(upbeat music) >> Welcome back to Boston, everybody. This is the birthplace of theCUBE. In 2010, May of 2010 at EMC World, right in this very venue, John Furrier called it the chowder and lobster post. I'm Dave Vellante. We're here at RE:INFORCE 2022, Ed Walsh, CEO of ChaosSearch. Doing a drive by Ed. Thanks so much for stopping in. You're going to help me wrap up in our final editorial segment. >> Looking forward to it. >> I really appreciate it. >> Thank you for including me. >> How about that? 2010. >> That's amazing. It was really in this-- >> Really in this building. Yeah, we had to sort of bury our way in, tunnel our way into the Blogger Lounge. We did four days. >> Weekends, yeah. >> It was epic. It was really epic. But I'm glad they're back in Boston. AWS was going to do June in Houston. >> Okay. >> Which would've been awful. >> Yeah, yeah. No, this is perfect. >> Yeah. Thank God they came back. You saw Boston in summer is great. I know it's been hot, And of course you and I are from this area. >> Yeah. >> So how you been? What's going on? I mean, it's a little crazy out there. The stock market's going crazy. >> Sure. >> Having the tech lash, what are you seeing? >> So it's an interesting time. So I ran a company in 2008. So we've been through this before. By the way, the world's not ending, we'll get through this. But it is an interesting conversation as an investor, but also even the customers. There's some hesitation but you have to basically have the right value prop, otherwise things are going to get sold. So we are seeing longer sales cycles. But it's nothing that you can't overcome. But it has to be something not nice to have, has to be a need to have. But I think we all get through it. And then there is some, on the VC side, it's now buckle down, let's figure out what to do which is always a challenge for startup plans. >> In pre 2000 you, maybe you weren't a CEO but you were definitely an executive. And so now it's different and a lot of younger people haven't seen this. You've got interest rates now rising. Okay, we've seen that before but it looks like you've got inflation, you got interest rates rising. >> Yep. >> The consumer spending patterns are changing. You had 6$, $7 gas at one point. So you have these weird crosscurrents, >> Yup. >> And people are thinking, "Okay post-September now, maybe because of the recession, the Fed won't have to keep raising interest rates and tightening. But I don't know what to root for. It's like half full, half empty. (Ed laughing) >> But we haven't been in an environment with high inflation. At least not in my career. >> Right. Right. >> I mean, I got into 92, like that was long gone, right?. >> Yeah. >> So it is a interesting regime change that we're going to have to deal with, but there's a lot of analogies between 2008 and now that you still have to work through too, right?. So, anyway, I don't think the world's ending. I do think you have to run a tight shop. So I think the grow all costs is gone. I do think discipline's back in which, for most of us, discipline never left, right?. So, to me that's the name of the game. >> What do you tell just generally, I mean you've been the CEO of a lot of private companies. And of course one of the things that you do to retain people and attract people is you give 'em stock and it's great and everybody's excited. >> Yeah. >> I'm sure they're excited cause you guys are a rocket ship. But so what's the message now that, Okay the market's down, valuations are down, the trees don't grow to the moon, we all know that. But what are you telling your people? What's their reaction? How do you keep 'em motivated? >> So like anything, you want over communicate during these times. So I actually over communicate, you get all these you know, the Sequoia decks, 2008 and the recent... >> (chuckles) Rest in peace good times, that one right? >> I literally share it. Why? It's like, Hey, this is what's going on in the real world. It's going to affect us. It has almost nothing to do with us specifically, but it will affect us. Now we can't not pay attention to it. It does change how you're going to raise money, so you got to make sure you have the right runway to be there. So it does change what you do, but I think you over communicate. So that's what I've been doing and I think it's more like a student of the game, so I try to share it, and I say some appreciate it others, I'm just saying, this is normal, we'll get through this and this is what happened in 2008 and trust me, once the market hits bottom, give it another month afterwards. Then everyone says, oh, the bottom's in and we're back to business. Valuations don't go immediately back up, but right now, no one knows where the bottom is and that's where kind of the world's ending type of things. >> Well, it's interesting because you talked about, I said rest in peace good times >> Yeah >> that was the Sequoia deck, and the message was tighten up. Okay, and I'm not saying you shouldn't tighten up now, but the difference is, there was this period of two years of easy money and even before that, it was pretty easy money. >> Yeah. >> And so companies are well capitalized, they have runway so it's like, okay, I was talking to Frank Slootman about this now of course there are public companies, like we're not taking the foot off the gas. We're inherently profitable, >> Yeah. >> we're growing like crazy, we're going for it. You know? So that's a little bit of a different dynamic. There's a lot of good runway out there, isn't there? >> But also you look at the different companies that were either born or were able to power through those environments are actually better off. You come out stronger in a more dominant position. So Frank, listen, if you see what Frank's done, it's been unbelievable to watch his career, right?. In fact, he was at Data Domain, I was Avamar so, but look at what he's done since, he's crushed it. Right? >> Yeah. >> So for him to say, Hey, I'm going to literally hit the gas and keep going. I think that's the right thing for Snowflake and a right thing for a lot of people. But for people in different roles, I literally say that you have to take it seriously. What you can't be is, well, Frank's in a different situation. What is it...? How many billion does he have in the bank? So it's... >> He's over a billion, you know, over a billion. Well, you're on your way Ed. >> No, no, no, it's good. (Dave chuckles) Okay, I want to ask you about this concept that we've sort of we coined this term called Supercloud. >> Sure. >> You could think of it as the next generation of multi-cloud. The basic premises that multi-cloud was largely a symptom of multi-vendor. Okay. I've done some M&A, I've got some Shadow IT, spinning up, you know, Shadow clouds, projects. But it really wasn't a strategy to have a continuum across clouds. And now we're starting to see ecosystems really build, you know, you've used the term before, standing on the shoulders of giants, you've used that a lot. >> Yep. >> And so we're seeing that. Jerry Chen wrote a seminal piece on Castles in The Cloud, so we coined this term SuperCloud to connote this abstraction layer that hides the underlying complexities and primitives of the individual clouds and then adds value on top of it and can adjudicate and manage, irrespective of physical location, Supercloud. >> Yeah. >> Okay. What do you think about that concept?. How does it maybe relate to some of the things that you're seeing in the industry? >> So, standing on shoulders of giants, right? So I always like to do hard tech either at big company, small companies. So we're probably your definition of a Supercloud. We had a big vision, how to literally solve the core challenge of analytics at scale. How are you going to do that? You're not going to build on your own. So literally we're leveraging the primitives, everything you can get out of the Amazon cloud, everything get out of Google cloud. In fact, we're even looking at what it can get out of this Snowflake cloud, and how do we abstract that out, add value to it? That's where all our patents are. But it becomes a simplified approach. The customers don't care. Well, they care where their data is. But they don't care how you got there, they just want to know the end result. So you simplify, but you gain the advantages. One thing's interesting is, in this particular company, ChaosSearch, people try to always say, at some point the sales cycle they say, no way, hold on, no way that can be fast no way, or whatever the different issue. And initially we used to try to explain our technology, and I would say 60% was explaining the public, cloud capabilities and then how we, harvest those I guess, make them better add value on top and what you're able to get is something you couldn't get from the public clouds themselves and then how we did that across public clouds and then extracted it. So if you think about that like, it's the Shoulders of giants. But what we now do, literally to avoid that conversation because it became a lengthy conversation. So, how do you have a platform for analytics that you can't possibly overwhelm for ingest. All your messy data, no pipelines. Well, you leverage things like S3 and EC2, and you do the different security things. You can go to environments say, you can't possibly overrun me, I could not say that. If I didn't literally build on the shoulders giants of all these public clouds. But the value. So if you're going to do hard tech as a startup, you're going to build, you're going to be the principles of Supercloud. Maybe they're not the same size of Supercloud just looking at Snowflake, but basically, you're going to leverage all that, you abstract it out and that's where you're able to have a lot of values at that. >> So let me ask you, so I don't know if there's a strict definition of Supercloud, We sort of put it out to the community and said, help us define it. So you got to span multiple clouds. It's not just running in each cloud. There's a metadata layer that kind of understands where you're pulling data from. Like you said you can pull data from Snowflake, it sounds like we're not running on Snowflake, correct? >> No, complimentary to them in their different customers. >> Yeah. Okay. >> They want to build on top of a data platform, data apps. >> Right. And of course they're going cross cloud. >> Right. >> Is there a PaaS layer in there? We've said there's probably a Super PaaS layer. You're probably not doing that, but you're allowing people to bring their own, bring your own PaaS sort of thing maybe. >> So we're a little bit different but basically we publish open APIs. We don't have a user interface. We say, keep the user interface. Again, we're solving the challenge of analytics at scale, we're not trying to retrain your analytics, either analysts or your DevOps or your SOV or your Secop team. They use the tools they already use. Elastic search APIs, SQL APIs. So really they program, they build applications on top of us, Equifax is a good example. Case said it coming out later on this week, after 18 months in production but, basically they're building, we provide the abstraction layer, the quote, I'm going to kill it, Jeff Tincher, who owns all of SREs worldwide, said to the effect of, Hey I'm able to rethink what I do for my data pipelines. But then he also talked about how, that he really doesn't have to worry about the data he puts in it. We deal with that. And he just has to, just query on the other side. That simplicity. We couldn't have done that without that. So anyway, what I like about the definition is, if you were going to do something harder in the world, why would you try to rebuild what Amazon, Google and Azure or Snowflake did? You're going to add things on top. We can still do intellectual property. We're still doing patents. So five grand patents all in this. But literally the abstraction layer is the simplification. The end users do not want to know that complexity, even though they ask the questions. >> And I think too, the other attribute is it's ecosystem enablement. Whereas I think, >> Absolutely >> in general, in the Multicloud 1.0 era, the ecosystem wasn't thinking about, okay, how do I build on top and abstract that. So maybe it is Multicloud 2.0, We chose to use Supercloud. So I'm wondering, we're at the security conference, >> RE: INFORCE is there a security Supercloud? Maybe Snyk has the developer Supercloud or maybe Okta has the identity Supercloud. I think CrowdStrike maybe not. Cause CrowdStrike competes with Microsoft. So maybe, because Microsoft, what's interesting, Merritt Bear was just saying, look, we don't show up in the spending data for security because we're not charging for most of our security. We're not trying to make a big business. So that's kind of interesting, but is there a potential for the security Supercloud? >> So, I think so. But also, I'll give you one thing I talked to, just today, at least three different conversations where everyone wants to log data. It's a little bit specific to us, but basically they want to do the security data lake. The idea of, and Snowflake talks about this too. But the idea of putting all the data in one repository and then how do you abstract out and get value from it? Maybe not the perfect, but it becomes simple to do but hard to get value out. So the different players are going to do that. That's what we do. We're able to, once you land it in your S3 or it doesn't matter, cloud of choice, simple storage, we allow you to get after that data, but we take the primitives and hide them from you. And all you do is query the data and we're spinning up stateless computer to go after it. So then if I look around the floor. There's going to be a bunch of these players. I don't think, why would someone in this floor try to recreate what Amazon or Google or Azure had. They're going to build on top of it. And now the key thing is, do you leave it in standard? And now we're open APIs. People are building on top of my open APIs or do you try to put 'em in a walled garden? And they're in, now your Supercloud. Our belief is, part of it is, it needs to be open access and let you go after it. >> Well. And build your applications on top of it openly. >> They come back to snowflake. That's what Snowflake's doing. And they're basically saying, Hey come into our proprietary environment. And the benefit is, and I think both can win. There's a big market. >> I agree. But I think the benefit of Snowflake's is, okay, we're going to have federated governance, we're going to have data sharing, you're going to have access to all the ecosystem players. >> Yep. >> And as everything's going to be controlled and you know what you're getting. The flip side of that is, Databricks is the other end >> Yeah. >> of that spectrum, which is no, no, you got to be open. >> Yeah. >> So what's going to happen, well what's happening clearly, is Snowflake's saying, okay we've got Snowpark. we're going to allow Python, we're going to have an Apache Iceberg. We're going to have open source tooling that you can access. By the way, it's not going to be as good as our waled garden where the flip side of that is you get Databricks coming at it from a data science and data engineering perspective. And there's a lot of gaps in between, aren't there? >> And I think they both win. Like for instance, so we didn't do Snowpark integration. But we work with people building data apps on top of Snowflake or data bricks. And what we do is, we can add value to that, or what we've done, again, using all the Supercloud stuff we're done. But we deal with the unstructured data, the four V's coming at you. You can't pipeline that to save. So we actually could be additive. As they're trying to do like a security data cloud inside of Snowflake or do the same thing in Databricks. That's where we can play. Now, we play with them at the application level that they get some data from them and some data for us. But I believe there's a partnership there that will do it inside their environment. To us they're just another large scaler environment that my customers want to get after data. And they want me to abstract it out and give value. >> So it's another repository to you. >> Yeah. >> Okay. So I think Snowflake recently added support for unstructured data. You chose not to do Snowpark because why? >> Well, so the way they're doing the unstructured data is not bad. It's JSON data. Basically, This is the dilemma. Everyone wants their application developers to be flexible, move fast, securely but just productivity. So you get, give 'em flexibility. The problem with that is analytics on the end want to be structured to be performant. And this is where Snowflake, they have to somehow get that raw data. And it's changing every day because you just let the developers do what they want now, in some structured base, but do what you need to do your business fast and securely. So it completely destroys. So they have large customers trying to do big integrations for this messy data. And it doesn't quite work, cause you literally just can't make the pipelines work. So that's where we're complimentary do it. So now, the particular integration wasn't, we need a little bit deeper integration to do that. So we're integrating, actually, at the data app layer. But we could, see us and I don't, listen. I think Snowflake's a good actor. They're trying to figure out what's best for the customers. And I think we just participate in that. >> Yeah. And I think they're trying to figure out >> Yeah. >> how to grow their ecosystem. Because they know they can't do it all, in fact, >> And we solve the key thing, they just can't do certain things. And we do that well. Yeah, I have SQL but that's where it ends. >> Yeah. >> I do the messy data and how to play with them. >> And when you talk to one of their founders, anyway, Benoit, he comes on the cube and he's like, we start with simple. >> Yeah. >> It reminds me of the guy's some Pure Storage, that guy Coz, he's always like, no, if it starts to get too complicated. So that's why they said all right, we're not going to start out trying to figure out how to do complex joins and workload management. And they turn that into a feature. So like you say, I think both can win. It's a big market. >> I think it's a good model. And I love to see Frank, you know, move. >> Yeah. I forgot So you AVMAR... >> In the day. >> You guys used to hate each other, right? >> No, no, no >> No. I mean, it's all good. >> But the thing is, look what he's done. Like I wouldn't bet against Frank. I think it's a good message. You can see clients trying to do it. Same thing with Databricks, same thing with BigQuery. We get a lot of same dynamic in BigQuery. It's good for a lot of things, but it's not everything you need to do. And there's ways for the ecosystem to play together. >> Well, what's interesting about BigQuery is, it is truly cloud native, as is Snowflake. You know, whereas Amazon Redshift was sort of Parexel, it's cobbled together now. It's great engineering, but BigQuery gets a lot of high marks. But again, there's limitations to everything. That's why companies like yours can exist. >> And that's why.. so back to the Supercloud. It allows me as a company to participate in that because I'm leveraging all the underlying pieces. Which we couldn't be doing what we're doing now, without leveraging the Supercloud concepts right, so... >> Ed, I really appreciate you coming by, help me wrap up today in RE:INFORCE. Always a pleasure seeing you, my friend. >> Thank you. >> All right. Okay, this is a wrap on day one. We'll be back tomorrow. I'll be solo. John Furrier had to fly out but we'll be following what he's doing. This is RE:INFORCE 2022. You're watching theCUBE. I'll see you tomorrow.

(upbeat music) >> Hello everyone, welcome back to theCUBE's coverage of splunk.com 2021 virtual. We're here live in the Splunk studios. We're all here gettin all the action, all the stories. Garth Fort, senior vice president, Chief Product Officer at Splunk is here with me. CUBE alumni. Great to see you. Last time I saw you, we were at AWS now here at Splunk. Congratulations on the new role. >> Thank you. Great to see you again. >> Great keynote and great team. Congratulations. >> Thank you. Thank you. It's a lot of fun. >> So let's get into the keynote a little bit on the product. You're the Chief Product Officer. We interviewed Shawn Bice, who's also working with you as well. He's your boss. Talk about the, the next level, cause you're seeing some new enhancements. Let's get to the news first. Talk about the new enhancements. >> Yeah, this was actually a really fun keynote for me. So I think there was a lot of great stuff that came out of the rest of it. But I had the honor to actually showcase a lot of the product innovation, you know, since we did .conf last year, we've actually closed four different acquisitions. We shipped 43 major releases and we've done hundreds of small enhancements, like we're shipping code in the cloud every six weeks and we're shipping new versions twice a year for our Splunk Enterprise customers. And so this was kind of like if you've seen that movie Sophie's Choice, you know, where you have to pick one of your children, like this was a really hard, hard thing to pick. Cause we only had about 25 minutes, but we did like four demos that I think landed really well. The first was what we call ingest actions and you know, there's customers that are using, they start small with gigabytes and they go to terabytes and up to petabytes of data per day. And so they wanted tools that allow them to kind of modify filter and then route data to different sort of parts of their infrastructure. So that was the first demo. We did another demo on our, our visual playbook editor for SOAR, which has improved quite a bit. You know, a lot of the analysts that are in the, in the, in the SOC trying to figure out how to automate responses and reduce sort of time to resolution, like they're not Python experts. And so having a visual playbook editor that lets them drag and drop and sort of with a few simple gestures create complex playbooks was pretty cool. We showed some new capabilities in our APM tool. Last year, we announced we acquired a company called Plumbr, which has expertise in basically like code level analysis and, and we're calling it "Always On" profiling. So we, we did that demo and gosh, we did one more, four, but four total demos. I think, you know, people were really happy to see, you know, the thing that we really tried to do was ground all of our sort of like tech talk and stuff that was like real and today, like this is not some futuristic vision. I mean, Shawn did lay out some, some great visions, visionary kind of pillars. But, what we showed in the keynote was I it's all shipping code. >> I mean, there's plenty of head room in this market when it comes to data as value and data in motion, all these things. But we were talking before you came on camera earlier in the morning about actually how good Splunk product and broad and deep the product portfolio as well. >> Garth: Yeah. >> I mean, it's, I mean, it's not a utility and a tooling, it's a platform with tools and utilities. >> Garth: Yeah >> It's a fully blown out platform. >> Yeah. Yeah. It is a platform and, and, you know, it's, it's one that's quite interesting. I've had the pleasure to meet a couple of big customers and it's kind of amazing, like what they do with Splunk. Like I was meeting with a large telco on the east coast and you know, they actually, for their set top boxes, they actually have to figure out in real time, which ads to display and the only tool they could find to process 15 million events in real time, to decide what ad to display, was Splunk. So that was, that was like really cool to hear. Like we never set out to be like an ad tech kind of platform and yet we're the only tool that operates at that level of scale and that kind of data. >> You know, it's funny, Doug Merritt mentioned this in my interview with him earlier today about, you know, and he wasn't shy about it, which was great. He was like, we're an enabling platform. We don't have to be experts in all these vertical industries >> Garth: Yep >> because AI takes care of that. That's where the machine learning >> Garth: Yeah >> and the applications get built. So others are trying to build fully vertically integrated stacks into these verticals when in reality they don't have to, if they don't want it. >> Yeah, and Splunk's kind of, it's quite interesting when you look across our top 100 customers, you know, Doug talks about like the, you know, 92 of the fortune 100 are kind of using Splunk today, but the diversity across industries and, you know, we have government agencies, we have, you know, you name the retail or the vertical, you know, we've got really big customers, they're using Splunk. And the other thing that I kind of, I was excited about, we announced the last demo I forgot was TruSTAR integration with Enterprise Security. That's pretty cool. We're calling that Splunk Threat Intelligence. And so That was really fun and we only acquired, we closed the acquisition to TruSTAR in May, but the good news is they've been a partner with us like for 18 months before we actually bought em. And so they'd already done a lot of the work to integrate. And so they had a running start in that regard, But other, one other one that was kind of a, it was a small thing. I didn't get to demo it, but we talked about the, the content pack for application performance monitoring. And so, you know, in some ways we compete in the APM level, but in many ways there's a ton of great APM vendors out there that customers are using. But what they wanted us to do was like, hey, if I'm using APM for that one app, I still want to get data out of that and into Splunk because Splunk ends up being like the core repository for observability, security, IT ops, Dev Sec Ops, et cetera. It's kind of like where the truth, the operational truth of how your systems works, lives in Splunk. >> It's so funny. The Splunk business model has actually been replicated. They call it data lake, whatever you want to call it. People are bringing up all these different metaphors. But at the end of the day, if you guys can create a value proposition where you can have data just be, you know, stored and dumped and dumped into whatever they call it stored in a way >> Garth: We call it ingest >> Ingested, ingested. >> Garth: Not dumped. >> Data dump. >> Garth: It's ingested. >> Well, I mean, well you given me a plan, but you don't have to do a lot of work to store just, okay, we can only get to it later, >> Garth: Yep. >> But let the machines take over >> Garth: Yep. >> With the machine learning. I totally get that. Now, as a pro, as a product leader, I have to ask you your, your mindset around optimization. What do you optimize for? Because a lot of times these use cases are emerging. They just pop out of nowhere. It's a net new use case that you want to operationalize. So balancing the headroom >> Yep. >> Or not to foreclose those new opportunities for customers. How are customers deciding what's important to them? How do you, because you're trying to read the tea leaves for the future >> Garth: A little bit, yeah. >> and then go, okay, what do our customers need, but you don't want to foreclose anything. How do you think about product strategy around that? >> There's a ton of opportunity to interact with customers. We have this thing called the Customer Advisory Board. We run, I think, four of them and we run a monthly. And so we got an opportunity to kind of get that anecdotal data and the direct contact. We also have a portal called ideas.splunk.com where customers can come tell us what they want us to build next. And we look at that every month, you know, and there's no way that we could ever build everything that they're asking us to, but we look at that monthly and we use it in sort of our sprint planning to decide where we're going to prioritize engineering resources. And it's just, it's kind of like customers say the darndest things, right? Sometimes they ask us for stuff and we never imagined building it in a million years, >> John: Yeah. >> Like that use case around ads on the set top box, but it's, it's kind of a fun place to be like, we, we just, before this event, we kind of laid out internally what, you know, Shawn and I kind of put together this doc, actually Shawn wrote the bulk of it, but it was about sort of what do we think? Where, where can we take Splunk to the next three to five years? And we talked about these, we referred to them as waves of innovation. Cause you know, like when you think about waves, there's multiple waves that are heading towards the beach >> John: Yeah. >> in parallel, right? It's not like a series of phases that are going to be serialized. It's about making a set of investments. that'll kind of land over time. And, and the first wave is really about, you know, what I would say is sort of, you know, really delivering on the promise of Splunk and some of that's around integration, single sign-on things about like making all of the Splunk Splunk products work together more easily. We've talked a lot in the Q and a about like edge and hybrid. And that's really where our customers are. If you watch the Koby Avital's sort of customer keynote, you know, Walmart by necessity, given their geographic breadth and the customers they serve has to have their own infrastructure. They use Google, they use Azure and they have this abstraction layer that Koby's team has built on top. And they use Splunk to manage kind of, operate basically all of their infrastructure across those three clouds. So that's the hybrid edge scenario. We were thinking a lot about, you mentioned data lakes. You know, if you go back to 2002, when Splunk was founded, you know, the thing we were trying to do is help people make sense of log files. But now if you talk to customers that are moving to cloud, everybody's building a data lake and there's like billions of objects flowing into millions of these S3 buckets all over the place. And we're kind of trying to think about, hey, is there an opportunity for us to point our indexing and analytics capability against structured and unstructured data and those data lakes. So that that'll be something we're going to >> Yeah. >> at least start prototyping pretty soon. And then lastly, machine learning, you know, I'd say, you know, to use a baseball metaphor, like in terms of like how we apply machine learning, we're like in the bottom of the second inning, >> Yeah. >> you know, we've been doing it for a number of years, but there's so much more. >> There's so, I mean, machine learning is only as good as the data you put into the machine learning. >> Exactly, exactly. >> And so if you have, if you have gap in the data, the machine learning is going to have gaps in it. >> Yeah. And we have, we announced a feature today called auto detect. And I won't go into the gory details, but effectively what it does is it runs a real-time analytics job over whatever metrics you want to look at and you can do what I would consider more statistics versus machine learning. You can say, hey, if in a 10 minute period, like, you know, we see more errors than we see on average over the last week, throw an alert so I can go investigate and take a look. Imagine if you didn't have to figure out what the right thresholds were, if we could just watch those metrics for you and automatically understand the seasonality, the timing, is it a weekly thing? Is it a monthly thing? And then like tell you like use machine learning to do the anomaly detection, but do it in a way that's more intelligent than just the static threshold. >> Yeah. >> And so I think you'll see things like auto detect, which we announced this week will evolve to take advantage of machine learning kind of under the covers, if you will. >> Yeah. It was interesting with cloud scale and the data velocity, automations become super important. >> Oh yeah. >> You don't have a lot of new disciplines emerge, like explainable AI is hot right now. So you got, the puck is coming. You can see where the puck is going. >> Yeah >> And that is automation at the app edge or the application layer where the data has got to be free-flowing or addressable. >> Garth: Yeah. >> This is something that is being talked about. And we talked about data divide with, with Chris earlier about the policy side of things. And now data is part of everything. It's part of the apps. >> Garth: Yeah. >> It's not just stored stuff. So it's always in flight. It should be addressable. This is what people want. What do you think about all of that? >> No, I think it's great. I actually just can I, I'll quote from Steve Schmidt in, in sort of the keynote, he said, look like security at the end of the day is a human problem, but it kind of manifests itself through data. And so being able to understand what's happening in the data will tell you, like, is there a bad actor, like wreaking havoc inside of my systems? And like, you can use that, the data trail if you will, of the bad actor to chase them down and sort of isolate em. >> The digital footprints, if you will, looking at a trail. >> Yeah. >> All right, what's the coolest thing that you like right now, when you look at the treasure trove of, of a value, as you look at it, and this is a range of value, Splunk, Splunk has had customers come in with, with the early product, but they keep the customers and they always do new things and they operationalize it >> Garth: Yep. >> and another new thing comes, they operationalize it. What's the next new thing that's coming, that's the next big thing. >> Dude that is like asking me which one of my daughters do I love the most, like that is so unfair. (laughing) I'm not going to answer that one. Next question please. >> Okay. All right. Okay. What's your goals for the next year or two? >> Yeah, so I just kind of finished roughly my first 100 days and it's been great to, you know, I had a whole plan, 30, 60, 90, and I had a bunch of stuff I wanted to do. Like I'm really hoping, sort of, we get past this current kind of COVID scare and we get to back to normal. Cause I'm really looking forward to getting back on the road and sort of meeting with customers, you know, you can meet over Zoom and that's great, but what I've learned over time, you know, I used to go, I'd fly to Wichita, Kansas and actually go sit down with the operators like at their desk and watch how they use my tools. And that actually teaches you. Like you, you come up with things when you see, you know, your product in the hands of your customer, that you don't get from like a CAB meeting or from a Zoom call, you know? >> John: Yeah, yeah. >> And so being able to visit customers where they live, where they work and kind of like understand what we can do to make their lives better. Like that's going to, I'm actually really excited to gettin back to travel. >> If you could give advice to CTO, CISO, or CIO or a practitioner out there who are, who is who's sitting at their virtual desk or their physical desk thinking, okay, the pandemic, were coming through the pandemic. I want to come out with a growth strategy, with a plan that's going to be expansive, not restrictive. The pandemic has shown what's what works, what doesn't work. >> Garth: Sure. >> So it's going to be some projects that might not get renewed, but there's doubling down on, certainly with cloud scale. What would advice would you give that person when they start thinking about, okay, I got to get my architecture right. >> Yeah. >> I got to get my playbooks in place. I got to get my people aligned. >> Yeah >> What's what do you see as a best practice for kind of the mindset to actual implementation of data, managing the data? >> Yeah, and again, I'm, I'm, this is not an original Garth thought. It actually came from one of our customers. You know, the, I think we all, like you think back to March and April of 2020 as this thing was really getting real. Everybody moved as fast as they could to either scale up or scale scaled on operations. If you were in travel and hospitality, you know, that was, you know, you had to figure how to scale down quickly and like what you could shut down safely. If you were like in the food delivery business, you had to figure out how you could scale up, like Chipotle hit two, what is it? $2 billion run rate on delivery last year. And so people scrambled as fast as they could to sort of adapt to this new world. And I think we're all coming to the realization that as we sort of exit and get back to some sense of new normal, there's a lot of what we're doing today that's going to persist. Like, I think we're going to have like flexible rules. I don't think everybody's going to want to come back into the office. And so I think, I think the thing to do is you think about returning to whatever this new normal looks like is like, what did we learn that was good. And like the pandemic had a silver lining for folks in many ways. And it sucked for a lot. I'm not saying it was a good thing, but you know, there were things that we did to adapt that I think actually made like the workplace, like stronger and better. And, and sort of. >> It showed that data's important, internet is important. Didn't break, the internet didn't break. >> Garth: Correct. >> Zoom was amazing. And the teleconferencing with other tools. >> But that's kind of, just to sort of like, what did you learn over the last 18 months that you're going to take for it into the next 18 years? You know what I mean? Cause there was a lot of good and I think people were creative and they figured out like how to adapt super quickly and take the best of the pandemic and turn it into like a better place to work. >> Hybrid, hybrid events, hybrid workforce, hybrid workflows. What's what's your vision on Splunk as a tier one enterprise? Because a lot of the news that I'm seeing that's, that's the tell sign to me in terms of this next growth wave is big SI deals, Accenture and others are yours working with and you still got the other Partnerverse going. You have the ecosystems emerging. >> Garth: Yep. >> That's a good, that means your product's enabling people to make money. >> Garth: Yeah. Yeah, yeah, yeah. >> And that's a good thing. >> Yeah, BlueVoyant was a great example in the keynote yesterday and they, you know, they've really, they've kind of figured out how, you know, most of their customers, they serve customers in heavily regulated industries kind of, and you know, those customers actually want their data in a Splunk tenant that they own and control and they want to have that secure boundary around that. But BlueVoyant's figured out how they can come in and say, hey, I'm going to take care of the heavy lifting of the day-to-day operations, the monitoring of that environment with the security. So, so BlueVoyant has done a great job sort of pivoting and figuring out how they can add value to customers and do, you know, because they they're managing not just one Splunk instance, but they're managing 100s of Splunk cloud instances. And so they've got best practices and automation that they can play across their entire client base. And I think you're going to see a lot more of that. And, and Teresa's just, Teresa is just, she loves Partners, absolutely loves Partners. And that was just obvious. You could, you could hear it in her voice. You could see it in her body language, you know, when she talked about Partnerverse. So I think you'll see us start to really get a lot more serious. Cause as big as Splunk is like our pro serve and support teams are not going to scale for the next 10,000, 100,000 Splunk customers. And we really need to like really think about how we use Partners. >> There's a real growth wave. And I, and I love the multiples wave in parallel because I think that's what everyone's consensus on. So I have to ask you as a final question, what's your takeaway? Obviously, there's been a virtual studio here where all the Splunk executives and, and, and customers and partners are here. TheCUBE's here doing all the presentations, live by the way. It was awesome. What would you say the takeaway is for this .conf, for the people watching and consuming all the content online? A lot of asynchronous consumption would be happening. >> Sure. >> What's your takeaway from this year's Splunk .conf? >> You know, I, it's hard cause you know, you get so close to it and we've rehearsed this thing so many times, you know, the feedback that I got and if you look at Twitter and you look at my Slack and everything else, like this felt like a conf that was like kind of like a really genuine, almost like a Splunk two dot O. But it's sort of true to the roots of what Splunk was true to the product reality. I mean, you know, I was really careful with my team and to avoid any whiff of vaporware, like what were, what we wanted to show was like, look, this is Splunk, we're acquiring companies, you know, 43 major releases, you know, 100s of small ones. Like we're continuing to innovate on your behalf as fast as we can. And hopefully this is the last virtual conf. But even when we go back, like there was so much good about the way we did this this week, that, you know, when we, when we broke yesterday on the keynote and we were sitting around with the crew and it kind of looking at that stage and everything, we were like, wow, there is a lot of this that we want to bring to an in-person event as well. Cause so for those that want to travel and come sit in the room with us, we're super excited to do that as soon as we can. But, but then, you know, there may be 25, 50, 100,000 that don't want to travel, but can access us via this virtual event. >> It's like a time. It's a moment in time that becomes a timeless moment. That could be, >> Wow, did you make that up right now? >> that could be an NFT. >> Yeah >> We can make a global cryptocurrency. Garth, great to see you. Of course I made it up right then. So, great to see you. >> Air bump, air bump? Okay, good. >> Okay. Garth Fort, senior vice president, Chief Product Officer. In theCUBE here, we're live on site at Splunk Studio for the .conf virtual event. I'm John Furrier. Thanks for watching. >> All right. Thank you guys. (upbeat music)

>>Welcome back to the cubes, continuous coverage of AWS storage day. We're in beautiful downtown Seattle in the great Northwest. My name is Dave Vellante and we're going to talk about file systems. File systems are really tricky and making those file systems elastic is even harder. They've got a long history of serving a variety of use cases as with me as Duncan Lennox. Who's the general manager of Amazon elastic file system. Dunkin. Good to see you again, Dave. Good to see you. So tell me more around the specifically, uh, Amazon's elastic file system EFS you, you know, broad file portfolio, but, but let's narrow in on that. What do we need to know? >>Yeah, well, Amazon elastic file system or EFS as we call it is our simple serverless set and forget elastic file system service. So what we mean by that is we deliver something that's extremely simple for customers to use. There's not a lot of knobs and levers. They need to turn or pull to make it work or manage it on an ongoing basis. The serverless part of it is there's absolutely no infrastructure for customers to manage. We handled that entirely for them. The elastic part then is the file system automatically grows and shrinks as they add and delete data. So they never have to provision storage or risk running out of storage and they pay only for the storage they're actually using. >>What are the sort of use cases and workloads that you see EFS supporting? >>Yeah. Yeah. It has to support a broad set of customer workloads. So it's everything from, you know, serial, highly latency, sensitive applications that customers might be running on-prem today and want to move to the AWS cloud up to massively parallel scale-out workloads that they have as well. >>So. Okay. Are there any industry patterns that you see around that? Are there other industries that sort of lean in more or is it more across the board? We >>See it across the board, although I'd have to say that we see a lot of adoption within compliance and regulated industries. And a lot of that is because of not only our simplicity, but the high levels of availability and durability that we bring to the file system as well. The data is designed for 11 nines of durability. So essentially you don't need to be worrying about your anything happening into your data. And it's a regional service meaning that your file system is available from all availability zones in a particular region for high availability. >>So as part of storage data, we, we saw some, some new tiering announcements. W w w what can you tell us about those >>Super excited to be announcing EFS intelligent tiering? And this is a capability that we're bringing to EFS that allows customers to automatically get the best of both worlds and get cost optimization for their workloads and how it works is the customer can select, uh, using our lifecycle management capability, a policy for how long they want their data to remain active in one of our active storage classes, seven days, for example, or 30 days. And what we do is we automatically monitor every access to every file they have. And if we see no access to a file for their policy period, like seven days or 30 days, we automatically and transparently move that file to one of our cost optimized, optimized storage classes. So they can save up to 92% on their storage costs. Um, one of the really cool things about intelligent tiering then is if that data ever becomes active again and their workload or their application, or their users need to access it, it's automatically moved back to a performance optimized storage class, and this is all completely transparent to their applications and users. >>So, so how, how does that work? Are you using some kind of machine intelligence to sort of monitor things and just learn over time? And like, what if I policy, what if I don't get it quite right? Or maybe I have some quarter end or maybe twice a year, you know, I need access to that. Can you, can the system help me figure >>That out? Yeah. The beauty of it is you don't need to know how your application or workload is accessing the file system or worry about those access patterns changing. So we'll take care of monitoring every access to every file and move the file either to the cost optimized storage class or back to the performance optimized class as needed by your application. >>And then optimized storage classes is again, selected by the system. I don't have to >>It that's right. It's completely transparent. So we will take care of that for you. So you'll set the policy by which you want active data to be moved to the infrequent access cost optimized storage class, like 30 or seven days. And then you can set a policy that says if that data is ever touched again, to move it back to the performance optimized storage class. So that's then all happened automatically by the service on our side. You don't need to do anything >>It's, it's it's serverless, which means what I don't have to provision any, any compute infrastructure. >>That's right. What you get is an end point, the ability to Mount your file system using NFS, or you can also manage your file system from any of our compute services in AWS. So not only directly on an instance, but also from our serverless compute models like AWS Lambda and far gays, and from our container services like ECS and EKS, and all of the infrastructure is completely managed by us. You don't see it, you don't need to worry about it. We scale it automatically for you. >>What was the catalyst for all this? I mean, you know, you got to tell me it's customers, but maybe you could give me some, some insight and add some, some color. Like, what would you decoded sort of what the customers were saying? Did you get inputs from a lot of different places, you know, and you had to put that together and shape it. Uh, tell us, uh, take us inside that sort of how you came to where you are >>Today. Well, you know, I guess at the end of the day, when you think about storage and particularly file system storage, customers always want more performance and they want lower costs. So we're constantly optimizing on both of those dimensions. How can we find a way to deliver more value and lower cost to customers, but also meet the performance needs that their workloads have. And what we found in talking to customers, particularly the customers that EFS targets, they are application administrators, their dev ops practitioners, their data scientists, they have a job they want to do. They're not typically storage specialists. They don't want to have know or learn a lot about the bowels of storage architecture, and how to optimize for what their applications need. They want to focus on solving the business problems. They're focused on whatever those are >>You meaning, for instance. So you took tiering is obvious. You're tiering to lower cost storage, serverless. I'm not provisioning, you know, servers, myself, the system I'm just paying for what I use. The elasticity is a factor. So I'm not having to over provision. And I think I'm hearing, I don't have to spend my time turning knobs. You've talked about that before, because I don't know how much time is spent, you know, tuning systems, but it's gotta be at least 15 to 20% of the storage admins time. You're eliminating that as well. Is that what you mean by sort of cost optimum? Absolutely. >>So we're, we're providing the scale of capacity of performance that customer applications need as they needed without the customer needing to know exactly how to configure the service, to get what they need. We're dealing with changing workloads and changing access patterns. And we're optimizing their storage costs. As at the same time, >>When you guys step back, you get to the whiteboard out, say, okay, what's the north star that you're working because you know, you set the north star. You don't want to keep revisiting that, right? This is we're moving in this direction. How do we get there might change, but what's your north star? Where do you see the future? >>Yeah, it's really all about delivering simple file system storage that just works. And that sounds really easy, but there's a lot of nuance and complexity behind it, but customers don't want to have to worry about how it works. They just need it to work. And we, our goal is to deliver that for a super broad cross section of applications so that customers don't need to worry about how they performance tune or how they cost optimize. We deliver that value for them. >>Yeah. So I'm going to actually follow up on that because I feel like, you know, when you listen to Werner Vogels talk, he gives takes you inside. It's a plumbing sometimes. So what is the, what is that because you're right. That it, it sounds simple, but it's not. And as I said up front file systems, getting that right is really, really challenging. So technically what's the challenges, is it doing this at scale? And, and, and, and, and, and having some, a consistent experience for customers, there's >>Always a challenge to doing what we do at scale. I mean, the elasticity is something that we provide to our customers, but ultimately we have to take their data as bits and put them into Adams at some point. So we're managing infrastructure on the backend to support that. And we also have to do that in a way that delivers something that's cost-effective for customers. So there's a balance and a natural tension there between things like elasticity and simplicity, performance, cost, availability, and durability, and getting that balance right. And being able to cover the maximum cross section of all those things. So for the widest set of workloads, we see that as our job and we're delivering value, and we're doing that >>For our customers. Then of course, it was a big part of that. And of course, when we talk about, you know, the taking away the, the need for tuning, but, but you got to get it right. I mean, you, you, you can't, you can't optimize for every single use case. Right. But you can give great granularity to allow those use cases to be supported. And that seems to be sort of the balancing act that you guys so >>Well, absolutely. It's focused on being a general purpose file system. That's going to work for a broad cross section of, of applications and workloads. >>Right. Right. And that's, that's what customers want. You know, generally speaking, you go after that, that metal Dunkin, I'll give you the last word. >>I just encourage people to come and try out EFS it's as simple as a single click in our console to create a file system and get started. So come give it a, try the >>Button Duncan. Thanks so much for coming back to the cube. It's great to see you again. Thanks, Dave. All right. And keep it right there for more great content from AWS storage day from Seattle.

>> Announcer: From around the globe, it's theCUBE with digital coverage of Dell Technologies world, digital experience, brought to you by Dell Technologies. >> Hi, I'm Stu Miniman and this is theCUBE coverage of Dell Technologies world digital experience. Happy to welcome to the program. First we have a first time guest Akanksha Mehrotra, she's the Vice President of Marketing with Dell Technologies. Joining us one of our CUBE alumni, Caitlin Gordon, she's the Vice President of Product Marketing, also with Dell Technologies. Caitlin, welcome back, Akanksha welcome to the program. >> Thank you Stu, happy to be here. >> Alright, so one of the big models we've been talking about for the last few years is a change in how customers acquire things, big thing we've talked about, for many years, this shift from CAPEX to OPEX. How cloud is impacting everything Jeff Clarke in the keynote was talking about, it's the Dell Technologies on demand, DTOD, I guess is the, four letter acronym we use Akansha help us understand a little bit from your standpoint, what is it? Why is it important to your customers? >> Yeah, so Stu, as soon as you as you heard, as part of the keynote, from from Jeff and others earlier today, we've been working really hard to bring the benefits of on demand IT to our customers, in private cloud, public cloud and edge. And certainly this year, especially, we've seen a lot of interest in this, COVID have catalyzed customer interest in flexible consumption in as a service. As we talk with our customers and partners, we hear this almost daily, it's required a level of agility that candidly traditional CAPEX based models simply haven't been able to provide, I mean, imagine taking your workforce remote over the weekend, and the stress that puts on your infrastructure. And so I think that's kind of forced IT to consider some of these alternatives. Another factor has also been, companies have been wanting to preserve capital, right, and avoid large cash outlays and having this type of flexibility and being able to pay for infrastructure, as you're using it, it gives them a way to do that. So I mean, those are some of the customer drivers that we've seen. Last year at Dell Tech Summit, around the this time last year, actually, in November timeframe, we introduced Dell Technologies on demand as our umbrella program for a flexible consumption and as a service solutions. And really what it what it seeks to do is make it easier for customers to get the simplicity and flexibility of cloud, along with the performance and security of on-premises infrastructure. So it's giving them a range of consumption models that include both payment option as well as services that they can apply on any one of the products in our portfolio from end user devices to core data center infrastructure to hybrid cloud solutions. And we've announced that last year, one of the things that you heard about today, and that we're announcing over this event is that we're continually looking to make it easier and simpler for our customers with various turnkey offerings and simpler offerings for them, given the interest that we've seen. >> Yeah, I want to key off of, you mentioned the impact of COVID-19. And for your customers, it's something we've definitely seen that the promise of cloud always has been to be highly flexible, we can scale up, we can scale down. We know that some services out there aren't always as flexible as we might hope. There's certain SaaS solutions, where you're signing up for a multi year offering and even for the cloud, I might lock in some savings by buying something in bulk. So help us understand, what are the benefits that your customer sees, the savings that they get and is this truly cloud flexible, which means I can burst up and scale as I need. And I can it reached the point, oh, hey, I need half the capacity for the next six months. Can I do that? >> Yeah, absolutely. So, Stu we actually commissioned IBC to talk to a few of our customers. So let me maybe share some of the benefits that they saw in broad terms, and then I can maybe share a specific example of what a particular customer saw. So we had IDC talk to several of the customers using Dell Technologies on demand models, various GIOS, and various sort of sizes. And what they found was that on average, they saw about a 23%, lower cost of storage operations per year, which is great, right? Lower cost of operations is always great. IT is always looking for those efficiencies, especially, in the current environment, but that's not all. I think that's just sort of part of the story. What they also shared with us is that, these types of models were able to help them become much more agile in how they work and change how they work. And what they found was that they saw 54% fewer incidents of downtime and they were 92% faster in their ability to deploy storage capacity, because they had that capacity in their data center available ready for that spike when their business saw it. ` So those are just some of the broad examples of what our customers have seen. Another specific example that I would would share with you is a large multinational institution, financial services company, we've been working with them for years to service their, enterprise scale, private cloud. And then more recently, they had us also, manage their storage as a service managed utility. And they've seen phenomenal results, they've been able to get 50% more compute power at 8%, lower cost, and 90% faster or reduce time and provisioning data. It's all about the yes, it's about the cost savings but really, it's about the agility that the business gets, right. And as you started out, right, with COVID, they really needed that agility and that flexibility and having these models available, ready to spike, ready to go down, right, have been able to provide that. >> Yeah, I think another thing we've seen is, people rush to cloud because it promised that agility, and we've had those conversations before is, there's a reality of what that means, which it might not be the resiliency you're looking for, it also might not actually be as simple as he thought it might be. And we're seeing some of that come back on-prem, whether you need resiliency or performance or security, or you don't want to be really locked into a specific public cloud but you still want to have that agility in the benefits of really running your data center in a service oriented model. And that trend has been picking up over the past couple years. And as we've already said a couple times today, we've seen that accelerate, but also, we starting to see more customers ask for it. It's not just the big and more strategic and the aggressive customers that are looking for this more and more customers are kind of seeing that this is the end game and that's kind of leads into where we're going, which is, how do we make this more accessible to others? >> Well, Caitlin, you're using one of one of my punch lines that I've used for a number of years now if remember, when we thought that cloud was inexpensive and easy to use, it's not. And if we look at what customers are doing, it's a hybrid model. They're deploying in multiple environments, we're seeing the public cloud look more like the enterprise, the enterprise look more like, the public cloud. So these offerings have, OPEX flexibility and the like, make a whole lot of sense. So you've said that, you've seen a lot of growth, especially this year, any metrics you can give us on, adoption, love the one customer example, in the financial space, anything else to kind of paint the picture as to, how prevalent this is becoming. >> Yeah, maybe I'll get started. So, we've seen nearly 50%, year over year growth in the customer base or our most recent quarter, and it's growing, we've seen over 500% increase, year on year in signed contracts, customer demand in these types of models has caused us to expand our offerings to into countries like Brazil, Chile, Colombia, India, and China. I mean, we already offered about 50 plus countries and along with our partner, network and even more, so, I mean, those are just some of the data points around business traction. In the models that we have another proof point that I could point you to is that, in April, we include, we announced a payment flexibility program, which gave our customers a number of promotions and options to extend this flexibility into, across our portfolio and into other parts of our businesses. And just recently, about a month ago, we extended that, and we've seen really good traction in that as well. So I think overall, like you said there's aspects about public cloud that customers really like, and they tell us, hey, I want to be able to pay as I go, I want to be able to extend and contract the infrastructure as I'm using it. I want a simple management experience. But then as Caitlin said, they realize that Oh, but I don't want to, pay for the refactoring and then the egress and the ingress charges and some of my workloads are better off on premises for performance, locality, security, compliance reasons, right. And therein lies the promise of as a service for on-prem infrastructure, 'cause really, I keep looking for the best of both worlds. And this gives you that right you can use the consumption models to grow and shrink as you needed, you can us the payment models to only pay for what you're using and along with our partner network, you can have in the location that you want so you can sort of have your cake and eat it too. >> Yeah, and I would just add on to that is that more and more of the conversation is both about how can I consume that more as a service and pay for just what I'm using? But also, how can I spend less time maybe zero time and energy actually managing that infrastructure? And how can I then allocate the time energy resources into running my business and investing in more strategic things? So becomes both an important financial conversation but even more so a conversation about how IT can empower the business, which really just changes what we're able to do for customers. So it's an exciting kind of transition to see this really evolve into really not talking about products anymore, and helping our customers have all their business. >> Well, Caitlin, that's a really interesting point, I want you to talk to us a little bit about the Dell Tech storage as a service, how does that fit, we were just talking about don't want to talk about products, we want to talk about really moving to that full OPEX model so help connect the dots for us. >> Yeah, so we're really excited about this, this will be coming in the first half of next year, as you probably heard earlier today. And what we're doing here is we've really taken what we already have had in market. And we've really upped that to the next level, we've accelerated the simplicity of what we offer here. And think of the experience is all starting in a single console, where you just pick up four things, what's the type of storage you want, what's the performance you want, how much and for how long, that's it. And then now we're counting the time from then to when it's in your data center in days, not months, not weeks, but in days and we're able to get you up and going. And it's your data center of your choice, whether that's on-prem in your own data center, or at a colo facility, we bring that equipment in, we get that deployed, we manage it for you, you operate it, and you simply pay for what you use. So you're really in a quick time to value you're in a very simple model and you're not really responsible for managing infrastructure that's really on us. And that moves you into being in a true OPEX model and it also enables you to accelerate what you're able to leverage that whether it's Blob Storage, file storage, you can get up and running quickly and let us worry about how to manage the infrastructure and we give you the ability to operate what you need to. >> Caitlin, maybe if you could give us a little bit of color as to what happens behind the scenes to make that work. As it sounds wonderful, you've had the program around for a year, these aren't trivial things that you're talking about all the logistics, the management the the gear, and making sure that the physical and the power and everything is all set. So help us understand the engineering, the development, and what this means from kind of a services and go to market that make a solution like this work. >> Yeah, and a lot of ways we're having to change our entire business to help our customers change there's, it goes from top to bottom, and you'll get to hear a lot more about it when we're actually available next year. But when you think about it, we have a lot of the DNA, we have a lot of the experience, we have the technology, but we almost have to completely flip the script on ourselves of how we deliver it, who our customer is, what our then end user customer needs from us, and what the role of things like our global services organization is what the role of our global sales organization is and how do we accelerate providing outcomes to our customers and get the rest out of their way. And the fact that I haven't mentioned a product name, but by the way, we actually have industry leading products and pretty much every category. So of course, on the back end, all of this is going to be powered by our industry leading storage solutions, like power store will be in your data center but at the same time, we will actually have worked to really masked that you don't even need to know that nor do you need to really operate much beyond what you need to really run your business. And that's really it's been an interesting work for us to just flip how we think about everything and you'll hear a whole lot more about it next year as we really bring this out into market but it's been really fun and a big learning for everyone. >> Excellent well yeah, something something power is underneath there well Caitlin. All right why don't you both give us the final takeaway for the Dell Tech on demand account. Start with you in just give us the final takeaway. >> Yeah, so I think look, I back to kind of what we were talking about, we've actually been offering these types of solutions to our customers for a really long time. Through Dell financial services, we've been offering payment flexibility for over 23 years, over 15 years and manage utility. So the customer example that I gave you is a customer who's running storage as a service and has been for many years, I think, building on that experience, listening to our customers feedback over that time period and over, of course, this past year, we're looking to apply all of that, to make it even more simpler for them to consume our infrastructure in the near future. And so, storage as a service is going to be a really exciting proof point of that, the momentum stats and some of the other things that I shared with you today and that you're going to hear about over the next couple of days or another proof point of it. But we're excited about this, and looking forward to continuing the dialogue with our customers with our partners and (mumbles) >> Then I would I'll kind of play off of one of your words there which is is all about simplicity for us is how do we take what we've been able to do for a lot of our customers accelerate that and simplify it to a point where we can offer that for all of our customers. And we're really looking to accelerate this first with storage and then get all of our offerings really into this model, because it's really about getting our customers out of managing infrastructure and give them the time, energy, resources to manage their business and simplicity is paramount to making sure that happens. >> Caitlin and Akanksha, thank you so much for giving us the updates. Congratulations to all the progress and definitely looking forward to hearing more beginning of next year. Thanks for joining. >> Thank you Stu. >> Thank you Stu >> All right, I'm Stu Miniman this is Dell Technology world digital experience. I'm Stu Miniman. And thank you as always for watching theCUBE (upbeat music)

from the cube studios in Palo Alto in Boston connecting with thought leaders all around the world this is a cube conversation as we've been reporting the Koba 19 pandemic has created a bifurcated IT spending picture and over the last several weeks we've reported both on the macro and even some come at it from from a vendor and a sector view I mean for example we've reported on some of the companies that have really continued to thrive we look at the NASDAQ and its you know near at all-time highs companies like oh and in CrowdStrike we've reported on snowflake uipath the sectors are PA some of the analytic databases around AI maybe even to a lesser extent cloud but still has a lot of tailwind relative to some of those on-prem infrastructure plays even companies like Cisco bifurcated in and of themselves where you see this Meraki side of the house you know doing quite well the work from home stuff but maybe some of the traditional networking not as much well now what if you flip that to really try to understand what's going on with the shape of the recovery which is the main narrative right now is it a v-shape does it a u-shape what is what's that what do people expect and now you understand that you really have to look at different industries because different industries are going to come back at a different pace with me again is Sagar khadiyah who's the director of research at EGR Sagar you guys are all over this as usual timely information it's great to see you again hope all is well in New York City thanks so much David it's a pleasure to be back on again yeah so where are we in the cycle we give dividend a great job and very timely ETR was the first to really put out data on the koban impact with the survey that ran from mid-march to to mid-april and now everybody's attention sagar is focused on okay we're starting to come back stores are starting to open people are beginning to to go out again and everybody wants to know what the shape of the recovery looks like so where are we actually in that research cycle for you guys yeah no problem so like you said you know in that kind of march/april timeframe we really want to go out there and get an idea of what we're doing the budget impacts you know as it relates to IT because of kovat 19 right so we kind of ended off there around a decline of 5% and coming into the year the consensus was of growth of 4 or 5% right so we saw about a 900,000 basis points wing you know to the negative side and the public covered in March and April were you know which sectors and vendors were going to benefit as a result of work from home and so now as we kind of fast forward to the research cycle as we kind of go more into May and into the summer rather than asking those exact same question to get again because it's just been you know maybe 40 or 50 days we really want Singh on the recovery type as well as kind of more emerging private vendors right we want to understand what's gonna be the impact on on these vendors that typically rely on you know larger conferences more in-person meetings because these are younger technologies there's not a lot of information about them and so last Thursday we launched our biannual emerging technology study it covers roughly 300 private emerging technologies across maybe 60 sectors of technology and in tandem we've launched a co-ed flash poll right what we wanted to do was kind of twofold one really understand from CIOs the recovery type they had in mind as well as if they were seeing any any kind of permanent changes in their IT stacks IT spend because of koban 19 and so if we kind of look at the first chart here and kind of get more into that first question around recovery type what we asked CIOs and this kind of COBIT flash poll again we did it last Thursday was what type of recovery are you expecting is it v-shaped so kind of a brief decline you know maybe one quarter and then you're gonna start seeing growth in 2 to H 20 is it you shaped so two to three quarters of a decline or deceleration revenue and you're kind of forecasting that growth in revenue as an organization to come back in 2021 is it l-shaped right so maybe three four five quarters of a decline or deceleration and then you know very minimal to moderate growth or none of the above you know your organization is actually benefiting from from from koban 19 as you know we've seen some many reports so those are kind of the options that we gave CIOs and you kind of see it on that first chart here interesting and this is a survey a flash service 700 CIOs or approximately and the interesting thing I really want to point out here is this you know the koban pandemic was it didn't suppress you know all companies you know and in the return it's not going to be a rising tide lifts all ships you really got to do your research you have to understand the different sectors really try to peel back the onion skin and understand why there's certain momentum how certain organizations are accommodating the work from home we heard you know several weeks ago how there's a major change in in networking mindsets we're talking about how security is changing we're going to talk about some of the permanence but it's really really important to try to understand these different trends by different industries which you're going to talk about in a minute but if you take a look at this slide I mean obviously most people expect this u-shaped decline I mean a you know a u-shaped recovery rather so it's two or three quarters followed by some growth next year but as we'll see some of these industries are gonna really go deeper with an l-shape recovery and then it's really interesting that a pretty large and substantial portion see this as a tailwind presumably those with you know strong SAS models some annual recurring revenue models your thoughts if we kind of star on this kind of aggregate chart you know you're looking at about forty four percent of CIOs anticipated u-shaped recovery right that's the largest bucket and then you can see another 15 percent and to say an l-shape recovery 14 on the v-shaped and then 16 percent to your point that are kind of seeing this this tailwind but if we kind of focus on that largest bucket that you shaped you know one of the thing to remember and again when we asked is two CIOs within the within this kind of coded flash poll we also asked can you give us some commentary and so one of the things that or one of the themes that are kind of coming along with this u-shaped recovery is you know CIOs are cautiously optimistic about this u-shaped recovery you know they believe that they can get back on to a growth cycle into 2021 as long as there's a vaccine available we don't go into a second wave of lockdowns economic activity picks up a lot of the government actions you know become effective so there are some kind of let's call it qualifiers with this bucket of CIOs that are anticipating a u-shape recovery what they're saying is that look we are expecting these things to happen we're not expecting that our lock down we are expecting a vaccine and if that takes place then we do expect an uptick in growth or going back to kind of pre coded levels in in 2021 but you know I think it's fair to assume that if one or more of these are apps and and things do get worse as all these states are opening up maybe the recovery cycle gets pushed along so kind of at the aggregate this is where we are right now yeah so as I was saying and you really have to understand the different not only different sectors and all the different vendors but you got to look into the industries and then even within industries so if we pull up the next chart we have the industry to the breakdown and sort of the responses by the industries v-shape you shape or shape I had a conversation with a CIO of a major resort just the other day and even he was saying what was actually I'll tell you it was Windham Resorts public company I mean and obviously that business got a good crush they had their earnings call the other day they talked about how they cut their capex in half but the stock sagar since the March lows is more than doubled yeah and you know that's amazing and now but even there within that sector they're peeling that on you're saying well certain parts are going to come back sooner or certain parts are going to longer depending on you know what type of resort what type of hotel so it really is a complicated situation so take us through what you're seeing by industry sure so let's start with kind of the IT telco retail consumer space Dave to your point there's gonna be a tremendous amount of bifurcation within both of those verticals look if we start on the IT telco side you know you're seeing a very large bucket of individuals right over twenty percent that indicated they're seeing a tail with our additional revenue because of covin 19 and you know Dave we spoke about this all the way back in March right all these work from home vendors you know CIOs were doubling down on cloud and SAS and we've seen how some of these events have reported in April you know with this very good reports all the major cloud vendors right select security vendors and so that's why you're seeing on the kind of telco side definitely more positivity right as it relates to recovery type right some of them are not even going through recovery they're they're seeing an acceleration same thing on the retail consumer side you're seeing another large bucket of people who are indicating what we've benefited and again there's going to be a lot of bifurcation here there's been a lot of retail consumers you just mentioned with the hotel lines that are definitely hurting but you know if you have a good online presence as a retailer and you know you had essential goods or groceries you benefited and and those are the organizations that we're seeing you know really indicate that they saw an acceleration due to Koga 19 so I thought those two those two verticals between kind of the IT and retail side there was a big bucket or you know of people who indicated positivity so I thought that was kind of the first kind of you know I was talking about kind of peeling this onion back you know that was really interesting you know tech continues to power on and I think you know a lot of people try I think that somebody was saying that the record of the time in which we've developed a fit of vaccine previously was like mumps or something and it was I mean it was just like years but now today 2020 we've got a I we've got all this data you've got these great companies all working on this and so you know wow if we can compress that that's going to change the equation a couple other things sagar that jump out at me here in this chart I want to ask you about I mean the education you know colleges are really you know kind of freaking out right now some are coming back I know like for instance my daughter University Arizona they're coming back in the fall evidently others are saying and no you can clearly see the airlines and transportation as the biggest sort of l-shape which is the most negative I'm sure restaurants and hospitality are kind of similar and then you see energy you know which got crushed we had you know oil you know negative people paying it big barrels of oil but now look at that you know expectation of a pretty strong you know you shape recovery as people start driving again and the economy picks up so maybe you could give us some thoughts on on some of those sort of outliers yeah so I kind of bucket you know the the next two outliers as from an l-shaped in a u-shaped so on the l-shaped side like like you said education airlines transportation and probably to a little bit lesser extent industrials materials manufacturing services consulting these verticals are indicating the highest percentages from an l-shaped recovery right so three plus orders of revenue declines and deceleration followed by kind of you know minimal to moderate growth and look there's no surprise here those are the verticals that have been impacted the most by less demand from consumers and and businesses and then as you mentioned on the energy utility side and then I would probably bucket maybe healthcare Pharma those have some of the largest percentages of u-shaped recovery and it's funny like I read a lot of commentary from some of the energy in the healthcare CIOs and they were said they were very optimistic about a u-shaped type of recovery and so it kind of you know maybe with those two issues then you could even kind of lump them into you know probably to a lesser extent but you could probably open into the prior one with the airlines and the education and services consulting and IMM where you know these are definitely the verticals that are going to see the longest longest recoveries it's probably a little bit more uniform versus what we've kind of talked about a few minutes ago with you know IT and and retail consumer where it's definitely very bifurcated you know there's definitely winners and losers there yeah and again it's a very complicated situation a lot of people that I've talked to are saying look you know we really don't have a clear picture that's why all these companies have are not giving guidance many people however are optimistic not only for a vet a vaccine but but but also they're thinking as young people with disposable income they're gonna kind of say dorm damn the torpedoes I'm not really going to be exposed and you know they can come back much stronger you know there seems to be pent up demand for some of the things like elective surgery or even the weather is sort of more important health care needs so that obviously could be a snap back so you know obviously we're really closely looking at this one thing though is is certain is that people are expecting a permanent change and you've got data that really shows that on the on the next chart that's right so one of the one of the last questions that we asked on this you know quick coded flash poll was do you anticipate permanent changes to your kind of IT stack IT spend based on the last few months you know as everyone has been working remotely and you know rarely do you see results point this much in one direction but 92% of CIOs and and kind of IT you know high level ITN users indicated yes there are going to be permanent changes and you know one of the things we talked about in March and look we were really the first ones you know you know in our discussion where we were talking about work from home spend kind of negating or balancing out all these declines right we were saying look yes we are seeing a lot of budgets come down but surprisingly we're seeing 2030 percent of organizations accelerate spent and even the ones that are spending less they even then you know some of their some of their budgets are kind of being negated by this work from home spend right when you think about collaboration tool is an additional VPN and networking bandwidth in laptops and then security all that stuff CIOs now continue to spend on because what what CIO is now understand as productivity has remained at very high levels right in March CIOs were very with the catastrophe and productivity that has not come true so on the margin CIOs and organizations are probably much more positive on that front and so now because there is no vaccine where you know CIOs and just in general the population we don't know when one is coming and so remote work seems to be the new norm moving forward especially that productivity you know levels are are pretty good with people working from home so from that perspective everything that looked like it was maybe going to be temporary just for the next few months as people work from home that's how organizations are now moving forward well and we saw Twitter basically said we're gonna make work from home permanent that's probably cuz their CEO wants to you know live in Africa Google I think is going to the end of the year I think many companies are going to look at a hybrid and give employees a choice say look if you want to work from home and you can be productive you get your stuff done you know we're cool with that I think the other point is you know everybody talks about these digital transformations you know leading into Kovan and I got to tell you I think a lot of companies were sort of complacent they talked the talk but they weren't walking the walk meaning they really weren't becoming digital businesses they really weren't putting data at the core and I think now it's really becoming an imperative there's no question that that what we've been talking about and forecasting has been pulled forward and you you're either going to have to step up your digital game or you're going to be in big trouble and the other thing that's I'm really interested in is will companies sub optimize profitability in the near term in order to put better business resiliency in place and better flexibility will they make those investments and I think if they do you know longer term they're going to be in better shape you know if they don't they could maybe be okay in the near term but I'm gonna put a caution sign a little longer term no look I think everything that's been done in the last few months you know in terms of having those continuation plans because you know do two pandemics all that stuff that is now it look you got to have that in your playbook right and so to your point you know this is where CIOs are going and if you're not transforming yourself or you didn't or you know lesson learned because now you're probably having to move twice as fast to support all your employees so I think you know this pandemic really kind of sped up you know digital transformation initiatives which is why you know you're seeing some companies desks and cloud related companies with very good earnings reports that are guiding well and then you're seeing other companies that are pulling their guidance because of uncertainty but it's it's likely more on the side of they're just not seeing the same levels of spend because if they haven't oriented themselves on that digital transformation side so I think you know events like this they typically you know Showcase winners and losers then you know when when things are going well and you know everything is kind of going up well I think that - there's a big you know discussion around is the ESPY overvalued right now I won't make that call but I will say this then there's a lot of data out there there's data and earnings reports there's data about this pandemic which change continues to change maybe not so much daily but you're getting new information multiple times a week so you got to look to that data you got to make your call pick your spot so you talk about a stock pickers market I think it's very much true here there are some some gonna be really strong companies emerging out of this you know don't gamble but do your research and I think you'll you'll find some you know some Dems out there you know maybe Warren Buffett can't find them okay but the guys at Main Street I think you know the I am I'm optimistic I wonder how you feel about about the recovery I I think we may be tainted by tech you know I'm very much concerned about certain industries but I think the tech industry which is our business is gonna come out of this pretty strong yeah we look at the one thing we we should we should have stated this earlier the majority of organizations are not expecting a v-shaped recovery and yet I still think there's part of the consensus is expecting a v-shaped recovery you can see as we demonstrate in some of the earlier charts the you know almost the majority of organizations are expecting a u-shaped recovery and even then as we mentioned right that you shape there is some cautious up around there and I have it you probably have it where yes if everything goes well it looks like 2021 we can really get back on track but there's so much unknown and so yes that does give I think everyone pause when it comes from an investment perspective and even just bringing on technologies and into your organization right which ones are gonna work which ones are it so I'm definitely on the boat of this is a more u-shaped in a v-shaped recovery I think the data backs that up I think you know when it comes to cloud and SAS players those areas and I think you've seen this on the investment side a lot of money has come out of all these other sectors that we mentioned that are having these l-shaped recoveries a lot of it has gone into the tech space I imagine that will continue and so that might be kind of you know it's tough to sometimes balance what's going on on the investor in the stock market side with you know how organizations are recovering I think people are really looking out in two to three quarters and saying look you know to your point where you set up earlier is there a lot of that pent up demand are things gonna get right back to normal because I think you know a lot of people are anticipating that and if we don't see that I think you know the next time we do some of these kind of coded flash bolts you know I'm interested to see whether or not you know maybe towards the end of the summer these recovery cycles are actually longer because maybe we didn't see some of that stuff so there's still a lot of unknowns but what we do know right now is it's not a v-shaped recovery agree especially on the unknowns there's monetary policy there's fiscal policy there's an election coming up there's a third there's escalating tensions with China there's your thoughts on the efficacy of the vaccine what about therapeutics you know do people who have this yet immunity how many people actually have it what about testing so the point I'm making here is it's very very important that you update your forecast regularly that's why it's so great that I have this partnership with you guys because we you know you're constantly updating the numbers it's not just a one-shot deal so suck it you know thanks so much for coming on looking forward to having you on in in the coming weeks really appreciate it absolutely yeah well I will really start kind of digging into how a lot of these emerging technologies are faring because of kovat 19 so that's I'm actually interested to start thinking through the data myself so yeah well we'll do some reporting in the coming weeks about that as well well thanks everybody for watching this episode of the cube insights powered by ETR I'm Dave Volante for sauger kuraki check out ETR dot plus that's where all the ETR data lives i published weekly on wiki bon calm and silicon angle calm and reach me at evil on Tay we'll see you next time [Music]

(upbeat music) >> From theCUBE Studios in Palo Alto in Boston, connecting with thought leaders all around the world, this is a Cube Conversation. >> As we've been reporting, the COVID-19 pandemic has created a bifurcated IT spending picture. And over the last several weeks, we've reported both in the macro and even some come at it from a vendor and a sector view. I mean, for example, we've reported on some of the companies that have really continued to thrive, we look at the NASDAQ and its near a toll-time hard. Companies like Okta and CrowdStrike, we've reported on Snowflake, UiPath. The sectors, RPA, some of the analytic databases around AI, maybe even to a lesser extent Cloud but still has a lot tailwinds relative to some of those on-prem infrastructure plays. Even companies like Cisco, bifurcated in and of themselves, where you see this more rocky side of the house doing quite well. The work-from-home stuff but maybe some of the traditional networking not as much. Well, now what if you flip that to really try to understand what's going on with the shape of the recovery which is the main narrative right now. Is it a V shape? Is it a U shape? What do people expect? And now to understand that, you really have to look at different industries because different industries are going to come back at a different pace. With me again is Sagar Kadakia, who's the Director of Research at ETR. Sagar, you guys are all over this, as usual timely information, it's great to see you again. Hope all is well in New York City. >> Thanks so much David, it's a pleasure to be back on again. >> Yeah, so where are we in the cycle? You've done a great job and very timely, ETR was the first to really put out data on the Covid impact with the server that ran from mid March to mid April. And now everybody's attention Sagar, is focused on, okay, we've started to come back, stores are starting to open, people are beginning to go out again and everybody wants to know what the shape of the recovery looks like. So, where are we actually in that research cycle for you guys? >> Yeah, no problem. So, like you said, in that kind of March, April timeframe, we really want to go out there and get an idea of what are going to be the budget impacts as it relates to IT because of COVID-19, right? So, we kind of ended off there around a decline of 5%. And coming into the year, the consensus was a growth of 4% or 5%, right? So, we saw about a 900 or 1000 base point swing, to the negative side. And then (murmurs) topic we covered in March and April were which sectors of vendors were going to benefit as a result of work-from-home. And so, now as we kind of fast forward to the research cycle as we kind of go more into May and into the summer, rather than asking those exact same question again, because it's just been maybe 40 or 50 days. We really want to (murmurs) on the recovery type as well as well as kind of more emerging private vendors, right? We want it to understand what's going to be the impact on these vendors that typically rely on larger conferences, more in person meetings, because these are younger technologies. There's not a lot of information about them. And so, last Thursday we launched our biannual emerging technology study. It covers roughly 300 private emerging technologies across maybe 60 sectors of technology. And in tandem, we've launched a COVID Flash Poll, right? What we want to do was kind of twofold. One really understand from CIOs the recovery type they had in mind, as well as if they were seeing any kind of permanent changes in their IT, stacks IT spend because of COVID-19. And so, if we kind of look at the first chart here, and kind of get more into that first question around recovery type, what we asked CIOs in this kind of COVID Flash Poll, again, we did it last Thursday was, what type of recovery are you expecting? Is it V-shaped so kind of of a brief decline, maybe 1/4, and then you're going to start seeing growth into 2 each 20. Is it U-shaped? So two to 3/4 of a decline or deceleration revenue, and you're kind of forecasting that growth in revenue as an organization to come back in 2021. Is it L-shaped, right? So, maybe three, four or 5/4 of a decline or deceleration. And very minimal to moderate growth or none of the above, your organization is actually benefiting from COVID-19, as we've seen some many reports. So, those are kind of the options that we gave CIOs and you kind of see them at first chart here. >> Well, interesting. And this is a survey, a flash of survey, 700 CIOs or approximately. And the interesting thing I really want to point out here is, the COVID pandemic, it didn't suppress all companies, and the return is it's not going to be a rising tide that lifts all ships. You really got to do your research. You have to understand the different sectors, really try to peel back the onion skin and understand why there are certain momentum, how certain organizations are accommodating the work from home. We heard several weeks ago, how there's a major change in networking mindsets we're talking about how security is changing. We're going to talk about some of the permanents, but it's really, really important to try to understand these different trends by different industries, which we're going to talk about in a minute. But if you take a look at this slide, I mean, obviously most people expect this U-shape decline. I mean, U-shape recovery rather. So it's two or 3/4 followed by some growth next year. But as we'll see, some of these industries are going to really go deeper with an L-shape recovery. And then it's really interesting that a pretty large and substantial portion see this as a tailwind, presumably those with strong SAS models, annual recurring revenue models, your thoughts? >> If we kind of start on this kind of aggregate chart, you're looking at about 44% of CEO's anticipate a U-shaped recovery, right? That's the largest bucket. Then you can see another 15% anticipate an L-shape recovery 14 on the V-shaped, and then 16% to your point that are kind of seeing this tailwind. But if we kind of focus on that largest bucket that U-shaped, one of the things to remember and again, when we asked this to CIOs within this kind of COVID Flash Poll, we also asked, can you give us some commentary? And so, one of the things that, or one of the themes that are kind of coming along with this U-shape recovery is CIOs are cautiously optimistic about this U-shape recovery. They believe that they can get back onto a growth cycle, into 2021, as long as there's a vaccine available. We don't go into a second wave of lockdowns. Economic activity picks up, a lot of the government actions become effective. So there are some kind of let's call it qualifiers, with this bucket of CIOs that are anticipating a U-shape recovery. What they're saying is that, "look, we are expecting these things to happen, "we're not expecting a lockdown, "we are expecting a vaccine. "And if that takes place, "then we do expect an uptake in growth, "or going back to kind of pre COVID levels in 2021." But I think it's fair to assume that if one or more of these are ups and things do get worse as all these States are opening up, maybe the recovery cycle gets pushed along. So kind of at the aggregate, this is where we are right now. >> Yeah. So as I was saying, you really have to understand the different, not only different sectors not only the different vendors, but you can really get to look into the industries, and then even within industries. So if we pull up the next chart, we have the industry sort of break down, and sort of the responses by the industry's V-shape, U-shape or L-shape. I had a conversation with a CIO of a major resort, just the other day. And even he was saying, well, it was actually, I'll tell you it was Wyndham Resorts, public company. I mean, and obviously that business got crushed. They had their earnings call the other day. They talked about how they cut their capex in half. But the stock, Sagar, since the March loss is more than doubled. >> Yeah. >> It was just amazing. And now, but even there, within that sector, they're appealing that on you are doing well, certain parts are going to come back sooner, certain parts are going to take longer, depending on, what type of resort, what type of hotel. So, it really is a complicated situation. So, take us through what you're seeing by industry. >> Yeah, sure. So let's start with kind of the IT-Telco, retail, consumer space. Dave to your point, there's going to be a tremendous amount of bifurcation within both of those verticals. Look, if we start on the IT-Telco side, you're seeing a very large bucket of individuals, right over 20%? That indicated they're seeing a tailwind or additional revenue because of COVID-19 and Dave, we spoke about this all the way back in March, right? All these work from home vendors. CIOs were doubling down on Cloud and SAS and we've seen how some of these vendors have reported in April, with very good reports, all the major Cloud vendors, right? Like Select Security vendors. And so, that's why you're seeing on the kind of Telco side, definitely more positivity, right? As you relates to recovery type, right? Some of them are not even going through recovery. They're seeing an acceleration, same thing on the retail consumer side. You're seeing another large bucket of people who are indicating, "look, we've benefited." And again, there's going to be a lot of bifurcation, there's been a lot of retail consumers. You just mentioned with the hotel lines, that are definitely hurting. But if you have a good online presence as a retailer, and you had essential goods or groceries, you benefited. And those are the organizations that we're seeing really indicate that they saw an acceleration due to COVID-19. So, I thought those two verticals between kind of the IT and retail side, there was a big bucket of people who indicated positivity. So I thought that was kind of the first kind of as we talked about kind of feeling this onion back. That was really interesting. >> Tech continues to power on, and I think a lot of people try, I think somebody was saying that the record time in which we've developed a vaccine previously was like mumps or something. I mean, it was just like years. But now today, 2020, we've got AI, we've got all this data, you've got these great companies all working on this. And so, wow, if we can compress that, that's going to change the equation. A couple of other things Sagar that jump out at me here in this chart that I want to ask you about. I mean, the education, the colleges, are really kind of freaking out right now, some are coming back. I know, like for instance, my daughter at University of Arizona, they're coming back in the fall indefinitely, others are saying, no. You can clearly see the airlines and transportation, has the biggest sort of L-shape, which is the most negative. I'm sure restaurants and hospitality are kind of similar. And then you see energy which got crushed. We had oil (laughs) negative people paying it, big barrels of oil. But now look at that, expectation of a pretty strong, U-shape recovery as people start driving again, and the economy picks up. So, maybe you could give us some thoughts on some of those sort of outliers. >> Yeah. So I kind of bucket the next two outliers as from an L-shaped and a U-shaped. So on the L-shaped side, like you said, education airlines, transportation, and probably to a little bit lesser extent, industrials materials, manufacturing services consulting. These verticals are indicating the highest percentages from an L-shaped recovery, right? So, three plus 1/4 of revenue declines in deceleration, followed by kind of minimal to moderate growth. And look, there's no surprise here. Those are the verticals that have been impacted the most, by less demand from consumers and businesses. And then as you mentioned on the energy utility side, and then I would probably bucket maybe healthcare, pharma, those have some of the largest, percentages of U-shaped recovery. And it's funny, like I read a lot of commentary from some of the energy and the healthcare CIOs, and they were saying they were very optimistic (laughs) about a U-shaped type of recovery. And so it kind of, maybe with those two issues that we could even kind of lump them into, probably to a lesser extent, but you could probably lump it into the prior one with the airlines and the education and services consulting, and IMM, where these are definitely the verticals that are going to see the longest, longest recoveries. And it's probably a little bit more uniform, versus what we've kind of talked about a few minutes ago with IT and retail consumer where it's definitely very bifurcated. There's definitely winners and losers there. >> Yeah. And again, it's a very complicated situation. A lot of people that I've talked to are saying, "look, we really don't have a clear picture, "that's why all these companies are not giving guidance." Many people, however, are optimistic only for a vaccine, but also their thinking is young people with disposable income, they're going to kind of say,"Damn the torpedoes, "I'm not really going to be exposed." >> And they could come back much stronger, there seems to be pent up demand for some of the things like elective surgery, or even some other sort of more important, healthcare needs. So, that obviously could be a snapback. So, obviously we're really closely looking at this, one thing though is certain, is that people are expecting a permanent change, and you've got data that really shows that on the next chart. >> That's right. So, one of the last questions that we ask kind of this quick COVID Flash Poll was, do you anticipate permanent changes to your kind of IT stack, IT spend, based on the last few months? As everyone has been working remotely, and rarely do you see results point this much in one direction, but 92% of CIOs and kind of high level IT end users indicated yes, there are all going to be permanent changes. And one of the things we talked about in March, and look, we were really the first ones, in our discussion, where we were talking about work from home spend, kind of negating or bouncing out all these declines, right? We were saying, look, yes, we are seeing a lot of budgets come down, but surprisingly, we're seeing 20,30% of organizations accelerate spend. And even the ones that are spending less, even them, some of their budgets are kind of being negated by this work from home spend, right? When you think about collaboration tools and additional VPN and networking bandwidth, and laptops and then security, all that stuff. CIOs now continue to spend on, because what CIOs now understand is productivity has remained at very high levels, right? In March CIOs were very concerned with the catastrophe and productivity that has not come true. So on the margin CIOs and organizations are probably much more positive on that front. And so now, because there is no vaccine, where we know CIOs and just in general, the population, we don't know when one is coming. And so remote work seems to be the new norm moving forward, especially that productivity levels are pretty good with people working from home. So, from that perspective, everything that looked like it was maybe going to be temporary, just for the next few months, as people work from home, that's how organizations are now moving forward. >> Well, and we saw Twitter, basically said, "we're going to make work from home permanent." That's probably because their CEO wants to live in Africa. Google, I think, is going to the end of the year. >> I think many companies are going to look at a hybrid, and give employees a choice, say, "look, if you want to work from home "and you can be productive, you get your stuff done, we're cool with that." I think the other point is, everybody talks about these digital transformations leading into COVID. I got to tell you, I think a lot of companies were sort of complacent. They talk the talk, but they weren't walking the walk, meaning they really weren't becoming digital businesses. They really weren't putting data at the core. And I think now it's really becoming an imperative. And there's no question that what we've been talking about and forecasting has been pulled forward, and you're either going to have to step up your digital game or you're going to be in big trouble. And the other thing I'm really interested in is will companies sub-optimize profitability in the near term, in order to put better business resiliency in place, and better flexibility, will they make those investments? And I think if they do, longer term, they're going to be in better shape. If they don't, they could maybe be okay in the near term, but I'm going to put up a caution sign, although the longer term. >> Now look, I think everything that's been done in the last few months, in terms of having those continuation plans, due to pandemics and all that stuff, look, you got to have that in your playbook, right? And so to your point, this is where CIOs are going and if you're not transforming yourself or you didn't before, lesson learned, because now you're probably having to move twice as fast to support all your employees. So I think this pandemic really kind of sped up digital transformation initiatives, which is why, you're seeing some companies, SAS and Cloud related companies, with very good earnings reports that are guiding well. And then you're seeing other companies that are pulling their guidance because of uncertainty, but it's likely more on the side if they're just not seeing the same levels of spend, because if they haven't oriented themselves, on that digital transformation side. So I think events like this, they typically showcase winners and losers than when things are going well. and everything's kind of going up. >> Well, I think that too, there's a big discussion around is the S&P over valued right now. I won't make that call, but I will say this, that there's a lot of data out there. There's data in earnings reports, there's data about this pandemic, which it continues to change. Maybe not so much daily, but we're getting new information, multiple times a week. So you got to look to that data. You got to make your call, pick your spots, earlier you talk about a stock pickers market. I think it's very much true here. There are some going to be really strong companies. emerging out of this, don't gamble but do your research. And I think you'll find some gems out there, maybe Warren buffet can't find them okay. (laughs) But the guys at main street. I'm optimistic, I wonder how you feel about the recovery. I think I maybe tainted by tech. (laughs). I'm very much concerned about certain industries, but I think the tech industry, which is our business's, going to come out of this pretty strong? >> Yeah. Look, the one thing we should have stated this earlier, the majority of organizations are not expecting a V-shaped recovery. And yet I still think there's part of the consensus is expecting a V-shaped recovery. You can see as we demonstrate in some of the earlier charts, That U-shaped, there is some cautious optimism around there, almost the majority of organizations are expecting a U-shape recovery. And even then, as we mentioned, right? That U-shape, there is some cautious optimism around there, and I have it, you probably have it where. Yes, if everything goes well, it looks like 2021 we can really get back on track. But there's so much unknown. And so yes, that does give I think everyone pause when it comes from an investment perspective, and even just bringing on technologies. into your organization, right? Which ones are going to work, which ones aren't? So, I'm definitely on the boat of, this is a more U-shaped in a V-shape recovery. I think the data backs that up. I think when it comes to Cloud and SAS players, those areas, and I think you've seen this on the investment side, a lot of money has come out of all these other sectors that we mentioned that are having these L-shaped recoveries. A lot of it has gone into the text-based. I imagine that will continue. And so that might be kind of, it's tough to sometimes balance what's going on, on the investment that stock market side, with how organizations are recovering. I think people are really looking out into two, 3/4 and saying, look to your point where you said that earlier, is there a lot of that pent up demand, are things going to get right back to normal? Because I think a lot of people are anticipating that. And if we don't see that, I think the next time we do some of these kind of COVID Flash Polls I'm interested to see whether or not, maybe towards the end of the summer, these recovery cycles are actually longer because maybe we didn't see some of that stuff. So there's still a lot of unknowns. But what we do know right now is it's not a V-shaped recovery. >> I agree, especially on the unknowns, there's monetary policy, there's fiscal policy, there's an election coming up. >> That's fine. >> There's escalating tensions with China. There's your thoughts on the efficacy of the vaccine? what about therapeutics? Do people who've had this get immunity? How many people actually have it? What about testing? So the point I'm making here is it's very, very important that you update your forecast regularly That's why it's so great to have this partnership with you guys, because you're constantly updating the numbers. It's not just a one shot deal. So Sagar, thanks so much for coming on. I'm looking forward to having you on in the coming weeks. Really appreciate it. >> Absolutely. Yeah, we'll really start kind of digging into how a lot of these emerging technologies are fairing because of COVID-19. So, I'm actually interested to start digging through the data myself. So yeah, we'll do some reporting in the coming weeks about that as well. >> Well, thanks everybody for watching this episode of theCUBE Insights powered by ETR. I'm Dave Vellante for Sagar Kadakia, check out etr.plus, that's where all the ETR data lives, I publish weekly on wikibond.com and siliconangle.com. And you can reach me @dvellante. We'll see you next time. (gentle music).

>> Announcer: Live from Las Vegas, it's The Cube, covering AWS re:Invent 2019 brought to you by Amazon Web Services and Intel along with its ecosystem partners. >> Welcome back to Las Vegas, everybody. You're watching The Cube. We go out to the events and we extract the signal from the noise. My name is Dave Velante and I'm excited to have Veeam on the program. Good friend Rick Vanover is here. Rick, it's great to see you again. >> Thanks, Dave. >> He's the Senior Director of Product Strategy at Veeam, and Jim Kruger is the newly minted CMO. Jim, good to see you, thank for coming on. >> Great, thank you Dave. Thanks for having us. >> All right, so, let's talk about re:Invent. You guys are well known in the VMware community of course. Now the cloud comes in, you guys rose like a rocket ship with virtualization. Now cloud's here. How's the show going for you? What are the conversations like? >> Yeah, it's great. I mean, this is a continuation of the relationship that we have with AWS. We were a global sponsor and one of five companies represented in the global summit so that was a lead up to this. >> Which was today, this morning the partner summit, or the earlier partner summit. >> No, throughout the whole year. There's 30 different locations throughout the world that we sponsored and so that was a really good entry into this new audience for us in terms of new buyers and so forth. And re:Invent is huge. I mean, you can't even walk in the hallways out there. Our booth has been packed and just some really good conversations. We had a great announcement as a part of the show, so it's going great. >> Let's talk about that for sure. So, give us the update on 2019. You guys hit the billion dollar milestone. We covered you at VeeamON. We've been there for the last couple years, so congratulations on that. >> Jim: Thank you. Which of course is challenging because you're doing a lot more annual recurring revenue. You're still able to break through that billion dollar mark but give us an update on 2019. >> Yeah, so far so good, it's going well. We're going through a transition here. We call it act one to act two. And act one was really the foundation of the company focusing on virtual environments. Act two is really moving into the cloud and also moving from perpetual to subscription. And so we're going through that transition as we speak and we're finding really good success. We're really letting the market dictate that transition. We're not really forcing things on customers, but we had a really good Q3. We grew our annual recurring revenue by 24%. Our enterprise business is actually the fastest growing business within Veeam. It's growing at, it grew 20% year over year. And our alliances are really on fire. Year over year for our alliances, for our resellers, we have four of them, grew 92%. So, we're outgrowing the market significantly, continuing to gain market share. We're still number one in Europe and number four globally but catching up quick. >> So, Rick, when I first was introduced to Veeam I think it was at some VeeamUG somewhere, like "It's an interesting name, who are these guys?" And then saw you guys take off and it coincided with a big simplification theme and better resource allocation. We got all this wasted server capacity. But the problem was when we consolidated all those servers we now had less utilization or less capacity to drive things like backup which was a compute-hungry workload. You guys figured that out from a product standpoint. You simplified things and you took off. So, check, great job. Now there's cloud, so what's different about cloud? You guys have some announcements. What are you doing to take advantage of the cloud? >> Well so, our cloud journey, Dave, is starting but it's actually evolving from some technologies that have been out for a while. So, actually earlier this year, this isn't new, but we implemented a technology that puts data into the cloud which is a very important first step. Back up data into the cloud, very transparent, very easy to do with Veeam, but everything is different in the cloud. I think the plumbing is different. The use cases are different. The expectations of customers are different. So, when we look at how we're going to go into a market from a product standpoint, my team works with Jim's team as well as the product management team on this very purposefully, but the thought is we need to put in the right platform and the right capabilities for the cloud. So, that's the big news today here at AWS re:Invent and yesterday. We had a great session today where we showed off the new product being back up for AWS. And we have been through a lot of iterations on how we're going to get to this milestone. And I'm really stoked that it was available for this event, live in the marketplace. And I think about why we're going to go with this new product now this way. Ratmir, our co-founder, likes to say he wants to capture the hearts and minds of IT pros, and this product will do it. File level recovery, free edition, easy, it just works. Whatever you want to save, we've got it in this product. So, I'm really hoping that this will be the year of an additional disruption as we kick off act two that Jim mentioned. >> You guys have always been feature-rich. I was sharing with your audience the spending data that I have access to and when you look at it, when you look at spending momentum it shows some of the new guys, obviously you wouldn't be surprised. You're seeing some people experimenting, and okay, that's cool. And then some of the legacy guys you see, they're hanging on to the install base. Veeam interestingly is right there with the leaders but really consistent spending momentum for years. And so my question is, how is that, why are you able to sustain that momentum over time? What is your unique approach? >> Yeah, I mean I think there's a couple of key factors there that we've done as a business. One of the key strategies of the company is to remain agnostic and to build partnerships. And so one of the key strategies that we've had over the past few years is to work with partners. And so we've done go to markets, some engineering work, and as I mentioned in Q3 alone we saw 92% year over year growth and so that's helping us to drive growth. We've added some new products and so we have backup for Microsoft Office 365, which is a whole new market for us. And we're seeing tremendous growth there year over year, so that's helping us to keep steady. And then just the innovation engine. The development team that we have is one of the reasons why I joined Veeam, is because of the innovation and the development team and how they approach the market in terms of really focusing on the user and building products that aren't just a check box but they're products that add a tremendous amount of value. And so, we have a new, we made announcements here with specifically with AWS, but to continue our innovation track we have a new release that's coming out in the January timeframe called Version 10 which adds another 150 plus capabilities. And so, I think that's one of the biggest reasons we continue to add value to the system and to our customers. We're adding between three to four thousand new customers a month and our customer count is continuing to, we're at 365 thousand customers today and growing fast. >> So, Rick, I wonder if you can talk from a product standpoint. I said virtualization, I'm generalizing in cloud. There's specific things for VMware obviously that you do and I presume the same thing for cloud. What's unique about, well, first of all your relationship with AWS and what's unique about making your software work in the AWS ecosystem? >> Well, the unique part is really our go to market of partnering first. I like to say that partnership is in Veeam's DNA. We sell through the channel and we have the alliance relationships. We have the platform relationships like AWS as well as other clouds. And the thought here is that by going in software only I am actually completely convinced we're very well positioned in the market to come in with a solution that will work for literally everybody no matter what their preference, what brands of technology they use, what clouds they use. And so I think about what becomes interesting, what becomes unique with that. And I'll give you an Amazon example and this is something that's coming in the Version 10 that Jim alluded to. Amazon has a capability called object lock which can be used for immutable backups or immutable data. We're using it for backups and that's something that we're going to leverage in our upcoming release that is actually going to be a huge thing, a huge amount of capabilities where organizations can have their backup data resilient against ransomware, resilient against malicious admins, insider threats or accidental deletion. And that is only possible in the cloud. So, we're walking into a situation where Veeam, if we're going to leverage S3 and some of these capabilities provided by Amazon, along with our laser-focused approach for backups, we're going to give the market some things that honestly it'd be really hard to say no to. >> So, can you talk more about that immutability capability? Timestamp that and then go across the old stuff? >> It's smarter than a timestamp. Actually the thought here is that there's this governance and compliance mode that comes with AWS S3 storage which is a property of a bucket that's set at the top level. And from a API standpoint when an ISV like Veeam wants to put data into S3, that along with a lot of other elements of the consumption of the storage can be set. And what we're doing is we're actually working backwards into the user interface, and if I want to put my backup data into S3, I'm actually going to say make this data immutable, meaning unable to be deleted or changed. Or actually you can't change in S3, it's only a delete. But anyways, you can't delete it. So, the thought is I'm going to put, I'm just going to make up an example, Dave, seven days into S3, mark it as immutable. No matter what, that data can not be removed. >> You got a policy on it. >> Yeah, and it's there, it will not be deleted. No ransomware, no malicious admin, no insider threat. And then we're doing it with a lot of API intelligence so it's very efficient on how it goes in there and shared metadata. We just did a session on part of that today and we're going to have a huge splash event in January where we take it to the market. So, if anybody listening is going to be concerned about ransomware, Veeam has a technology that's evolving for you. >> So, I can set my RPO to whatever I want based on my objectives for the business, the cost equation. >> Yeah, and it's actually transparent to that. To me, it's a restore point but I have this ability to sleep at night because I know that it's in Amazon and it's object locked and I can't do anything to it. >> Yeah, but that was seven days ago, so I now want to update it. So, you've set a policy to say, okay. >> So, yeah, so that the eighth day the backup will go and day one will drop and then we'll be at two through eight. And then the next day three through nine. It will just, it will be a window of sorts. And the best part is, Dave, it's going to be transparent. It's in the user interface. It's a restore point and the ease of use. I look at the product team and we really have this mantra. Simple, reliable, flexible, and who doesn't want those types of capabilities in a product today? And actually it works backwards. So, one of our co-founders, Andre, like's to say, his expectation is somebody can download the product and do their first backup within ten minutes without using the manual. The ease of use has to be like that and with the newest product from Monday we're doing it again. >> So, Jim, I wonder if I could ask you about messaging. It's interesting, it was interesting to see at VeeamON. You guys got back to basics. There's a lot of money flowing into the data protection industry. You're still seeing new startups. Storage overall is a little soft right now because the cloud's eating away at the big guys, but data protection is still pretty hot as evidenced by some of the spending data that I talked about. A lot of guys talking about data management. You talk about data management, too, but you got back to the basics at VeeamON. You talked about it starts with backup. I wonder if you can talk about that messaging and then how that does relate to some of the new use cases. And you mentioned some, but what's your point of view there? >> Yeah, absolutely, so, yeah so, that is a key initiative for us in 2020 is to shift the pure speeds and feeds and features and talk more about use cases. As you'll see that come out and across our portfolio, that's one of our key marketing initiatives, but yeah. The messaging we did back in 2018, I think we over-rotated a little bit and focused a little bit too much on the enterprise and as you know our business is very spread across multiple segments. From SMB to commercial to enterprise. And enterprises is of course the key market that we want to go after but we have this great business at the lower end of the market which I think is unique and a differentiator for Veeam in terms of the number of customers that we have and the customer base that we have. So, what we've done is gone back to using words like backup because there's budget for backup. And that's a word that people automatically know what it means. You don't want to get too cute about it. So, we've come out with a new campaign around cloud data management, "Backup for what's next", and we're pushing that really hard because I think a lot of people know Veeam as the virtual leader and now we're moving into the cloud area so it's important for us to position the company to not only virtual but virtual, physical and cloud. And so you're going to see a lot more push into the cloud with the new solutions we're launching and pushing that hard in 2020. >> Now, Veeam's always had strong no BS engineering. You know the tagline, "It just works." It's true, you talk to your customers. And it's interesting, when you go to VeeamON, I've been to several, you're right. I mean, you've got guys there that are loyal to Veeam. They may not be huge buyers just in terms of ASPs, but there's a zillion of them and they're very loyal. And I think it's very smart strategy. You just keep moving up markets. You guys are like Steady Eddie. Give us, last question is 2020, what should we expect from you guys? You got VeeamON, The Cube is going to be there. We're excited, it's always a fun show. You get a passionate crowd. >> Yeah, so we have some exciting announcements that we're going to be making in the first of the year and in the mid part of the year which we think are going to be game changers and continue us on the trajectory of growth. So, we're very excited about that and yeah, continuing to focus on satisfying our customers. We're super proud of our net promoter score of 75, which is three times, three and a half times the industry and so keeping that momentum going with our customers is critically important. >> Well, guys, congratulations on all your success. Great, you mentioned your NPS. Great customer loyalty, the billion dollar milestone. Ratmir is on, he's on the record last year at VeeamON saying, "Hey, no, we're open to IPO." So, we'll be watching that and we'll ask him. We won't hit you with that. But guys, thanks so much for coming on. >> All right, thank you, Dave. >> Dave: Jim, Rick, good to see you. >> Thank you. >> And thank you, everybody, for watching. This is The Cube, live from AWS re:Invent 2019 from Las Vegas. We'll be right back right after this short break.

>>LA from Las Vegas. It's the cube covering AWS reinvent 2019 brought to you by Amazon web services and along with its ecosystem partners. >>Welcome to the cube at Lisa Martin with Dave Volante. This is our first day of covering AWS reinvent 2019 Dave, we have a jam packed three days here. The seventh time the cube has been at reinvent the super Superbowl. Here it is. I, I co I stole that from you but you just send it back to me. It is like the super bowl here. We're very pleased to welcome a couple of guests from refitted refinished tips, first time on the cube as well as our guest. Please welcome Hannah. We've got Hannah Helen, Helen's, our VP of cloud propositions and James Turk, the head of architecture and cloud from refinish. Guys, welcome to the cube. You. Thank you for having us. So here we are in the expo hall with thousands and thousands of folks, but I'd love for you guys to start a Hannibal. Start with you. Tell our audience about refinish if you're a data company, but really what is it that you guys do? What do you deliver to the community? Absolutely >>what we are, as I said, we are a data company, so we serve the global financial community. So we're looking at banks, asset managers, hedge funds, corporations with financial and risk data. That's a very powerful combination in these clouds. Environmental or we say without data flower is empty. So that's where we come in. >>And what type of data are we talking about? You know data as from a thematic perspective it is. There's, we know when every company knows on some level there's tremendous value in the data. The challenge is being able to access it and unlock the value. Give us a slice of and capital markets for example. What are some of the types of data services that you provide to your customers? >>So we have all sorts of data. So we obviously source the data from lots of different sources where it's coming from, from exchanges or from the, from the market data sources. And then our customers use that to analyze the data and really running the back testing for, for those data facts. They also commingled our data with alternative data sets as well, as well as they own internal data. So it's all about that, that analytical layer that they can add on top of our day. >>Okay. And estate as a service essentially. Is that right? We do have some data as a service. We also deliver the data to the client. People are interested in accessing data in all sorts of different ways, including increasingly on the cloud. So talk more about your cloud offering, your, your cloud and your title. Cloud architecture. >> So one of the things that we're doing is we have a combination, we're an interesting company in that we both have our own pieces of cloud infrastructure for our own purposes, but also increasingly we need to build and deliver solutions for our customers to be asked to consume data in the cloud. So that means being able to work with them to put it into the cloud that they want it to be going into, to be able to work out how we can keep that data up to date and to do it in a cost effective manner for our clients to be able to get the most out of it. >> How do you deal with the problems >>of data quality? You're getting data from different sources. How do you take care of that? >>So anyways, that's, that's really all our core strength and expertise that we have. We have been doing that for years and years. So again, coming from it from defense sources, we normalize the data on our side, we clean it up. And then so for our customers in a you our own information model, and we have created this app Poona permanent and unique, identify a post per ID. So we map all the datasets so it's very easy for our customers to consume that and then also map it back to they own data and third party data sets. Where does the global security come into play? Because that's a topic and thing that we talk about at every event when you're talking about all these different external data sources, quality. But security is, I imagine fundamental. How do you help deliver that? Absolutely. Obviously from that, from the cloud perspective, that has been a big theme in the, in the public cloud environment and I think we are seeing more and more feedback from our customers that as it comes down to public cloud, I think they are very comfortable actually now with uh, with the privacy and security of, of public cloud. >>So that has been, I think, big change past couple of years. I haven't personally seen those sponsors anymore coming, coming from customers the way that we saw a couple of years ago. >>Oh, one of the interesting things that we're seeing is an increasing move is that our clients want to be able to mix their data with that data. And so increasingly you're seeing interesting solutions coming to market, which allowed them to keep their data where their data is held on their cloud or even on their own premises and mix that with our data. And so we're trying to bring together those solutions where a customer doesn't have to put all of our data with theirs but all of their data with us. But keep that segregation as you say, because that PII data and all of those sorts of things are much more important these days for us to be able to be able to show that is how the data is being segregated and that things are being kept apart in an appropriate way. >>Who's responsible for that? Is that you guys, is it the cloud provider? Is it on customers? So it's a shared responsibility model. Where does, where do you leave off and where does the customer pick up? What do you advise customers in terms of, Hey, here's what we're going to do for you and now you have to be responsible for X. What does that line? >>Well, I quite often defining that service boundary is something that we continue to work on. So historically we've delivered data to clients and so we've had lines going into a client. It's a, um, premises. And then there's an obvious point at the end of that where this was us and that's you. As we get more into the cloud space, we have to define much more clearly what that service boundary is. So again, as we're developing out some of our cloud propositions, that's a key thing that we're working through as to what is it that the client wants to control and what is it that we need to control. >>It's very true, Hannah, I mean 10 years ago you talk to financial services companies and he said, we will never be in the cloud and now they're much more comfortable. Now you guys do this cloud survey each year. W w what are you seeing? I'll share some of our data. I wonder if it matches what, what do you, what are the big trends? >>Sure. Yeah. So we are doing this, it's almost becoming tradition for us to do this quota. They are on a yearly basis. So it's quite interesting to kind of compare the previous service and where we are today. So what we have found out on the survey this year is that the IOT, uh, investment is very much going to public cloud. So I think when we started the cloud survey a couple of years ago, we saw that about 32% of the ID investment went to public cloud. But then for next year that is increasing almost to two 50% so obviously public cloud is definitely here to stay. I think another, another key trend that we saw from the surveys that I think the testing that the companies have been doing, like they are learning more and more and they are really seeing the benefit from Papa now and I will highlight that especially our hedge fund customers, they were highlighting a face or so of course benefits with that, with the cloud. >>So about 92% so that actually when they moved to the cloud and do the project in the cloud environment, it really saves money for them, which is quite interesting. Payers also then at the same time to work many of the customer discussions. Like it can be also a challenge for, especially for large organizations as they move to the cloud environment, that how do you kind of manage that a traditional technology stack and when you move to the public cloud. So it's kind of two sided way there, but I think the general consensus as it comes down to out survey was that many of the organizations, they really saw that big transition that organizations are going for one that it can be very, very big impact for they own own business. So very, very positive message on that part. >>Let's dig into that a little bit more from a transition or we'll use Andy, Jesse's or a transformation. James, I'd love to get your perspective on what has changed in the last few years to see the numbers that Helen talked about. Um, really Hannah, excuse me, going up so significantly as we know that, you know, cloud one compute and storage and um, networking and maybe some data services. But what do you think has fundamentally changed across industries such that public cloud now is much more strategic? >>I think for a lot of firms and particularly in financial services, we spend a lot of time looking at analytics and being able to run those large analytical jobs and be able to scale them. I think that as people have become more comfortable about the data that they can put into the cloud and being able to get access to more data through companies like definitive, being able to run those machine learning jobs. And it was really interesting to see the keynote this morning to see Amazon really putting a lot of effort into democratizing the use of machine learning through Sage maker thought it was very exciting. Um, we think that that is going to be an increasing thing. So as you see in financial services, people are looking for those large workloads. They have really large data sets and so the only way that they can do that and it kind of realistic manner is being able to use public cloud. And then you see them taking a lot of the old traditional systems. And as we're seeing the risk appetite to be able to get onto cloud becoming more, they're going through the same of transformation, which we see many firms having gone through. You know, the developers are insisting that they're getting the best tools so that it can be, have the agility to deliver what their clients want. And again, one of the best ways of doing that is moving onto a public cloud infrastructure that really delivers those tools to >>what are, if you could talk about what you're seeing in terms of adoption of new tech. So I said we share some of our data at the macro, you know, spending slowing down, it's, it's reverting to pre 2018 levels. It's not falling off a cliff, but, but when you look at the spending data from ETR and others, it's slowing down. Financial services is a bellwether. You're seeing less experimentation and sort of more narrowing of their bets to the placing bets on things that they know are going to work. They've been experimenting with digital transformation for the last couple of years and now they're saying, Hey, we're now going to double down on the things that work. We're going to unplug the things, the legacy stuff so we can get rid of some of our technical debt. What are you seeing in terms of the trends of technology adoption for particularly for emerging tech within Fs? >>Yeah, and I think you've touched on this briefly, but I think what we are seeing is that the, when the, when we started co did the discussions with our customers, they all started with the kind of the backend technology I take on rotation at that time. But I in that trend as you say as well, so it's moving very much to the end users and end users. For example, data scientists speaking the analytical tools if they want to go into them. And I think that's a, that's a very big trend that we are seeing. So again, AI, ML analytics in general that you can add on top of the cloud environment and on top of the data, that will be the big thing happening. >>One of the things that Andy Jassy said this morning, James is in sort of these four kind of essentials for transformation to happen and he said the first one is you've got to get senior executive alignment and the second thing he said is has to be this, and I use the word aggressive, aggressive, top down approach. What are some of the changes that you're seeing with respect to, you know, where it comes to maybe what, what, what you said, Hannah, about the emerging technologies and the end users really in the data scientists needing to be able to get their hands wet with all this, but what are you seeing in terms of organizations that you work with? Where is that senior leadership really getting onboard where public cloud is a strategy that is driven top-down? >>Absolutely. I mean increasingly you're seeing that happen is that it really is going to be the top down strategy. There are a number of very large capital markets firms who have come out and said that they're going to adopt varying cloud providers. And increasingly that's because the level of trust has gone up and the level of maturity of the cloud providers. There's also increased. So a few years ago you would speak to the cloud providers and they really wouldn't understand the need to engage with the regulators. Now companies have large teams of people who go out and engage with the regulators and they will partner with the financial institutions to make sure that we're getting the right sort of level of engagement and the right level of permission to do these things. So that means that the senior management are there. And I think that also the senior management, you know, finally are starting to see some of the benefits flow through in terms of a combination of the agility, the different sort of cost controls and the elasticity. >>And if you think about some of the nature of the workloads that financial institution run, you've got a lot of this overnight processing, which still goes on for creating risk reports and all those sorts of things really well suited for elasticity. And in the last few years you've seen trust this massive increase in the regulatory requirement for those things. And certainly the institutions that I've worked with, you end up in a situation where you're saying, well, in order to be able to accommodate just working out what I need to do there, I'd need to build three different data centers clean. Nobody is doing that anymore. You're going to go out, you're going to partner with your cloud provider and they're going to provide you with that capability. That may not be something that you need in the longterm, but it'll be something that will help you work out what it is that you do need. And then you can turn that into a normal world. >>So AWS, AWS obviously is a cloud provider for you. There may be others as well, but you saw some of the announcements today. You mentioned some of the machine learning and AI stuff, Sage maker, you also saw a lot of activity around the data store, you know red shift and separating computer storage. Is that something that you care about is that your customers have to worry about that? Sometimes they ask you for the solution. >>We super care about this. In fact, one of the big things that we're looking at at the moment, and I was really interested in the announcements today, but exactly that is how do we get our data into people's data lakes? As I said, how do we do that in a way where we're making sure that the commitments that we have on digital rights management are being honored and how do we work with cloud providers like Amazon about how we do that. So we have very strong relationships with Amazon. We have very strong relationships with other providers as well. And so we are trying hard to work out what the best solution is because to be honest with you, we have to deliver where our clients want the data to be. So we're working with lots of different providers on this, but these are all really interesting times and this focus on the data and how you get the data into people's data lakes is really interesting to us and something where we're pushing very hard. >>Yeah. And then, and then how you act on it. It's a whole new layer of compute being driven and new workloads that are emerging as a result of that data. It's not just throw it in the data Lake anymore. It's I have to extract insights. Absolutely. Yeah. >>Talk to us about how on that front, how are you helping him? We'll start with you. How are you helping customers, maybe a large enterprise legacy organization actually start to use data for competitive advantage in business differentiation, especially where the enterprise is concerned, where they most likely have competitors that are born in the cloud, that have the agility and the speed and the appetite to take risks. How are you helping customers unlock this data and go, wow, this is a huge advantage in our business. Absolutely. So obviously as, as I said earlier though, because we are a data company, so our customers know know us from that perspective. So they come to us for, for both financial and risk data. That's kind of one >>go to place to get everything. And then we are obviously working very closely with our customers to also offer them new additional datasets. So things like alternative data obviously being one that you again want to go mingle your own data with a third party data with alternative data sets as well. So we, for example, formed a partnership with a company called Patal Finn earlier this year, which has this very nice technology to onboard different alternative data sets. And then we are onboarding those data sets for our customers. Again, combining that with our overall information model. But it's really, again, coming back to that flexible a question that we want to make sure that all our days are, can be served in the environment where our customers are. So whether they are in public cloud, private cloud, where they have their own prem solution, stale, obviously with, especially with a larger institution, they still have those, uh, as well as we, we hosting the offering for them as well as, or it's all about the flexibility that we will be offering. Excellent. >>Well, Hannah, James, thank you for joining David Mead, sharing with our audience who were fitted. It is what you do and really kind of this importance of data as we're in this new NextGen of cloud. We appreciate your time. Thank you so much for day. Volante I'm Lisa Martin. You're watching the queue from day one of our coverage of AWS reinvent 19. Thanks for watching.

[Music] hi everybody this is David on tape with the Cuban welcome to Boston we're covering storage here at Amazon storage day and we're looking at all the innovations and the expansion of Amazon's pretty vast storage portfolio Duncan Lennox is here is the director of product management for Amazon DFS Duncan good to see it's great to be here so what is so EF s stands for elastic file system what is Amazon EFS that's right EFS is our NFS based filesystem service designed to make it super easy for customers to get up and running with the file system in the cloud so should we think of this as kind of on-prem file services just stuck into the cloud or is it more than that it's more than that but it's definitely designed to enable that we wanted to make it really easy for customers to take the on pram applications that they have today that depend on a file system and move those into the cloud when you look at the macro trends particularly as it relates to file services what are you seeing what a customer's telling you well the first thing that we see is that it's still very early in the move to the cloud the vast majority of workloads are still running on Prem and customers need easy ways to move those thousands of applications they might have into the cloud without having to necessarily rewrite them to take advantage of cloud native services and that's a key thing that we built EFS for to make it easy to just pick up the application and drop it into the cloud without the application even needing to know that it's now running in the cloud okay so that's transparent to the to the to the application and the workload and it absolutely is we built it deliberately using NFS so that the application wouldn't even need to know that it's now running in the cloud and we also built it to be elastic and simple for the same reason so customers don't have to worry about provisioning the storage they need it just works NFS is hard making making NFS simple and elastic is not a trivial engineering task is it it hadn't been done until we did it a lot of people said it couldn't be done how could you make something that truly was elastic in the cloud but still support that NFS but we've been able to do that for tens of thousands of customers successfully and and what's the real challenge there is it to maintain that performance and the recoverability from a technical standpoint an engineering standpoint what's yes sir it's all of the above people expect a certain level of performance whether that's latency throughput and I ops that their application is dependent on but they also want to be able to take advantage of that pay-as-you-go cloud model that AWS created back with s3 13 years ago so that elasticity that we offer to customers means they don't have to worry about capex they don't have to plan for exactly how much storage they need to provision the file system grows and shrinks as they add and remove data they pay only for what they're using and we handle all the heavy lifting for them to make that happen this this opens up a huge new set of workloads for your customers doesn't it it absolutely does and a big part of what we see is customers wanting to go on that journey through the cloud so initially there starting with lifting and shifting those applications as we talked about it but as they mature they want to be able to take advantage of newer technologies like containerization and ultimately even service all right let's talk about EFS ia infrequently access files is really what it's designed for tell us more about it right so one of the things that we heard a lot from our customers of course is can you make it cheaper we love it but we'd like to use more of it and what we discovered is that we could develop this infrequent access storage class and how it works is you turn on a capability we call lifecycle management and it's completely automated after that so we know from industry analysts and from talking to customers that the majority of data perhaps as much as 80% goes pretty cold after about a month and it's rarely touched again so we developed the infrequent access storage class to take advantage of that so once you enable it which is a single click in the console or one API call you pick a policy 14 days 30 days and we monitor the readwrite IO to every file individually and once a file hasn't been read from or written to in that policy period say 30 days we automatically and transparently move it to the infrequent access storage class which is 92% cheaper than our standard storage class it's only two and a half cents in our u.s. East one region as opposed to 30 cents for our standard storage class two and a half cents per per gigabyte per gigabyte month we've done about four customers that were particularly excited about is that it remains active file system data so we move your files to the infrequent access storage class but it does not appear to move in the file system so for your applications and your users it's the same file in the same directory so they don't even need to be aware of the fact that it's now on the infrequent access storage class you just get a bill that's 92 percent cheaper for storage for that file like that ok and it's and it's simple to set up you said it's one click and then I set my policy and I can go back and change my that's exactly right we have multiple policies available you can change it later you can turn off lifecycle management if you decide you no longer need it later so how do you see customers taking advantage of this what do you expect the adoption to be like and what are you hearing from them well what we heard from customers was that they like to keep larger workloads in their file systems but because the data tends to go cold and isn't frequently accessed it didn't make economic sense to say to keep large amounts of data in our standard storage class but there's advantages to them in their businesses for example we've got customers who are doing genomic sequencing and for them to have a larger set of data always available to their applications but not costing them as much as it was allows them to get more results faster as one example you obviously see that yeah what we're what we're trying to do all the time is help our customers be able to focus less on the infrastructure and the heavy lifting and more on being able to innovate faster for their customer so Duncan Duncan some of the sort of fundamental capabilities of EFS include high availability and durability tell us more about that yeah when we were developing EFS we heard a lot from customers that they really wanted higher levels of durability and availability than they typically been able to have on Prem it's super expensive and complex to build high availability and high durability solutions so we've baked that in as a standard part of EFS so when a file is written to an EFS file system and that acknowledgement is received back by the client at that point the data is already spread across three availability zones for both availability and durability what that means is not only are you extremely unlikely to ever lose any data if one of those AZ's goes down or becomes unavailable for some reason to your application you continue to have full read/write access to your file system from the other two available zones so traditionally this would be a very expensive proposition it was sort of on Prem and multiple data centers maybe talk about how it's different in the clouds yeah it's complex to build there's a lot of moving parts involved in it because in our case with three availability zones you were talking about three physically distinct data centers high-speed networking between those and actually moving the data so that it's written not just to one but to all three and we handled that all transparently under the hood in EFS it's all included in our standard storage to your cost as well so it's not something that customers have to worry about more either a complexity or a cost point of view it's so so very very I guess low RPO and an RTO and my essentially zero if you will between the three availability zones because once your client gets that acknowledgement back it's already durably written to the three availability zones all right we'll give you last word just in the world of file services what should we be paying attention to what kinds of things are you really trying to achieve I think it's helping people do more for less faster so there's always more we can do and helping them take advantage of all the services AWS has to offer spoken like a true Amazonian Duncan thanks so much for coming on the queue for thank you good all right and thank you for watching everybody be back from storage day in Boston you watching the cute

>> Live from Las Vegas, it's theCUBE! Covering Dell Technologies World 2019, brought to you by Dell technologies and it's ecosystem partners. >> Welcome back to Las Vegas, Lisa Martin with Stu Miniman theCUBE coming to you from Dell Technology Worlds 2019 day one, there's only about 15 thousand people here and about four thousand of Dell Technologies closest partners. We're very pleased to welcome back one of our Alumni to theCUBE, Chris McNabb the CEO of Dell Boomi. Chris thanks for joining us! >>u Lisa it's great to be here, Stu great to see you again. You know it's really exciting. >> This morning we've had such an electric day, I'd say we're half way through day one. This mornings key note kicked off with a lot of energy. First of all I have to say Michael Dell coming out to Queen music, that was for me you had me at hello. >> Yeah me too. After seeing Bohemian Rhapsody, it was the only way to go. >> He must be a fan of the movie! >> Exactly. >> Yeah Chris do you have your walk on music picked yet? >> I don't yet I'm still kind of shuffling through a couple different options. >> Okay well we can help with that, we're music fans too. >> Gotcha. >> But so much excitement, so much energy, so much collaboration across all of Dells brands, Michael saying with big energy, Boomi is leading with cloud data integration. Talk to us about what's going on at Boomi we were with you guys about five months or so ago at Boomi World, what's happening now, what's exciting you? >> So every day is exciting at Boomi we continue to grow extraordinarily rapidly across the world and we are focused on accelerating business outcomes for our customers, it is simple as that. It's why our customers stay with us we have over 97% retention rate so we're successful at doing that and when you can come in and produce wins for people, you know they have data silos all over the place, they need to be able to reconnect their systems, apps, databases, but also their processes, people and devices. And once you look at that whole landscape when you can come in and reunify that for them in a way in which they can engage customers, partners or employees in new ways, it's just a huge win and it's a pleasure to get up out of bed every morning without problem. >> Chris It's a powerful story I have to admit it took me a little while to kind of squint through and understand what Boomi did because a lot of times it's like oh it's the cool cloud native, new factor everything like that and we understand getting from the applications that I have today to you know whatever that digitalization, monetization, modernization I have is challenging and there's multiple ways to get there so if I can the thing that was exciting is we hear a lot you know let's meet you where you are and a lot of that is my applications and my processes, my work flow so to modernize and go through that digital transformation, some of it is to create brand new but a lot of that is how do I get what I have to that new multi cloud environment and that was the shout out I heard from Michael this morning about Pivotal, VMware, and Boomi as part of that spectrum to help get us there. Do I have that right? >> Yeah Stu you do, it's just listen, Hybrid IT is going to be here a really long time. People are going to try and survive a scenario where you've got 15 different apps built by 15 different vendors, you've got shadow databases, you've got all this stuff and you're like, but I've got customer data everywhere. So when you're looking for something as simple as a list of customers, what list? None of those data sources are the same, so how do you aggregate that, how do you filter that, how do you do it. So Boomi doesn't want people to just survive Hybrid IT, Boomi wants you to thrive in that environment, want you to really get going and be able to easily unite that, aggregate that, filter that as necessary. So now I have a unified data set in which I can go and engage my sales force and my customers with, and that's really where we play is trying to get it all to be reconnected or unified. >> It's essential everything is about the customer experience, Stu and I were just at a show that was all focused on CX but to have a good customer experience you have to have the right technologies enabling your own workforce to deliver what the customer needs because customer satisfaction yield business outcomes, it's a whole cycle there. >> Yeah. >> For our viewers who want a better vision of where does Boomi fit into you know, I'm a Dell EMC customer, I'm VMware customer, where does Boomi fit in and help these customers to transform that integration layer that allows them to take advantage of this exciting multi cloud world? >> Yeah so Lisa I'll just tell you a really quick story, I'll tell you a personal story. When Boomi has been growing very very rapidly, 62% growth through last year alone, so we're adding people really really fast. As a result of that scale we were horrible at onboarding our new employees, we had a really bad problem, so we looked to our own platform to transform our business and our net new employees experience with that business. Long story short I didn't have people, everybody was busy, I got one of our partners to use our platform to create an entire new employee onboarding process for Boomi. Our net new employee just kind of jumped to the end of the deal, we now have a 21st century engagement mechanism for our employees, that partner of ours put that whole solution together and put it into production in four months, most importantly let's talk about business outcomes. My net new employee NPS went from minus 76, worse number I've ever heard in anything, been in IT 30 years, to plus 92, six months after it's in production we're ready to go. So now to give you a sense, people used to have to fill out a case and go to our case management, fill out a case, schedule a meeting to get a picture taken to get their security badge, now selfie, do you like it, submit, you're done. And all of that, the mobile app that tracks it and performs it, all the engagement, all the interaction with all the systems, we provision our employees across 27 different systems all instantaneous, that used to take us 60 days to get them on to all those different systems. So all of those outcomes is all done with the Boomi platform, the integration requirements, the low code, and the mobile app is all Boomi. So that's why we focus on outcomes. >> So Chris in the key note this morning, want to understand how Boomi fits into some of these environments. We saw Microsoft obviously a big push, long Dell partner, and the other one Kubernetes is the area for all the cloud native discussion and various pieces. How do those fit in to your world? >> So Stu first of all to really understand sort of the bigger picture with Dell and their transformation story right, essential hardware provider, infrastructure provider, you've got VMware and Virtustrea almost making an infrastructure as a service sort of like the bottom of a triangle. You have Pivotal cloud boundary, building applications for competitive advantage right, and then no application works without data. And when you talk about it from a platform perspective that's how I like to think about it and explain it to people that's how Dell Technologies can bring all of this to the table and focus it now on your transformation. When ti comes to the specifics around what VMware and Pivotal are doing with Kubernetes and Google and some other folks and so on, the way we distribute integrations is basically via container technologies, we've had Docker Support now Kubernetes support, so it's very native to us that's how we can manage it from one spot and yet deploy really anywhere as it runs, so there's a lot of data capabilities that really align very well with Pivotal, we also have the Pivotal Data Services Tile so if you're an application developer, you're building that really cool app and oh that's ready to go but you need data from somewhere, you click the Boomi tile it's that data services tile, you can embed it right into your code, in and out comes the data sort seamlessly for you, it's a much better experience for the developer. So all of these companies are coming together to make sure these platforms align in such a way that our transform and outcome focus for our Dell technologies customers. >> We've heard a lot of that, companies coming together. Collaboration was one of the themes I took away from this mornings key note with the guys and gals that were on stage. We've heard that from Dell Technologies, Dell EMC folks, this morning, today, yourself. That collaborative effort is really clear when you're talking to customers. Speaking of collaborating with customers on the evolution and iterations and things, what were some of the, I'm curious, the theme of Boomi world was you guys were going to reinvent iPads, about five months since, you're smiling. >> Yeah. Talk to us about how you've collaborated with some of your key customers to do that, where you are today five months after saying hey, this is what we're going to do we're going to shake this up. >> The future of iPads is extraordinarily exciting, and come to Boomi world next year and we're going to tell you a really good story. But when you talk about redefining the ion iPads, going from integration platforms of service to intelligent platforms of service, and how AIML can change this game. We brought together key partners who have had extensive experience both in AIML, a lot of big public companies that you would know, as well as our customers and now you start looking at things in combination to dramatically speed up how integrations done and who's capable of doing it. I always felt like if I could get integration down into the hands of business analyst, and down into the hands of smart people but not software engineers, leave them for the really hard technical problems, the things that push your business forward, and not hey I need a data set from HR for salary reasons or whatever. And voice and combination with AI allowing you to generate and respond to natural language, hey sales force I'd like the pipeline report for Western North America please, back comes the data set and all you have to do as a user of that is form a question and humans are awesome at that they've been doing it since they were two, and when you can start to leverage that kind of capability, AIML for natural language, you figure out how to interact with it, you get patterns on how to do that that's in our database from the thousands of people that have interacted. So when we look at the future, leveraging our partners for skills that we're not expert at yet, AIML gave us a leep, customers what is it that you need us to do first? And we're starting to bring all that together In a very very interesting way. >> Alright so Chris Boomi has it's own show, but I'm sure there's a lot of overlap between the customers here. What are some of the key objectives and what's your teams goals for this week here at Dell Technologies World? >> Well this week here you know we have a lot of customers here as well, obviously in the Boomi World show we're very specific to the user community that we've got so you get a lot of tracks about specific tips and tricks that you can have and specific ways to do things, best practices, did you know we could do this, did you know that, all that kind of things. Here it's a little bit broader picture, you're dealing with a broader audience, there's more of an awareness problem in some cases some people aren't quite sure what Boomi does and why Dell Technologies has a company like Boomi, so we're here to change that from an awareness side. Got some really cool demos in how we do that, and kind of engage, and then we have our specific customers who we can pull off to the side and talk about their specific challenges. What's next for them, what're the next transformations they want to achieve and what's the next outcome they've got in line and how can we partner with them to help them achieve that. So it's really kind of a two fold kind of a thing, our booth is awareness and is there an opportunity to work together and partners, what's the next step for us. >> One of the things I heard when you shared that Boomi's personal story, the Boomi on Boomi story was the massive impacts that you've made to just the employee onboarding process and I shouldn't say just because we all know, again we talked about customer experience a few minutes ago and that's essential for any business, but to have a good customer experience you have to have successful, enabled, productive employees on all that lines, front lines, middle lines, back lines, et cetera. When you are talking with prospects who maybe are very familiar with Dell Technologies and most of the brands, how well does that story resonate that this is really fundamental integration, especially in this big hybrid multi cloud world in which we live, to have this integration as a core enabler of digital transformation, but also of employee experience, customer experience, business outcomes. >> You know Lisa a lot of times when you talk to people, like if I were to tell you the Boomi story and we had never met it's a little hard to believe that I could do that much and have that big of an impact in four months. It's kind of like oh okay, is he selling me? So a lot of times when we meet people for the first time, if we can get them to just give us a chance, we do a lot of proof of concepts with people, we're cloud software so I can give it to you right now, I could just set you up with an account in three minutes and you're off and running. So you can play with it, you can get experienced with it, you can kind of understand how we do that. Like if we have a claim that we're six times faster than Legacy providers it's like well how do you do that? Well you get a sense of how we do that, and how leverage, meditate it, we use AI to do that, we generate things for you, et cetera. So there's a bit of a awareness and then they take that Missouri side, but can you show me, I'm not sure I believe you, show me. We do that in POC's and then we can kind of really get the ball rolling. So that tends to be the general pattern that we go through with net new customers and prospects, to try and get them exposure. >> You guys have I think it's over eight thousand, over 82 hundred customers globally, you've got some big brands, you've got Lyft, you've got Sky, Chevron, GE, one of my favorite stories from Boomi World was one of your customer award winners, Digital Angel, and how they're reinventing this smart bed technology for hospitals in the Netherlands. Something I wasn't aware of before even technology in a mattress. Talk to us about how Boomi is an enabler there. >> Well it's such a great outcome story. So the smart mattress is intended for the Geriatric Nursing Home settings, and one of the biggest most fundamental problems with health care in a geriatric setting is infection with body sores, decubs, and very simply moisture is a massive cause, lack of movement is a massive cause, and it depends a little bit on age and so on but so they install the smart mattress in all the rooms, and it records and its monitoring your breaths, your perspiration, any moisture events, your heart rate, and so on, and all this data it's just spitting out data and Boomi's there to catch it. Now what Boomi does is it sits on the mattress, and just processes data and as long as everything's fine it just sort of processes it, the minute any thresholds are met, so if you haven't moved in two hours, two hours is kind of a magic number for people if you have not moved in two hours, Boomi immediately sends up an alert in the form of a case, and this case in Tampa Bay in their service now system it shows up on their board priority one case, go get Lisa and give her a nudge, get her to move around a little bit. Same with a moisture event, that's a priority one, go dry them and so on, and they've been able to dramatically reduce the infection rate for the elderly as they reside in these nursing home settings just to be attentive, they know immediately when something needs to be done and only when it's done, you don't get the false positive. So that setting to me and what Digital Angel's doing with that mattress is changing outcomes, and then Boomi just sits on all the mattresses and communicates the individual to the common nursing setting, it's great. >> Pretty powerful stuff. >> It's awesome like I said it's fun when you can make such a big outcome change for people that who you get that kind of reduction in infections in a short period of time, it's very exhilarating. >> So Chris last thing I wanted to ask is, it's addressing people always often look at the pieces of the Dell family as independent and on their own, they've got their brand their on the banner and everything, but you know we talked to Rory about and we saw on the stage this morning a lot of how the pieces are really working together from the top strategy all the way down to the field, how they're working together, give us your perspective as one of the CEO's in the Dell family as to how that's moving. >> Stu I refer to it for folks as our unfair competitive advantage, it's as simple as that. The horse power, the just sheer sort of economy's of scale, and the technical ability, the innovation and the customer first perspective that all these business bring together, as we come together and work together, we have an ability to change customers lives forever in combination and I haven't met a leader of a business that has said well wait a minute, where's my piece of the puzzle, where is this, how do I win, there are no I's when we come together. Rory running the Virtustream business and we're talking about Boomi now runs on Virtustream and as you move mission critical applications how can you get Boomi there so people can share the SAP data that's there now in Virtustream, into other parts of the organization. Talked about the Pivotal Tile, I've got some work going on with Sanjay at VMware, and it's never I, it's always how do we do more for our customers and when we do that and then you put the Dell go to market field behind it, I don't know how many there are 20, 30 thousand sales makers in Dell technologies alone doesn't include VMware and the rest of us, it's an extraordinarily powerful ecosystem that is focused on one thing, customer results. And I'll tell you it couldn't be better, as a leader of a business within there, it literally couldn't be better. >> Wow Chris that is outstanding thank you so much for sharing your perspectives -- >> My pleasure. >> And what's going on with Boomi, we look forward to seeing you at Boomi World 2019. >> Lisa I can't wait, Stu I hope you can make it this time. But thank you very much I really appreciate you having me one. >> Oh our pleasure. For Stu Miniman, I'm Lisa Martin, you're watching us live in Vegas, day one of Dell Technology World's 2019, thanks for watching. (upbeat music)

>> Live from Boston, it's theCUBE! Covering IBM Chief Data Officers Summit. Brought to you by IBM. >> Welcome back to theCUBE's live coverage of the IBM CDO Summit here in Boston, Massachusetts. I'm your host Rebecca Knight, along with my co-host Paul Gillin. We're joined by Inderpal Bhandari, he is the Global Chief Data Officer at IBM. Thank you so much for coming back on theCUBE, Inderpal. >> It's my pleasure. >> It's great to have you. >> Thank you for having me. >> So I want to talk, I want to start by talking a little bit about your own career journey. Your first CDO job was in the early 2000s. You were one of the first CDOs, ever. In the history of Chief Data Officers. Talk a little bit about the evolution of the role and sort of set the scene for our viewers in terms of what you've seen, in your own career. >> Yes, no thank you, December 2006, I became a Chief Data Officer of a major healthcare company. And you know, it turned out at that time there were only four of us. Two in banking, one in the internet, I was the only one in healthcare. And now of course there are well over 1,999 of us and the professions taken off. And I've had the fortune of actually doing this four times now. So leading a legacy in four different organizations in terms of building that organizational capability. I think initially, when I became Chief Data Officer, the culture was one of viewing data's exhaust. Something that we had to discard, that came out of the transactions that you were, that your business was doing. And then after that you would discard this data, or you didn't really care about it. And over the course of time, people had begun to realize that data is actually a strategic asset and you can really use it to drive not just the data strategy, but the actual business strategy, and enable the business to go to the next level. And that transitions been tremendous to watch and to see. I've just been fortunate that I've been there for the full journey. >> Are you seeing any consensus developing around what background makes for a good CDO? What are the skills that a CDO needs? >> Yeah, no that's a very, very good question. My view has been evolving on that one too, over the last few years, right, as I've had these experiences. So, I'll jump to the conclusion, so that you kind of, to answer your question as opposed to what I started out with. The CDO, has to be the change agent in chief, for the organization. That's really the role of the CDO. So yes, there's the technical sharps that you have to have and you have to be able to deal with people who have advanced technical degrees and to get them to move forward. But you do have to change the entire organization and you have to be adept at going after the culture, changing it. You can't get frustrated with all the push back, that's inevitable. You have to almost develop it as an art, as you move forward. And address it, not just bottom up and lateral, but also top down. And I think that's probably where the art gets the most interesting. Because you've got to push a for change even at the top. But you can push just so far without really derailing everything that you are trying to do. And so, I think if I have to pick one attribute, it would be that the CDO has to be the change agent in chief and they have to be adept at addressing the culture of the organization, and moving it forward. >> You're laying out all of these sort of character traits that someone has to be indefatigable, inspirational, visionary. You also said during the keynote you have six months to really make your first push, the first six months are so important. When we talk about presidents, it's the first 100 days. Describe what you mean by that, you have six months? >> So if a new, and I'm talking here mainly about a large organization like an IBM, a large enterprise. When you go in, the key observation is it's a functioning organization. It's a growing concern. It's already making money, it's doing stuff like that. >> We hope. >> And the people who are running that organization, they have their own needs and demands. So very quickly, you can just become somebody who ends up servicing multiple demands that come from different business units, different people. And so that's kind of one aspect of it. The way the organization takes over if you don't really come in with an overarching strategy. The other way the organizations take over is typically large organizations are very siloed. And even at the lower levels you who have people who developed little fiefdoms, where they control that data, and they say this is mine, I'm not going to let anybody else have it. They're the only one's who really understand that curve. And so, pretty much unless you're able to get them to align to a much larger cause, you'll never be able to break down those silos, culturally. Just because of the way it's set up. So its a pervasive problem, goes across the board and I think, when you walk in you've got that, you call it honeymoon period, or whatever. My estimate is based on my experience, six months. If you don't have it down in six months, in terms of that larger cause that your going to push forward, that you can use to at least align everybody with the vision, or you're not going to really succeed. You'll succeed tactically, but not in a strategic sense. >> You're about to undertake the largest acquisition in IBM's history. And as the Chief Data Officer, you must be thinking right now about what that's going to mean for data governance and data integration. How are you preparing for an acquisition that large? >> Yeah so, the acquisition is still got to work through all the regulations, and so forth. So there's just so much we can do. It's much more from a planning stand point that we can do things. I'll give you a sense of how I've been thinking about it. Now we've been doing acquisitions before. So in that since we do have a set process for how we go about it, in terms of evaluating the data, how we're going to manage the data and so forth. The interesting aspect that was different for me on this one is I also talked back on our data strategy itself. And tried to understand now that there's going to be this big acquisition of move forward, from a planning standpoint how should I be prepared to change? With regard to that acquisition. And because we were so aligned with the overall IBM business strategy, to pursue cognition. I think you could see that in my remarks that when you push forward AI in a large enterprise, you very quickly run into this multi-cloud issue. Where you've got, not just different clouds but also unprime and private clouds, and you have to manage across all that and that becomes the pin point that you have to scale. To scale you have to get past that pin point. And so we were already thinking about that. Actually, I just did a check after the acquisition was announced, asking my team to figure out well how standardized are we with Red Hat Linux? And I find that we're actually completely standardized across with Red Hat Linux. We pretty much will have use cases ready to go, and I think that's the facet of the goal, because we were so aligned with the business strategy to begin with. So we were discovering that pinpoint, just as all our customers were. And so when the cooperation acted as it did, in some extent we're already ready to go with used cases that we can take directly to our clients and customers. I think it also has to do with the fact that we've had a partnership with Red Hat for some time, we've been pretty strategic. >> Do you think people understand AI in a business context? >> I actually think that that's, people don't really understand that. That's was the biggest, in my mind anyway, was the biggest barrier to the business strategy that we had embarked on several years ago. To take AI or cognition to the enterprise. People never really understood it. And so our own data strategy became one of enabling IBM itself to become an AI enterprise. And use that as a showcase for our clients and customers, and over the journey in the last two, three years that I've been with IBM. We've become more, we've been putting forward more and more collateral, but also technology, but also business process change ideas, organizational change ideas. So that our clients and customers can see exactly how it's done. Not that i'ts perfect yet, but that too they benefit from, right? They don't make the same mistakes that we do. And so we've become, your colleagues have been covering this conference so they will know that it's become more and more clear, exactly what we're doing. >> You made an interesting comment, in the keynote this morning you said nobody understands AI in a business context. What did you mean by that? >> So in a business context, what does it look like? What does AI look like from an AI enterprise standpoint? From a business context. So excuse me I just trouble them for a tissue, I don't know why. >> Okay, alright, well we can talk about this a little bit too while he-- >> Yeah, well I think we understand AI as an Amazon Echo. We understand it as interface medium but I think what he was getting at is that impacting business processes is a lot more complicated. >> Right. >> And so we tend to think of AI in terms of how we relate to technology rather than how technology changes the rules. >> Right and clearly its such, on the consumers side, we've all grasped this and we all are excited by its possibilities but in terms of the business context. >> I'm back! >> It's the season, yes. >> Yeah, it is the season, don't want to get in closer. So to your question with regard to how-- >> AI in a business context. >> AI in a business context. Consumer context everybody understands, but in a business context what does it really mean? That's difficult for people to understand. But eventually it's all around making decisions. But in my mind its not the big decisions, it's not the decisions we going to acquire Red Hat. It's not those decisions. It's the thousands and thousands of little decisions that are made day in and night out by people who are working the rank and file who are actually working the different processes. That's what we really need to go after. And if you're able to do that, it completely changes the process and you're going to get just such a lot more out of it, not just terms of productivity but also in terms of new ideas that lead to revenue enhancement, new products, et cetera, et cetera. That's what a business AI enterprise looks like. And that's what we've been bringing forward and show casing. In today's keynote I actually had Sonya, who is one of our data governance people, SMEs, who works on metadata generation. Really a very difficult manual problem. Data about data, specifically labeling data so that a business person could understand it. Its all been done manually but now it's done automatically using AI and its completely changed the process. But Sonya is the person who's at the forefront of that and I don't think people really understand that. They think in terms of AI and business and they think this is going to be somebody who's a data scientist, a technologist, somebody who's a very talented technical engineer, but it's not that. It's actually the rank and file people, who've been working these business processes, now working with an intelligent system, to take it to the next level. >> And that's why as you've said it's so important that the CDO is a change agent in chief. Because it is, it does require so much buy-in from, as you say, the rank and file, its not just the top decision makers that you're trying to persuade. >> Yes, you are affecting change at all levels. Top down, bottom up, laterally. >> Exactly. >> You have to go after it across the board. >> And in terms of talking about the data, it's not just data for data's sake. You need to talk about it in terms that a business person can understand. During the keynote, you described an earlier work that you were doing with the NBA. Can you tell our viewers a little bit about that? And sort of how the data had to tell a story? >> Yes, so that was in my first go 'round with IBM, from 1990 through '97. I was with IBM Research, at the Watson Research Lab, as a research staff member. And I created this program called Advanced Scout for the National Basketball Association. Ended up being used by every team on the NBA. And it would essentially suggest who to put in the line up, when you're matching lines up and so forth. By looking at a lot of game data and it was particularly useful during the Playoff games. The major lesson that came out of that experience for me, at that time, alright, this was before Moneyball, and before all this stuff. I think it was like '90, '93, '92. I think if you Google it you will still see articles about this. But the main lesson that came out for me was the first time when the program identified a pattern and suggested that to a coach during a playoff game where they were down two, zero, it suggested they start two backup players. And the coach was just completely flabbergasted, and said there's no way I'm going to do this. This is the kind of thing that would not only get me fired, but make me look really silly. And it hit me then that there was context that was missing, that the coach could not really make a decision. And the way we solved it then was we tied it to the snippets of video when those two players were on call. And then they made the decision that went on and won that game, and so forth. Today's AI systems can actually fathom all that automatically from the video itself. And I think that's what's really advanced the technology and the approaches that we've got today to move forward as quickly as they have. And they've taken hold across the board, right? In the sense of a consumer setting but now also in the sense of a business setting. Where we're applying it pretty much to every business process that we have. >> Exciting. Well Inderpal, thank you so much for coming back on theCUBE, it was always a pleasure talking to you. >> It's my pleasure, thank you. >> I'm Rebecca Knight for Paul Gillin, we will have more from theCUBE's live coverage of IBM CDO coming up in just a little bit. (upbeat music)

>> Live from Las Vegas. It's theCUBE, covering Boomi World 2018. Brought to you by Dell Boomi. >> Welcome back to theCUBE, we are continuing our coverage of Boomi World 2018. I'm Lisa Martin in Las Vegas with John Furrier and we're welcoming to theCUBE, Pragnya Paramita, Senior Product Marketing Manager at Dell Boomi. Pragnya, welcome. >> Hi, nice to meet you guys. >> So second annual Dell Boomi World, we had Mandy Dhaliwal, your CMO, on shortly, ago who said doubled from last year. Some of the really cool stats that caught my ears and eyes this morning during the general session are 7500 plus customers globally that Dell Boomi has now. You're adding five new customers everyday. There are about close to 70 different customers speaking at this event. The customers are coming together to share how Dell Boomi is helping them on this nebulous, daunting transformation journey. Talk to us about some of the news coming out in the last couple of days, and as a product marketing manager, what are some of the things that excite you? >> I think, after the last few weeks, what we've been able to put out in the market with our partnership with the Blockchain consortium has been really exciting. To be working for a company that's always been at the cutting edge and looking to do things at the cutting edge, just as an employee, that's like a really cool thing to be a part of. But what I'm really excited about is tomorrow's Keynote. And I know we've probably been teasing everybody through the day about tomorrow's Keynote but I'm really excited to unveil what we are going to be showing you guys tomorrow. >> So one of the things that's exciting about you guys is that the product market fit is clear with customer traction. As you guys look at, say, Blockchain smart contracts, this is about business, so you're messaging around, connecting businesses with developer integration as a starting point with low code is a productivity question, it's a foundational question. As you have this platform, what's some of the product positionings that you guys are looking to expand on? Obviously we heard Michael Dell today say, data tsunami, scaling AI. These are questions that people want to have answers. Is that how you guys see the positioning when you go to market? >> So, at first positioning I think the true value that we do provide our customers is fast time to market, so I think speed and the ability to do things efficiently and being the first to market is what our customers really value and we want to be able to power that so that's goal to our positioning in the market. The other one is flexibility. I think with each vendor and consolidation happening around in the market, people are marking their turfs and territory and in this day and event, at Boomi, we really want to be an open ecosystem. You bring your data, you bring your application, you bring your cloud. You could have a hybrid environment as you operate your business, Boomi will connect to everything, and I think that is a cool part of our messaging that we want to make sure customers understand, we want to make sure the market understand that we'll be true to that. >> As you got the cool technology with the Cloud-Native, you guys are born in the cloud, still operating at cloud scale, as you sit at the product marketing meetings and think about the customers, you're solving a lot of problems, there's a lot of check boxes on the solving customer problems but you also want a position for the future. So I got to ask you, when you look at your customer base holistically, what's the core problem that you guys solve for your customers? >> I think unlocking the value of the data, customer data. So it resides in siloed application, it resides in parts of business that some... So if you're not the American business, your ability to interact with your Australian counterparts is not only restricted by time zones but it's also restricted by laws and data protection and all of those things which governments are waking up to. And to be able to do that securely, to be able to do that at a scale, is something that we want to be able to deliver to our customers. And I think our ability to be a Cloud-Native platform allows us that flexibility to do it in a way that customers feel comfortable and again, are able to get some value back from their data. >> So about six months ago, the Gartner Magic Quadrant for IPAAS came out and once again I think, John, we've heard today for the fifth year in a row Dell Boomi is a strong leader. I'm curious, six months later, now, today, you guys said we are re-imagining the I in iPaaS. From a market that's well established, highly competitive, that now customers, it's not just about integrating applications, it's integrating data from new sources, from existing sources, to be able to identify new revenue streams, new products, new services. What is it about this re-imagining the I to be intelligence, that, in your opinion, is going to further really kind of elevate Dell Boomi's competitive differentiation. >> So, the true differentiation is that in the market, we were the first who were a Native-Cloud application. So the value of that single instance multi-tenant cloud application is what we are really leveraging as part of our intelligence in the platform. So many of our competitors and other vendors in the market have probably caught on to this whole cloud thing in the last couple of years. But at the end of the day, we have 10 years of a lead with them, that would be hard for them to match. And again, it is value from what customers have been doing on our platform, so our ability to look at that enormous amount of data anonymously and then provide value back to them has been really critical to our success in how our customers have found value and I guess with the ability for us to leverage AI and machine learning capabilities within the platform, we want to be able to make it much more easier for our customers. >> So in terms of business initiatives, some of the key ones that Dell Boomi targets are e-commerce, order to cash, Customer 360, as well as onboarding. Talk to us, I really like that Chris McNabb, in the general session this morning kind of opened the kimono and said, "Hey, we found, "through the voice of our own employees, "we weren't so great in this particular area." Talk to us about the Dell Boomi employee onboarding solution and how it was really born based on your own internal needs for improvement. >> So I joined a year ago, I was employee number 300 something, and this year we are at employee number 700 plus, maybe going onto 800 at the last we heard, so you can imagine the scale that the company is growing at and for us and I guess what Chris articulated this morning, employee onboarding was becoming a choke point, not only in making sure employees are productive faster, but are also enjoying this new company that they've decided to, you know, become a part of. We, at Boomi, as Boomers ourselves, do really value our culture a lot, but that didn't quite reflect in the employee onboarding experience that we were providing, and I think that was a big stimulus, Chris shared the numbers of our NPS scores that he saw, for him to say that hey, we are running at a really fast pace but this is critical issue. >> Pretty big negative number a year ago or six months ago on that end. >> And as a CEO, he decided this is a priority, but then as we went through this exercise, what we were able to find out that it's not only a challenge that we are facing, but our customers, both large and small, continue facing that issue. So the approach that we took was while we were solving our own employee onboarding challenge, we were able to productize that entire solution and create an accelerator. And the value of that accelerator, it's a common problem, we know it is a problem that happens at scale, and at a certain scale it becomes really detrimental to your business. But then your business is really unique so we cannot give you a one-size-fit-all solution that you can go and turn on on day one and it'll work. What we are giving you here is a framework, we leveraged it, we had great results, we are more than happy to share that back, that something that took like 92 days for an employee to get access to 27 applications now takes minutes, like literally five minutes. What took about 19 admins across the organizations who were doing this as a second job almost, because we're a small company, the guy who bought the license for this new software that he wanted his team to use, became the admin for that product, and now his team is, from seven people, it's now 52 people. But he's still the admin of that product, along with managing that solution, so all of that effort was consolidated from 19 people to like two people, that's real gain there in just employee productivity that we have been able to standardize. And what we are doing now is taking the solution and the accelerator package to our customers and we are having some great conversation with many of our customers who had initially looked at Boomi and said like, hey, you guys provide us an integration solution to our problem. But at the end of the day, onboarding, as within an organization, is a cross-functional issue. It ties together workflows from your finance team, from your benefits team, from your recruiting team who is getting the candidate to your HR, who is going to make sure-- >> Facilities where you sit, all kinds of data. >> All kinds of things, and making sure you have your laptop and your badges and all of those things on day one. So a lot of people in the organizations are like these silent heroes who are making sure that every employee who shows up on day one has a good experience but there's only so far that a manual process can go, and being able to automate that process, and a good reason why we are now able to do this is because of Boomi Flow. The ManyWho acquisition that we did last year, it has opened doors for us to have conversations with our customers where we are like, you have cross-functional processes, you need to be able to automate them as much as possible and let your employees actually do more value added work instead of being, you know, sending emails and then collating emails with data from every place, putting it in a spreadsheet, adding that to your SAP, or your workday system and-- >> So that sounds like that's the consequence of two problems, I hear this right, one, data silos and manual or purpose-built applications that are dependent upon data silos. No data silos allows for automation, and then everything kind of goes away and solves the problem. Is that right? >> Yeah, absolutely. So cross-functional workflows are something that when people try to solve, they end up causing the integration problem at the end of the day. So you try to solve for one thing but then integration is always at the core of it. With Boomi, because we are coming integration up, we sort of automatically solve for that, but then with Boomi Flow, what we are able to do is we are able to abstract that away from users who don't really care about how you're going to get two applications to work together, so if you are in the HR team, you just want to make sure that here is the value proposition for the organization that I hired these employees for, they get to see that. I don't really care if your 15 applications need to work together at the backend. (cross talking) >> American Airlines example's a good one, they've hundreds of integrations, some will ship it and forget it. They won't have to remember it, hey, number 52, what was that again? Solved the problem but broke this over there. That's kind of the problem that is the core issue, right? >> It's a core issue. So we have a session later today with American Airlines, and MOD Pizza. So, both of them are a study in contrast. MOD Pizza is an organization that was founded a couple of years ago, around the same time that American Airlines and US Airways merges was happening. So the session is very interesting because you get a perspective from a company that started in 2011 or 2013, and took an approach of being a Cloud-Native infrastructure. So they make choices where all of their applications are in the Cloud but then when they grew at a certain scale, employee onboarding became an issue, they came to Boomi and how they are solving it, and on the flip side of it, you have a perspective from a large organization that around the same time relogged that their employee onboarding issues and then looked at Boomi and then said that, hey, how can we solve this? And as they said in the Keynote, good is not good enough, you need to have a great experience. >> Well you've also raised your NPS score 168 points, and now you've got an opportunity to reach customers in a different way, like you said to be able to integrate these functions and have to work together, that abstraction layer is critical for the business being more efficient and more productive. Finding new revenue streams faster, being more competitive, and really unlocking the value of that data so it can be used across multiple business units within organizations at the same time. Pragnya, thanks so much for stopping by and joining John and me on theCUBE today. >> Yeah, it was great talking to you guys. >> We appreciate it and have a great time at-- >> Hope you have a great Boomi World. >> Absolutely, off to a great start. Thanks so much for your time. For John Furrier, I'm Lisa Martin, you're watching theCUBE, Live from Boomi World 18 in Vegas, stick around, John and I will be back with our next guest. (light music)

live from Orlando Florida it's the cube coverage conf 18 got to you by Splunk hey welcome back to Splunk kampf 18 conf 8 hashtag Splunk conf 18 my name is Dave Volante I'm here with my co-host a minimun you watching the cube the leader and live tech coverage there's two days of wall-to-wall coverage is our seventh year stew at conf we're seeing the evolution of Splunk from kind of analyzing log files to having deep business impact across the organization and doing more with data Jim Nichols is here is the DevOps manager in Improv odda healthcare company good to see it thanks for coming to the cube again thank you for having me thank you so tell us about M privada and then love the the title DevOps in the title we'll get into that sure first the company yep so in providers the healthcare IT security company and we provide health court healthcare organizations around the world with secure Identity Management multi-factor authentication and enable just ubiquitous access to whatever sort of medical systems that they need to get into and we really try to enable healthcare by establishing trust between the medical providers the patient's the data and do that all securely and seamlessly so that we're not Security's not a part of their workflow it's just in there and they don't have to think about it and they just get access to what they need when they need it so I hear yeah on your website trust between people technology and information reminds me a little bit of a certain software company that branding is all around us today that is there seems like there's a line up between what Splunk does in your company's mission oh they're there absolutely is and you know like Splunk in privada has a very strong on premises in the data center footprint and we're expanding that into the cloud and that's where most of my work is is kind of managing those cloud systems that kind of complement the on-premise appliance and we're looking at how that's going to move into the cloud and what that means and it's very similar to like what Splunk is done with Splunk enterprise and now moving into Splunk cloud and we're actually a customer's point cloud everything that we do that we could possibly do is out in the cloud not in the data center in you you've got DevOps two new titles maybe bring us inside you know what that means that improv odda you usually think about you know moving fast things are changing all the time it's themes that we heard in the keynote this morning so explain that a little bit yeah so the way the DevOps model that we follow at improv odd is really like kind of a consultant model where we've got a small team of a very senior very expert DevOps folks and they kind of get assigned out to the agile teams and they're a team member that gets planned into the Sprint's plan and what we're going to be dealing and really kind of make sure that those deployment events or the DevOps work that we need to do is planned in as part of the normal development work and that consultancy model is really good in regards to Splunk because we run the Splunk infrastructure we do all the training we do some of the basic dashboard work and make sure that no matter what the team products onshore offshore wherever they are we're all looking at data exactly the same way exact same dashboards and it really kind of forces the knowledge to get shared throughout the organization across products and how we think about things and so Splunk you know DevOps isn't like a tool or a thing or whatever but Splunk is definitely a great like enabling forcing function to make sure that we are sharing metrics how the system works what we're learning on and all that stuff in a really consistent way so you know the t-shirt met tricks I've seen that I have what do you think that means oh so it's like the same old same old man metrics so huh what does that mean to you guys you have new metrics do you have a sort of new set of KPIs that you're using ourselves so I think the metrics part is that it's maybe 10 years ago the IT industry figured out how to get every single metric about CPU memory disk ram and all the tool there are a lot of different tools for doing it you know Splunk zabbix data dog others I don't know if it's okay to talk about other products or whatever but you know when you get like a CPU alert that goes off all right the CPU usage is 92% is that good or is that bad it sounds kind of high and you get that alert you look at that CPU chart and it's like there's no context there's no information and you know you might be designing your system to run at 90% if it's doing some batch processing or something so it's like metrics it's like you need to get the alert you need to know what's going on but you really need to like get the insight into what it is and that's why a lot of this stuff that they show this morning at the keynote was really exciting where you've got the metrics in one place the logs in one place it's all in one place so you get that alert and you can look at it and then see what else is going on without having to like jump into a bunch of different systems and how about DevOps your DevOps in the title what is how do you guys look at DevOps what is DevOps to you and where did it come from and where is it going I think that I've been doing DevOps my entire career since I got out of college and I came out of WPI and was studying like performance evaluation and it's like how do you measure systems get the insight how do you make sure they're running efficiently and I think that what I was kind of doing on the performance engineering side kind of intersected with like the agile movement and folks get into agile development teams and trying to integrate that knowledge and the metrics and how you're gonna run it in production into that sort of product building process so I feel like I've been doing DevOps for a long time and called it different things over the years you know for for us at improv Adi it's really about enabling our developers to deliver functionality to our customers as fast and as safely as possible so you know we're in the healthcare industry and you know the the systems that we build and integrate and support support life right like these are doctors that are using these systems they have to work a hundred percent all the time and that adds some interesting wrinkles where you wouldn't really think about doing continuous deployment for the system that you know somebody's going to get logged into to get into their medical records you might want to be able to move that quickly if you need to if there's an emergency bug fix but the level of safety and testing that we need to put in before it actually gets into production that's really where we spend a lot of our time in DevOps is making sure that that's a fish but that's fast and then when it goes from going from like a test environment into production if it takes an hour for office is not that big of a deal we're doing like you know multi week to week release cycles or even longer and so as far as like DevOps a lot of the movement has been around like continuous delivery and deployment and we kind of use that to optimize like the test build and debug cycle and that way when we know when we get to production that's going to go smoothly and that there aren't going to be any unanticipated how do security fit into this conversation sometimes you know the the buzzword term you know dev sac ops is you know how to how to Splunk in your practice look at security well so you know where a security company you know you know and we wouldn't really ever call anything dev sack offs because security is ingrained in a part of every single thing that we do walking into the building every day when we badge in I think about it our security people like is the building's secure all the way into like what we're ending up doing in the system so obviously Splunk is a huge supporter of that so we've got audit trail information on all the systems and we can know not only what you are system administrators and DevOps users are doing but like what docker is doing what commands it runs and really get at a very very low level of detail and we literally have everything that ever happens on those systems is audited and we've built a whole set of alerts around things that we know about things that we think might be a problem and we use kind of our expertise in the healthcare security space and then apply that to all our cloud systems so it's like we never have a team called dev sack ops it's like it's it's just what we do it's the first most important thing that we think about every day is security so that's why it's a little bit different for us but we like some of the ideas and I've you know we've started doing some work around automated security testing on the application code you know running like static analysis dynamic analysis integrating web scanning tools into our CI CD pipelines so that it just makes it that much easier you know and not wait till the end before you ship it or whatever we have it right in the development process what's the regime for your organization you know the classic development and operations throw it over the fence and okay DevOps brings those together but you still got a spectrum of skills and presumably you've got people on you know some kind of maturity model where you've got sort of newer folks maybe guys coming out of college like you were several years ago and you're training them and sort of you're one unified team at the same time you you might have some degrees of specialization so what have you found is the right regime for the DevOps team well I think the consultant model that we've established works really well and we've got a very senior DevOps person that's on the agile team and they may do some of the really tricky bits but once we get out of the part that only us as DevOps can do we really try to get the developers to do it so a lot of that's like Splunk training how do you build a dashboard here's maybe a simple example dashboard now you do the next panel that sort of thing to try to level everybody up and get everybody on the same page you know turned in terms of this divide between like Devon Ops when I actually joined and provided DevOps was NIT it was managed as part of like our SAS management offering along with like a lot of the other applications that IT managed and one of the very first things that our senior vice-president did was like they get to be in development they can't Oregon is a we were working together we're all on the same teams we're all doing all that stuff but just mentally organizationally get rid of the divide put them in engineering and report to the VP of engineering just like the developers development managers and architects and that's the way we've just get rid of any organizational or thought divide between the between the groups Jim you mention alerts just now and we've heard a few times you get alerts and you know I imagined the beeper in the old days now you get an alert on your mobile phone where are we in terms of being able to take action on those alerts have the machines take action for us is that an objective that you have is that just too damn scary your thoughts yeah so my first my first impression is that it's a little scary we do have some problems that occur with some frequency right so losing an Amazon ec2 instance happens you know 10 times out of 100 instances in the cloud on a given month so there's certain types of those failures that we've automated around just because you have to as a part of just doing business in the cloud so why do the Amazon like auto scaling groups all that stuff we've got a couple of you know issues that happen that we want to just resolve faster and repair faster they don't impact customer experience or user experience but we just want to get on top of those sooner so we've started to automate some of the very thin small carefully controlled controlled use cases so that if the alert were to go up spurious lis I know it's not gonna then take down a system that was running and finding good false positives exactly so only were places where false positives can be tolerated is where we're looking to do that yeah you don't want to take the humans out of the equation just yet or maybe ever for some of the simple things we we have and we can and we will but some of the complicated things it's like just stop and look at it and think about it for 90 seconds and then make the action we're to come up with how to program that 90 seconds of thought is like maybe talk about it be complete about it off oh this way okay let me explain it to somebody a second time and make sure it's right and then go and do a quake like just philosophically that's where I have to get a sheen to do that so Jim you're wearing the revolution a word shirt my understanding in privada is now one of two two-time Award winners if I got it right you're a commander Award winner maybe you could explain what that means and what it means to you and your company sure so the commander award is really about getting you know other folks in your organization using Splunk looking you know either looking at a dashboard at a report or digging down into the data and you know so why I won the award was really around like our use of docker containers so it was really important to me that developers people in DevOps people and support don't really have like a strong like network operations function but those types of folks that they're all looking at the exact same thing all the exact same tools all the exact same data so kind of as part of that mission it's just I hold trainings I hold office hours I've got one of my DevOps folks down here today or at the conference to then kind of spread the Splunk gospel show people how to use it if they've got questions all that sort of stuff and then the other part of that is really just showing people what we can do and advocating for the making decisions based on the data we have it in data you know I have it in spunk let's look at that to make the decision so that's really what that commander Awards kind of all about so if you're doing the doctor stuff you're a bit of a trailblazer so we were only a few years into this container initiative I was walking the show floor I even saw some companies looking at like the serverless technology you know what what led you to kind of put these pieces together and you know it tell us a little bit about kind of the community that you lean on to learn these things yes so the the technology trend around containers was very strong and very fast like with Amazon's especially like that when they came out with their ECS orchestration it was really fast and very strong and really the the technology trend kind of led me into it and then the developers being like we're gonna use docker we're gonna have to figure you're gonna have to figure out how to Splunk it so really from the very beginning I've gone through each and every sort of possible way to get data out of a dr. container in this Splunk and part of that is you know networking with the Splunk folks pretty good relationship with the with the fella that wrote the logging driver that went into the dock or open source project and like looked at the code reviews and all that and then it's really just trying it out trying things out and eventually kind of got to the sweet spot now where I've got the developers are all using local docker compose and that's configured a certain way then when we run in Amazon it's using Amazon ECS where I've also been working on kubernetes for a while and the way that you configure your docker in each of those environments is totally different the code running in the is exactly the same so we've realized that vision but the runtime environment is totally different so kind of where we're at now the config may be totally different on the logging drivers but in the end when you load up Splunk and you look at it and Splunk it's exactly the same whether it's your local laptop and amazon in production staving staging or whatever and I think my kind of favorite part in terms of like the Splunk commander award and getting folks using Splunk is that the way that I have it set it up set up now there is literally no local log file for the developers on their laptop it just doesn't exist it all goes out to Splunk so you can do a lot with grep and text pad and stuff on your local local laptop and I get that but now that they're in Splunk and it's just it's been a great way to get folks on board with what its gonna look like in production I know what it looks like in dev so I can make sure that my logs are good I'm logging enough and not too much and all that stuff so that's really where docker is really software is the same now we've got the logging the same the tools are all the same but then the runtime bits those are a little bit different and that's abstracted away hopefully Jim what does a DevOps guy want from a vendor you got a lot of open source stuff that you're working with you got a lot of different tooling what do you look for in a vendor what's what's the thumbs-up and positives and what what stuff really kind of ticked you off well so you know we're we're a key trusted vendor for a lot of healthcare organizations so I can kind of talk about how I we prison if a customer or a user comes up comes to us with a problem doesn't matter what it is it's our problem and we go through exhaustive lengths to identify where the problem actually is and so that may be in our code that maybe in another vendors code some third party some open source thing doesn't matter we're after the evidence we're after the facts we don't care if it's not in our code we're gonna help our customer be successful and that's what we would want from any vendor right so if we contact them with a support case we've got a problem we don't want any of this uh looks like a firewall problem or something like get to the data get to the facts and if you can prove if the vendor can prove that the problem is somewhere else great but we want a reproducible test case we want this whole finger-pointing thing is like it's horrible inside of an organization in terms of like running operational systems but then when you've got like as your Google Cloud Amazon Cloud Salesforce service now all these things all working together like you can't people just going to own the problem basically and that's what that's what we do right so if the customer comes to us with an issue it's our problem and then we go from there and figure it out and that's really what any vendor that we work with especially like a production operational sort of system that's really what we look for so you look for collaboration and focus on solving the problem not not the finger-pointing you know a virtual single throat to choke if you will yeah exactly hm well thanks very much for joining us on the cube is great to have you yeah thank you thank you very much appreciate I keep right - everybody stew and I'll be back hashtag Splunk conf 18 you're watching the cube right back [Music]

Okay, this presentation includes forward looking statements that are subject to risks and uncertainties. Actual results may differ materially as a result of various risk factors including those described in the 10 k's 10 q's and eight ks. Vm ware files with the SEC, ladies and gentlemen, Sunjay Buddha for the jazz mafia from Oakland, California. Good to be with you. Welcome to late night with Jimmy Fallon. I'm an early early morning with Sanjay Poonen and two are set. It's the first time we're doing a live band and jazz and blues is my favorite. You know, I prefer a career in music, playing with Eric Clapton and that abandoned software, but you know, life as a different way. I'll things. I'm delighted to have you all here. Wasn't yesterday's keynote. Just awesome. Off the charts. I mean pat and Ray, you just guys, I thought it was the best ever keynote and I'm not kissing up to the two of you. If you know pat, you can't kiss up to them because if you do, you'll get an action item list at 4:30 in the morning that sten long and you'll be having nails for breakfast with him but bad it was delightful and I was so inspired by your tattoo that I decided to Kinda fell asleep in batter ass tattoo parlor and I thought one wasn't enough so I was gonna one up with. I love Vm ware. Twenty years. Can you see that? What do you guys think? But thank you all of you for being here. It's a delight to have you folks at our conference. Twenty 5,000 of you here, 100,000 watching. Thank you to all of the vm ware employees who helped put this together. Robin Matlock, Linda, Brit, Clara. Can I have you guys stand up and just acknowledge those of you who are involved? Thank you for being involved. Linda. These ladies worked so hard to make this a great show. Everybody on their teams. It's the life to have you all here. I know that we're gonna have a fantastic time. The title of my talk is pioneers of the possible and we're going to go through over the course of the next 90 minutes or so, a conversation with customers, give you a little bit of perspective of why some of these folks are pioneers and then we're going to talk about somebody who's been a pioneer in the world but thought to start off with a story. I love stories and I was born in a family with four boys and my parents I grew up in India were immensely creative and naming that for boys. The eldest was named Sanjay. That's me. The next was named Santosh Sunday, so if you can get the drift here, it's s a n, s a n s a n and the final one. My parents got even more creative and colon suneel sun, so you could imagine my mother going south or Sunday do. I meant Sanjay you and it was always that confusion and then I come to the United States as an immigrant at age 18 and people see my name and most Americans hadn't seen many Sundays before, so they call me Sanjay. I mean, of course it of sounds like v San, so sanjay, so for all of your V, San Lovers. Then I come to California for years later work at apple and my Latino friends see my name and it sorta sounds like San Jose, so I get called sand. Hey, okay. Then I meet some Norwegian friends later on in my life, nordics. The J is a y, so I get called San Year. Your my Italian friend calls me son Joe. So the point of the matter is, whatever you call me, I respond, but there's certain things that are core to my DNA. Those that people know me know that whatever you call me, there's something that's core to me. Maybe I like music more than software. Maybe I want my tombstone to not be with. I was smart or stupid that I had a big heart. It's the same with vm ware. When you think about the engines that fuel us, you can call us the VM company. The virtualization company. Server virtualization. We seek to be now called the digital foundation company. Sometimes our competitors are not so kind to us. They call us the other things. That's okay. There's something that's core to this company that really, really stands out. They're sort of the engines that fuel vm ware, so like a plane with two engines, innovation and customer obsession. Innovation is what allows the engine to go faster, farther and constantly look at ways in which you can actually make the better and better customer obsession allows you to do it in concert with customers and my message to all of you here is that we want to both of those together with you. Imagine if 500,000 customers could see the benefit of vsphere San Nsx all above cloud foundation being your products. We've been very fortunate and blessed to innovate in everything starting with Sova virtualization, starting with software defined storage in 2009. We were a little later to kind of really on the hyperconverged infrastructure, but the first things that we innovate in storage, we're way back in 2009 when we acquired nicer and began the early works in software defined networking in 2012 when we put together desktop virtualization, mobile and identity the first time to form the digital workspace and as you heard in the last few days, the vision of a multi cloud or hybrid cloud in a virtual cloud networking. This is an amazing vision couple that innovation with an obsession and customer obsession and an NPS. Every engineer and sales rep and everybody in between is compensated on NPS. If something is not going well, you can send me an email. I know you can send pat an email. You can send the good emails to me and the bad emails to Scott Dot Beto said Bmr.com. No, I'm kidding. We want all of you to feel like you're plugged into us and we're very fortunate. This is your vote on nps. We've been very blessed to have the highest nps and that is our focus, but innovation done with customers. I shared this chart last year and it's sort of our sesame street simple chart. I tell our sales rep, this is probably the one shot that gets used the most by our sales organization. If you can't describe our story in one shot, you have 100 powerpoints, you probably have no power and very The fact of the matter is that the data center is sort of like a human body. little point. You've got your heart that's Compute, you've got the storage, maybe your lungs, you've got the nervous system that's networking and you've got the brains of management and what we're trying to do is help you make that journey to the cloud. That's the bottom part of the story. We call it the cloud foundation, the top part, and it's all serving apps. The top part of that story is the digital workspace, so very simply put that that's the desktop, moving edge and mobile. The digital workspace meets the cloud foundation. The combination is a digital foundation Where does, and we've begun this revolution with a company. That's what we end. focus on impact, not just make an impression making an impact, and there's three c's that all of us collectively have had an impact on cost very clearly. I'm going to walk you through some of that complexity and carbon and the carbon data was just fascinating to see some of that yesterday, uh, from Pat, these fierce guarded off this revolution when we started this off 20 years ago. These were stories I just picked up some of the period people would send us electricity bills of what it looked like before and after vsphere with a dramatic reduction in cost, uh, off the tune of 80 plus percent people would show us 10, sometimes 20 times a value creation from server consolidation ratios. I think of the story goes right. Intel initially sort of fought vm ware. I didn't want to have it happen. Dell was one of the first investors. Pat Michael, do I have that story? Right? Good. It's always a job fulfilling through agree with my boss and my chairman as opposed to disagree with them. Um, so that's how it got started. And true with over the, this has been an incredible story. This is kind of the revenue that you've helped us with over the 20 years of existence. Last year was about a billion but I pulled up one of the Roi Charts that somebody wrote in 2006. collectively over a year, $50 million, It might've been my esteemed colleague, Greg rug around that showed that every dollar spent on vm ware resulted in nine to $26 worth of economic value. This was in 2006. So I just said, let's say it's about 10 x of economic value, um, to you. And I think over the years it may have been bigger, but let's say conservative. It's then that $50 million has resulted in half a trillion worth of value to you if you were willing to be more generous and 20. It's 1 trillion worth of value over the that was the heart. years. Our second core product, This is one of my favorite products. How can you not like a product that has part of your name and it. We sent incredible. But the Roi here is incredible too. It's mostly coming from cap ex and op ex reduction, but mostly cap x. initially there was a little bit of tension between us and the hardware storage players. Now I think every hardware storage layer begins their presentation on hyperconverged infrastructure as the pathway to the private cloud. Dramatic reduction. We would like this 15,000 customers have we send. We want every one of the 500,000 customers. If you're going to invest in a private cloud to begin your journey with, with a a hyperconverged infrastructure v sound and sometimes we don't always get this right. This store products actually sort of the story of the of the movie seabiscuit where we sort of came from behind and vm ware sometimes does well. We've come from behind and now we're number one in this category. Incredible Roi. NSX, little not so obvious because there's a fair amount spent on hardware and the trucks would. It looks like this mostly, and this is on the lefthand side, a opex mostly driven by a little bit of server virtualization and a network driven architecture. What we're doing is not coming here saying you need to rip out your existing hardware, whether it's Cisco, juniper, Arista, you get more value out of that or more value potentially out of your Palo Alto or load balancing capabilities, but what we're saying is you can extend the life, optimize your underlay and invest more in your overlay and we're going to start doing more and software all the way from the l for the elephant seven stack firewalling application controllers and make that in networking stack, application aware, and we can dramatically help you reduce that. At the core of that is an investment hyperconverged infrastructure. We find often investments like v San could trigger the investments. In nsx we have roi tools that will help you make that even more dramatic, so once you've got compute storage and networking, you put it together. Then with a lot of other components, we're just getting started in this journey with Nsx, one of our top priorities, but you put that now with the brain. Okay, you got the heart, the lungs, the nervous system, and the brain where you do three a's, sort of like those three c's. You've got automation, you've got analytics and monitoring and of course the part that you saw yesterday, ai and all of the incredible capabilities that you have here. When you put that now in a place where you've got the full SDDC stack, you have a variety of deployment options. Number one is deploying it. A traditional hardware driven type of on premise environment. Okay, and here's the cost we we we accumulate over 2,500 pms. All you could deploy this in a private cloud with a software defined data center with the components I've talked about and the additional cost also for cloud bursting Dr because you're usually investing that sometimes your own data centers or you have the choice of now building an redoing some of those apps for public cloud this, but in many cases you're going to have to add on a cost for migration and refactoring those apps. So it is technically a little more expensive when you factor in that cost on any of the hyperscalers. We think the most economically attractive is this hybrid cloud option, like Vm ware cloud and where you have, for example, all of that Dr Capabilities built into it so that in essence folks is the core of that story. And what I've tried to show you over the last few minutes is the economic value can be extremely compelling. We think at least 10 to 20 x in terms of how we can generate value with them. So rather than me speak more than words, I'd like to welcome my first panel. Please join me in welcoming on stage. Are Our guests from brinks from sky and from National Commercial Bank of Jamaica. Gentlemen, join me on stage. Well, gentlemen, we've got a Indian American. We've got a kiwi who now lives in the UK and we've got a Jamaican. Maybe we should talk about cricket, which by the way is a very exciting sport. It lasts only five days, but nonetheless, I want to start with you Rohan. You, um, brings is an incredible story. Everyone knows the armored trucks and security. Have you driven in one of those? Have a great story and the stock price has doubled. You're a cio that brings business and it together. Maybe we can start there. How have you effectively being able to do that in bridging business and it. Thank you Sanjay. So let me start by describing who is the business, right? Who is brinks? Brinks is the number one secure logistics and cash management services company in the world. Our job is to protect our customers, most precious assets, their cash, precious metals, diamonds, jewelry, commodities and so on. You've seen our trucks in your neighborhoods, in your cities, even in countries across the world, right? But the world is going digital and so we have to ratchet up our use of digital technologies and tools in order to continue to serve our customers in a digital world. So we're building a digital network that extends all the way out to the edges and our edges. Our branches are our messengers and their handheld devices, our trucks and even our computer control safes that we place on our customer's premises all the way back to our monitoring centers are processing centers in our data centers so that we can receive events that are taking place in that cash ecosystem around our customers and react and be proactive in our service of them and at the heart of this digital business transformation is the vm ware product suite. We have been able to use the products to successfully architect of hybrid cloud data center in North America. Awesome. I'd like to get to your next, but before I do that, you made a tremendous sacrifice to be here because you just had a two month old baby. How is your sleep getting there? I've been there with twins and we have a nice little gift for you for you here. Why don't you open it and show everybody some side that something. I think your two month old will like once you get to the bottom of all that day. I've. I'm sure something's in there. Oh Geez. That's the better one. Open it up. There's a Vm, wear a little outfit for your two month. Alright guys, this is great. Thank you all. We appreciate your being here and making the sacrifice in the midst of that. But I was amazed listening to you. I mean, we think of Jamaica, it's a vacation spot. It's also an incredible place with athletes and Usain bolt, but when you, the not just the biggest bank in Jamaica, but also one of the innovators and picking areas like containers and so on. How did you build an innovation culture in the bank? Well, I think, uh, to what rughead said the world is going to dissolve and NCB. We have an aspiration to become the Caribbean's first digital bank. And what that meant for us is two things. One is to reinvent or core business processes and to, to ensure that our customers, when they interact with the bank across all channels have a, what we call the Amazon experience and to drive that, what we actually had to do was to work in two moons. Uh, the first movement we call mode one is And no two, which is stunning up a whole set of to keep the lights on, keep the bank running. agile labs to ensure that we could innovate and transform and grow our business. And the heart of that was on the [inaudible] platform. So pks rocks. You guys should try it. We're going to talk about. I'm sure that won't be the last hear from chatting, but uh, that's great. Hey, now I'd like to get a little deeper into the product with all of you folks and just understand how you've engineered that, that transformation. Maybe in sort of the order we covered in my earlier comments in speech. Rohan, you basically began the journey with the private cloud optimization going with, of course vsphere v San and the VX rail environment to optimize your private cloud. And then of course we'll get to the public cloud later. But how did that work out for you and why did you pick v San and how's it gone? So Sunday we started down this journey, the fourth quarter of 2016. And if you remember back then the BMC product was not yet a product, but we still had the vision even back then of bridging from a private data center into a public cloud. So we started with v San because it helped us tackle an important component of our data center stack. Right. And we could get on a common platform, common set of processes and tools so that when we were ready for the full stack, vmc would be there and it was, and then we could extend past that. So. Awesome. And, and I say Dave with a name like Dave Matthews, you must have like all these musicians, like think you're the real date, my out back. What's your favorite Dave Matthew's song or it has to be crashed into me. Right. Good choice rash. But we'll get to music another time. What? NSX was obviously a big transformational capability, February when everyone knows what sky and media and wireless and all of that stuff. Networking is at the core of what you do. Why did you pick Nsx and what have you been able to achieve with it? So I mean, um, yeah, I mean there's, like I say, sky's yeah, maybe your organization. It's incredibly fast moving industry. It's very innovative. We've got a really clever people in, in, in, in house and we need to make sure our product guys and our developers can move at pace and yeah, we've got some great. We've got really good quality metric guys. They're great guys. But the problem is that traditional networking is just fundamentally slow is there's, there's not much you can do about it, you know, and you know to these agile teams here to punch a ticket, get a file, James. Yeah. That's just not reality. We're able to turn that round so that the, the, the devops ops and developers, they can just use terraform and do everything. Yeah, it's, yeah, we rigs for days to seconds and that's in the Aes to seconds with an agile software driven approach and giving them much longer because it would have been hardware driven. Absolutely. And giving the tool set to the do within boundaries. You have scenes with boundaries, developers so they can basically just do, they can do it all themselves. So you empower the developers in a very, very important way. Within a second you had, did you use our insight tools too on top of that? So yes, we're considered slightly different use case. I mean, we're, yeah, we're in the year. You've got general data protection regulations come through and that's, that's, that's a big deal. And uh, and the reality is from what an organization's compliance isn't getting right? So what we've done been able to do is any convenience isn't getting any any less, using vr and ai and Nsx, we're able to essentially micro segment off a lot of Erica our environments which have a lot, much higher compliance rate and you've got in your case, you know, plenty of stores that you're managing with visa and tens of thousands of Vms to annex. This is something at scale that both of you have been able to achieve about NSX and vsn. Pretty incredible. And what I also like with the sky story is it's very centered around Dev ops and the Dev ops use case. Okay, let's come to your Ramon. And obviously I was, when I was talking to the Coobernetti's, uh, you know, our Kubernetes Platform, team pks, and they told me one of the pioneer and customers was National Commercial Bank of Jamaica. I was like, wow, that's awesome. Let's bring you in. And when we heard your story, it's incredible. Why did you pick Coobernetti's as the container platform? You have many choices of what you could have done in terms of companies that are other choices. Why did you pick pks? So I think, well, what happened to, in our interviews cases, we first looked at pcf, which we thought was a very good platform as well. Then we looked at the integration you can get with pqrs, the security, the overland of Nsx, and it made sense for us to go in that direction because you offered 11 team or flexibility on our automation that we could drive through to drive the business. So that was the essence of the argument that we had to make. So the key part with the NSX integration and security and, and the PKS. Uh, and while we've got a few more chairs from the heckler there, I want you to know, Chad, I've got my pks socks on. That's how much I had so much fear. And if he creates too much trouble with security, we can be emotional. I'm out of the arena, you know. Anyway. Um, I wanted to put this chart up because it's very important for all of you, um, and the audience to know that vm ware is making a significant commitment to Coobernetti's. Uh, we feel that this is, as pat talked about it before, something that's going to be integrated into everything we do. It's going to become like a dial tone. Um, and this is just the first of many things you're going to see a vm or really take this now as a consistent thing. And I think we have an opportunity collectively because a lot of people think, oh, you know, containers are a threat to vm ware. We actually think it's a headwind that's going to become a tailwind for us. Just the same way public cloud has been. So thank you for being one of our pioneer and early customers. And Are you using the kubernetes platform in the context of running in a vsphere environment? Yes, we are. We're onto Venice right now. Uh, we have. Our first application will be a mobile banking APP which will be launched in September and all our agile labs are going to be on pbs moving forward medic. So it's really a good move for us. Dave, I know that you've, not yet, I mean you're looking in the context potentially about is your, one of the use cases of Nsx for you containers and how do you view Nsx in that? Absolutely. For us that was the big thing about t when it refresh rocked up is that the um, you know, not just, you know, Sda and on a, on vsphere, but sdn on openstack sdn into their container platform and we've got some early visibility of the, uh, of the career communities integration on there and yeah, it was, it was done right from the start and that's why when we talked to the pks Yeah, it's, guys again, the same sort of thing. it's, it's done right from the start. And so yeah, certainly for us, the, the NSX, everywhere as they come and control plane as a very attractive proposition. Good. Ron, I'd like to talk to you a little bit about how you viewed the public, because you mentioned when we started off this journey, we didn't have Mr. Cloud and aws, we approached to when we were very early on in that journey and you took a bet with us, but it was part of your data center reduction. You're kind of trying to almost to obliterate one data center as you went from three to one. Tell us that story and how the collaboration worked out on we amber cloud. What's the use case? So as I said, our vision was always to bridge to a So we wanted to be able to use public cloud environments to incubate new public cloud, right? applications until they stabilize to flex to the cloud. And ultimately disaster recovery in the cloud. That was the big use case for us. We ran a traditional data center environment where, you know, we run across four regions in the world. Each region had two to three data centers. One was the primary and then usually you had a disaster recovery center where you had all your data hosted, you had certain amount of compute, but it was essentially a cold center, right? It, it sat idle, you did your test once a year. That's the environment we were really looking to get out of. Once vmc was available, we were able to create the same vm ware environment that we currently have on prem in the cloud, right? The same network and security stack in both places and we were actually able to then decommission our disaster recovery data center, took it off, it's took it off and we move. We've got our, our, all of our mission critical data now in the, uh, in the, uh, aws instance using BMC. We have a small amount of compute to keep it warm, but thanks to the vm ware products, we have the ability now to ratchet that up very quickly in a Dr situation, run production in the cloud until we stabilized and then bring that workload back. Would it be fair to tell everybody here, if you are looking at a Dr or that type of bursting scenario, there's no reason to invest in a on premise private cloud. That's really a perfect use case of We, I know certainly we had breaks. this, right? Sorry. Exactly. Yeah. We will no longer have a, uh, a physical Dr a center available anywhere. So you've optimized your one data center with the private cloud stack will be in cloud foundation effectively starting off a decent and you've optimized your hybrid cloud journey, uh, with we cloud. I know we're early on in the journey with Nsx and branch, so we'll come back to that conversation may next year we discover new things about this guy I just found out last night that he grew up in the same town as me in Bangalore and went to the same school. So we will keep a diary of the schools at rival schools, but the last few years with the same school, uh, Dave, as you think about the future of where you want to this use case of network security, what are some of the things that are on your radar over the course of the next couple of months and quarters? So I think what we're really trying to do is, um, you know, computers, this is a critical thing decided technology conference, computers and networks are a bit boring, but rather we want to make them boring. We want to basically sweep them away from so that our people, our customers, our internal customers don't have to think about it were the end that we can make him, that, that compliance, that security, that whole, that whole framework around it. Um, regardless of where that work, right live as living on premise, off premise, everywhere you know. And, and even Aisha potentially out out to the edge. How big were your teams? Very quickly, as we wrap up this, how big are the teams that you have working on network is what was amazing. I talked to you was how nimble and agile you're with lean teams. How big was your team? The, the team during the, uh, the SDDC stack is six people. Six, six. Eight. Wow. There's obviously more that more. And we're working on that core data center and your boat to sleep between five and seven people. For it to brad to both for the infrastructure and containers. Yes. Rolling on your side. It's about the same. Amazing. Well, very quickly maybe 30 seconds. Where do you see the world going? Rolling. So, you know, it brings, I pay attention to two things. One is Iot and we've talked a little bit about that, but what I'm looking for there as digital signals continue to grow is injecting things like machine learning and artificial intelligence in line into that flow back so we can make more decisions closer to the source. Right. And the second thing is about cash. So even though cash volume is increasing, I mean here we are in Vegas, the number one cash city in the US. I can't ignore the digital payments and crypto currency and that relies on blockchain. So focusing on what role does blockchain play in the global world as we go forward and how can brings, continue to bring those services, blockchain and Iot. Very rare book. Well gentlemen, thank you for being with us. It's a pleasure and an honor. Ladies and gentlemen, give it up for three guests. Well, um, thank you very much. So as you saw there, it's great to be able to see and learn from some of these pioneering customers and the hopefully the lesson you took away was wherever your journey is, you could start potentially with the private cloud, embark on the journey to the public cloud and then now comes the next part which is pretty exciting, which is the journey off the desktop and removal what digital workspace. And that's the second part of this that I want to explore with a couple of customers, but before I do that, I wanted to set the context of why. What we're trying to do here also has economic value. Hopefully you saw in the first set of charts the economic value of starting with the heart, the lungs, any of that software defined data center and moving to the ultimate hybrid cloud had economic value. We feel the same thing here and it's because of fundamental shift that started off in the last seven, 10 years since iphone. The fact of the matter is when you look at your fleet of your devices across tablets, phones and laptops today is a heterogeneous world. Twenty years ago when the company started, it was probably all Microsoft devices, laptops now phones, tablets. It's a mixture and it was going to be a mixture for the rest of them. I think for the foreseeable time, with very strong, almost trillion market cap companies and in this world, our job is to ensure that heterogeneous digital workspace can be very easily managed and secured. I have a little soft corner for this business because the first three years of my five years here, I ran this business, so I know a thing about these products, but the fact of the matter is that I think the opportunity here is if you think about the 7 billion people in the world, a billion of them are working for some company or the other. The others are children or may not be employed or retired and every one of them have a phone today. Many of them phones and laptops and they're mixed and our job is to ensure that we bring simplicity to this place. You saw a little bit that cacophony yesterday and Pat's chart, and unfortunately a lot of today's world of managing and securing that disparate is a mountain of morass. Okay? No offense to any of the vendors named in there, but it shouldn't be your job to be that light piece of labor at the top of the mountain to put it all together, which costs you potentially at least $50 per user per month. We can make the significantly cheaper with a unified platform, workspace one that has all of those elements, so how have we done that? We've taken those fundamental principles at 70 percent, at least reduction of simplicity and security. A lot of the enterprise companies get security, right, but we don't get simplicity all always right. Many of the consumer companies like right? But maybe it needs some help and facebook, it's simplicity, security and we've taken both of those and said it is possible for you to actually like your user experience as opposed to having to really dread your user experience in being able to get access to applications and how we did this at vm ware, was he. We actually teamed with the Stanford Design School. We put many of our product managers through this concept of design thinking. It's a really, really useful concept. I'd encourage every one of you. I'm not making a plug for the Stanford design school at all, but some very basic principles of viability, desirability, feasibility that allow your product folks to think like a consumer, and that's the key goal in undoing that. We were able to design of these products with the type of simplicity but not compromise at all. Insecurity, tremendous opportunity ahead of us and it gives me great pleasure to bring onstage now to guests that are doing some pioneering work, one from a partner and run from a customer. Please join me in welcoming Maria par day from dxc and John Market from adobe. Thank you, Maria. Thank you Maria and John for being with us. Maria, I want to start with you. A DXC is the coming together of two companies and CSC and HP services and on the surface on the surface of it, I think it was $50,000, 100,000. If it was exact numbers, most skeptics may have said such a big acquisition is probably going to fail, but you're looking now at the end of that sort of post merger and most people would say it's been a success. What's made the dxc coming together of those two very different cultures of success? Well, first of all, you have to credit a lot of very creative people in the space. One of the two companies came together, but mostly it is our customers who are making us successful. We are choosing to take our customers the next generation digital platform. The message is resonating, the cultures have come together, the individuals have come together, the offers have come together and it's resonating in the marketplace, in the market and with our customers and with our partners. So you shouldn't have doubted it. I, I wasn't one of the skeptics, maybe others were. And my understanding is the d and the C Yes. If, and dxc is the digital and customer. if you look at the logo, it's, it's more of an infinity, so digital transformation for customers. But truthfully it's um, we wanted to have a new start to some very powerful companies in the industry and it really was a instead of CSC and HP, a new logo and a new start. And I think, you know, if this resonates very well with what I started off my keynote, which is talking about innovation and customers focused on digital and Adobe, obviously not just a household name, customers, John, many of folks who use your products, but also you folks have written the playbook on a transformation of on premise going cloud, right? A SAS products and now we've got an incredible valuations relative. How has that affected the way you think in it in terms of a cloud first type of philosophy? Uh, too much of how you implement, right? From an IT perspective, we're really focused on the employee experience. And so as we transitioned our products to the cloud, that's where we're working towards as well from an it, it's all about innovation and fostering that ability for employees to create and do some amazing products. So many of those things I talked about like design thinking, uh, right down the playbook, what adobe does every day and does it affect the way in which you build, sorry, deploy products 92. Yeah, I mean fundamentally it comes down to those basics viability and the employee experience. And we've believe that by giving employees choice, we're enabling them to do amazing work. Rhonda, Maria, you obviously you were in the process of rolling out some our technology inside dxc. So I want to focus less on the internal implementation as much as what you see from other clients I shared sort of that mountain of harassed so much different disparate tools. Is that what you hear from clients and how are you messaging to them, what you think the future of the digital workspaces. And I joined partnership. Well Sanjay, your picture was perfect because if you look at the way end user compute infrastructure had worked for years, decades in the past, exactly what we're doing with vm ware in terms of automation and driving that infrastructure to the cloud in many ways. Um, companies like yours and mine having the courage to say the old way of on prem is the way we made our license fees, the way move made our professional services in the past. And now we have to quickly take our customers to a new way of working, a fast paced digital cloud transformation. We see it in every customer that we're dealing with everyday of the week What are some of the keyboard? Every vertical. I mean we're, we're seeing a lot in the healthcare and in a variety of verticals. industry. I'm one of the compelling things that we're seeing in the marketplace right now is the next gen worker in terms of the GIG economy. I'm employees might work for one company at 10:00 in the morning and another company at We have to be able to stand those employees are 10 99 employees up very 2:00 in the afternoon. quickly, contract workers from around the world and do it securely with governance, risk and compliance quickly. Uh, and we see that driving a lot of the next generation infrastructure needs. So the users are going from a company like dxc with 160,000 employees to what we think in the future will be another 200, 300,000 of 'em, uh, partners and contract workers that we still have to treat with the same security sensitivity and governance of our w two employees. Awesome. John, you were one of the pioneer and customers that we worked with on this notion of unified endpoint management because you were sort of a similar employee base to Vm ware, 20,000 odd employees, 1000 plus a and you've got a mixture of devices in your fleet. Maybe you can give us a little bit of a sense. What percentage do you have a windows and Mac? So depending on the geography is we're approximately 50 percent windows 50 slash 50 windows and somewhat similar to how vm ware operates. What is your fleet of mobile phones look like in terms of primarily ios? We have maybe 80 slash 20 or 70 slash 20 a apple and Ios? Yes. Tablets override kinds. It's primarily ios tablets. So you probably have something in the order of, I'm guessing adding that up. Forty or 50,000 devices, some total of laptops, tablets, phones. Absolutely split 60 slash 60,000. Sixty thousand plus. Okay. And a mixture of those. So heterogeneities that gear. Um, and you had point tools for many of those in terms of managing secure in that. Why did you decide to go with workspace one to simplify that, that management security experience? Well, you nailed it. It's all about simplification and so we wanted to take our tools and provide a consistent experience from an it perspective, how we manage those endpoints, but also for our employee population for them to be able to have a consistent experience across all of their devices. In the past it was very disconnected. It was if you had an ios device, the experience might look like this if you had a window is it would look like go down about a year ago is to bring that together again, this. And so our journey that we've started to simplicity. We want to get to a place where an employee can self provision their desktop just like they do their mobile device today. And what would, what's your expectations that you go down that journey of how quickly the onboarding time should, should be for an employee? It should be within 15, 20 minutes. We need to, we need to get it very rapid. The new hire orientation process needs to really be modified. It's no longer acceptable from everything from the it side ever to just the other recruiting aspects. An employee wants to come and start immediately. They want to be productive, they want to make contributions, and so what we want to do from an it perspective is get it out of the way and enable employees to be productive as And the onboarding then could be one way you latch him on and they get workspace quickly as possible. one. Absolutely. Great. Um, let's talk a little bit as we wrap up in the next few minutes, or where do you see the world going in terms of other areas that are synergistic, that workspace one collaboration. Um, you know, what are some of the things that you hear from clients? What's the future of collaboration? We're actually looking towards a future where we're less dependent on email. So say yes to that real real time collaboration. DXC is doing a lot with skype for business, a yammer. I'll still a lot with citrix, um, our tech teams and our development teams use slack and our clients are using everything, so as an integrator to this space, we see less dependent on the asynchronous world and a lot more dependence on the synchronous world and whatever tools that you can have to create real time. Um, collaboration. Now you and I spoke a little last night talking about what does that mean to life work balance when there's always a demanding realtime collaboration, but we're seeing an uptick in that and hopefully over the next few years a slight downtick in, in emails because that is not necessarily the most direct way to communicate all the time. And, and in that process, some of that sort of legacy environment starts to get replaced with newer tools, whether it's slack or zoom or we're in a similar experience. All of the above. All of the above. Are you finding the same thing, John Environment? Yeah, we're moving away. There's, I think what you're going to see transition is email becomes more of the reporting aspect, the notification, but the day to day collaboration is me to products like slack are teams at Adobe. We're very video focused and so even though we may be a very global team around the world, we will typically communicate over some form of video, whether it be blue jeans or Jabber or Blue Jeans for your collaboration. Yeah. whatnot. We've internally, we use Webex and, and um, um, and, and zoom in and also a lot of slack and we're happy to announce, I think at the work breakouts, we'll hear about the integration of workspace one with slack. We're doing a lot with them where I want to end with a final question with you. Obviously you're very passionate about a cause that we also love and I'm passionate about and we're gonna hear more about from Malala, which is more women in technology, diversity and inclusion and you know, especially there's a step and you are obviously a role model in doing that. What would you say to some of the women here and others who might be mentors to women in technology of how they can shape that career? Um, I think probably the women here are already rocking it and doing what you need to do. So mentoring has been a huge part of my career in terms of people mentoring me and if not for the support and I'm real acceptance of the differences that I brought to the workplace. I wouldn't, I wouldn't be sitting here today. So I think I might have more advice for the men than the women in the room. You're all, you have daughters, you have sisters, you have mothers and you have women that you work every day. Um, whether you know it or not, there is an unconscious bias out there. So when you hear things from your sons or from your daughters, she's loud. She's a little odd. She's unique. How about saying how wonderful is that? Let's celebrate that and it's from the little go to the top. So that would be, that would be my advice. I fully endorse that. I fully endorse that all of us men need to hear that we have put everyone at Vm ware through unconscious bias that it's not enough. We've got to keep doing it because it's something that we've got to see. I want my daughter to be in a place where the tech world looks like society, which is not 25, 30 percent. Well no more like 50 percent. Thank you for being a role model and thank you for both of you for being here at our conference. It's my pleasure. Thank you Thank you very much. Maria. Maria and John. So you heard you heard some of that and so that remember some of these things that I shared with you. I've got a couple of shirts here with these wonderful little chart in here and I'm not gonna. Throw it to the vm ware crowd. Raise your hand if you're a customer. Okay, good. Let's see how good my arm is. There we go. There's a couple more here and hopefully this will give you a sense of what we are trying to get done in the hybrid cloud. Let's see. That goes there and make sure it doesn't hit anybody. Anybody here in the middle? Right? There we go. Boom. I got two more. Anybody here? I decided not to bring an air gun in. That one felt flat. Sorry. All. There we go. One more. Thank you. Thank you. Thank you very much, but this is what we're trying to get that diagram once again is the cloud foundation. Folks. The bottom part, done. Very simply. Okay. I'd love a world one day where the only The top part of the diagram is the digital workspace. thing you heard from Ben, where's the cloud foundation? The digital workspace makes them cloud foundation equals a digital foundation company. That's what we're trying to get done. This ties absolutely a synchronously what you heard from pat because everything starts with that. Any APP, a kind of perspective of things and then below it are these four types of clouds, the hybrid cloud, the Telco Cloud, the cloud and the public cloud, and of course on top of it is device. I hope that this not just inspired you in terms of picking up a few, the nuggets from our pioneers. The possible, but every one of the 25,000 view possible, the 100,000 of you who are watching this will take people will meet at all the vm world and before forums. the show on the road and there'll be probably 100,000 We want every one of you to be a pioneer. It is absolutely possible for that to happen because that pioneering a capability starts with every one of you. Can we give a hand once again for the five customers that were onstage with us? That's great.

>> Narrator: From San Mateo, California, it's theCUBE covering SnapLogic Innovation Day 2018. Brought to you by SnapLogic. >> Hey, welcome back everybody, Jeff Frick here with theCUBE. We're in San Mateo, California right at the crossroads. The building's called The Crossroads but it's right at the crossroads of 92 and 101. It's a really interesting intersection over the years as you watch these buildings that are on the corner continue to change names. I always think of the Seibel, his first building came up on this corner and we're here to see a good friend of SnapLogic and their brand new building. Gaurav Dhillon, Chairman and CEO, great to see you. >> Pleasure to be here. >> So how long you been in this space? >> Gosh, it's been about a year. >> Okay. >> Although it feels longer. It's a high-growth company so these are dog years. (laughs) >> That's right. and usually, you outgrow it before you all have moved in. >> The years are short but the days are long. >> And it's right next Rakuten, I have to mention it. We all see it on the Warriors' jerseys So now we know who they are and where they are exactly. >> No they're a good outfit. We had an interesting time putting a sign up and then the people who made their sign told us all kinds of back stories. >> Oh, good, good Alright. So give us an update on SnapLogic. You guys are in a great space at a really, really good time. >> You know, things been on a roll. As you know, the mission we set out to... engage with was to bring together applications and data in the enterprise. We have some of the largest customers in high technology. Folks like Qualcomm, Workday. Some of the largest customers in pharmaceuticals. Folks like Astrazeneca, Bristol-Meyers Squibb. In retail, Denny's, Wendy's, etc. And these folks are basically bringing in new cloud applications and moving data into the cloud. And it's really fun to wire that all up for them. And there's more of it every day and now that we have this very strong install-base of customers, we're able to get more customers faster. >> Right. >> In good time. >> It's a great time and the data is moving into the cloud, and the public cloud guys are really making bigger plays into the enterprise, Microsoft and, Amazon and Google. And of course, there's IBM and lots of other clouds. But integration's always been such a pain and I finally figured out what the snap in SnapLogic means after interviewing you >> (laughs) a couple of times, right. But this whole idea of, non-developer development and you're taking that into integration which is a really interesting concept, enabled by cloud, where you can now think of snapping things together, versus coding, coding, coding. >> Yeah Cloud and A.I, right We feel that this problem has grown because of the change in the platform. The compute platform's gone to the cloud. Data's going to the cloud. There was bunch of news the other day about more and more companies moving the analytics into the cloud. And as that's happening, we feel that this approach and the question we ask ourselves when we started this company, we got into building the born in the cloud platform was, what would Apple do if they were to build an integration product? And the answer was, they would make it like the iPhone, which is easy to use, but very powerful at the same time. And if you can do that, you can bring in a massive population of users who wouldn't have been able to do things like video chat. My mom was not able to do video chat, and believe me, we tried this and every other thing possible 'till facetime came along. And now she can talk to my daughter and she can do it without help, any assistance from teenage grandchildren on that side, Right? >> Right, Right >> So what we've done with SnapLogic, is by bringing in a beautiful, powerful, sleek interface, with a lot of capability in how it connects, snaps together apps and data, we've brought in a whole genre of people who need data in the enterprise so they can serve themselves data. So if your title has analyst in it, you don't have to be programmer analyst. You could be any analyst. >> Right >> You could be a compensation analyst, a commissions analyst, a finance analyst, an HR analyst. All those people can self-serve information, knock down silos, and integrate things themselves. >> It's so interesting because we talk a lot about innovation and digital transformation, and in doing thousands of these interviews, I think the answer to innovation is actually pretty simple. You give more people access to the data. You give them more access to the tools to work with the data and then you give them the power to actually do something once they figure something out. And you guys are really right in the middle of that. So before, it was kind of >> (laughs) Yeah >> democratization of the data, democratization of the tools to work with the data, but in the API economy, you got to be able to stitch this stuff together because it's not just one application, it's not just one data source. >> Correct >> You're bringing from lots and lots of different things and that's really what you guys are taking advantage of this cloud infrastructure which has everything available, so it's there to connect, >> (laughs) Versus, silo in company one and silo in company two. So are you seeing it though, in terms of, of people enabling, kind of citizen integrators if you will, versus citizen developers. >> Yeah. Heck Yeah. So I'll give you an example. One of our large customers... Adobe Systems, right here in San Jose has been amazingly successful flagship account for us. About 800 people at Adobe come to www.snaplogic.com, every week to self-serve data. We replaced legacy products like TIBCO, informatica web methods about four years ago. They first became a customer in 2014 and usage of those products was limited to Java programmers and Sequel programmers, and that was less than 50 people. And imagine that you have about 800 people doing self-service getting information do their jobs. Now, Adobe is unique in that, it's moved the cloud in a fantastic way, or it was unique in 2014. Now everybody is emulating them and the great success that they've had. With the cloud economic model, with the cloud ID model. This is working in spades. We have customers who've come on board in Q4. We're just rounding out Q1 and in less than 60, 90 days, every time I look, 50, 100, 200 people, from each large company, whether it's a cosmetics company, pharmaceuticals company, retailer, food merchandise, are coming in and using data. >> Right >> And it's proliferating, because the more successful they are, the better they are able to do in their jobs, tell their friends about it sort-of-thing, or next cubicle over, somebody wants to use that too. It's so interesting. Adobe is such a great example, cause they did transform their business. Used to be a really expensive license. You would try to find your one friend that worked there around Christmas >> (laughs) Cause you think they got two licenses a year they can buy for a grand. Like, I need an extra one I can get from you. But they moved to a subscription model. They made a big bet. >> Yes. Yes >> And they bet on the cloud, so now if you're a subscriber, which I am, I can work on my home machine, my work machine, go to machine, machine. So, it's a really great transformation story. The other piece of it though, is just this cloud application space. There's so many cloud applications that we all work with every day whether it's Basecamp, Salesforce, Hootsuite. There's a proliferation of these things and so they're there. They've got data. So the integration opportunity is unlike anything that was ever there before. Cause there isn't just one cloud. There isn't just one cloud app. There's a lot of them. >> Yes. >> How do I bring those together to be more productive? >> So here's a stat. The average enterprise has most cloud services or SAS applications, in marketing. On the average, they have 91 marketing applications or SAS applications. >> 91. That's the average. >> 96% of them are not connected together. >> Right. >> Okay. That's just one example. Now you go to HR, stock administration. You go into sales, CRM, and all the ancillary systems around CRM. And there is this sort of massive, to us, opportunity of knocking down these silos and making things work together. You mention the API economy and whilst that's true that all these SAS applications of APIs. The problem is, most companies don't have programmers to hook up those API's. >> Right. To connect them. >> Yes, in Silicon Valley we do and maybe in Manhattan they do, but in everywhere else in the world, the self-service model, the model of being able to do it to something that is simple, yet powerful. Enterprise great >> Right. Right >> and simple, beautiful is absolutely the winning formula in our perspective. So the answer is to let these 100 applications bloom, but to keep them well behaved and orchestrated, in kind of a federated model, where security, having one view of the world, etc., is managed by SnapLogic and then various people and departments can bring in a blessed, SAS applications and then snap them in and the input and the way they connect, is done through snaps. And we've found that to be a real winning model for our customers. >> So you don't have to have like 18 screens open all with different browsers and different apps. >> Swivel chair integration is gone. Swivel chair integration is gone. >> Step above sneakernet but still not-- >> Step above but still not. And again, it may make sense in very, very specific super high-speed, like Wall Street, high frequency trading and hedge funds, but it's a minuscule minority of the overall problems that there needs to be solved. >> Right. So, it's just a huge opportunity, you just are cleaning up behind the momentum in the SAS applications, the momentum of the cloud. >> Cloud data. Cloud apps. Cloud data. And in general, if a customer's not going to the cloud, they're probably not the best for us. >> Right. >> Right. Our customers' almost always going towards the cloud, have lots of data and applications on premise. And in that hybrid spot, we have the capability to straddle that kind of architecture in a way that nobody else does. Because we have a born in the cloud platform that was designed to work in the real world, which is hybrid. >> So another interesting thing, a lot of talk about big data over the years. Now it's just kind of there. But AI and machine learning. Artificial intelligence which should be automated intelligence and machine learning. There's kind of the generic, find an old, dead guy and give it a name. But we're really seeing the values that's starting to bubble up in applications. It's not, AI generically, >> Correct. >> It's how are you enabling a more efficient application, a more efficient workflow, a more efficient, get your job done, using AI. And you guys are starting to incorporate that in your integration framework. >> Yes. Yes. So we took the approach, 'doctor heal thyself.' And we're going to help our customers do better job of having AI be a game changer for them. How do we apply that to ourselves? We heard one our CIOs, CI of AstraZeneca, Dave Smoley, was handing out the Amazon Alexa Echo boxes one Christmas. About three years ago and I'm like, my gosh that's right. That was what Walt Mossberg said in his farewell column. IT is going to be everywhere and invisible at the same time. Right. >> Right. >> It'll be in the walls, so to speak. So we applied AI, starting about two years ago, actually now three, because we shipped Iris a year ago. The artificial intelligence capability inside SnapLogic has been shipping for over 12 months. Fantastic usage. But we applied to ourselves the challenge about three years ago, to use AI based on our born in the cloud platform. On the metadata that we have about people are doing. And in the sense, apply Google Autocomplete into enterprise connectivity problems. And it's been amazing. The AI as you start to snap things together, as you put one or two snaps, and you start to look for the third, it starts to get 98.7% accurate, in predicting how to connect SAS applications together. >> Right. Right. >> It's not quite autonomous integration yet but you can see where we're going with it. So it's starting to do so much value add that most of our customers, leave it on. Even the seasoned professionals who are proficient and running a center of excellence using SnapLogic, even those people choose to have sort-of this AI, on all the time helping them. And that engagement comes from the value that they're getting, as they do these things, they make less mistakes. All the choices are readily at hand and that's happening. So that's one piece of it >> Right. >> Sorry. Let me... >> It's Okay. Keep going. >> Illustrate one other thing. Napoleon famously said, "An army marches on its stomach" AI marches on data. So, what we found is the more data we've had and more customers that we've had, we move about a trillion documents for our customers worldwide, in the past 30 days. That is up from 10 million documents in 30 days, two years ago. >> Right. Right >> That more customers and more usage. In other words, they're succeeding. What we've found as we've enriched our AI with data, it's gotten better and better. And now, we're getting involved with customers' projects where they need to support data scientists, data engineering work for machine learning and that self-service intricate model is letting someone who was trying to solve a problem of, When is my Uber going to show up? So to speak. In industry X >> Right. Right. >> These kinds of hard AI problems that are predictive. That are forward changing in a sense. Those kind of problems are being solved by richer data and many of them, the projects that we're now involved in, are moving data into the cloud for data lake to then support AI machine learning efforts for our customers. >> So you jumped a little bit, I want to talk on your first point. >> Okay. Sorry >> That's okay. Which is that you're in the very fortunate position because you have all that data flow. You have the trillion documents that are changing hands every month. >> Born in the cloud platform. >> So you've got it, right? >> Got it. >> You've got the data. >> It's a virtual cycle. It's a virtual cycle. Some people call it data capitalism. I quibble with that. We're not sort-of, mining and selling people's personal data to anybody. >> Right. Right. >> But this is where, our enterprise customers' are so pleased to work with us because if we can increase productivity. If we can take the time to solution, the time to integration, forward by 10 times, we can improve the speed that by SAS application and it gets into production 10 times faster. That is such a good trade for them and for everyone else. >> Right. Right. >> And it feeds on itself. It's a virtual cycle. >> You know in the Marketo to the Salesforce integration, it's nothing. You need from company A to company B. >> I bet you somebody in this building is doing it on a different floor right now. >> Exactly. >> (laughs) >> So I think that's such an interesting thing. In the other piece that I like is how again, I like your kind of Apple analogy, is the snap packs, right. Because we live in a world, with even though there 91 on-averages, there's a number of really dominant SAS application that most people use, you can really build a group of snaps. Is snap the right noun? >> That's the right word. >> Of snaps. In a snap pack around the specific applications, then to have your AI powered by these trillion transactions that you have going through the machines, really puts you in a unique position right now. >> It does, you know. And we're very fortunate to have the kind of customer support we've had and, sort of... Customer advisory board. Big usages of our products. In which we've added so much value to our customers, that they've started collaborating with us in a sense. And are passing to us wonderful ideas about how to apply this including AI. >> Right. >> And we're not done yet. We have a vision in the future towards an autonomous integration. You should be able to say "SnapLogic, Iris, "connect my company." And it should. >> Right. Right. >> It knows what the SAS apps are by looking at your firewall, and if you're people are doing things, building pipelines, connecting your on-premise legacy applications kind of knows what they are. That day when you should be able to, in a sense, have a bot of some type powered by all this technology in a thoughtful manner. It's not that far. It's closer at hand than people might realize. >> Which is crazy science fiction compared to-- I mean, integration was always the nightmare right back in the day. >> It is. >> Integration, integration. >> But on the other hand, it is starting to have contours that are well defined. To your point, there are certain snaps that are used more. There are certain problems that are solved quite often, the quote-to-cash problem is as old as enterprise software. You do a quote in the CRM system. Your cash is in a financial system. How does that work together? These sort of problems, in a sense, are what McKinsey and others are starting to call robotic process automations. >> Right. >> In the industrial age, people... Stopped, with the industrial age, any handcrafted widget. Nuts, and bolts, and fasteners started being made on machines. You could stamp them out. You could have power driven beams, etc., etc. To make things in industrial manner. And our feeling is, some of the knowledge tasks that feel like widget manufactures. You're doing them over and over again. Or robotic, so to speak, should be automated. And integration I think, is ripe as one of those things and using the value of integration, our customers can automate a bunch of other repeatable tasks like quote-to-cash. >> Right. Right. It's interesting just when you say autonomous, I can't help but think of autonomous vehicles right, which are all the rage and also in the news. And people will say "well I like to drive "or of course we all like to drive "on Sunday down at the beach" >> Sure. Yeah. >> But we don't like to sit in traffic on the way to work. That's not driving, that's sitting in traffic on the way to work. Getting down the 101 to your exit and off again is really not that complicated, in terms of what you're trying to accomplish. >> Indeed. Indeed. >> Sets itself up. >> And there are times you don't want to. I mean one of the most pleasant headlines, most of the news is just full of bad stuff right. So and so and such and such. But one of the very pleasing headlines I saw the other day in a newspaper was, You know what's down a lot? Not bay area housing prices. >> (laughs) >> But you know what's down a lot? DUI arrests, have plummeted. Because of the benefits of Lyft and Uber. More and more people are saying, "You know, I don't have to call a black cab. "I don't need to spend a couple hundred bucks to get home. "I'm just getting a Lyft or an Uber." So the benefits of some of these are starting to appear as in plummeting DUIs. >> Right. Right >> Plummeting fatalities. From people driving while inebriated. Plunging into another car or sidewalk. >> Right. Right. >> So Yes. >> Amara's Law. He never gets enough credit. >> (laughs) >> I say it in every interview right. We overestimate in the short term and we underestimate in the long term the effects of these technologies cause we get involved-- The Gartner store. It's the hype cycle. >> Yeah, Yeah >> But I really I think Amara nailed it and over time, really significant changes start to take place. >> Indeed and we're seeing them now. >> Alright well Gaurav, great to get an update from you and a beautiful facility here. Thanks for having us on. >> Thank you, thank you. A pleasure to be here. Great to see you as well. >> Alright He's Gaurav, I'm Jeff. And you're watching theCUBE from SnapLogic's headquarters Thanks for watching. (techno music)