>> From the silicon angle media office in Boston Massachusetts, it's the Cube. Now here's your host, Dave Vellante. >> Hello everyone and welcome to this week's episode of wiki buns cube insights, powered by ETR. In this breaking analysis, I plan to look deeper into the cloud market and specifically the business results and the momentum of the big three U.S cloud players. Now, Google last week opened up a bit and they not only broke out YouTube's revenues but also its cloud business. And quite a bit more detailed now like Microsoft the numbers are still somewhat opaque and hard to compare with AWS numbers which I find much cleaner. Nonetheless by squinting through the data, we're able to better understand the momentum that these three companies have in cloud and of course the ETR spending data, gives us an added data-driven dimension that is really insightful and helpful. Today we're focusing on, the big three in cloud. Amazon's AWS, Google's cloud platform GCP and Microsoft Azure. Now to meet the other U.S players are not hyper scalars and they're really not even in the discussion other than is an extension of their existing business. As an example, it would take IBM and Oracle between four and six years to spend as much on capex as Google spends, in four months. Now coming back to the big three. Each of these companies is coming at the opportunity with a different perspective. But Amazon and Microsoft, have been on a collision course for quite some time now. Google of course aspires to get into that conversation. Amazon in my opinion is the gold standard in cloud and I specifically refer to infrastructure as a service. They created the market and have earned the right to define the sector. Competitors like Microsoft are smart to differentiate and I'm going to discuss that. But first, let's take a listen as to how Amazon's CEO Andy Jassy Amazon web services CEO Andy Jassy, thinks about the goals of the AWS business. Roll the clip please. >> A high-level are top-down aggressive goals that we want every single customer who uses our platform to have an outstanding customer experience. And we want that outstanding customer experience in part is that their operational performance and their security are outstanding. But also that it allows them to build projects and initiatives that change their customer experience and allow them to be a sustainable successful business over a long period of time and then, we also really want to be the technology infrastructure platform under all the applications of people build. >> So, what's interesting to me here is how Jesse thinks about the AWS platform. It's a platform, to build applications. It's not a SaaS, it's not a platform which AWS can use to sell its software packages, it's a place to build apps. Any application, any workload, any place in the world. So when I say AWS has clean numbers, it's because they have a clean business. Infrastructure is what they do, period. That's what they report in their numbers and it's clean. Now compare that with Microsoft. Microsoft is doing incredibly well in the cloud and will come back to that, but Microsoft is taking a much different approach to the market. They report cloud revenue but it comprises public, private and hybrid. It includes SQL Server, Windows Server, Visual Studio, System Center, GateHub and Azure. And also support services and consulting. But the key here is they defined cloud to their advantage which is smart trying to differentiate with a multi cloud any cloud, any edge, story. Think Microsoft Azure stack slash Microsoft Ark etc. Now Google as we know is coming at this as a late comer. They admit they're a challenger. Their starting point is G suite. Their cloud focus is infrastructure and analytics. So, with that as some background let's take a look at the wiki bond estimates for I as revenue in 2019. What we have here is our estimates of AWS Azure and GCPs is IaaS and PaaS revenue, for 2018 and 2019. We've tried to strip out everything else so we can make an apples-to-apples comparison with Amazon. So let's start with Amazon. The street is concerned about the growth rate of AWS. It grew 35% last quarter, which admittedly is slowing down. But it did just under 10 billion. Think about that. AWS will probably hit a 50 billion dollar run rate this year 50 billion and it's growing in the double digits. AWS is going to be larger than Oracle this year and Cisco is next in its sights. it's like Drew Brees knocking down records in the NFL. Microsoft is very strong but remember, these are estimates. They report as your growth, but they don't really give us a dollar figure. We have to infer that from other data. So the narrative on Microsoft is they're catching up to AWS and in one-dimension that's true because they're growing faster than AWS. But AWS in 2019 grew by an amount almost equal to Asher's entire business in 2018. Now Google is hard to peg. The only thing we know is Google said it's cloud business was 9 billion in 2019, up from 5.8 billion in 18 and 4 billion in 17. So we're seeing an accelerating growth rate. That they said is largely attributable to GCP and they told us that GCP is growing significantly faster than their overall business. Which remember includes, G suite, cloud business that is. Okay. So that's the picture. Now, I want to take a minute to talk about the profitability of the cloud. On the Microsoft earnings call, Heather Bellini of Goldman Sachs, she was effusive she's an analyst exclaiming how impressed she was with the fact that Microsoft has been consistently increasing its cloud gross margins each quarter. I think was up five points in the last quarter. And on the Google call, Heather again was praising Google CEO Sundar Pichai on gross margin guidance for GCP. Which Sundar didn't answer. As well, Andy Jassy said in the Q blast reinvent that the cloud was higher margin than retail but it's scale, it's a relatively low margin business. As compared to software. I would like to comment on all this. First I think Jesse is sandbagging. AWS is a great margin business in my opinion. AWS has operating margins consistently in the mid 20s like 26% last quarter. Now, Bellini on the earnings call, was pressing on gross margins which in my opinion are even more impressive. Here's why. This is a chart I drew a long long time ago. It's a very basic view of the economics of the different sectors of the technology business. Namely hardware, software and services. Now, that each have a different margin profile as we're showing here. On the vertical axes, marginal cost that is the incremental cost of producing one additional unit of a product or service. On the horizontal axis, is volume. And we're showing the Pre-Cloud Era on the left and the Post-Cloud Era on the right-hand side of the chart. And you can see each segment has a different cost and hence different margin profile. In Hardware, you have economies at volume but you have to purchase and assemble components and so at some point your marginal cost hit a floor. Professional services have a diseconomies of scale. Meaning at higher volume, things get more complex and you have more overhead. Now that red line is software and everybody loves software because the marginal costs go to zero and your gross margin approaches the cost of distributing the software. Back in the old days, it really came down to the cost of a what our custom distributed a disk or a CD. So software gross margins are absolutely huge. Now let me call your attention to the green line that we've labeled outsourcing. In the pre-cloud era, outsourcing companies could get some economies but it really wasn't game changing. But in the post-cloud world the hyper scalars are driving automation. Now I'm exaggerating the margin impact because the cloud players still have to buy hardware and they have other costs. But the point is, gross margin and outsourcing IT to a cloud player is far more attractive to the vendor at scale. So Heather Bellini, was essentially asking Sachini Adela how is it that you can keep expanding your gross margins each quarter and she was trying to understand, if GCP gross margins were tracking similar to where AWS and Azure were back when they were smaller. And I think these curves at least give us some guidance. All right, so now let's pivot into the ETR data. This chart shows net score which remember, refers to spending velocity for each of the big three cloud players. Over the past nine surveys for cloud computing the cloud computing sector. Now three things stand out. First is that AWS remains very strong with net scores solidly in the 60% plus range. Second, is Azure has sustained a clear momentum lead over AWS, since the July 18 survey. And the third, is look at GCP's uptick. It's very notable and quite encouraging for Google. Now, let's take another cut on this data and drill into the larger companies, in the ETR data set. Look what happens when you isolate on Fortune 500. Two points here, AWS actually retakes the lead over azure, in net score or spending velocity even though Azure remains very strong. Amazon's showing in large accounts is very very impressive. Nearly back to early 2018 peak levels at 76%. So really strong net scores. The second point is GCPs uptrend holds firm and actually increases slightly, in these larger accounts. So it appears, that the big brands which perhaps used to shy away from cloud, are now increasingly adopting. Now, one of the things ETR does that I love is these drill downs, where they'll ask specific questions that are both timely and relevant. So we want to know, what every salesperson wants to know. Why do they buy? And that's what this chart shows. It shows data from the ETR drill downs and on the left hand in the green or the y the buys from Microsoft AWS and Google cloud. For Microsoft CIOs a compatibility with existing skills and the organization's IT footprint then its feature set etc. Look here's the deal, this is mr. softies huge advantage. It's just simpler to migrate work to Azure if you're already running Microsoft apps. And if Microsoft continues to deliver adequate features it's a no-brainer for many customers. For AWS, the pluses are ROI near-term and long-term and I've said many times, best cloud in terms of reliability, uptime, security AWS has the best cloud for infrastructure. And if you're not incurring huge migration cost or if you're not Walmart, why wouldn't you go, with the best cloud? Now GCP comes down to the tech. Google has good tech and IT guys. They're geeks. And geeks love Tech. And when it comes to analytics, Google is very very strong as well. Now the right-hand side of this chart shows why this is not in my opinion a winner-take-all game. The chart shows the percent of workloads in the cloud today in two years and three years across different survey dates. Today it's between 25% and 35% and it's headed upwards to 50% , this is a huge growth opportunity for these companies. You know sometimes people say to me that Google doesn't care about the cloud because it's such a small piece of their business or well they can't be number one or number two so they'll exit it. I don't buy this for a second. This is a trillion dollar business. Google is in it for the long game, and in my opinion, is going to slowly gain share over time. All right let's wrap up by looking forward to 2020 and beyond. The first thing I want to say is feel good for Google for reporting its cloud revenues but I think Google has to show more in cloud. I understand it's a good first step but IT buyers are still going to want to see more transparency. The other point I want to make is we are entering a new era the story of the past isn't going to be the same as this decade. Buyers aren't afraid of cloud anymore. It has become a mandate. The dominant services of the past and compute storage and networking to still be there but they're evolving, to support analytics, with AI and new types of database services. And these are becoming platforms for business transformation. Competition is, as we've seen, much more real today. Buyers have optionality. And that's going to create more innovation. SaaS, continues to be a huge factor but more so than ever. And hybrid and multi cloud is increasingly real and it's become a challenge for IT buyers so, I expect AWS is going to enter the ring in a bigger way to expand its Tim. Finally developers are no longer tinkerers, they are product creators. Now they said, there's a huge market. And the big tree can all participate as well as overseas players like, Ali Baba. As a customer it's becoming a more and more complicated situation. Cloud is not just about experimentation or startups it's increasingly about something that you really need to get right. Where to bet, migration and managing risks all become much more critical. On one hand, optionality is a good thing but if you make the wrong bet, it could be costly if you don't have a good exit strategy. Now as always, I really appreciate the comments that I get on my LinkedIn post and on Twitter I'm @DVellante So thanks for watching and thanks for your comments and your feedback This is Dave Vellante for the cube insights powered by ETR. We'll see you next time. (upbeat music)

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

>>live from Orlando, Florida It's the cue covering Microsoft Ignite Brought to you by Cohee City. >>Welcome back, everyone to the cubes. Live coverage of Microsoft ignite here in Orlando, Florida. I'm your host, Rebecca Night, along with my co host Stew Minimum. We are joined by David Noi. He is the VP of cloud at cohesively, which is where we are. We're in the Coe City boots. So I should say thank you for welcoming us. >>My pleasure they found over here. >>So you are pretty brand new to the company. Ah, long time Tech veteran but new newish to Cohee City. Talk a little bit about what made you want to make the leap to this company. >>Well, you know, as I was, it was it was time for me to move from. My prior company will go to the reasons they're but a CZ. I looked around and kind of see who were the real innovators, right? You were the ones who were disrupting because my successes in the past have all been around disruption. And when I really looked at what these guys were doing, you know, first, it's kinda hard to figure out that I was like, Oh my gosh, this is really something different, Like it's bringing kind of the cloud into the enterprise and using that model of simplification and then adding data service is and it is really groundbreaking. So I just like, and the other thing was, I'll just throw this point out there. I read a lot of the white papers of the technology, and I looked at it and having been, you know, Tech veteran for a while, it looked to me like a lot of people who have done this stuff before we got together and said, If I had to do it again and do it right, what were things I wouldn't d'oh! And one of the things I would do, right? Right, so that was just fascinating. >>So, David, I was reading a Q and A recently with Mohit, founder of Cohee City, and it really is about that data you mentioned. Data service is, Yeah, bring us inside a little bit way in the storage and I t industry get so bogged down in the speeds and feeds and how fast you can do things in the terabytes and petabytes and like here. But we're talking about some real business issues that the product is helping to solve. >>I totally agree. Look, I've been in the in the storage industry for a while now, and you know, multi petabytes of data. And the problem that you run into when you go and talk to people who use this stuff is like old cheese. I start to lose track of it. I don't know what to do with it. So the first thing is, how do you search it? Index it? That's, you know, so I can actually find out what I have. Then there's a question of being able to go in and crack the date open and provide all kinds of data. Service is from, you know, classifications. Thio. Uh oh. Is this Ah, threat or business? Have vulnerabilities in it. It's really a data management solution. Now, of course, we started with backup, right? But then we're very quickly moving into other. Service is back on target file an object. You'll see some more things coming out around testing dead. For example, if you have the world's data is one thing to just keep it and hold it. But then what do you do with it. How do you extract value out of it? Is you really gotta add data management Service is and people try to do it. But this hyper converge technology and this more of a cloud approach is really unique in the way that it actually goes about it. >>I speak a little bit of that. That that cloud approach? >>Yeah, So I mean, you know, But he comes from a cloud background, right? He wrote was big author of the Google foul system. The idea, basically is to say, Let's take a look at a global view of how data is kept. Let's basically be ableto actually abstract that with the management layer on top of that and then let's provide service is on top of that. Oh, by the way, people now have to make a decision between am I gonna keep in on premise or keep it in the cloud? And so the data service is how to extend not just to the on Prem, but actor actually spend Thio. Pod service is as well, which is kind of why I'm here. I think you know what we do with Azure is pretty fascinating in that data management space, too. So we'll be doing more data management. Is the service in the cloud as well? >>So let's get into that a little bit. And I'm sure a lot of announcements this week with your arc and another products and service is. But let's dig into how you're partnering and the kinds of innovative things that go he see a Microsoft are doing together >>what we do. A lot of things. First of all, we weave a very rapid cadence of engineering, engineering conversations. We do everything from archiving data and sending long term retention data into the cloud. But that's kind of like where people start right, which is just ship it all up there. You know, Harvard, it's held right. But then think about doing migrations. How do you take a workload and actually migrated from on Prem to the cloud hold? We could do wholesale migrations of peoples environments. You want to go completely cloud native, weaken, fail over and fill back if we want to as well so we can use the cloud is actually a D. R site. Now you startle it. Think about disaster. Recovery is a service. That's another service that you start to think about what? About backing up cloud native workloads? Well, you don't just want to back up your work Clothes that are in the on Prem data certainly want to back him up also in the cloud. And that includes even office 3 65 So you just look at all of what you know. That means that the ability then could practice that data open and then provide all these additional when I say service is I'm talking about classifications, threat analysis, being able to go in and identify vulnerabilities and things of that nature. That's just a huge, tremendous value on top of just a basic infrastructure capabilities. >>David, you've been in the industry. You've seen a lot of what goes on out there, help us understand really what differentiates Cohee City. Because a lot of traditional vendors out there that are all saying many of the same word I hear you're Clough defying enters even newer vendors. Then go he sitio out there >>totally get it. Look, I mean, here's here's kind of what I find really interesting and attractive about the product. I've been in the storage history for a long time, so many times, people ask me, Can I move my applications to the storage? Because moving the data to the application that's hard. But moving the application to the data Wow, that makes things a lot easier, right? And so that's one of the big things that actually we do that's different. It's the hyper converged platform. It's a scale out platform. It's one that really looks a lot more like some of the skill of platforms that we've done in the past. But it goes way beyond that. And then the ability. Then say, OK, let's abstract that a ways to make it as simple as possible so people don't have to worry about managing lots of different pools and lots of different products for, you know, a service one versus service to versus service three, then bringing applications to that data. That's what makes it really different. And I think if you look around here and you talk to other vendors, I mean don't provide a P eyes. That's one thing that's great and that's important. But it actually bring the applications to the data. That's you know, that's what all of the cloud guys dont look a Google Gmail on top. They put search on top. They put Google translate on top. Is all of these things are actually built on top of the data that they store >>such? Adela This morning in the Kino talked about that there's going to be 500 million knew at business applications built by 2023. How is cohesive? E position to, you know, both partner with Microsoft and everyone out there to be ready for that cloud native >>future. That's a great question. Look, we're not gonna put 500 million applications on the product, right? But we're gonna pick some key applications that are important in the top verticals, whether it's health care, financial service is public sector and so long life sciences, oil and gas. But in the same time, we will offer the AP eyes extensions to say anything about going into azure if we can export things is as your blobs, For example, Now we can start to tie a lot of the azure service's into our storage and make it look like it's actually native as your storage. Now we can put it on as your cold storage shed, a hot storage. We can decide how we want to tear things from a performance perspective, but we can really make it look like it's native. Then we can take advantage of not just our own service is, but the service is that the cloud provides is well on. That makes us extraordinarily powerful >>in terms of the differentiator of Cohee City from a service of standpoint. But what about from a cultural standpoint we had sought Nadella on? The main stage is turning. Talking a lot about trust and I'm curious is particularly as a newer entrants into this technology industry. How how do you develop that culture and then also that reputation. So >>here's one of the interesting things when when I joined the company and I've been around for a while and I've been in a couple of very large brand names, I started walking down the holes and I'm like, Oh, here, here. Oh, you're here. Wait, you're here. It's like an old star cast, and when you go into, you know, some of the customer base and it's like, Hey, we know each other for a long time. That relationship is just there. On top of that, I mean the product works, it's solid. People love it. It's easy to use, and it actually solves riel problems for them. On Dhe, you know, we innovate extraordinarily fast. So when customers find a problem, we're on such a fast release cadence. We can fix it for them in extraordinarily, uh, in times that I've never seen before. In fact, is a little bit scary how fast the engineering group works. It's probably faster than anything I've ever seen in the past. And I think that helps that build the customers trust because they see that if we recognize there's a problem, we're gonna be there to soldier for >>them. There's trust of the company when we talk about our data. There's also the security aspect. Yes, cohesive. He fit into the A story with Microsoft and beyond. >>The security part is extraordinarily important. So look, we've already, as I said, built kind of our app marketplace and we're bringing a lot of applications to do things like Ransomware detection, um, vulnerability detection day declassification. But Microsoft is also developing similar AP eyes, and you heard this morning that they're building capabilities for us to be able to go and interact with them and share information. So we find vulnerabilities because share it with Ambika. Share with us so we could shut them down. So way have the native capabilities built in. They have capabilities that they're building of their own. Imagine the power of it being able to tie those two together. I just think that that's extraordinarily powerful. >>What about Gross? This is a company that is growing like gangbusters. Can you give us a road map? What you can expect from Coach? >>Look, I've never seen growth like this. I mean, I joined specifically to look at a lot of the cloud, and the file on Object service is and, you know, obviously have a background in backup data protection as well. I haven't seen growth like this since my old days when I was a nice guy. Started in, like, Isil on back in the, you know, way, way old days, this is This is you know, I can't give you exact numbers, but I'll tell you, it's way in the triple digits. And I mean and it's extraordinarily fast to see from an an azure perspective. We're seeing, you know, close to triple digit growth as Well, so I love it. I mean, I'm just extraordinarily excited. All right, >>on the product side, Give us a little bit of a look forward as to what we should be expecting from cohesive. >>Absolutely so from a look forward perspective. As I said, we protect a lot of on premise workloads, and now and we protect, obviously, as your work clothes as well. So we protect observe e ems. But as we think about some of the azure native service is like sequel in other service is that air kind of built native within a azure. We'll extend our application to be able to actually do that as well will extend kind of the ease of use and the deployment models to make it easier for customers to go on, deploy and manage. It really seems like a seamless single pane of glass, right? So when you're looking at Cory City, you should think of it as even if it's in the cloud or if it's on premise. It looks the same to you, which is great. If I want to do search and index, I can do it across the cloud, and I can do it across the on Prem so that integration is really what ties it together makes it extraordinarily interesting. >>Finally, this is this is not your first ignite. I'm interested to hear your impressions of this conference, what you're hearing from customers. What your conversations that you're having. >>You know, it's a lot of fun. I've been walking around the partner booths over here to see, like, you know, who could we partner with? That's more of those data management service is because we don't think of ourselves again. You know, we started kind of in the backup space. We have an extraordinarily scalable storage infrastructure. I was blown away by the capabilities of the file. An object. I mean, I was as a foul guy for a long time. It was unbelievable. But when you start to add those data management capabilities on top of that so that people could either, you know, again, either your point, make sure that they can detect threats and vulnerabilities are you find what they're looking for or be able to run analytics, for example, right on the box. I mean, I've been asked to do that for so long, and it's finally happening. It's like It's a dream >>come true, Jerry. Now >>everything you ever wanted software defined bringing the applications to the data. It's just like, if I could ever say like, Hey, if I could take all of the things that I always wanted a previous companies that put him together it's cohesive. I'm looking around here and I'm seeing a lot of great technology that we can go and integrate with >>Great. Well, David, No, I Thank you so much for coming on the Cube. >>Thank you very much. I appreciate it. >>I'm Rebecca Knight, First Amendment. You are watching the Cube.

>>Live from Orlando, Florida. It's the cube covering Microsoft ignite. Brought to you by Cohesity. >>Welcome back everyone to the cubes live coverage of Microsoft ignite here in Orlando, Florida. I'm your host, Rebecca Knight. Along with my cohost Stu Miniman. We are joined by David Neu. He is the VP of cloud at Cohesity, which is where we are. We're in the Cohesity booths, so I should say thank you for welcoming us. Pleasure. They found me here. So you are pretty brand new to the company, a, a longtime tech veteran, but, but new newish to Cohesity. Talk a little bit about what made you want to make the leap to this company? >>Well, you know, as I was, I mean it was, it was time for me to move from my prior company. Um, and then we'll go into the reasons there. But, um, as I looked around and to kind of see who were the real innovators, right, who were the ones who were disrupting, cause my successes in the past have all been around disruption. And when I really looked at what these guys were doing, you know, first it's kind of hard to figure out. Then it was like, Oh my gosh, this is really something different. Like, um, it's bringing kind of the cloud into the enterprise and using that model of simplification and then adding data services and it's really groundbreaking. So I just like a, and the other thing was, Oh, I'll just throw this point out there. I read a lot of the white papers and the technology and I looked at it and having been a lot, you know, tech veteran for awhile, it looked to me like a lot of people who have done this stuff before it got together and said if I had to do it again and do it right, like what were the things I wouldn't do and what are the things I would do? >>Right, right. So that was just fascinating. So David, yeah, I was reading a Q and a recently with, with Mohit, founder of Cohesity, and it really is about that data. You mentioned data services. Yeah. Bring us insight a little bit. You know, we in the, you know, storage in it industry, you know, get so bogged down in the speeds and feeds and how fast you can do things in the terabytes and petabytes and like here, but we're talking about some real business issues that the product is helping to, to solve. >> I totally agree. Look, I've been in the, in the storage industry for a while now and you know, multi petabytes of data and the problem that you run into when you go and talk to people who use this stuff is like, well geez, I start to lose track of it. I don't know what to do with it. >>So the first thing is how do you search it, index it. That's, you know, so I can actually find out what I have. Then there's a question of being able to go in and crack the data open and provide all kinds of data services from, you know, classification to uh, Oh, is this a threat or business have vulnerabilities in it. It's really a data management solution. Now of course we started with backup, right? But then we're very quickly moving into other services back on target, file an object. You'll see some more things coming out, uh, around test and dev. For example, if you have the world's data, it's one thing to just keep it and hold it, but then what do you do with it? How do you extract value out of it is you really got to add data management services and people try to do it, but this hyper converged technology in this more of a cloud approach is, is really unique in the way that it actually goes about it. >>Could you speak a little bit of that, that that cloud approach? Yeah, so I mean, you know, Monet comes from a cloud background, right? He wrote the, he was the author of the Google file system. The idea basically is the same. Let's take a look at a global view of how data is capped. Let's basically be able to actually abstract that with a management layer on top of that and then let's provide services on top of that. Oh by the way, people now have to make a decision between am I going to keep it on premise or keep it in the cloud? And so the data services, how to extend not just to the on-prem but the act to actually extend to Conde services as well, which is kind of why I'm here. I think, uh, you know, what we do with Azure is pretty fascinating in that data management space too. So we'll be doing more data management as a service in the cloud as well. >>So let's get into that a little bit and I'm sure a lot of announcements this week with Azure arc and another products and services, but let's dig into how you're partnering in the kinds of innovative things that go Cohesity and Microsoft are doing together. >>Well, we're doing a lot of things. First of all, we, we've a very rapid cadence of engineering to engineering conversations. We do everything from archiving data and sending longterm retention data into the cloud. But that's kind of like where people start, right? Which is just ship it all up there. You know, in Harvard it's held, right? But then think about doing migrations. How do you take a workload and actually migrated from on prem to the cloud in a hold? We can do wholesale migrations that people's environments who want to go completely cloud native, we can fail over and fail back if we want to as well. So we can use the cloud is actually a dr site. Now you start to think about disaster recovery as a service. That's another service that you start to think about, Oh, what about backing up cloud native workloads? >>Well, you don't just want to back up your own workloads that are in the on prem data center. You want to back them up also in the cloud and that includes even office three 65 so you just look at all of what that means and then the ability then crack that, open that data open and then provide all these additional, when I say services, I'm talking about classification, threat analysis, um, being able to go in and identify vulnerabilities and things of that nature. That's just a, a huge, tremendous value on top of just the basic infrastructure capabilities. David, you've been in the industry, you've seen a lot of what goes on out there. Hopeless, understand really what differentiates Cohesity. Because a lot of traditional vendors out there that are all saying many of the same words to hear here, cloudifying hinders even newer vendors than Cohesity's eh, out there. >>Totally get it. Look, I mean, here's, here's kind of what I find really interesting and, and, and, and just attractive about the product. I've been in the storage industry for a long time. So many times people have asked me, can I move my applications to the storage because moving the data to the application, that's hard, but moving the application to the data, wow, that makes things a lot easier. Right? And so that's one of the big things that actually we do that's different. It's the hyperconverge platform. It's a scale out platform. It's one that, um, really looks a lot more like some of the scale out platforms that we've done in the past, but goes way beyond that. And then the ability to then say, okay, let some strike that. A ways to make it as simple as possible so people don't have to worry about managing lots of different pools and lots of different products for, you know, a service one versus service two versus service three and then bringing applications to that data. >>That's what makes it really different. And I think if you look around here and you talk to other vendors, I mean, they'll provide API APIs. That's one thing and that's great and that's important, but to actually bring the applications to the data, that's, you know, that's what all of the cloud guys do. I mean, look at Google, they put Gmail on top, they put a search on top, they put Google translate on top is all of these things are actually built on top of the data that they store such as Adela. This morning in the keynote talked about that there's going to be 500 million new at business applications built by 2023 how is Cohesity position to both partner with Microsoft and everyone out there to be ready for that cloud native future? That's a great question. Look, we're not going to put 500 million applications on the product, right? >>But we are going to pick some key applications that are important in the top verticals, whether it's healthcare, financial services, public sector, and so long I've sciences, oil and gas, but I'm in the same time we all will offer the API APIs extensions too. So if you think about going into Azure, if we can explore things as Azure blobs for example, now we can start to tie a lot of the Azure services into our storage and make it look like it's actually native Azure storage. Now we can put it on Azure cold storage, you know, hot storage, we can decide how we want to tier things from a performance perspective, but we can really make it look like it's native. Then we can take advantage of not just our own services but the services that the cloud provides as well. And that makes us extraordinarily powerful >>in terms of the differentiator of Cohesity from a services standpoint. But what about from a cultural standpoint? We had Satya Nadella on the main stage this morning talking a lot about trust. And I'm curious as particularly as a newer entrant into this technology industry, pow, how do you, uh, develop that culture and then also that reputation too? >>Here's one of the interesting things we did when I joined the company and I've been around for awhile and I've been in a couple very large brand names. I started walking down the halls and I'm like, Oh, you're here. Oh, you're here. Wait, you're here. And it's like an all star cast and a, when you go into, you know, some of the customer base and it's like, Hey, we know each other for a long time. That relationship is just there on top of that. I mean, the product works, it's solid. People love it. It's easy to use and it actually solves real problems for them. Um, and you know, we innovate extraordinarily fast. So when customers find a problem, we are in, uh, on such a fast release cadence, we can fix it for them in extraordinarily, uh, uh, in times I've never seen before. >>In fact, is a little bit scary how fast the engineering group works. It's, uh, probably faster than anything I've ever seen in the past. And I think that helps. They build the customer's trust cause they see that if we recognize there's a problem, we're going to be there to solve it for them. There's trust of the company. Uh, when we talk about our data, there's also the security aspect. Yes. How does Cohesity fit into the, there's a story with Microsoft and beyond. The security part is extraordinarily important. So look, we've already, as I said, built kind of an AR app marketplace and we're bringing a lot of applications to do things like ransomware detection, uh, um, vulnerability detection, data classification. But, uh, Microsoft is also developing similar API APIs. And you heard this morning that they're building capabilities for us to be able to go and interact with them and share information. >>So if we find vulnerabilities, we can share it with them, they can share with us and we could shut them down. So we have the native capabilities built in, they have capabilities that they're building of their own. Imagine the power of being able to tie those two together. I just think that that's extraordinarily powerful. What about growth for a company that is growing like gangbusters? Can you give us a roadmap you can expect from coaching? I've never seen growth like this. I mean, I joined, um, specifically to look at a lot of the cloud and, uh, the file and object services and you know, obviously I have a background in, in backup and data protection as well. Um, I haven't seen growth like this since my old days when I was in Iceland, when I started in Isilon back in the, you know, way, way old days. >>This is X. This is, you know, I can't give you exact numbers, but I'll tell you it's way in the triple digits, you know what I mean? And, and it's extraordinarily fast to see from an Azure perspective, we're seeing, you know, close to triple digit growth as well. So I, I love it. I mean, I'm just extraordinarily excited. All right. Uh, on the product side, give us a little bit of a look forward as to what we should be expecting from Cohesity. Absolutely. So from a look forward perspective, as I said, we protect a lot of on-premise workloads and um, you know, now and we protect obviously Azure workloads as well. We protect Azure VMs. But as we think about some of the Azure native services like sequel, um, and other services that are kind of built native within Azure, uh, we'll extend our application and to be able to actually do that as well, we'll extend kind of the ease of use and the deployment models to make it easier for customers to go and deploy and manage. It really seems like a seamless single pane of glass, right? So when you're looking at, uh, Cohesity, you should think of it as, even if it's in the cloud or if it's on premise, it looks the same to you, which is great. If I want to do search and index, I can do it across the cloud and I can do it across the on prem. So that integration is, is really what ties it together and makes it extraordinarily interesting. >>Finally, this is, this is not your first ignite. I'm interested to hear your impressions of this conference. What you're hearing from customers, what your, what the conversations that you're having. >>You know, it's a lot of fun. I've been walking around the partner booths over here to see like, you know, who can we partner with to add some more of those data management services because we don't think ourselves, again, you know, we started kind of in the backup space. We have an extraordinarily scalable storage infrastructure. I was blown away by the capabilities of the fallen object. I mean it was just as a fall guy for a long time. It was unbelievable. But when you start to add those data management capabilities on top of that so that people can either, you know, again, either to your point, uh, make sure that they can detect threats and vulnerabilities or uh, you know, find what they're looking for or you know, be able to run analytics for example, right on the box. I mean, I've been asked to do that for so long and then just, it's finally happening. It's like, it's a dream come true for me. It's like everything you ever wanted software defined, bringing the applications to the, to the data. It's just like if I could ever say like, Hey, if I could take all of the things that I always wanted at previous companies and put them together, it's Cohesity and I'm looking around here and I'm seeing a lot of great technology that we can go and integrate with. >>Great. Well, David and I, thank you so much for coming on the cube. >>Thank you very much. I appreciate it. I'm Rebecca knife. First to Miniman. You are watching the cube.

>> live from Boston, Massachusetts. It's the you covering your red hat. Some twenty nineteen brought to you by bread hat. >> Well, good morning. And welcome to Day three of our coverage here, Right? Had some twenty nineteen. We're live here on the Cube, were in Boston, Massachusetts, and was soon Merriman. I'm John Wall's. Glad to have you with us for our last day of coverage. We're now joined by the SPP. Adele Technologies. Pete. Myka, Pete. Good to see you this morning. And Pete, by the way, is coming with I'm sure song in this heart of smile on his face two and a half hours to get in today. >> It was a long drive in, but I'm here now. I'm excited to be here. This is a great show. And here with great partners. >> Yeah, the tough part's over, right? >> We're in Boston, not in Vegas, so that you gotta be a little >> bit there some consolation. Let's just first off, let's paint the umbrella here a little bit about the overall partnership between Delhi, um state right and red hat and how that's evolved. And currently, word stands with all the new releases I've heard about this week. >> Yeah, it's been a great partnership for almost two decades now, right? Della and red hat of working together on a lot of different products from ready stack are ready architectures and ready nodes to software sales. Support customer engagements has been a tremendous partnership for twenty years, and I expect to be going for another twenty years. >> All right, that's digging a little bit walking through the stacks, if you Well, so we understand. You know, Red Hat is an operating system, you know, long history working on, you know, all the del platforms. You've got the converge environment. Where where does red hat fit in? What pieces of there ever broadening portfolio fit in? >> Right. So really, on the ready solution side of the world, which is another part of the products I managed for Del. So within the ready solutions environment, we worked with red hat on open stack way. Deliver hardened, supported open stack products to both. Tell Cohen Enterprise Markets on that. We also deliver open shift and already noted ready solution environment so we can deliver that container men's container environment for those same enterprise and serves customers. >> Yeah, so if you know, the Cubans at, you know Del Technologies World last week and at that show in here, I >> saw a sizable >> break out for telecommunications. You know, we could talk a lot about Enterprise, but, you know, telcos got some certain special requirements needed to make sure it's certified for certain things and, you know, gotta be tested out. Maybe we talk a little bit about what those customers are looking for and why that match you red hat makes sense. >> Sure mean Telco really wants to have control over their environment they wantto have. Open source is a great technology for Tell Cole, right, and they love taking the technology customizing for their environment, reselling components to their end users in open stack from Red Hat is a perfect fit for that market. And so again, we deliver that and the hardened solution on top Adele Technologies on Del Partridge servers deliver that to the telco market and provide them the tools and the capabilities they need to deliver the solutions to their customers. >> What what is it? Let's go dive in just a little bit. Then about those specific traits or attributes, you think in terms of the telecom market goes, you know what is specifically about you think there needs that they find so attractive about open source and what makes them stand apart from other industry sectors. Yet to me, it's controlling >> customization. So rather than taking a packaged app that shrink wrapped in running it like everybody else, they want to get a customized control for their markets. They have certain as to mention they have certain standards and compliance you don't have to deal with. They also want to differentiate within that telecom market. So it's hard to do without having control around the underlying stack. I think those are the big attractiveness around. And then, um, you know that the solution from Red Hat combined with Dellis is such a enterprise quality product for the telecom market, which I think has certain advantages. >> Okay, so you mentioned you know, the ready solutions and open stack piece, and then on top of that, there could be open ships. So that's right, a news, you know, talk to you know, many of the customers, the executive team on the team here, open shift for showing good momentum over thousand customers. So how does that fit in with the solutions you're >> offering well, so we offer a ready solution for open shift this wall, right? And we see that as the container solution for the the market that really wants those open source type products and has a line themselves with red hat in Lenox. And so it's a perfect solution for that. And, you know, we really see Oprah shift as the ability to create a managed environment for containers as we saw from Polish Kino with Over shit for now provides a tremendous hybrid cloud experience for customers at one of my great workloads, both on premises to cloud and back. And so we think that's tremendous technology that we'll add value. And with our hardware technology underneath that we could provide a stack that we think services the market quite well. >> Yeah, it's funny, Pete, you know, you've got a lot of history and I've worked with you for many years on this the ultimate A lot of these technologies, you go back to server virtual ization. You look a container ization in Cuba. Netease. They're like, Well, we want to extract upto, allow the applications to be able to be modernized and do these wonderful things. And I shouldn't have to think about the infrastructure. Right. But we know what the end of the day It lives on something, and it needs to be good talk a little bit of things, like Corinne, eh? Tease. And you know where Del thinks they fit from an infrastructure standpoint compared to communities. >> Yeah. What we want to do is provide the infrastructure that makes it easy to four workloads and applications to preside on, including open shifting cabernets environments. Right? And so, really, what you want to do? And for years, as you say, we've got a lot of history in this. We've been trying to push that complexity and management up the stack. So the hardware and even the virtual ization layer and the container layer becoming afterthought, right? And you know, what I saw from open ship for is that really puts the power back into the application developers and makes it easier to manage and control your underlying harder environment. So, with tight integrations into the open ship community with our del technology Zach, we can provide that sort seamless infrastructure layer that allows the application developers to go do what they need to do not be worried about infrastructure management. >> Do you have any customer examples that might help highlight the partnership? >> Um, no, I >> don't have any good. I >> didn't I'm sorry. I didn't >> know the customer. Well, let's hope out for a little bit. And you talk about hybrid and what that's going to enable there, is that the, uh Oh, here we go for you on this in terms of what's new, What's the latest? I mean, what about the capabilities? You're going to get nowt for what's going to be offered and what is that? That's kind of jumping off the page to you. This is Yeah, this was worth the wait. Well, >> to me, it was all about the management in the automation, the underlying infrastructure just again taking that complexity away from the developers and putting it, um, allowing the application developers tools they need to do to very quickly developed applications, but also migrate them to the proper landing spot and maybe cloud one day and maybe on premises the next. You know, one of the beauties of cloud is is there are classes of applications that may not necessarily fit on a public cloud. You may not know that. Do you? Get there and you want to have the flexibility to push them out, see how they work and bring them back in and open Shift gives you all this capability open shit for yeah, >> eso Absolutely what we hear from customers. It it's not. The future is hybrid and multi cloud. It's today, and the future are voting hybrid and multi class today. To that point, I wonder if you could help us. Just It's not Dell specific, but VM wear made an announcement today that they're supporting open shift for on top of'Em. Where can you maybe t explain where that fits into the overall discussion? >> Yeah, So look, Dell's always writing choices, the customers and we want it we want to be. And we are the essential infrastructure company to the enterprise and commercial environments. And so open shift on VM were just another example of choice and customers. They're gonna have different location environments out there. They're going to run some containers. They're going to run. Some of'em are going to run some native way. Want to be the infrastructure provided for that. We want to work with partners like you had a choice to our customers. >> You know, we've heard a lot this week about flexibility, right on a scale and options and all. And I understand providing choice is a great thing, you know, the customers. But what does that do for you in terms of having to answer to all of that desire? The flexibility? Well, it's it's >> opportunity in this challenge, right? Supporting all these different environments, of course, is a challenge for engineering teams. But it's also opportunity if we want to be. And we are the essential, you know, hardware technology, player in the industry. We have to support all these leading platforms and open shifts. Just example of that. The >> challenge on that side of it. I get opportunity, but you have to develop that expertise We do know throughout your force, and that probably has its own challenges. >> It doesn't mean we have to have expertise only and our own technologies like VM wear, but also open shift and other technologies or red hat technologies. We have to higher and cultivate, um, open source engineers, you know, which is not always easy to find on DH. We have to develop those expertise that know how to integrate those components together. Rights, not just a matter of taking the software and laying on top of the next eighty six architecture and saying it's done way, want Toby to integrate that. So we provide the best experience to the customers. So having that capability to understand what's happening at the hardware infrastructure layer also, what's happening at the virtual ization and container layer is a critical piece of knowledge that we have to. We have to grow and continue to work with >> you. But what about, I mean, as far as the competitive nature of the work force, then I kind of thinking about It's almost like ways. The more people who use that, the tougher it is to get around right, Because so the more people who are moving toward open source, the more which is great. But it also the more competitive the hiring becomes, the training becomes that it does bring with it. Certainly I would say barriers by any means, but a different factor. >> It's a challenge across the entire industry right now, hiring good technical people, and it's not just on open source space. It's an all space is open source is a particular challenge because it takes a certain set of skills to work in that environment. Dell has a philosophy where we are continually looking at university hires and growing from within. We try to hire a CZ. Many new hires, new grads as we can, But the reality is we have to look everywhere in order to try to find those. Resource is very hard to come by, and it's very competitive to get these employees are these candidates. Once you find them, it's hard to get him in the head of environment. >> So it it's interesting. Just step back for a second here last week at your show, it was I opening to see such a nadella, you know, up on stage with Pak else, right? While Microsoft Environments have lived on V EMS for a long time, you know, far as I know the first time the two CEOs have been public scene together fast word to here. And once again we saw touching Adela up on stage with, you know, red hat. It's, you know, for years we think about the industry as to the competitive nature and what's going on and Who's fighting who. Multi cloud. It's not like it's everybody's holding hands and singing, you know, Cooper Netease, Kumbaya. But it is a slightly different dynamic today than it might have been >> is very different in the past. When there are maur infrastructure players, Mohr software players, you could pick your swim lanes. You can compete now, the lines are blurred, and cloud definitely has a lot to do with that. Right and hybrid Multi cloud has everything to do with that, because if your applications going run on eight of us one day on premises the next day in azure the next day you better have tools, processes and procedures that allow those applications the migrate across that multi cloud experience. And so what if forces vendors to do is get together and participate in a cooperative in whatever your favorite word is for competitors working together. But that's really what it is, is we've realized you look a Del Technologies UVM. Where is part of our family? But we're working with Red Hat. What, working with Microsoft and Red Hat, as you see, is doing the same thing. It's necessary in today's market in today's environment that you just have to do that. >> Well, Paul, you mentioned swim lanes. I hope the Express lane is open for you on the ride home. So good luck with that. Thanks for the time this morning, too. Good to see you. It's a home game for you. So it's not all bad. It's not all >> bad. No, this is a great place to be and a great event. I'm glad I could be part of the >> burger. Thanks for being with us. Thank you. Back with more live coverage here. You're watching the Cube. Our coverage, right. Had summat twenty nineteen.

>> live from Boston, Massachusetts. It's the queue covering your red hat some twenty nineteen lots. You buy bread hat. >> We'LL come back. Live here on the Cube as we continue with the coverage here in Boston, Massachusetts at the Boston Convention and Exposition Center had Summit two thousand nineteen stew Minimum. John Wall's a big keynote night, By the way, we're looking forward to that. We have a preview of that coming up in our next segment. Also walled wall interviews tomorrow morning from a number of our keynote presenters tonight. But right now we're joined by Gunnar Hellickson, whose director product management for rela Red hat. Gunnar. Nice to see you, sir. Good to see you And Andrew. He cocks Whose director Product Management of insights at Red Hat. Andrew, how are you doing today? >> Doing great. Happy to be here. >> Show off to a good start for you guys. Everything good to go? >> Yeah, it's been great. Uh, I got a great response from customers. Great response from analysts. There was real excited about the really >> Andrew. Yeah, we've had overflow it. All of our sessions on its insights, the hosted service. It's also nice to go alive and not get any >> pages that it's all good there, right? Yeah. So on the rail laid side. Big announcement today, right? It's gone public now available. Ah, lot of excitement. A lot of buzz around that, and insights has been added to that. So what is that doing now for your kind of your your suite of services and what you are now concerned? Sure. Absolute more about than you were yesterday. Well, >> I think one of the benefits we've had and making this changes it can create a virtuous loop. So insights as a service works by looking at the data that we have from running environment and seeing what is successful in what is not successful. So by having a smaller group of customers were would deliver the service using a good experience, but has a number of customers increases. That means we can deliver more value because we have a better understanding of what the world looks so for us, even though we've had a really great growth rate, being able to accelerate that by putting it inside of the rail subscription means we're gonna have access even more opportunities. Teo, look. Att Customer data find new insights and deliver even more value to them. >> So, Gunnar, you know, analytics is a piece that I'm hoping you can explain to our audience some of the some of the new pieces. Yeah, that that should be looking at. >> Yeah, sure. So So, with the insights tool down available to rent enterprise, the next customers they are getting a sentry said, there's there's a virtuous loop right where the more people that use it, the smarter the system gets and the benefit for the end user is now they get. I like to think of it is coaching so often there are security fixes, their opportunities for performance tuning. There's configuration fixes you could make, which may not be immediately obvious unless you've read through all the manuals right on DSO. How much better is it that Andrew Service can now come into a real a real customer and say, Hey, have you noticed that you might want to make this performance fix or hey, you might have forgotten this. So security fixed and it really makes the day to day life for the administrator much easier on also allows them to scale and manage many more systems much more efficiently. >> Yeah, I'm curious. You know, there's certain people. Was like, Wait, no, I understand my environment. You know, I you know, am I up for sharing what I'm doing versus everyone else? What's that? Feedback? You know, you've been what are some of the kind of misperceptions you want to make sure people understand? You >> know >> what it is and what it isn't >> a customer. Talk to you too. Phrases a very funny way. He's like, Well, >> I don't need this from my team. Might you know those guys right out >> of my level? I think, actually, our customers, they feel the scale that they have to operate on. So they're managing a lot more stuff. But I think the real pressure, his line of business is expecting things faster. So if they can't turn around, then they're lined the business. They're going to go get technologies somewhere else. And so, for our customers, the ability to automate pieces of their work flow, including ensuring it too safe configuration. It's optimized. That's a really key things I've never actually heard someone say. I know what I'm. Why did once have one person say they know what they're doing? They didn't need our help. But I think everyone else, they they get the value of analytics. >> You brought up the word, you know, scale. It's, You know, I worked in operations for six years in the group I had is like, Okay, next quarter, next year, you're gonna have more to do or less to do. Are you going? More or less? Resource is we understand what the answer is for most of those. So if I can of automation, if I can't have you no smart tooling today, I'm not going to able to keep up. You know, we talk about at the core of digital transformation is data needs to drive what we're doing. Otherwise, you know you're going to be left behind. >> Yeah. Yeah, that's right. And so and so how graded it is to finally have. You know, for fifteen years we've been getting support. Ticket's been reading knowledge based articles. We've got all this technical expertise on this architectural expertise, and that's not always easy to deliver to customers, right? It's It's still, you know, we're self our company, so we could deliver them software. But it's that additional coaching, Ben, additional expertise is the kind of difficult to deliver without having a vehicle like insights available. >> So how does it in terms of let's, like, really, um, roll out the new product? Everyone's You know, it's hopefully being well, not. Hopefully it is being used right now, and now you start seeing hiccups in the system. You see some speed bumps along the way. What are you seeing holistically? That an individual user is not? Or what's the value, too, to gathering this concensus and providing Mia's maybe just a single user with an insight into my situation? >> Yeah, that's the way I'd like to think about it is if you're a customer and you have a critical issue, causes downtime and impact your business, that's that's really terrible, and you're probably gonna learn from that. You're not going to do the same thing again, at least hopefully. But the customer next door or your competitors next or partner next door. They don't generate that experience or learned from that experience, so I think of insights, his way of knowledge recapture. So something happens once in one place. The system acts as a hub for that information, so once we see that we can capture the information that was discovered at one customer site, and we can proactively alert all of our customers to avoid that scenario. So it really lets us re use knowledge that we're generating. It's Gunnar said. This expertise we're generating inside the company were already doing all these activities, but it lets us recapture that energy and sick it back out to the rest of our customers much more efficiently than we ever could before. >> And you can and you could deal what you deal went on one. So if I if I'm a unique or have a unique problem, you could help me identify that, then you keep it in a reservoir. Basically, that could be tapped into when other instances occur. And you could see we, you know, this happened. This particular situation occurred in this situation and boom. Here's the cause. Here's the proper. Here's the fix >> on everything we do with insights is totally so. We learned from different experiences, but it's totally Taylor to each environment, So it's not just like a whole bunch of knowledge based articles. It looks at exact configuration for each customer, not only verifies that they're really going to hit the issue, Not just they, you know they might or something, but they're really going to hit it, but also generates automation to fix the issue. So we generate custom Ansel playbooks, which is an automation language that red hat obviously is invested in, and our customers and community love that is specific to their environment. So they could go from discovery to fix in the safest and fastest way possible. >> Yeah, you went. I was. You know, I'm hearing automation and, of course, immediately think about answerable there. So see, it seems there is that tight integration. They just play across the other. How does that dynamic >> work? Sure, So insights is tightly integrated in the sense of think of, answerable his arms and legs like there. They can go do things for you. But that doesn't come with a brain, necessarily the brain is our customers, right? So instable, So easy to use that you can put in the hands of knowledge experts inside of different companies, and they can automate part of their job. Their TVs. That's fantastic. What we're doing with insights, though they say got the red hat brain as well, though And so we're going to connect the red at breaking in. And so we're using tools like answerable to help collect the information that we need to analyze environment and then tools like answerable to go resolve the issues once we've identified what's there? So we see there's is totally complementary pieces of the portfolio. >> So, God, we've been talking about customers about you on the inside. What are you getting out of this? Ultimately, in terms of product improvement and whatever it orations that you're going to bring on because of these insights that your gathering, how soon? You kind of hope you roll it out. Thanks. Fine. Okay. Yeah, that's right. Yeah, yeah, yeah, yeah. Hope you don't get much from Andrew, but it's inevitable that, you know, there's going to be something that needs attention. >> Well, I mean, this is just part and parcel of regular product management practice, right? I mean, you look at your support tickets. You look at what customers are worried about. You look at what? The escalation czar, and that helps you. I think one change that we have gone through is thie. Analysis of all that activity has been largely anecdotal. like always remember the last and loudest person it was yelling at you, right? And this on tools like tools like insights allow us to be much more data driven as we're making different product management decisions. All >> right. Um, yes. So what should we be looking forward, Teo, give us a little bit of where things go from here? >> Sure. No good s o. You know, I think we'LL see the service generally. As I said, as we get more people connected, the service itself increases in quality in terms of recommendations in the breath of recommendations were also started to do some interesting worked. Open it up to partners. So so far, it's really been a red hat oriented Here's red hats knowledge. But it turns out that our partners want our stuff, their stuff, to run successfully on top of our platforms. That's a huge value for them. So, for example, way have nine new recommendations that will provide for sequel server when running on rally that we generated in partnership with Microsoft. And that's certainly the type of thing that we want to keep investing Maura and I think is really impactful for Custer. Um, because they see vendors actually working together to create a solution for them instead of us, just each doing our own thing in different ways. So that's one change that we're really excited about. >> Going forward. Yeah. You know, I think focusing on the focusing on the coaching for specific workloads is going to be really important. I mean, optimizing the operative system is great. I mean, your job rating system nor Adela fixing the operating system. But customers really had The opening system is an instrumental step towards actually operating something that that is critical of customers business. And so, to the extent that we can connect infrastructure providers, IVs and all the entire partner ecosystem, together with the indigenous operating system rules, we can give customers really very nice of you in a very nice set of, well, coaching on on their full stack of the planet. >> And that's the insight they're all looking for, right? Literally what they're looking for, gentlemen. Thank you. Thank you. The time we appreciate, uh, your time here today and good luck with continued pack sessions. That goes well for you. Both appreciate back with more where it read. Had summit where in Boston. And you are watching the Cube >> live from Boston, Massachusetts. It's the queue covering your red. Have some twenty nineteen. You buy bread? >> No, that on the ground. Get back a lot of commotion.

>> Live from Las Vegas, it's theCUBE, covering Dell Technologies World 2019. Brought to you by Dell Technologies and its ecosystem partners. >> Welcome back to theCUBE's live coverage of Dell World Technologies here in Las Vegas. I'm your host, Rebecca Knight, along with my co-host, Stu Miniman. We have two guests on this segment. Both CUBE veterans, so. (laughs) We have Varun Chhabra. He is the VP, Product Marketing, Cloud Dell EMC and Muneyb Minhazuddin, VP Solutions Product Marketing at VMware. Thank you so much for coming on the show. >> Thanks for having us. >> Thanks for having us. >> So we just had the keynote address. We heard from Michael Dell, Sachin Adela, Pat Gelsinger. It's a real who's who of this ecosystem. Break it down for us. What did we hear? What is sort of the most exciting thing from your perspective, Varun? >> So, Rebecca, what we hear from customers again and again is it's a multicloud world, right? Everybody has multiple cloud deployments. We saw Pat mention five on average, cloud architectures in customer environments. And what we keep hearing from them is there are operational silos that develop as part of the tool set, the SLAs that are different, the machine formats. All of these things just lead to a lot of operational silos and complexity. And what customers are overwhelmingly asking Dell EMC as well as VMware, is that how do we reduce this complexity? How do we be able to move work loads together? How do we manage all of this in a common framwork and reduce some of that complexity, so that really they can take advantage of the promise of multicloud. >> So Muneyb, theCUBE goes to, you know, all the big industry shows. >> Right. >> I feel like everywhere I go used to be, you know, it's like Intel and NVIDIA up on stage with the next generation. Well, for the last year, it felt like, you know, Pat and Sanjay were, you know, somebody like that, you know, up on stage. We have the Google cloud event a couple of weeks ago. There was Sanjay up on stage. You come here, there's Sachin Adela up on stage. So, let's talk about that public cloud piece. You know, we know the relationship with AWS, VMware cloud on AWS sent ripples through the industry. And, you know, the Google cloud piece. So tell us what's new, anything different about the Microsoft piece when it comes to public cloud. And how does that fit in relation to all the other clouds? >> Sure, no, I'll amplify what Varun said, right. We think about customer's choice first. And really customer choice as you know, you got multiple cloud providers. We've seen customers makes this choice of, I need to make this, you know, a multi-cloud world. Why are they going towards the multi-cloud world is because applications are going there. And really VMware's strategy has been to say how do we empower customers with that choice? Our, you know, AWS partnership is as strong as ever. We continue to innovate there. And that was our first kind of choice of platform. And Pat alluded to this on the stage. We have 4,000 cloud provider partners, right. And the 4,000 cloud provider partners we've built over the years, and that include, you know, not small names. They include IBM. Like you know they've got Rackspace, some of the biggest cloud providers. So our strategy has always been how do we take our stack and land it in as many public clouds as possible? So we took the first step of IBM, then about 4,000 other cloud providers, be it Rackspace, Fujitsu, Hitachi. Then came Amazon, Amazon being the choice of destination for a lot of public clouds. Today, we kind of further extend that with Microsoft, and you know a few weeks ago with Google. So this is really about customer choice and customers when they want the hybrid multi-cloud piece, it's app-driven. Right, you got two worlds. You got an existing application and you're looking to get some scale out of that existing application. And you're building a lot of native cloud, native applications. They want this, you know, in multiple places. >> All right, so if I could just drill down one level deep. So if I'm going to ask your customer today, my understanding is the VMware's DDC Stack, what does that mean, what do I use, how is that look and feel compared, do I use the Microsoft system center, am I using vCenter, you know. >> Sure, this is really, again, an app-driven conversation, right. There were multiple announcements in here, just to unpack them. It was like, hey, we have the Dell Technologies cloud platform. The Dell Technologies cloud platform is powered by DELL EMC infrastructure and VMware Cloud Foundation on top, virtualizing your full compute network storage with vShere, vSAN, NSX, and management, right. And the second part was really we've got VMware Cloud on a Dell EMC. This is to bring cloud to the work loads, which did in public clouds. We're seeing this repatriation of work loads back on the data center or the edge. This is really driven by a lot of customers who have built native IP in the public cloud, be it Amazon, be it Azure, who want to now bring some of those work loads closer to the data center or the edge. Now this comes to, how do I take my Azure work loads and bring it closer to the edge or my data center? Why is that a need? You know we have large customers, large customers, multi-national, they have 500,000 employees 90 locations worldwide who've built IP, or when I say IP applications natively in cloud. Suddenly for 500,000 employees in 90 locations, they're going ingress egress traffic to the cloud, public cloud, it's huge. How do I bring it closer to my data centers, right? And this is where taking Azure work loads, bringing them on prem, closer, solves that big problem for them. Now, how do I take that work loads and bring them closer, is that's where we landed in the VMware on Dell EMC infrastructure because this brings you closer to the data center, gives me either low latency, data governance, and control, as well as flexibility to bring these work loads back on prem, right? So the two tangents that you're driving, both your cloud growth and back to the edge, the second tangent of growth or explosion is cloud native work loads. You're able to bring them closer to your data center is purely the value proposition, right. >> Well, we heard so much about that on main stage this morning, about just how differently the modern workforce works, in terms of the number of devices they use, the different locations they are when they are doing the tasks of their job. Can you talk a little bit about the specifics in terms of customers you're working with, you don't need to name names, but just how you are enabling those people to be more productive, be more collaborative, and to get their jobs done. >> You know, we get feedback from customers in all industries, so Muneyb can share a few as well. We have large banks that are, you know, they're standardized their work loads on VMware today, as have many more organizations and they're looking for the flexibility to be able to move stuff to the cloud or move it back on premises and not have to reformat, not have to change their machine formats and just make it a little bit easy. They want the flexibility to be able to run applications in their bank branches in the cloud. But then they don't necessarily want to adopt a new machine format or a new standardized platform. That's really what the Azure announcement helps them do. Just like with Data Blue S can now move work loads seamlessly to Azure, use vCenter, use your other tools that you're familiar with today already to be able to provision your work loads. >> All right, Varun, wonder if we can drill into the stack a little bit here. I went to the Microsoft show last year and it was like, oh, WSSD is very different than Azure Stack, even if you look at the box, then it's very much the same. Underneath the covers, there was a lot of discussion of VxRail. We know how fast that's been growing. Can you, I believe there was two pieces to this, there's the VCF on VxRail and then, you know, help explain some of the differences. >> Yeah, so for the Dell Technologies cloud platform announcement, which is, as you said, VxRail HCI infrastructure with VMware Cloud Foundations tightly integrated. So that that the storage, compute, and networking capabilities off of VMware Cloud Foundation are all incorporated and taken advantage of within the HCI infrastructure. This is all about making things easier to consume, reducing the complexity for customers. When they get VxRail, they overwhelmingly tell us they want to use VMware Cloud Foundations to be able to manage and automate those work loads. So we're packaging the sup out of the box. So when customers get it, they have the cloud experience on premises without the complexity of having to deploy it because it's already integrated tightly. The engineering teams have actually worked together and then you can then, as we mentioned, extend those work loads to public cloud using the same tools, the same VMware Cloud Foundation tools. >> And you know, we built on Cloud Foundation for a while. I'm sure you followed us on the Cloud Foundation. And that has been, when, yes, we talk about consistent infrastructure, consistent operations in this hybrid cloud world. And what we really mean is that VMware Cloud Foundations stack. Right, so when we talk about VMC on AWS, is that Cloud Foundation stack running inside of Amazon. When we talk about, you know, our partnership with Azure is that VMware Cloud Foundation stack running on Azure. When we talk about these 4,000 partners, cloud certified, IBM, it is the Cloud Foundation stack. And the key components being the full stack, vSphere, vSAN, NSX, and there's a critical bar in Cloud Foundation call life cycle management. It's missed quite easily, right. The benefit of running a public cloud, they key three attributes you get is you get everything as a service, you get all your infrastructure as software, and the third part is you don't spend any time maintaining the inter-operability between your compute, network, storage. And that is a huge deal for costumers. They spent a lot of time just maintaining this inter-op. And VMware Cloud Foundation has this life cycle manager which solves that problem. That is key. >> Thank you for bringing that up, because, right, one of the big differences you talk about public cloud, go talk to your customer and say, hey, what version of Microsoft Azure are you running? And they'll laugh at you and say, like, well, Microsoft takes care of that for me. Well, when I differentiate and I say, Oh, okay, I want to run the same stack in my environment, how do I keep that up-to-date. We know that VMware customer, it's like, there's lot of incentives to get them there but oftentimes they're N minus one, two, or something like that. So how do we manage and make sure that it is more cloud-like and up-to-date? >> Yeah, absolutely, so there's two ways to do that. One of them is, because the VMware and Dell EMC teams are working on engineering closely together, we're going to have the latest version supported right out of the gate. So you have an update, you know that it's going to work on your hardware, or vice versa. So that's one level. And then with VMware Cloud on Dell EMC, we're also providing the ability to basically have hands-off management and have that infrastructure run in your data center or your edge locations, but at the same time not have to manage it. You leave that management to Dell Technologies and to VMware, to be able to manage that solution for you. So really, as Muneyb said, bringing that public cloud experience to your on-premise locations as well. >> And I think that's one of the big differentiators that's going to come, right? People want to get that consumption model, and they're trying to say, hey, how do I build my own data center, maintain it, but at the same time I want to rely on Dell and VMware to come and help us build it together, right. And the second part of the announcement was really, hey, VMware, Dell, on a Dell EMC, is that manage service offer. The demo you saw from June Yang was being able to have a consumption interface where you can kind of click of a button roll it back into a data center as well as an edge. 'Cause you have really literally very little IT skill sets where in the edge environment, and as edge compute needs become more prolific with 5G, IoT devices, you need that same kind of data governance model and data center model there as well. And that really the beauty of coming to VMware and Dell DMC, Dell Technologies' power, is to maintain that everywhere, right? >> I want to ask you about innovation. One of the things that was really striking during the keynote was the Bank of America executive saying I rely on Dell Technologies to be thinking about four steps ahead of me, even though I obviously have my own customers' needs that I need to be thinking of. I need Dell to be four steps ahead. So how are you, how are you getting in the heads of these obvious problems. >> I think it really comes down to listening to customers, right. As Dell Technologies, as VMware, we have the advantage of working with so many customers, like hundreds of thousands of customers around the world. We get to hear and listen and understand what are the cutting-edge things that customers are looking for. And then we can now take that back to customers like Bank of America, who may have thought about certain scenarios that we would learn from, but they might not have thought about other industries where things could be applicable to their industry. So that drives a lot of our innovation. We are very proud about the fact that we are customer-focused. Our innovation is really driven by listening to customers and having smart people just work on those problems. >> And, you know, customer voice is a big deal. Customer choice, that's why we're doing what we're doing with multiple cloud providers, right? And I think this is really a key to, if you just look at VMware's innovation, we're already talking about this multi-cloud world, where it's like, hey, you've got work loads natively, so how do you manage those? We're already ahead in thinking about Kubernetes with acquisition of Heptio. And you think about it, we've done this innovation in the cloud space, established this hybrid credibility, and we've launched it with Dell Technology now. We're already ahead in this multi-cloud operational model, we're already ahead in this Kubernetes evolution. We'll bring it back with the family and listen to the customers for choice because at the end of the day, we're here to solve customer problems, right? >> I think that's another dimension of choice that we offer, which is both traditional applications as well as applications of the future that will increasingly be customer container based. >> Yeah, I'm just wondering if you can expand on a little bit. You know, one of the things I said, VMware is great, it really simplified the environment. I go back 15 years ago. One of the things it did is, let me take my old application that was probably long in the tooth to begin with, my hardware's out of date, my operating system out of date, stick it in a VM and leave it for another five years. And the users of that are like, oh my gosh, I need an update. How do we get beyond that and allow this joint solution to be an accelerant for applications? >> Yeah, and I think that application is probably the crux of the business, right, we're-- >> It's a long pole in the tent for making change, but uh. >> And applications have evolved. This is actually the evolution journey of IT itself, is where there used to be support systems, now they become actually translate to business dollars, 'cause you know the first thing that your customer, often customer touches, is an application. And you can drive business value from it. And customers are thinking about these old applications and new applications, and they have to start thinking about where do I take my applications, where do they need to land, and then make the choice of what infrastructure is the best platform for it. So really you're going to flip the thing on, don't think infrastructure first and then retrospect apps to it, think app first and then make a choice on infrastructure based on your application need. And really, like you said, VMware kind of took the abstraction layer away from infrastructure and made sure that your VMs could from everywhere. We're taking the same for applications to say, doesn't matter if it's a VM-based, it's a cloud native, we'll give you the same consistent infrastructure and operations. >> Okay, Varun, last thing, could you just tell us of the announcements that are made. What's available today? What's coming later this year? >> Absolutely, so the Dell Technologies cloud platform that's based on VxRail and VMware Cloud Foundation is available now as an integrated solution. The VMware Cloud on Dell EMC, the fully managed offer, is available in the second half of this year. It's in beta right now and, as you saw, we have really good feedback from our customers. And then I think the Azure VMware Solutions offer will be available soon as well. >> All right, well, Varun and Muneyb, congratulations on the progress. We look forward to talking to the customers as they roll this out, and Rebecca and I will be back with lots more coverage here at Dell Technologies World 2019, wall-to-wall coverage, two sets, three days, tenth year of theCUBE at EMC and Dell World. I'm Stu Miniman and thanks so much for watching theCUBE. (upbeat music)

>> live from Las Vegas. It's the queue covering del Technologies. World twenty nineteen. Brought to you by Del Technologies and its ecosystem partners. >> Welcome back to the cubes Live coverage of Del World Technologies Here in Las Vegas. I'm your host, Rebecca Night, along with my co host Stew Minutemen. We have two guests on the seven, both both Cube veterans. So we have Varun Cabra. He is the VP product Marketing Cloud Delhi Emcee and Moeneeb unit. Minute Soudan VP Solutions Product marketing at VM. Where. Thank you so much for coming on the show. >> Thanks for having >> thanks for having us. So we just had the keynote address we heard from Michael Dell Satya Nadella Pack Girl Singer It's a real who's who of this of this ecosystem. Break it down for us. What? What did we hear? What is what is sort of the most exciting thing from your perspective? >> So, Rebecca, what? What we hear from customers again and again is it's a multi cloud world, right? Everybody has multiple cloud deployments, but we saw that mentioned five on average cloud architectures in customer environments and what we keep hearing from them is they There are operational silos that developed as part of the to set the fellas that are different. The machine formats. All of these things just lied a lot of lead to a lot of operational silos in complexity, and the customers are overwhelming or willingly asking William C. As well as being Where is that? How do we reduce this complexity? How do we we'll be able to move, were close together? How do we manage all of this in a common framework and reduce some of the complexity? So there's really they could take advantage off the promise of Monte Club. >> Yeah, so many. The Cube goes to all the big industry shows. I feel like everywhere I go used to be, you know, it's like intel and in video, up on stage for the next generation. Well, for the last year, it felt like, you know, patent Sanjay, or, you know, somebody like that, you know, up on stage with Google Cloud of a couple of years ago, there was Sanjay up on St Come here. They're searching Adela up on stage. So let's talk about that public cloud piece China. We know you know the relationship with a wsbn were clad in a ws sent ripples through the industry on you know, the guru cloud piece. So tell us what's new and different peace when it comes to come up to public clouded. How does that fit with in relation to all the other clouds? >> Sure, no, I'll amplify. You know what Aaron said, Right? We think about customer choice first. Andrea Lee, customer choice. As you know, you got multiple cloud providers. We've seen customers make this choice off. I need to make this, you know, a multi cloud world. Why're they going towards the multi clothing world? It's because applications air going there on really well, where strategy has bean to say, How do we empower customers without choice? Are you know, eight of us partnership is as strong as ever, but we continue to eat away there, and that was their first going to choice a platform. And Patty alluded to this on the stage. We have four thousand cloud provider partners right on the four thousand block provider partners we've built over the years, and that includes, you know, not small names. They include IBM. They, like, you know, they've got in Iraq space. Some of the biggest cloud providers. So our strategy is always being. How do we take our stack and and lighted and as many public laws? It's possible. So we took the first step off IBM. Then you know, about four thousand. You know, other plot providers being Rackspace, Fujitsu, it's Archie. Then came Amazon. I'm is on being the choice of destination for a lot of public clouds. Today we kind of further extend that with Microsoft and, you know, a few weeks ago with Google, right? So there's really about customer choice and customers when they want the hybrid multi Claude fees his abdomen right. You got two worlds, you couldn't existing application and you're looking Just get some scale out of that existing application and you're building a lot of, you know, native cloud native applications. They want this, you know, in multiple places. >> All right, so if I could just drilled down one level deep, you know? So if I'm in as your customer today, my understanding it's Veum or STD. Sea Stack. What does that mean? You know what I use, You know? How is that? You can feel compare? Do I use the Microsoft? You know System Center. Am I using V Center? You know, >> shark now, and this is really again in an abdomen. Calm conversation, right where they were multiple announcements in here just to unpack them there. It's like, Hey, we had the Del Technologies Cloud platform. The Del Technologies clock platform is powered by, you know, Delhi emcee infrastructure and be aware Cloud Foundation on top, where slicing your full computer network storage with the sphere of visa and a sex and management. Right. And the second part was really We've got being where cloud on a deli emcee. The system brings a lot of the workloads which stood in public clouds. We're seeing this repatriation off workloads back on. You know, on the data center are the edge. This is really driven by a lot of customers and who have built native I pee in the public cloud beyond Amazon beat ashore who want to now bring some of those workloads closer to the, you know, data center or the edge. Now this comes to how do I take my azure workloads and bring it closer to the edge or my data center? Why's that? I need you know, we have large customers, you know. You know, large customers multinational. They have, you know, five hundred thousand employees, ninety locations will wide. Who built to I p or when I say I p applications natively in cloud suddenly for five thousand employees and ninety locations, they're going ingress egress. Traffic to the cloud public cloud is huge. How do I bring it closer to my data centers? Right. And this is where taking us your workloads. Bringing them, you know, on prime closer salts. That big problem for them. Now, how do I take that workloads and bring them closer? Is that where we landed in the Veum wear on Del, you know AMC Infrastructure? Because this big sea closer to the data center gives me either Lowell agency data governance and you know, control as well as flexibility to bring these work clothes back on. Right? So the two tangent that you're driving both your cloud growth and back to the edge The second tangent of growth or explosion is cloud native workloads. We're able to bring them closer. Your data center is freely though the value proposition, right? >> Well, we heard so much about that on the main stage this morning about just how differently with modern workforce works in terms of the number of devices that used the different locations they are when they are doing the tasks of their job. >> You talk a little bit about the >> specifics in terms of customers you're working with. You don't need a name names. But just how you are enabling the >> way get feedback from customers in all industries, right? So you don't even share a few as well Way have large banks that are, you know, they're standardized their workloads on VM where today, right as as have many Morgan is ations, and they're looking for the flexibility to be able to move stuff to the cloud or moving back on premises and not have to reformat, not have to change that machine formats and just make it a little easy. They want the flexibility to be able to run applications in their bank branches right in the cloud, right? But then they don't they don't necessarily want adopt a new machine format for a new standardized platform. That's really what Thie azure announcement helps them do, Just like with eight of us, can now move workloads seamlessly to azure USVI center. Use your other you know, tools that you're familiar with today. Already to be ableto provision in your work clothes. All >> right, so for and what? Wonder if we could drill into the stack a little bit here? You know, I went to the Microsoft show last year, and it was like, Oh, WSSD is very different than Azure Stack even if you look at the box and it's very much the same underneath the covers, there was a lot of discussion of the ex rail. We know how fast that's been growing. Can you believe there's two pieces? This there's the VCF on Vieques rail and then, you know, just help. Help explain >> s o for the Del Technologies Cloud Platform announcement, which is, as you said, VX rail in first hcea infrastructure with Mia McLeod foundations tightly integrated, right, so that the storage compute and networking capabilities of off the immortal foundation are all incorporated and taken advantage off it. In the end structure. This is all about making things easier to consume, right, producing the complexity for customers. When they get the X trail, they overwhelmingly tell us they want to use the metal foundations to be able to manage and automate those workloads. So we're packaging this up out of the box. So when customers get it, they have That's cloud experience on premises without the complexity of having to deploy it because it's already integrated, cited the engineering teams have actually worked together. And then you can then, as we mentioned, extend those workloads to public loud, using the same tools, the same, the MSR foundation tools. >> And, you know, uh, we built on Cloud Foundation for a while, and I'm sure you followed us on the Cloud Foundation. And that has bean when you know yes, we talk about consistent infrastructure, consistent operations, this hybrid cloud world and what we really mean. Is that really where? Cloud foundation stack, right? So when we talk about the emcee on eight of us, is that Cloud foundation stack running inside of Amazon? When we talk about you know, our partnership with the shore, he's not being where Cloud Foundation stack running on a shore. We talk about this four thousand partners. Cloud certified IBM. It is the Cloud Foundation stack and the key components being pulled. Stack the Sphere v. Santana Sex and there's a critical part in Cloud Foundation called lifecycle management. It's, you know, it's missed quite easily, right? The benefit of running a public cloud. The key through the attributes you get is you know, you get everything as a service, you get all your infrastructure of software. And the third part is you don't spend any time maintaining the interoperability between you compete network storage. And that is a huge deal for customers. They spent a lot of time just maintaining this interrupt and, you know, view Marie Claude Foundation has this life cycle manager which solves that problem. Not not just Kee. >> Thank you for bringing it up because, right, one of the big differences you talk about Public Cloud, go talk to your customer and say, Hey, what version of Microsoft Azure are you running and the laughter you and say like, Well, Microsoft takes care of that. Well, when I differentiate and I say Okay, well, I want to run the the same stack in my environment. How do I keep that up today? We know the VM where you know customers like there's lots of incentives to get them there, but oftentimes they're n minus one two or something like that. So how do we manage and make sure that it's more cloud like enough today? >> Yeah, absolutely. So. So there's two ways to do that to one of them is because the V m. A and L E M C team during working on engineering closely together, we're going to have the latest word in supported right right out the gate. So you have an update, you know that it's gonna work on your your hardware or vice versa. So that's one level and then with via MacLeod and L E M C. We're also providing the ability to basically have hands off management and have that infrastructure running your data center or your eyes locations, but at the same time not have to manage it. You leave that management to tell technologies into somewhere. To be able to manage that solution for you is really, as Moody said, bringing that public loud experience to your own premise. Locations is long, >> and I think that's one of the big, different trainers that's going to come right. People want to get that consumption model, and they're trying to say, Hey, how do I build my own data center, maintain it, but the same time I want to rely on, you know, dull and beyond Where to come and help us build it together. Right? And the second part of announcement was really heavy and wear dull on the d l E M C. Is that Manager's offered the demo you saw from June. Yang was being able to have a consumption interface where you could connect click of a button, roll it back into a data center as well. It's an edge because you have real Italy. Very little skill sets where night in the edge environment and as EJ Compute needs become more prolific with five g i ot devices, you need that same kind of data governance model and data center model. There is well and not really the beauty off, you know, coming to be aware. And Delta, you know Del DMC del. Technology's power is to maintain that everywhere, right? I >> won't ask you about >> innovation. One of the things that's really striking during American executive, Even though I obviously have my own customers, >> I think it really comes down to listening to customers. Write as as Del Technologies is Liam, where we have the advantage of working with so many customers, hundreds of thousand customers around the world we get to hear and listen and understand what are the cutting edge things that customers are looking for? And then we can not take that back to customers like Bank of America who may have taught about certain scenarios right that we will learn from. But they may not have thought about other industries where things could be applicable to their street, so that drives a lot of our innovation. Very. We are very proud about the fact that we're customer focused. Our invasion is really driven by listening to customers on. And, you know, having smart people just work on this one to work on this problems. And, >> you know, customer wise is a big deal customer choice. That's why we're doing what we're doing with multiple cloud providers, right? And I think this is really a key, too. If you just look at being where's innovation were already talking about this multi claude world where it was like, Hey, you've got workloads natively. So we How do you manage? Those were already ahead and thinking about, you know come in eighties with acquisition of Hip Tio and you if you think about it, you know, we've done this innovation in the cloud space established this hybrid credibility on we've launched with Del Technology. Now we're already ahead in this multi cloud operational model. We're already ahead in this coop in eighties. Evolution will bring it back with the family and listen to the customers for choice. Because of the end of the day, we're here to South customer problems. I >> think that's another dimension of choice that we offer, which is both traditional applications as well as applications of the future that will increasingly, because container based, >> yeah, I just wonder if you could spend on a little bit. You know what? One of the things I said via Moore is great. It really simplified and by environment, I go back. Fifteen years ago, one of things that did is let me take my old application that was probably long in the tooth. Begin with my heart was out of date, my operating system at eight, sticking in of'em and leave it for another five years, and the users that are like, Oh my gosh, I'd need an update. How do we get beyond that and allow this joint solution to be an accelerant for applications? >> Yeah, and I think you know the application is probably the crux of the business, right? >> We'Ll call in the tent from >> change applications of Evolve. This is actually the evolution journey of itself is where they used to be, like support systems. Now they become actually translate to business dollars because, you know, the first thing that your customer awful customer touches is an application and you can drive business value from it. And customers are thinking about this old applications and new applications. And they have to start thinking about where do I take my applications? Where do they need to line and then make a choice off? What infrastructures? The best black mom for it. So really can't flip the thing on. Don't think infrastructure first and then retrospect APS to it. I think at first and then make a charge on infrastructure based on the application need and and really look like you said being where kind of took the abstraction layer away from infrastructure and make sure that you'll be EMS could run everywhere. We're taking the same for applications to say. Doesn't matter if it's of'Em based. It's a cloud native will give you the same, you know, inconsistent infrastructure in operations. >> Okay, we're in that last thing. Could you just tell us of the announcements that were made? What's available today? What's coming later this year? >> Absolutely So Del Technologies Cloud Platform that's based on the X Trail and via MacLeod Foundation is available now as an integrated solution via MacLeod and Daddy and see the fully managed offer is available in >> the second half of this >> year. It's invader right now. And as you saw, we have really good feedback >> from our customers. And then I think >> the, uh, the Azure BMR Solutions offer will be available soon as well. >> All right, well, Varun and many Congratulations on the progress. We look forward to talking to the customers as they roll this out, and Rebecca and I will be back with lots more coverage here. Del Technologies World twenty nineteen. Little coverage to sets three days, tenth year, The Cube at M. C and L World. I'm still many men. And thanks so much for watching