backup and recovery. When you look at something like, like a sales force or something like Microsoft 365, you do wanna look into sandboxing, you wanna, you wanna look into long term archival because again, this is the new record of the business, what used to be in your on premises databases that all lives in cloud and SaaS applications now. >>So that's a really big area of investment for us. The second one, just to echo what, what engine said is, you know, one of the great things of being a SaaS provider is I have metadata that spans across thousands of customers and tens of billions of backups a year. And I'm tracking all sorts of interesting information that is going to enable us to do things like make backups more autonomous so that customers, again, I want to do the job for them, will do all the tuning, we'll do all the management for them to be able to better detect ransomware attacks, better respond to ransomware attacks because we're seeing across the globe. And then of course being able to give them more insight into what's happening in their data environment so they can get a better security posture before any attack happens. Because let's face it, if you can set your, your data up more cleanly, you're gonna be a lot less worried and a lot less exposed from that attack happens. So we want to be able to again, cover those SaaS applications in addition to the public cloud. And then we want to be able to use our metadata and use our analytics and use this massive pipeline. We've got to deliver value to our customers, not just charts and graphs, but actual services that enable them to focus their attention on other parts of the business. >>That's great stuff. Run John. >>And remember John, I think all this while keeping things really easy to consume consumer grade UI APIs and the, the really, the power of SaaS as a service simplicity to kind of continue on amongst kind of keeping these complex technologies together. >>Aj, that's a great call out. I was gonna mention ease of use is and self-service, big part of the developer and IT experience expected, it's the table stakes, love the analytic angle. I think that brings the scale to the table and faster time to value to get to learn best practices. But the end of the day automation, cross cloud protection and security to protect and recover. This is huge and this is big part of not only just protecting against ransomware and other things, but really being fast and being agile. So really appreciate the insights. Thanks for sharing on this segment, really under the hood and really kind of the value of of the product. Thanks for coming on. Appreciate it. >>Thank you very much. >>Okay, there it is. You got the experts talking about under the hood, the product, the value, the future of what's going on with Druva and the future of cloud native protecting and recovering. This is what it's all about. It's not just ransomware they have to worry about. In a moment, Dave Ante will give you some closing thoughts on the subject here you're watching the cube, the leader in high tech enterprise coverage. >>As organizations migrate their business processes to multi-cloud environments, they still face numerous threats and risks of data loss. With a growing number of cloud platforms and fragmented applications, it leads to an increase in data silos, sprawl, and management complexity. As workloads become more diverse, it's challenging to effectively manage data growth infrastructure, and resource costs across multiple cloud deployments. Using numerous backup vendor solutions for multiple cloud platforms can lead to management complexity. More importantly, the lack of centralized visibility and control can leave you exposed to security vulnerabilities, including ransomware that can cripple your business. The dr. A Data Resiliency Cloud is the only 100% SAS data resiliency platform that provides centralized, secure air gapped and immutable backup and recovery. With dva, your data is safe with multiple layers of protection and is ready for fast recovery from cyber attack, data corruption, or accidental data loss. Through a simple, easy to manage platform, you can seamlessly protect fragmented, diverse data at scale, across public clouds and your business critical SaaS applications. Druva is the only 100% SAS fender that can manage, govern, and protect data across multiple clouds and business critical SAS applications. It supports not just backup and recovery, but also data resiliency across high value use cases such as e-discovery, sensitive data governance, ransomware, and security. No other vendor can match Druva for customer experience, infinite scale storage optimization, data immutability and ransomware protection. The DVA data resiliency cloud your data always safe, always ready. Visit druva.com today to schedule a free demo. >>One of the big takeaways from today's program is that in the scramble to keep business flowing over the past two plus years, a lot of good technology practices have been put into place, but there's much more work to be done specifically because the frequency of attacks is on the rise and the severity of lost, stolen, or inaccessible data is so much higher. Today, business resilience must be designed into architectures and solutions from the start. It cannot be an afterthought. Well, actually it can be, but you won't be happy with the results. Now, part of the answer is finding the right partners, of course, but it also means taking a systems' view of your business, understanding the vulnerabilities and deploying solutions that can balance cost efficiency with appropriately high levels of protection, flexibility, and speed slash accuracy of recovery. You know, we hope you found today's program useful and informative. Remember, this session is available on demand in both its full format and the individual guest segments. All you gotta do is go to the cube.net and you'll see all the content, or you can go to druva.com. There are tons of resources available, including analyst reports, customer stories. There's this cool TCO calculator. You can find out what pricing looks like and lots more. Thanks for watching why Ransomware isn't your only problem Made possible by dva, a collaboration with IDC and presented by the Cube, your leader in enterprise and emerging tech coverage.

>>Hello everyone. I'm John furry with the cube. We're here, live on the ground in Seattle, Washington at the Bellevue Hilton for thes marketplace seller conference. It's kind of like the one and a half inaugural event. They have their first event in 2019, and now with the pandemic, they're re rebooting it, but it's really all about AWS's marketplace and partner network coming together, creating an experience for how people will be buying software and how people will be selling through with their ecosystem. I'm Jennifer, the cube we're here with Megan. Fontain, who's the VP of cloud seek. Who's a seller and partner of AWS making great to see you. Thanks for coming on the cube. >>Thank you so much. It's, it's nice to be back in person and it's great to be with you. >>So watching the progression of how Amazon web services is evolving the marketplace and the partner network, you're starting to see some patterns. One is, I'll say they have their own stuff, and they're addressing that in the room, but they're really letting the thousand flowers bloom in the ecosystem. You hear that every year reinvent, even when Andy Jesse who's now the CEO of Amazon would say, no, we want the best of breed. Best product wins. Adam. Celeste's the same view, new leadership here, the combination of APN partner network with the marketplace now partner organization, APO is the big news. They're open. They're building an API service layer between their old marketplace to create this new model here. What's your, what's your, what's your take? What's your seller view? >>Yeah, so our marketplace and APN journey started with AWS about three years ago. And I think something that was the most profound to me out of the keynote this morning was that Chris Gus, who runs the API organization for ISVs talked about marketplace as the automation layer for how AWS will partner going forward. So an independent software vendor likes, we see that as opening up the door for two things. One, we get to leverage the great global scale and platform of AWS, but then secondly, it really brings together this idea that we will sell together to the end customer through the marketplace. And we will also sell as partners through co-sell and APM. >>You know, I love these kind of new, new development models around channel partners, ISVs at the end of the day, buyers are buying software. Yes. And they're cloud they're on a cloud journey. You're the VP of cloud at the company, your company seek take a minute to explain what your company's known for, what you guys do, your relationship with the market. You're an ISV. Yeah. Where are you guys? Cuz you guys ha have a good thing going on here. What do you guys do? What are you known for >>Sure. So seek is market leading software for advanced analytics for the manufacturing industry. So we're squarely in that industry. ISV, we sell SAS solutions to business buyers who want two things. One is they want technology that they can deploy quickly in their organizations drive that great business value ROI that drives the next level of investment in technology seeks unique offering in marketplace is that we've solved a lot of the challenges around that operational data in manufacturing. So manufacturing the industry, it's going through massive transformation, supply chain, disruption, or coming out of that, the globalization of manufacturing. And yet they have data that they've stored for 20, 30 years, that they're still in the first generation of trying to gain insights from. So that's why seek exists. It's really to bring the insights outta that data and then help the manufacturing customers we work with. Get to the cloud. >>What's interesting. I like your perspective and I want to follow up on that because data analytics used to be this thing. Well, I got a database. Yeah. You hosted on some storage and you got structured data, unstructured data. Okay. You got scale. But now you've got data platforms. You've got data mesh. I think Gardner actually has a different term, but gets a whole nother conversation. Data platforms are diverse. Yeah. They're pervasive. They're part of core infrastructure in cloud. It's not like a point solution anymore. It's gotta be integrated and customers are trying to work on, this is one of the hardest problems today. Yeah. In cloud transformation is the data layer, the relationship to other services. Yeah. >>So the Dataverse common data models. How APIs will interact with data. The trend there though is something that it is the ecosystem that will bring value to customers because no database is gonna serve every need. Right. And you think about the data layer. It really has to solve the problems whereby any application, any user, any insight can be generated almost seamlessly. And we're really on the first wave of that journey. But I think a, an element for seek that we certainly understand with our customers is that data alone is not an end objective, right? If it doesn't lead to a decision and an action and a workflow that humans can take to go drive and improvement in their business process, then you haven't tapped into the, you know, value of that technology >>When a buyer comes to the marketplace. Yeah. And they see your listing and solutions. Yes. What are they getting? What are they, what, what are they buying? >>So for seek, we've radically simplified that we, we really embrace this idea of simplification. We just sell, seek. So we have one seat listing in the AWS marketplace, all applications of seek they're all available there. We really leaned into the enterprise procurement models. So private offers are how we do the most of our business on marketplace. And it really went from a stage of experimentation where couple of customers, you know, what is this marketplace? Maybe we'll buy a few of our business applications there all the way through to now we're starting to see the demand side come through for customers where it's not just their security software or their DevOps or infrastructure software. They wanna buy solutions like seek including line of business buyers through a common catalog in the marketplace. >>Great. So I wanna ask you, cuz I want to give you the opportunity to give the pitch, the customer watching right now. Yeah. What's the pitch. Why seek, why this listing? Why should they hit the purchase button? I wish it was that easy. Why should they, why should they what's the pitch? Sure. >>So the first thing is seek through marketplace is a five clicks on three screens procurement experience. So compare that to months and months of back and forth with contracts and purchase orders and vendor set up, this is five less than five minutes, few screens, couple of clicks. And you can buy a multi-year subscription of seek to cover your entire enterprise. The second pitch is that it's a SaaS application that now can be deployed within hours. And then your users, your insights, your value is starting within the first couple hours. This is not a heavy lift it project. That's gonna take months. And then lastly seek specifically. So seek, because we're validated in the marketplace has been well architected for AWS cloud. We have that, you know, stamp of credibility. And we are leading in this space for manufacturing organizations who want cloud native secure software for analytics on their operational data. >>That's awesome. And customers have the challenge when they think about data, the use case security, yes governance, there's a variety of different use cases. What are you seeing as the top three use cases for C? >>So on the there's two lines of that question. The first is really the line of business use cases. And those are all about what outcome are we gonna drive? Are we gonna approve efficiency in your factory? Are we gonna reduce greenhouse gas emissions? Those are the kinds of use cases on the business side that that seek works with our customers on, on the it side. They wanna know that we can access data securely, that we can be part of an ecosystem where they can bring in aerations and algorithms and machine learning and new applications. And they also wanna know that we are sustainable. So meaning that we're driving constant innovation that is easy for them to consume and to gain access, to, to drive the next level of >>Improvement. My final AWS marketplace seller question is, yeah. How does the procurement process through marketplace help you and your customers what's in it for them? What value do the, does the customer get going through AWS procuring? >>So there's really really three. The first is you get a validated set of a catalog of solutions, right? That AWS says, you know, we undergo a rigorous process technically and commercially to be in the marketplace. The second thing for procurement effect of for procurement professionals is that they can leverage their cloud committed spend with AWS. So as they commit more expense and spend with AWS, now these marketplace purchases can be credited to that committed expense. We found that brings it and the business together with procurement to really work more collectively on that. And then the third piece is, imagine buying software where you don't need legal, you know, back and forth, back and forth because we're using a standard doula that thousands of other software companies are using in the marketplace today. >>I thought the keynote had a great line. We are not just a website of a catalog. We are a API service layer. Yes. With automation, more like a C I C D pipe lining. Yes. Of software. Yeah. And we are hearing more and more about software supply chain, more about scaling. This is kind of the future of procurement. Why wouldn't you buy direct, pick a few buttons and assemble your solutions at scale. >>There's some amount of tenant consequences that we've really learned as well. It brings it and the business closer together. So the it person wants to know, well, what is this seek, you know, piece of my AWS invoice. And so they get more engaged earlier in the process with procurement, with the business. And we've actually found that it brings internally for our customers, more people to the seat at the table around what are the applications and how will they govern them across the enterprise. >>Megan, I really appreciate you taking the time to speak with me here at the, at the conference, the seller S marketplace. I have to ask you, we were talking before we came on camera, you made a comment. I'd like you to share this comment with some commentary. You said I'm the VP of cloud transformation. And in the future that might title might not exist. Explain what you mean there, cuz I think this is kind of a telling moment about where we are at this point in the industry. >>Sure. So maybe it's, maybe it's funny to sort of envision a future where your role doesn't exist. But I think, you know, it's a to innovators do that, right? And for us we're a software company. That's going through the transition on-prem to SAS, you know, cloud native sets of applications, but in the pretty near term fore, really the next two years, all of our business will be SaaS and cloud. And so we won't need a separate VP or a separate team or separate function. It will just be how the business operates. >>Megan, thanks for running cue, Meghan bine, who is SI, she's a cloud VP of cloud transformation, VP of cloud, and she's successful. The title will go away and she'll move on to some other great valuable things like running the business. Thanks for coming on. Thank you so much. Okay. This is a cube here in Seattle. We're covering the eights marketplace seller conference. Part of APN merging with Amazon marketplace now called the APO Amazon partner organization. I'm John ER, with the cube. Thanks for watching.

>>Hello, everyone. Welcome to the cubes presentation of the 80 startup showcase marketing technology, emerging cloud scale customer experiences. This is season two, episode three of the ongoing series covering the exciting startups from the, a AWS ecosystem to talk about all the top trends and also featuring the key customers. I'm your host, John ER, today we're joined by Louis Fernando, Denise vice president of peak pay social and John Kim, the CEO of Sandberg to learn about the future of what's going on in fostering deeper customer relationships. Gentlemen, thanks for joining us in the cube showcase, >>Excited to be here. >>So John talk about Sendbird real quick set the table for us. What you guys do, you got a customer here to highlight some of the key things you're doing with customers, the value proposition what's Sendbird and what's the showcase about, >>Yeah, I'm really excited to be here. Uh, I'm John founder, C of Sandberg. So Sandberg is the worst leading conversations platform for mobile applications. We can power user to user conversations in mobile applications, as well as the brand to user conversations such as marketing sales and support. So, uh, today we power over quarter billion users on a monthly basis. Uh, we have, you know, through over 300 employees across seven different countries around the world, we work with some of the world's leading, uh, uh, customers such as big pay that we are going to showcase today, along with other, uh, wonderful customers like DoorDash, Reddit, <inaudible> sports and so forth. We have collectively raised over 200 million in funding. Um, so that's kind of where we are today. >>Well, it's always great to have, uh, one great success. Uh, good funding, more important is the customers. And I love showcases where the customers do the talking, because that means you've got some success stories. Louise, talk about, um, are you happy customer? What's it like working with Sandberg? Give us the, give us the scoop. >>So sandbar is being a great partner with us. So pick pay is a Brazilian payment app. We're at a FinTech here with more than 30 million active users using everyday pick pay to pay everything. So the, the, the majority of the payments are between peers, between people. So sandbar is, is helping us to improve a lot this journey to make it more pleasant between every everyone who are using big, big. So we are here, let's talk and it's a >>Pleasure. Yeah, it's awesome. Well, I great to have you guys on great, great relationship. And one of the things we've been talking about on the cube, if the folks watching that know our audience, no we've been banging the, the drum hard on this new world and this new patterns of user expectations and building relationships in this new digital world is not about the old way, the old MarTech way. There are new new use cases, new expectations by the consumers, John, that are, that are bringing up new opportunities, but also expectations. It's not about, I mean, I mean, if someone's using discord, for example, cuz they're gamers, they're done discord. If they want to communicate with, with slack, they, I do slack, SMS, kind of old hat. You got WhatsApp, you've got all these now peer to peer organic connections, multiple channels. This is all the new world. What's your vision on this new relationship building digital communication world. >>Yeah. So I, I think you brought a really good point there. One of the most frequently used applications in the world today are messaging applications across any countries, any region, any culture, if you look at the most frequently used and most longest used applications are usually some form of a, a messaging application. Now the end users or the customers in the world are so used to using, uh, uh, such a, you know, frictionless ver very responsive, modern experience on those messaging applications. What we want to help with the business around the world, the 99.9% of the business around the world don't have those really te knowledge or user experience expertise in messaging. So we want to help our businesses, help our customers be able to harness the power of modern messaging capabilities and then be able to embed it in their own business so that they can retain their users on their platform, engage with them in the con context that their, uh, what their business is about so that they can not only, uh, control or provide a better user experience, but also be able to, uh, understand their users better, uh, understand what they're doing on their businesses, be able to own and, uh, control the data in a more secure and safe way. >>So really it's uh, we're like the Robin hood of the world trying to keep superpower yeah. Back to the businesses. >>Yeah. Deal from the rich idea, the messaging scale. Bring that to everybody else. I love that. Uh, and you got kind of this double int Robin hood kind of new for the new generation finance. This is about taking the advantage of scalable platforms, monopolies, right. And giving the entrepreneur an opportunity to have that same capability feature, rich Louise PPE. You guys used Sendbird together. You have to level up, you gotta compete with those big monopolies to pride, scalable conversations. Okay. How did you engage this? What was your success path look? What was it look like? >>Yeah. When we look to this majority, the bigger chat apps that we have nowadays in the market, we are looking to them and then Brazilians are using for their daily course, but Brazilians are paying every day millions and millions of payments. And these chat apps are not, uh, able to, to, to deal with these payments. So what we are doing here is that, uh, providing a solution where every conversation that are going to happen before, during, or after a payment between the, the people, they would, uh, uh, have a nice platform that could afford all, all of their emotions and discussions that they have to do before or after the payment. So we are putting together the chat platform and we with the payment platform. So that's, that's what we are doing now. >>Okay. So just so I get this right. You're using Sandberg essentially integrated your mobile payment experience. Okay. Which is your app you're Sandberg to bring that scalability into the, into the social app application into the app itself. Is that right? >>Yes. Perfect. Integrated with the payment journey. So everybody who is going to pay, they need to find the one, the, the one they want to pay and then they can chat and conclude the payment through the platform. Yeah. I >>Mean, why not have it right there at point of, uh, transaction. Right. Um, why did you, um, decide to, um, to use conversations in your mobile wallet? Just curious. >>So it's important to say that we were born social. We born in 2012. So when our main main product was peer to peer payments, so everybody were sending money to a friend requesting or charging their family. So a service provider. And once we, we started as a social platform in that period. In that moment, we are just focusing in likes comments and like public interactions and the word become more private. And as soon we under understood this situation, we decided to move from a public feed to a private, to a private interaction. So that's, uh, that then the, the conversational space was the solution for that moving from a public interaction to a private interaction. So between the peers, which are involved in the, the transaction. So that's why we are providing the chat solution integrated with payments. >>That's a great call. John, just give some context here, again, for the folks watching this is now expected, this integrated experience. What's your, how would you talk to folks out there? I mean, first of all, I, I, I see it clearly, you've got an app, you gotta have all this integration and you need it scaling to reach features. Talk about your view on that. Is that the, is that what's happening here? What's, what's the real dynamic here. What's the, the big trend. >>Yeah. One thing that's, uh, super interesting about, uh, uh, like messaging experience in general, if you think about any kind of conversations that's happening, uh, digitally between human beings, more and more conversations, just like what Louis mentioned earlier are happening between in a private setting, even on applications, whether it be slack or other forms of communication, uh, more hap uh, more conversations happen through either one-on-one conversations or in a private small group settings. And because people feel more secure, uh, safe to have, uh, more intimate conversations. So even when you're making transactions is more, you know, there's a higher trust and, uh, people tend to engage, uh, far better on platforms through these kind of private conversations. That's where we kind of come in, whether it be, you want to set a one-on-one conversations or with a group conversation. And then ultimately if you want to take it public in a large group setting, you can also support, you know, thousands, if not, you know, hundreds of thousands of people, uh, engaging a public forum as well. So all of those capabilities can be implemented using something Ember, but again, the world is, uh, right now the businesses and how the user are, are interacting with this with each other is all happening through digital conversations. And we're seeing more and more of that happening, uh, throughout the life cycle of our company. >>Yeah, just as a sidebar, I was just talking to a venture in San Francisco the other day, and we're talking about the future of security and SAS and cloud scale. And, you know, the conversation went to more of, is it SAS? Is it platform as a service Louis? I wanna get your thoughts because, you know, you're seeing more and more needs for customization, low code, no code. You're seeing these trends. You gotta built in security. So, you know, the different, the old SAS model was softwares a service, but now that's everything in the cloud is softwares a service. So, but you need to have that platform kind of vibe for scale customization, maybe some developer integration, cuz apps are becoming the, the touchpoint. So can you walk us through what your vision was when you decided to integrate, chat into your app and how did you see that chat, changing the customer experience for payments and across your user journey? Cause, I mean, it's obvious now looking at it, but it might not have been for some. What was your, what was your vision? And when you had to do that, >>When you looked to Brazilian reality, we can see those in, uh, payment apps. All of them are focused on the transactional moment. And as soon as we started to think, how could be, how could our journey be better, more pleased than the others and make people want to be here and to use and to open our app every day is just about making the interaction with the peers easier, even with a merchant or even with my friend. So the main point that our first step was just to connect all, all the users between themselves to payments. The second step we are providing now is using the chat platform, the send bird platform as a platform for peak pay. So we are going to provide more best information. We're going to provide a better customer experience through the support and everything. So, um, this, this, this interaction or this connection, this partnership with Sandberg are going to unlock a new level of service for our users. And at the same time, a much more pleasant or a more pleasant journey for them while they are using the, the app for a, a simple payment, or if they are going to look for a group objective or maybe a crowdfund in the future or a group to decide, or just to pay something. So we are then locking a new level of interaction between the peers between the people and the users that are, that are involved into this, this payment or this simple transaction, we are making it more conversational. >>Yeah. You're making the application more valuable. We're gonna get to that in the next segment about, you know, the future of apps one and done, you see a lot of sports apps, oh, this big tournament, you know, and then you use it and then you never use it again until next year. You know, you have very time specific apps, but now you guys are smart to kind of build this in, but I gotta ask you a question because a lot of developers and companies out there always have this buy versus build decision. Why did you decide to use Sendbird versus building it in house? It's always kind of like the big trade off. >>Yeah. First of all, it will take a long, long time for us to achieve a major platform as Sandberg. And we are not a chat platform. So we are going to use this social interaction to improve the payment platform that we have. So when we look to the market and we found Sandberg, then we thought, okay, this guys, they are a real platform. And through the conversations, we are seeing that they are roadmap working in synergy with our roadmap. And then we can, we could start to deliver value to our, to our users in a fastest way. Could you imagine it spending 2, 3, 4 years to develop something like sand? And even when we achieve this point, probably our solution will be, would be weaker than, than Sandberg. So it was like no brainer to do that. Yeah. Because we want to improve the payment journey, not to do a chat, only a chat platform. So that's why we are working together to prove it's >>Really, you start to see these plugins, these, you know, look at Stripe for payments, for instance, right. And here in the success they've had, you know, people want to plug in for services. So John, I gotta ask you about, um, about the, the complexity that goes into it. The trust required that they have for you, you have to do this heavy lifting, you gotta provide the confidence that your service is gonna have to scale the compliance. Talk about that. What do you guys do under the covers that make this easy again, great business model, heavy lifting done by you. Seamless integration provide that value. That's why business is good, but there's a lot going on share what's happening under the, under the covers. >>Yeah. Um, before going to like the technical, like intricacy of what we do just to provide a little bit of background context on why we even started this business is we, uh, this is my second startup. My first company was a gaming company. We had built like chat three, four times just for our own game. So we were basically, we felt like we were reinventing the wheel. And then we actually went on a buyer's journey when we were building a social application, uh, uh, for, for, uh, uh, building our own community. We tried to actually be a buyer to see if we can actually find a solution. We want to use turns out that there weren't a lot of like sophisticated, you know, top notch, modern, uh, uh, chat experience that we can build using some other third party solutions. So we had to build all of that ourselves, which became the foundation for se today. >>And what we realized is that for most companies like using a building, the most sophisticated chat is probably not going to be their highest priority in case a pick pay will be, you know, financial transactions and all the other business that can be built on and hosted by platform like pick pay. But, you know, building the most topnotch chat experience would be a priority for a company like let's say WhatsApp or, or telegram, but it will probably not be the priority for, you know, major gaming companies, food delivery companies, finance companies, chat is not the highest priority. That's kind of where we come in, cuz chat is the highest priority for us. And we also have a privilege of working with some of the other, uh, world industry, uh, industry leaders. So by, uh, having this collective experience, working with the industry leaders, we get, uh, uh, technological superiority, being able to, uh, scale to, you know, hundreds of millions of users on a monthly basis. Also the security and the compliances by working with some of the largest commercial banks on some of the largest FinTech applications across the globe. So we have, you know, security, compliances, all the industry, best practices that are built in and all the new topnotch user experience that we are, uh, building with other customers can be also be, uh, utilized by a customer like pick pay. So you get this collective almost like evolutionary benefit. Yeah. By, uh, working with a company like us, >>You get a lot of economies of scale. Could you mind just sharing the URL for the company? So folks watching can go get, do a deep dive. Cause I'm you guys got a lot of, lot of, um, certifications under the covers, a lot of things you guys do. So you mind just sharing URL real quick. >>Yeah. So our company, uh, you can find everything about our company on sandberg.com like carrot pigeon. So, uh, you're sending a bird to send a message. So, uh, yeah. send.com >>All so let's get it to the application, cuz this is really interesting cuz Chad is table stakes now, but things are evolving beyond Chad. You gotta integrate that user experience. It's data. Now you gotta have scale. I mean, you know, people who wanna roll their own chat will find out there's a lot of client side and backend scale issues. Right. You can have a tsunami river like on Twitch, you know, you chat. I mean that, could you got client side issues, data scale. <laugh> right. You got backend. Um, Louis, talk about that dynamic because you know, as you start to scale, you want to rely on that. Talk about this dynamic, how apps now are integrating all these new features. So is it, are apps gonna go like more multifunctional? Do you see apps one and done? What's the, how do you guys see this app world playing out and where does, does the Sendbird fit in? And >>Just, just let me know better John, about the performance or about the, just, just let me >>Oh, slow with performance. Uh, performance is huge, right? You gotta have no one wants to have lag on, on chat. >>Okay. So, um, big pay when we look to the payments have millions, thousands of, of, of payments happen happening every second. So what we are doing now is moving all the payments through a conversation. So it always happened inside the conversation. So since from the first moment, um, every second counts to convert this client. And since from the first moment we never saw in, on Sandberg, any issue about that. And even when we have a question or something that we need to improve the team we're working together. So that that's, those are the points that are making us to work together and to make things going pretty fast. When we look to the users who are going to use chat, they are, their intention is three times better than the users who are not using payments through the chat. They are average. Average spent is three times higher too. >>So they, they are making more connections. They are chatting with their friends. They are friends are here. So the network effect is stronger. So if they're going to pay and they need to wait one more second, two seconds to conclude the payment, probably they will not go into choose paying through the, again, they will use only the wallet, only the code, only the Alliance of the user. So that's is so important for us to perform really, really fast. And then this is what we are finding. And this is what is happening with the integration with Sandberg. >>And what's interesting is, is that the by build chat with conversation, we just had a minute ago kind of plays in here. You get the benefits of Sandberg, but now your transactional fidelity is in the chat <laugh> that you don't build that you rely on them on. So again, that's an interesting dynamic. This is the future of apps, John, this is where it matters. The engagement. This is what you talk about is the new, the new digital experience who would've thought that five, 10 years ago. I mean, chat was just like, Hey, what's going around direct message. Now it's integral part of the app. What's your reading. >>Yeah. I mean, we're seeing that across, uh, uh, to Lewis's point, not just transactions, but like marketing messages are now being sent through chat. So the marketing is no longer just about like giving discount calls, but you can actually reengage with the brand. Uh, also support is becoming more real time through chat. So you're actually building a relationship. The support agents have a better context about the previous conversations and the transactions, the sales conversations, even like building, uh, building alerts, notification, all those things are now, uh, happening through conversations. And that's a better way for customers to engage with the brand cuz you actually, you're actually building a better relationship and also, uh, being able to trust the brand more because there is a channel for you to communicate and, and, and be seen and be heard, uh, by the brand. So we do believe that that's the future of the business and how more and more, uh, brands will be building relationships with their customers. >>Yeah. I love, I love your business model. I think it's really critical. And I think that stickiness is a real, uh, call out point there and the brand, the co-branding and the branding capability, but also really quickly in the last minute we have John and Luis, if you don't mind talking about security, I mean, I can't go a day now without getting an SMS scam, uh, text, uh, you seeing it now on WhatsApp. I mean, I don't even use telegram anymore. I mean, come on. So like, like this is now a problem. The old way has been infiltrated with spam and security issues. Security has to be there. The trust and security real quick, John, we'll start with you and we all Louis go, go ahead. >>No, no. Just, just to, to say how important is that we are not only a chatting platform. We are a payment platform, so we have money now, the transaction. So here in Brazil, we have all this safe, the, the, the layers, the security layers that we have in, on our app. And then we have the security layers provided from Sandburg. So, and when we look to the features, Sandberg are providing to us a lot of features that help users to feel safer like per refined profiles, like announcements, where it's a profile from peak pay, where the users can recognize. So this is peak pay talking with me. It's not a user trying to pass, trying to use big Bay's name to talk with me. So these issues is something that we are really, really, we really care about here because we are not only a chat platform. As I said before, we are a payment platform. We are a FinTech, we're at a digital bank. So we need to take care a lot and we don't have any complaint about it because Sandberg understood it. And then they, they, they are providing since the first moment with the perfect solutions and the user interface to make it simpler for the users to recognize that we speak, pay who is chatting with them, not a user with, with bad, bad intentions. >>Great, great insight, Louis. Thanks for sharing that, John really appreciate you guys coming on. Great showcase. Real final word. John will give you the final word folks watching out there. How do they engage with Sendbird? I want to integrate, I want to use your chat service. What do I do? Do I have to connect in as it managed service is the line of code. What do I do to get Sendbird? >>Yeah. So if you're a developer building a mobile application, simply come visit our website, we have a open documentation and SDK you can download and simply plug into your application. You can have a chat experience up and running matter of minutes, if not ours using our UI kit. So we want to make it as easy as possible for all the builders in the world to be able to harness the superpower of digital conversations. >>All right, great. Congratulations, John, on your success and all the growth and Louis, thanks for coming in, sharing the customer perspective and great insight. Thanks for coming on the showcase. Really appreciate it. Thanks for your time. >>Yeah. Thank you for having me. >>Okay. The a of us startup showcase season two, episode three here I'm John for your host. Thanks for watching.

>>We're here live in Las Vegas with a cubes coverage of Amazon re Mars. It's a reinvent re Mars reinforced. The big three shows called the res. This is Mars machine learning, automation, robotic and space. It's a program about the future it and the future innovation around industrial cloud scale climate change the moon, a lot of great topics, really connecting all the dots together here in Las Vegas with Amazon re Mars I'm John ER, host of the cube. Our first guest is Howard Hughes program manager, necess Ryan program. Howard is involved with all the action and space and the moon project, which we'll get into Howard. Thanks for coming on the cube. >>Well, Hey, thanks for having me here this morning. Appreciate you guys inviting me here. >>So this show is not obvious to the normal tech observer, the insiders in, in the industry. It's the confluence of a lot of things coming together. It's gonna be obvious very soon because the stuff they're showing here is pretty impressive. It's motivating, it's positive and it's a force for change in good. All of it coming together, space, machine learning, robotics, industrial, you have one of the coolest areas, the space what's going on with your Orion program. You guys got the big moon project statement to >>Explain. Well, let me tell you, I'll start with Orion. Orion is our next human space craft. That's gonna take humans beyond low earth orbit and we're part of the broader Artis campaign. So Artis is our plan, our NASA plan to return the first person of color, first woman, back to the moon. And we're very excited to do that. We have several missions that I could talk to you about starting with in a very few months, Artis one. So Artis one is going to fly on the space launch system, which is gonna be the biggest rocket we call the mega rocket has been built since the Saturn five on top of the SLS is the Ryan spacecraft and that Ryan spacecraft houses four crew members for up to 21 days in deep space. And we'll have an unru test in a few months launch on the S SLS. And Orion's gonna go around the moon for up to 40 days on Aus two, we will have the first test of the humans on board Orion. So four people will fly on Aus two. We will also circle the moon for about 10 to 12 days. And then our third mission will be our landing. >>So the moon is back in play, obviously it's close to the earth. So it's a short flight, relatively speaking the Mars a little bit further out. I'll see everyone as know what's going on in Mars. A lot of people are interested in Mars. Moon's closer. Yes, but there's also new things going on around discovery. Can you share the big story around why the moon what's? Why is the moon so important and why is everyone so excited about it? >>Yeah. You, you know, you know, coming to this conference and talking about sustainability, you know, I mean it is exploration is I think ingrained in our DNA, but it's more than just exploration is about, you know, projecting human presence beyond our earth. And these are the stepping stones. You know, we talk about Amazon talked about day one, and I think about, we are on those very early days where we're building the infrastructure Ryans of transportation infrastructure, and we're gonna build infrastructure on the moon to learn how to live on a surface and how to utilize the assets. And then that's very important because you know, it's very expensive to carry fuel, to carry water and all the necessities that you need to survive as a human being and outer space. If you can generate that on the surface or on the planet you go to, and this is a perfect way to do it because it's very in your backyard, as I told you earlier. So for future mission, when you want to go to Mars, you're nine months out, you really wanna make sure you have the technologies and you're able to utilize those technologies robustly and in a sustainable way. >>Yeah, we were talking before you came on, came camera camping in your backyard is a good practice round. Before you go out into the, to the wilderness, this is kind of what's going on here, but there's also the discovery angle. I mean, I just see so much science going on there. So if you can get to the moon, get a base camp there, get set up, then things could come out of that. What are some of the things that you guys are talking about that you see as possible exploration upside? >>Yeah. Well, several things. One is power generation recently. We just released some contracts that from vision power, so long, sustainable power capability is very, very important. You know, the other technologies that you need utilize is regenerative, you know, air, water, things that are, you need for that, but then there's a science aspect of it, which is, you know, we're going to the south pole where we think there's a lot of water potentially, or, or available water that we can extract and utilize that to generate fuel. So liquid hydrogen liquid oxygen is one of the areas that are very interesting. And of course, lunar minerals are very exciting, very interesting to bring and, and, and be able to mine potentially in the future, depending on what is there. >>Well, a lot of cool stuff happening. What's your take on this show here, obviously NASA's reputation as innovators and deep technologists, you know, big moonshot missions, pun intended here. You got a lot of other explorations. What's this show bring together, share your perspective because I think the story here to me is you got walkout retail, like the Amazon technology, you got Watson dynamics, the dog, everyone loves that's walking on. Then you got supply chain, robotics, machine learning, and space. It all points to one thing, innovation around industrial. I think what, what, what's your, what's your, what's your take? >>You know, I think one of the things is, is, you know, normally we are innovating in a, in our aerospace industry. You know, I think there's so much to learn from innovation across all these areas you described and trying to pull some of that into the spacecraft. You know, when, when you're a human being sitting in spacecraft is more than just flying the spacecraft. You know, you have interaction with displays, you have a lot of technologies that you normally would want to interact with on the ground that you could apply in space to help you and make your tasks easier. And I think those are things that are really important as we look across, you know, the whole entire innovative infrastructure that I see here in this show, how can we extract some that and apply it in the space program? I think there is a very significant leveraging that you could do off of that. >>What are some of the look at what's going on in donors? What are some of the cool people who aren't following the day to day? Anything? >>Well, well, certainly, you know, the Artman's mission Artis campaign is one of the, the, the coolest things I could think of. That's why I came into, you know, I think wrapping around that where we are not only just going to a destination, but we're exploring, and we're trying to establish a very clear, long term presence that will allow us to engage. What I think is the next step, which is science, you know, and science and the, and the things that can, can come out of that in terms of scientific discoveries. And I think the cool, coolest thing would be, Hey, could we take the things that we are in the labs and the innovation relative to power generation, relative to energy development of energy technologies, robotics, to utilize, to help explore the surface. And of course the science that comes out of just naturally, when you go somewhere, you don't know what to expect. And I think that's what the exciting thing. And for NASA, we're putting a program, an infrastructure around that. I think that's really exciting. Of course, the other parts of NASA is science. Yeah. And so the partnering those two pieces together to accomplish a very important mission for everybody on planet earth is, is really important. >>And also it's a curiosity. People are being curious about what's going on now in space, cuz the costs are down and you got universities here and you got the, of robotics and industrial. This is gonna provide a, a new ground for education, younger, younger generation coming up. What would you share to teachers and potential students, people who wanna learn what's different about now than the old generation and what's the same, what what's the same and what's new. What's how does someone get their arms around this, their mind around it? Where can they jump in? This is gonna open up the aperture for, for, for talent. I mean with all the technology, it's not one dimensional. >>Yeah. I think what is still true is core sciences, math, you know, engineering, the hard science, chemistry, biology. I mean, I think those are really also very important, but what we're we're getting today is the amount of collaboration we're able to do against organically. And I think the innovation that's driven by a lot of this collaboration where you have these tools and your ability to engage and then you're able to, to get, I would say the best out of people in lots of different areas. And that's what I think one of the things we're learning at NASA is, you know, we have a broad spectrum of people that come to work for us and we're pulling that. And now we're coming to these kinds of things where we're kind getting even more innovation ideas and partnerships so that we are not just off on our own thinking about the problem we're branching out and allowing a lot of other people to help us solve the problems that >>We need. You know, I've noticed with space force too. I had the same kind of conversations around those with those guys as well. Collaboration and public private partnerships are huge. You've seen a lot more kind of cross pollination of funding, col technology software. I mean, how do you do break, fix and space at software, right? So you gotta have, I mean, it's gotta work. So you got security challenges. Yeah. This is a new frontier. It is the cybersecurity, the usability, the operationalizing for humans, not just, you know, put atypical, you know, scientists and, and, and astronauts who are, you know, in peak shape, we're talking about humans. Yeah. What's the big problem to solve? Is it security? Is it, what, what would you say the big challenges >>Are? Yeah. You know, I think information and access to information and how we interact with information is probably our biggest challenge because we have very limited space in terms of not only mass, but just volume. Yeah. You know, you want to reserve the space for the people and they, they need to, you know, you want maximize your space that you're having in spacecraft. And so I think having access to information, being able to, to utilize information and quickly access systems so you can solve problems cuz you don't know when you're in deep space, you're several months out to Mars, what problems you might encounter and what kind of systems and access to information you need to help you solve the problems. You know, both, both, both from a just unplanned kind of contingencies or even planned contingencies where you wanna make sure you have that information to do it. So information is gonna be very vital as we go out into deep >>Space and the infrastructure's changed. How has the infrastructure changed in terms of support services? I mean see, in the United States, just the growth of a aerospace you mentioned earlier is, is just phenomenal. You've got smaller, faster, cheaper equipment density, it solved the technology. Where's there gonna be the, the big game changing move movement. Where do you see it go? Is it AIST three? It kind of kicks in AIST ones, obviously the first one unmanned one. But where do in your mind, do you see key milestones that are gonna be super important to >>Watch? I think, I think, I think, you know, we've already, you know, pushed the boundaries of what we, we are, you know, in terms of applying our aerospace technologies for AIST one and certainly two, we've got those in, in work already. And so we've got that those vehicles already in work and built yeah. One already at the, at the Kennedy space center ready for launch, but starting with three because you have a lot more interaction, you gotta take the crew down with a Lander, a human landing system. You gotta build rovers. You've gotta build a, a capability which they could explore. So starting with three and then four we're building the gateway gateways orbiting platform around the moon. So for all future missions after Rist three, we're gonna take Aion to the gateway. The crew gets into the orbiting platform. They get on a human landing system and they go down. >>So all that interaction, all that infrastructure and all the support equipment you need, not only in the orbit of the moon, but also down the ground is gonna drive a lot of innovation. You're gonna have to realize, oh, Hey, I needed this. Now I need to figure out how to get something there. You know? And, and how much of the robotics and how much AI you need will be very interesting because you'll need these assistance to help you do your daily routine or lessen your daily routine. So you can focus on the science and you can focus on doing the advancing those technologies that you're gonna >>Need. And you gotta have the infrastructure. It's like a road. Yeah. You know, you wanna go pop down to the moon, you just pop down, it's already built. It's ready for you. Yep. Come back up. So just ease of use from a deployment standpoint is, >>And, and the infrastructure, the things that you're gonna need, you know, what is a have gonna look like? What are you gonna need in a habitat? You know, are, are you gonna be able to have the power that you're gonna have? How many station power stations are you gonna need? Right. So all these things are gonna be really, things are gonna be driven by what you need to do the mission. And that drives, I think a lot of innovation, you know, it's very much like the end goal. What are you trying to solve? And then you go, okay, here's what I need to solve to build things, to solve that >>Problem. There's so many things involved in the mission. I can imagine. Safety's huge. Number one, gotta be up safe. Yep. Space is dangerous game. Yes. Yeah. It's not pleasant there. Not for the faint of heart. As you say, >>It's not for the faint >>Heart. That's correct. What's the big safety concerns obviously besides blowing up and oxygen and water and the basic needs. >>I think, I think, you know, I think you, you said it very well, you know, it is not for the faint of heart. We try to minimize risk. You know, asset is one of the big, you're sitting under 8.8 million pounds of thrust on the launch vehicle. So it is going very fast and you're flying and you, and, and it's it's light cuz we got solid rocket motors too as well. Once they're lit. They're lit. Yeah. So we have a escape system on Orion that allows a crew to be safe. And of course we build in redundancy. That's the other thing I think that will drive innovation. You know, you build redundancy in the system, but you also think about the kind of issues that you would run into potentially from a safety perspective, you know, how you gonna get outta situation if you get hit by a meteor, right? Right. You, you, you are going through the band, Ellen belt, you have radiation. So you know, some of these things that are harsh on your vehicle and on, on the human side of this shop too. And so when you have to do these things, you have to think about what are you gonna protect for and how do you go protect for that? And we have to find innovations for >>That. Yeah. And it's also gonna be a really exciting air for engineering work. And you mentioned the data, data's huge simulations, running scenarios. This is where the AI comes in. And that seems to me where the dots connect from me when you start thinking about how to have, how to run those simulations, to identify what's possible. >>I think that's a great point, you know, because we have all this computing capability and because we can run simulations and because we can collect data, we have terabytes of data, but it's very challenging for humans to analyze at that level. So AI is one of the things we're looking at, which is trying to systematically have a process by which data is called through so that the engineering mind is only looking at the things and focus on things that are problematic. So we repeat tests, every flight, you don't have to look at all the terabytes of data of each test. You have a computer AI do that. And you allow yourself to look at just the pieces that don't look right, have anomalies in the data. Then you're going to do that digging, right. That's where the power of those kinds of technologies can really help us because we have that capability to do a lot of computing. >>And I think that's why this show to me is important because it, it, it shows for the first time, at least from my coverage of the industry where technology's not the bottleneck anymore, it's human mind. And we wanna live in a peaceful world with climate. We wanna have the earth around for a while. So climate change was a huge topic yesterday and how the force for good, what could come outta the moon shots is to, is to help for earth. >>Yeah. >>Yeah. Better understanding there all good. What's your take on the show. If you had to summarize this show, re Mars from the NASA perspective. So you, the essence space, what's the what's going on here? What's the big, big story. >>Yeah. For, for me, I think it's eyeopening in terms of how much innovation is happening across a spectrum of areas. And I look at various things like bossy, scientific robots that the dog that's walking around. I mean to think, you know, people are applying it in different ways and then those applications in a lot of ways are very similar to what we need for exploration going forward. And how do you apply some of these technologies to the space program and how do we leverage that? How do we leverage that innovation and how we take the innovations already happening organically for other reasons and how would those help us solve those problems that we're gonna encounter going forward as we try to live on another planet? >>Well, congratulations on a great assignment. You got a great job. I do super fun. I love being an observer and I love space. Love how at the innovations there. And plus space space is cool. I mean, how many millions of live views do you see? Everyone's stopping work to watch SpaceX land and NASA do their work. It's just, it's bringing back the tech vibe. You know what I'm saying? It's just, it's just, things are going you a good tailwind. Yeah. >>Congratulations. Thank you very much. >>Appreciate it on the, okay. This cube coverage. I'm John fur. You're here for the cube here. Live in Las Vegas back at reinvent reinforce re Mars, the reser coverage here at re Mars. We'll be back with more coverage after this short break.

>>And welcome to the cubes coverage of Couchbase connect online, Mary Roth, VP of engineering operations with couch basis here for Couchbase connect online. Mary. Great to see you. Thanks for coming on remotely for this segment. >>Thank you very much. It's great to be here. >>Love the fire in the background, a little fireside chat here, kind of happening, but I want to get into shooting, you know, engineering and operations with the pandemic has really kind of shown that, you know, engineers and developers have been good working remotely for a while, but for the most part it's impacted companies in general, across the organizations. How did the Couchbase engineering team adapt to the remote work? >>Uh, great question. Um, and I actually think the Couchbase team responded very well to this new model of working imposed by the pandemic. And I have a unique perspective on the couch space journey. I joined in February, 2020 after 20 plus years at IBM, which had embraced a hybrid in-office rewrote remote work model many years earlier. So in my IBM career, I live four minutes away from my research lab in almond and valley, but IBM is a global company with headquarters on the east coast and SU. So throughout my career, I often found myself on phone calls with people around the globe at 5:00 AM in the morning, I quickly learned and quickly adopted to a hybrid model. I'd go into the office to collaborate and have in-person meetings when needed. But if I was on the phone at >> 5: 00 AM in the morning, um, I didn't feel the need to get up at 4:30 AM to go in. >>I just worked from home and I discovered I could be more productive. They're doing think time work. And I really only needed the in-person time for collaboration. These hybrid model allowed me to have a great career at IBM and raise my two daughters at the same time. So when I joined Couchbase I joined a company that was all about being in-person and instead of a four minute commute, it was going to be an hour or more commute for me each way. This was going to be a really big transition for me, but I was excited enough by couch facing what it offered that I decided to give it a try. Well, that was February, 2020. I showed up early in the morning on March 10th, 2020 for an early morning meeting in person only to learn that I was one of the only few people that didn't get the memo. >>We were switching to a remote remote working model. And so over the last year, I have had the ability to watch cow's face and other companies pivot to make this remote working model possible and not only possible, but effective. And I'm really happy to see the results. Our remote work model does have its challenges that's for sure, but it also has its benefits better work-life balance and more time to interact with family members during the day and more quiet time, just to think we just did a retrospective on a major product release Couchbase server 7.0 that we did over the past 18 months. And one of the major insights by the leadership team is that working from home actually made people more effective. I don't think a full remote model is the right approach going forward, but a hybrid model that IBM adopted many years ago and that I was able to participate in for most of my career, I believe is a healthier and more productive approach. >>Well, great story. I love the, um, the, uh, you come back and now you take leverage all the best practices from the IBM days, but how did the, your team and the Couchbase engineering team react and were there any best practices or key learnings that you guys pulled out of that, >>Uh, the, the initial reaction was not good. I mean, as I mentioned, it was a culture based on in-person people had to be in person in person meetings. So it took a while to get used to it, but the, there was a forcing function, right? We had to work remotely. That was the only option. And so people made it work. I think the advancement of virtual meeting technology really, really helps a lot over earlier days in my career where I had just bad phone connections, that was very difficult. But with the virtual meetings that you have, where you can actually see people and interact, I think is really quite helpful. >>What's the DNA of the culture. What's the DNA. Every company's got the DNA entails Moore's law. Um, and at what's the engineering culture at Couchbase like if you could describe it. >>Uh, the engineering culture at Couchbase is very familiar to me. We are at our heart, a database company, and I grew up in the database world, which has a very unique culture based on two values, merit and mentorship. And we also focus on something that I like to call growing. The next generation. Now database technology started in the late sixties, early seventies with a few key players and institutions. These key players were extremely bright and they tackle it and solve really hard problems with elegant solutions long before anybody knew they were going to be necessary. Now, those original key players, people like Jim gray, Bruce Lindsey, Don Chamberlin, pat Salinger, David Dewitt, Michael Stonebraker. They just love solving hard problems. And they wanted to share that elegance with a new generation. And so they really focused on growing the next generation of leaders, which became the Mike caries and the Mohans and the lower houses of the world. And that culture grew over multiple generations with the previous generation cultivating, challenging and advocating for the next, I was really lucky to grow up in that culture. And I've advanced my career as a result, as being part of it. The reason I joined Couchbase is because I see that culture alive and well, here are two fundamental values on the engineering side, our merit and mentorship. >>One of the things I want to get your thoughts on, on the database questions. I remember, you know, back in the old glory days, you mentioned some of those luminaries, you know, there wasn't many database geeks out there, Zuri kind of small community now is databases are everywhere. So you see there's no one database that's ruling the world, but you starting to see a pattern of database kinds of things, and more emerging, more databases than ever before. They're on the internet, they're on the cloud. There are none the edge it's essentially we're living in a large distributed computing environment. So now it's cool to be in databases cause they're everywhere. So, I mean, this is kind of where we're at. What's your reaction to that? >>Uh, you're absolutely right there. There used to be a, a few small vendors and a few key technologies and it's grown over the years, but the fundamental problems are the same data, integrity, performance and scalability. And in the face of district distributed systems, those were all the hard problems that those key leaders solve back in the sixties and seventies. They're not, they're not new problems. They're still there. And they did a lot of the fundamental work that you can apply and reapply in different scenarios and situations. >>It's pretty exciting. I love that. I love the different architectures that are emerging and allows for more creativity for application developers. And this becomes like the key thing we're seeing right now, driving the business and a big conversation here at the, at the event is the powering, these modern applications that need low latency. There's no more, not many spinning disks anymore. It's all in Ram, all these kinds of different memory, you got decentralization and all kinds of new constructs. How do you make sense of it all? How do you talk to customers? What's the, what's the, what's the main core thing happening right now? If you had to describe it? >>Yeah, it depends on the type of customer you're talking to. Um, we have focused primarily on the enterprise market and in that market, there are really fundamental issues. Information for, for these enterprises is key. It's their core asset that they have and they understand very well that they need to protect it and make it available more quickly. I started as a DBA at Morgan Stanley back, um, right out of college. And at the time I think it was, it probably still is, but at the time it was the best run it shop that I'd ever seen in my life. The fundamental problems that we had to solve to get information from one stock exchange to another, to get it to the sec, um, are the same problems that we're solving today. Back then we were working on mainframes and over high-speed data comm links today, it's the same kind of problem. It's just the underlying infrastructure has changed. >>You know, the key has been a big supporter of women in tech. We've done thousands of interviews on why I got you. I want to ask you, uh, if you don't mind, um, career advice that you give women who are starting out in the field of engineering, computer science, what do you wish you knew when you started your career? And you could be that person now, what would you say? >>Yeah, well, there are a lot of things I wish I knew then, uh, that I know now, but I think there are two key aspects to a successful career in engineering. I actually got started as a math major and the reason I, I became a math major is a little convoluted. Is it as a girl, I was told we were bad at math. And so for some reason I decided that I had to major in it. That's actually how I got my start. Um, but I've had a great career and I think there are really two key aspects first. And is that it is a discipline in which respect is gained through merit. As I had mentioned earlier, engineers are notoriously detail oriented and most of our perfectionist, they love elegant, well thought out solutions and give respect when they see one. So understanding this can be a very important advantage if you're always prepared and you always bring your a game to every debate, every presentation, every conversation you have build up respect among your team, simply through merit. While that may mean that you need to be prepared to defend every point early on say, in your graduate career or when you're starting over time, others will learn to trust your judgment and begin to intuitively follow your lead just by reputation. The reverse is also true. If you don't bring your a game and you don't come prepared to debate, you will quickly lose respect. And that's particularly true if you're a woman. So if you don't know your stuff, don't engage in the debate until you do. That's awesome. >>That's >>Fine. Continue. Thank you. So my second piece of advice that I wish I could give my younger self is to understand the roles of leaders and influencers in your career and the importance of choosing and purposely working with each. I like to break it down into three types of influencers, managers, mentors, and advocates. So that first group are the people in your management chain. It's your first line manager, your director, your VP, et cetera. Their role in your career is to help you measure short-term success. And particularly with how that success aligns with their goals and the company's goals. But it's important to understand that they are not your mentors and they may not have a direct interest in your long-term career success. I like to think of them as say, you're sixth grade math teacher. You know, you're getting an a in the class and advancing to seventh grade. >>They own you for that. Um, but whether you get that basketball scholarship to college or getting to Harvard or become a CEO, they have very little influence over that. So a mentor is someone who does have a shared interest in your longterm success, maybe by your relationship with him or her, or because by helping you shape your career and achieve your own success, you help advance their goals. Whether it be the company success or helping more women achieve, we do put sip positions or getting more kids into college, on a basketball scholarship, whatever it is, they have some long-term goal that aligns with helping you with your career. And they gave great advice. But that mentor is not enough because they're often outside of the sphere of influence in your current position. And while they can offer great advice and coaching, they may not be able to help you directly advance. >>That's the role of the third type of influencer. Somebody that I call an advocate, an advocate is someone that's in a position to directly influence your advancement and champion you and your capabilities to others. They are in influential positions and others place, great value in their opinions. Advocates stay with you throughout your career, and they'll continue to support you and promote you wherever you are and wherever they are, whether that's the same organization or not. They're the ones who, when a leadership position opens up will say, I think Mary's the right person to take on that challenge, or we need to move in a new direction. I think Mary's the right person to lead that effort. Now advocates are the most important people to identify early on and often in your career. And they're often the most overlooked people early on, often pay too much attention and rely on their management chain for advanced managers, change on a dime, but mentors and advocates are there for you for the long haul. And that's one of the unique things about the database culture. Those set of advocates were just there already because they had focused on building the next generation. So I consider, you know, Mike Carey is my father and Mike Stonebraker is my grandfather. And Jim gray is my great-grandfather and they're always there to advocate for me. >>That's like a scheme and a database. You got to have it all white. They're kind of teed up. Beautiful, great advice. >>Thank you for that. That was really a masterclass. And that's going to be great advice for folks really trying to figure out how to play the cards they have a and the situation and to double down or move and find other opportunities. So great stuff there. I do have to ask you Maira, thanks for coming on the technical side and the product side Couchbase Capella was launched, uh, in conjunction with the event. What is, what is the bottom line for that as, as an operations and engineering, you know, built the products and roll it out. What's the main top line message for about that product? >>Yeah, well, we're very excited about the release of Capella and what it brings to the table is that it's a fully managed in an automated database cloud offering so that customers can focus on development and building and improving their applications and reducing the time to market without having to worry about the hard problems underneath and the operational database management efforts that come with it. Uh, as I mentioned earlier, I started my career as a UVA and it was one of the most sought after and highly paid positions in it because operating a database required so much work. So with Capella, what we're seeing is, you know, taking that job away from me, I'm not going to be able to apply for a DBA tomorrow. >>That's great stuff. Well, great. Thanks for coming. I really appreciate congratulations on the company and public offering this past summer in July and thanks for that great commentary and insight on the QPR. Thank you. >>Thank you very much. >>Okay. Mary Ross, VP of engineering operations at Couchbase part of Couchbase connect online. I'm John furry host of the cube. Thanks for watching.

>>from around the globe. It's the Cube presenting Cuban Cloud brought to you by Silicon Angle. Welcome back to the live segment of the Cuban cloud. I'm Dave, along with my co host, John Ferrier. John Rose is here. He's the global C T o Dell Technologies. John, great to see you as always, Really appreciate >>it. Absolutely good to know. >>Hey, so we're gonna talk edge, you know, the the edge, it's it's estimated. It's a multi multi trillion dollar opportunity, but it's a highly fragmented, very complex. I mean, it comprises from autonomous vehicles and windmills, even retail stores outer space. And it's so it brings in a lot of really gnarly technical issues that we want to pick your brain on. Let me start with just what to you is edge. How do you think about >>it? Yeah, I think I mean, I've been saying for a while that edges the when you reconstitute Ike back out in the real world. You know, for 10 years we've been sucking it out of the real world, taking it out of factories, you know, nobody has an email server under their desk anymore. On that was because we could put it in data centers and cloud public clouds, and you know that that's been a a good journey. And then we realized, Wait a minute, all the data actually was being created out in the real world. And a lot of the actions that have to come from that data have to happen in real time in the real world. And so we realized we actually had toe reconstitute a nightie capacity out near where the data is created, consumed and utilized. And, you know, that turns out to be smart cities, smart factories. You know, uh, we're dealing with military apparatus. What you're saying, how do you put, you know, edges in tow, warfighting theaters or first responder environments? It's really anywhere that data exists that needs to be processed and understood and acted on. That isn't in a data center. So it's kind of one of these things. Defining edge is easier to find. What it isn't. It's anywhere that you're going to have. I t capacity that isn't aggregated into a public or private cloud data center. That seems to be the answer. So >>follow. Follow that. Follow the data. And so you've got these big issue, of course, is late and see people saying, Well, some applications or some use cases like autonomous vehicles. You have to make the decision locally. Others you can you can send back. And you, Kamal, is there some kind of magic algorithm the technical people used to figure out? You know what, the right approaches? Yeah, >>the good news is math still works and way spent a lot of time thinking about why you build on edge. You know, not all things belong at the edge. Let's just get that out of the way. And so we started thinking about what does belong at the edge, and it turns out there's four things you need. You know, if you have a real time responsiveness in the full closed loop of processing data, you might want to put it in an edge. But then you have to define real time, and real time varies. You know, real time might be one millisecond. It might be 30 milliseconds. It might be 50 milliseconds. It turns out that it's 50 milliseconds. You probably could do that in a co located data center pretty far away from those devices. One millisecond you better be doing it on the device itself. And so so the Leighton see around real time processing matters. And, you know, the other reasons interesting enough to do edge actually don't have to do with real time crossing they have to do with. There's so much data being created at the edge that if you just blow it all the way across the Internet, you'll overwhelm the Internets. We have need toe pre process and post process data and control the flow across the world. The third one is the I T. O T boundary that we all know. That was the I O t. Thing that we were dealing with for a long time. And the fourth, which is the fascinating one, is it's actually a place where you might want to inject your security boundaries, because security tends to be a huge problem and connected things because they're kind of dumb and kind of simple and kind of exposed. And if you protect them on the other end of the Internet, the surface area of protecting is enormous, so there's a big shift basically move security functions to the average. I think Gardner made up a term for called Sassy. You know, it's a pretty enabled edge, but these are the four big ones. We've actually tested that for probably about a year with customers. And it turns out that, you know, seems to hold If it's one of those four things you might want to think about an edge of it isn't it probably doesn't belong in >>it. John. I want to get your thoughts on that point. The security things huge. We talked about that last time at Del Tech World when we did an interview with the Cube. But now look at what's happened. Over the past few months, we've been having a lot of investigative reporting here at Silicon angle on the notion of misinformation, not just fake news. Everyone talks about that with the election, but misinformation as a vulnerability because you have now edge devices that need to be secured. But I can send misinformation to devices. So, you know, faking news could be fake data say, Hey, Tesla, drive off the road or, you know, do this on the other thing. So you gotta have the vulnerabilities looked at and it could be everything. Data is one of them. Leighton. See secure. Is there a chip on the device? Could you share your vision on how you see that being handled? Cause it's a huge >>problem. Yeah, this is this is a big deal because, you know, what you're describing is the fact that if data is everything, the flow of data ultimately turns into the flow of information that knowledge and wisdom and action. And if you pollute the data, if you could compromise it the most rudimentary levels by I don't know, putting bad data into a sensor or tricking the sensor which lots of people can dio or simulating a sensor, you can actually distort things like a I algorithms. You can introduce bias into them and then that's a That's a real problem. The solution to it isn't making the sensors smarter. There's this weird Catch 22 when you sense arise the world, you know you have ah, you know, finite amount of power and budget and the making sensors fatter and more complex is actually the wrong direction. So edges have materialized from that security dimension is an interesting augment to those connected things. And so imagine a world where you know your sensor is creating data and maybe have hundreds or thousands of sensors that air flowing into an edge compute layer and the edge compute layer isn't just aggregating it. It's putting context on it. It's metadata that it's adding to the system saying, Hey, that particular stream of telemetry came from this device, and I'm watching that device and Aiken score it and understand whether it's been compromised or whether it's trustworthy or whether it's a risky device and is that all flows into the metadata world the the overall understanding of not just the data itself, but where did it come from? Is it likely to be trustworthy? Should you score it higher or lower in your neural net to basically manipulate your algorithm? These kind of things were really sophisticated and powerful tools to protect against this kind of injection of false information at the sensor, but you could never do that at a sensor. You have to do it in a place that has more compute capacity and is more able to kind of enriched the data and enhance it. So that's why we think edges are important in that fourth characteristic of they aren't the security system of the sensor itself. But they're the way to make sure that there's integrity in the sense arised world before it reaches the Internet before it reaches the cloud data centers. >>So access to that metadata is access to the metadata is critical, and it's gonna be it's gonna be near real time, if not real time, right? >>Yeah, absolutely. And, you know, the important thing is, Well, I'll tell you this. You know, if you haven't figured this out by looking at cybersecurity issues, you know, compromising from the authoritative metadata is a really good compromise. If you could get that, you can manipulate things that a scale you've never imagined. Well, in this case, if the metadata is actually authoritatively controlled by the edge note the edge note is processing is determining whether or not this is trustworthy or not. Those edge nodes are not $5 parts, their servers, their higher end systems. And you can inject a lot more sophisticated security technology and you can have hardware root of trust. You can have, you know, mawr advanced. PK I in it, you can have a I engines watching the behavior of it, and again, you'd never do that in a sensor. But if you do it at the first step into the overall data pipeline, which is really where the edges materializing, you can do much more sophisticated things to the data. But you can also protect that thing at a level that you'd never be able to do to protect a smart lightbulb. A thermostat in your house? >>Uh, yes. So give us the playbook on how you see the evolution of the this mark. I'll see these air key foundational things, a distributed network and it's a you know I o t trends into industrial i o t vice versa. As a software becomes critical, what is the programming model to build the modern applications is something that I know. You guys talk to Michael Dell about this in the Cuban, everyone, your companies as well as everyone else. Its software define everything these days, right? So what is the software framework? How did people code on this? What's the application aware viewpoint on this? >>Yeah, this is, uh, that's unfortunately it's a very complex area that's got a lot of dimensions to it. Let me let me walk you through a couple of them in terms of what is the software framework for for For the edge. The first is that we have to separate edge platforms from the actual edge workload today too many of the edge dialogues or this amorphous blob of code running on an appliance. We call that an edge, and the reality is that thing is actually doing two things. It's, ah, platform of compute out in the real world and it's some kind of extension of the cloud data pipeline of the cloud Operating model. Instance, he added, A software probably is containerized code sitting on that edge platform. Our first principle about the software world is we have to separate those two things. You do not build your cloud your edge platform co mingled with the thing that runs on it. That's like building your app into the OS. That's just dumb user space. Colonel, you keep those two things separate. We have Thio start to enforce that discipline in the software model at the edges. The first principle, the second is we have to recognize that the edges are are probably best implemented in ways that don't require a lot of human intervention. You know, humans air bad when it comes to really complex distributed systems. And so what we're finding is that most of the code being pushed into production benefits from using things like kubernetes or container orchestration or even functional frameworks like, you know, the server list fast type models because those low code architectures generally our interface with via AP, eyes through CCD pipelines without a lot of human touch on it. And it turns out that, you know, those actually worked reasonably well because the edges, when you look at them in production, the code actually doesn't change very often, they kind of do singular things relatively well over a period of time. And if you can make that a fully automated function by basically taking all of the human intervention away from it, and if you can program it through low code interfaces or through automated interfaces, you take a lot of the risk out of the human intervention piece of this type environment. We all know that you know most of the errors and conditions that break things are not because the technology fails it because it's because of human being touches it. So in the software paradigm, we're big fans of more modern software paradigms that have a lot less touch from human beings and a lot more automation being applied to the edge. The last thing I'll leave you with, though, is we do have a problem with some of the edge software architectures today because what happened early in the i o t world is people invented kind of new edge software platforms. And we were involved in these, you know, edge X foundry, mobile edge acts, a crane. Oh, and those were very important because they gave you a set of functions and capabilities of the edge that you kind of needed in the early days. Our long term vision, though for edge software, is that it really needs to be the same code base that we're using in data centers and public clouds. It needs to be the same cloud stack the same orchestration level, the same automation level, because what you're really doing at the edge is not something that spoke. You're taking a piece of your data pipeline and you're pushing it to the edge and the other pieces are living in private data centers and public clouds, and you like they all operate under the same framework. So we're big believers in, like pushing kubernetes orchestration all the way to the edge, pushing the same fast layer all the way to the edge. And don't create a bespoke world of the edge making an extension of the multi cloud software framework >>even though the underlying the underlying hardware might change the microprocessor, GPU might change GP or whatever it is. Uh, >>by the way, that that's a really good reason to use these modern framework because the energies compute where it's not always next 86 underneath it, programming down at the OS level and traditional languages has an awful lot of hardware dependencies. We need to separate that because we're gonna have a lot of arm. We're gonna have a lot of accelerators a lot of deep. Use a lot of other stuff out there. And so the software has to be modern and able to support header genius computer, which a lot of these new frameworks do quite well, John. >>Thanks. Thanks so much for for coming on, Really? Spending some time with us and you always a great guest to really appreciate it. >>Going to be a great stuff >>of a technical edge. Ongoing room. Dave, this is gonna be a great topic. It's a clubhouse room for us. Well, technical edge section every time. Really. Thanks >>again, Jon. Jon Rose. Okay, so now we're gonna We're gonna move to the second part of our of our technical edge discussion. Chris Wolf is here. He leads the advanced architecture group at VM Ware. And that really means So Chris's looks >>at I >>think it's three years out is kind of his time. Arise. And so, you know, advanced architecture, Er and yeah. So really excited to have you here. Chris, can you hear us? >>Okay. Uh, >>can Great. Right. Great to see you again. >>Great >>to see you. Thanks for coming on. Really appreciate it. >>So >>we're talking about the edge you're talking about the things that you see way set it up is a multi trillion dollar opportunity. It's It's defined all over the place. Uh, Joey joke. It's Could be a windmill. You know, it could be a retail store. It could be something in outer space. Its's It's it's, you know, whatever is defined A factory, a military installation, etcetera. How do you look at the edge. And And how do you think about the technical evolution? >>Yeah, I think it is. It was interesting listening to John, and I would say we're very well aligned there. You know, we also would see the edge is really the place where data is created, processed and are consumed. And I think what's interesting here is that you have a number off challenges in that edges are different. So, like John was talking about kubernetes. And there's there's multiple different kubernetes open source projects that are trying to address thes different edge use cases, whether it's K three s or Cubbage or open your it or super edge. And I mean the list goes on and on, and the reason that you see this conflict of projects is multiple reasons. You have a platform that's not really designed to supported computing, which kubernetes is designed for data center infrastructure. Uh, first on then you have these different environments where you have some edge sites that have connectivity to the cloud, and you have some websites that just simply don't write whether it's an oil rig or a cruise ship. You have all these different use cases, so What we're seeing is you can't just say this is our edge platform and, you know, go consume it because it won't work. You actually have to have multiple flavors of your edge platform and decide. You know what? You should time first. From a market perspective, I >>was gonna ask you great to have you on. We've had many chest on the Cube during when we actually would go to events and be on the credit. But we appreciate you coming into our virtual editorial event will be doing more of these things is our software will be put in the work to do kind of a clubhouse model. We get these talks going and make them really valuable. But this one is important because one of the things that's come up all day and we kind of introduced earlier to come back every time is the standardization openness of how open source is going to extend out this this interoperability kind of vibe. And then the second theme is and we were kind of like the U S side stack come throwback to the old days. Uh, talk about Cooper days is that next layer, but then also what is going to be the programming model for modern applications? Okay, with the edge being obviously a key part of it. What's your take on that vision? Because that's a complex area certain a lot of a lot of software to be written, still to come, some stuff that need to be written today as well. So what's your view on How do you programs on the edge? >>Yeah, it's a It's a great question, John and I would say, with Cove it We have seen some examples of organizations that have been successful when they had already built an edge for the expectation of change. So when you have a truly software to find edge, you can make some of these rapid pivots quite quickly, you know. Example was Vanderbilt University had to put 1000 hospital beds in a parking garage, and they needed dynamic network and security to be able to accommodate that. You know, we had a lab testing company that had to roll out 400 testing sites in a matter of weeks. So when you can start tohave first and foremost, think about the edge as being our edge. Agility is being defined as you know, what is the speed of software? How quickly can I push updates? How quickly can I transform my application posture or my security posture in lieu of these types of events is super important. Now, if then if we walk that back, you know, to your point on open source, you know, we see open source is really, uh you know, the key enabler for driving edge innovation and driving in I S V ecosystem around that edge Innovation. You know, we mentioned kubernetes, but there's other really important projects that we're already seeing strong traction in the edge. You know, projects such as edge X foundry is seeing significant growth in China. That is, the core ejects foundry was about giving you ah, pass for some of your I o T aps and services. Another one that's quite interesting is the open source faith project in the Linux Foundation. And fate is really addressing a melody edge through a Federated M L model, which we think is the going to be the long term dominant model for localized machine learning training as we continue to see massive scale out to these edge sites, >>right? So I wonder if you could You could pick up on that. I mean, in in thinking about ai influencing at the edge. Um, how do you see that? That evolving? Uh, maybe You know what, Z? Maybe you could We could double click on the architecture that you guys see. Uh, progressing. >>Yeah, Yeah. Right now we're doing some really good work. A zai mentioned with the Fate project. We're one of the key contributors to the project. Today. We see that you need to expand the breath of contributors to these types of projects. For starters, uh, some of these, what we've seen is sometimes the early momentum starts in China because there is a lot of innovation associated with the edge there, and now it starts to be pulled a bit further West. So when you look at Federated Learning, we do believe that the emergence of five g I's not doesn't really help you to centralized data. It really creates the more opportunity to create, put more data and more places. So that's, you know, that's the first challenge that you have. But then when you look at Federated learning in general, I'd say there's two challenges that we still have to overcome organizations that have very sophisticated data. Science practices are really well versed here, and I'd say they're at the forefront of some of these innovations. But that's 1% of enterprises today. We have to start looking at about solutions for the 99% of enterprises. And I'd say even VM Ware partners such as Microsoft Azure Cognitive Services as an example. They've been addressing ML for the 99%. I say That's a That's a positive development. When you look in the open source community, it's one thing to build a platform, right? Look, we love to talk about platforms. That's the easy part. But it's the APS that run on that platform in the services that run on that platform that drive adoption. So the work that we're incubating in the VM, or CTO office is not just about building platforms, but it's about building the applications that are needed by say that 99% of enterprises to drive that adoption. >>So if you if you carry that through that, I infer from that Chris that the developers are ultimately gonna kind of win the edge or define the edge Um, How do you see that From their >>perspective? Yeah, >>I think its way. I like to look at this. I like to call a pragmatic Dev ops where the winning formula is actually giving the developer the core services that they need using the native tools and the native AP eyes that they prefer and that is predominantly open source. It would some cloud services as they start to come to the edge as well. But then, beyond that, there's no reason that I t operations can't have the tools that they prefer to use. A swell. So we see this coming together of two worlds where I t operations has to think even for differently about edge computing, where it's not enough to assume that I t has full control of all of these different devices and sensors and things that exists at the edge. It doesn't happen. Often times it's the lines of business that air directly. Deploying these types of infrastructure solutions or application services is a better phrase and connecting them to the networks at the edge. So what does this mean From a nightie operations perspective? We need tohave, dynamic discovery capabilities and more policy and automation that can allow the developers to have the velocity they want but still have that consistency of security, agility, networking and all of the other hard stuff that somebody has to solve. And you can have the best of both worlds here. >>So if Amazon turned the data center into an A P I and then the traditional, you know, vendors sort of caught up or catching up and trying to do in the same premise is the edge one big happy I Is it coming from the cloud? Is it coming from the on Prem World? How do you see that evolving? >>Yes, that's the question and races on. Yeah, but it doesn't. It doesn't have to be exclusive in one way or another. The VM Ware perspective is that, you know, we can have a consistent platform for open source, a consistent platform for cloud services. And I think the key here is this. If you look at the partnerships we've been driving, you know, we've on boarded Amazon rds onto our platform. We announced the tech preview of Azure Arc sequel database as a service on our platform as well. In addition, toe everything we're doing with open source. So the way that we're looking at this is you don't wanna make a bet on an edge appliance with one cloud provider. Because what happens if you have a business partner that says I am a line to Google or on the line to AWS? So I want to use this open source. Our philosophy is to virtualized the edge so that software can dictate, you know, organizations velocity at the end of the day. >>Yeah. So, Chris, you come on, you're you're an analyst at Gartner. You know us. Everything is a zero sum game, but it's but But life is not like that, right? I mean, there's so much of an incremental opportunity, especially at the edge. I mean, the numbers are mind boggling when when you look at it, >>I I agree wholeheartedly. And I think you're seeing a maturity in the vendor landscape to where we know we can't solve all the problems ourselves and nobody can. So we have to partner, and we have to to your earlier point on a P. I s. We have to build external interfaces in tow, our platforms to make it very easy for customers have choice around ice vendors, partners and so on. >>So, Chris, I gotta ask you since you run the advanced technology group in charge of what's going on there, will there be a ship and focus on mawr ships at the edge with that girl singer going over to intel? Um, good to see Oh, shit, so to speak. Um, all kidding aside, but, you know, patch leaving big news around bm where I saw some of your tweets and you laid out there was a nice tribute, pat, but that's gonna be cool. That's gonna be a didn't tell. Maybe it's more more advanced stuff there. >>Yeah, I think >>for people pats staying on the VMRO board and to me it's it's really think about it. I mean, Pat was part of the team that brought us the X 86 right and to come back to Intel as the CEO. It's really the perfect book end to his career. So we're really sad to see him go. Can't blame him. Of course it's it's a It's a nice chapter for Pat, so totally understand that. And we prior to pack going to Intel, we announced major partnerships within video last year, where we've been doing a lot of work with >>arm. So >>thio us again. We see all of this is opportunity, and a lot of the advanced development projects were running right now in the CTO office is about expanding that ecosystem in terms of how vendors can participate, whether you're running an application on arm, whether it's running on X 86 or whatever, it's running on what comes next, including a variety of hardware accelerators. >>So is it really? Is that really irrelevant to you? I mean, you heard John Rose talk about that because it's all containerized is it is. It is a technologies. Is it truly irrelevant? What processor is underneath? And what underlying hardware architectures there are? >>No, it's not. You know it's funny, right? Because we always want to say these things like, Well, it's just a commodity, but it's not. You didn't then be asking the hardware vendors Thio pack up their balls and go home because there's just nothing nothing left to do, and we're seeing actually quite the opposite where there's this emergence and variety of so many hardware accelerators. So even from an innovation perspective, for us. We're looking at ways to increase the velocity by which organizations can take advantage of these different specialized hardware components, because that's that's going to continue to be a race. But the real key is to make it seamless that an application could take advantage of these benefits without having to go out and buy all of this different hardware on a per application basis. >>But if you do make bets, you can optimize for that architecture, true or not, I mean, our estimate is that the you know the number of wafer is coming out of arm based, you know, platforms is 10 x x 86. And so it appears that, you know, from a cost standpoint, that's that's got some real hard decisions to make. Or maybe maybe they're easy decisions, I don't know. But so you have to make bets, Do you not as a technologist and try to optimize for one of those architectures, even though you have to hedge those bets? >>Yeah, >>we do. It really boils down to use cases and seeing, you know, what do you need for a particular use case like, you know, you mentioned arm, you know, There's a lot of arm out at the edge and on smaller form factor devices. Not so much in the traditional enterprise data center today. So our bets and a lot of the focus there has been on those types of devices. And again, it's it's really the It's about timing, right? The customer demand versus when we need to make a particular move from an innovation >>perspective. It's my final question for you as we wrap up our day here with Great Cuban Cloud Day. What is the most important stories in in the cloud tech world, edge and or cloud? And you think people should be paying attention to that will matter most of them over the next few years. >>Wow, that's a huge question. How much time do we have? Not not enough. A >>architect. Architectural things. They gotta focus on a lot of people looking at this cove it saying I got to come out with a growth strategy obvious and clear, obvious things to see Cloud >>Yeah, yeah, let me let me break it down this way. I think the most important thing that people have to focus on >>is deciding How >>do they when they build architectures. What does the reliance on cloud services Native Cloud Services so far more proprietary services versus open source technologies such as kubernetes and the SV ecosystem around kubernetes. You know, one is an investment in flexibility and control, lots of management and for your intellectual property, right where Maybe I'm building this application in the cloud today. But tomorrow I have to run it out at the edge. Or I do an acquisition that I just wasn't expecting, or I just simply don't know. Sure way. Sure hope that cova doesn't come around again or something like it, right as we get past this and navigate this today. But architect ng for the expectation of change is really important and having flexibility of round your intellectual property, including flexibility to be able to deploy and run on different clouds, especially as you build up your different partnerships. That's really key. So building a discipline to say you know what >>this is >>database as a service, it's never going to define who I am is a business. It's something I have to do is an I T organization. I'm consuming that from the cloud This part of the application sacked that defines who I am is a business. My active team is building this with kubernetes. And I'm gonna maintain more flexibility around that intellectual property. The strategic discipline to operate this way among many of >>enterprise customers >>just hasn't gotten there yet. But I think that's going to be a key inflection point as we start to see. You know, these hybrid architectures continue to mature. >>Hey, Chris. Great stuff, man. Really appreciate you coming on the cube and participate in the Cuban cloud. Thank you for your perspectives. >>Great. Thank you very much. Always a pleasure >>to see you. >>Thank you, everybody for watching this ends the Cuban Cloud Day. Volonte and John Furry. All these sessions gonna be available on demand. All the write ups will hit silicon angle calm. So check that out. We'll have links to this site up there and really appreciate you know, you attending our our first virtual editorial >>event again? >>There's day Volonte for John Ferrier in the entire Cube and Cuba and Cloud Team >>Q 3 65. Thanks >>for watching. Mhm

>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. >>Hello and welcome back to the cubes Virtual coverage of AWS reinvent 2020. Um, John for your host with a cube virtual were not there in person, but we're gonna do it our job with the best remote we possibly can. Where? Wall to wall coverage on the AWS reinvent site as well as on demand on the Cube. Three new 3 65 platform. We got some great power panel analysts here to dig in and discuss Partner Day for a W S what it means for the customer. What it means for the enterprise, the buyer, the people trying to figure out who to buy from and possibly new partners. How can they re engineer and reinvent their company to partner better with Amazon, take advantage of the benefits, but ultimately get more sales? We got Tim Crawford, star Beat Joel and Day Volonte, Friends of the Cube. We all know him on Twitter, You guys, the posse, the Cube policy. Thanks for coming on. I'm sure it's good guys entertaining and we're >>hanging out drinking beer. Oh, my God. That'd be awesome. You guys. >>Great to have you on. I wanted to bring you on because it's unique. Cross section of perspectives. And this isn't This is from the end user perspective. And, Tim, you've been talking about the c x o s for years. You expert in this? Sorry. You're taking more from a cloud perspective. You've seen the under the hood. What's happening? Let's all put it together. If your partner Okay, first question to the group. I'm a partner. Do I win with Amazon, or do I lose with Amazon? First question. >>Yeah, I'll jump in. I'll say, you know, regardless you win, you win with Amazon. I think there's a lot of opportunity for partners with Amazon. Um, you have to pick your battles, though. You have to find the right places where you can carve out a space that isn't too congested but also isn't really kind of fettered with a number of incumbents. And so if you're looking at the enterprise space, I think that there is a ton of potential because, let's face it, >>Amazon >>doesn't have all of the services packaged in a way that the enterprise can consume. And I think that leaves a lot of fertile ground for s eyes and I SVS to jump in and be able to connect those dots so I'd say it's win, win >>start be if you're like a so cohesively onstage. Jackson's coming out talking about China, the chips and data. If you're like a vendor and I s V you're a startup or your company trying to reinvent How do you see Amazon as a partner? >>Yeah, I see Amazon as a big market for me. You know, it increased my sort of tam, if you will. Uh, the one big sort off trend is that the lines between technology providers and service providers are blurred. Actually, it's flipping. I believe it will flip at some time. We will put consume technology from service providers, and they are becoming technology providers. Actually, they're not just being pipe and power kind of cloud. They are purely software, very high sort of highly constructed machinery, if you will. Behind the scenes with software. >>That's >>what Amazon is, uh, big machine. If you are, and you can leverage that and then you can help your customers achieve their business called as a partner. I think's the women and the roll off. Actually, Assize is changing, I believe a size. Well, I thought they were getting slow, sidetracked by the service providers. But now they have to actually change their old the way they they used to get these, you know, shrink wrap software, and then install and configure and all that stuff. Now it's in a cloud >>on >>they have to focus a little more on services, and and some of the s eyes are building tools for multi cloud consumption and all that. So things are changing under under this whole big shift to go out. >>I mean, I think if you're in S I and you're lifting and shifting, you make a few bucks and helping people do that deal with the tech. But I think we're the rial. Money is the business transformation, and you find the technology is there, it's it's another tool in the bag. But if you can change your operating model, that's gonna drive telephone numbers to the bottom line. That's a boardroom discussion, and that's where the real dollars are for s eyes. That's like that's why guys like Accent you're leading leading into the cloud Big time >>e think I think you're absolutely right, David. I think that's that's one aspect that we have to kind of call out is you can be one of those partners that is focused on the transaction and you'll be successful doing that. But you're absolutely right. If you focus on the long game. I think that is just like I said, completely fertile ground. And there are a lot of opportunities because historically Amazon was ah was a Lego parts, uh, type of cloud provider, right? They provided you with the basic building blocks, which is great for Web scale and startups not so good for enterprise. And so now Amazon is starting to put together in package part, so it's more consumable by enterprises. But you still need that help. And as Sarpy just mentioned, you also have to consider that Amazon is not the only aspect that you're gonna be using. You're gonna be using other providers to. And so I think this again is where partners they pick a primary, and then they also bring in the others where appropriate. >>All right, I want to get into this whole riff. I have a cherry chin on day one. Hey, came on the special fireside chat with me and we talked about, um, cloud errors before cloud Amazon. And now I'll call postcode because we're seeing this kind of whole new, you know, in the cloud kind of generation. And so he said, OK, this pre cloud you had Amazon generation, whereas lift and shift. Ah, lot of hybrid And you have everything is in the cloud like a snowflake kind of thing. And he kind of call it the reptiles versus the amphibians you're on. See your inland, your hybrid, and then you're you're in the water. I mean, so So he kind of went on, Took that another level, meaning that. Okay, this is always gonna be hybrid. But there's a unique differentiation for being all in the cloud. You're seeing different patterns. Amazon certainly has an advantage. See, Dev Ops guru, that's just mining the data of their entire platform and saying Okay, Yeah, do this. There's advantages for being in the cloud that aren't available. Hybrid. So amphibian on land and sea hybrid. And then in the cloud. How do you guys see that if you're a partner. You wanna be on the new generation. What's the opportunity to capture value? He has hybrid certainly coexist. But in the new era, >>remember Scott McNealy used to talk about car makers and car dealers. And of course, Sun's gone. But he used to say, We want to be a carmaker. Car dealers. They got big houses and big boats, but we're gonna be a carmaker. Oh, I think it's some similarities here. I mean, there's a lot of money to be made as a as a car dealer. But you see, companies like Dell, H P E. You know, they want to be carmakers. Obviously Google Microsoft. But there are gonna be a lot of successful really big carmakers in this game. >>Yeah, I believe I believe I always call it Amazon Is the makers cloud right, So they are very developer friendly. They were very developer friendly for startups. Uh, a stem said earlier, but now they are very developer, friendly and operations friendly. Now, actually, in a way for enterprises, I believe, and that the that well, the jerry tend to sort of Are you all all in cloud are sitting just in the dry land. Right now, I think every sort off organization is in a different sort off mature, at different maturity level. But I think we're going all going towards a technology consumption as a service. Mostly, I think it will be off Prem. It can be on Prem in future because off age and all that. And on that note, I think EJ will be dominated by Tier one cloud providers like crazy people who think edge will be nominally but telcos and all that. I think they're just, uh, if >>I made Thio, if I may interject for a second for the folks watching, that might not be old enough to know who Scott McNealy is. He's the founder of Sun Microsystems, which was bought by Oracle years ago. Yeah, basically, because many computer, there's a lot of young kids out there that even though Scott McNealy's But remember, >>do your homework, Scott, you have to know who Scott Scott McNealy >>also said, because Bill Gates was dominant. Microsoft owns the tires and the gas to, and they want to own the road. So remember Microsoft was dominating at that time. So, Tim Gas data is that I mean, Amazon might have everything there. >>I was gonna go back to the to the comment. You know, McNeely came out with some really, really good analogies over his tenure. Um, it's son and you know, son had some great successes. But unfortunately, Cloud is not as simplistic as buying a car and having the dealership and the ecosystem of gas and tires. And the rest you have to think about the toll journey. And that journey is incredibly complicated, especially for the enterprise that's coming from legacy footprints, monolithic application stacks and trying to understand how to make that transition. It's almost it's almost, in a way mawr analogous to your used to riding a bike, and now you're gonna operate a semi. And so how do you start to put all of the pieces into place to be able to make that transition? And it's not trivial. You have to figure out how your culture changes, how your processes changes. There are a lot of connected parts. It's not a simple as the ecosystem of tires and gas. We have to think about how that data stream fits in with other data streams where analytics are gonna be done. What about tying back to that system of record that is going to stay on the legacy platform. Oh, and by the way, some of that has to still stay on Prem. It can't move to the cloud yet. So we have this really complicated, diverse environment that we have to manage, and it's only getting more complicated. And I think that's where the opportunity comes in for the size and s visas. Step into that. Understand that journey, understand the transitions. I don't believe that enterprises, at least in the near term, let alone short term, will be all in cloud. I think that that's more of a fantasy than reality. There is a hybrid state that that is going to be transitory for some period of time, and that's where the big opportunity is. >>I think you're right on time. I think just to double down on that point, just to bring that to another level is Dave. Remember back in the days when PCs where the boom many computers with most clients there was just getting started? There was a whole hype cycle on hard drives, right? Hard drives were the thing. Now, if you look out today, there's more. Observe, ability, startups and I could count, right? So to Tim's point, this monolithic breakdown and component izing decomposing, monolithic APs or environments with micro services is complex. So, to me, the thing that I see is that that I could relate to is when I was breaking in in the eighties, you had the mainframes. Is being the youngun I'm like, Okay, mainframes, old monolithic client server is a different paradigm thing. You had, uh, PCs and Internet working. I think all that change is happening so fast right now. It's not like over 10 years to Tim's points, like mainframes to iPhones. It's happening in like three years. Imagine crunching all that complexity and change down to a short window. I think Amazon has kind of brought that. I'm just riffing on that, But >>yeah, you're absolutely right, John. But I think there's another piece and we can use a very specific example to show this. But another piece that we have to look at is we're trying to simplify that environment, and so a good place to simplify that is when we look at server lis and specifically around databases, you know, historically, I had to pick the database architecture that the applications would ride on. Then I have to have the infrastructure underneath and manage that appropriately so that I have both the performance a swell, a security as well as architecture. Er and I have to scale that as needed. Today, you can get databases of service and not have to worry about the underpinnings. You just worry about the applications and how those data streams connect to other data streams. And so that's the direction that I think things were going is, and we see this across the enterprise we're looking for. Those packaged package might be a generalized term, but we're looking for um, or packaged scenario and opportunity for enterprises rather than just the most basic building blocks. We have to start putting together the preformed applications and then use those as larger chunks. And >>this is the opportunity for a size I was talking before about business transformation. If you take, take Tim's database example, you don't need somebody anymore. Toe, you know, set up your database to tune it. I mean, that's becoming autonomous. But if you think about the way data pipelines work in the way organizations are structured where everything because it goes into this monolithic data lake or and and And it's like generic content coming in generic data where the business owner has to get in line and beg a data scientist or quality engineered or thio ingest a new data source. And it's just like the old data warehouse days where I think there's tremendous opportunities for s eyes to go in a completely re architect. The data model. Sergeant, This is something you and I were talking about on Twitter. It's That's why I like what snowflakes doing. It's kind of a AWS is trying to do with lasted glue views, but there's a whole business transformation opportunity for s eyes, which I just think is huge. Number l >>e all talk. Go ahead. Sorry. Yeah, >>I think we >>all talk, but we know we all agree on one thing that the future is hybrid for at least for next. You know, 10 years, if not more. Uh, hybrid is hard. The data proximity is, uh, very important. That means Leighton see between different workloads, right? That's super important. And I talk about this all the time and almost in every conversation I have about about. It's just scenario, is that there three types of applications every every enterprise systems or fractured systems, systems of engagement and the systems of innovation and my theory of cloud consumption tells me that sooner or later, systems off record. We'll move into SAS SAS world. That's that's how I see it. There's no other way around, I believe, and the systems off engagement or systems off differentiation something and call it. They will leverage a lot off platforms, the service and in that context context, I have said it many times the to be a best of the breed platform. As a service, you have to be best off the breed, um, infrastructure as a service provider. And that's Amazon. And that is that's also a zero to a certain extent, and then and and Google is trying to do that, too. So the feature sort off gap between number one cloud and two and three is pretty huge. I believe I think Amazon is doing great data democratization through several less. I just love serving less for that Several things over. Unless there is >>a winning formula is no doubt about several times I totally agree. But I think one of the things that I miss it has done is they've taken server lists. They brought their putting all the I as and the chips, and they're moving all the value up to the service layer, which gives them the advantage over others. Because everyone else is trying to compete down here. They're gonna be purpose built. If you look what Apple is doing with the chips and what the Amazon is doing, they're gonna kind of have this chip to chip scenario and then the middle. Where in between is the container ization, the micro services and Lambda? So if you're a developer, you approach is it's programmable at that point that could that could be a lock spec. I think for Amazon, >>it absolutely could be John. But I think there's another aspect here that we have to touch on, especially as we think about partners and where the opportunities come in. And that is that We often talk about non cloud to cloud right, how to get from on Prem to cloud. But the piece that you also have thio bring into the conversation is Theo edge to cloud continuum and So I think if you start to look at some of the announcements this week from AWS, you start looking at some of the new instance types uh, that are very ai focused. You look at the two new form factors for outposts, which allows you to bring cloud to a smaller footprint within an on premise premises, situation, uh, different local zones. And then Thea other piece that I think is really interesting is is their announcements around PCs and eks anywhere being able to take cloud in kubernetes, you know, across the board. And so the challenge here is, as I mentioned earlier, complexity is paramount. It's concern for enterprises just moving to cloud. You start layering in the edge to cloud continuum, and it just it gets exponentially more complicated. And so Amazon is not going to be the one to help you go through that. Not because they can't, but frankly, just the scale of help that is going to be needed amongst enterprises is just not there. And so this is really where I think the opportunity lies for the s eyes and I SVS and partners. You >>heard how Jassy defined hybrid John in the article that you wrote when you did your one on one with him, Tim and the in the analyst call, you answered my question and then I want to bring in Antonio near his comment. But Jassy basically said, Look, we see the cloud bring We're gonna bring a W s to the edge and we see data centers. This is another edge node and San Antonio Neary after HP is pretty good quarter uh came out and said, Well, we heard the public cloud provider talking about hybrid welcome, you know? >>Yeah, they were going and then getting here jumped on that big time. But we'll be looking hybrid. Tim nailed The complexity is the is the evil is friction is a friction area. If the complexity could be mastered by the edge provider closest to the customer, that's gonna be valuable, um, for partners. And then we can do that. Amazon's gonna have to continue to remove the friction and putting that together, which is why I'm nervous about their channel partners. Because if I'm a partner, I asked myself, How do I make money with Amazon? Right? At the end of the day, it's money making right. So how can I be successful? Um, not gonna sell more in the marketplace. Will the customer consumer through there? Is it friction or is a complex So this notion of complexity and friction becomes a double edged sword Tim on both sides. So we have five minutes left. Let's talk about the bottom side Complexity, >>friction. So you're absolutely right, John. And you know, the other thing that that I would say is for the partner, you have to look beyond what Amazon is selling today. Look at where the customers are going. And you know, David, I think you and I were both in an analyst session with Andy Jassy several years ago where one of the analysts asked the question. So you know, what's your perspective on Hybrid Cloud? In his response, candidly was, while we have this particular service and really, what he was talking to is a service that helps you on board to Amazon's public cloud. There was there was not an acknowledgment of hybrid cloud at the time, But look at how things have changed just in a short few years, and I understand where Jassy is coming from, but this is just exemplifies the fact that if you're a partner, you have to look beyond what Amazon is saying and think toe how the customer is evolving, how the enterprise is evolving and get yourself ahead of them. That will position you best for both today. And as you're building for the future. >>That's a great point, Dave. Complexity on buying. I'm a customer. You can throw me a marketplace all you want, but if I'm not gonna be tied into my procurement, how I'm consuming technology. Tim's point. Amazon isn't the only game in town. I got other suppliers. >>Yeah, well, certainly for some technology suppliers, they're basically could bring their on prem estate if it's big enough into the cloud. Uh, you know what is big enough? That's the big question here. You know, our guys like your red hats big enough. Okay, we know that Nutanix pure. They're sort of the next layer down. Can they do? They have enough of a customer base that they could bring into the cloud, create that abstraction layer, and then you got the born in the cloud guy Snowflake, Colombia or two good examples. Eso They've got the technology partners and then they're the size and consultants. And again, I see that is the really big opportunity is 10 points out? Amazon is acknowledging that hybrid Israel in in a newly defined way, they're going out to the edge, find you wanna call data center the edge. How are they going to support those installations? How are they gonna make sure that they're running properly? That they're connected to the business process? Those air That's s I whitespace. Huge. >>Guys, we have to wrap it up right now. But I just end on, you know, we'll get everyone go A little lightning around quick soundbite on the phrase with him, which stands for what's in it from me. So if I'm a partner, I'm a customer. I look at Amazon, I think. What's in it for me? Yeah. What a za customer like what do I get out of this? >>Yeah, having done, like more than 100 data center audits, and I'm seeing what mess up messes out there and having done quite a few migrations to cloud migrations of the messy messages piece, right? And it doesn't matter if you're migrating 10% or 20 or 30 it doesn't matter that how much you're migrating? It's a messy piece, and you cannot do with our partners that work. Actually, you need that. Know how you need to infuse that that education into into your organization, how to consume cloud, how toe make sense of it, how you change your processes and how you train your people. So it touches all the products, people and processes. So on three years, you gotta have partners on your side to make it >>so Hey, I'll go quick. And, Tim, you give you the last word. Complexity is cash. Chaos is cash. Follow the complexity. You'll make cash. >>Yeah, you said it, David. I think anyway, that you can help an enterprise simplify. And if you're the enterprise, if you're the customer, look for those partners. They're gonna help you simplify the journey over time. That's where the opportunity really lies. >>Okay, guys, Expert power panel here on Cuba live program, part of AWS reinvent virtual coverage, bringing you all the analysis from the experts. Digital transformations here. What's in it for me is a partner and customer. Help me make some money, master complexity and serve my customer. Mister Cube. Thanks for watching >>que Yeah, from around the globe. It's the cute

from the silicon angle media office in Boston Massachusetts it's the queue now here's your host David on tape hello everyone and welcome to this week's episode of the cube insights powered by ETR you know this past week we attended the Dell technologies Industry Analysts event and in this breaking analysis I want to summarize the key takeaways and discuss some of the macro trends in the industry that are affecting Dell I'll also discuss some of the fundamental assumptions that Dell is making in its operating model and I'll talk about some of the challenges that I see for the company going forward and hopefully what is a frank manner now let me start with the event itself it was held in Austin Texas and it's clear that Austin Texas is becoming the epicenter of Dell post-acquisition of EMC it's shifting strongly back to Texas while the legacy of EMC remains what is the most critical part of Dells portfolio thanks to vmware the energy of Dell emanates from its founder Michael Dell the event was attended by about 250 press and analysts over a two-day period it was very well run with strong levels of executive access which is always very important to the analysts and lots of transparency and I thought clarity of message now the number one takeaway on this is Dell in four years the company has gone from irrelevance to a dominant and highly relevant player in the enterprise tech especially the CIOs and it's one of the most amazing transformations of a company that personally I've ever seen and I've seen several there were four other key takeaways for me that I'll show on this first slide of Alex if you bring it up first Michael Dell has put forth a set of moonshot goals for 2030 let me give you some examples by 2030 Dell says that for every product that they sell they're going to recycle an equivalent product by 2030 50 percent of the global workforce of Dell will be women and 40 percent of the managers of people will be women 25 percent of the u.s. workforce will be either Hispanic or African now most tech stories today are negative and this is a great positive message I'm not gonna spend a lot of time on this because in there's much more that Dell laid out but kudos for Dell to make for making these initiatives a priority you know particularly the women in tech and the diversity in the minorities I think it's excellent the second takeaway is Dell for Dell is the Dell is being driven by Jeff Clark and this guy is on a mission to simplify the portfolio Dell claims its reduced its product portfolio from 88 platforms down to 20 of that power platforms that powers a new brand now the reality is Dell really hasn't deprecated 68 products many if not most are still around but the RMD energy is all going into the new stuff now the third takeaway was a big announcement around power one power one is Dells new platform for the next generation of converged infrastructure now a lot of people might look at this and say well this is converged infrastructure without Cisco well it is actually and while that's true power one according to Dell is a much more of a developer friendly API and micro services based platform with a lot of automation software built in it's essentially going to be Dells go forward platform for customers that don't want to roll their own infrastructure the expectation or inference that that we took away was that power one will integrate most if not all future storage networking and server products Adela's positioning this as a complement to HCI or hyper-converged infrastructure which comprises VX rail VX flex which is the scale i/o and of course the OEM Nutanix so you can see Dell still got some work to do in terms of streamlining its portfolio and here's my lock of the day is that they'll be phasing out the Nutanix OEM relationship you could take that one to the bank now the fourth takeaway was the Dells cloud strategy is really coming into focus is it a winning strategy I honestly can't say at this point but in my view it's the only option that Dell has and and because of VMware they have a fighting chance Dell is in a much better position than other suppliers that that rely on you know Prem install bases because of VMware VMware is not only Dells piggy bank it is but it also gives Dell strategic levers with with CIOs and partners like for instance AWS now later on I'm going to share some ETR data that will give you some context but the bottom line is that the cloud is having an impact on everyone's business including Dells and I mean let me add the Dells cloud strategy in addition to relying on VMware is completely dependent on the assumptions that the world is going to be hybrid which is a good assumption and that multi cloud is going to evolve from what today I've said as a symptom of multi-vendor to a fundamental priority for CIOs again not a bad assumption but because of VMware adele has more than a fighting chance to compete for share now finally that that adele is going to be able to capitalize on the edge personally I think this is the biggest wildcard what I do think is that developers are going to be a crucial part of the edge and at this point in time Dell and VMware are not really top of mine in the developer community now the event involved keynotes from Michael Dell and other execs including including the CFO it was Tom sweet and and many other breakout sessions you know the normal one-on-ones as well now I don't have time to go into all this but there are some things that I want to share about Jeff Clark's presentation specifically he's the person that took over from David David Gordon a couple years ago he's been at Dell for more than 30 years and he was there when I think it was called pcs limited so a long time he's a trusted operational executive of Michael Dell's I'm very impressed with this guy he doesn't use a cheap prompter when he talks and in fact he has some notes but he's got these facts and figures at the in his head that he rattles off like a staccato pace he's an OBS exec and so let me summarize the his discussion now to bring up this slide the the big picture is the data sphere is gonna grow to 175 zettabytes and half of that is going to be created at the edge of that 30% is gonna require real-time processing now he talked about the mandate for simplification and he called this staying the easy button now in QA I asked him like why did it take you guys so long to figure out something so obvious which is kind of a snarky analyst question not his credit he didn't throw his predecessors under the bus rather what he did is he focused on the future and sit he said you know they shared the figures that I stated earlier about you know taking 88 platforms down to 20 and he focused on the priorities of the future so he didn't say it but I'm gonna say it for him he inherited a very messy portfolio and he had to clean up the crime scene me tell let me tell you what a buyer said about EMC back in 2018 this is from the ETR Venn survey when they go out and they probe you know specific customers and they talk to them this guy says NetApp has done a really good job of advertising and positioning itself within the cloud and within data centers themselves they've got a broad portfolio and I don't want to make comments about NetApp but so just I'm not sure I agree with all this but okay come back to his statements and and they've they've integrated fairly well here's what's relevant what he said was EMC on the other hand is not as well integrated they've got a broad portfolio but it's not necessarily - easy easy to pick and choose from the different categories okay so I agree with that you know look the mega launch product dujour worked for EMC it allowed them to carry on for another five or six years after the downturn but the lack of integration eventually caught up to that minute and it will always you know caught up catch up to large companies who rely on either lots of M&A or spinning out new products with lots of overlap anyway I digress the third thing that Clarke talked about was the big market size and the share gains pcs are a 200 billion dollar market servers are an 80 billion dollar market an external storage is a 26 billion dollar market Della's gains 600 basis points according to Clarke in pcs over the last six years 400 came in the last three years 375 basis points in storage in the past two years now of course what he didn't mention that was after a dismal performance a few years earlier so they had a pretty easy compare but my point is this when you talk to Michael Dell you talked to Tom sweet you talked to Jeff Clark and all the people folks in the company share gains are critical to Dells strategy especially because the cloud is taking so much share of wallet in the enterprise I'll make some other comments on that now finally there are two fundamental beliefs that dell has that i want to share with you one is that they can be a consolidator of these core markets in a downturn deltax they can hold their breath you know so to speak longer than the competitors and of course in an up market they think they can accelerate their leverage points which leads to the second belief that jeff clark talked about which is how dell will deliver differentiation and value so he decided four items there one is they got 40,000 direct sellers so they got a big go-to market presence they got 35,000 service professionals a 66 billion-dollar supply chain and then Dell financial services arm which you know forces Dell to carry a lot of debt but that debt throws off cash and it's not really part of Dells core debt from EMC acquisition now others have that too but but Dells got you know big presents there all right so I want to pivot to the ETR data and let's see how Dell looks in the spending survey and since market share is so important to Dell why don't we take a look at how they're doing so Alex this slide that I'm showing here what each er refers to as market share market share is defined by you TR as vendor citations in the survey excluding replacements so customers that are adding spending the same or spending more as spending less divided by the total number of respondents in the survey so it's a measure of how pervasive the vendor is in the data set what I'm showing in this slide is Dells market share and its three most important business lines namely VMware Delhi MC and Adele's laptop business and I'm showing this from the January 17 survey to October 19 now notice the survey sample overall is 960 for respondents and the three brands they show 800 and said six hundred and twenty two and three hundred and two shared ends within that 964 so there's two points one else doing pretty well I mean I'd say it's better than holding serve and as you can see it's steadily gaining now the second point is that look at the net scores here you know they're okay especially for vmware intel's laptop but Dell EMC for instance specifically their server and storage and networking business you know not so much so there's there's a mixed story here so let me make some comments on the macro and things that I've discussed with with ETR and and my narrative on demand overall some things that I've said you shared with you before as we've discussed in past breaking analyses spending is reverting back to pre eighteen levels but it's not falling off a cliff we're seeing fewer adoptions of new tech and more replacements of old tech so combine this with lower levels of spending and more citations overall we're seeing net score go down relative to previous surveys so here's what we think is happening there's less experimentation going on with the digital initiatives which started you know back in 2016 so you're seeing fewer adoptions of new tech as customers are start placing their bets and they're retiring leggy legacy systems that they were keeping on as a hedge and they're narrowing their spend on the new stuff and unplugging the stuff they don't need anymore and they're going at the serious production mode with the pocs so that means overall spending is softer it's not a disaster but it's lower than expected then coming into this year storage is on the back burner in a lot of accounts because of cloud and the big flash injection that I've talked about giving him more Headroom servers are really soft for Dell especially because they have a tough compared with previous with last year PC is actually pretty good all things being considered so where is the spending action well it's in the cloud now q how many vendors tell me that there's a big rebate repatriation trend happening ie people have cloud remorse and they're all moving back on pram not all but many M say it doesn't happen but at the macro-level its noise compared to the spending that's happening in the cloud just do the math all you got to do is look at AWS and Microsoft and what they report and compare it to any enterprise company that relies on on-prem selling I mean I don't want to argue about it you believe what you want but I would much prefer to look at the data so let's do that so here's a slide that shows ETR data on customer spending on the cloud so you got a AWS Azure and Google spenders and how their spending patterns have changed over time for dell emc servers so you got six hundred and thirty six cloud accounts 175 to 200 shared dell emc server accounts over the past three periods and yet net scores of 24% down to 16% so look at the gray bar versus the yellow bar gray is October 18 yellow is October 19 okay you get the picture the next slide is the same view for Dell EMC storage the gray bar is last year yellow bar is this year's survey so look at it 22% down to 5% that's not good so storage is getting hit by cloud and that's going to continue all right so let me conclude with some comments in general overall I like to tell strategy you know honestly without VMware I'm probably not gonna fly to Austin this week just being honest but with VMware Dell is far more important to our community so I pay more attention to it I haven't shared many thoughts on Dells financials but I think they have some upside here as they continue to pay down their debt by the way every five billion of dollars that they retire in debt it drops twenty five cents right to earnings per share Dell throws off a lot of cash it's a very well-run company they got an excellent management team we talked about their share gain lever they'll have a public cloud so they got to make on Prem as simple as possible and ideally is cloud like as they can you know the on-premise experience frankly is well behind that of the cloud but but cloud you know getting less simple and it's not cheap so on Prem in my view doesn't have to be exactly cloud it's just got to be good enough now Dell this week also refreshed its on demand pricing but it's good and it's obviously relevant to cloud not have time to go into all the detail but suffice to say that near-term there on-demand stuff it's it's going to be a small factor in their business but longer-term I think it's going to play in it's particularly to the cloud model Dell is also betting on hybrid and multi cloud they have to and but they're up against several competitors Microsoft is the is really strong in this space Microsoft's also a partner of course but you got IBM and Red Hat Cisco Google sort of and some others but VMware it gives Dell an advantage and that is the key the big hole that I see in Dell I'm going to come back to innovation you know Dell spends billions of dollars on R&D I think it's the numbers 20 billion over the last four years so that's good but you know innovation this industry is being delivered delivered by developers no those are the drivers and and it's they're taking advantage of data applying machine intelligence and cloud for scale and Dell is clearly well positioned for the data trend you know could partner for cloud it can certainly play an AI but what it lacks in my opinion is appeal to the developer community and just as Dell has become relevant to CIOs it needs this a similar type of relevance with the devs and that's a different ballgame so it's hopes are leaning on VMware and is of course its acquisition of pivotal but if I were Dell I would not sit back and wait for pivotal and VMware to figure it out here's what I would do if I were Dell I would deploy at least a thousand engineers they got twenty thousand engineers take a thousand or fifteen hundred them and point them toward developing open source tools and build applications and tools around all these hot emerging trends that we hear about multi-cloud multi cloud management edge all the innovations going on at edge autonomous vehicles etc AI workloads machine intelligence machine learning I would open-source that work and make a big commitment to the developer community big contributions and that would build hooks in from my hardware into these tools to make my hardware run better faster cheaper on these systems I want to thank my friend Peter burrows for forgiving me that idea but I think it's a great idea I think it's radical but it makes sense in this world that is really being driven by developers okay this is Dave Volante signing out from this episode of cube insights powered by ETR thanks for watching we'll see you next time

>>live from San Francisco. It's the Q covering Micron Insight 2019. Brought to you by Micron. >>Welcome back to Pier 27 sentences. You're beautiful day here. You're watching the Cube, the leader in live tech coverage recovering micron inside 2019 hashtag micron in sight. My co host, David Floy er and I are pleased to welcome Michael Wood, Acre Cube alum and a fellow at Hewlett Packard Enterprise. Michael, good to see you again. Thanks. Coming on. >>Thanks for having me. >>So you're welcome? So you're talking about HBC on a panel today? But of course, your role inside of HP is is a wider scope. Talk about that a little bit. >>She also I'm the lead technologists in our Compute Solutions business unit that pack out Enterprise. So I've come from the group that worked on in memory computing the Superdome flex platform around things like traditional enterprise computing s it, Hannah. But I'm now responsible not only for that mission critical solutions platform, but also looking at our blades and edge line businesses. Well said broader technology. >>Okay. And then, of course, today we're talking a lot about data, the growth of data and As you say, you're sitting on a panel talking about high performance computing and the impact on science. What are you seeing? One of the big trends in terms of the intersection between data in the collision with H. P. C and science. >>So what we're seeing is just this explosion of data and this really move from traditionally science of space around how you put equations into supercomputers. Run simulations. You test your theories out, look at results. >>Come back in a couple weeks, >>exactly a potential years. Now. We're seeing a lot of work around collecting data from instruments or whether it's genomic analysis, satellite observations of the planner or of the universe. These aerial generating data in vast quantities, very high rates. And so we need to rethink how we're doing our science to gain insights from this massive data increase with seeing, >>you know, when we first started covering the 10th year, the Cuban So in 2010 if you could look at the high performance computing market as sort of an indicator of some of the things that were gonna happen in so called big data, and some of those things have played out on I think it probably still is a harbinger. I wonder, how are you seeing machine intelligence applied to all this data? And what can we learn from that? In your opinion, in terms of its commercial applications. >>So a CZ we'll know this massive data explosion is how do we gain insights from this data? And so, as I mentioned, we serve equations of things like computational fluid dynamics. But now things are progressing, so we need to use other techniques to gain understanding. And so we're using artificial intelligence and particularly today, deep learning techniques to basically gain insights from the state of Wei. Don't have equations that we can use to mind this information. So we're using these aye aye techniques to effectively generate the algorithms that can. Then you bring patterns of interest to our you know, focused of them, really understand what is the scientific phenomenon that's driving the things particular pattern we're seeing within the data? So it's just beyond the ability of the number of HPC programmers, we have the sort of traditional equation based methodologies algorithms to gain insight. We're moving into this world where way just have outstripped knowledge and capabilities to gain insight. >>So So how does that? How is that being made possible? What are the differences in the architecture that you've had to put in, for example, to make this sort of thing possible? >>Yeah, it's it's really interesting time, actually, a few years ago seemed like computing was starting to get boring because wears. Now we've got this explosion of new hardware devices being built, basically moving into the more of a hetero genius. Well, because we have this expo exponential growth of data. But traditional computing techniques are slowing down, so people are looking at exaggerate er's to close that gap and all sorts of hatred genius devices. So we've really been thinking. How do we change that? The whole computing infrastructure to move from a compute centric world to a memory centric world? And how can we use memory driven computing techniques to close that gap to gain insight, so kind of rethinking the whole architectural direction basically merge, sort of collapsing down the traditional hierarchy you have, from storage to memory to the CPU to get rid of the legacy bottlenecks in converting protocols from process of memory storage down to just a simple basically memory driven architecture where you have access to the entire data set you're looking at, which could be many terabytes to pad of eyes to exabytes that you can do simple programming. Just directly load store to that huge data set to gain insights. So that's that's really changed. >>Fascinating, isn't it? So it's the Gen Z. The hope of Gen Z is actually taking place now. >>Yes, so Gen Z is an industry led consulting around a memory fabric and the, you know, Hewlett Packard Enterprise Onda whole host of industry partners, a part of the ecosystem looking at building a memory fabric where people can bring different innovations to operate, whether it's processing types, memory types, that having that common infrastructure. I mean, there's other work to in the industry the Compute Express Link Consortium. So there's a lot of interest now in getting memory semantics out of the process, er into a common fabric for people to innovate. >>Do you have some examples of where this is making a difference now, from from the work in the H B and your commercial work? >>Certainly. Yeah, we're working with customers in areas like precision medicine, genomex basically exaggerating the ability to gain insights into you know what medical pathway to go on for a particular disease were working in cybersecurity. Looking at how you know, we're worried about security of our data and things like network intrusion. So we're looking at How can you gain insights not only into known attacking patterns on a network that the unknown patents that just appearing? So we're actually a flying machine learning techniques on sort of graft data to understand those things. So there's there's really a very broad spectrum where you can apply these techniques to Data Analytics >>are all scientists now, data scientists. And what's the relationship between sort of a classic data scientist, where you think of somebody with stats and math and maybe a little bit of voting expertise and a scientist that has much more domain expertise you're seeing? You see, data scientists sort of traversed domains. How are those two worlds coming together? >>It's funny you mentioned I had that exact conversation with one of the members of the Cosmos Group in Cambridge is the Stephen Hawking's cosmology team, and he said, actually, he realized a couple of years ago, maybe he should call himself a day two scientists not cosmologist, because it seemed like what he was doing was exactly what you said. It's all about understanding their case. They're taking their theoretical ideas about the early universe, taking the day to measurements from from surveys of the sky, the background, the cosmic background radiation and trying to pair these together. So I think your data science is tremendously important. Right now. Thio exhilarate you as they are insights into data. But it's not without you can't really do in isolation because a day two scientists in isolation is just pointing out peaks or troughs trends. But how do you relate that to the underlying scientific phenomenon? So you you need experts in whatever the area you're looking at data to work with, data scientists to really reach that gap. >>Well, with all this data and all this performance, computing capacity and almost all its members will be fascinating to see what kind of insights come out in the next 10 years. Michael, thanks so much for coming on. The Cube is great to have you. >>Thank you very much. >>You're welcome. And thank you for watching. Everybody will be right back at Micron Insight 2019 from San Francisco. You're watching the Cube

>>live from San Francisco. It's the Q covering Micron Insight 2019 to You by Micron. >>We're back to Pier 27 in lovely San Francisco, Everybody. I'm Dave a lot with my co host, David Floy Er and you're watching the Cube, the leader and live tech coverage. Evan cursed Ellis here. He's a social digital influencer. First time in the Cube. Evan, Great to see you. >>Thanks for having me. First time's the best. >>You Very well. And it is beautiful. Out him in October is the best month in San Francisco. Way better way warmer than July. I mean, you live out here. Holy cow. All right, let's get right into it. You're just fresh off of mobile work. World Congress down in L. A. >>This morning. Yeah, five g on the brain's >>s. So what do we need to know about five g? You >>know, I think my big takeaway as an industry observer is that five g Israel, and it's now I mean, we've seen 5 10 years, maybe of hype, an expectation and marketing buzz and even spin. But I think we're now in the business of practical deployments, scaling rollouts of networks and that's, you know, as a industry observers, quite exciting. >>So what is five g mean for the average user? I mean, is it gonna be like going from dial up toe, high speed Internet or, you know, it's gonna be interesting. >>The average user, I think we'll experience, you know, like a 10 x increase in their current experience on mobile in terms of uploads and downloads and speed and Leighton see, And that kind of thing, which is super exciting, it's it's gonna blow people's mind. >>An ex stoked to get a 10 extra. When can I get this? >>It's when and it's where, right? I mean, if you look at how these networks are evolving, there are hundreds of thousands of small cells of base stations that have to be deployed naturally to get five G ubiquitous across the country. So it's it's when it's where it's how. But we're here. We're at the starting point and look for the next years and months ahead to see that riel attraction. >>If I look now when I travel around the country, I still have four G. I still have three g. I still have edge. I have a ll the old ones are still there, and it's taken forever, even just to get to 40. So isn't lesson. Isn't the rollout of this going to take a long time ago or 10 year horizon? >>I think, to get ubiquitous coverage indoor, outdoor, suburban, urban, rural It's going to take 10 years. But if you look at those hot spots that generate a lot of activity, whether it's, you know, indoor coverage in the Enterprise, whether it's, you know, the Bruins playing in Boston Garden I mean those air where five G is really going to come into play first and then it's going to sort of go outside of those urban dense areas. >>You mean like the fan experience in the fan experience in the venue >>is huge? I mean, if you go to any you know, baseball, basketball, football game, you know what the experience is like Pretty pretty bad, right? So horrible. So those kind of hot spots are ripe for five g like right away today. Now, >>so by the way, David, sometimes I get five g on my that's right, and I feel like it's fake. Five years like HD ready. What's that all about? Well, you know, >>these networks evolve, and so the carriers are maximizing for G, including biggest speed on four G and five. Gene is really if overlay to these existing networks. And so, as you get your next Samsung, you know five G enabled devices. Apple next year comes out with a five G iPad. You'll then begin to use. The service is as you use your existing device. >>Can you help us understand the fundamental architecture of five G? My understanding is it's, you know, no basis more distributed on. That's part of the reason why it's taking so long to roll out. But what do we need to know about that E? >>I think it's a brand new editor interface. So if you think about the current radio on for G, they reinvented the wheel with five G, which means you can support a huge number of endpoints of I o. T devices of wearables of home access points. And so it enables almost a 10 to 100 ex war devices in terms of scale. So while the end user may think this is business as usual, what's really happening on the network side is pretty revolutionary And once the networks are primed and built and ready, what's gonna be happening on the device side is gonna be really extraordinary. You're talking about a K A video on a mobile device or augmented reality through in new kinds of glasses. And so it's sort of a chicken and a little bit. You know what? She's gonna come first, the network or the incredible new devices. So we're seeing now the network's being put in place for those wave of devices, >>which makes sense. Device manufactures don't want over rotate into something that's not quite. >>But if you look at the network, it's you have to have a lot of device is very close to each other. I in my area that all these the holdings holding these hearings about radiation, everything else like that, which is never, never really a problem unless you're underneath. >>Yeah. I mean, there's a lot of fun, you know, fear, uncertainty around five G. >>Yeah, and I'm just the practical thing. You gotta have all of these lots of these very close in the The exposure to having a gap of some sort is pretty high. >>Yeah, I think it's an issue of frequencies as well. Right now, we're seeing very high frequency five deployed for those dense urban suburban areas. We're going to Seymour Spectrum rolled out next year. The FCC is putting out new auction so you'll see lower bit rate five g rolled out for suburban and rural areas. So it's a It's a work in progress, but the fact that we have first devices first silicon for software first networks. It's kind of a big inflection >>point, but some bumps. I'm inferring this ATT the back end. It could be a lot of machine to machine communications, so that's kind of sets up this whole coyote and an edge discussion. And of course, that means more data. What can you tell us about how that's going to affect really the amount of data and how we use that data? >>The data explosion is extraordinary. I mean, we experience this as early adopters here at the table every day, and so no one's ever said, you know, my network is fast enough is good enough, secure enough. There's always that insatiable appetite now, given the connected world in which we live. And so it's not just the network speed it's the input output of the device. I mean, we have Leighton see that frankly, from these networks operates at the speed of the human brain, you know, in in milliseconds, in terms of input output on the network. And so that's really gonna change the user experience to when the way you do gaming or collaboration or video conferencing video calls and all these service is we use today will be much more tuned to how we live and work. >>So dial upto high speed Internet obvious Are you want? I'll update you say you go back. I'm also I know remember this stuff But that was a significant change. Obvious step change, really a step function. Exactly. But subsequent to that it was I could doom. Or but it was just so much more data and acts were flowing through the network that it really didn't change the experience a little bit. Maybe, actually, you know, be careful. I watched the Patriots game on the plane on the NFL app on the way out here, which could probably have done a year or two ago, but so that was that's goodness. But generally speaking, the experience is substantially similar. Will you said a 10 X before? Will the user actually see a difference like that kind of dial up to high speed step function? Or is it going to be sort of a slow roll? >>I think the user will see a big a big improvement because of the efficiencies of the network and the way in which data is kind of throttled and limited. Today, with three and four for G networks, I think more interestingly, is how businesses and enterprises and sm bees will consume. Five g. I mean, there are a lot of antiquated networks out there, whether it's legacy wired Network, D S. L. Whether it's, you know, crappy WiFi that we all experience in hotel rooms, five g has the opportunity to come in and really displace all of that legacy crap that that's in our networks and give users in those enterprises hotels, venues, a brand new experience. And when's the last time you had a bad hotel? WiFi, for the idea of, of getting rid of a legacy network and delivering those high speed service is from a public network. It's her Private networking is a really exciting opportunity for the carriers and, really, for the B two B enterprise. >>Well, the technology suppliers are pumped about their pumped and their >>look at their profitability, their revenue, their sales. Everything's up. >>Well, the thing is that that is, the carriers, like you say they have no choice but to remain competitive. They have to consume. They have to spend more >>on what a great time in the mobile industry. I mean to be a consumer of devices and service is, I mean, the consumers that businesses are winning in this march. >>So tell us about Mobile World Congress. What was the vibe? It was >>very buzzy. I mean, there were lots of Rhea World applications on display, whether wearable devices for health care and hospital T applications. There were examples of remote controlled autonomous shipping and autonomous trucking monitored, supervised with five G. There were examples of vehicle to vehicle communications for accident, safety purposes being deployed in the next generation of cars baked in, and so five. He's gotten very practical. Now it's like, Okay, we've built this network, we have silicon, we have software we have storage memory out of we deploy it so is very focused on deployment usage and an application. >>If you take that one of automotive, for example, if you're a god, health and life on your If you If you can't guarantee that you've got connectivity toe, what's the value wouldn't do? For example, wouldn't you prefer vehicle to vehicle direct communication, as opposed to going outside to some much faster? >>Exactly. Exactly. And there's a new technology called vehicle Be two extra people vehicle standards that are being baked so that that's not funny. It's based on the five of the family of standards, and so one of the technologies within the five G family is vehicle to vehicle. Qualcomm's doing some amazing work there. And once the automobile manufacturers baked that technology into cars, the car manufacturers can then build in vehicle avoidance, vehicle collision technology and so forth. >>So I'm worried that was some talk about a I right? I mean, lots of talk that mobile world Congress, you're gonna hear a lot about here. What about the ecosystem that's emerging to support five G? There's gotta be a whole value chain specialized chips. I mean, obviously, micron, you know? Yeah, you know, the >>whole supply chain has to come together and Micron powering all of these devices with memory and storage to the application developers to the O E ems to the network providers. And so that ecosystem is getting really baked, fully baked and and integrated. And that was on display at MWC, too. So all these things are coming together, and I think it's pretty exciting. As a long time skeptic like yourself. I saw some real world. >>I say, I'm excited about it. I just I'm just not holding my breath. Don't >>hold your breath. Not >>recommended weight. That's great, Evan. Thanks very much for coming in. Thanks so much. Appreciate your insights. Thanks so much. Thank you for watching. Keep it right there. But it will be back from Micron Insight 2019 from San Francisco. You're watching the Cube?

from the silicon angle media office in Boston Massachusetts it's the queue now here's your host David on tape hi everybody welcome to this special cube in size powered by ET our enterprise Technology Research our partner who's got this database to solve the spending data and what we're gonna do is a braking analysis on the analytic database market we're seeing that cloud and cloud players are disrupting that marketplace and that marketplace really traditionally has been known as the enterprise data warehouse market so Alex if you wouldn't mind bringing up the first slide I want to talk about some of the trends in the traditional EDW market I almost don't like to use that term anymore because it's sort of a pejorative but let's look at it's a very large market it's about twenty billion dollars today growing it you know high single digits low double digits it's expected to be in the 30 to 35 billion dollar size by mid next decade now historically this is dominated by teradata who started this market really back in the 1980s with the first appliance the first converged appliance or coal with Exadata you know IBM I'll talk about IBM a little bit they bought a company called mateesah back in the day and they've basically this month just basically killed the t's and killed the brand Microsoft has entered the fray and so it's it's been a fairly large market but I say it's failed to really live up to the promises that we heard about in the late 90s early parts of the 2000 namely that you were going to be able to get a 360 degree view of your data and you're gonna have this flexible easy access to the data you know the reality is data warehouses were really expensive they were slow you had to go through a few experts to to get data it took a long time I'll tell you I've done a lot of research on this space and when you talked to the the data warehouse practitioners they would tell you we always had to chase the chips anytime Intel would come out with a new chip we forced it in there because we just didn't have the performance to really run the analytics as we need to it's took so long one practitioner described it as a snake swallowing a basketball so you've got all those data which is the sort of metaphor for the basketball just really practitioners had a hard time standing up infrastructure and what happened as a spate of new players came into the marketplace these these MPP players trying to disrupt the market you had Vertica who was eventually purchased by HP and then they sold them to Micro Focus greenplum was buy bought by EMC and really you know company is de-emphasized greenplum Netezza 1.7 billion dollar acquisition by IBM IBM just this month month killed the brand they're kind of you know refactoring everything par Excel was interesting was it was a company based on an open-source platform that Amazon AWS did a one-time license with and created a redshift it ever actually put a lot of innovation redshift this is really doing well well show you some data on that we've also at the time saw a major shift toward unstructured data and read much much greater emphasis on analytics it coincided with Hadoop which also disrupted the market economics I often joked it the ROI of a dupe was reduction on investment and so you saw all these data lakes being built and of course they turned into the data swamps and you had dozens of companies come into the database space which used to be rather boring but Mike Amazon with dynamodb s AP with HANA data stacks Redis Mongo you know snowflake is another one that I'm going to talk about in detail today so you're starting to see the blurring of lines between relational and non relational and what was was what once thought of is no sequel became not only sequel sequel became the killer app for Hadoop and so at any rate you saw this new class of data stores emerging and snowflake was one of the more interesting and and I want to share some of that data with you some of the spending intentions so over the last several weeks and months we've shared spending intentions from ETR enterprise technology research they're a company that that the manages of the spending data and has a panel of about 4,500 end-users they go out and do spending in tension surveys periodically so Alex if you bring up this survey data I want to show you this so this is spending intentions and and what it shows is that the public cloud vendors in snowflake who really is a database as a service offering so cloud like are really leading the pack here so the sector that I'm showing is the enterprise data warehouse and I've added in the the analytics business intelligence and Big Data section so what this chart shows is the vendor on the left-hand side and then this bar chart has colors the the red is we're leaving the platform the gray is our spending will be flat so this is from the July survey expect to expectations for the second half of 2019 so gray is flat the the dark green is increase and the lime green is we are a new customer coming on to the platform so if you take the the greens and subtract out the red and there's two Reds the dark red is leaving the lighter red is spending less so if you subtract the Reds from the greens you get what's called a net score so the higher the net score the better so you can see here the net score of snowflake is 81% so that very very high you can also see AWS in Microsoft a very high and Google so the cloud vendors of which I would consider a snowflake at cloud vendor like at the cloud model all kicking butt now look at Oracle look at the the incumbents Oracle IBM and Tara data Oracle and IBM are in the single digits for a net score and the Terra data is in a negative 10% so that's obviously not a good sign for those guys so you're seeing share gains from the cloud company snowflake AWS Microsoft and Google at the expense of certainly of teradata but likely IBM and Oracle Oracle's little for animal they got Exadata and they're putting a lot of investments in there maybe talk about that a little bit more now you see on the right hand side this black says shared accounts so the N in this survey this July survey that ETR did is a thousand sixty eight so of a thousand sixty eight customers each er is asking them okay what's your spending going to be on enterprise data warehouse and analytics big data platforms and you can see the number of accounts out of that thousand sixty eight that are being cited so snowflake only had 52 and I'll show you some other data from from past surveys AWS 319 Microsoft the big you know whale here trillion dollar valuation 851 going down the line you see Oracle a number you know very large number and in Tara data and IBM pretty large as well certainly enough to get statistically valid results so takeaway here is snowflake you know very very strong and the other cloud vendors the hyper scale is AWS Microsoft and Google and their data stores doing very well in the marketplace and challenging the incumbents now the next slide that I want to show you is a time series for selected suppliers that can only show five on this chart but it's the spending intentions again in that EDW and analytics bi big data segment and it shows the spending intentions from January 17 survey all the way through July 19 so you can see the the period the periods that ETR takes this the snapshots and again the latest July survey is over a thousand n the other ones are very very large too so you can see here at the very top snowflake is that yellow line and they just showed up in the January 19 a survey and so you're seeing now actually you go back one yeah January 19 survey and then you see them in July you see the net score is the July next net score that I'm showing that's 35 that's the number of accounts out of the corpus of data that snowflake had in the survey back in January and now it's up to 52 you can see they lead the packet just in terms of the spending intention in terms of mentions AWS and Microsoft also up there very strong you see big gap down to Oracle and Terra data I didn't show I BM didn't show Google Google actually would be quite high to just around where Microsoft is but you can see the pressure that the cloud is placing on the incumbents so what are the incumbents going to do about it well certainly you're gonna see you know in the case of Oracle spending a lot of money trying to maybe rethink the the architecture refactor the architecture Oracle open worlds coming up shortly I'm sure you're gonna see a lot of new announcements around Exadata they're putting a lot of wood behind the the exadata arrow so you know we'll keep in touch with that and stay tuned but you can see again the big takeaways here is that cloud guys are really disrupting the traditional edw marketplace alright let's talk a little bit about snowflakes so I'm gonna highlight those guys and maybe give a little bit of inside baseball here but what you need to know about snowflakes so I've put some some points here just some quick points on the slide Alex if you want to bring that up very fast-growing cloud and SAS based data warehousing player growing that couple hundred percent annually their annual recurring revenue very high these guys are getting ready to do an IPO talk about that a little bit they were founded in 2012 and it kind of came out of stealth and hiding in 2014 after bringing Bob Moog Leon from Microsoft as the CEO it was really the background on these guys is they're three engineers from Oracle will probably bored out of their mind like you know what we got this great idea why should we give it to Oracle let's go pop out and start a company and that NIN's and as such they started a snowflake they really are disrupting the incumbents they've raised over 900 million dollars in venture and they've got almost a four billion dollar valuation last May they brought on Frank salute Minh and this is really a pivot point I think for the company and they're getting ready to do an IPO so and so let's talk a little bit about that in a moment but before we do that I want to bring up just this really simple picture of Alex if you if you'd bring this this slide up this block diagram it's like a kindergarten so that you know people like you know I can even understand it but basically the innovation around the snowflake architecture was that they they separated their claim is that they separated the storage from the compute and they've got this other layer called cloud services so let me talk about that for a minute snowflake fundamentally rethought the architecture of the data warehouse to really try to take advantage of the cloud so traditionally enterprise data warehouses are static you've got infrastructure that kind of dictates what you can do with the data warehouse and you got to predict you know your peak needs and you bring in a bunch of storage and compute and you say okay here's the infrastructure and this is what I got it's static if your workload grows or some new compliance regulation comes out or some new data set has to be analyzed well this is what you got you you got your infrastructure and yeah you can add to it in chunks of compute and storage together or you can forklift out and put in new infrastructure or you can chase more chips as I said it's that snake swallowing a basketball was not pretty so very static situation and you have to over provision whereas the cloud is all about you know pay buy the drink and it's about elasticity and on demand resources you got cheap storage and cheap compute and you can just pay for it as you use it so the innovation from snowflake was to separate the compute from storage so that you could independently scale those and decoupling those in a way that allowed you to sort of tune the knobs oh I need more compute dial it up I need more storage dial it up or dial it down and pay for only what you need now another nuance here is traditionally the computing and data warehousing happens on one cluster so you got contention for the resources of that cluster what snowflake does is you can spin up a warehouse on the fly you can size it up you can size it down based on the needs of the workload so that workload is what dictates the infrastructure also in snowflakes architecture you can access the same data from many many different houses so you got again that three layers that I'm showing you the storage the compute and the cloud services so let me go through some examples so you can really better understand this so you've got storage data you got customer data you got you know order data you got log files you might have parts data you know what's an inventory kind of thing and you want to build warehouses based on that data you might have marketing a warehouse you might have a sales warehouse you might have a finance warehouse maybe there's a supply chain warehouse so again by separating the compute from that sort of virtualized compute from the from the storage layer you can access any data leave the data where it is and I'll talk about this in more and bring the compute to the data so this is what in part the cloud layer does they've got security and governance they got data warehouse management in that cloud layer and and resource optimization but the key in in my opinion is this metadata management I think that's part of snowflakes secret sauce is the ability to leave data where it is and have the smarts and the algorithms to really efficiently bring the compute to the data so that you're not moving data around if you think about how traditional data warehouses work you put all the data into a central location so you can you know operate on it well that data movement takes a long long time it's very very complicated so that's part of the secret sauce is knowing what data lives where and efficiently bringing that compute to the data this dramatically improves performance it's a game changer and it's much much less expensive now when I come back to Frank's Luqman this is somebody that I've is a career that I've followed I've known had him on the cube of a number of times I first met Frank Sloot when he was at data domain he took that company took it public and then sold it originally NetApp made a bid for the company EMC Joe Tucci in the defensive play said no we're not gonna let Ned afgan it there was a little auction he ended up selling the company for I think two and a half billion dollars sloop and came in he helped clean up the the data protection business of EMC and then left did a stint as a VC and then took over service now when snoop and took over ServiceNow and a lot of people know this the ServiceNow is the the shiny toy on Wall Street today service that was a mess when saluteth took it over it's about 100 120 million dollar company he and his team took it to 1.2 billion dramatically increased the the valuation and one of the ways they did that was by thinking about the Tam and expanding that Tim that's part of a CEOs job as Tam expansion Steuben is also a great operational guy and he brought in an amazing team to do that I'll talk a little bit about that team effect uh well he just brought in Mike Scarpelli he was the CFO was the CFO of ServiceNow brought him in to run finance for snowflake so you've seen that playbook emerge you know be interesting Beth white was the CMO at data domain she was the CMO at ServiceNow helped take that company she's an amazing resource she kind of you know and in retirement she's young but she's kind of in retirement doing some advisory roles wonder if slooping will bring her back I wonder if Dan Magee who was ServiceNow is operational you know guru wonder if he'll come out of retirement how about Dave Schneider who runs the sales team at at ServiceNow well he you know be be lord over we'll see the kinds of things that Sluman looks for just in my view of observing his playbook over the years he looks for great product he looks for a big market he looks for disruption and he looks for off-the-chart ROI so his sales teams can go in and really make a strong business case to disrupt the existing legacy players so I one of the things I said that snoopin looks for is a large market so let's look at this market and this is the thing that people missed around ServiceNow and to credit Pat myself and David for in the back you know we saw the Tam potential of ServiceNow is to be many many tens of billions you know Gartner when they when ServiceNow first came out said hey helpdesk it's a small market couple billion dollars we saw the potential to transform not only IT operations but go beyond helpdesk change management at cetera IT Service Management into lines of business and we wrote a piece on wiki Vaughn back then it's showing the potential Tam and we think something similar could happen here so the market today let's call 20 billion growing to 30 Billy big first of all but a lot of players in here what if so one of the things that we see snowflake potentially being able to do with its architecture and its vision is able to bring enterprise search you know to the marketplace 80% of the data that's out there today sits behind firewalls it's not searchable by Google what if you could unlock that data and access it in query at anytime anywhere put the power in the hands of the line of business users to do that maybe think Google search for enterprises but with provenance and security and governance and compliance and the ability to run analytics for a line of business users it's think of it as citizens data analytics we think that tam could be 70 plus billion dollars so just think about that in terms of how this company might this company snowflake might go to market you by the time they do their IPO you know it could be they could be you know three four five hundred billion dollar company so we'll see we'll keep an eye on that now because the markets so big this is not like the ITSM the the market that ServiceNow was going after they crushed BMC HP was there but really not paying attention to it IBM had a product it had all these products that were old legacy products they weren't designed for the cloud and so you know ServiceNow was able to really crush that market and caught everybody by surprise and just really blew it out there's a similar dynamic here in that these guys are disrupting the legacy players with a cloud like model but at the same time so the Amazon with redshift so is Microsoft with its analytics platform you know teradata is trying to figure it out they you know they've got an inertia of a large install base but it's a big on-prem install base I think they struggle a little bit but their their advantages they've got customers locked in or go with exudate is very interesting Oracle has burned the boats and in gone to cloud first in Oracle mark my words is is reacting everything for the cloud now you can say Oh Oracle they're old school they're old guard that's fine but one of the things about Oracle and Larry Ellison they spend money on R&D they're very very heavy investor in Rd and and I think that you know you can see the exadata as it's actually been a very successful product they will react attacked exadata believe you me to to bring compute to the data they understand you can't just move all this the InfiniBand is not gonna solve their problem in terms of moving data around their architecture so you know watch Oracle you've got other competitors like Google who shows up well in the ETR survey so they got bigquery and BigTable and you got a you know a lot of other players here you know guys like data stacks are in there and you've got you've got Amazon with dynamo DB you've got couch base you've got all kinds of database players that are sort of blurring the lines as I said between sequel no sequel but the real takeaway here from the ETR data is you've got cloud again is winning it's driving the discussion and the spending discussion with an IT watch this company snowflake they're gonna do an IPO I guarantee it hopefully they will see if they'll get in before the booth before the market turns down but we've seen this play by Frank Sluman before and his team and and and the spending data shows that this company is hot you see them all over Silicon Valley you're seeing them show up in the in the spending data so we'll keep an eye on this it's an exciting market database market used to be kind of boring now it's red-hot so there you have it folks thanks for listening is a Dave Volante cube insights we'll see you next time

>> live from San Francisco, celebrating 10 years of high tech coverage. It's the Cube covering Veum World 2019 brought to you by VM Wear and its ecosystem partners. >> Welcome back. We're here at V Emerald 2019 in the lobby of Mosconi north, back in San Francisco, where it all began. 10th year of the Cube covering VM world. I'm stupid and my co host is John Troyer. Expensive time working for Vienna, where he's been doing the kid with us now for over three years. It was Veum world that we brought in the first time. >> I believe I was working with you on the other side. That that here >> absolutely and welcoming. First back to the program. One of our cube alumni, Rawlinson Rivera, who's the CTO of the global field at Cohesive E. Thanks for joining us again. My pleasure, man. Always excited when we get to talk to Ah, customer is a customer and a service provider. Brock Marie, who's the chief technologist at? Whoa, >> Correct. Thanks for having. >> All right. So we're gonna get Tau Whoa in a second, cause really want to dig in an interesting name? I'm sure you guys have some fun with that, I would hope. But Rawlinson, first of all, you know Veum world always big celebration back in San Francisco celebration. But 10 years of the Cube to you know, what's it all mean to you? >> Amazing. The fact that I've been here a couple of times now it's great. It's a good, great way to put a stamp on my existence. He would be able to >> Yeah, you know, amazing ecosystem and lots of ah ah, as we said, we just had Jerry chain on. It's the deviant where? Mafia. I'm sitting here with two former VM where employees do so even when they've left their still tight with a lot of going on there. All right, Brock, you've been to this event Ah, a few times before we get into Whoa, Just tell us, You know, what does the world mean to you? >> Soviet world is obviously it's a huge networking event. You get Thio not only see your peers, but also other players in the industries and be able to evaluate their products and see what they have. >> All right, so tell us a little bit about Whoa. >> So what dot com was founded in 2013 we ah, tout ourselves as a cyber secure cloud platform. Ah, we've done more than just stand up TVM where bits for hosting we've actually integrated some threat protection and some network defense items. Uh, around that infrastructure. >> All right, give us a little bit of the Brett. You know, how many locations? Verticality. All that kind of. >> So our headquarters is in Hollywood, Florida. We have a data center presence in Miami, a data center presence in Grand Rapids, Michigan, and one and switch LV in Las Vegas. So that gives us coverage over the United States. All >> right, I've toward one of those facilities. You probably amazing facility. So, uh, >> yeah, well, can you tell us a little bit about what was business? And I'm in particular interested in being a service provider in 2019 right? A lot of noise about the big public clouds. But as the folks here at B M, where no, there's trillions of dollars flowing through a nightie ecosystem that, you know, some of it's going to the public cloud. But there's lots of need for service providers. Providing specialty service's or hands on service is or I'm kind of curious. What is your business? What is your business and like, how does it intersect with data, Which is where we're getting to hear? >> Yeah, absolutely. So with our focus on compliance, that's really one of the major differentiators from us with the hyper scale Er's or the Big three is a lot of people like to call them, um that gives us the ability also to tune and make sure that their workloads are precise and running the way that they want with the security models around them. Uh, plus, it's the you know you got, you could reach out and you can contact us. We pick up the phone, we support all of our customers. Uh, we love to go above and beyond and make sure that they're happy. So we want to kind of give them that that boutique type feel and be able to provide. The service is out. >> We're talking verticals like, >> yes. Oh, health care is a big one. Obviously, um and then there's, you know, huge requirements around that for data protection and ah, data isolation and so forth. Um and also, you know, on the cyber security side, cyber scan the new release from these guys is something that we're definitely foaming at the mouth to get at it. Something that we're ready to put into play because it's it's a value, add back to our customers and having their product in that position gives us an advantage, >> right? Rawlinson. He teed you up. But you know, in general, you know, we know where cohesive He has played in the enterprise on what's been happening. A lot of the environment gives a little bit of the landscape for the service providers and where cohesively plays. We know that that's you know, it's been a great no only customer, but almost a channel for many technology in the space for a number of years. Well, you >> know, we have our own sort of like division within the Coast, just with sports writer of market. What we doing, we're enabling them to provide their customers with the value that we gave our enterprise customers already so opening up more than just the backup, right? So one of the things that rock mentioned is this new capability. Have a performing scans for vulnerability scans within the systems. When have you ever been able to do that on something that just sits there and it's just an insurance policy in the past. Now we can give you the ability to provide your customers ability to look into their data whether there have a vulnerability or not in place and tell him before they do it. Did you want to restore this? You wanna protect it with X amount of vulnerabilities. You want to fix it before you do it, And that kind of level of service is being provided. It delivers in immense value to customers everywhere. All >> right, So is this the first product that uses a few city or have you been using other >> s? So we obviously we dove in headfirst with data protection? Um, our previous data protection product wasn't living up to, ah, up to its claims. And that sparked us to go out and start looking at other vendors. And it actually happened at the end world. A few years ago, I came across Cohesive E, uh, worked with their guys. We did a POC. Um, we attacked some of our major pain points right off the bat, and cohesive handled it without any problems. >> I'm kind of curious. So we're talking about a second secondary storage platform. You know, uh, backup is is a use of it, But once you live in the world now we don't. We still put something, the things on tape, but okay, the bits are live there on a disk somewhere, and back them up. So as an example of this for the security scans, some of this ransomware stuff can lie dormant for months before turning on. So it's not a matter of like, Oh, I've just restored the backup from last week. You may have to go search through the all your your your checkpoints. Right. So that's an example of how having a secondary storage platform really enables a lot of security. So that's my with my understanding. Several out, maybe. Tee you up. Can you talk about data? The secondary storage data platform in general And security is one aspect. Data protection is another. I don't know. >> I mean, that's right. Yeah. The thing about what we do is that we as a data management platform, which was kind of getting falling into that there's many fastest to managing with data. We started with the data protection piece. Now we adding other value to the areas which is just pointed out. There's a lot of dark data that you don't get to see because of description of silos, and >> I >> don't really use that Now. We have the ability to provide that value that everyone else on the service provider business can leverage because now they have. Like you said, I have to go look through all these different generations of that protection job that I'm doing now. We do that instantaneous. We do that at the core. So now you're able to identify and report on that and be able to correct it before you have to go through that process, which is which is incredible. Now, if that's on the data protection side, we also have the ability of using. You can use cohesive as a file if they want to do that. Now we're talking to live information that can access the same suite of capability and tools, are there and can report the same way. >> Yeah, if I can add to that to one of the one of the really cool features that I that I like that Cohee City does is when you're using filer service is and things like that. You still have the ability to protect that data as well. So you can replicate those snapshots out to other locations and so forth. So ah, we found that was, ah, pretty good benefit for us. We have a configuration management platform that we ended up putting amount on one of those servers, and we want to protect that in our other location. And this is our own internal operations. So we leverage the platform is well, we protect that data by replicating into another Geo >> Brock. Connect the dots for us. We understand us pain points. But what is this colucci city solutions that you're using mean for your ultimate end user customers >> Confidence, That's, you know, knowing that when that backup report comes in and hits their inbox, that all of those jobs are gonna be successful. And ultimately, what that turns into is when they need that data back, they need to restore it. It's going to be there for them, all right? >> Anything you'd add about the impact on the customers when you're working with service providers, any kind of broader discussion of the service writers. >> I mean, it's great the things that we do because now we're not only typically we enable our enterprise customers to do this. Now we're neighbors and our service providers to enable their customers to do that as well. And you know what? We just we just in the background. It's their business, right? They're the ones who are providing the service, making a service for for the customer based on what they need. And it is good for us to kind of enable that and let them do what they need to. They would just make money, make money, protect their money and make more money. >> Brock, I'm kind of curious you and your your customers, right? A lot of talking vigil, transformation at agility. We've all gotta make money. We've all gotta move fast, and I'm guessing you know it again. In an ecosystem where there are very big players and very small players, part of you still have to move fast, and your customers expect you to be delivering News Service's and reliable service is et cetera. Can you maybe just talk a little bit about kind of what your customers are looking for? Uh, you know how the relationship goes with, Maybe with a with a provider like like you have a team And will he see building healthy? You know, how fast can you turn on the service is how fast is that ramp up in? Maybe with the >> Sure so. And it's funny because I've actually been having some other conversations on how we can improve the existing workflow. Ah, but the workflow has been, uh, not, um, we've had to re architect a couple of network items to be able to, ah, to facilitate external backups. For example, being a service provider, I don't just back up the EMS within my environment. I backup PM's in customers environments as well. So laying the foundation to be ableto have these. Ah, these units replicate between each other, eases that path and and again it comes down to revenue. The faster I can get that box coming in, the faster that I can realize revenue on the product. >> A lot of discussion in this show about some of the future things you know, the emerging, where is talking about container ization and building communities into Evie's fear, talking about their multi cloud connectivity that they're having. I know the City's got a strong play partnering with all the public cloud environment. Give us look out as toe. How does that impact your business? Where do you see that going from your roadmap standpoint? >> Absolutely. So, uh, with with the cohesive platform, especially with the, uh, the big three hyper scale er's, for example, we're actually looking at a way to put our long term storage out on that out on those service is we'll keep our short term storage internal or on Prem wherever the customers scenario might be. But we want to leverage that that long term storage so that we don't have to manage that data over a seven year period. We do manage it. We'll ever do your guys tools to be able to do it, but it's in a hyper scaler. I don't need to worry about it. >> And to add to that were also as a Zvi, Ammar moves alone and catches on the wave of the Cuban. Any journalist after we also do that already so we can actually provide protection of name spaces for for the kubernetes environment, something you'll start seeing, you'll see we released very soon. So we already given the short stories provides the ability to compete with the hyper scale is providing those newer cloud Native service is they need to be. You have available for them to know we're gonna make that would enable that for everyone. Still haven't we would offer it universal. >> Well, actually, that that brings up a question Brock hour in terms of being cloud native. Either you, you guys spending up more service is more cloud native APS or your customers. And I'm not sure if they're building off if they're bringing off the shelf APS to you or if they're building custom maps. I mean, where do you see the evolution of this hole field in terms of Dev Ops and Cloud Native? >> Definitely. So Cloud Native is ah, is a very interesting architecture play, especially with the micro service's and dynamically building machines on the fly. And things like that is very, very exciting. Very intriguing. Um, our workloads tend to be more traditional vm type workloads. Uh, I have been having conversations with customers, technical groups. Hey, you guys should start looking at Micro service. Is this is something you guys can improve your guys. Your service delivery with um, we haven't gotten there yet. We're using some container service is internally for our own operations, but externally, we're still trying to, you know, part of the digital transformation. Work with your customers to provide them >> solutions. All right, Brock, when you know one of the things we come to this show, we always get. Okay, great. Here's where we are today. Here's where we going tomorrow. Usually have a wish list, you know, we know service fighters. Yes. If you could make it a little cheaper, you know, we need to be able to pass those margins, you know, down to our customer. What? What's on your wish list? What would make you know your company's life easier? >> Ah, well, cohesive. He's done a very good job of that already, so ah, again, you know, having confidence in your backups and being able to sleep at night is definitely huge. Um, so on my wish list, I like the direction they're going with the integration and, ah, lot of the workbench products and so forth. Honestly, I don't have a ton of wish list. I'm more sitting back watching what these guys are gonna come out with because cyber scans, one that actually came out of left field for me. And, um, this >> is awesome. What I think is interesting about these these architecture is that there are this this app layer that they that they're now introducing that Yes, there's kubernetes there, but it's a lot of APS. Data service is that are very close to the data. I don't know what What do you guys have in store? What are you talking about here at the show in terms of new service is because it's now you just containerized it. You, Doc, arise it and stick it in your thing and your your plane. And it's there on the on the device that >> the focus for us has basically continue to deliver value on the platform that people only thought it was data protection. It's way more than that. He has he comes availability scanners being one of them, but also opening the platform for customers and cell service providers. You know what you need. You know what service? If you need to create a developed for what you need to do, do it and put it on us. Do not move the date away from where where is safely stored, located, bring the application to it. That eliminates risks of, you know, data leakage and all these kinds of things that you have a secure, centralized, scalable everything you want. It's all in place. >> Yeah, I think it's a great point. You know, when when the company first came out, it's like, Okay, well, here's the product at the day. But Mohit is building a platform that is his history, and that's not what he's doing. And I know that's what excited a lot of people in the early days. And as you said, your data management platform now. So we know we're now actually are, at least at the early stages of where the company is going with the overall solution. >> Your moments very methodical. He decided to go one way, one thing at a time, right? We're not a Swiss army knife. We're not gonna Well, the ocean we come out, we master the one thing that was the most painful so far. Data protection. We fixed back up, and now we're going to give you the rest of what you get from the platform after we master that. All >> right? I want to give you the final words. You've been going through this journey now for a few years when you talk to your peers, What advice would you give than anything you've learned along the way? Is that all? It's great, But boy, I wish I could have shortcut. Certain things were, you know, planned something a little bit different. You know what learning is gonna share? >> Eso definitely plant plan your deployments. You know, there's there's some new features and new items that are coming out. But, you know, again, one of the great things about you he city you have a virtual ization of the E series. Go in there and break it on the V E Siri's and then deployed on your hardware. >> All right, >> Brock and Rawlinson Thank you so much for joining us. Appreciate all the updates and congratulations on the progress we've been making for John Troyer. Arms to Minuteman. Back with lots more coverage at the midpoint of three days. Walter Wall coverage two sets 10th Year of the Cube at VM World 2019. Thanks as always, for watching

>> from the Cosmopolitan Hotel in Las Vegas, Nevada. It's the Cube covering Cooper inspired 2019. Brought to You by Cooper. >> Welcome to the Q. But Lisa Martin on the ground in Las Vegas for Cooper Inspire. 19 Hot Vegas. Fresh Insight. I'm pleased to welcome Max Ground, the managing director from Deloitte to the program. Hey, Max. >> Good morning. Good afternoon. >> Good afternoon. Whatever time it is, Vegas Right here is this. It's a time warp. They don't like you see outside It's >> only place the world. The 25th hour. >> Right? So here we are. It inspired 19 kick Everything kicked off this morning with the general session. I was teasing Rob Bernstein a couple hours ago and I had him on that. I learned three things in the general session. He likes pizza, he likes kittens. And Cuba's platform now has 1.2 trillion dollars of spending data going through it. And I thought, man procurement is not what I thought. It wa ce and you have a really >> interesting story about procurement. I'd love for you to share with our audience >> because you said in your session earlier today you said people in this standing your morning session. How many of you wanted to be on procurement? Anybody that raises their hands of line tell me about the procurement of yesterday, the >> opportunities that it's given you and what it is now. >> So I think >> in the past, >> security has been something that had to happen. It was a must have not a place that people saw value. But was the rule enforcers right? So trying to do that and really adding value by discipline, where today, if you think about it, the value that they can add by driving savings authorization drops right to the bomb line. So all the savings that are out there, all >> the negotiations that are doing, it's really unique skill set >> and something that people really should move into finance folks when they're looking for a new opportunity. It's a great skill set to have. Lately I've come across a former attorneys are practicing law but now doing strategic sourcing, doing procurement, work, people from finance because the talent that you have to have is field work with people within their companies, understand their needs, negotiate with suppliers, do hard core analytics and, oh, by the way, we're talking about Cooper has helped in change and implemented technology like that. It's really fascinating. >> It's so much more than >> being a buyer or being somebody that's controlling a particular business unit's ability to buy and spend. >> One of the interesting things about Cooper is this platform that allows what started, I >> think, initially as more procurement corner invoicing is now expanded to also include payments and expenses and travel management and contingent workhorse management. So what the CPO now has the opportunity to do is get this visibility right across an entire business of all of the spending, to your point, make massive impacts to the bottom line. >> Yeah, I >> mean, data is so important, right? In the past, the vendors had all the information. Why? Because the sales people how to get commissions. They knew exactly what was being bought of that company. Today, you can reverse engineer saying, selling cells. I say it's reverse sales. I can't go in there and I tell them now I have the full picture. So if it's divided up that category by three or four different vendors, they're making assumptions about how much market share they have. I know it all. I can create a model, a pricing model on the reverse. Engineer it. It's really for sales. I'm telling them now why they should give me a great discount for the organization and >> I >> have the ability to actually enforce that and drive the savings that we have for the organization. It also helped them drive their numbers on sales. So it's a mutually beneficial relationship. They have more market share. I drive better value for the organization. It really works well, >> Well, one of the destructor is that you're kind of alluded to Is this consumer ization? You know, when you go to buy >> a car these days, you just walk in there. You have as a as a buyer of the consumer oven automobile. You have access to every piece of information possible, the whole transaction process. The sales process is different. So as consumers in our regular lives, we have so much expectation that weaken, find anything good Amazon, find anything that we want, get it delivered tomorrow and have all these information on what? Where's the best place I could get it? Who's selling it for what? How is this person that you know, more trustworthy supplier So this consumer ization element and how it's changing the role of the CPO in the CFO is >> really revolutionary. >> It really isn't so you think about it. Most of us go out to Amazon by something, and really the only control there for me, for example, is my wife has to approve it, right, so that's the only veto authority. So that's really the only difference between the two platforms. If you think about it is, there's controls in place, so you're doing the right thing. But from an end user perspective, if I go out there and find the right item and again in Amazon, I don't to go find the supplier. I don't know if that be on contract. Why don't you do that work? We shouldn't have to. I should just go out there and say, I need this And in the background, Cooper is working all those things, presenting the right products on the right contracts, driving right value and almost is important, minimizing the risk. So across all those different lenses, you see why the value of Cooper is for the end user. They're getting what they need for the organization, for the company we're reducing risk and we're increasing value, and then you have rich reporting on the back end. So it's just it's a great way of doing business. It really is taking what you used to do or what you do. It's Sunday afternoon like Rob, you say Monday at work, and I think that's really powerful thing of perspective. >> It is. And it can be so impactful if applied in the right way with an organization, whether it's a manufacturer or hospital or retailer that has a culture that is willing to embrace change, right? I mean, there's that right, Especially >> get him to get your >> perspective on when you're implementing Cooper at a large organization. Maybe have been around for many, many years versus maybe a more modern that we think might be more nimble organization. Culturally, Do you see massive differences in how they're leading procurement, and are you able to sort of level the playing field and show them doesn't matter what your culture is? Here's how your business, your body. >> So from a change perspective, I think there's a different perception. The newer, nimbler organization believes that they changed easy, but it still may have people the older organisation again still made people most people don't like to change. What I have learned is if you help them understand the value of it, how they're doing it, how their jobs are going to change and give them the tools to do it. Some people are gonna be early adopters. But finding that one person, the organization, no matter what level they are in that business unit or in that department that has that informal voice that people look to naturally, that the Nazi leader who's in a leadership position with leader from a personality perspective get them on board. And sometimes that's the hardest thing to do. They might be the most changed resistant, but was that person flips, They become your greatest greatest advocate out there. So it's a personal thing. This is hard work. That's why I talk about in our sessions, is going through. This requires a lot of work, but it's worth it. You can measure the value on the end that you got help. People understand why you're going on this journey and have have resource is there for help. >> So what were some of that? You said you did good Q and a session during your break out this afternoon. >> Tell me some of >> the things that that some of the audience said that you thought was really like they're getting it, >> Yes. So the whole point of our session was going live is not really the goal, right? That's just >> a guess, the exact right. >> And so most people focus on going live, and the answer is congratulations. You purchased the product, Kuba, and now it's working. So what? You don't have any real data? What do you do in the future? Some questions were as they're going through Supplier Neighborhood. The shift between procurement now taking a larger role in the relationships with the vendors. Well, that's great. It should be a balanced relationship. You know, there's a procurement role in that. And then there's the end. Users are the people in the organization from the business. You have to relate with those suppliers, so work together. If you were together in the past now it's a great time to do that. There's some other questions about if something is not working correctly. Post go live how quick It's not broken, but it could be optimized or you're getting complaints about. How quick should you change it? The answer is, I don't know, measuring yourself. I mean, obviously it's broken. Fix it. But it might be something around change. And maybe you have to help people understand why they're doing this new process. If people are giving feedback positive, negative, mostly native, was positive. We just go off our way. Welcome to Yelp. But if it's negative feedback, listen, don't get offended, understand that perspective and then measure it. Say, Is this something that we did is saying the platform, or is it just changed and work with it? What I tell our clients to is in Cooper, Just cause you can doesn't mean you should. I mean, that's really easy to build a field custom field, really easy to build, custom approval chance, really hard to maintain that stuff. So try to do it out of the not out of the box, but configured without as much customization as possible, and they can always improve it, understand it better. >> I think the key to adoption is the more customization that you have. I imagine the adoption funnel gets narrower and narrower. It's got >> interesting, so you customize because you think that's the way the process should go, because that's how we do it today. So if your goal is to take how you do your process today and put into Cooper, also tell clients congratulations. If you had a bad process now you're bad process that works faster. So take the time to say, Let's step back. Companies evolve, right? And so as they're evolving, if you haven't taken a really a view purposeful of you backwards and measure organization, where you're out from a charity model assessment, then you probably don't know where your gaps are. Take the opportunity when you're implying Cooper to use kind of leading practice that Cooper has start with that and said, Going back to what you're doing today, you know what a great example. That's improvers, right? So people like to have 10 approve er's because they think it reduces risk. So if I go back and look and I asked the audience, say, how many purchase order requests rejected? Very few. And how long do people actually have it open when they re prove it? So that's three seconds when they open it up and looked at it, do they really assess it from a risk perspective? Probably not. But if four people ahead of them approved it, that person's just gotta prove it, because I think it's okay because they're assuming someone else is looking at it, as opposed to in Cooper. Now I have the rich data to understand it. I could minimize risk that way instead of trying to do it. And what is a false sense of security? >> So getting people on board with bringing in automation and leveraging like I was saying in the beginning, the 1.2 trillion of spend that's going through the Cooper platform toe leverage that intelligence to not only have Cooper create the prescriptions for companies to be able to go. Okay, we don't we shouldn't your point. We shouldn't take a process that was clunky before and just do it faster. Still clunky, being able to have the automation thing. Analytics. Really, Those core enabling technologies can also be quite revolutionary. >> Absolutely. Yeah, absolutely. So the coop insights now, and you're seeing that measured against others and its mass, but you see how you're doing it, So this is really powerful sitting your goals out there and seeing how you're doing. Adjusting those really question yourself is, if we're not getting is approved in the speed that we thought, How do we do it differently? Right, So and that's nice about Cuba. It is really sounds right, and they really do come out with three releases a year, which is powerful. And so it's always changing, which means you have to be nimble. Understand your organization, adopting the new technologies to come out. They're also looking at their acquisitions and seeing that fits into what you're doing. >> Exactly. Last question for you is the announcement of the expansion of their in the AWS marketplace today and thinking, Wow, the I t person is probably gonna finally all these Shadow I T units that are popping up in finance and marketing and engineering and whatnot. They now have the ability to see and manage the entire software from search to deployment and management through AWS. What advantage is that going to give Deloitte when you're working with Cooper customers on implementation? >> That's probably too soon to say on that one. All the expansions they're having really help us with another tool. Tell clients I would say that there's always measuring the benefit for that client in the risk. So even if you take Amazon, for example, just opened by for Cooper is managing that So Amazon. When they first came out with Amazon for business open by, you couldn't control the categories that were exposed to the client. Now you can, but you can't control the items. So having a process in place, having a category strategy and then maximizing it if Amazon works that client fantastic, AWS is gonna get them or visibility across their platforms to manage those better. Fantastic. I think it just gives another opportunity to bring clients back into Cooper. Have a look at the value for Cooper from an end and solution, and all these wraparound acquisitions are making our expansions with their clients, people pay and all those other pieces out there. It's just another thing for them to have a goal and understand make a decision from their business, whether they're going to use it or not. But there's there's value across the board. Every every client is different, >> Absolutely. But it's also that that consumer ization approach that if you can take a process that somebody does on their own time, whether they're buying soccer balls or pool and bring that to their business life, that consumer ization following them. You think with potential there to transform every industry, every function, every line of business. It's just infinite. So >> truly dot, >> dot dot to me. Continue. Absolutely Wish we had more time. But Max, thank you so much for joining me on the Cube today and talk doing talking to me about what's going on at Deloitte and congrats on having us standing. You're only sessions. That's good, right? Take for Max Ground like I'm Lisa Martin. You're watching the Cube from Cooper Inspire 19. Thanks for watching.

>> Boston, Massachusetts. It's the queue covering W T G transformed 2019 Accio by Winslow Technology Group. >> Hi, I'm Stew Minutemen And this is the Cubes. Third year at W. T. G. Transform 2019 which is the Window Technologies Group, Their user conference. Longtime compelling customer, of course. Compelling, bought by Del del Body M. C. So it's now the deli emcee user event and to help me kick off a day of content where we're gonna be talking. Toa some of the W T G executive some of their customers and some of their partners is first time guests on the program. Joe Batista, Who's a Creek and easy chief creative, apologised at Del Technologies. Joe Appreciate you making it all the way in from the suburbs to come here to downtown Boston in the shadow of Fenway. >> It was a long haul this morning with no traffic of 5 30 35 minutes in. >> Yeah, a Zeiss safe for the people. Adele. It's about the distant from Boston Towe where we live as it is to go from Austin to Round Rock. So >> there we go, >> you know, similar types of things. So I have to start create apologised. A song. You know, I did a little bit of reading and, you know, having watched Aquino, it's, you know, sparking that creativity. So I love the idea of it. You've had this title for quite a while since before you Riddell just give us a little bit about background of you know what you do, and you know why you're qualified to do it. >> Well, it was quite a fight. It's a fun brand, but literally. It sits at the nexus of business and technology, and my job's simply is to help it re image the business, because now every company's a technology company. So what does that look like? So I get involved Also, it's a really cool problems, opportunities that customers are facing by re imaging it >> well, it's funny that you say re image, because when I did my history, the oldest thing I found some article from the nineties talking about somebody from Polaroid that that title and I was actually talking to some of the young people in the office there, like everybody's using Polaroids. There's these days, it's cool. It's true. They're doing it. So what's old is new again. You know everything come back together. So luckily, you know our industry. I mean, nothing changes, right? You know, it's the same now as it was 10 years ago, 100 years ago. You know, I'll just go into the factory and pumping things out now. >> Still, you know, I've been a referee a long time, and in the old days we had swim lengths, right? You know, you thought about certain vendors. They were in swim lanes. Now, today, with the influx of cash, as I was talking about, and the level of it of even innovation cycle time and how the industry's become more fragmented with lots of products, the complexity index has increased exponentially, and the velocity around that complexity is even more accelerate. So, no, it hasn't gotten easier. It's gotten more difficult. >> Yeah, fascinating. Actually. I just heard a segment on our national public radio station here in Boston talking about that. One of the biggest changes and how people think over the last few decades is we're better at recognizing patterns. Used to be, we could be an expert on something and do our thing, you know. We know the old trope is well, you know. My grandfather, you know, worked at a company for 30 years and did his same thing today. Things are changing constantly. You know, we didn't have, you know, the power of a supercomputer in our pocket, you know, 10 years ago, you know, let alone even older. So, you know, this is a user conference. So you know what air they did do. I mean, if if I understand, if I'm, you know, making a decision today for my business. And oftentimes that decision is something I need to live with for a while. How do I make sure that I'm making the right decisions That's going to keep me, you know, you know, keeping up with the competition and keeping my business moving forward as things constantly change. >> Yeah. So there is no easy answer to that question. There's a couple of thoughts and hasn't said in the presentation. You gotta look at these vectors that impacted trajectory of the thinking. And I love the Peter Drucker coat. Right. If he using yesterday's logic probably gonna get in trouble, you have to rethink the logic. In the example I gave you was the high jumper and how we did high jumping before and after 1960. So? So the question becomes one of those vectors, and I went through some of those vectors to help people think about, Okay, I do. My analysis on technology, that's all good. And, uh, tell technology you got a huge portfolio of technology. But how do you think about the perimeter? About how those things change over depreciation cycle. So is trying to add a little bit more color in there, thought processes. And I got a lot of post questions afterwards and a lot of engagements. So it seemed to resonate with the field. And I'll tell you what. The thing that they like the most was the business conversation off. They're like, you know, we don't do that enough. >> Yeah, right. I mean, you know, when we look at the successful companies today, it is not, You know, we've been talking for years, you know? Does it matter? Is it just a cost center? And it needs to be if it isn't helping the business drive forward and responding to what the business needs, uh, you know, could be replaced. That's where we got. Shadow it. It's It can't be the nowhere the slow needs to be. When the business says we need to go, you know, get on board and drive. I love one of the analogies you used is, you know, in this world of complexity, there's so many things out there, You know, when I've worked with, you know, enterprises and small cos you look at their environments and it's like, Oh my God, it's this Hedorah genius mess, you know? How do we standardize things? How do we make things easier? You had a fun little analogy talking about space. Maybe, maybe. >> Okay, that was good. I always try to use visuals as much as possible. So high, high, high light with challenges. So the challenge was, Oh, actually have it in my pocket. So they pulled this out and basically what it is. If you look at the international space shuttle, that's the only thing that they need to fix anything on Specialist 7/16 inch socket or the millimeter version of it. I can't read. Excited my glasses on to fix anything. So imagine if I had one tool to fix anything that's Nirvana. That's not reality. I have to fatigue. So I need to get to that simplicity. Its glasses law remember, every 25% increase in function shin is 100% increase in complexity. And that's public enemy number one for us. >> All right, so So you hopped on board the Dell family relatively recently, when most people think, Adele, it's well, you know, Delpy sees, you know, talk to my you know, my parents. They're like they know Dell computers. They've used them forever. You're talking most people, you know, Del servant. Like you talked a lot about your presentation software is eating the world. Give give us how you know where Del fits in that software was eating the world picture. >> Well, what I can tell you, though, is I was absolutely amazed when I did my due diligence about all the innovation that happens in this company. Phenomenal not only about the hardware but the soft. And I think actually, Jeff said it best. I think we have more software engineers now that we have heart hardware engineers. So the pivots there, we're pivoting our talent, the software, but it's the innovation that's in this company. And I think I kind of rattled off a couple of statistics by how much we spend the quantity of I p that we have. And I think customers are amazed at that innovation. But the supercharger on is okay. How does the innovation apply to the business mechanics of the company? And what value do you extract from it? And that's where the whole language and conversation usually happens with us. I will tell you, though, I'm really excited that Del Technologies kind of doubling down on business outcomes. They're really trying to change the culture and helping customers understand what the technology >> means. Yeah, one of things that struck me. I've been to this event now for a couple of years, and, you know, there's a lot of product discussion here, you know, when you get down to the channel, it's like, Okay, great. You know, I'm doing a server refresh. I'm looking to things like hyper convert, you know? What am I doing in my network? You know, when you up level things a little bit, You know, when I went to del World, it's like, you know, we hear about the venture, you know, activity that's happening around and things like coyote coming down the pipe. But How does that trickle down to the customers? That talking event here? It's great to talk about innovation, but, you know, I got to run my business. You know what? You know. Where does Del fit in that picture >> for you? Got it? Well, it's a custom you got to do both, right? So this has got to be a shift, because now I have to think differently, right? I know how to do feature analysis and benefit analysis of a point in time product, but what's the periphery of activities that inspecting, impacting that decision? Does that architectures scale? What are the economics around that? So you need to think about all those things. And I think it's just a journey for not only us as a vendor, but also for customers as well. >> Okay, so you're relatively new in today. L I want to ask you You gave a great quote in your presentation from from Jack Welch. Er said if the rate of change outside the company is greater than inside the company, the end is near. >> I would say the post. >> So, you know, explain to us the pace of change inside of del technologies. >> Well, you know, that's That's a That's a big question. I mean, piece of change varies by organization by business unit I really can't comment on your individual business units, but I will say, though there's a definite desire toe. Understand? We're customers interested. He is there. So what's the customer trying to dio? And then how do we satisfy the customer request? It's a matter of fact. I don't know if you know this and it was amazing because that's what the customer the other day, you know, Stevie Awards. Which a customer satisfaction, which we double down on customer satisfaction. We have a customer chief customer officer was Karen, and we just won 15 Stevie Awards, which is about customer satisfaction. So I think there's a slow shift, but there's a real focus on customer Central City. For us, the velocity will get there. But if you put the customer at the center like we do, that's a winning strategy. >> Yeah, well, yeah, we know Karen Kim does quite well, you know, culture and working with customers. You know, quite dio you talked about the portfolio of companies and l We know Del Bhumi quite well. We've done their event in the team were well, and you know, VM wears no slouch in the industry. I've had one of the pleasures of my careers. You know, I started working with him. Where when they were, like, 100 person company. No, watch them grow and pack. El Singer, I think was just named like the number one number two, you know, CEO work for employees by employees from glass doors. So, you know No, no slouch on the the venture family. So congratulations, toe Dale family on all that. >> Thank you very much are exciting. >> Joe Batista. Thank you so much for joining me here at the W T. G. Transformed 2019. Pleasure to catch up with you. Appreciate the opportunity. All right, so we're here with customers, the executives, and digging into all the industry trends. Of course. Check out the cute dot net for where we will be. And, uh, I think it was always for watching the cube