>>The cube presents HPE discover 2022 brought to you by HPE. >>Okay. We're back to wrap up HPE discover 2022. The Cube's continuous coverage is day three. John furrier, Dave ante. We had a business friend that we met during the pandemic. A really interesting gentleman, norm Ette. He's the director of global technical marketing at Hewlett Packard enterprise, a real innovator norm. Great to see you. Thanks for making time for coming on >>The cube, gentlemen. Thank you. Thank you. I appreciate that. You're giving me the opportunity to bring it home. Yeah. You know, if I'm only gonna get one shot at it, it might as well be >>The last we always, we always like to bring the energy in the last segment because you know, the cube, we grind it out for three days. I mean, it's just such a great content injection. And so we love to wrap it up, especially with someone like yourself who can really help us convey the themes, but even more so when we look around here this entire ecosystem, you and your team built this. And so take us through that. >>Well, we did, you know, and it takes a village. You know, we have the core team, HPE global technical marketing, uh, which is my team. And then of course we're partnered with other parts of the, our marketing organizations on different pieces, different aspects. And then we have a tremendous team of vendors that we work with on a regular basis. Companies such as, you know, F two B and ivory and others that, you know, really kind of pitch in. And they're, they're kind of my, I call 'em my flex force. You know, we also have another group called promote live and we bring all these people together. And, and in addition, all the vendors, we have something like 380 employees that come from all different parts of the organization to, to land in Las Vegas, to man, these booths and staff, these, uh, staff, these exhibits. >>And so for one week, we get to really work as a, as a, a team, as a family, you know, there's no organizational borders, so to speak, you know, you know, we're a big company, everybody has, you know, different objectives and different things that they're focused on, but we get a chance to all get together and work as one, one team. And so that, that the people aspect is what's so exciting, I think this week. And I think I even saw some of your broadcast earlier. So I think it kind of, it kind of came through as well. Just the joy of, of being together, you know? Sure. Human beings <laugh> >>And, and H HP's got a new spring and its step, which so much focus brought to the table from Antonio and, you know, the team is the lining. >>Yeah, we do. And that's, you know, when you go, when we start talking about the design and you know, one of the things that, you know, we work on this months ahead of time. Yeah. Right. And so it's kinda like a spinning top, you know, we, we, we keep, we, we keep spinning that thing tightening up and then this week you put it on the table and just let it go. Yeah. Right. But it's that whole multi-month process of, of, of twisting that top around and getting it going and right at the middle and right at the centerpiece. And, uh, the core design principle and an ask from, uh, Antonio is that we make sure that we major on HPE, uh, GreenLake edge to cloud platform that, you know, it, it's a, obviously you've been talking about it all week. Yeah. Uh, we've been talking about it all week. It's a big focus of our company. And so right at the very center, we have our HPE GreenLake edge to cloud platform demonstration, and then everything in the showcase then radiates from that centerpiece, uh, you know, right, right. At, right at the nexus of all the activities. So the experience starts there and propagates its >>Way. Well, I wanna get into some of the themes and the set pieces you have here. Um, you are in technical marketing and this platform is a tech play. So it's not so much just solutions that you're enabling the theme this year is very much technical marketing. So there's edge, especially cloud data and edge is the big themes security's baked in throughout the whole set, right as well. And that messaging, but it's technical marketing right now. We had, you know, platform play uett packer is a platform. Google packer enterprise is a >>Platform. It is, and it's a, it is a, it's a software platform. Um, you, it, it really completes a cloud strategy. And when you really think about it, I, again, I know some of these numbers have been floating around. Um, but, uh, you know, 70% of all data is still staying OnPrem for good reasons, you know, and then 30% of it can be out there in the public cloud. Uh, so what you kind of have is an incomplete cloud strategy, if you will. And what's happened is that organizations have gotten spoiled a little bit by the cloud experience. Mm-hmm <affirmative> right. That, you know, I, you know, your, your dev teams say go, Hey, I just, I wanna work in a Azure. I wanna work in AWS. I love how I go through this process. Why can't I do that with my on-prem stuff? Why, you know, why, you know, I want that kind of experience. So it organizations are really being challenged about how to create that, that kind of service and that experience to their customers because expectations are not because >>Data ha it has to be inclusive. It can't be exclusive to just one part of the organization. >>Yeah. And so how did you, how did that impact obviously, cause GreenLake was coming together, you know, you got the multiple months in advance planning for this big event, right. A lot of lot work goes into it. What was some of the impact to the execution of this event, um, that you can share in terms of the set pieces? Some of the displays was there was there, I won't say radical cause it's not radical. It looks, it turned out great. But what are some of the popular things happening here? What worked, what resonated with customers and what was different from, from, uh, that GreenLake enabled you to do differently? >>Well, I mean, first the first thing is that we, we kind of had a high touch experience at that center point, right. That nexus, the hub of the activity, the GreenLake edge to club platform, uh, demonstration. And it started with us just kind of, you know, having the strategy about first of all, if you sh, if you guys show this and I know, I think maybe you have, when you enter in, we've got like this big aha moment, right. And that aha moment is that platform right in the center, surrounded with wonderful visuals above, below, you know, behind, uh, all around it. But we, we, we had to think about, okay, now I'm staring at this thing. What am I, how am I gonna experience it? So, uh, when I say a high touch experience, we start with a, what I call a platform generalist that would greet you up front, engage in the conversation, you know, so realize that, you know, Dave is a network operations director, he's got some keen interests. >>He has some sort of peripheral idea about what the, uh, HPE GreenLake edge cloud platform is about, but what can it really do for him? You know, what can do, what can he use? How can he use it? So we start at that level of conversation, you know, socialize the core services, the attributes, you know, the, the technology that is actually enabling it. And then as we've identified in our conversation that you're a network geek, you know, and you want to understand, you've heard about Aruba, you know, how's Aruba central play into that. How do the networking services play into that? And so for then we take that, that, that big leap and go up two steps up onto the platform. And we go over to the network specialist, what I, what I'm calling a platform specialist, uh, who understands all the things about the platform, but then is peaked in networking. And we have that conversation and you see how the Aruba customer can benefit by this evolution, uh, and how the different platform services combine to give a holistic experience across a company. And so when I'm an it ops director, and I'm trying to service my network, guys, my storage guys, my compute guys, my external cloud services guys, that this is an environment that I can, so you >>Have an experience where they come in, they can easily move to a point quickly in the display, on the platform >>And it's tailored for them. Exactly. Right. Exactly. That's the exactly. Right. And so if I transition over to you, you know, and you're my, you know, you're my specialist, you know, you're not saying, Hey, Dave, what brings you here today? What are you today? <laugh>, you know, I, I mean, you're prequalified, it's a prequalified conversation. We jump into it. And then that specialist is armed with knowledge as to where, okay, this guy is really interested in switching technology and switches as well. Well, that's demo five 12. Mm-hmm <affirmative>, you know, let me have one of my colleagues take you over there. So then you're, you're escorted over to demo five 12 to go to the next level or perhaps, and this has happened throughout the week that people want to take a test drive of the environment. And so we have the HPE GreenLake living lab, and we have a, a test drive environment right there. >>And so we bring you right to that test drive, where you can, you know, kick the tires yourself, you fire up a live environment. We have a series of exercises that you're taken through. And, uh, I think I've just checked with one of my colleagues where like, well over, you know, well, over 1100 experiences of people doing that here. And that lab has 25 seats, but also externally. Yeah. So right off of hpe.com, that same test drive experience that we're doing here. People can launch at home. And so we got in this morning, there were like four guys logged in from New Zealand, you know, doing exercises, which is pretty neat. So, so when you ask me the question, what are the design considerations, uh, that HPE GreenLake that we baked in and thought through it's again, that, Hey, it's a, it's a big thing. Yeah. It's a big, it's an experience. Let's start with you just digesting the, you know, the comp basic concepts. Then let's talk about your persona and how it directly maps to what you can do. And then if you want to get deeper, you know, we have the solutions that we design behind it, solution demos, and, and if you wanna drive it, let you know, buckle up. Let's >>Go. Yeah, you get right to a spot, multiple monitors, great experience, high touch. Um, that's awesome. I gotta ask you another question. Cause you've been, you know, pre pandemic, you've been doing a lot of this technical marketing and events and then virtual hit right now. We're back face to face, right? It's clear, Dave and I were just talking about our, on our opening day, year on day. One, people love to see each other back. Every event we've been to face to face. People are energized to a level. We didn't even see. What are you seeing here in terms of performance? Obviously, you got sales people here, you got executives here, you got customers right. Face to face, right. >>Doing belly to belly, >>Belly to belly, as Dave says, that's a positive, what's it like, explain what it's like. >>Well, I mean, you don't, you never know what you got until it's gone, right? >>Yeah. >>You, and so people didn't really realize that, Hey, we really needed to have this kind of touch and this, this kind of activity. And it was funny because people be before the pandemic, there was also a push to do a lot of virtual stuff, you know, economies of scale. Yeah. You know, some of that stuff works. Teams are making decisions, but then it all goes away and people realize how valuable, you know, just the conversations were, you know, meeting >>Somebody, relationships, meeting >>Somebody for a coffee, you know, talking through different bumping into colleagues than that. You haven't seen for years, or you worked with somebody and now they're doing this. And then you realize you have some sort of synergy with each other and you know, you can still help each other. And just the, just, you know, just the discovery <laugh> of being at discover, you know, and running into these different types of things. So, uh, well >>You think about it norm, you know, we, we've done plenty of stuff virtually we have, but I think we've talked maybe four times this week. Yeah. You've seen you here walking around the hallways. We saw you last night, right? Yeah. You just, that just wouldn't happen in your little virtual >>World. Yeah. I mean, not at all. And during that virtual era, and I think we'll look back on that and we're still gonna do virtual stuff >>Course, and we're learning, >>It's got value, but I just want to thank you guys for just being the cube and the whole team, you know, Frank, everybody just tremendous partners through that because you can still look at that content that we produced together last year and it's still relevant. We're still sharing it. It still has impact. We, we point, you know, we tell people, Hey, here's call to action. You're leaving. Discover by the way, there's these three or four pieces out on the cube that really go with, go at this topic. >>Right. That GreenLake event we did last year was phenomenal. >>It was, it was, and it was a partnership with you guys. And I, I, you know, I, I speak on, on behalf of many of my colleagues here at HPE, we just wanna thank the cube for all the support, creativity, uh, and how we got through that >>All together. We we'll back at you because norm you were a real innovator when John and I first met you, we were like, Hey, this guy, actually, he's gonna, he's gonna push us to some new levels. Technical >>Marketing know >>That's our, our team marketing. Like our team was a little nervous, a lot nervous actually, because you know, you do, you are not only demanding, but you're super creative. Well, thank you. And so you, you helped us, you know, up, up our game. >>Yeah. Thanks a lot. Yeah. You know, Frank was getting, Hey, Frank, Dave, can you guys do this? You >>Know, so yeah, we were on the background. >>I mean, but we were, we were growing and surviving and thriving together and getting through it, but what's coming out. The other side now is a new format. You mentioned virtual. That's not going away. Hybrid is a steady state for all of us. Even the cube. Yeah. So the new protocols and the new standards are emerging. And I think the newness of it scares people also like how do you do it? Um, who, whose role is it to take the virtual and digital? So this whole new set of experiences still coming out. Yeah. What's your vision? How do you see this? Cause we're face to face clearly is what everyone wants from school kids to adults. Right. We want face to face. Right. How does digital fit in? >>Well, I mean, that's, that's a, that's a really tricky question. I'll give you a, a, I'll kind of back into the answer a little bit. Um, you guys can see this, right, right behind us. We had this whole backdrop here, greetings from the edge of virtual reality experience. Well, we built that. We built that during the COVID era, so we could have experiences with people remotely. Right. Uh, and we used it for our executive summit, you know, last year for the virtual discovery, we shipped those Oculus headsets to everybody. They, everybody jumped into it. And so I was sitting there being a host, you know, with four CTOs that were scattered all over the world. So we were in cyberspace together. Right. And so of course being good, uh, you know, good business people we realized, Hey, this is pretty fun. So let's dust it off and bring it out here for the more general public. >>So again, it was like a 200 person, you know, uh, executive level experience and all of that, but it had tremendous value, different types of experiences. I recommend you try it if you ever have the opportunity. Um, so that's a way that we start emerging virtual reality and digital experiences to try to keep that human connection, but now we're using it again. And everybody's in these little pod rooms, six of them together. So they're having this experience in cyberspace and they're having it physically. Yeah. And so I think some, and everyone's enjoying being together and still in cyber space together. So I think when we start to build assets and we start to look at different types of things and experiences, we gotta think, we, we gotta think through that now. Right. You know, how is this, how is this investment or this, this experience, how's it gonna translate, you know, outside of these four walls, right. And how can we use it outside of these four walls, uh, and create, you know, a more engaging experience. So that's a little bit of a backing into that answer, but I think I'm, I'm, >>It's emerging. It's >>Important. Well, I'm saying it more as an example of us thinking through and trying to leverage. Yeah. >>I love it though. I mean, you always, you've always been struck me as a visionary and I, I loved that answer and I can just see, it's just gonna progress by the end of the decade. This is gonna become right. Uh, a a, you know, a normal sort of practice, and we're gonna bring people in from the outside and interacting. I love what you were saying about, yeah. Even though we're here physically, we're actually creating a virtual world within this physical pod. We are. Where can people discover more about that? About, about, about the shows, the content that >>Was here? Well on hpe.com, you can just launch into discover. We have a tremendous amount of content that's been recorded, keynote sponsor sessions, the cube they're dialed in all kinds of different pieces of assets that we've done. Um, I'll plug just another couple of things just to, again, to talk about the connectivity of things that we're doing. So one of the projects that I lead, uh, I am very proud to lead is HPE space born and our space born computer space, born computer two, flying a most powerful machine, uh, computer to ever fly in space. Uh, we've been up there for a year. We've done 24 different experiments over the year to, for the benefit of the entire scientific community. Um, also, you know, doing things for the ISS national lab in NASA, our partners up there, but what we've got is we've built a scale replica of the Columbus module, right? So this is, you know, this is a 28 by 12 foot module. Hey, we're bringing her home seriously. >>They're gonna pull the plugs. They're gonna pull the >>Plug on me soon. Right. So anyway, so we have that module built, right? And this is, uh, we work with a Hollywood production company. We've had it before, but you know, we we've customized it. We have a live link to the ISS station in there. And, and so we're talking about everything that we're doing there, but also in this virtual reality experience, we have you going on a space walk, right. And so we've, we've captured that as well. So we've, we're tying this physical and virtual experience together. Uh, and, uh, so it's a fun project. So you can check that >>Out. We did exit scale together during the pandemic, and that's when I first really got into to space point. It was awesome to see frontier announced actually breaking through the exo scale barrier. We, we were on the cusp, but we, we now see it breaking through. So, yeah. Congratulations on that. Thank you >>Very much. And, you know, a couple, you know, just couple other things that we're doing, that's pretty exciting. I don't, I don't wanna give away all my tricks, uh, but you know, we've organized our demonstrations through the customer lenses. So we have these customer journeys that we see people that are using our technology, you know, so I'm, I'm not talking about the storage business unit or, you know, the networking business unit, but how are our customers really trying to, you know, advance AI and machine learning, for example, how are they actually trying to, you know, protect their data? You know, the different things, the business issues, the business issues. Yeah. And so we've organized our demos through that, and we have these, these pods and then satellites, and you, you, you give you walk through that whole thing and it's addressing different aspects of that. >>Um, and then another thing that we've done is we have tours here, uh, as well, where, cuz there's so much content that people can take tours and you know, 1400 people have taken those tours. Uh, you know, and these are guided tours, headsets, curated, big numbers, designated places to go. And we see big traffic the first day or so and by design. And so we hit the highlights and then they decide how to use their valuable time later in the showcase about what they want to deep dive on. And so that's been a tremendous success for >>Us. Well norm thanks for bringing us on the tour of discover. Yeah. Well and really, you know, sharing that with our audience and you've been an awesome partner. And as you say, a great innovator, hope I can't wait to see what's next. All right. >>You so much. Hey, thanks for letting me on here guys. Welcome to our pleasure. I'm somebody I made. You're a Cub >>Alumni alumni. You're alumni. Welcome to alumni. So >>Guys great. Our week. That's a wrap on on day three, uh, Dave Valant day, John furrier for Lisa Martin. Don't forget to go to Silicon angle.com where we've got all the news, all the interviews that we've done this week, get written up and posted on Silicon angle.com. The cube.net I publish every week. Uh, my breaking analysis on, on, on wikibon.com. It's on a podcast. So check that out. Thanks to everybody. Thanks for the crew. Everybody back at the office. Really appreciate it. Great job. And we'll see you next time. All right.

hey everyone this is thecube's live coverage from los angeles of kubecon and cloud native con north america 21 lisa martin with dave nicholson we're going to be talking with the founder and ceo next of cloudnatics rohit seth rohit welcome to the program thank you very much lisa pleasure to meet you good to meet you too welcome so tell the the audience about cloudnatics what you guys do when you were founded and what was the gap in the market that you saw that said we need a solution so just to start uh cloud9x was started in 2019 by me and the reason for starting cloud netex was as i was starting to look at the cloud adoption and how enterprises are kind of almost blindly jumping on this cloud bandwagon i started reading what are the key challenges the market is facing and it started resonating with what i saw in google 15 years before when i joined google the first thing i noticed was of course the scale would just overwhelm anyone but at the same time how good they are utilized at that scale was the key that i was starting to look for and over the next couple of months i did all the scripting and such with my teams and found out that lower teens is the utilization of their computers servers and uh lower utilization means if you're spending a billion dollars you're basically wasting the major portion of that and a tech savvy company like google if that's a state of affair you can imagine what would be happening in other companies so in any case we actually now started work at that time started working on a technology so that more groups more business units could share the same machine in a efficient fashion and that's what led to the invention of containers over the next six years we rolled out containers across the whole google fleet the utilization went up at least three times right fast forward 15 years and you start reading 125 billion dollars are spent on a cloud and 60 billion dollars of waste someone would say 90 billion dollars a waste you know what i don't care whether 60 or 90 billion is a very large number and if tech savvy company google couldn't fix it on its own i bet you it it's not an easy problem for enterprises to fix it so we i started talking to several executives in the valley about is this problem for real or not the worst thing that i found was not only they didn't know how bad the problem was they actually didn't have any means to find out how bad the problem could be right one cfo just ran like headless chicken for about two months to figure out okay i know i'm spending this much but where is that spend going so i started kind of trading those waters and i started saying okay visibility is the first thing that we need to provide to the end customer saying that listen it doesn't need to be rocket science for you to figure out how much is your marketing spending how much your different business units so the first line of action is basically give them the visibility that they need to make the educated business decisions about how good or how bad they are doing their operations once they have the visibility the next thing is what to do if there is a waste there are a thousand different type of vms on aws alone people talk about complexity on multi-cloud hybrid cloud and that's all right but even on a single cloud you have thousand vms the heterogeneity of the vms with dynamic pricing that changes every so often is a killer and so and so rohit when you talk about driving levels of efficiency you're not just you're not just talking about abstraction versus bare metal utilization you're talking about even in environments that have used sort of traditional virtualization yes okay absolutely i think all clouds run in vms but within vms sometimes you have containers sometimes you don't have containers if you don't have containers there is no way for you to securely have a protagonist and antagonist job running on the same machines so containers basically came to the world just so that different applications could share the same resources in a meaningful fashion we are basically extending that landscape to to the enterprises so that that utilization benefit exists for everyone right so first of first order business for cloud natick is basically provide them the visibility on how well or bad they are doing the second is to give them the recommendation if you are not doing well what to do about it to do well and we can actually slice and dice the data based on what is important for you okay we don't tell you that these are the dimensions that you should be looking at of course we have our recommendations but we actually want you to figure out basically do you want to look at your marketing organization or your engineering organization or your product organization to see where they are spending money and you can slice and match that data according and we'll give you recommendations for those organizations but now you have the visibility now you have the recommendations but then what right if you ask a cubernities administrator to go and apply those recommendations i bet you the moment you have more than five cluster which is a kind of a very ordinary thing it'll take at least two hours just to figure out how to go from where you are to be able to log in and to be able to apply those recommendations and then changing back the ci cd pipelines and asking your developers to be cognizant about your resources next time is a month-long ordeal no one follows it that's why those recommendations falls on deaf ears most of the time what we do is we give you the choice you want to apply those recommendations manually or you can put the whole system on autopilot in which case once you have enough confidence in cloud native platform we will actually apply those recommendations for you dynamically on the fly as your workloads are increasing or decreasing in utilization and where are your customer conversations happening you mentioned the cfl you mentioned the billions in cloud waste where do you start having these conversations within an organization because clearly you mentioned marketing services you can give them that visibility across the organization who are you talking to within these customers so we start with mostly the cios ctos vp of engineering but it's very interesting we say it's a waste and i think the waste is most more of an effect than a cause the real cause is the complexity and who is having the complexity is the devops and the developers so in 99 of our customer interactions we basically start from cios and ctos but very soon we have these conversations over a week with developers and devops leads also sitting in the room saying that but this is a challenge on why i cannot do this so what we have done is to address the real cause and waste aspect of cloud computing we have we have what we call the management console through which we reduce the complexity of kubernetes operations themselves so think about how you can log into a crashing pod within two minutes rather than two hours right and this is where cloud native start differentiating from the rest of the competition out there because we provide you not only or do this recommendation do this right sizing of vm here or there but this is how you structurally fix the issue going forward right i'm not going to tell you that your containers are not going to crash loop their failures are regular part of distributed systems how you deal with them how you debug them and how you get it back up and running is a core integral part of how businesses get run that's what we provide in cloud natives platform a lot of this learning that we have is actually coming from our experience in hyperscalers we have a chief architect who is also from google he was a dl of a technology called borg and then we have sonic who was the head of products at mesosphere before so we understand what it takes for an enterprise who's primarily coming from on-prem or even the companies that are starting from cloud to scale in cloud often you hear this trillion dollar paradoxes that hey you're stupid if you don't start from cloud and you're stupid if you scale at cloud we are saying that if you're really careful about how you function on cloud it has a value prop that can actually take you to the web scalar heights without even blinking twice can you share an example of one of your favorite customer stories absolutely even by industry only where you've really shown them tremendous value in savings absolutely so a couple of discussions that happened that led like oh but we are we have already spent a team of four people trying to optimize our operations over the last year and we said that's fine uh you know what our onboarding exercise takes only 20 minutes right let's do the onboarding in about a week we will tell you if we could save you any money or not and put your best devops on this pov prove a value exercise to see if it actually help their daily life in terms of operations or not this particular customer only has 30 clusters so it's not very small but it's not very big in terms of what we are seeing in the market first thing the maximum benefit or the cost optimization that they could do over the past year using some of the tools and using their own top-class engineering shots were about seven to ten percent within a week we told them 38 without even having those engineers spend more than two hours in that week we gave them the recommendations right another two weeks because they did not want to put it on autopilot just because it's a new platform in production within next two hours they were able to apply i think at least close to 16 recommendations to their platform to get that 37 improvement in cost what are some examples of of recommendations um obviously you don't want to reveal too much of the secret sauce behind the scene but but but you know what are some what are some classic recommendations that are made so some of them could be as low-hanging fruit as or you have not right sized your vms right this is what i call a lot of companies you would find that oh you have not right side but for us that's the lowest hanging code you go in and you can tell them that whether you have right size that thing or not but in kubernetes in particular if you really look at how auto scaling up and how auto scaling down happens and particularly when you get a global federated view of the number of losses that's where our secret sources start coming and that's where we know how to load balance and how to scale vertically up or how to scale horizontally within the cluster right those kind of optimization we have not seen anywhere in the market so far and that's where the most of the value prop that our customers are seeing kind of comes out and it doesn't take uh too much time i think within a week we have enough data to to say that this service that has thousands of containers could benefit by about this much and just to kind of give you i wouldn't be able to go into the specific dollar numbers here but we are talking in at least a 5 million ish kind of a range of a spend for this cluster and think about it 37 of that if we could save that that kind of money is a real money that not only helps you save your bottom line but at that level you're actually impacting your top line of the business as well sure right that's our uh value crop that we are going to go in and completely automate you're not going to look for devops that don't exist anymore to hire one of the key challenges i'm pretty sure that you must have already heard 86 percent of businesses are not able to hire the devops and they want to hire 86 percent what happens when you don't have that devops that you want to have your existing devops want to move as fast cutting corners sometimes not because they don't know anywhere but just because there's so much pressure to do so much more they don't scale when things become brittle that's when um the fragility of the system comes up and when the demand goes up that's when the systems break but you're not prepared for that breakage just because you have not really done the all the things that you would have done if you had all the time that you needed to do the right thing it sounds like some of the microservices that are in containers that are that run the convention center here have just crashed i think it's gone hopefully the background noise didn't get picked up too much yeah but you're the so the the time to value the roi that you're able to deliver to customers is significant yes you talked about that great customer use case are there any kind of news or announcements anything that you want to kind of share here that folks can can be like looking forward to without the index absolutely so two things even though this is kubecon and everyone is focused on kubernetes kubernetes is still only about three to five percent of enterprise market okay we differentiate ourselves by saying that it doesn't matter whether you're running kubernetes or you're in running legacy vms we will come on board in your environment without you making a single line of change in less than 20 minutes and either we give you the value prop in one week or we don't all right that's number one number two we have a webinar coming on november 3rd uh please go to cloudnetix.com and subscribe or sign up for that webinar sonic and i will be presenting that webinar giving you the value proposition going through some use cases that oh we have seen with our customers so far so that we can actually educate the broader audience and let them know about this beautiful platform i think that my team has built up here all right cloudnatics.com rohit thank you for joining us sharing with us what you're doing at cloud natives why you founded the company and the tremendous impact and roi that you're able to give to your customers we appreciate learning more about the technology thank you so much and i really believe that cloud is here for stay for a long long time it's a trillion dollar market out there and if we do it right i do believe we will accelerate the adoption of cloud even further than what we have seen so far so thanks a lot lisa it's been a pleasure nice to meet you it's a pleasure we want to thank you for watching for dave nicholson lisa martin coming to you live from los angeles we are at kubecon cloudnativecon north america 21. dave and i will be right back with our next guest thank you you

(upbeat music) >> Welcome to the special CUBE presentation of the AWS Global Public Sector Partner Awards Program. I'm here with the leader of the partner program, Sandy Carter, Vice President, AWS, Amazon Web Services @Sandy_Carter on Twitter, prolific on social and great leader. Sandy, great to see you again. And congratulations on this great program we're having here. In fact, thanks for coming out for this keynote. Well, thank you, John, for having me. You guys always talk about the coolest thing. So we had to be part of it. >> Well, one of the things that I've been really loving about this success of public sector we talked to us before is that as we start coming out of the pandemic, is becoming very clear that the cloud has helped a lot of people and your team has done amazing work, just want to give you props for that and say, congratulations, and what a great time to talk about the winners. Because everyone's been working really hard in public sector, because of the pandemic. The internet didn't break. And everyone stepped up with cloud scale and solve some problems. So take us through the award winners and talk about them. Give us an overview of what it is. The criteria and all the specifics. >> Yeah, you got it. So we've been doing this annually, and it's for our public sector partners overall, to really recognize the very best of the best. Now, we love all of our partners, John, as you know, but every year we'd like to really hone in on a couple who really leverage their skills and their ability to deliver a great customer solution. They demonstrate those Amazon leadership principles like working backwards from the customer, having a bias for action, they've engaged with AWS and very unique ways. And as well, they've contributed to our customer success, which is so very important to us and to our customers as well. >> That's awesome. Hey, can we put up a slide, I know we have slide on the winners, I want to look at them, with the tiles here. So here's a list of some of the winners. I see a nice little stars on there. Look at the gold star. I knows IronNet, CrowdStrike. That's General Keith Alexander's company, I mean, super relevant. Presidio, we've interviewed them before many times, got Palantir in there. And is there another one, I want to take a look at some of the other names here. >> In overall we had 21 categories. You know, we have over 1900 public sector partners today. So you'll notice that the awards we did, a big focus on mission. So things like government, education, health care, we spotlighted some of the brand new technologies like Containers, Artificial Intelligence, Amazon Connect. And we also this year added in awards for innovative use of our programs, like think big for small business and PTP as well. >> Yeah, well, great roundup, they're looking forward to hearing more about those companies. I have to ask you, because this always comes up, we're seeing more and more ecosystem discussions when we talk about the future of cloud. And obviously, we're going to, you know, be at Mobile World Congress, theCUBE, back in physical form, again, (indistinct) will continue to go on. The notion of ecosystem is becoming a key competitive advantage for companies and missions. So I have to ask you, why are partners so important to your public sector team? Talk about the importance of partners in context to your mission? >> Yeah, you know, our partners are critical. We drive most of our business and public sector through partners. They have great relationships, they've got great skills, and they have, you know, that really unique ability to meet the customer needs. If I just highlighted a couple of things, even using some of our partners who won awards, the first is, you know, migrations are so critical. Andy talked at Reinvent about still 96% of applications still sitting on premises. So anybody who can help us with the velocity of migrations is really critical. And I don't know if you knew John, but 80% of our migrations are led by partners. So for example, we gave awards to Collibra and Databricks as best lead migration for data as well as Datacom for best data lead migration as well. And that's because they increase the velocity of migrations, which increases customer satisfaction. They also bring great subject matter expertise, in particular around that mission that you're talking about. So for instance, GDIT won best Mission Solution For Federal, and they had just an amazing solution that was a secure virtual desktop that reduced a federal agencies deployment process, from months to days. And then finally, you know, our partners drive new opportunities and innovate on behalf of our customers. So we did award this year for P to P, Partnering to Partner which is a really big element of ecosystems, but it was won by four points and in quizon, and they were able to work together to implement a data, implement a data lake and an AI, ML solution, and then you just did the startup showcase, we have a best startup delivering innovation too, and that was EduTech (indistinct) Central America. And they won for implementing an amazing student registration and early warning system to alert and risks that may impact a student's educational achievement. So those are just some of the reasons why partners are important. I could go on and on. As you know, I'm so passionate about my partners, >> I know you're going to talk for an hour, we have to cut you off a little there. (indistinct) love your partners so much. You have to focus on this mission thing. It was a strong mission focus in the awards this year. Why are customers requiring much more of a mission focused? Is it because, is it a part of the criteria? I mean, we're seeing a mission being big. Why is that the case? >> Well, you know, IDC, said that IT spend for a mission or something with a purpose or line of business was five times greater than IT. We also recently did our CTO study where we surveyed thousands of CTOs. And the biggest and most changing elements today is really not around the technology. But it's around the industry, healthcare, space that we talked about earlier, or government. So those are really important. So for instance, New Reburial, they won Best Emission for Healthcare. And they did that because of their new smart diagnostic system. And then we had a partner when PA consulting for Best Amazon Connect solution around a mission for providing support for those most at risk, the elderly population, those who already had pre existing conditions, and really making sure they were doing what they called risk shielding during COVID. Really exciting and big, strong focus on mission. >> Yeah, and it's also, you know, we've been covering a lot on this, people want to work for a company that has purpose, and that has missions. I think that's going to be part of the table stakes going forward. I got to ask you on the secrets of success when this came up, I love asking this question, because, you know, we're starting to see the playbooks of what I call post COVID and cloud scale 2.0, whatever you want to call it, as you're starting to see this new modern era of success formulas, obviously, large scale value creation mission. These are points we're hearing and keep conversations across the board. What do you see as the secret of success for these parties? I mean, obviously, it's indirect for Amazon, I get that, but they're also have their customers, they're your customers, customers. That's been around for a while. But there's a new model emerging. What are the secrets from your standpoint of success? you know, it's so interesting, John, that you asked me this, because this is the number one question that I get from partners too. I would say the first secret is being able to work backwards from your customer, not just technology. So take one of our award winners Cognizant. They won for their digital tolling solution. And they work backwards from the customer and how to modernize that, or Pariveda, who is one of our best energy solution winners. And again, they looked at some of these major capital projects that oil companies were doing, working backwards from what the customer needed. I think that's number one, working backwards from the customer. Two, is having that mission expertise. So given that you have to have technology, but you also got to have that expertise in the area. We see that as a big secret of our public sector partners. So education cloud, (indistinct) one for education, effectual one for government and not for profit, Accenture won, really leveraging and showcasing their global expansion around public safety and disaster response. Very important as well. And then I would say the last secret of success is building repeatable solutions using those strong skills. So Deloitte, they have a great solution for migration, including mainframes. And then you mentioned early on, CloudStrike and IronNet, just think about the skill sets that they have there for repeatable solutions around security. So I think it's really around working backwards from the customer, having that mission expertise, and then building a repeatable solution, leveraging your skill sets. >> That's a great formula for success. I got you mentioned IronNet, and cybersecurity. One of things that's coming up is, in addition to having those best practices, there's also like real problems to solve, like, ransomware is now becoming a government and commercial problem, right. So (indistinct) seeing that happen a lot in DC, that's a front burner. That's a societal impact issue. That's like a cybersecurity kind of national security defense issue, but also, it's a technical one. And also public sector, through my interviews, I can tell you the past year and a half, there's been a lot of creativity of new solutions, new problems or new opportunities that are not yet identified as problems and I'd love to get your thoughts on my concern is with Jeff Bar yesterday from AWS, who's been blogging all the the news and he is a leader in the community. He was saying that he sees like 5G in the edge as new opportunities where it's creative. It's like he compared to the going to the home improvement store where he just goes to buy one thing. He does other things. And so there's a builder culture. And I think this is something that's coming out of your group more, because the pandemic forced these problems, and they forced new opportunities to be creative, and to build. What's your thoughts? >> Yeah, so I see that too. So if you think about builders, you know, we had a partner, Executive Council yesterday, we had 900, executives sign up from all of our partners. And we asked some survey questions like, what are you building with today? And the number one thing was artificial intelligence and machine learning. And I think that's such a new builders tool today, John, and, you know, one of our partners who won an award for the most innovative AI&ML was Kablamo And what they did was they use AI&ML to do a risk assessment on bushfires or wildfires in Australia. But I think it goes beyond that. I think it's building for that need. And this goes back to, we always talk about #techforgood. Presidio, I love this award that they won for best nonprofit, the Cherokee Nation, which is one of our, you know, Native American heritage, they were worried about their language going out, like completely out like no one being able to speak yet. And so they came to Presidio, and they asked how could we have a virtual classroom platform for the Cherokee Nation? And they created this game that's available on your phone, so innovative, so much of a builder's culture to capture that young generation, so they don't you lose their language. So I do agree. I mean, we're seeing builders everywhere, we're seeing them use artificial intelligence, Container, security. And we're even starting with quantum, so it is pretty powerful of what you can do as a public sector partner. >> I think the partner equation is just so wide open, because it's always been based on value, adding value, right? So adding value is just what they do. And by the way, you make money doing it if you do a good job of adding value. And, again, I just love riffing on this, because Dave and I talked about this on theCUBE all the time, and it comes up all the time in cloud conversations. The lock in isn't proprietary technology anymore, its value, and scale. So you starting to see builders thrive in that environment. So really good points. Great best practice. And I think I'm very bullish on the partner ecosystems in general, and people do it right, flat upside. I got to ask you, though, going forward, because this is the big post COVID kind of conversation. And last time we talked on theCUBE about this, you know, people want to have a growth strategy coming out of COVID. They want to be, they want to have a tail win, they want to be on the right side of history. No one wants to be in the losing end of all this. So last year in 2021 your goals were very clear, mission, migrations, modernization. What's the focus for the partners beyond 2021? What are you guys thinking to enable them, 21 is going to be a nice on ramp to this post COVID growth strategy? What's the focus beyond 2021 for you and your partners? >> Yeah, it's really interesting, we're going to actually continue to focus on those three M's mission, migration and modernization. But we'll bring in different elements of it. So for example, on mission, we see a couple of new areas that are really rising to the top, Smart Cities now that everybody's going back to work and (indistinct) down, operations and maintenance and global defense and using gaming and simulation. I mean, think about that digital twin strategy and how you're doing that. For migration, one of the big ones we see emerging today is data-lead migration. You know, we have been focused on applications and mainframes, but data has gravity. And so we are seeing so many partners and our customers demanding to get their data from on premises to the cloud so that now they can make real time business decisions. And then on modernization. You know, we talked a lot about artificial intelligence and machine learning. Containers are wicked hot right now, provides you portability and performance. I was with a startup last night that just moved everything they're doing to ECS our Container strategy. And then we're also seeing, you know, crippin, quantum blockchain, no code, low code. So the same big focus, mission migration, modernization, but the underpinnings are going to shift a little bit beyond 2021. >> That's great stuff. And you know, you have first of all people don't might not know that your group partners and Amazon Web Services public sector, has a big surface area. You talking about government, health care, space. So I have to ask you, you guys announced in March the space accelerator and you recently announced that you selected 10 companies to participate in the accelerated program. So, I mean, this is this is a space centric, you know, targeting, you know, low earth orbiting satellites to exploring the surface of the Moon and Mars, which people love. And because the space is cool, let's say the tech and space, they kind of go together, right? So take us through, what's this all about? How's that going? What's the selection, give us a quick update, while you're here on this space accelerated selection, because (indistinct) will have had a big blog post that went out (indistinct). >> Yeah, I would be thrilled to do that. So I don't know if you know this. But when I was young, I wanted to be an astronaut. We just helped through (indistinct), one of our partners reach Mars. So Clint, who is a retired general and myself got together, and we decided we needed to do something to help startups accelerate in their space mission. And so we decided to announce a competition for 10 startups to get extra help both from us, as well as a partner Sarafem on space. And so we announced it, everybody expected the companies to come from the US, John, they came from 44 different countries. We had hundreds of startups enter, and we took them through this six week, classroom education. So we had our General Clint, you know, helping and teaching them in space, which he's done his whole life, we provided them with AWS credits, they had mentoring by our partner, Sarafem. And we just down selected to 10 startups, that was what Vernors blog post was. If you haven't read it, you should look at some of the amazing things that they're going to do, from, you know, farming asteroids to, you know, helping with some of the, you know, using small vehicles to connect to larger vehicles, when we all get to space. It's very exciting. Very exciting, indeed, >> You have so much good content areas and partners, exploring, it's a very wide vertical or sector that you're managing. Is there any pattern? Well, I want to get your thoughts on post COVID success again, is there any patterns that you're seeing in terms of the partner ecosystem? You know, whether its business model, or team makeup, or more mindset, or just how they're organizing that that's been successful? Is there like a, do you see a trend? Is there a certain thing, then I've got the working backwards thing, I get that. But like, is there any other observations? Because I think people really want to know, am I doing it right? Am I being a good manager, when you know, people are going to be working remotely more? We're seeing more of that. And there's going to be now virtual events, hybrid events, physical events, the world's coming back to normal, but it's never going to be the same. Do you see any patterns? >> Yeah, you know, we're seeing a lot of small partners that are making an entrance and solving some really difficult problems. And because they're so focused on a niche, it's really having an impact. So I really believe that that's going to be one of the things that we see, I focus on individual creators and companies who are really tightly aligned and not trying to do everything, if you will. I think that's one of the big trends. I think the second we talked about it a little bit, John, I think you're going to see a lot of focus on mission. Because of that purpose. You know, we've talked about #techforgood, with everything going on in the world. As people have been working from home, they've been reevaluating who they are, and what do they stand for, and people want to work for a company that cares about people. I just posted my human footer on LinkedIn. And I got my first over a million hits on LinkedIn, just by posting this human footer, saying, you know what, reply to me at a time that's convenient for you, not necessarily for me. So I think we're going to see a lot of this purpose driven mission, that's going to come out as well. >> Yeah, and I also noticed that, and I was on LinkedIn, I got a similar reaction when I started trying to create more of a community model, not so much have people attend our events, and we need butts in the seats. It was much more personal, like we wanted you to join us, not attend and be like a number. You know, people want to be part of something. This seem to be the new mission. >> Yeah, I completely agree with that. I think that, you know, people do want to be part of something and they want, they want to be part of the meaning of something too, right. Not just be part of something overall, but to have an impact themselves, personally and individually, not just as a company. And I think, you know, one of the other trends that we saw coming up too, was the focus on technology. And I think low code, no code is giving a lot of people entry into doing things I never thought they could do. So I do think that technology, artificial intelligence Containers, low code, no code blockchain, those are going to enable us to even do greater mission-based solutions. >> Low code, no code reduces the friction to create more value, again, back to the value proposition. Adding value is the key to success, your partners are doing it. And of course, being part of something great, like the Global Public Sector Partner Awards list is a good one. And that's what we're talking about here. Sandy, great to see you. Thank you for coming on and sharing your insights and an update and talking more about the 2021, Global Public Sector partner Awards. Thanks for coming on. >> Thank you, John, always a pleasure. >> Okay, the Global Leaders here presented on theCUBE, again, award winners doing great work in mission, modernization, again, adding value. That's what it's all about. That's the new competitive advantage. This is theCUBE. I'm John Furrier, your host, thanks for watching. (upbeat music)

(upbeat music) >> Hello, welcome to this CUBE conversation. I'm John Furrier your host of theCUBE here in our Palo Alto studio. We got a great conversation with the CEO of Lacework, David Hatfield. Who's in on theCUBE remote. David great to see you guys, a security platform at Lacework, you're at the helm as CEO. Welcome to theCUBE conversation. >> Thank you, John. Great to see you congrats to you and the team and all the success. I think what you guys are doing is really important so happy to be part of it. >> Great to have you in the community and you guys are doing great work. I know about Lacework I've done some due diligence on you guys. I love your business model, but for the folks who don't know what you guys do, take a minute to explain who is Lacework? What do you guys do? What's your positioning? And what's your focus? >> Yeah, well, we're a modern data security platform for the cloud. And so I think data science meets cloud security ultimately. The company has been around since 2015. We received one of the largest financing rounds that we're aware of I think in history in security business, $525 million in January. Led by Sutter Hill Ventures which many people may know about they founded PureStorage with the notion that we're going to go fundamentally change and revamp the ownership model for a high speed data storage using flash versus using spinning disc drives. I spent eight years with that company. Love with what we built there. Then Mike Speiser considered an investment in a company called Snowflake computing. I think you're aware of what Snowflake does which is bringing data warehousing into the cloud. And the third big investment that Sutter Hill made is really to help disrupt security, and that's in Lacework. So north of a billion dollar valuation a 300% year over year growth and have a ton of momentum. So at the core of what we do, it's really trying to merge, when we look at we look at security as a data problem, security and compliance the data problem. And when you apply that to the cloud, it's a massive data problem. you literally have trillions of data points across shared infrastructure that we need to be able to ingest and capture and then you need to be able to process efficiently and provide context back to the end-user. And so we approached it very differently than how legacy approaches have been in place, you know largely rules-based engines that are written to be able to try and stop the bad guys. And they miss a lot of things. And so our data-driven approach that we patented is called a polygraph. It's a, it's a security architecture and there are three primary benefits. It does a lot of things, but the three things that we think are most profound first is it eliminates the need for, you know dozens of point solutions. I was shocked when I, you know kind of learned about security. I was at Symantec back in the day. And just to see how fragmented this market is, it's one of the biggest markets in tech. $124 billion in annual spend growing at, to $300 billion in the next three years. And it's massively fragmented. And the average number of point solutions that customers have to deal with is dozens. Like literally 75 is the average number. And so we wanted to take a platform approach to solve this problem where the larger the attack surface that you put in the more data that you put into our machine learning algorithms the smarter it gets and the higher, the efficacy. So eliminating point solutions is his value proposition one. Point two is that we have to be 10 X better than everybody else in the business. Otherwise the merchant companies don't get a breakout and become long and during companies. And so there's a number of different dimensions. The first dimension that I think is probably the most important is efficacy, you know in anomaly detection or in, you know threat detection where you're trying to identify what risks we have in the business. It's, it's generally a very noisy activity. And so rules-based approaches on average will produce a hundred alerts to our one or two. Those, the signal to noise ratio, is, is, you know is a massive a 100x, but call it 10x a reduction. And so we're actually delivering the needle versus the haystack for security administrators and dev developers to actually solve the problem. So it's 10x, higher efficacy it's 10x faster to be able to resolve the problems. And obviously the ROI is, is a no-brainer because you're eliminating all these points which is in having to manage it. And the third, and probably the thing that I'm most excited about what we're doing and what our customers are already realizing is that we're transforming security and compliance teams from kind of compliance into business enablers. when you automate all these processes and you build it into, you know the CICD platforms for the developers you actually enable the developers to write code to differentiate their business, you know to create new customer experiences to get competitive advantage and drive revenue for their businesses. And, and you know that's not what security has done up to this point. We oftentimes, they're the ones we're the ones having to say, no, you know we're slow down or it's too risky, etc. But when you automate that and you increase the efficacy you can enable the developers to do their thing. And it allows the CSOs and allows the security professionals to up level their responsibility into selling and driving revenue. And that is increasingly going to become more and more important for supply chains and partners of these cloud native businesses of how secure am I working with you, etc. And so we think that that transformation of the role of security is going to be as, as meaningful as the technology that we're providing the business. So we're super excited about it. >> I could tell you have so much going on this investment team Sutter Hill, you mentioned big time players huge success track record. Just saw them written up in the wall street journal as one of the best venture capital firms and returns. It's just that the bets are all coming home, but their bet strategy is simple. Disrupting the market that's growing and changing PureStorage, you mentioned company you've worked for, you know people were saying, oh, they'll never get escape velocity. They disrupted an existing, boring storage market changed the game there, security, right for change. A lot of tools, a lot of people have buying tools off the shelf, you know and everyone fighting for the platform. That seems to be the conversation. So I have to ask you, you guys want to be the player that that platform you are, that platform what's different in this platform where everyone's trying to be a security platform, what's makes you different. >> Yeah. So I mean, I think the platform wars are, are clearly, upon us, you know I think what's different about our approach is that we were built on the cloud, for the cloud so we're a cloud native business that, you know runs our business on AWS and everything that we do. We don't have hardware, we don't own data centers. we don't have any of the legacy elements that are there. we use software run on the cloud to enable this. So that's point number one point number two is we did the hard work of mapping the data elements that are out there and adjusting them in and then have this polygraph, you know behavioral anomaly detection, that is it can be applied to today. It's being applied to vulnerability and discovery management and containers and Kubernetes. But over time we believe it extends very naturally to a larger part of the attack server. So we don't have to rewrite the data engine to develop solutions across broader attack services. We already have that, you know so I think our time to develop and innovate will be profound. And I think the third thing that we're seeing companies do and largely the legacy bigger companies is that they're just acquiring their way there. And, it's very, very difficult to acquire 8 to 10 to 20, 30 companies, 30 different CTOs 30 different code bases and try and integrate them to provide a delightful customer experience. And, the parallels, you know in the storage business are, are are pretty similar actually, Dell bought EMC, EMC bought a hundred companies. And, we went after a platform approach to be able to go attack them with a unified file system in a in a unified customer experience that was native for the media that we're working with. We're doing the same playbook here, you know which is you have to have the hard work of the foundation elements in place to be cloud native to deliver great outcomes, great efficacy and and a really great customer experience. So when we get head to head with any of these points coming out and trying to solve something for containers or Kubernetes, or just vulnerability discovery and management, etc, or we're competing with the legacy companies that have, a hodgepodge of acquisitions that they're trying to pull together we went North of 95% of the time. our POC win rates are phenomenal better than anything I've ever seen. We had a pretty good one to appear too. And the, the product and the experience and the efficacy kind of stand on their own once we're in those fights. So part of why we enjoy working with AWS and are really focused on building the partnership together is that it creates awareness of what could be and what possibilities all we want is a shot. And, our approach is such that you can be up and running in minutes, you know and every single one of our customers does a POC. So we'll stand behind our technology as our real differentiator compared to anybody else that's out there. >> Great. You guys had great traction going on with the company certainly saw the investment news that you mentioned earlier at the top. Why did you come on as CEO? And when did you come on and join the team? And what was the reason? What, what, what attracted you to join as the CEO of Lacework? >> Well, I've been involved in the company for since the beginning actually I invested in the early rounds participated on the board and I've always bought into this. The thesis that security is fundamentally a data problem. And if we can get the data problem and the data processing right, you know you can fundamentally change the industry but you need to have a major inflection. And that inflection is people moving to the cloud. And we all have seen it during the pandemic. things are accelerating. AWS just did their earnings yesterday. I think they increased their top-line guidance from 46 billion to 56 billion this year. I mean, it's a machine that is continuing to move forward. They have 30% market share. Azure's investing at 20% GCP still investing people are moving their businesses online aggressively. And as they shift to the cloud the rules-based approach just doesn't work. It doesn't scale. And so a new approach needs to be done. And so by being cloud native and best of breed and solving the thorny problem of this data processing problem first, you know it gives us an opportunity to use that to then extend and build a business, you know at an enduring level over the next 10 to 20 years. And that's Sutter's model, that's their playbook. They don't invest in 400 companies and kind of spray and pray, which is what most venture funds do. And I love them. They're great. And we appreciate the investment in tech, but Sutter's focus is find a really big market find a catalyst for change. In our case, it's moving to the cloud and then build a modern approach. that is 10x better in every dimension. And that attracted to me. I mean, it's, it's a, it's one of the biggest markets in tech and it's one of the most important things that we can do is a digital business is to ensure that we're secure and we're safe and the threats are becoming much more skilled much more deliberate, much better funded. And so the importance for us to ensure that company's security is really tight is, is increasingly critical. So the combination of those factors, and then as I dove back into it and talked to a bunch of customers and talk to partners and seeing the outcomes and enthusiasm that they had and the, the team is phenomenal. And so talking to them, and I just kind of got energized by the opportunity to go build a really important company that really delivers great outcomes. So I'm having a ball great to be back into it. >> Yeah. It's great to have leadership that has experienced that you have and go to the next level because this is classic next level. When you talk about Amazon's earnings and cloud scale and hybrid and edge right around the corner at scale as well. So you start to see that transformation really hit the tipping point, which is changing the landscape on the developer side, which I think is super valuable. I think you hit that. You mentioned core problem. You guys look at that through the lens of data problem. How does this trend of everything going hybrid and soon to be, you know edge core to edge impact your businesses of tailwind? How do you see you capturing that next level of scale from a business perspective for lease work? >> Well, I think that the trend, you know from core to edge, you know, hybrid and, you know ultimately cloud a hundred percent, there we've started with the cloud native businesses. Like, we've been focusing on those companies that are already there, you know and so now we're we just had finished a phenomenal record-breaking Q1 and multiple seven figure deals, you know with very complex global environments where they do have a hybrid environment and they are leveraging the edge. And we're perfect for that. I mean, as you think about what we deliver in its most simplistic context, you know we're effectively delivering a security solution from the container to control plane, right. You know we want to be able to have a granular understanding of operated trillions of data points coming in and those can be collected in the core. They can be collected on-prem. They can be collected in the cloud. Ultimately they need to be collected and then contextualized so, you know and this is where our behavioral polygraph technology transitions data into information that's useful via the polygraph. And so we think that, the complexity that's added with environments that are hybrid environments that are leveraging the edge environments that are leveraging the cloud native all need a control plane to run across that to deliver efficacy, you know, for our customers. And, we work with, you know AWS has their own security tools. Azure has some security tools UCPs security tools, but ultimately, our, our challenge and opportunity is to be best of breed to deliver incremental value on top of that and that horizontal value across it. so customers have choice but they know that their security posture is, is, is secure. And so we, we see it as a tailwind for our businesses as we go forward. >> I always said the companies that have the horizontal scalability with cloud and then have that vertical AI kind of vibe where you can get in the context of the data is there to win it all. And I think that you guys have a great solution potentially there. I want to get more information if you don't mind double clicking on that with me, this is kind of a different take on cloud security because you've got the scalability, which gives you the observation space. And then you got to get the context to get the right patterns or whatever magic you guys have in the, in the secret sauce. But you doing that on top of massive exponential velocity. >> Yeah. >> Where's that secret sauce? Is it in the compute? Is it in the software? What's different about what you guys have in security to give us a- >> It's all in the, it's all in the software. Ultimately, it's the intelligence of how you capture it how you ingest it, how you, you process it but then ultimately how you, how you contextualize it and then how you apply it to different problems. and so the attack surface area and security is a very broad, that's why there's so many point solutions that are out there. And so the breadth of solutions, you know we just want to continue to add solutions and capabilities on top of this polygraph security architecture that allows for the same kind of simple experience, the same kind of 10x value proposition, but, but, but wider. And so we can eliminate more and more of those of those point solutions. So, our, our thinking on it is that, you know we can participate once we have a customer the land and expand motion of what we have. We want to make it really really frictionless for customers to try our technology. And so that's why we do POC. That's why it only takes a couple of minutes and you can do it for just Kubernetes or just containers or just vulnerability discovery and managed like wherever your specific pain point is. We want to help identify what that is, you know give you a chance to try it. And then once we prove ourselves it's very easy to extend that across the board. So we get natural growth in velocity from people moving to cloud and just, you know more usage of, of compute and storage and sort of etc, but breadth of actually the security or posture or a tax service that they have as well. So, you know so I think we have an opportunity to benefit from, from both the depth and the breadth, you know but the value that we're delivering is ultimately the software that we're running on top of the infrastructure. And you mentioned observability, there's a number of companies that are leveraging the data and insights collected in different ways to converge security and observability over time. And, we see that, you know that ultimately there's a very very big security company that needs to be built. That really is best of breed, but the data and the insights that we're providing to our primary customer, which is really DevOps. I mean, it's really the development communities and the builders or who we're changing security for and enabling, in addition to the security teams, you know we think that we're going to continue to drive software that adds value on that data set and it can be applied to multiple problems in the future. So today security is a massive market. We're going to focus there, but it does. It does extend pretty naturally to other markets >> It's a hot market security. Everyone needs to have the latest and greatest and also has to be effective. I got to ask you specifically around startup transition to a rapidly growing company to now you're going to the next level where you're starting to having to get into some serious, big complex enterprise go to market sales motions. So what's in it for the customer. What's the, what's the pain point? What's the customer orientation. What do you marketing into as a solution? Is it the developer? Is it the CSO? Is it the CXO, what's in it for the enterprise? Why Lacework, why are they engaging? You guys get record numbers. What's the, what's in it for them. What's the, if I'm the customer what's in it for me? >> Ultimately efficacy, which is your security posture is it goes up significantly, simplicity, which is makes it easier for you to do your other jobs, you know and I'll have to look for those needles in a haystack and ROI, you know which is it's just compelling, and much, much more efficient than what, what you're doing today. So that that's a pretty universal value proposition and applies to cloud native businesses that are high growth that applies to government agencies. It applies to a large complex enterprises. We have a wonderful kind of go to market motion right now. I think Andy Byron and the team who've been here have really done a wonderful job of really making the customer buying experience and the journey really efficient, you know and help them quantify the impact and the risks and then deliver value. And I think, that that applies in sort of the commercial mid-market and cloud native space. And like I mentioned, we had, a number of deals in the quarter that were seven figure deals, you know in very complex organizations with massive demands. And, you know it ultimately selling is a team sport and, you know and still having the process and the rigor, that's there fine tuning that to make sure you have the people and the partnerships, you know, that deliver solutions in the way that customers want to buy them and then ultimately deliver a value proposition that is just unquestionably better. And I think we have all of those elements, you know we'll be entering the, the large enterprise very aggressively in the quarters to come. I that's where I've come from, you know running a multi-tool, you know, kind of go to market engines where you've got mid-market commercial enterprise large enterprise government across all geographies is, is really fun to expand. And, we're we're hiring as fast as we can maintain quality, you know? And so we're out of that startup phase now and entering into real scale. And, I think that, you know in the AWS marketplace I think we're the number one startup vendor. If I, if I got my facts, right. for, for private offers, we're one of the top security players and top 50 ISBs in the marketplace overall. And so in order for us to get the motion we need to make sure that we're delivering our value in the context of how companies want to buy it. And people want to use AWS credits, you know to apply to their solutions. And so it's really important for us to make that frictionless buying experience occur. And so we're excited about it. I think we've got a really nice start and it's the fun part of building companies, which is how do you attune things to make sure you're making it really really easy for the market to absorb your technology. And then once you're there, delight the hell out of them and just make sure that, that there's that they're excited in our, our net retention rates are the best I've seen in the marketplace. Our net promoter scores, you know, are in the high fifties low sixties, which, which is fantastic in this space. I think it's best in class by order of magnitude some players, big SIM players that are out there, you know have a customer in net promoter score of four. You know that means 96% of the people or 96 boats that says they wouldn't recommend the solution to their, to their peers. So, at pure, we've got this at scale. So from 70 to, in the, in the low eighties I think we have the opportunity to do the same thing here. So, combination of tailoring the motion that we have making it really easy for the buyer to buy what they want with whom they want from whom they want, you know and then just spreading a value proposition. That is a no brainer is, is I think the secret recipe >> If anything, it's interesting, you know you're so much experience in the enterprise and tech with cloud native you're basically laying out the success formula, which is if you have a value proposition you should be able to get it in quickly. You don't need the top down. win everything you can have a value proposition that can be enabled for usage and then grow rapidly when it's successful and that's cloud, that's the cloud business model. So it's not so much about organic versus this. It's really what the preferred motion is. >> It's speed, and I think developers in particular it's why the cloud happened, right? I.T wasn't delivering services in, in the speed and the efficacy that, that, that the developers wanted. And so in order to appeal to the developer community you need to deliver something that's frictionless and easy and fits into JIRA and fits into their workflow processes and speaks their language. And so we built our platform and our solutions for builders because that's where the money is. That's where the pain point is and that's and they want to build secure code. They just don't want to be told no. And so, we want to automate that process and make code secure and do that, you know in the build phase and then do it in the runtime. And then across the CICD pipeline we want to continuously be adding value across that. And, and the developers, candidly when pure bought the solution, many years ago and I introduced him to the company, it was it was the general manager of our software business unit that bought it not the security team. And I think that's a trend that is continuing that we're going to focus on. >> A lot of people realize that security and compliance and automation kind of all go together where you don't want to disrupt developers to kind of engineer something just to do an integration, for instance. So there's a real business model impact that you're hitting on here. That's not just a technical solution. It's really how the business is operating. And I think that to me is super interesting use case. What's your reaction to that? Do you see this as a, as a- >> No it's, that's that's that third part that I was talking about, you know which is that's most exciting is that, you know people are calling shift left, right. so moving, you know security into the development pipeline as it's happening and in integrating security architects as value added into the development organizations themselves and leveraging automated machine learning tools like ours to be able to simplify and automate the process versus slowing it down. So we think that shift left is, is super exciting and, and will continue. And we actually think we're the leaders in that space. We want to continue to be the leaders in that. >> Congratulations, great insight. Awesome to have you on and to hear from your experience and also the great venture that your scaling up and to the next level. Lacework, David thanks for coming on, but I'll give you the last minute to close us out. Give us a quick plug for the company vitals, what you're working on now, what you're looking for, you're obviously hiring give a quick plug for Lacework. What you, what are you working on? >> So, number one, we love our partnership with AWS. And so we're going to continue to invest, invest there. Two the businesses growing North of 300% year over year. That means that we've got record breaking growth and lots of hiring. So we're hiring across all functions. And three give us an opportunity. I, I think that, you know, you can fundamentally we want to be the bar of what you define all other security companies and all the technology companies. So it's a high bar. We want to make it frictionless, frictionless to try give us a shot, give us some feedback. And I'm grateful and privileged to be part of this, this wonderful team. So look forward to spending more time with you, John, in the future. >> Man, looking forward to a lot lots of talk about David Hatfield CEO of Lacework great company scaling up again. Another success story in cloud, cloud native as Po, COVID comes to a close, if you will for this phase and people get back to real life. The scale of cloud is going to be leading it and a new technology is going to be powering it. This is theCube conversation. I'm John Furrier. Thanks for watching. (soft music playing) (music fades)

>>From around the globe. It's the cube with digital coverage of IBM. Think 2021 brought to you by IBM. >>Hello everyone. Welcome back to the cubes. Ongoing virtual coverage of IBM. Think 2021. This is our second virtual think. And we're going to talk about what's on the minds of CTOs with a particular point of view from the EMEA region. I'm pleased to welcome rushy Parmer, who is an IBM fellow and vice-president of technology for AMEA that region. Hello Russia. Good to see you. >>Great to see you. So >>Let me start by, by asking, talk a little bit about the role of the CTO and why is it necessarily important to focus on the CTO role versus say some of the other technology practitioner roles? >>Yeah. You know, as you look at all the range of roles of the gut in the it department, the CTO is uniquely placed in looking forward at how technology and how digitization is going to make a difference in the business. But also at the same time, is there as the kind of thought leader for how they're going to really, um, reimagine the use of technology re-imagine automation, reimagining, how digitization helps them go to market different ways. So the CTO is a unique, a unique position from idea to impact. And in the past, we've kind of lost the CTO a little bit, but they're now reemerging as being the thought leader. That's only in driving digitization, going forward in our big clients. >>I, I would agree. I mean, it really has a deep understanding of that vision and can apply that vision to business success. So you obviously have a technical observation space and you also have some data, so maybe you could share with our audience how you inform yourself and your colleagues and IBM on, on what CTOs are thinking about and what they're worried about. >>Yeah. And so, so what we've done over the last four years now is gone out and interviewed CTOs. And can we do a very unstructured interviews? It's not, it's not a survey in the form of, uh, filling these, uh, these 10 questions and tell us yes or no. It reads a structured interview. We ask things like what's top of mind for you. What are the decisions you're making? Um, what's holding you back? What decisions do you think you shouldn't have made, or you wouldn't have liked to make? And, and it's that range of, um, of real input from the interview. So last year we interviewed a hundred CTOs. Um, this year we're actually doing a lot more, we're working with the IBM Institute of business value and we're gonna interview a lot more teachers, but for the material we're going to talk about today is really from those hundred CTO interviews. >>Yeah. And I think that, I mean, having done a lot of these myself, when you do those, we call them, you know, in depth interviews or ideas, you kind of have a structure and you do sort of follow that, but you learn so much and that maybe does inform those more structured interviews, uh, that, that, that you do down the road, you learn so much, but, but maybe you could summarize some of the concerns in the region what's on the minds of, of CTOs. Yeah. Yeah. The, >>The, the real decisions are being based around seven points, right? So the first one is we all know we're on a journey to the cloud. Um, but it's a hybrid multicloud. How do I think about the range of capabilities? I need to be able to unlock the latent potential of existing investments and the cloud-based capabilities we've got. So, so the, the hybrid cloud platform is, is, is one of the first and foundational pieces. The second challenge is that CTOs want to modernize their applications. And that modernization is a journey of, of moving towards microservices. That microservices journey has two parts. One is the business facing view, and that's what containers is all about choosing the right container platform. At the same time, they also want to use containers as a way of automation and management and reducing the effort and the infrastructure. So, so that's kind of two parts of that, that whole container journey. >>So Microsoft, this has really become the, the, the, the business developer view and containers become the operational view. At the same time, they wanna infuse new data to want to climb the AI ladder. They want to get the new, new insights from that data that plugs into those new workflows to get to those workflows. There's a decision around how do I isolate myself from some of the services of using that? And we've created a layer in the decisions around what called cloud services integration. So part service integration is, is kind of the, the modern day ESB as we might think about it. Um, but it's a way in which you choose which technology, which API I'm going to use from where, and then ultimately the CTOs are trying to build what are the new, um, uh, the new workflows, intelligent workflows. And they're really worried about how do I get the right level of automation that managing that issue between what becomes creepy and valuable, right. >>You know, there's some workflows that happen. You think, why the hell did that happen? Or I don't, that doesn't make sense. And, and, and it really sort of nerves the consumer, the user, whereas some which are wow, that's really cool. I really enjoyed that to try to get the intelligent workflows, right. Is a big concern. And then, um, on the two big, uh, parallel to that is how do we manage the systems operational automation, right from having the right data, the observability of all the infrastructure, recognizing they've got a spectrum of things from 30, 40, 50 year old systems to modern day cloud native systems, how to manage it, how to operationally automate that, keep that efficient, effective. And then of course, protecting from the perpetrator's rent business. A lot of people out there wanting to dig into the systems and, and, and, and draw all kinds of, um, you know, uh, data from their systems. So security, privacy, and making sure that align with the ethics and privacy of the business. So those are, those are the kind of range of issues, right? From the journey to cloud, through, to operational automation, through, through intelligent workflows, right. Into managing, protecting the services. >>That's interesting. Thank you for that. I mean, I remember, and you will, as well, some of the post wide thrust and sort of part of the modernization back then was during that they had budget to do that, but a lot of times organizations would make the mistake that they would, they're going to migrate off of a system that was working just fine. That was their sort of mental model of, of, of modernization. And it turned out to be disastrous in many cases. And so what, when I talk to CEOs, they talk about maybe, you know, I'd look at it as this, this abstraction layer. We want to protect what we have that works. Yes. Some stuff's going to go into the public cloud, but this hybrid connection that you talk about, and then we want control. And the way we're going to get control is we're going to use microservices to modernize and use modern API APIs. And so very, very sort of different thinking. And of course they want to avoid migration at all costs because it's so expensive and risky. I wonder if you could talk about, are there any patterns in terms of where people get started and the kinds of outcomes that they're working towards that they can measure? >>Yeah. And we kind of lump the, the learning from the work into three broad patterns, right. Um, one pattern is, is primarily around survival. They recognize that this journey, um, is, is very complex, that the pandemic has created tremendous challenges. Um, the market dynamics means that I've got to try and really be thoughtful in, in taking cost out and making sure they survive some of these issues and sort of the pattern is really around cost reduction. It may start with the hybrid cloud. It may start with in terms of workloads, but it's really about taking cost out of the systems. The second pattern is what we refer to as a simplification pattern. And this is about saying that we've got, we've got so much complexity because of technical debt, because of, you know, systems that we've half migrated in half done things with. Um, so how do I, how do I simplify my it landscape from applications through infrastructure to the data and make it more consistent and manageable and effective. >>And then the third one is that there are CTO saying, look, we've got a really pick that the time when we super scale something, we've got some things which we are unique and effective on. And I want to take that and really super scale that very quickly and make that consistent and really maximize the value of it. So that sort of pattern is really falling to those three categories of driving, driving cost reduction and survival simplification and modernization transformation. And then those that have got something which is unique and special and really super scaling up. >>Yeah. Right, right. Doubling down on those things that gave you unique, competitive advantage. Now, in this, in, in the studies that you've done over the years, you use this term ADP architectural decision points, and some of them are quite compelling. Maybe you could talk about some of those where there's some anxieties from the CTOs that, that you uncovered. >>Yeah. Yeah. The, the ADP's that we'll talk about the seven ATPs and it starts from the high rebuilt crowd through to, to intelligent workflows and so on. Um, and the ADP's themselves are really distilling the client's words in the client's, um, way of thinking about how they're going to drive those, those technologies. Um, and also how they're going to use those techniques to make a difference. But I think went through those interviews, um, what became the power is CTOs do have some anxieties as you refer to it. Um, and, and those anxiety, they couldn't necessarily put words on them and there were anxieties and like, are we thinking enough about the carbon footprint? Are we, are we being thoughtful in how we make sure we're reducing carbon footprint or reducing the environmental impact of the infrastructure you've got, we've got sprawling infrastructure, um, ripping out rare metals from the earth. >>Are we being thoughtful in how we reduce the, um, the amount of rare metals we have water consumption, uh, right through to is the code that we're producing efficient, secure and fit for, for the future? Um, are we being ethical in capturing the data for its right use, um, is the AI systems that we're building? Are they explainable? Are they ethical? Are they free from bias or are we kind of amplifying things that we shouldn't be able to find? So there was a whole bunch of those call anxieties and what we did along with the architectural decision report, um, a point after she decision report was, was identify what we call a set of responsibilities. And, and we've built a framework about around responsible computing, which is, uh, which is a basis for how you think through what your responsibilities are as a, as a CTO or as an it leader. Um, and we're right in the process of building out that, that kind of, um, responsible computing framework. >>Yeah, it's interesting. A lot of people may, may think about it. They think about the responsible computing and the sustainability, and they might think that's a, a one 80 from Milton Friedman economics, which said the job of business is to make profits. But in fact, responsible computing, there's a strong business case, uh, around it. It actually can help you reduce costs that can, can help you attract better employees because young people are passionate about this. I wonder if you could talk about how, how people can get involved with responsible computing in, in lean in. >>Yeah. So what we're about to publish is that he's actually a manifesto for responsible computing. So I think everybody, once we get that published, I'm hoping to do that in the next two to three months, we're working with a few clients, um, to there's actually three clients that have chosen, just click through your client's CTOs from the ones that we interviewed were very keen to collaborate with us in, in laying out that, um, that manifesto and the opportunity really is for anybody listening. If you, if you find this as a great value, please do come and reach out to me more than happy to collaborate with looking for more insights on this. Um, we've also had some, um, competitions. So in, in, in Mia, we've had a competition with, uh, with business partners looking for of how we can, um, really showcase examples or exemplars of being responsible computing provider, whether it's at the level of responsible data center, whether it's about responsible code data, use responsible systems, right through to responsible impact. And, you know, obviously a lot of our work around things like, um, your tech for good is, is tied directly to responsible impact. And of course, if you want to see what we IBM have been doing our responsible responsibility report, which we've been voluntarily publishing for the last 30 years, provides a tremendous set of insights on how we've done that over the years. And, and that's a, that's a great way for you to see how we've been doing things and see if that there are critical in your business. >>Yeah, so there's, so there's the, the re the ADP report is available. You can check it out on, on LinkedIn, um, go to go to Russia, LinkedIn profile, you'll find it. There's a blog post that talks about the next wave of digitization. Um, the learnings that you just talked about. So there's a lot of resources for, for people to get involved. I'll give you the last word rushy. >>Yeah. And th th this is, this is what I call job began. It's not job done. The whole ADP responsible computing is a digitization journey where we want to balance delivering business value and making a difference to the organization. But at the same time, being responsible, making sure that we're thoughtful of what's needed for the future. And we create impact that really matters. And, or we can feel proud that we've put a foundation for digitization, which will, which will serve the businesses for many years to come >>Love it, impact investing in your business and in the future. Russia, thanks so much for coming to the cube. Really appreciate it. Thank you. Okay. Keep it right there for more coverage from IBM. Think 2021. This is Dave Volante for the cube.

(techno music) >> Hello everyone, welcome to the Cube studio in Palo Alto. I'm John Furrier at the Cube for a special presentation with Riverbed and the Cube called getting started with SD-WAN, with two CTOs, Hansang Bae CTO, and Frank Layonnet, Deputy CTO with Riverbed, thanks for joining me today. >> Thanks for having us. >> Thank you. >> So, obviously you guys are the CTOs, chief technology officers, deputy and the chief here. What's going on under the hood? Because when you talk about the SD-WAN in action, really the number one thing comes in, it's networking, and everyone wants networking to go faster, and they want it automated. Now you're hearing about all this great programmatic stuff, what's happening? >> Yeah, I think, the difference between previous generation, which SDN, right? SDN was very hot for a while, didn't really go too far. The difference here is that we're solving tactical problems for the business, so that's very different than solving the problem for the IT folks, right? So, I'll give you an example. IP sec, turns out, kind of a pain to do. Very laborious, prone to errors, et cetera. Well, SD-WAN, as a first step takes care of that. It eliminates it completely. Out of the box, you have a secure transport. No thought involved. So that solves the IT problem, sure, but, step ahead of that, get ahead of that, you can now seamlessly service your business because the thorny problem of difficult IT goes away, right? So this is about frictionless IT, that allows your business to have a competitive edge. >> Frank, talk about the use cases involved in SD-WAN, because there's everything from I need bandwidth, better bandwidth, cost perspective. To full transformation of the organization. So networking is, you got to move the packets around, but at the same time it's strategic in that it's now an asset to the organization. >> Yes, definitely there multiple definitions out there for SD-WAN, and we must not be mistaken, it cannot be only about savings on bandwidth costs. This is something we have been doing for 10 years or more. So now SD-WAN is really connected to a business driver. This is digital transformation by the way, that is the first thing that is the source of everything we have been seeing, in terms of SD, including SD-WAN. So we have been seeing customers starting with saving on bandwidth costs, but then we discovered that there's more. There's definitely something that pertains to optimizing the way they are doing operations, agility, so the pressure from the business is coming there. But it's also about, according the fact that as a bunch of their applications are in the cloud, they cannot do networking just like they were doing before. So with this addition of the cloud, that is the first real movement toward SD-WAN. How do you connect your SAS applications back to your user, and things? so this is a real question and there's multiple options out there. There's also a bunch of challenges that need to be solved. So this is the first of those instances. >> Yeah and I think one of the good ways to kind of sum that up, is to say, you know, what if you could live in a world, as an IT guy, where when the business says, hey I need to roll out, and oh, by the way, give me 10 times the capacity, done, right? Push of a button, that's what automation brings to you. What if business says, by the way, Frank, I'm rolling it out in Australia, can we make sure we have enough bandwidth there, oh and by the way, I need it next week. Now for the first time with SD-WAN, infrastructure people can say, next week? Don't you want it tomorrow? 'Cause I'm ready to hit the button, right? So SD-WAN, is that revolutionary. It's not an incremental a better routing, easier this, it's a revolutionary way of thinking about how IT can make businesses be more competitive. >> The software piece is interesting, because you look at networking. There's an operational aspect of it, you mentioned the bandwidth. That's basic, you got to have basic needs. (laughing) >> [Frank] Of course. >> Got to move the packets around the network, you know, do all that stuff, check. You're getting at something different here, which is, I want to tune into the business speed. So the speed of the business really becomes the next table stakes, which is what the cloud's doing. >> [Hansang] That's right. >> So now, how does that change networking? Because we've seen with cloud, no perimeter, different kind of provisioning capabilities, automatic provisioning, now you have multi cloud. You guys can do that kind of multi cloud stuff right now. This is not obvious to many people. >> That's right. >> What's the magic behind it? >> See I guess, if we take SD-WAN as something that is an evolution that we are forced to go into, this can be the same part of some of the customers. Yes, okay, we need to move to SD-WAN, because we need automation. But if you flip that around, what you want to achieve is unleash the capacity of the business to innovate. So we have organization, interestingly enough, that completely took that into account, and are already finding the way they are organized. It's not something very common, but we have the first occurrence of customers that are interested to still connect, well their title is not networking head, but more like Dev Ops head. So this is the starting point of a lot of organization that want to fully embrace the full power of the cloud. >> That's a full wholesale change, you're talking about a new scenario, the third one, which is, I want to completely transform my business. But in the spirit of getting started with SD-WAN, I want to ask you guys a question. >> [Frank] Absolutely. >> See how you guys can come with this one. IT people come in two flavors, I'm freaking out, or I'm jumping for joy. Because that's really kind of what's happening here, you have Ops guys, hey lock down the network, you know, we're going to check all the boxes. Then you have other people who say, oh, we're liberated with Dev Ops, it's going to be freedom. Automatic provisioning. So, where's the balance, and describe your reaction to that, that phrase, freaking out, versus jumping for joy. >> I think I can answer this this way. So, I'm sure everybody can relate to this, is that every outage I've ever been involved in, and some, spectacularly big, has always been, the root cause has always been, we had a template, we had a standard, we just didn't have time to roll it out. Or, I had a template, but I made a mistake. Human latency, right? People are very very bad at doing mundane tasks at 2:00 a.m. When network changes happen, no surprise. So SD-WAN takes care of that drudgery, of the very important work, which is IT. So SD-WAN says, you know what, make your decisions, and go from whiteboard concept with your business, to implementation in less than a week. It can be shorter than that. But let's not bring too much shock to the system. So the whole idea of SD-WAN is, don't freak out about your job, because we're enabling the IT people to meet he business demand at their speed. >> So speed's a double edged sword, on one side, the fear of going too fast, and breaking stuff, or making something go down, also there's the other side of the coin, which is you can bring it back as fast. >> That's correct. >> Talk about that dynamic because I think that's interesting conversation. >> So I think the biggest difference is yes, so let's put it out there, right? Failure at the speed of automation, is fantastic, fantastically terrible. But at the same time, the big difference is that the recovery from that is automatic as well. Because in the world of SD-WAN, it's enable, disable, it's not about touching every single end device, to fix the problem that you might have caused. Because let's face it, today, if you roll out, and I know some of you are thinking, I have an automated way of pushing out a template. And that's great, that's a start. But to recover from that, means you have to touch every device, yet again. Where as with automation, from an SD-WAN perspective, it's all centralized. You push it from a central location, you withdraw it from a central location. So it's a different recovery-- >> On those outages you mentioned earlier, you've been involved in the past, where they've had a bit of human error, or a template issue, what was the recovery like? Probably just as bad, right? So the slowness is on both sides, right? >> Absolutely, and I think, you know, the biggest problem too is, and this is something that not too many SD-WAN vendors talk about, is visibility. If I had a dollar for every time there was an outage, and someone said "Who's impacted?" And it would be at least 45 minutes to an hour before anybody can say definitively, these groups of business, or this location is impacted. So we have the luxury of having a BU, who's sole purpose in life is to bring visibility from application user, and network level. So we're bringing that to bear, and marrying that with Software Defined win. So like Frank said, we don't stop at just making it easy for the IT folks, right? IP sec example that I gave you. What we're talking about is allowing the business to be just as agile, just as flexible, and including multicloud, what if you could, as an IT person, forget about, is it Azure? Amazon? Google? Soflare? Whatever cloud vendor you're talking about, what if that didn't matter, right? Because with the right SD-WAN philosophy, there is no difference between a branch, a laptop at a hotel, a datacenter, Azure, or Google, or Amazon. It's just a connectivity point from beginning to end, all you have are publishers of application, and subscribers of that application. Everything else goes behind it, don't get me wrong, it takes design, and like you said, packets have to go somewhere, but the complex design goes away with SD-WAN. >> So I, go ahead Frank. >> Yeah, so, I want to relate that to one of the use case that we have been seeing, which is isolation of some of the traffic, let's take the example of IOT, that we understand, I mean it's a recommendation that is everywhere, we want to isolate IOT, derive it from the rest of the traffic. How do you do that without SD-WAN? Okay, I put some DNS there, I put some VRF there. What do I do in the cloud? So there's really that notion of slows on which you provide some manual type of processes to implement that segmentation. Source VFR, and you defeat the purpose of segmentation. >> It's a bandaid, you're throwing pre existing stuff at a problem. >> And it's a complex thing to do, and we know that there will be errors, therefore holes, right? Suddenly defeat the purpose of your protection. So SD-WAN, especially in the context of steel connect, is allowing to have one single policy that is, you know, define wherever the workloads are, wherever the users or things are. So this is the kind of top level benefit that we can bring, and only SD-WAN can bring. >> I like that example, SD-WAN is growing up, and your use case of internet of things, IOT, is really spot on because that highlights the growing up, and that's happening very very fast. IOT is really becoming a tactical, strategic, board agenda item, and going down to the technical folks. Because IOT is now blending the physical world, and a lot of digital. >> Yeah. >> And so people are connecting, that's a network issue, put on the network, it's now an IOT device. You mentioned that's anything. But cloud also highlights this, 'cause now with compute, and analytics, the cloud really makes that connect well. So you guys have this multi cloud thing. Take me through that, because I'm a customer of yours, if I'm a CIO, or I'm running an IT department, you got my attention, 'cause I've heard everyone talk multi cloud all day long, I don't believe it. I don't think it could work, I've looked at latency between clouds, I got my office 365 and Azure, I run some stuff on Red Shift, I do some stuff with Google. Those apps are down beside me on those clouds. >> And to prove that point, just for kicks, 'cause it's easy, I connected every instance of Amazon in the world as part of my routing infrastructure. I had access, I could ping, bring up servers to every instance of Amazon, and by the way, I can do that with Azure as well. To me, there is no difference between a server running in a datacenter, running in Amazon, running in Azure, right? What that means, again from a tactical, so what what does it mean to me as a business person? Well, what if you can enforce your active directory log in services to Amazon? Because it's not Amazon Azure anymore, it's your VPC. The fact that it runs on a different cloud system, doesn't matter, because we automatically connect those two together. So as a business person, and as an infrastructure person, don't worry about what cloud it's in. Because we'll seamlessly connect it together, and the perfect example is Azure active directory service, being presented to Amazon. You can do that, because it's your VPC. Do with it as you will, and by the way, when you're done, turn it off. >> So this is interesting, so the sequence of operations here are relative to getting started with SD-WAN, is take care of the bandwidth costs, no problem, check. But it's the hybrid, it's the SAS applications, now when you get into multi cloud, you now take that through. So take me through the impact, what does it mean to the customer to have that multi cloud capability? What's the benefit? What's in if for them? >> So I think I'll start first, and then we'll go into some of the more used cases, is that the bigger challenge, which, by the way, it sounds awesome, is that infrastructure people tend to think of and solve problems from the tools that they know how to use today. SD-WAN is very different. So the first advice that I have, is stop thinking though the lens of the tools that you have today, right? And this is that whole Dev Ops, versus infrastructure argument that's raging these days, and the bottom line is it's either IT keep pace, or perish, right? And that sounds ominous, but guess what, the other side of that coin is, you get to join the party, you're no longer a call center, you're no longer, at worst case, a necessary evil, right? >> [John] So be open to new tooling? >> That's right, be open to new tooling. The power that the new tooling brings, right? This is something that DevOps folks have had and enjoyed, so why is it that infrastructure people are laggards in this? And I'll tell you why, and I had this conversation, because one of the application guys said, "You IT guys, man, I got 8,000 servers, what's the big deal?" And my point was, you have 8,000 servers for you app? I have two backbones for my company. That's it, so slow and steady wins the race, it's in our DNA. And SD-WAN says now you can have both. You can have that agility, but that stability, right? So when you have agility and stability, the cost savings automatically happen. >> I think that's the big deal, because again, a lot of my friends are networking guys, and a lot of dogma in networking, but it's for the right reasons. Networks can't go down. (laughing) When networks go down, you know what hits the fan. So take us through that scaling, 'cause agility and stability is really a good message. What does that mean, how does a customer do that? How do they get there? >> Yes, you have to put some trust onto vendors like us to take care of stability and just get the benefit of agility, which is that extra thing that you really can leverage to support a business. So I think that it's important to send a message there, that SD-WAN will not take over the job of anybody. It's just changing the way people will operate, the way people will think, and it's amazing to see some customers that I know for 10 years, 15 years. And yes, walls where CCIEs, you know, network specialists, and when I'm coming back to them with steel connect, I mean they are really evolved, just like we have evolved. (laughing) We know all together, that's it's about changing the overall, be if you're moving to Dev Ops, and discerning what's going on with the cloud. We are techies, so it's good stuff in fact, for everybody to understand that. And those customers that went through different steps of evolving, maturing that idea, they are really taking us into, use cases again, where it's really about, okay, now I've got a request for my business, which is to deploy that new work load, and by the way, on both sides that exist over there, but I need to add that to some of our sides. We tell, pop up stores, right? I want to do some digital marketing on pop up stores. Okay, what do I do? And I had a customer doing me a demo, we have a script provisioning back end, you know the blue in front in, and in a few clicks, provisioning connectivity. >> [John] Yeah. >> To that workload on the pop up store, right? With just an internet connection, this is amazing. >> IOT and all that stuff is great. IOT all these new paired ups is essentially networking. (laughing) I mean edge of the network, you just talked about provisioning. Think about how hard that was. That was a campus a couple years ago. >> That's right. >> That's an office. Remote office, the notion of a retail space that pops up, is just another remote edge point. So this is not new concepts, but the software makes it a difference. So, I think that's where I see the connection. So I'd ask you this question, when you walk around with steel connect, which we saw the demos on the last episode, really impressive. What are customers saying? I mean for folks that have never seen it before, what's their reaction, and for folks that work with you guys, what is their reaction for steel connect? >> I think I can give you some customer quotes, without mentioning their names. I had one customer who, after sitting through their presentation, said, "If this stuff works, we need to rethink our strategy." This is coming from a head of architecture, that reported to the CIO, right? Think about that statement and break it down. Yes there has to be trust, about it's a nascent field, new field, I get that. But when you truly embrace SD-WAN, not just from a cost perspective. That's a great catalyst, everybody wants that, because it's an feather in their cap. Once you go beyond that, and you start to think about the possibilities that SD-WAN, in our version of SD-WAN, which we call steel connect, can bring to you, it's a different conversation with a business, you're not talking about give me time. Imagine that pop up store, or you say, you know what, give me two weeks and I might have something for you. In this world of SnapChat, kids are changing their minds on a day by day basis, nevermind two weeks. >> It could delay the opening of the retail outlet, and all kinds of interesting business side effects. >> Absolutely, that's correct. And again, I keep going back to the business agility. It's high time that IT people keep up with the business, and in fact, surpass it using cloud of cloud for example. >> Hansang and Frank, we were talking before we came on the segment here, about video conferencing, and having kind of town hall meetings, and you know we were kind of joking, when something goes down in a business, you can see how fast something can move the mob, now that we're all connected on SnapChat, things go viral instantly. Like the United Airlines comment, we were talking about United Airlines, okay they have this big viral thing. Took them like three days to respond, next thing you know their brand suffered. I mean, imagine the impact of their business. They could have had a town hall meeting, let's take through that use case. Hey let's set up a network. We're going to have all these people dial in, and perusing it up, well that's going to take two weeks. Every day the stock is getting the hammer. I think they lost $1,000,000,000 in market cap in the first day. So there they need the provision of video network. Okay, take us through that, what would you guys do with SD-WAN? >> So, for me it's easy. With the right SD-WAN, I'll compare and contrast, okay? Today, you have to go and touch every edge device, and you have to change your quality of service. Because video, AF class, AF 41 for example, has a certain amount of quality of service that it can use. So you have to go and touch every device, every infrastructure device, at every location, to give it that bandwidth that's required, okay? So now, that takes maybe a week, maybe two weeks, depending on the size of your network. But that time, how much did they lose? $1,000,000,000 overnight? You can do the math, versus the new world of SD-WAN, where I say, you know what, between 2:00 p.m., and 4:00 p.m. eastern, video is going to have top quality of service marking. And then when I'm done, I'm going to turn it off. That's the actual difference between today's workflow, and the brave new world of SD-WAN. >> And by the way, video, just to point out, not in that one use case. Video is becoming the number one app for users, whether you want to accentuate it, in this case highlight it, or in some cases, not let everyone watch Game of Thrones Monday morning from their desk. Or those kinds of things are going on. You guys have that policy based capability. >> That's right. >> Yeah, so I'd like to pick up on the change management. Let's be honest in fact, us people in the networking space, we're a bit of laggards, when it comes to providing that capability. Because on the other aspects of IT, it's no brainer of course, we can do that. We can do that adaptation in a breeze. But what about the later, we're stuck into a solution, where yes, change management was something that was nightmare, and everybody talks about QS being a nightmare for so long, right? Now obviously we have steel connect with SD-WAN, we can fix that. >> My final question for you guys we we wrap up this segment is competition. For folks out there looking to get started and evaluate SD-WAN, because right now software define everything is happening. We're seeing it across the board, it's software and data. You guys from a networking angle, SD-WAN. How should your customers, and potential customers evaluate you, vis-a-vis the competition. Riverbed versus the competition. What should they look for, and how should they evaluate it for them? >> I'll give a couple of different quick books to successful proof of concept, if you will. It does start with that IP sect, that secure tunnel that can separate and differentiate traffic and quality of service. It does involve making sure that the right important applications get preferential treatment, and oh, by the way, move over to a different lane. Creating HOV lanes on demand is what SD-WAN is about, right? It can be time based, it can be user based. So it's not just a static configuration, it's very very fluid. As an HOV lane, think of it this way. It's an HOV lane, from your house, to your work, because you have an important job that day, right? SD-WAN says you can do that, I can get quality of service down to a user level, with a few click of a button. So, from a competitive landscape, IP sec is important. But differentiating application and user by name, not IP addresses, in the world of SAS, IP addresses doesn't mean anything, is also important. And then the other one is, the cloud, right? Think of the cloud as your datacenter. So whatever you do, in the world of SD-WAN, should be just as easy at branch, datacenter, cloud, and cloud of clouds, right? And if it encompasses all of that, then you've found the right SD-WAN vendor. >> I think that's exactly right. We need to help customers to understand that it's not about replicating what we have been doing with the new cool technology, that is slightly more automated. This is about rethinking the way you are connecting that work. And this is something we've been hearing from analysts that I've been personally seeing over the past couple years. It's now down to not only networking people, but also the cloud people, but also the security people to sit together and look at all the use cases around the one, and obviously this has evolved to our SAS, to our yes, to a lot of things that pertains to automation. So this is really the advice that I would give to customers, don't fall into the trap of comparing SD-WAN with win, it has to be something more. It has to include the cloud. >> And I'll give you the secret sauce that I've been dying to get out there. It was the biggest differentiator for us. We removed the pain of latency for applications. We've been doing it for over 10 years. So, yes bandwidth is plentiful. I have a gigabyte service at home, it's wonderful. But it still doesn't take away the latency when I have to interact with folks in Sydney, or in Singapore, and we take that pain of latency away, have been doing that for over 10 years. It's a perfect marriage made in heaven. As the network grows to include cloud, where theoretically it shouldn't matter if your instance is in Ireland, if it's in Singapore, if it's in Korea, if it's in Germany, or San Jose, or in Virginia. But because of latency, it matters. What if you could have a vendor that makes that pain go away as well? And that's our secret sauce. >> What's interesting is that the world's changing, so the network used to dictate what applications could do, now applications are dictating what the networks are doing. >> Absolutely. >> Which means it has to be programmable. >> That's right. >> And that is interesting because that flips it upside down. >> That's correct, and that's that business agility that we've been harping on this whole time. >> Talking about marriage, let me add a third to the problem, we have also visibility, right in the portfolio, and it's amazingly important. Because you know, in one click, I can deploy policy. I mean, one click I can kill. (laughing) Through my wrongly configured policy, a bunch of our closed, so it's super important to be in a position to provide new tools, new ways of verifying what's going on. I have an intent, I want the network to be like this. I need to verify immediately whether or not I'm going the right direction, right? (laughing) To just like, you drive, you have your super powerful wheel that brings you everywhere. You need to know where all that will go there. >> And that's that trust but verify motto, right? I trust that it's doing the right thing, but I want to be able to verify it. And with SD-WAN, it's build in. >> Riverbend you guys have been doing some great work, I was joking with my friend over the weekend, we were just talking about SD-WAN in general, just as we do on the weekends. >> [Hansang] Who doesn't? >> I said, I mean it's interesting, the world is a win now, the network is global. That's essentially a wide area network, it's called the internet. >> That's right. >> And you treat it a win, and there it is, end points, you have remotes. >> That's right, and sun computer, unfortunately was right, they were just decades early, right? The computer, or the network is the computer. And with the SD-WAN and cloud movement, it really can be anywhere. >> I got a funny anecdote, at the table interview, and I interviewed Scott McNealy, and he was like, "I just should have called the cloud." >> [Hansang] There you go, that's all you needed. >> Guys thanks so much for spending the time here inside the Cube studios, I'm John Furrier with Riverbed, on getting started with SD-WAN. Thanks for watching. (techno music)