San Francisco it's the Red Hat summit 2018 brought to you by Red Hat okay welcome back everyone this is the cube live in San Francisco for Red Hat summit 2018 I'm John for the co-host of the cube and this week for three days of wall-to-wall coverage my co-host analyst is John Tory the co-founder of check reckoning and advisory and community development services firm industry legend formerly VMware's Bentley he was at the Q in 2010 our first ever cube nine years ago John Day one wrap up let's analyze what we heard and dissect and and put Red Hat into day one in the books but you know clearly it's a red-letter day for red hat so to speak your thoughts big day for open shift I think and hybrid cloud right we just saw a lot of signs here that we'll talk about that it's real there's real enterprises here real deployments in the cloud multi-cloud on-site hybrid cloud and i think there's really no doubt about that they really brought a brought the team out and you know red hat's become a bellwether relative to the tech industry because if you look at what they do there's so many irons on the fires but more the most important is that they have huge customer base in the enterprise which they've earned over a decades of work being the open source renegade to the open source darling and Tier one citizen they got a huge install basin they got to manage this so they can't just throw you know spaghetti at the wall they gotta have big solutions they're very technical company very humble but they do make some good tech bets absolutely we'll be talking with the folks from core OS tomorrow they have a couple of other action you know things we'll be talking about a lot of interesting partnerships the the most you know the thing here Linux is real and it's is the 20-year growth and that it's real in the enterprise and I mean the top line think the top line slowed and John is is is kubernetes than the gnu/linux for the cloud and I got to say there's some reality there yeah it's there's no doubt about it I mean then I've got my notes here just my summary for the day is on that point the new wave is here okay the glue layer that kubernetes and containers provide on top of say Linux in this case OpenShift a you know alternative past layer just a few years ago becomes the centerpiece of red hats you know architecture really providing some amazing benefits so I think what's clear is that this new shift this new wave is massive and we've heard on the cube multiple references to tcp/ip HTTP these are seminal moments where there's a massive inflection point where the games just radically changes for the better wealth creation happens startups boom new brands emerged that we've never heard of that just come out of the woodwork entrepreneurial activity hits an all-time high and they all these things are coming yeah I said John I was really impressed if we talk to a number of folks who are involved with technologies that some people might call legacy right we the Java programmers the IBM WebSphere folks they've been you you look at these technologies solid proven tested but yet still over here and adapted for today right and they talked about how they're fitting into openshift how they're fitting into modern application development and you're not leaving those people behind they're really here and you know the old joke going back to say Microsoft when Steve Ballmer was the CEO hell will freeze over when Linux isn't in in Microsoft ecosystem look today no further than what's going on in their developer Commerce called Microsoft build where Linux is the centerpiece of their open-source strategy and Microsoft has transformed themselves into a total open-source world so you know now you got Oracle with giving up Java II calling a Jakarta essentially bringing Java into an the Eclipse community huge move it's a kind of a nuance point but that's another signal of the shifts going on out in the open where communities aren't just yesterday's open source model a new generation of open source actors are coming in a new model I think the CNC F is showing it the Linux Foundation proves that you can have commercialization downstream with open source projects as that catalyst point as a big deal and I think that is happening at a new new level and it's super exciting to see yeah I mean open source is the new normal sure that that works it's in the enterprise but that doesn't mean that open source disappears it actually means that open source and communities and companies coming together to drive innovation actually gets more and more important I kind of thought well you know it's open source well everybody does open source but actually the the dynamics we're seeing of these both large companies partnering with small companies foundations like you talked about the Linux cutlasses various parts the Linux Foundation cloud boundary foundation etc right are really making a big impact well we had earlier on assistant general counsel David Levine and bringing about open source I think one key thing that's notable is this next generation of open source wave comes is the business model of open source and operationalizing it in not just server development lifecycle but in the business operation so for example spending resources on managing proprietary products with that have open source components separate from the community is a resource that you don't have to spend anymore if you just contribute everything to open source that energy can go away so I think open source projects and the product monetization component not new concepts is now highlighted as a bonafide competitive advantage across the company not just proven but like operationally sound legally verified certified and I think also you have to look at the distribution of open source versus the operation and management of open source we see a lot of management managed kubernetes coming out and in fact we didn't talk about today Microsoft big announcement here at the show Microsoft is on Azure is running a managed open ship not not kubernetes they already have kubernetes they're running a managed open ship another way of adding value to an open open source platforms to date directly to the IT operator honestly do you think these kind of deals would happen if you go back four years three years ago oh no way as you're running an open shift absolutely I mean were you crazy the you know the kingdom is turned upside down absolutely this is a notable point I want to get your reaction is because I see this absolutely as validation to the new wave being here with kubernetes containers as a de facto rallying point an inflection point big deals are happening IBM and Red Hat big deal we just talked about them with the players here two bellwether saying we're getting behind containers and two bays in a big way from that relationship essentially it changes the game literally overnight for IBM changes the game for Red Hat I think a little bit more for IBM than Red Hat already gets a ton of benefit but IBM instantly gets a cloud strategy that has a real scalable product market to it Arvind the the head of research laid that out and IBM now can go and compete with major players on deals with the private cloud more deals are coming absolutely this is the beginning now that everyone snapped into place is saying okay kubernetes and containers we now understand this the rallying cry a de facto standard I think a formation is going to happen in the next six to 12 months of major major major players now I mean we are in a not one size does not fit all world John so I mean we will continue to see healthy ecosystems I mean mesosphere and DT cos is still out there Dockers still out there right you will see very functional communities and and functioning application platforms and cloud platforms but you got to say the momentum is here I mean look at amine docker mace those fears look at when things like this happened this is my opinion so I'm just gonna say it out there when you have de facto standards that happen like this it's an opportunity to differentiate so I think what's gonna happen is docker meso sphere and others including the legacy guys like IBM and in others they have to differentiate their products they have to compete software companies so I think docker I think is come tonight at docker con but my opinion looking at from the outside is I think Dockers realized looking we can't make money from containers kubernetes is happening we're a great standard in that let's be a software company let's differentiate around kubernetes so this is just more pressure or more call-to-action to deliver good software hey it's never been of somebody said it's never been a better time to be an IT and IT infrastructure right this is a you think that the tools we have available to us super-powerful another key point I want to get your reaction on with kubernetes and containers this kind of de facto standardization is breathing new life into good initiatives and legacy projects so you think about OpenStack okay OpenStack gets a nice segmented approach is now clear with a where the swim lanes are you're an app developer you go over here and if you are a network and infrastructure guy you're going here but middleware a from talk to the Red Hat guys here we talk to IBM those legacy and apps can put a container around it and don't have to be thrown away and take their natural course now I think it's gonna be a three line through this holy a second life is for legacy and stuff and then to cloud is and it's in second inning because now you have the enablement for cloud your reaction the enablement of cloud Ibn iBM has cloud and then the market shares of nm who you believe they're not in that they're in the top three but they're not double digits according to synergy research and he bought us a little bit higher but still if you compare public cloud they're small they look at IBM's and tire and small base and saying if they have a specialty cloud that can be assembled quit Nellie yeah and scaled and maybe instantly successfully overnight yeah I think a few years ago you know there was a lot different always a few years back it always looks confusing right a few years back we were still arguing public cloud private cloud as private cloud ed is what is a true private cloud is that even valuable I still see people on Twitter making fun of everything anybody who's not 100% into the full public cloud which means they must not have talked to you know a lot of IT folks who have to business to run today so I think you're saying it's a it's a it's a multivalent world multi-cloud there's going to be differentiated clouds there's going to be operational clouds there's gonna be financial clouds and just it's it seems clear that you know from the perspective of right now here in San Francisco and 2018 that that you know the purpose of public-private hybrid seems pretty clear just like the purpose of like I said we're gonna in two weeks we'll be an openstack summit I mean the purpose of that seems pretty clear it's it's funny it's like I had this argument and each Assateague he thinks everything should go the public cloud goes eaten has one of the public clouds but he's kind of right and I and I and we talked about this way I with him I said if everything is running cloud operation we're talking about cloud ops we're talking about how its managed how its deployed code bases across the board if everything is clarified from an OP raishin standpoint the Dearing on Prem and cloud and IOT edge is there's no difference stuffs moving around so you almost treats a data center as an edge network so now it's sexually all cloud in my mind so then and also you do have to keep in mind time time horizons right anybody who has to do work the today this quarter right has to keep in mind what's what what portfolio of business deeds and tools do I have right now versus what it's gonna look like in a few years all right so I want to get your thoughts on your walk away from today I'll start my walk away from day one was talking some of the practitioners Macquarie Bank and Amadeus to me they're a tell signed the canary in the coalmine what's happening horizontally scalable synchronous infrastructure the new model is here now we're seeing them saying things like it's a streaming world not just Kafka for streaming data streaming services levels of granularity that at workers traded with containers and kubernetes up and down the stack to me architects who think that way will have a preferred advantage over everybody else that to me was like okay we're seeing it play out I guess I totally agree right the future isn't evenly distributed my takeaway though is there's certainly a future here and the people we talked to today are doing real-world enterprise scale multi-cloud micro services and modern architectures incorporating their legacy applications and components and that and they're just doing it and they're not even breaking a sweat so I think IT has really changed ok day one coverage continues day two tomorrow we have three days of wall-to-wall coverage day two and then finally day three Thursday here in San Francisco this is the cubes live coverage go to the cube dotnet to check out all the videos they're gonna be going up as soon as they are done live here and check out all the cube alumni and check out Silicon angle comm for all news coverage then of course you got tech reckoning Jon's company's the co-founder of for John Fourier and John Shroyer that's day one in the books thanks for watching see you tomorrow