value in jobs is probably the most rewarding >>things I've ever been involved >>in And I bring that energy to the queue because the cube is where all the ideas are and where the experts are, where the people are And I think what's most exciting about the cube is that we get to talk to people who are making things happen, entrepreneurs ceo of companies, venture capitalists, people who are really on a day in and day out basis, building great companies and the technology business is just not a lot of real time live tv coverage and and the cube is a non linear tv operation. We do everything that the T. V guys on cable don't do. We do longer interviews. We asked tougher questions. We >>ask sometimes some light questions. We talked about the person and what >>they feel about it's not prompted and scripted. It's a conversation authentic and for shows that have the cube coverage and makes the show buzz that creates excitement. More importantly, it creates great content, great digital assets that can be shared instantaneously to the world. Over 31 million people have viewed the cube and that is the result of great content, great conversations and I'm so proud to be part of a Q with great team. Hi, I'm john barrier, Thanks for watching the cube boy. >>Okay, welcome back everyone cube coverage of AWS amazon web services public sector summit in person here in Washington D. C. I'm john Kerry host of the cube with Sandy carter and Lynn martin Vm ware Vice president of government education and healthcare. Great to see you both cube alumni's although she's been on since 2014 your first time in 2018 18 2018. Great to see you. Great to see you. Thanks for coming on. Yeah, thanks for having us. So VM ware and 80 of us have a huge partnership. We've covered that announcement when Andy and Pat nelson was the Ceo. Then a lots happened, a lot of growth. A lot of success. Congratulations. Thank you. What's the big news with AWS this year in >>public sector. So we just received our authorization to operate for Fed ramp high. Um and we actually have a lot of joint roadmap planning. You are kicking off our job today with the Department of Defense and I. L five for the defense customers is also in process. So um a lot of fruits of a long time of labor. So very excited, >>awesome. So explain what does the Fed ramp authority to operate mean? What is >>that all about? So I would say in a nutshell, it's really putting a commercial offering through the security protocols to support the federal government needs. Um and there's different layers of that depending on the end user customers. So Fed ramp i across this, across all the civilian and non classified workloads in the federal government. Um probably applicability for state, local government as well with the new state Gramp focus. Um Fed ramp. I will meet or exceed that. So it will be applicable across the other parts of the government as well and all operated, you know, in a controlled environment jointly. So you get the VM ware software stack on top of the platform from A W. S and all the services that is more VM >>ware, faster deployed usage, faster acceleration. >>Yeah, so I would say um today the government operates on VM ware across all of the government, state, local and federal, um some workloads are still on prem many and this will really accelerate that transformation journey to the cloud and be able to move workloads quicker onto the BMC on AWS platform without free architect in your >>application, without giving away any kind of VM World Secret because that's next week. What is the value proposition of VM ware cloud, on AWS? What is the, what is the, what is the main value proposition you guys see in the public >>sector? So I see three and then Sandy chime in their two, I would say, you know, the costs in general to operate In the Cloud vs on prem or significant savings, we've seen savings over 300% on some customers. Um the speed on the application movement I think is a >>huge >>unique benefit on BMC on AWS. So traditionally to move to native cloud, you have to really do a lot of application were to be able to move those workloads where on BMC on AWS to move them pretty fast. And it also leverages the investments that the government agencies have already made in their operational tools and things of that nature. So it's not like a full reinvestment for something new but really leveraging both the skill sets in the data center in the I. T. Shops and the tools and investments you've bought over the past. And then the third area I would say is really getting the agility and flexibility and speed of a cloud experience. >>What's your, what's your reaction to the partnership? >>You know, we were just talking uh in a survey to our customers and 67% of them said that the velocity of the migration really matters to them. And one of the things that we do really well together is migrate very quickly, so we have workloads that we've migrated that have taken you know weeks months uh as opposed to years as they go over, which is really powerful. And then also tomorrow VM ware is with us in a session on data led migration. We were talking about data earlier and VM ware cloud on Aws also helps to migrate over like sequel server, database oracle databases so that we can also leverage that data now on the cloud to make better decisions and >>real time decisions as >>well. It's been really interesting to watch the partnership and watching VM ware transform as well, not only the migrations are in play with the public sector, there's a lot of them, believe me, healthcare, you name every area. It's all, all those old systems are out there. You know, I'm talking about out there. But now with microservices and containers, you've got tansy and you got the whole cloud, native VM ware stack emerging that's going to allow customers to re factor This is a dynamic that is kind of under reported >>Migration is one thing. But I think, I think that the whole Tan Xue portfolio is one of the most interesting things going on in VM ware. And we also have some integration going on on D. M. C on AWS with tan to we don't have that pentagram. Yeah. For the government market, but it's on the road mapping plans and we have other customers And I would say, you know, some of my non federal government customers were able to move workloads in hours, not even days or weeks. There you go, literally back and forth. And very impressive on the BMC on AWS platform. So, um, as we expand things in with the Tan Xue platform is, you know, Sandy talked about this yesterday and our partners summit, Everyone's talking about containers and things like that. VM ware is doing a lot of investment around the cooper Netease plus the application migration work and things of that nature. >>I'd love to get you guys reaction to this comment because I've seen a lot of change. Obviously we're all seeing it. I've actually interviewed a bunch of aWS and VM ware customers and I would call um some of the categories skeptics the old school cloud holding the line. And then when the pandemic hit those skeptics flip over because they see the value. In fact I actually interviewed a skeptic who became an award winner who went on the record and said I love hey w I love the cloud. I was a skeptic because you saw the value the time to value. This is really a key dynamic. I know it's kind of thrown out a lot of digital transformation or I. T. Modernization but the agility and that kind of speed. It becomes the number one thing. What's your reaction to the skeptics converting? And then what happens >>next? Um So I think there's still a lot of folks in I. T. That our tree huggers or I call him several huggers uh um pick your term. And I think that um there is some concern about what their role will be. So I think one of the differences delivering cloud services to your internal constituents is really understand the business value of the applications and what that delivers from a mission perspective back to your client. And that's a shift for data center owners to really start thinking more from the customer mission perspective than or my servers running you know, do you have enough storage capacity blah blah blah. So I think that creates that skepticism and part of that's around what's my role going to be. So in the cloud transformation of a customer, there's all this old people part that becomes really the catalyst and I think the customers that have been very sad and really leverage that and then retool the business value back to the end users around the mission have done the best job. >>I mean we talk about this all the time, it's really hard to get the best debris partners together and then make it all work cloud, it becomes easier than doing it very bespoke or waterfall way >>Yeah, I have to say with the announcement yesterday, we're going to have a lot more partner with partners. So you and I have talked about this a few times where we bring partners together to work with each other. In fact, Lynn is going to go meet with one of those partners right after the interview um that want to really focus in on a couple of particular areas to really drive this and I think, you know, part of the, you know, as your re factoring or migrating VMro over the other big benefit is skills, people have really strong, these fear skills, the sand skills, >>operation >>operation tools Yeah. And so they want to preserve those, I think that's part of the beauty of doing VM ware cloud on Aws is you get to take those skills with you into the new world as well, >>you know, I was going to just ask the next question ai ops or day two operations, a big buzzword Yeah and that is essentially operation mindset, that devoPS DEVOps two is coming. Emily Freeman gave a keynote with our last event we had with with amazon public showcase revolution and devops devoPS 2.0 is coming which is now faster, security is built in the front end, so all these things are happening so now it's coming into the public sector with the GovCloud. So I have to ask you Lynn what are some of the big successes you've had with on the gulf cloudy, just Govcloud. >>So I would say we've had a lot of customers across the state local side especially um that weren't waiting for fed ramp and those customers were able to move like I mentioned this earlier and you guys just touched on it. So I think the benefit and the benefit, one of our best customers is Emmett Right? Absolutely mitt, God bless them. They've been on every cloud journey with VM ware since 2014 we moved in my three years now and talk about a skeptic. So although Mark is very revolutionary and tries new things, he was like oh who knows and literally when we moved those workloads it was minutes and the I. T shop day one there was no transformation work for them, it was literally using all the tools and things in that environment. So the progress of that and the growth of the applications that have been able to move their things. That took 2 to 3 years before we're all done within six months and really being able to expand those business values back out for the services that he delivers to the customers. So I think you'll see quite a bit across state, local federal government. You know, we have U. S. Marshals, thank them very much. They were our sponsor that we've been working with the last few years. We have a defense customer working with us around aisle five. >>Um you know, if we could also thank Coal Fire because Cold Fire is one of our joint partners talking about partner partners and they were played a critical role in helping BM We're cloud on AWS and get the fed ramp high certifications. >>They were R three p. O. We hired them for their exercise expertise with AWS as well as helping the BMR. >>Well the partnership with the war has been a really big success. Remember the naysayers when that was announced? Um it really has worked out well for you guys. Um I do want to ask you one more thing and we don't mind. Um One of the biggest challenges that you see the blockers or challenges from agencies moving to the cloud cover cloud because you know, people are always trying to get those blockers out of the way but it's an organizational culture is a process technology. What's your what's your take on that land. Um >>I think a lot does have to do with the people and the organizational history. I think somewhere you need a leader and a champion that really wants to change for good. I call Pat, used to call a tech for good. I love that. Right to really, you know, get things moving for the customers. I mean one of the things I'm most proud about supporting the government business in general though is really the focus on the mission is unparalleled, you know, in the sectors we support, you say, education or government or healthcare. Right? All three of those sectors, there's never any doubt on what that focuses. So I think the positives of it are like, how do you get into that change around that? And that could be systems, there's less what's VMC ON AWS as we mentioned, because the tools already in the environment so they know how to use it. But I do think there's a transformation on the data center teams and really becoming moving from technology to the business aspects a little bit more around the missions and things of that. >>What's interesting is that it's so, I mean, I actually love this environment even though it's kind of hard on everyone. Education and health care have been disrupted unprecedented ways and it's never gonna change back? Remember healthcare, hip data silos, silos, education don't spend on it. >>That education was the most remarkable part. Unbelievable. I started working in february before school started with one of the large cities everyone can guess and just the way they were able to pivot so fast was amazing and I don't think anybody, I think we did like five years of transformation in six months and it's never going to go back. >>I completely a great yes education. We just did a piece of work with CTS around the world and education is one of the most disrupted as you said health care and then the third one is government and all three of those are public sector. So the three most disruptive sectors or mission areas are in public sector which has created a lot of opportunity for us and our partnership to add value. I mean that's what we're all about right customer obsession working backwards from the customer and making sure that our partnership continues to add value to those customers >>while we love the tech action on the cube. Obviously we'd like to document and pontificate and talk about it. Digital revolution. Every application now is in play globally. Not just for I. T. But for society, public sector more than ever is the hottest area on the planet. >>Absolutely. And I would say that now our customers are looking at E. S. G. Environmental, they want to know what you're doing on sustainability. They want to know what you're doing for society. We just had a bid that came in and they wanted to understand our diversity plan and then open governance. They're looking for that openness. They're not just artificial intelligence but looking at explainable AI as well. So I think that we have a chance to impact environment societies and governance >>and you mentioned space earlier. Another way I talked with closure. I mean I'm an interview today too, but what's happening with space and what you can monitor disasters, understand how to deploy resources to areas that might have challenges, earthquakes or fires or other things. All new things are happening. >>Absolutely. And all that data people like to say, why are you spending money on space? There's so many problems here, but that data that comes from space is going to impact us here on earth. And so all the things that we're doing, all that data could be used with VM ware cloud on AWS as well. >>Well, you watch closely we got some space coverage coming. I got a big scoop. I'm gonna release soon about something behind the dark side of the moon on in terms of space sovereignty coming a lot of action, cybersecurity in space. That's really heavy right now. But >>aren't you glad that VMC cloud on AWS isn't hidden on the dark side of the moon. It's >>right on the congratulations. Thanks for coming on. You guys are doing great. Thanks for >>thanks for sharing. Congratulations. >>Okay, cube coverage here continues. AWS public sector summit in Washington D. C live for two days of coverage be right back. Thank you. Mhm. Mhm mm mm hmm.

>>Hello and welcome to this session on experiencing secure agile hybrid cloud for your absent data. My name is Andrew labor. I'm a worldwide business unit product manager, Hc I Solutions with HP and I'm joined by my teammate Jeff Corcoran, who was go to market program Solutions or HP as well. And with that let's just dive right into it. Well, everybody has absent data. They're all over the place. They're both live on your phones, your computers and the cloud and servers are everywhere, absent data are all over the place. Well, what can we really do about that from moving forward modernization of that? Well, we have expectations for personalized, instant and engaging experiences that are the benchmark of your experience, more speed and agility or more paramount than ever. You see a world where apps and data like I mentioned our live and all over the place and that data explosion is happening at the edge where 75 of data is now created in moving us from a data center too many locations and many centers of that data. We have a digital transformation that has reached only a fraction of that. And we have modern cloud experiences for speed and agility and we want to really push that into an on premise reality where data has gravity security formats and compliance that you require. You really want that data transformation that somehow remains elusive for most outside of the public cloud. We want that true private premised on premise cloud infrastructure that translates to your hybrid cloud where you already have your apps and data live in the public cloud. And so as I mentioned, 70 of the public of the apps are outside in the public cloud and we really want that to be able to be brought into the local as well. And the on premise give you more flexibility, more agility and only H P E brings the cloud experience absent data everywhere. We define that right mix for you to move your data to the local and with that we have an approach that's any cloud anywhere and we have the expertise to help you define that right mix of cloud for your enterprise. We also create modern casual platforms for innovation where we bring your non native traditional apps that are slowing you down. We bring that into a modern enabled cloud experience together with cloud data of apps to achieve that speed and agility that I mentioned, being able to create a consistent strategy for you and your infrastructure. We also consume everything as a service everywhere. We bring the modern cloud experience to you and your apps and data self service ease being able to scale up or down depending on usage and flexibility. And we also have to pay for use and all managed for you with HP. Green Lake services the market leading infrastructure as a service platform for well over a decade. We also unify that hybrid cloud estate being able to move operations to a cloud native Cloud ops process manage for you with one unified management platform. Hp Green Lake Central. This helps you manage and unify your applications across cloud native and non cloud native workloads, drive insights and control for operational excellence and we do that by defining the right mix of cloud for you with HPD Point Next services, we're able to assess applications to determine the right mix for your business objectives. Hp Point Next services, we have cloud in technology experts on hand and ready to task for you to assess your existing IT infrastructure strategy, identify trapped capital that you might not even notice is there as well as help you assess your people and teams to identify critical gaps in your cloud journey. Finally, HP Point next services capital experts can determine the right mix of cloud strategy for you. Help you move and migrate your data into that optimized for every workload. And we do that by creating modern agile platform for innovation and we achieve the speed and agility you want report folio of software defined rack optimized HP keep Reliant and H. P. S. Energy infrastructure. Using that compose Herbal cloud compose double infrastructure platform that we support through our intellectual property and through leading partner Cloud solutions and who is that? That's BM wear with cloud foundation. I am a cloud foundation is the perfect blend for HP synergy and HP. Reliant to create that universal hybrid cloud platform, both modern and traditional applications. The Cloud foundation is characterized by many tenants such as develop Already Infrastructure, which creates that automated full stack experience. To help you get ready to do your development through a PS and infrastructure. Universal platforms, a single platform virtual machines and containers as well as application focused management. To simplify your management, being able to have multiple application resources and foundation for that hybrid cloud that I described being able to extend that same software stack to the public cloud. You connect to your flavor of choice for public cloud consume. And together with HB solutions and BMR Cloud Foundation, we create that perfect platform for a consistent hybrid cloud experience from the mid market to the large enterprise customers. We are transforming that traditional I. T. To a virtualized data center. Our goal is to help you move quickly and be agile to digitally transform software defined data center supporting that hybrid infrastructure. Hp envy m where have been working together for years and we are providing a simple experience for hybrid cloud that you can create and deliver to show value instantly and continuously achieve faster innovation, consistent operation and reducing costs. And how do we do that together? Well with HB solutions from being more cloud foundation, we've revolutionized that data centre by building a single consistent hybrid cloud experience that you can see that delivers greater agility and simplicity with five times faster automation tools for building out your infrastructure in getting time to market quicker, invalidating that solution stack. Where we have end to end fully tested and validated solutions that reduce your complexity and allow you to consolidate your VMS and your containers into one environment. Seamlessly, we also integrate management. We have unique the upper management integration and automation through firmer lifecycle management. Vis a vis L C M on the VM ware side, simplify I. T and deliver more agility to your infrastructure as well as your software defined data center. And then we also have services with HB Point Next they accelerate that time to deployment using HP Green Lake and providing as a service experience that we bring that cloud to you. And we bring that with an enhanced ballistic 360° view of security that begins in the manufacturing supply chain of our servers and concludes with safeguarded end of life Decommissioning. We power that by the recently announced Gen 10 plus servers uhh peep Reliant NHP synergy and integrate that Silicon Root of Trust technology offering protection detection and recovery from attacks industry leading encryption and firmware protection. And finally all of that is brought together. Hp one view We take HP one view as the management solution which transforms all of the compute storage networking into one software defined infrastructure Through HP one View we offer a template driven approach for deploying provisioning, updating, integrating compute storage networking All together in one infrastructure. and HP one View uses those software templates single line of code. We can deploy and manage and compose all of your physical resources, require for that application or virtual host or container infrastructure. We deliver the flexibility to compose different tiers of storage as well as types of provisioning by HP One View through direct or attach fabric using cloud foundation and HPV Premera. And now I'd like to ask my coworker Jeff to dive into some customer experiences around the hybrid cloud Jeff. Take it away. >>Thanks. Andrew. I think a great way to follow up and talk about our solutions is to really look at how one of our customers is enabling this transformation. So Wedbush Security is one of the leading financial services firms in the US, providing private and institutional clients, securities brokerage wealth management, in investment banking services. The company is headquartered in los Angeles California and has about 100 offices across the United States to meet increasingly rigorous financial regulations for more resilient operations and mitigate the threat of earthquakes in the Los Angeles area and increase operational efficiencies. Wedbush was looking for transformation is looking for a change to what the way they are currently operating. And to do this, Wedbush partnered with lumen and HP to develop a new private, cloud based data center using bloomin Private cloud on VM ware Cloud foundation. This was located in lumens Dallas hosting center using HP Keep Reliant dl 33 60 jen tens to create a hyper converged, high performance infrastructure using integrated software defined networking and security. To date, Wedbush has migrated its entire production facility to this private cloud. The virtual machines support a range of business applications, including Refinitiv, Thompson, Reuters and if I ask financial systems, they're also hosting Web Bush's in house broker management tool and Microsoft, sequel server and Mongo DB. Now, how did this impact them? They were able to impact Their financial reporting by cutting that from five hours down to 58 minutes. At the same time, they are able to reduce the time that it takes to deploy these Infrastructure resources by 50%. So this allows them to deploy a modern IT infrastructure for performance, reliability and efficiency improvement. The net impact on their business Was that it reduces the analytic costs by 27%. It increases their business agility and it developed, allows them to develop new lines of business faster and increases their compliance for the new Finra financial regulations with HP Green Lake, the cloud that comes to you. Hp Green like brings that cloud experience, self serve paper use scale up and down and manage for you by HP and our partners to absent data everywhere, whether they're in the edges co locations or data centers, enabling you to free up capital most operational and financial flexibility and free up talent to accelerate what's next for you and your business with HP Green Lake customers get cloud services that our production ready, elastic for any scale With a simple experience delivered to customer locations and as little as 14 days. Now, let's take a look at how some of our customers are experiencing the benefit of HP Green Lake as the voice of Austrian business. The Austrian economic chamber delivers advocacy and support to over 500,000 companies and trade groups, thereby helping to foster the country's robust economic growth. However, a policy of fiscal prudence Led to a mandated 30 cost reduction and the chambers it service provider needed to cut costs without compromising service levels. So to do this, they turn to HP to pair a future proof compose herbal infrastructure with a consumption based support model and HP Green Lake. Now, both the internal and regional chambers offices are getting better performance and faster access to I. T. Services enabled them to focus more than ever on boosting critical Austrian economic forces in sectors. Hp is here to help you accelerate your transformation. We just talked about Green Lake. So this enables you to deploy any workload as a service and with HP Green Lake services, you can bring that cloud like speed, agility and as a service model to where your data, data and apps live today, it enables you to transform the way you do business with one experience in one operating model across your distributed clouds for apps and data at the edge in co locations and in data centers with HP Point Next services. They have conducted over 11,000. IT. projects in over 1.4 million customer interactions each and every year. HB Point Next services 15,000 plus experts and its vast ecosystem of solution partners and channel partners are uniquely able to help you at every stage of your digital transformation journey because we address some of the biggest areas of concern that can slow you down. We bring together technology and expertise to help you drive your business forward. Lastly, with HP financial services, flexibility and investment capacity are key considerations for business to drive digital transformation initiatives. In order to forge a path forward, you need access to flexible payment options that allow you to match your IT costs to usage, from helping release capital from existing infrastructures to deferring payments and providing pre owned technology to relieve capital strain. Hp financial services unlocks the value of your entire estate from edge to cloud to end user with multi vendor solutions consistently and sustainably around the world. H P E F s helps you create the financial capacity to transform your business, Y H P E. We have the experience to get you there Over 1000 successful cloud migrations. We have the expertise to help you at any stage to accelerate adoption of any cloud or financial model to help you deploy the like cloud experience for your apps and data. We're open to any cloud strategy with deep expertise across Azure AWS and google cloud. We have unbiased expertise and I p to accelerate your right mix of clouds for your enterprise and we can tie that all together with I. T. As a service from our market leading platform of HP Green Lake. After you viewed this session, we have a lot of resources that you can now use to help you continue your digital transformation and educate yourself. You'll find links here on the slide to a lot of different products and solution areas as well as social media interactions that we have to engage with you. Thank you for joining. We hope you find the sexual useful. Have a great day.

>>from >>around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. >>Hello and welcome back to the Cube Coverage of eight of us reinvent 2020 Virtual. I'm John for your host of the Cube. Normally we're in person this year. It's a virtual event. It is reinvent and cube virtual here. We got great interview here. Segment with VM ware and A W s. Two great guests. Keep both Cube alumni. Marc Lemire, senior vice president, general manager, The Cloud Services Business Unit VM Ware and Dave Brown, Vice president Elastic Compute Cloud easy to from Amazon Web services Gentlemen, great to see you guys. Thanks for coming on. >>Great. Thank you. Good to be back. >>Thanks. Great to be back. >>So you know, Dave, we love having you on because ec2 obviously is the core building block of a device. Once the power engine, it's the core product. And Mark, we were just talking a few months ago at VM World of momentum you guys have had on the business front. It's even mawr accelerated with co vid on the pandemic. Give us the update The partnership three years ago when Pat and Andy in San Francisco announced the partnership has been nothing but performance. Business performance, technical integration. Ah, lots happened. What's the update here for reinvent? >>Yeah, I guess the first thing I would say is look, you know, the partnership has has never been stronger. You know, as you said, uh, we announced the partnership and delivered the initial service three years ago. And I think since then, both companies have really been focused on innovating rapidly on behalf of our customers bringing together the best of the VM, or portfolio, and the best of, you know, the entire AWS. A set of capabilities. And so we've been incredibly pleased to be able to deliver those that value to our joint customers. And we look forward to continue to work very closely together. You know, across all aspects of our two companies toe continue to deliver more and more value to our joint customers. >>Well, I want to congratulate you guys at VM where, you know, we've been following that story from day one. I let a lot of people skeptical on the partnership. We were pretty bullish on it. We saw the value. It's been just been great Synergy day. I want to get your thoughts because, you know, I've always been riffing about enabling technologies and and the way it works is enabling technologies. Allow your partners to make more money, too. Right? So you guys do that with the C two, and I know that for a fact because we're doing well with our virtual event cloud, but are easy to bills are up, but who cares? We're doing well. This is the trend you guys are enabling partners, and VM Ware in particular, has a lot of customers that are on AWS. What's your perspective on all this? >>You know the part. The part maker system is so important for us, right? And we get from our customers. We have many customers who, you know, use VM ware in their own environment. They've been using it for years and years, um, true for many other software applications as well and other technologies. Andi, when they moved to AWS there very often. When you use those tools on those services on AWS is well and so you know, we we partner with many, many, many, many companies, and so it's a high priority for us. The VM Ware partnership, I think, is being sort of role model for us in terms of, you know, sitting out outside Sana goal back in 2016. I think it waas and, you know, delivering on that. Then continue to innovate on features over the last three years listening to our customers, bringing larger customers on board, giving them more advanced networking features, improving. You know that the instance types of being whereas utilizing to deliver value to their customers and most recently, obviously, with Outpost AWS outposts and parking with VM ware on VM are enabled outposts and bringing that to our customers and their own data centers. So we see the whole partner ecosystem is critically important. Way were spent a lot of time with VM and other partners on something that our customers really value. >>Mark, I want to get your thoughts on this because I was just riffing with Day Volonte about this. Um, heightened awareness with that covert 19 in the pandemic has kind of created, which is an accelerant of the value. And one >>of the >>things that's a parent is when you have this software driven and software defined kind of environment, whether it's in space or on premise or in the cloud. Um, it's the software that's driving everything, but you have to kind of components. You have the how do you operate something, And then how does the software works? So you know, it's the hand in the glove operators and software in the cloud really is becoming kind of the key things. You guys have been very successful as a company with I t operations, and now you're moving into the cloud. Can you share your thoughts on how VM Ware cloud on AWS takes that next level for your customers? So I think that's a key point that needs to be called that. What's your What's your thoughts on that? >>Yeah, I think you hit the nail on the head, and I think, you know, look, every company is on a journey to transform the level of capability they're able to offer to their customers and their employees, right? And a big part of that is how do they modernize their application environment? How do they how do they deliver new applications and services? And so this has been underway for for a while now. But if if anything, I think Cove, it has only accelerated. Um, the need for customers to be able to continue to go down that path. And so, you know, between VM ware in AWS, um, you know, we're looking to provide those customers a platform that allows them to accelerate their path to application, modernization and new services and capabilities. And, um, you know, Dave talked about the ecosystem and the importance of the ecosystem that AWS and I think you know, together. What we've been able to do if you sort of think about it, is, you know, bringing together this rich set of VM Ware services and capabilities. Um, that we've talked about before, as well as new VM Ware capabilities, for example, the ability to enable kubernetes based applications and services on top of this Corby, um or platform with Tan Xue. Right. So customers can get access to all of that is they go down this modernization path. But, you know, right next door in the same ese is 375 native AWS services that they can use together in conjunction, uh, with that environment. And so if you think about accelerating that journey right Being ableto rapidly migrate those VM ware based workloads into the AWS cloud. When you're in the AWS cloud, be able to modernize that environment using the VM Ware Tansu capability, the native AWS services and then the infrastructure that needs to come together to make that possible, for example, the network connectivity that needs to be enabled, um, to take advantage of some of those services together. Um, you know, we're really we're trying to accelerate our delivery of those capabilities so that we can help our customers accelerate the delivery of that application value thio to their customers. >>David want to get your thoughts on the trends If you speak to the customers out there at VM Ware, customers that are on the cloud because you know the sphere, for instance, very popular on the Ws Cloud with VM Ware Cloud as well as these new modern application trends like Tan Xue, Project Monterey is coming around the corner that was announced that VM world what trends do you see from the two perspective that you could share to the VM ware eight of his customers? What's the key wave right now that they should be riding on. >>Yeah, I think a few things, you know, we definitely are seeing an acceleration in customers Looking Thio looking to utilize humor on AWS You know, there was a lot of interest early on, really, over the last year, I think we've seen 140% growth in the service, which has been incredibly exciting for both of us and really shows that we we're providing customers with the service that works. You know, I think one of the key things that Mark called out just talking previously was just how simple it is for customers to move. You know, often moving to the cloud gets muddled with modernization, and it takes a long time because customers to kind of think about how do they actually make this move? Or are they stuck within their own facility on data center or they need to modernize? We moved to a different hyper visor with PM on AWS. You literally get that same environment on AWS, and so whether it's a a migration because you want to move out of your on premise facility, whether it's a migration because you want to grow and expand your facility without needing to. You know, build more data centers yourself Whether you're looking to build a d. R site on AWS on whether you looking just, you know, maybe build a new applications tank that you wanna build in a modern way, you know, using PMR in Tanzania and all the AWS services, all of those a positive we're seeing from customers. Um, you know, I think I think as the customers grow, the demand for features on being were in AWS grows as well. And we put out a number of important features to support customers that really, really large scale. And that's something that's being exciting. It's just some of the scale that we're seeing from very, very large being, we customers moving over to AWS. And so I think you know a key messages. If you have a Vienna installation today and you're thinking about moving to the cloud, it's really a little that needs to stop you in starting to move. It is is very simple to set up, and very little you have to do to your application stack to actually move it over. >>Mark, that's a great point. I want to get your thoughts on that in reaction toe. What? Dave just said Because this is kind of what you guys had said many years ago and also a VM world when we were chatting, disrupting operations just to stand up the clubs shouldn't be in place. It should be easy on you. Heard what Dave said. It's like you got >>a >>lot of cultures that are operating large infrastructure and they want to move to the cloud. But they got a mandate toe make everything. Is a services more cloud native coming. So, yeah, you gotta check off the VM where boxes and keep things running. But you gotta add more modern tooling mawr application pressure there. So there's a lot of pressure from the business units and the business models to say We gotta take advantage of the modern applications. How do you How do you look at that? >>Yeah, yeah, I mean, I think Look, making this a simple is possible is obviously a really important aspect of what we're trying Thio enable for our customers. Also, I think the speed is important, right? How you know, how can we enable them? Thio accelerate their ability to move to the cloud, but then also accelerate their ability Thio, um, deliver new services and capabilities that will differentiate their business. And then how do we, uh, kind of take some of the heavy lifting off the customers plate in terms of what it actually takes to operate and run the infrastructure and do so in a highly available way that they could depend upon for their business? And of course, delivering that full capabilities of service is a big part of that. You know, one of my when my favorite customer examples eyes a company called Stage Coach, uh, European based transportation company. And they run a network of Busses and trains, etcetera, and they actually decided to use VM. Tosto run one of their most mission critical applications, which is involved with basically scheduling, scheduling those systems right in the people that they know, the bus drivers in the train conductors etcetera. And so if you think about that application right, its's a mission critical application for them. It's also one that they need to be able to iterate involved and improve very quickly, and they were able to take advantage of a number of fairly unique capabilities of the joint service we built together to make that possible. Um, you know, the first thing that they did is they took advantage of something called stretch clusters. The M we're cloud on AWS stretch clusters Where, uh, we basically take that VM Ware environment and we stretch it. We stretch the network across to aws availability zones in the same region, Onda. Then they could basically run their applications on top of that that environment. And this is a really powerful capability because it ensures the highest levels of s L. A. For that application for four nines. In this case, if anything happens, Thio fail in one of those, uh, Aziz, we can automatically fail over and restart the application in the second ese on DSO provides this high level of availability, but they're also able to take advantage of that without on day one. Talk about keeping it simple without on day one, requiring any changes to the application of myself because that application knew how to work in the sphere. And so you know that I work in the sphere in the cloud and it can fail over on the sphere in the cloud on dso they were able to get there quickly. They're able Thio enable that application and now they're taking the next step. Which is how do I enhance and make that application even better, you know, leveraging some of the VM or capabilities also looking to take advantage of some of the native AWS capabilities. So I think that sort of speed, um you know that simplicity that helps helps customers down that path to delivering more value to their employees and their customers. That and we're really excited that were ableto offer that your customers >>just love the philosophy that both companies work back from the customer customer driven kind of mentality certainly key here to this partnership, and you can see the performance. But I think one of the differentiations that I love is that join integration thing engineering that you guys were doing together. I think that's a super valuable, differentiated VM where Dave, this is a key part of the relationship. You know, when I talked to Pat Gelsinger and and again back three years ago and he had Raghu from VM, Ware was like, This is different engineering together. What's your perspective from the West side when someone says, Yeah. Is that Riel? You know, it is easy to really kind of tied in there and his Amazon really doing joint engineering. What do you say to that? >>Oh, absolutely. Yeah, it's very real. I mean, it's been an incredible, incredible journey together, Right? Right, Right from the start, we were trying to work out how to do this back in 2016. You know, we were using some very new technology back then that we hadn't honestly released yet. Uh, the nitrous system, right? We started working with family and the nitrous system back in late 2016, and we only launched our first nitrous system enabled instance that reinvent 2017. And so we were, you know, for a year having being a run on the nitrous system, internally making sure that, you know, we would support their application and that VM Ware ran well on BC around. Well, on aws on, that's been ongoing. And, you know, the other thing I really enjoy about the relationship is learning how to best support each other's customers on on AWS and being where, and Mark is talking about stretch clusters and are being whereas, you know, utilizing the availability zones. We've done other things in terms of optimizing placement with across, you know, physical reaction in data centers. You know, Mark and the team have put forward requirements around, you know, different instance types and how they should perform invest in the Beamer environment. We've taken that back into our instance type definition and what we've released there. So it happens in a very, very low level. And I think it's both teams working together frequently, lots of meetings and then, you know, pushing each other. You know, honestly. And I think for the best experience or at the end of the day, for our joint customers. So it's been a great relationship. >>It helps when both companies are very fluent technically and pushing the envelope with technology. Both cultures, I know personally, are very strong technically, but they also customer centric. Uhm, Mark, I gotta put you on the spot on this question because this comes up every year this year more than ever. Um, is the question around VM ware on A W S and VM ware in general, and it's more of a general industry theme. But I wanna ask you because I think it relates to the US Um vm ware cloud on aws. Um, the number one question we get is how can I automate my I t operations? Because it's kind of a no brainer. Now it's kind of the genes out of the bottle. That's a mandate. But it's not always easy. Easy as it sounds to dio, you still got a lot to dio. Automation gets you level set to take advantage of some of these higher level services, and all customers want to get there fast. Ai i o t a lot of goodness in the cloud that you kinda gotta get there through kinda automating the based up first. So how did how are your customers? How are you guys helping customers automate their infrastructure operations? >>Yeah, I mean, Askew articulated right? This is a huge demand. The requirement from our customer base, right? Uh, long gone are the days that you wanna manually go into a u I and click around here, click there to make things happen, right? And so, um, you know, obviously, in addition to the core benefit of hey, we're delivering this whole thing is a service, and you don't have to worry about the hardware, the software, the life cycle all of that, Um you know, at a higher level of the stack, we're doing a lot of work to basically expose a very rich set of AP eyes. We actually have enabled that through something called the VM, or Cloud Developer center, where you can go and customer could go and understand all of the a p i s that we make available to that they can use to build on top of to effectively automated orchestrate their entire VM or cloud on AWS based infrastructure. And so that's an area we've we've invested a lot in. And at the end of the day, you know we want Thio. Both enable our customers to take their existing automation tooling that they might have been using on their VM ware based environment in their own data center. Obviously, all of that should continue to work is they bring that into the emcee aws. Um but now, once we're in AWS and we're delivering, this is a service in AWS. There's actually a higher level of automation, um that we can enable, and so you know everything that you can do through the VM or cloud console. Um, you can do through a P. I s So we've exposed roughly a piece that allow you to add or remove instance capacity ap eyes that allow you to configure the network FBI's that allow you toe effectively. Um, automate all aspects of sort of how you want Thio configure and pull together that infrastructure. Onda. You know, as Dave said, a lot of this, you know, came from some of those early just customer discussions where that was a very, very clear expectations. So, you know, we've we've been working hard. Thio make that possible. >>So can customers integrate native Cloud native technologies from AWS into APS running on VM ware cloud on any of us? >>Yeah. I mean, I'll give you one example for so we you know, we've been able to support for cloud formation right on top of the M C. Mehta best. And so that's, you know, one way that you can leverage these 80 best tools on top of on top of the m. C at best. Um and you know, as we talked about before, uh, you know everything on the VM ware in the VM ware service. We're exposing through those AP eyes. And then, of course, everything it best does has been built that way from the start. And so customers can work. Um, you know, seamlessly across those two environments. >>Great stuff. Great update. Final question for both of you. Uh, Dave will start with you. What's the unique advantages? When you people watching? That's gonna say, OK, I get it. I see the momentum. I've now got a thing about post pandemic growth strategies. I gotta fund the projects, so I'm either gonna retool while I'm waiting for the world to open up. Two. I got a tail wind. This is good for my business. I'm gonna take advantage of this. How do they modernize our application? What? The unique things with VM Ware Cloud on AWS. What's unique? What would you say? I >>mean, I think the big thing for me eyes the consistency, um, the other way that were built This between the the sphere on prime environment and the the sphere that you get on aws with BMC on aws. Um you know, when I think about modernization and honestly, any project that I do, we do it Amazon I don't like projects that required enormous amount of planning and then tooling. And then, you know, you've this massive waterfall stock project before you do anything meaningful. And what's so great about what we built here is you can start that migration almost immediately, start bringing a few applications over. And when you do that, you can start saying, Okay, where do we want to make improvements? But just by moving over to aws NBN were on AWS, you start to reap the benefits of being in the child right from day one. Many of the things Mark called out about infrastructure management and that sort of thing. But then you get to modernize off to that as well. And so just the richness in terms of, you know, being where a tan xue and then the you know, I think it's more than 200 AWS services. Now you get to bring all that into your application stack, but at a time at a at a at a cadence or time that really matters to you. But you could get going immediately, and I think that's the thing that customers ready need to do if you find yourself in a situation you know, with just how much the world's changed in the last year. Looking Thio. Modernize your applications deck, Looking for the cost benefits. Looking to maybe get out of the data center. Um, it's a relatively easy both forward and just put in a couple of engineers a couple of technicians on to actually starting to do the process. I think you'll be very surprised at how much progress you can actually make in a short amount of time. >>Mark, you're in charge of the Cloud Services business unit at VM Ware CPM. Where cloud on AWS successful more to do a lot of action kubernetes cloud native automation and the list goes on and on. What are the most unique advantages that you guys have? What would you say? >>Yeah, I mean, I would maybe just build on Dave's comments a bit. I think you know, if you look at it through the customer lens three ability to reiterate and the ability to move quickly and not being forced into sort of a one size fits all model, right? And so there may be certain applications that they run into VM, and they want to run into VM forever. Great. We could enable that there might be other applications that they want to move from a VM into a container, remove into kubernetes and do that in a very seamless way. And we can enable that with, uh, with Tan Xue, right? By the way, they may wanna actually many applications. They're gonna require, uh, complex composite applications that have some aspects of it running in communities, other aspects running on VMS. You know, other aspects connecting to some native AWS services. And so, you know, we could enable those types of, you know, incremental value that's delivered very, very quickly that allows them at the end of the day to move, move fast on behalf of their own customers and deliver more about it to them. So I think this this sort of philosophy, right that Dave talked about I think is is one of the really important things we've tried to focus on, um, together. But, you know, on behalf of our joint customers and you know that that sort of capabilities just gets richer and richer. Overtime right. Both of us are continuing to innovate, and both of us will continue to think about how we bring those services together as we innovate in our respective areas and how they need to link together as part of this This intense solution. Um, so, uh, you know that I think that you're gonna see us continue to invest, continue to move quickly. Um, continue to respond to what our customers together are asking us. Thio enable for them. >>Well, really appreciate the insight. Thanks for coming on this cube virtual, um, segment. Um, virtualization has hit the cube where we have multiple virtual stages out there at reinvent on the site. Obviously, it's a virtual event over three weeks, so it's a little bit not four days or three days. It's three weeks. So, um, if you're watching this, check out the site. Tons of good V o D. The executive leaderships Check out the keynotes that air there. It's awesome. Big news. Of course. Check out the cube coverage, but I have one final final question is you guys are leaders in the industry and within your companies, and we're virtual this year. You gotta manage your teams. You still gotta go to work every day. You gotta operate your business is a swell as work with customers. What have you guys learned? And can you share any, um, advice or observations of how to be effective as a leader, a za manager, and as a customer interface point for your companies? >>Well, I I think, uh, let me go first, then Mark Mark and had some things, you know, I think we're moving to certainly in the last year, specifically with covert. You know, we've we've we've just passed out. I think we just passed out seven months off, being remote now on, obviously doing reinvent as well. Um, it zits certainly taken some adjusting. I think we've done relatively well, um, with, you know, going virtual. We were well prepared at Amazon to go virtual, but from a leadership point of view, you know, making sure that you have been some positives, right? So for one, I have I have teams all over the world, and, uh, being virtually actually helped a lot with that. You know, everybody is virtually all on the same stage. It's not like we have a group of us in Seattle and a few others scattered around the world. Everybody's on the same cold now. on that has the same you know, be able to listen to in the same way. But I better think a lot about sort of just my own time. Personally, in the time that my team spends, I think it's been very easy for us. Thio run a little too hot waken start a little too early and run a little too late in the evenings on DSO, making sure that we protect that time. And then, obviously, from a customer point of view, you know, we found that customers are very willing to engage virtually as well around the world s Oh, that's something we've been able to utilize very well to continue to have. You know what we call our executive briefing center and do those sorts of things customer meetings on in some ways. You know, without the plane trip on either side to the other side of the world, you're able to do more of those and stay even more in contact with your customers. So it's been it's been a lot of adjustment for us. I think we've done well. I think you know, a zay said. We've had a look at Are we keeping it balanced because I think it's very easy to get out of balance and just from a time point of view. But I think I'm sure it'll show. It'll change again as the world goes back to normal. But in many ways, I think we've learned a lot of valuable lessons that I hope in some cases don't go away. I think well will probably be more virtual going forward. So that's what a bit of from my side >>creating. Yeah. Confronting hot people run hard. You can, you know, miss misfire on that and burnout gonna stay, Stay tuned. Mark your thoughts. Is leader customers defeating employees? Customers? >>Yeah. I mean, in many ways, I would say similar experience. I think, uh, I mean, if you sort of think back, right, uh, it's in many ways amazing that within the course of literally a week, right, I think about some of the BMR experience we went from, uh, you know, 90 95% of our employees, at least in the US, working in an office right to immediately all working from home. And, uh, you know, I think having the technology is available to make that possible and really? For the most part, without skipping a beat. Um, it is pretty pretty amazing, right? Um and then, you know, I think from a productivity perspective, in many ways, you know, it z increased productivity. Right? Um, they have mentioned the ability engage customers much more easily you think about in the past, you would have taken a flight to Europe to maybe meet with, you know, 5 to 10 customers and spent an entire week. And now you can do that in, you know, in the morning, right? Um, and the way we sort of engaged our teams, I think in many ways, um, sort of online, uh, can create a very, very rich experience, right? In a way to bring people together across many locations in a much more seamless way than if maybe part of the team is there in the office. And some other part of the team is trying toe connect in through resume or something else. A little bit of a fragmented experience. But if everyone's on the same platform, regardless of where you are e think we've seen some benefits from that. >>It's interesting. You see virtualization. What that did to the servers created cloud, you know. Hey, Productivity. >>You also have to be careful. You don't run those servers too hot. You >>gotta have a cooling. You got the cooling Eso I You know, this is really an interesting, you know, social, uh, equation Global phenomenon of productivity Cloud. Combined with this notion of virtual changes, the workloads, the work flows, the workplace and the workforce, right, The future work. So I think, you know, we're watching this closely. I know you guys have both had great success from the pandemic with this new pressure on the cloud, because it's a new model, a new way to do things, So we'll keep watching it. Thanks for the insight. Thanks for coming on and and enjoy the rest of reinvent. >>Great. Thank >>you. Great to be here. >>Okay, this the cubes coverage. I'm John for your host of Cuban, remember? Go to the reinvent site. Three weeks of great virtual content over this month, Of course. Cube coverage for three weeks. Stay tuned off. All the analysis and a lot of great thought leadership in the industry commentary. Stay with us throughout the month. Thank you. Yeah,

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Welcome back, I'm still minimum and this is the Cubes coverage of VM World 2020 our 11th year doing the Cube. First year. We're doing it, of course, virtually globally. Happy to welcome back to the program. One of our Cube alumni, Shannon Champion, and she is the director of product marketing with Dell Technologies. Shannon, Nice to see you and thanks so much for joining us. >>Thanks for having me. Good to see you as well. >>Alright, So big thing, of course, at VM World, talking about building off of what was Project Pacific at last year's show? Talking about how kubernetes all the wonderful cloud native pieces go in. So let's let's talk about application modernization. Shannon, you know, with a theme I've talked about for a number of years, is you know, we need to modernize the platform, and then we can modernize the applications on top of those. So tell us what you're hearing from your customers and how Delon vm, where then, are bringing the solutions to help customers really along that journey. >>Yeah, I'd love Thio. It's fun stuff. So, um, enterprises are telling us that especially now more than ever, they're really looking for how they must digitally transform. And they need to do that so they can drive innovation and get a competitive advantage on one way. That they're able to do that is by finding ways to flexibly and rapidly move work loads to where they make sense, whether that's on premises or in the public cloud. And the new standard for doing this is becoming cloud native applications. There was a recent I. D. C. Future Escape that predicted that by 2025 2 3rd of enterprises will be prolific software producers with code being deployed on a daily basis, and over 90% of applications at that time will be delivered with cognitive approaches. So it's just kind of crazy to think, and what's really impressive to is that the sheer volume of applications that are anticipated to be produced with these cloud native approaches Ah, it's expected to be over 500 million new APS created with cognitive approaches by 2024 just kind of putting that into perspective 500 million. APS is the same number that's been created over the last 40 years. So it's a fun, fun trend to be part of. >>Yeah, it's really amazing. When I talked to customers, there's some It's like, Oh, let me show you how Maney APs I've done and created in the last 18 months. It was like, Great. How does that compare before? And they're like, we weren't creating APS. We were buying APS. We were buying software. We had outsourced some of those pieces. So you know that that that trend we've been talking about for a number of years is kind of everyone's a software company, Um, does not mean that, you know, we're getting rid of the old business models. But Shannon, there are challenges there either expanding and moving faster or, you know, making sure that I have the talent in house. So bring us inside. What if some of the big things that your customers are telling you, uh, maybe that's holding them back from unlocking that central? >>Yeah, totally. You hit on a couple of them, you know, we're definitely seeing a lot of interest in adoption of kubernetes and clearly VM Ware is leading the way with Changzhou. But we're also hearing that they're underestimating the challenges on how toe quote unquote get to kubernetes. Right? How do you stand up that full cloud native staff and particularly at scale Thio? How do you manage the ongoing operations and maintain that infrastructure? How do you support the various stakeholders? How do you bring I t operators and developers together? Eso There's really a wide range of challenges that, um businesses air facing. And the other thing is that you hit on, you know, they're going to be producing mawr and Mawr cloud native applications, but they still need to maintain legacy applications, many of which are driving business, critical applications and workloads. So they're going to need to look for solutions that help them manage both and allow them to re factor or retire those legacy ones at their own pace so they can maintain business continuity. >>Yeah, and of course, Shannon, we know as infrastructure people, our job was always toe, you know, give the environment to allow the applications to run in virtualization. For years, it was Well, I knew if I virtualized something, I could leave it there and it wasn't going to. It didn't have to worry about the underlying hardware changes. Help us understand How does kubernetes fit into this environment? Because, as I said that people don't want to even worry about it. And the infrastructure people now need to be able to change, expand and, you know, respond to the business so much faster than we might have in times past. >>Yeah, so from an infrastructure perspective, working with VM ware based on tons of really the essence of that is to bring I t operators and developers together. The infrastructure has a common set of management that, you know, each the developer and the I t operators can work in the language there most familiar with. And, you know, the communication of the translation all happens within Tan Xue so that they're more speaking the same, um, language when it comes Thio, you know, managing the infrastructure in particular with VM ware tansy on VX rail. We are delivering kind of a range of infrastructure options because we know people are still trying to figure out you know, where they are in their kubernetes readiness path. Some people have really developed mature capabilities in house for who were Netease for software defined networking. And for those customers, they still may want Thio. You know, use a reference architecture er and build on top of the ex rail for, you know, a custom cloud native specific application. What we're finding is more and more customers, though, don't have that level of kubernetes expertise, especially at scale. And so VM ware v sphere with Tan Xue on VX rail as well as via more cloud foundation on VX rail are ways Thio get a fast start on kubernetes with directly on these fair or kind of go with the full Monty of VM or Cloud Foundation on VX rail. >>Well, we're bringing up VX rail. Of course. The whole wave of h C I was How do we enable simplicity? We don't wanna have to think about these. We wanna, uh, just make it so that customers can just buy a solution. Of course. VX rail joint solution, you know, heavily partnership with VM ware. So, Shannon, there's a few options. VM has been moving very fast toe expand out that the into portfolio, uh, back at the beginning of the year when the sphere seven came out. You needed the BMR Cloud Foundation. Which, of course, what was an option for for for the VX rail. So help us understand you laid out a little bit some of those options there. But what should I know as Adele customer, Uh, you know what my options are? How the fault Kansas Wheat fits into it. >>Yeah, eso We like to call it kubernetes your way with the ex rail. So we have a range of options to fit your operational or kubernetes scale requirements or your level of expertise. So the three options, our first for customers that are looking for that tested, validated, multi configuration reference architectures er that will deliver platform as a service or containers is a service. We've got Tom to architecture for VX rail, which is a new name for what was known as pivot already architecture er and then for customers that may have minimum scaling requirements. They may have some of that expertise in house to manage at scale. The fastest path to get started with kubernetes is the new VM ware V sphere with Changzhou on VX rail. And then last I mentioned kind of that full highly automated turnkey on promises Cloud platform. That's the VM, or Cloud Foundation, on VX rail, which is also known as Dell Technologies Cloud Platform. And that option supports Tan Xue with software defined networking and security built in with that automated lifecycle management across the full stack. So there's really three paths to it from a reference architecture approach to a fast path on the actual clusters all the way to the full Deltek Cloud platform. And Dell Technologies is the first and only really offering this breath of tans. You infrastructure deployment options. Eso customers can really, uh, choose the best path for them. >>Yeah, So, Shannon, if if I If I think back to what we saw in the keynote, you know, VM Ware lays out there, they're hybrid and multi cloud solution. So of course they're they're public cloud the VM ware cloud on a W s. They have that solution. They have extended extended partnerships. Now, with azure uh, the the the offering with Oracle. Uh, that's coming, and I guess I could think to just think of the delta cloud on VX rail as just one of those other clouds in that hybrid and multi cloud solutions. Do I have that right? Same stack. Same management. If I'm if I'm living in that VM world world. >>Yeah. So the Deltek Cloud platform is an on premises hybrid cloud. So, you know, ah, lot of customers were looking to reduce complexity really quickly especially, you know, with some of the work from home initiatives that were sprung upon us and trying to pivot, um to respond to that. And, you know, the answer to solving some of that complexity is to jump into public cloud. What we found is a lot of customers actually are driving a hybrid cloud strategy and approach. And we know many customers sort of have that executive mandate. There's value in, um, driving that are on prem hybrid cloud approach. And that's what Dell Technologies Cloud platform is. So you get the consistent operations in the consistent infrastructure and more of the public cloud like consumption experience while having the infrastructure on Prem for security data locality. Other, um, you know, cost reasons like that. Eso That's really where VM or Cloud Foundation on VF Trail comes into play eso leveraging the VM ware technologies you have on Prem Hybrid cloud. It can connect all those public cloud providers that you talked about. So you have, you know, core to cloud on Dwan. Of the new capabilities that VM or Cloud Foundation, is announced support for is remote clusters. So that takes us kind of from cloud all the way toe edge because you now have the same VCF operational capabilities and operational efficiency with centralized management for remote locations. >>Wonderful. I'm glad you brought up the edge piece. Of course, you talk to the emerging space vm ware talking about ai talking about EJ, so help us understand. How much is it? The similar operational model? Is it even eyes that part of the VX rail family? What's the What's the state of the state in 2020 when it comes to how edge fits into that cloud core edge discussion that you just raised? >>Yeah, when you look at trends, especially for hyper converged edge and cloud native are kind of taking up a lot of the airwaves right now. Eso hyper converge is gonna play a big role in Theodore option of both cloud native Band Edge. And I think the intersection of those two comes into play with things like the remote cluster support for VM Ware Cloud Foundation on VX rail, where you can run cloud, you know, cloud native based modern applications with Tan Xue alongside traditional workloads at the edge, which traditionally have more stringent requirements. Less resource is maybe they need a more hardened environment, power and cooling, you know, um, constraints. So with VCF on VX rail, you have all the operational goodness that comes from the partnership in the levels of integration that we have with VM Ware. And customers can sort of realize that promise of full workload management mobility in a true hybrid cloud environment. >>Shannon I'm wondering what general feedback you're getting from your customers is as they look at a zoo, said these cloud native solutions. You know what's what's the big take away? Is this a continuation of the HD I wave that you've seen? Do they just pull this into their hybrid environments? Um, I'm wondering if you have any either any specific examples that you've been anonymized or just the general gestalt that you're getting from your customers. Is that how they're doing expanding, uh, into these, you know, new environments that kind of stretch them in different ways. >>Yeah, it's interesting because you know, there's there's customers that run the gamut when we look at those that are sort of the farther down their digital transformation journey. Those are the ones that were already planning for cloud native applications or had some in development. Uh, there's also some trends that we're seeing based on, you know, the the size of cluster deployments and the range of, you know, various configurations that are an indicator of those customers that are more modernized in terms of their approach to cloud native. And what we find from those customers, especially over the last six months, is that they're more prepared to respond to the unknown on bond. That was a big lesson for some of the other customers that you know, had new. The digital transformation was the way of the future, but hadn't yet sort of come up with a strategy on how to get there themselves were finding those customers are inhibiting their investments to areas that can help them be more ready for the unknown in the future. In Cloud native is top of that list. >>Absolutely. Shannon Day Volante showed a few times There's the people in the office, you know, with their white board doing everything. And there's the wrecking ball of covert 19. Kind of like Well, if you weren't ready and you weren't already down this path, you better move fast. Wonderful. All right, Shannon. So we know, uh, from past years, you know, VX rail. Usually it's all over the show. So in the digital world, what do you want to he takeaways. What are some of the key? You know, hands on demos, sessions that that people should check out. >>Thank you. Yeah. So hopefully your take away is that the X ray is a great infrastructure to support modern applications. First and foremost, we have, you know, a jointly engineered system built with VM ware, four VM ware environments to enhance fam. Where, and we do that with our the extra LHC I system software, which I didn't give a shout out to yet, which extends that native capabilities and really is the secret behind how we do seamless automated operational experience with the ex rail. And that's the case, whether it's traditional or modern applications. So that's my little commercial for VX rail at the show. Please tune into our VM World session on this topic. We also have hands on labs. We are launching a fun augmented reality game. Eso Please check that out on. We have a new Web page as well that you could get access to all the latest assets and guides that help you, you know, navigate your journey for cloud native. And that's at dell technologies dot com slash Hangzhou. >>Wonderful. Well, Shannon Champion, thanks so much. Great to see you again. And be short. Uh, we look forward to hearing more in the future. >>Thanks to >>stay with us. Lots more coverage from VM World 2020. I'm stew. Minimum is always thank you for watching the Cube.

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Hello and welcome back to the cubes. Virtual coverage of VM World 2020 Virtual I'm John for your host of the Cube, our 11th year covering V emeralds. Not in person. It's virtual. I'm with my coast, Dave. A lot, of course. Ah, guest has been on every year since the cubes existed. Sanjay Putin, who is now the chief operating officer for VM Ware Sanjay, Great to see you. It's our 11th years. Virtual. We're not in person. Usually high five are going around. But hey, virtual fist pump, >>virtual pissed bump to you, John and Dave, always a pleasure to talk to you. I give you more than a virtual pistol. Here's a virtual hug. >>Well, so >>great. Back at great. >>Great to have you on. First of all, a lot more people attending the emerald this year because it's virtual again, it doesn't have the face to face. It is a community and technical events, so people do value that face to face. Um, but it is virtually a ton of content, great guests. You guys have a great program here, Very customer centric. Kind of. The theme is, you know, unpredictable future eyes is really what it's all about. We've talked about covert you've been on before. What's going on in your perspective? What's the theme of your main talks? >>Ah, yeah. Thank you, John. It's always a pleasure to talk to you folks. We we felt as we thought, about how we could make this content dynamic. We always want to make it fresh. You know, a virtual show of this kind and program of this kind. We all are becoming experts at many Ted talks or ESPN. Whatever your favorite program is 60 minutes on becoming digital producers of content. So it has to be crisp, and everybody I think was doing this has found ways by which you reduce the content. You know, Pat and I would have normally given 90 minute keynotes on day one and then 90 minutes again on day two. So 180 minutes worth of content were reduced that now into something that is that entire 180 minutes in something that is but 60 minutes. You you get a chance to use as you've seen from the keynote an incredible, incredible, you know, packed array of both announcements from Pat myself. So we really thought about how we could organize this in a way where the content was clear, crisp and compelling. Thekla's piece of it needed also be concise, but then supplemented with hundreds of sessions that were as often as possible, made it a goal that if you're gonna do a break out session that has to be incorporate or lead with the customer, so you'll see not just that we have some incredible sea level speakers from customers that have featured in in our pattern, Mikey notes like John Donahoe, CEO of Nike or Lorry beer C I, a global sea of JPMorgan Chase partner Baba, who is CEO of Zuma Jensen Wang, who is CEO of video. Incredible people. Then we also had some luminaries. We're gonna be talking in our vision track people like in the annuity. I mean, one of the most powerful women the world many years ranked by Fortune magazine, chairman, CEO Pepsi or Bryan Stevenson, the person who start in just mercy. If you watch that movie, he's a really key fighter for social justice and criminal. You know, reform and jails and the incarceration systems. And Malala made an appearance. Do I asked her personally, I got to know her and her dad's and she spoke two years ago. I asked her toe making appearance with us. So it's a really, really exciting until we get to do some creative stuff in terms of digital content this year. >>So on the product side and the momentum side, you have great decisions you guys have made in the past. We covered that with Pat Gelsinger, but the business performance has been very strong with VM. Where, uh, props to you guys, Where does this all tie together for in your mind? Because you have the transformation going on in a highly accelerated rate. You know, cov were not in person, but Cove in 19 has proven, uh, customers that they have to move faster. It's a highly accelerated world, a lot. Lots changing. Multi cloud has been on the radar. You got security. All the things you guys are doing, you got the AI announcements that have been pumping. Thean video thing was pretty solid. That project Monterey. What does the customer walk away from this year and and with VM where? What is the main theme? What what's their call to action? What's what do they need to be doing? >>I think there's sort of three things we would encourage customers to really think about. Number one is, as they think about everything in infrastructure, serves APS as they think about their APS. We want them to really push the frontier of how they modernize their athletic applications. And we think that whole initiative off how you modernized applications driven by containers. You know, 20 years ago when I was a developer coming out of college C, C plus, plus Java and then emerge, these companies have worked on J two ee frameworks. Web Logic, Be Aware logic and IBM Web Street. It made the development off. Whatever is e commerce applications of portals? Whatever was in the late nineties, early two thousands much, much easier. That entire world has gotten even easier and much more Micro service based now with containers. We've been talking about kubernetes for a while, but now we've become the leading enterprise, contain a platform making some incredible investments, but we want to not just broaden this platform. We simplified. It is You've heard everything in the end. What works in threes, right? It's sort of like almost t shirt sizing small, medium, large. So we now have tens Ooh, in the standard. The advanced the enterprise editions with lots of packaging behind that. That makes it a very broad and deep platform. We also have a basic version of it. So in some sense it's sort of like an extra small. In addition to the small medium large so tends to and everything around at modernization, I think would be message number one number two alongside modernization. You're also thinking about migration of your workloads and the breadth and depth of, um, er Cloud Foundation now of being able to really solve, not just use cases, you are traditionally done, but also new ai use cases. Was the reason Jensen and us kind of partner that, and I mean what a great company and video has become. You know, the king maker of these ai driven applications? Why not run those AI applications on the best infrastructure on the planet? Remember, that's a coming together of both of our platforms to help customers. You know automotive banking fraud detection is a number of AI use cases that now get our best and we want it. And the same thing then applies to Project Monterey, which takes the B c f e m A Cloud Foundation proposition to smart Knicks on Dell, HP Lenovo are embracing the in video Intel's and Pen Sandoz in that smart make architectural, however, that so that entire world of multi cloud being operative Phobia Macleod Foundation on Prem and all of its extended use cases like AI or Smart Knicks or Edge, but then also into the AWS Azure, Google Multi Cloud world. We obviously had a preferred relationship with Amazon that's going incredibly well, but you also saw some announcements last week from, uh, Microsoft Azure about azure BMR solutions at their conference ignite. So we feel very good about the migration opportunity alongside of modernization on the third priority, gentlemen would be security. It's obviously a topic that I most recently taken uninterested in my day job is CEO of the company running the front office customer facing revenue functions by night job by Joe Coffin has been driving. The security strategy for the company has been incredibly enlightening to talk, to see SOS and drive this intrinsic security or zero trust from the network to end point and workload and cloud security. And we made some exciting announcements there around bringing together MAWR capabilities with NSX and Z scaler and a problem black and workload security. And of course, Lassiter wouldn't cover all of this. But I would say if I was a attendee of the conference those the three things I want them to take away what BMR is doing in the future of APS what you're doing, the future of a multi cloud world and how we're making security relevant for distributed workforce. >>I know David >>so much to talk about here, Sanjay. So, uh, talk about modern APS? That's one of the five franchise platforms VM Ware has a history of going from, you know, Challenger toe dominant player. You saw that with end user computing, and there's many, many other examples, so you are clearly one of the top, you know. Let's call it five or six platforms out there. We know what those are, uh, and but critical to that modern APS. Focus is developers, and I think it's fair to say that that's not your wheelhouse today, but you're making moves there. You agree that that is, that is a critical part of modern APS, and you update us on what you're doing for that community to really take a leadership position there. >>Yeah, no, I think it's a very good point, David. We way seek to constantly say humble and hungry. There's never any assumption from us that VM Ware is completely earned anyplace off rightful leadership until we get thousands, tens of thousands. You know, we have a half a million customers running on our virtualization sets of products that have made us successful for 20 years 70 million virtual machines. But we have toe earn that right and containers, and I think there will be probably 10 times as many containers is their virtual machines. So if it took us 20 years to not just become the leader in in virtual machines but have 70 million virtual machines, I don't think it will be 20 years before there's a billion containers and we seek to be the leader in that platform. Now, why, Why VM Where and why do you think we can win in their long term. What are we doing with developers Number one? We do think there is a container capability independent of virtual machine. And that's what you know, this entire world of what hefty on pivotal brought to us on. You know, many of the hundreds of customers that are using what was formerly pivotal and FDR now what's called Tan Xue have I mean the the case. Studies of what those customers are doing are absolutely incredible. When I listen to them, you take Dick's sporting goods. I mean, they are building curbside, pick up a lot of the world. Now the pandemic is doing e commerce and curbside pick up people are going to the store, That's all based on Tan Xue. We've had companies within this sort of world of pandemic working on contact, tracing app. Some of the diagnostic tools built without they were the lab services and on the 10 zoo platform banks. Large banks are increasingly standardizing on a lot of their consumer facing or wealth management type of applications, anything that they're building rapidly on this container platform. So it's incredible the use cases I'm hearing public sector. The U. S. Air Force was talking about how they've done this. Many of them are not public about how they're modernizing dams, and I tend to learn the best from these vertical use case studies. I mean, I spend a significant part of my life is you know, it s a P and increasingly I want to help the company become a lot more vertical. Use case in banking, public sector, telco manufacturing, CPG retail top four or five where we're seeing a lot of recurrence of these. The Tan Xue portfolio actually brings us closest to almost that s a P type of dialogue because we're having an apse dialogue in the in the speak of an industry as opposed to bits and bytes Notice I haven't talked at all about kubernetes or containers. I'm talking about the business problem being solved in a retailer or a bank or public sector or whatever have you now from a developer audience, which was the second part of your question? Dave, you know, we talked about this, I think a year or two ago. We have five million developers today that we've been able to, you know, as bringing these acquisitions earn some audience with about two or three million from from the spring community and two or three million from the economic community. So think of those five million people who don't know us because of two acquisitions we don't. Obviously spring was inside Vienna where went out of pivotal and then came back. So we really have spent a lot of time with that community. A few weeks ago, we had spring one. You guys are aware of that? That conference record number of attendees okay, Registered, I think of all 40 or 50,000, which is, you know, much bigger than the physical event. And then a substantial number of them attended live physical. So we saw a great momentum out of spring one, and we're really going to take care of that, That that community base of developers as they care about Java Manami also doing really, really well. But then I think the rial audience it now has to come from us becoming part of the conversation. That coupon at AWS re invent at ignite not just the world, I mean via world is not gonna be the only place where infrastructure and developers come to. We're gonna have to be at other events which are very prominent and then have a developer marketplace. So it's gonna be a multiyear effort. We're okay with that. To grow that group of about five million developers that we today Kate or two on then I think there will be three or four other companies that also play very prominently to developers AWS, Microsoft and Google. And if we're one among those three or four companies and remembers including that list, we feel very good about our ability to be in a place where this is a shared community, takes a village to approach and an appeal to those developers. I think there will be one of those four companies that's doing this for many years to >>come. Santa, I got to get your take on. I love your reference to the Web days and how the development environment change and how the simplicity came along very relevant to how we're seeing this digital transformation. But I want to get your thoughts on how you guys were doing pre and now during and Post Cove it. You already had a complicated thing coming on. You had multi cloud. You guys were expanding your into end you had acquisitions, you mentioned a few of them. And then cove it hit. Okay, so now you have Everything is changing you got. He's got more complex city. You have more solutions, and then the customer psychology is change. You got to spectrums of customers, people trying to save their business because it's changed, their customer behavior has changed. And you have other customers that are doubling down because they have a tailwind from Cove it, whether it's a modern app, you know, coming like Zoom and others are doing well because of the environment. So you got your customers air in this in this in this, in this storm, you know, they're trying to save down, modernized or or or go faster. How are you guys changing? Because it's impacted how you sell. People are selling differently, how you implement and how you support customers, because you already had kind of the whole multi cloud going on with the modern APS. I get that, but Cove, it has changed things. How are you guys adopting and changing to meet the customer needs who are just trying to save their business on re factor or double down and continue >>John. Great question. I think I also talked about some of this in one of your previous digital events that you and I talked about. I mean, you go back to the last week of February 1st week of March, actually back up, even in January, my last trip on a plane. Ah, major trip outside this country was the World Economic Forum in Davos. And, you know, there were thousands of us packed into the small digits in Switzerland. I was sitting having dinner with Andy Jassy in a restaurant one night that day. Little did we know. A month later, everything would change on DWhite. We began to do in late February. Early March was first. Take care of employees. You always wanna have the pulse, check employees and be in touch with them. Because the health and safety of employees is much more important than the profits of, um, where you know. So we took care of that. Make sure that folks were taking care of older parents were in good place. We fortunately not lost anyone to death. Covert. We had some covert cases, but they've recovered on. This is an incredible pandemic that connects all of us in the human fabric. It has no separation off skin color or ethnicity or gender, a little bit of difference in people who are older, who might be more affected or prone to it. But we just have to, and it's taught me to be a significantly more empathetic. I began to do certain things that I didn't do before, but I felt was the right thing to do. For example, I've begun to do 25 30 minute calls with every one of my key countries. You know, as I know you, I run customer operations, all of the go to market field teams reporting to me on. I felt it was important for me to be showing up, not just in the big company meetings. We do that and big town halls where you know, some fractions. 30,000 people of VM ware attend, but, you know, go on, do a town hall for everybody in a virtual zoom session in Japan. But in their time zone. So 10 o'clock my time in the night, uh, then do one in China and Australia kind of almost travel around the world virtually, and it's not long calls 25 30 minutes, where 1st 10 or 15 minutes I'm sharing with them what I'm seeing across other countries, the world encouraging them to focus on a few priorities, which I'll talk about in a second and then listening to them for 10 15 minutes and be, uh and then the call on time or maybe even a little earlier, because every one of us is going to resume button going from call to call the call. We're tired of T. There's also mental, you know, fatigue that we've gotta worry about. Mental well, being long term. So that's one that I personally began to change. I began to also get energy because in the past, you know, I would travel to Europe or Asia. You know, 40 50%. My life has travel. It takes a day out of your life on either end, your jet lag. And then even when you get to a Tokyo or Beijing or to Bangalore or the London, getting between sites of these customers is like a 45 minute, sometimes in our commute. Now I'm able to do many of these 25 30 minute call, so I set myself a goal to talk to 1000 chief security officers. I know a lot of CEOs and CFOs from my times at S A P and VM ware, but I didn't know many security officers who often either work for a CEO or report directly to the legal counsel on accountable to the audit committee of the board. And I got a list of these 1,002,000 people we called email them. Man, I gotta tell you, people willing to talk to me just coming, you know, into this I'm about 500 into that. And it was role modeling to my teams that the top of the company is willing to spend as much time as possible. And I have probably gotten a lot more productive in customer conversations now than ever before. And then the final piece of your question, which is what do we tell the customer in terms about portfolio? So these were just more the practices that I was able to adapt during this time that have given me energy on dial, kind of get scared of two things from the portfolio perspective. I think we began to don't notice two things. One is Theo entire move of migration and modernization around the cloud. I describe that as you know, for example, moving to Amazon is a migration opportunity to azure modernization. Is that whole Tan Xue Eminem? Migration of modernization is highly relevant right now. In fact, taking more speed data center spending might be on hold on freeze as people kind of holding till depend, emmick or the GDP recovers. But migration of modernization is accelerating, so we wanna accelerate that part of our portfolio. One of the products we have a cloud on Amazon or Cloud Health or Tan Xue and maybe the other offerings for the other public dog. The second part about portfolio that we're seeing acceleration around is distributed workforce security work from home work from anywhere. And that's that combination off workspace, one for both endpoint management, virtual desktops, common black envelope loud and the announcements we've now made with Z scaler for, uh, distributed work for security or what the analysts called secure access. So message. That's beautiful because everyone working from home, even if they come back to the office, needs a very different model of security and were now becoming a leader in that area. of security. So these two parts of the portfolio you take the five franchise pillars and put them into these two buckets. We began to see momentum. And the final thing, I would say, Guys, just on a soft note. You know, I've had to just think about ways in which I balance work and family. It's just really easy. You know what, 67 months into this pandemic to burn out? Ah, now I've encouraged my team. We've got to think about this as a marathon, not a sprint. Do the personal things that you wanna do that will make your life better through this pandemic. That in practice is that you keep after it. I'll give you one example. I began biking with my kids and during the summer months were able to bike later. Even now in the fall, we're able to do that often, and I hope that's a practice I'm able to do much more often, even after the pandemic. So develop some activities with your family or with the people that you love the most that are seeing you a lot more and hopefully enjoying that time with them that you will keep even after this pandemic ends. >>So, Sanjay, I love that you're spending all this time with CSOs. I mean, I have a Well, maybe not not 1000 but dozens. And they're such smart people. They're really, you know, in the thick of things you mentioned, you know, your partnership with the scale ahead. Scott Stricklin on who is the C. C so of Wyndham? He was talking about the security club. But since the pandemic, there's really three waves. There's the cloud security, the identity, access management and endpoint security. And one of the things that CSOs will tell you is the lack of talent is their biggest challenge. And they're drowning in all these products. And so how should we think about your approach to security and potentially simplifying their lives? >>Yeah. You know, Dave, we talked about this, I think last year, maybe the year before, and what we were trying to do in security was really simplified because the security industry is like 5000 vendors, and it's like, you know, going to a doctor and she tells you to stay healthy. You gotta have 5000 tablets. You just cannot eat that many tablets you take you days, weeks, maybe a month to eat that many tablets. So ah, grand simplification has to happen where that health becomes part of your diet. You eat your proteins and vegetables, you drink your water, do your exercise. And the analogy and security is we cannot deploy dozens of agents and hundreds of alerts and many, many consoles. Uh, infrastructure players like us that have control points. We have 70 million virtual machines. We have 75 million virtual switches. We have, you know, tens of million's off workspace, one of carbon black endpoints that we manage and secure its incumbent enough to take security and making a lot more part of the infrastructure. Reduce the need for dozens and dozens of point tools. And with that comes a grand simplification of both the labor involved in learning all these tools. Andi, eventually also the cost of ownership off those particular tool. So that's one other thing we're seeking to do is increasingly be apart off that education off security professionals were both investing in ah, lot of off, you know, kind of threat protection research on many of our folks you know who are in a threat. Behavioral analytics, you know, kind of thread research. And people have come out of deep hacking experience with the government and others give back to the community and teaching classes. Um, in universities, there are a couple of non profits that are really investing in security, transfer education off CSOs and their teams were contributing to that from the standpoint off the ways in which we can give back both in time talent and also a treasure. So I think is we think about this. You're going to see us making this a long term play. We have a billion dollar security business today. There's not many companies that have, you know, a billion dollar plus of security is probably just two or three, and some of them have hit a wall in terms of their progress sport. We want to be one of the leaders in cybersecurity, and we think we need to do this both in building great product satisfying customers. But then also investing in the learning, the training enable remember, one of the things of B M worlds bright is thes hands on labs and all the training enable that happened at this event. So we will use both our platform. We in world in a variety of about the virtual environments to ensure that we get the best education of security to professional. >>So >>that's gonna be exciting, Because if you look at some of the evaluations of some of the pure plays I mean, you're a cloud security business growing a triple digits and, you know, you see some of these guys with, you know, $30 billion valuations, But I wanted to ask you about the market, E v m. Where used to be so simple Right now, you guys have expanded your tam dramatically. How are you thinking about, you know, the market opportunity? You've got your five franchise platforms. I know you're very disciplined about identifying markets, and then, you know, saying, Okay, now we're gonna go compete. But how do you look at the market and the market data? Give us the update there. >>Yeah, I think. Dave, listen, you know, I like davinci statement. You know, simplicity is the greatest form of sophistication, and I think you've touched on something that which is cos we get bigger. You know, I've had the great privilege of working for two great companies. s a P and B M where the bulk of my last 15 plus years And if something I've learned, you know, it's very easy. Both companies was to throw these TLS three letter acronyms, okay? And I use an acronym and describing the three letter acronyms like er or s ex. I mean, they're all acronyms and a new employee who comes to this company. You know, Carol Property, for example. We just hired her from Google. Is our CMO her first comments like, My goodness, there is a lot of off acronyms here. I've gotta you need a glossary? I had the same reaction when I joined B. M or seven years ago and had the same reaction when I joined the S A. P 15 years ago. Now, of course, two or three years into it, you learn everything and it becomes part of your speed. We have toe constantly. It's like an accordion like you expanded by making it mawr of luminous and deep. But as you do that it gets complex, you then have to simplify it. And that's the job of all of us leaders and I this year, just exemplifying that I don't have it perfect. One of the gifts I do have this communication being able to simplify things. I recorded a five minute video off our five franchise pill. It's just so that the casual person didn't know VM where it could understand on. Then, when I'm on your shore and when on with Jim Cramer and CNBC, I try to simplify, simplify, simplify, simplify because the more you can talk and analogies and pictures, the more the casual user. I mean, of course, and some other audiences. I'm talking to investors. Get it on. Then, Of course, as you go deeper, it should be like progressive layers or feeling of an onion. You can get deeper. It's not like the entire discussion with Sanjay Putin on my team is like, you know, empty suit. It's a superficial discussion. We could go deeper, but you don't have to begin the discussion in the bowels off that, and that's really what we don't do. And then the other part of your question was, how do we think about new markets? You know, we always start with Listen, you sort of core in contact our borough come sort of Jeffrey Moore, Andi in the Jeffrey more context. You think about things that you do really well and then ask yourself outside of that what the Jason sees that are closest to you, that your customers are asking you to advance into on that, either organically to partnerships or through acquisitions. I think John and I talked about in the previous dialogue about the framework of build partner and by, and we always think about it in that order. Where do we advance and any of the moves we've made six years ago, seven years ago and I joined the I felt VM are needed to make a move into mobile to really cement opposition in end user computing. And it took me some time to convince my peers and then the board that we should by Air One, which at that time was the biggest acquisition we've ever done. Okay. Similarly, I'm sure prior to me about Joe Tucci, Pat Nelson. We're thinking about nice here, and I'm moving to networking. Those were too big, inorganic moves. +78 years of Raghu was very involved in that. The decisions we moved to the make the move in the public cloud myself. Rgu pack very involved in the decision. Their toe partner with Amazon, the change and divest be cloud air and then invested in organic effort around what's become the Claudia. That's an organic effort that was an acquisition fast forward to last year. It took me a while to really Are you internally convinced people and then make the move off the second biggest acquisition we made in carbon black and endpoint security cement the security story that we're talking about? Rgu did a similar piece of good work around ad monetization to justify that pivotal needed to come back in. So but you could see all these pieces being adjacent to the core, right? And then you ask yourself, Is that context meaning we could leave it to a partner like you don't see us get into the hardware game we're partnering with. Obviously, the players like Dell and HP, Lenovo and the smart Knick players like Intel in video. In Pensando, you see that as part of the Project Monterey announcement. But the adjacent seas, for example, last year into app modernization up the stack and into security, which I'd say Maura's adjacent horizontal to us. We're now made a lot more logical. And as we then convince ourselves that we could do it, convince our board, make the move, We then have to go and tell our customers. Right? And this entire effort of talking to CSOs What am I doing is doing the same thing that I did to my board last year, simplified to 15 minutes and get thousands of them to understand it. Received feedback, improve it, invest further. And actually, some of the moves were now making this year around our partnership in distributed Workforce Security and Cloud Security and Z scaler. What we're announcing an XDR and Security Analytics. All of the big announcements of security of this conference came from what we heard last year between the last 12 months of my last year. Well, you know, keynote around security, and now, and I predict next year it'll be even further. That's how you advance the puck every year. >>Sanjay, I want to get your thoughts. So now we have a couple minutes left. But we did pull the audience and the community to get some questions for you, since it's virtually wanted to get some representation there. So I got three questions for you. First question, what comes after Cloud and number two is VM Ware security company. And three. What company had you wish you had acquired? >>Oh, my goodness. Okay, the third one eyes gonna be the turkey is one, I think. Listen, because I'm gonna give you my personal opinion, and some of it was probably predates me, so I could probably safely So do that. And maybe put the blame on Joe Tucci or somebody else is no longer here. But let me kind of give you the first two. What comes after cloud? I think clouds gonna be with us for a long time. First off this multi cloud world, you just look at the moment, um, that AWS and azure and the other clouds all have. It's incredible on I think this that multi cloud from phenomenon. But if there's an adapt ation of it, it's gonna be three forms of cloud. People are really only focus today in private public cloud. You have to remember the edge and Telco Cloud and this pendulum off the right balance of workloads between the data center called it a private cloud. The public cloud on one end and the telco edge on the other end. I think we're in a really good position for workloads to really swing between all three of those locations. Three other part that I think comes as a sequel to Cloud is cloud native. All of the capabilities a serverless functions but also containers that you know. Obviously the one could think of that a sister topics to cloud but the entire world of containers. The other seat, uh, then cloud a cloud native will also be topics, but these were all fairly connected. That's how I'd answer the first question. A security company? Absolutely. We you know, we aspire to be one of the leading companies in cyber security. I don't think they will be only one. We have to show this by the wealth on breath of our customers. The revenue momentum we have Gartner ranking us or the analysts ranking us in top rights of magic quadrants being viewed as an innovator simplifying the stack. But listen, we weren't even on the radar. We weren't speaking of the security conferences years ago. Now we are. We have a billion dollar security business, 20,000 plus customers, really strong presences and network endpoint and workload and Cloud Security. The three Coppola's a lot more coming in Security analytics, Cloud Security distributed workforce Security. So we're here to stay. And if anything, BMR persist through this, we're planning for multi your five or 10 year timeframe. And in that course I mean, the competition is smaller. Companies that don't have the breadth and depth of the n words are Andy muscle and are going market. We just have to keep building great products and serving customer on the third man. There's so many. But I mean, I think Listen, when I was looking back, I always wondered this is before I joined so I could say the summit speculatively on. Don't you know, make this This is BMR. Sorry. This is Sanjay one's opinion. Not VM. I gotta make very, very clear. Well, listen, I would have if I was at BMO in 2012 or 2013. I would love to about service now then service. It was a great company. I don't even know maybe the company's talk, but then talk about a very successful company at that time now. Maybe their priorities were different. I wasn't at the company at the time, but I can speculate if that had happened, that would have been an interesting Now I think that was during the time of Paul Maritz here and and so on. So for them, maybe there were other priorities the company need to get done. But at that time, of course, today s so it's not as big of a even slightly bigger market cap than us. So that's not happening. But that's a great example of a good company that I think would have at that time fit very well with VM Ware. And then there's probably we don't look back and regret we move forward. I mean, I think about the acquisitions we have made the big ones. Okay, Nice era air watch pop in black. Pivotal. The big moves we've made in terms of partnership. Amazon. What? We're announcing this This, you know, this week within video and Z scaler. So you never look back and regret. You always look for >>follow up on that To follow up on that from a developer, entrepreneurial or partner Perspective. Can you share where the white spaces for people to innovate around vm Where where where can people partner and play. Whether I'm an entrepreneur in a garage or venture back, funded or say a partner pivoting and or resetting with Govind, where's the white spaces with them? >>I think that, you know, there's gonna be a number off places where the Tan Xue platform develops, as it kind of makes it relevant to developers. I mean, there's, I think the first way we think about this is to make ourselves relevant toe all of that ecosystem around the C I. C. D type apply platform. They're really good partners of ours. They're like, get lab, You know, all of the ways in which open source communities, you know will play alongside that Hash E Corp. Jay frog there number of these companies that are partnering with us and we're excited about all of their relevancy to tend to, and it's our job to go and make that marketplace better and better. You're going to hear more about that coming up from us on. Then there's the set of data companies, you know, con fluent. You know, of course, you've seen a big I p o of a snowflake. All of those data companies, we'll need a very natural synergy. If you think about the old days of middleware, middleware is always sort of separate from the database. I think that's starting to kind of coalesce. And Data and analytics placed on top of the modern day middleware, which is containers I think it's gonna be now does VM or play physically is a data company. We don't know today we're gonna partner very heavily. But picking the right set of partners been fluent is a good example of one on. There's many of the next generation database companies that you're going to see us partner with that will become part of that marketplace influence. And I think, as you see us certainly produce out the VM Ware marketplace for developers. I think this is gonna be a game changing opportunity for us to really take those five million developers and work with the leading companies. You know, I use the example of get Lab is an example get help there. Others that appeal to developers tie them into our developer framework. The one thing you learn about developers, you can't have a mindset. With that, you all come to just us. It's a very mingled village off multiple ecosystems and Venn diagrams that are coalescing. If you try to take over the world, the developer community just basically shuns you. You have to have a very vibrant way in which you are mingling, which is why I described. It's like, Listen, we want our developers to come to our conferences and reinvent and ignite and get the best experience of all those provide tools that coincide with everybody. You have to take a holistic view of this on if you do that over many years, just like the security topic. This is a multi year pursuit for us to be relevant. Developers. We feel good about the future being bright. >>David got five minutes e. >>I thought you were gonna say Zoom, Sanjay, that was That was my wildcard. >>Well, listen, you know, I think it was more recently and very fast catapult Thio success, and I don't know that that's clearly in the complete, you know, sweet spot of the anywhere. I mean, you know, unified collaboration would have probably put us in much more competition with teams and, well, back someone you always have to think about what's in the in the bailiwick of what's closest to us, but zooms a great partner. Uh, I mean, obviously you love to acquire anybody that's hot, but Eric's doing really well. I mean, Erica, I'm sure he had many people try to come to buy him. I'm just so proud of him as a friend of all that he was named to Time magazine Top 100. But what he's done is phenomenon. I think he could build a company that's just his important, his Facebook. So, you know, I encourage him. Don't sell, keep building the company and you'll build a company that's going to be, you know, the enterprise version of Facebook. And I think that's a tremendous opportunity to do this better than anybody else is doing. And you know, I'm as an immigrant. He's, you know, China. Born now American, I'm Indian born, American, assim immigrants. We both have a similar story. I learned a lot from him. I learned a lot from him, from on speed on speed and how to move fast, he tells me he learns a thing to do for me on scale. We teach each other. It's a beautiful friendship. >>We'll make sure you put in a good word for the Kiwi. One more zoom integration >>for a final word or the zoom that is the future Facebook of the enterprise. Whatever, Sanjay, Thank >>you for connecting with us. Virtually. It is a digital foundation. It is an unpredictable world. Um, it's gonna change. It could be software to find the operating models or changing you guys. We're changing how you serve customers with new chief up commercial customer officer you have in place, which is a new hire. Congratulations. And you guys were flexing with the market and you got a tailwind. So congratulations, >>John and Dave. Always a pleasure. We couldn't do this without the partnership. Also with you. Congratulations of Successful Cube. And in its new digital format, Thank you for being with us With VM world here on. Do you know all that you're doing to get the story out? The guests that you have on the show, they look forward, including the nonviable people like, Hey, can I get on the Cuban like, Absolutely. Because they look at your platform is away. I'm telling this story. Thanks for all you're doing. I wish you health and safety. >>I'm gonna bring more community. And Dave is, you know, and Sanjay, and it's easier without the travel. Get more interviews, tell more stories and tell the most important stories. And thank you for telling your story and VM World story here of the emerald 2020. Sanjay Poon in the chief operating officer here on the Cube I'm John for a day Volonte. Thanks for watching Cube Virtual. Thanks for watching.

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Welcome back, I'm still minimum and this is the Cubes coverage of VM World 2020 our 11th year doing the Cube. First year. We're doing it, of course, virtually globally. Happy to welcome back to the program. One of our Cube alumni, Shannon Champion, and she is the director of product marketing with Dell Technologies. Cannon. Nice to see you and thanks so much for joining us. >>Thanks for having me. Good to see you as well. >>Alright, So big thing, of course, at VM World, talking about building off of what was Project Pacific at last year's show? Talking about how kubernetes all the wonderful cloud native pieces go in. So let's let's talk about application modernization. Shannon, you know, with a theme I've talked about for a number of years, is you know, we need to modernize the platform, and then we can modernize the applications on top of those. So tell us what you're hearing from your customers and how Delon Vm Ware then are bringing the solutions to help customers really along that journey. >>Yeah, I'd love Thio. It's fun stuff. So, um, enterprises are telling us that especially now more than ever, they're really looking for how they must digitally transform. And they need to do that so they can drive innovation and get a competitive advantage on one way. That they're able to do that is by finding ways to flexibly and rapidly move work loads to where they make sense, whether that's on premises or in the public cloud. And the new standard for doing this is becoming cloud native applications. There was a recent I. D. C. Future Escape that predicted that by 2025 2 3rd of enterprises will be prolific software producers with code being deployed on a daily basis, and over 90% of applications at that time will be delivered with cognitive approaches. So it's just kind of crazy to think, and what's really impressive to is that the sheer volume of applications that are anticipated to be produced with these cloud native approaches Ah, it's expected to be over 500 million new APS created with club approaches by 2024 just kind of putting that into perspective 500 million. APS is the same number that's been created over the last 40 years. So it's a fun, fun trend to be part of. >>Yeah, it's really amazing. When I talked to customers, there's some It's like, Oh, let me show you how Maney APs I've done and created in the last 18 months. It was like, Great. How does that compare before? And they're like, we weren't creating APS. We were buying APS. We were buying software. We have outsourced some of those pieces. So you know that that that trend we've been talking about for a number of years is kind of everyone's a software company, Um, does not mean that, you know, we're getting rid of the old business models. But Shannon, there are challenges there either expanding and moving faster or, you know, making sure that I have the talent in house. So bring us inside. What if some of the big things that your customers were telling you, maybe that's holding them back from unlocking that potential? >>Yeah, totally. You hit on a couple of them, you know, we're definitely seeing a lot of interest in adoption of kubernetes and clearly vm Ware is leading the way with Changzhou. But we're also hearing that they're underestimating the challenges on how toe quote unquote get to kubernetes. Right? How do you stand up that full cloud native staff and particularly at scale Thio? How do you manage the ongoing operations and maintain that infrastructure? How do you support the various stakeholders? How do you bring I t operators and developers together? Eso There's really a wide range of challenges that, um businesses air facing. And the other thing is that you hit on, you know, they're gonna be producing Mawr and Mawr cloud native applications, but they still need to maintain legacy applications, many of which are driving business critical applications and workloads. So they're going to need to look for solutions that help them manage both and allow them to re factor or retire those legacy ones at their own pace so they can maintain business continuity. >>Yeah, and of course, Shannon, we know as infrastructure people, our job was always toe, you know, give the environment to allow the applications to run in virtualization. For years, it was Well, I knew if I virtualized something, I could leave it there, and it wasn't going to it didn't have to worry about the underlying hardware changes. Help us understand How does kubernetes fit into this environment? Because, as I said that people don't want to even worry about it. And the infrastructure people now need to be able to change, expand and, you know, respond to the business so much faster than we might have in times past. >>Yeah, So from an infrastructure perspective, working with VM ware based on tons of really the essence of that is to bring I t operators and developers together. The infrastructure has a common set of management that, you know, each the developer and the I t operators can work in the language there most familiar with. And, you know, the communication of the translation all happens within Tan Xue so that they're more speaking the same, um, language when it comes Thio, you know, managing the infrastructure in particular with VM ware tansy on VX rail. We are delivering kind of a range of infrastructure options because we know people are still trying to figure out you know, where they are in their kubernetes readiness. Have, um, some people have really developed mature capabilities in house for who were Netease for software defined networking. And for those customers, they still may want Thio. You know, use a reference architecture er and build on top of the ex rail for, you know, a custom cloud native specific application. What we're finding is more and more customers, though, don't have that level of kubernetes expertise, especially at scale. And so VM ware v sphere with Tan Xue on VX rail as well as via more cloud foundation on VX rail are ways Thio get a fast start on kubernetes with directly on these fair or kind of go with the full Monty of B M or Cloud Foundation on BX rail. >>Well, we're bringing up VX rail. Of course. The whole wave of h C I was How do we enable simplicity? We don't wanna have to think about these. We wanna, uh, just make it so that customers can just buy a solution. Of course. VX rail joint solution, you know, heavily partnership with VM ware. So, Shannon, there's a few options. VM has been moving very fast. Expand out that the into portfolio, uh, back at the beginning of the year when the Sphere seven came out. You needed the BMR Cloud Foundation. Which, of course, what was an option for for for the VX rail. So help us understand you laid out a little bit some of those options there. But what should I know as Adele customer, Uh, you know what my options are? How the fault hands a sweet fits into it. >>Yeah, eso we like to call it kubernetes your way with the ex rail. So we have a range of options to fit your operational or kubernetes scale requirements or your level of expertise. So the three options, our first for customers that are looking for that tested, validated multi configuration reference architectures er that will deliver platform as a service or containers is a service. We've got tons of architecture for VX rail, which is a new name for what was known as pivot already architecture er and then for customers that may have minimum scaling requirements, they may have some of that expertise in house to manage at scale. The fastest path to get started with kubernetes is the new VM ware V sphere with Changzhou on VX rail. And then last I mentioned kind of that full highly automated turnkey on promises. Cloud platform. That's the VM, or Cloud Foundation, on VX rail, which is also known as Dell Technologies Cloud Platform. And that option supports Tan Xue with software defined networking and security built in with that automated lifecycle management across the full stack. So there's really three paths to it, from a reference architecture approach to a fast path on the actual clusters all the way to the full Deltek Cloud platform. And Dell Technologies is the first and only really offering this breath of Tanya infrastructure deployment options. Eso customers can really choose the best path for them. >>Yeah, so, Shannon, if if I If I think back to what we saw in the keynote, you know, VM Ware lays out there, they're hybrid and multi cloud solution. So of course they're they're public cloud the VM ware cloud on a W s. They have that solution. They have extended extended partnerships. Now, with azure uh, the the the offering with Oracle that's coming. And I guess I could think to just think of the Delta cloud on VX rail as just one of those other clouds in that hybrid and multi cloud solutions do I have that right? Same stack. Same management. If I'm if I'm living in that VM world world. >>Yeah. So the Deltek Cloud platform is an on premises hybrid cloud. So, you know, ah, lot of customers were looking to reduce complexity really quickly especially, you know, with some of the work from home initiatives that were sprung upon us and trying to pivot to respond to that. And, um, you know the answer toe solving some of that complexity is to jump into public cloud. What we found is a lot of customers actually are driving a hybrid cloud strategy and approach. And we know many customers sort of have that executive mandate. There's value in, um, driving that, um on Prem hybrid cloud approach. And that's what Dell Technologies Cloud platform is. So you get the consistent operations in the consistent infrastructure and more of the public cloud like consumption experience while having the infrastructure on Prem for security data locality There, um, you know, cost reasons like that eso That's really where VM or Cloud Foundation on VF drill comes into play eso leveraging the VM ware technologies you have on Prem hybrid cloud. It can connect all those public cloud providers that you talked about. So you have, you know, core to cloud on day one of the new capabilities that VM or Cloud Foundation is announced support for is remote clusters. So that takes us kind of from cloud all the way toe edge because you now have the same VCF operational capabilities and operational efficiency with centralized management for remote locations. >>Wonderful. I'm glad you brought up the edge piece. Of course, you talk to the emerging space vm ware talking about ai talking about EJ. So help us understand. How much is it? The similar operational model is it even? Is that part of the VX rail family? What's the What's the state of the state in 2020 when it comes to how edge fits into that cloud core edge discussion that you just, uh, raised? >>Yeah. When you look at trends, especially for hyper converged edge and cloud native are kind of taking up a lot of the airwaves right now. Eso hyper converge is gonna play a big role in Theodore option of both cloud native Band Edge. And I think the intersection of those two comes into play with things like the remote cluster support for VM or Cloud Foundation on VX rail where you can run cloud, you know, cloud native based modern applications with thons Ooh, alongside traditional workloads at the edge, which traditionally have more stringent requirements. Less resource is maybe they need a more hardened environment, power and cooling, you know, um, constraints. So with VCF on Vieques, well, you have all the operational goodness that comes from the partnership in the levels of integration that we have with VM Ware. And customers can sort of realize that promise of full workload management mobility in a true hybrid cloud environment. >>Shannon, when I'm wondering what general feedback you're getting from your customers is as they look at a zoo, said these cloud native solutions and you know what's what's the big take away? Is this a continuation of the HD I wave that you've seen? Do they just pull this into their hybrid environments? Um, I'm wondering if you have any either any specific examples that you've been anonymized or just the general gestalt that you're getting from your customers. Is that how they're doing expanding, uh, into these, you know, new environments that kind of stretch them in different ways. >>Yeah, it's interesting because you know, there's there's customers that run the gamut when we look at those that are sort of the farther down their digital transformation journey. Those are the ones that were already planning for cloud native applications or had some in development. Uh, there's also some trends that we're seeing based on, you know, the the size of cluster deployments and the range of, you know, various configurations that are an indicator of those customers that are more modernized in terms of their approach to cloud native. And what we find from those customers, especially over the last six months, is that they're more prepared to respond to the unknown on bond. That was a big lesson for some of the other customers that you know, had new. The digital transformation was the way of the future, but hadn't yet sort of come up with a strategy on how to get there themselves were finding those customers are inhibiting their investments to areas that can help them be more ready for the unknown in the future. In Cloud Native is top of that list. >>Absolutely Shannon Day Volante shown a few times. There's the people in the office, you know, with their white board doing everything. And there's the wrecking ball of covert 19. Kind of like Well, if you weren't ready and you weren't already down this path, you better move fast. Wonderful. All right, Shannon. So we know, uh, from past years, you know, VX rail. Usually it's all over the show. So in the digital world, what do you want? He takeaways. What are some of the key? You know, hands on demos, sessions that that people should check out. >>Thank you. Yeah. So hopefully your take away is that the exhale is a great infrastructure to support modern applications. First and foremost, we have, you know, a jointly engineered system built with VM ware, four VM ware environments to enhance fam. Where, and we do that with our the extra LHC I system software, which I didn't give a shout out to yet, which extends that native capabilities and really is the secret behind how we do seamless automated operational experience with the ex rail. And that's the case, whether it's traditional or modern applications. So that's my little commercial for VX rail at the show please tune into our VM World session on this topic. We also have hands on labs. We are launching a fun augmented reality game. Eso Please check that out on. We have a new Web page as well that you get access to all the latest assets and guides that help you, you know, navigate your journey for cloud native. And that's at dell technologies dot com slash Hangzhou. >>Wonderful. Well, Shannon Champion, thanks so much. Great to see you again. And be short. Uh, we look forward to hearing more in the future. >>Thanks to >>stay with us. Lots more coverage from VM World 2020. I'm stew. Minimum is always thank you for watching the Cube.

>> Narrator: From around the globe, it's the Cube with digital coverage of VMworld 2020, brought to you by VMware and its ecosystem partners. >> Hi everybody welcome back, this is the Cube's coverage of VMworld 2020, of course,it's remote coverage virtual VMworld 2020, Dennis Kennelly is here. He's the newly minted, General Manager of IBM storage, Dennis, thanks so much for spending some time with us, and congratulations. >> Thank you, Dave. Great to be here and great to talk. >> Yeah, so you're 30 days in, you know, so you're an expert by now, but of course, long time IBMer and you've touched a lot of different basis at IBM. So that's very exciting, but your background is in engineering and products, which I think is significant. And I want to talk about that a little bit, but you've got expertise in Cloud, hybrid Cloud. You ran the security division for quite a bit of time. Actually spent some time in data management as well. So, why do you feel as though this is a great opportunity for you and of course for IBM, given your background? >> Yeah Dave, I think as you say, I'm a technologist, I'm a product guy for many, many years, almost 30 years in the business. I came to IBM as a lot of people through an acquisition, of a small company in the networking space. But since then I've had, you know, two or three careers in IBM where I worked in security, I worked in hybrid Cloud, and actually way, way back, I worked for EMC, in the storage business. >> Yeah Right now, you know, as you look at hybrid Cloud, we're in this hybrid multicloud world, I think, and again, that ties into what VMware is also talking about, I think we're the two vendors in the Mac that really pushing and focused on that strategy. And, you know, the reality is of Clouds, if you look at Cloud today where the world is, I mean, even though we have 10, 15 years, you know, 15 years into the Cloud business is 15 years since the first hyperscaler was launched. Reality is about 20, 25% of what I would call enterprise workload have actually moved on to the Cloud. And there are many reasons for that, be it security, compliance, data, privacy, et cetera, transformation, a lot of other people challenges, et cetera. But now we are actually right in the cusp of adapting that enterprise workload. The storage has a critical role to play in that, especially in the hybrid multicloud world, and we're making sure that storage is a key enabler on that genre. And that's why I think it's a critical time right now to be in storage and to help in that journey. >> And I want to come back to talk a little bit about it, but one of the things that I am excited about, in terms of your background, you've got a strong product background, and for years I had indicated that IBM sort of for a while, lost its formula in storage, you'd do all this R&D and it never hit the market, and then under your predecessor, I think IBM has done a much, much better job and you see it in your now, the last couple of quarters have been really strong for you guys. Of course, you've got the mainframe attached, which is the gift that keeps on giving, but how are you looking at your business? Again, I know you're only 30 days in, but there's been some tailwinds lately, you guys have seemed to do pretty well relative to the market. >> Yeah, my predecessor has done a fantastic job, I mean, if you look at our core storage business, as you said Dave, like our mainframe that's all was our flagship. I mean, you know, we continue to innovate there, particularly around the mainframe, things like, you know, copy services, et cetera, where we're driving a lot of innovation, and continue to lead there. But I think the more interesting, and the really exciting part is what we've done in an our what I would call our open system storage, our flash line up, where the team had got to a single core base, and a single hardware platform where we can scan right up and down the stack. And really innovating and driving very quickly there, is a critical part of what I'm driving right now and accelerate the work that has been done today. Then I think, you know, beyond, you know, the core storage platforms, if you start to look at some of the other areas like cyber resiliency, data protection, and really driving innovation there, but also leveraging other parts of IBM. I mean, we have a very strong base in security. I'm working very closely with our security teams, because I know from my days in security, you know, data protection, data recovery, real challenges for the CISO, I'm bringing those technologies and packaging those technologists so that they can help in those challenges critical for me. And last but not least, I mean, you know, as you look at things like getting an AI and I'm bringing AI to the enterprise. One of the big challenges is being able to identify where all the data is and to get an access to the data. And again, storage is a critical role to play there in terms of discovery services, et cetera, which again is a key innovation. So I think it comes down to those three things. making sure... Obviously you need a very strong product line-up, which I think we are very well equipped right now, and we have, based on the work the team have done over the last number of year. But then applying that to some of the critical problems around cyber resiliency, data protection, and also leveraging and enabling AI in the enterprise. >> So let's stay on cyber for a minute, It's an area obviously, you know, a lot about and we used to think, okay, what's the relationship between storage and cyber, and it was maybe it was encryption, you know, data at motion or data at rest, and now the lines between data protection, and cyber are really getting blurred. I mean, it's become a... Especially with COVID, it's become, >> Mhm >> A fundamental part of business resiliency, So how are you thinking about storage, and the intersection of cyber? >> Yeah, I mean, I think, you know, when, I had the, my security hat on, I mean, reality and security is, you know, the World is, you know, how you deal with a breach because at the end of the day, pretty much there is to be a security event. It's not a case of if, it's a case of when it happens, and you know, really how you respond to that, and that was where a lot of our focus was in terms of how you respond to those events, how you recover quickly, et cetera. Now, when you come across into storage, I mean, lately in the world we live in today, where at the end of the day, when there's a cyber attack, I mean, what is it that the nefarious actor is after, they are pretty much after your data assets. And, you know, things like ransomware now there's various different techniques. But how quickly your crew can respond or recover from those is really important. And that's where storage has a critical role to play. And a lot of what we are doing in the innovations, of course, things like base encryption and encryption everywhere, they are table stakes as far as IBM is concerned, we've had that for many years, within our mainframe and in our open systems, but now really thinking about how you actually recover very quickly when an event happens, and that's really where we see a lot of innovation, and where we want to talk to both sides of the house, both the storage I've been, but also on the CISO who have frankly, a big influence in terms of where investment dollars are put today and making sure that they have the capability in place to actually recover quickly when there's an attack. >> Well, as you well know for years it was, you know, security was the problem of the, you know, the Sec-Ops team, you know, >> Yes >> Not my Swim lane, but that has really changed. I mean, security has become a board level issue. Everybody's got to be involved. We're seeing more CISOs reporting into the CIO. We're also seeing CISOs have a seat at the table, they're reporting, you know, at quarterly board meetings, and so, we see every part of the IT stack, really focused on security, and even the lines of business as well. What do you say? >> Yeah, exactly, I mean, I think the CISO role has evolved over the last number of years, I mean, I think if I think back, you know, maybe five, 10 years ago, the CISO role was very much what I would call a compliance type role. So in other words, making sure we all the checks and balances in place that, you know, at the right time. putting the fast pace, changing world with Cloud and transformation, digital transformation, the CISO has to be an active part of that. We used to use the expression that the CISO was the doctor know, in other words, how to stop, you know, innovation, or how to stop things changing, That's, you know, yesterday's news, today, the CISO has to be much more pro-active, helping technology, helping transformation, and that's why you're seeing that, they have a seat at the top table right now, because they are critical, to all decisions that are made. The fact is that, you know, massive transformation is happening in every enterprise, but you're got to do that in a secure and safe manner, and the CISO is absolutely critical to that, and is influencing a lot of fine decisions around that as well. And by that we see that as a critical part of our strategy that we make sure that we have offerings and capabilities that addresses that need. >> Love to come back to the, the Cloud discussion, the hybrid Cloud, and multi-Cloud, you mentioned that early on, you guys obviously have a big play there with Red Hat and an open shift we've seen in our data that is becoming real multicloud and there used to be, you know, a lot of vendor talk, but now it's becoming a fundamental strategy. So you were saying it, you know, as a smaller portion of workloads, you know, are in the Cloud, it's all the, all the hard stuff has stayed on Prem. What's the motivation for your customers to move to a Cloud, or a hybrid Cloud strategy? What are they trying to achieve as an outcome? >> Well, I think when everything, you know, you got to stop at a business level, right? I mean, fundamentally what enterprises are doing is, especially in this cold world, everything is becoming increasingly digital going online, et cetera. So that transformation is accelerating that digital transformation, the rate and pace of that is accelerated. Now you actually stop to think about that and say, what does that mean in terms of your existing enterprise? In many cases, you know, especially for incumbents, right? They have existing systems that have existing data repositories, et cetera. So how do they leverage that and transform those to meet these new needs? And, and then of course back to the cyber concerns, right, you have security data privacy concerns, et cetera. So you have all these multiple variables going on, in our world, you know, and if you look at what has happened over the last, as I said, 15 plus years, you know, everybody said, you know, everything is moving to the public, game over, we're done. That hasn't actually happened. We really are in a multicloud world. When we talk about multicloud, that means, you know, you have the what we refer to as a traditional hyperscalers, but also the SAS properties, et cetera, that we see in every enterprise. And also you have to have a on-premise capability, but it's different than what it was traditionally, it has to have Cloud like economics. And what has been very good about the Cloud, a tremendous innovation is the elastic scaling, et cetera, on the economics that has come with the Cloud. But you have to bring that back on-premise. You can't just have one operating model in the Cloud and have something else on-premise, your infrastructure has to be flexible at scale and across border environments. And that is the true definition of what we call a hybrid multicloud. And one with critical technologies, will give you that consistency across that, and one of the reasons why, you know, we named the strategic pattern Red Hat, is containers, because from a number of years back, we could see that was the part of the technology that enabled a lot of these hybrid multicloud capabilities. IBM talked about hybrid Cloud long before, it was a popular thing to talk about a number of years back. But we could see that, you know, to enable that to happen, the critical technology was containers, and that because of both, combination of containers and Linux and hence the acquisition of Red Hat, and now we are actually leveraging that to actually drive footprint across the Hybrid Cloud environment, and everything we're doing is integrated into that container technology including storage. >> Yeah, well, of course we're here at VMworld again, virtually, but the big trends we're hearing from, from VMware and the ecosystem this week, they're, pounding on networking hybrid multicloud, as we've just talked about, you mentioned containers and Kubernetes, we're hearing a lot about security, which we just addressed the AI, ML, thinking about the points of commonality, you guys are big partners with VMworld. VMware have been for, for many, many years, a lot of open shift runs on VMware,We know that. a lot of your business critical, and mission critical workloads. So what are those points of commonality, and maybe what are some of the points of divergence in what you guys are doing? as part of >> Yeah, I mean, >> VMware tremendous partner of ours, I mean, a lot of VMware workload, as customers move to the cloud, moves to the IBM Cloud. We're probably their premier choice right now in terms of VMware workload. Also, I think in terms of, you know, I think if you look at VMware today, I think they also see a hybrid multicloud strategy, and I think there's the VMware, I would say a strategy has evolved over time. Clearly they have a huge installed base of virtual machines, which a lot of our container technology at Red Hat runs on top off. But VMware has also evolved into a container approach as well, with a lot of the announcements they've made. So I think we're on a very similar strategy when it comes to my own area on storage, in terms of how we integrate storage into that container world, there's a lot of commonality in how we approach that. I mean, developing CSI drivers, et cetera, into the container world, I think we're both doing that and doing that together. In areas, obviously we will compete and very much compete. I talked about that product lineup and obviously BMR, and obviously that relationship with Dell and others, is got to be areas where we will compete in the storage. But in terms of where we really will collaborate, I think is a lot around the hybrid multicloud strategy, and building an open ecosystem that everybody can play on. And they'll, you know, where we sit on them or they sit on us. I think you're going to see an open ecosystem across us in this hybrid multicloud World. >> Well, it seems as though from a storage standpoint, that you've got no choice, but to be open, you have to give clients as much optionality as possible. You can't say, okay, we're going to be all IBM Red Hat, you've been, you've got so many other opportunities for, term expansion. I wonder if you could talk about that, and maybe express your philosophy, just in terms of openness, and it's important in terms of competing in storage. >> I think that's been fundamental to storage since the very beginning of the storage industry. And of course, we absolutely, we have to be very open in terms of who we integrate with. And we go everywhere from like optical containers, to virtual machines to any system, all the ways for something as traditional as tape. I mean, tape, many have said, tape is dead. Tape is far from dead, even in the, hyperscaler world, where we're seeing a lot of the hyperscalers right now, are actually using tape technology and integrating tape into their environment. So there's an example, where you might not have thought about us, you know, it's something that we do, we do that in a very open fashion and continue to do that. Likewise, when it comes to security, when it comes to things like data and AI, you know, our philosophy is don't take another copy of the data, be able to access the data so that you can build your AI models, et cetera on top of that. we may have a lot to happen with some of our capabilities around spectrum scale, and we will integrate with backend arise from EMC, Hitachi, and others actually enable that to happen. So we're very open ecosystem, want to bring unique value, and if I'm making sure we can integrate both up and down the stack. >> Yeah. Well, I mean, you guys, of course, for those who have been around the storage industry, as much as I have the San volume controller, a hub was kind of the early days of storage virtualization, I think IBM was clearly one of the leaders there, and you've kind of taken that concept to data. We've seen that with Cloud packs, and so, you know, one IBM executive, you know, said to me one time, you know, we, learned our lesson many, many years ago about the importance of openness, and then you got the religion there. So I think it's pretty, >> pretty fundamental. >> I mean, >> Isn't it? >> It's pretty fundamental, I guess, we learned hard lesson many years ago, and I think, you know, when you talk about openness and something like Red Hat, I think we're definitely, putting our money where our mouth is in terms of being an open company, I'm really enabling something like Red Hat, and continue that ecosystem as you know, Red Hat is independent, was run independent of IBM, so that we want to drive that open ecosystem around Red Hat, and that is pretty fundamental to a lot of IBM, a lot of our platforms and our capability, I mean, you know, back for many years, we talked about the sound volume controller, but even if you go back far enough in history, which I can do in the storage World, and the storage API world, IBM was one of the leaders I'm building an open API around storage and storage access as well back then. So it's fundamental to the company has always been, and continues to be, I mean, we were one of the major contributors to things like Linux, That's not well known, but that, that is the truth, and, you know, things like that, what we have done over many, many years. >> Yeah, undoubtedly, I mean, I go back to Steve mills, epic decision to invest a billion dollars in Linux back in the day, and we've seen those billion dollar bets pay off in terms of flash and other areas. Dennis, what's your style going to be? I mean, again, I'm excited that you've got an engineering background, you're a product person at the end of the day, it's all about innovation, and getting that R&D out to market. What should we expect from your leadership style? >> I think you kind of said it there, I mean, I'm an engineer at heart, I really want to deliver value to our clients. You know, we have the big R&D spend in our storage unit, and I want to show value for that spend on IBM has given me a responsibility to deliver on. So to begin to deliver massive innovation and productivity from our engineering team. I mean, that's fundamentally what I do. So starting from day one, understanding our portfolio top to bottom, what are our strengths in the market, Where are our weaknesses, where we need to address some of the gaps, but also listening to our clients, which is very important to me and making sure that they see the innovation, the quality of the deliverables and that, you know, as a client or as a customer of IBM, you can be guaranteed that IBM would deliver and continues to deliver on innovation on a road map on storage. And that's really fundamental to my philosophy. I'm making sure that we can establish leadership, and continues to establish leadership, in the storage industry. So that we are a trusted partner, and a valued partner in your transformation journey. So that when you make investments with us, as a technology provider that we deliver on a roadmap and a vision that actually needs your needs going forward. I mean, that's fundamental to what, you know, my management style is about and making sure I have the right people that I can put in front of our clients and make sure they can deliver that value. >> I mean, I think that's critical, Dennis, and again, I keep hitting on your engineering background, because yes, while you have a big R&D budget, IBM probably spend $6 billion a year in R&D, you're fighting for that budget, with a lot of other divisions at IBM, so staying close to the customer is critical because you've got to place those bets. And I have firmly believed that with a strong technical background and product background, and staying close to the customer, you're going to have, you know, some big wins and more wins than losses, and you're going to be able to more efficiently deploy that capital in the form of R&D, and then quickly get it out into products. I see that as crucial today in terms of the innovation equation. >> Yeah. I mean, my philosophy, you know, fundamentally, you know, a lot of times, and I've been in engineering a long time, it's not about the size of the budget, be the dollar, be a $10, be it $100. It's how efficient we are with that dollar, and how innovative we are with that dollar. And sometimes, you know, you look at IBM and people look at a big company, maybe it doesn't move as quickly. I can guarantee you that, you know, that's fundamental that, you know, I run a startup within a small company, within a large company. I like to think of it that way and how we can innovate and move very quickly. And that's, you know, fundamental to my philosophy in terms of how I think, it's not about, okay, how can I get more budget to do exits? How can I be more efficient that I can drive more value? And then, you know, maybe then I get more budget, but you know, you got to think about detail more rather than saying, I don't want to have more inefficiency, I wanted to have more innovation, more creativity, entering new markets, looking at new capabilities, and being able to just create great new opportunities for IBM storage. >> Well, Dennis, again, congratulations on the new appointment, we look forward to at some point in the future of being able to meet face to face, but thanks so much for coming on the Cube and our coverage of VMworld. >> Thank you, Dave, and thanks for your time today, I appreciated the conversation. Thank you. >> All right, You're very welcome, and thank you for watching everybody, This is Dave Vellante for the Cube, again, wall to wall coverage of VMworld 2020, We'll be right back right after this short break. (soft music)

>>from the Cube Studios in Palo Alto and Boston connecting with thought leaders all around the world. This is a cube conversation. >>Hey, welcome back, everybody. Jeff Frick here with the Cube. We have a cube conversation today talking about an exciting announcement coming out of our friends over it at V M, where it's the second generation via VMware Cloud on Dell EMC. And to tell us more about it, we've got a couple Cube alumni that we're always happy to have on. First off, we're joined by Matt Morgan. He is the VP of marketing at VMware. Matt, Great to see you. Great CTO. And then Wei Wang, She's the product or director of product marketing of the VMware way. Great to see you as well. >>Nice to see you, Jeff. >>So, first off, hope you guys were getting through. Ah, the stay at home and work from home and family. Everything good >>thes air. Unprecedented times for sure, But we're fortunate and we're doing fine. I hope everything is going well with you and your family. >>Yeah, Thank you. I mean, we are lucky to be an IT space. So we can We can flip the digital much easier than some industries. Let's jump into this announcement. Second generation via VMware Cloud on Dell, EMC. You guys only announced this in production like a year ago. So, Matt, what? What kind of drove a second generation already know What were some of the drivers and what what is the essence of the second generation? >>Yeah, the space is moving really fast. As you know, Public Cloud has captured the imagination of practically every IT organization on the planet. Because the public cloud provides a new way of doing business. It allows you to consume technology on demand, allows you to have the elasticity, allows you to have op ex financial treatment. But more importantly, it takes you out of the core management business. No more hardware refreshes. No more operational control of the core infrastructure. This is all delivered as a service. The problem is, in order to get this value, you have to turn to the public cloud. You have to actually replace your workload in the data center that someone else managed, and that data center might be far away from the data that is being generated. And so in many cases, It's just simply not practical to move all of your workloads there. So on premise, technology is still going to be important. What VMware announced way back in 2000 and 18 I think it was August 2018 at VM World is Project Dimension, and the whole concept was about delivering the cloud to the data center but truly allowing you to run your data center or data center infrastructure in a truly manage, cloud centric way. We then commercialized it when we announced via VMware Cloud on Dell, EMC, the product and the uptake has been off the hook. We've seen industry analysts like you saw with Rick. We've seen our customers really embrace this technology, and we've got an enormous feedback and that feedback is also driven a new set of requirements. And the truth is, while we envisioned this technology to clearly be an edge play, our customers are telling us it's a data center play. They believe that they can reimagine their data center to operate just like a cloud, and by deploying via VMware cloud on Dell EMC. This facilitates their needs to do that, but they needed a new class of system something a lot more powerful than our first generation, something that could take on all of the workloads. In fact, there's a slide. If you want to pull it up, we kind of illustrate this. The second generation solution is all about turning the volume up to 11. We are enabling organizations to put two times as many VMS on this technology. They, in effect, can run twice as many workloads. More importantly, for a nightie architect, they can design a system that will take on the most demanding, most complex business critical applications with largest set of data and be able to manage that as a entity but in a cloud model on premises. >>Now, Matt I'm struck a little bit because, you know, first if you talk about edge and this was really, you know, kind of a response to growth of the edge and the anticipated growth of edge and I ot and then at the now you're saying really, you know, there's this great opportunity in the data center, and I think we had Rick on from IDC, talked about local cloud as a service, so that's spanning a pretty wide range of environments, workloads, all types of demand. So what are the real critical, you know, kind of functional capabilities of a local cloud as a service and specifically with VMware Cloud. >>So we partnered with Rick when he was defining this category. And if you look at what Rick's research, he sees this category growing. I think too close to $5 billion all in revenue, that all in revenue is coming in the next 2.5 years. That's a faster scale out than we saw HCI. And in his research he's finding the same information that we found when we did our early customer surveys. We have identified a real need at the edge, but let's not underplay that. If you look at a 5G cell tower, typically they need compute that's local. They're gonna be tons of these erected over the next few years, and they don't have on-premise IT infrastructure people to manage that technology, so there's an opportunity to have a managed approach where the compute is local, but it's managed as a cloud. Clearly, the solution is custom designed for that, but I can look at a dozen other IoT centric opportunity. Let's talk about energy production. An offshore oil rig. Again, no IT Staff. The need for compute lots of sensor data, the opportunity to deliver a managed approach gives you that capacity. Let's look at agriculture again, pushing out compute to the edge. So this edge component is another hyper growth area or information technology, and we have a great solution. Custom built for that. However, as I had mentioned right, the growth of use cases includes the most important, the most significant business critical apps that are really big gaps that live in the data center. This can include a variety of different use cases. Think about a hospital. They have data centers in each of the regions. That's all perfect fit for this. Talk about a technology base for virtualized desktop infrastructure. Think about having to deploy an SAP application. There's a dozen more I can think of right off the top of my head. But what we did with the second generations we listen >>to the customer. >>The customers wanted more power. They wanted more capacity. They wanted the opportunity to have a full rack that could beat their expectations on the capacity and power side so that they can fulfill their requirements, and that's what this >>is all about. >>So that's great, Matt way, you're You're a little bit more in the weeds in the product development. What are some of the things that you're excited about in this second gen offering that maybe people aren't as aware of or maybe is a little bit below the radar, >>Right? Okay, so let me first and talk about that. This is truly, as Matt pointed out, is not an insignificant release, right? This is not incremental. We, for example, that our customer we're rolling out a full 40 to argue rack that is support the traditional use cases and also that more than use cases and thinking about also a brand new eastern type that we call internal people Montt medium that in which we doubled not the sock account, but also the CPU moving from a to 24 CPUs to a 48 total and double our realm Rama 368 to 700 before and also doubling to introducing all flash like envy. MB based flash secondary storage for, um, 11 point half to 23 terabytes. And all these is really to honing in what might have pointed out that enterprise class. You know, the hi workloads, very density work clothes, right? You can put into the area 12 to 15. This kind of notes offer development and allows you to have that in the data center and to making sure that you have that kind of capacity for performance. We have that. The second thing I want to mention, as you can imagine, is the VD I I think virtual desktop infrastructure cannot be more important have this environment. Everybody is looking at it, and especially for the highly regulated industries like healthcare. So VMware right? We help for where the market leader with our offerings as a VM or horizon solution. So what happens in this release is we actually 35? We'll be certified on the VM or as horizon solution to making sure that we offer that enterprise distributed capacity to the industry that we really want to run up fast and also to making sure that they obviously cannot have actually support to have that capacity to offer the remote workers to front line healthcare workers and other business continuity type off use cases to that capacity for video. The last one is actually as you can imagine. Also in this environment is data backup and recovery. Right? The the enterprises are looking for a solution that in which they can not only backup protect and also search for search for the things that they can actually, for historical reasons. So in this release, we're actually certified to solutions for back up the 1st 1 of course, with our friends at Dell. Right, Dell data protect solution. The 2nd 1 is that's an industry leading solution right there. And the 2nd 1 is actually the beam, though so but with both solutions now, we can truly offer our customers who are looking for enterprise strength a backup solution to for the continuity and also for this to continue to operate in this environment. >>So I'm just curious. Before we let you go, you talked about this being a pretty significant release and we've talked about markets basis from edge back into the data center. Ah, and really kind of enterprise class heavy workloads, critical workloads, applications running this so as you look forward, you know, not give me any secrets out in terms of roadmap. But Where do you see this? This class of application evolving. >>So I think that you can imagine the week we talked to a variety of customers there different ways. We can actually expand this many off our retail customers has talked about their suggestions and 5G towers. Not only we can expand it to a data center, we probably will actually offer this type of solutions into, for example, a substantial retail shop or a back of pizza shop that's going small on one end. The other end is, I think, that many of our customers have expressed interest off off colocators, right. They're working with in other geographical areas that they're actually working with local providers that that they don't they don't own themselves. They do not even wanted to purchase right the cooling and managing the space. So they want us to provide an integrated solution with many of the large colocators, but as well as some of the niche colocators, so that we can offer that end to end and offer that together a city platform to our partners. So that's where we're going >>very exciting space, and you guys do. Move quick, Matt. I'll give you the last word before we sign out where people get more information. Wouldn't g A Or I guess, or is it is G. I think we are, Um, give us the last word. >>Yes, so yes, the services available. People can get more information BMR dot com And I think you know the truth of the matter is the cloud is an operating model. It's not an individual data center location, right? And the idea of a cloud. A cloud operating model that could be hybrid that can move from public cloud data centers to your own own data centers to the edge to everywhere in between, including MSC's VMware provides a great platform that standardizes across that on one of the things that is a driver for VMware customers is their ability to eat their existing workloads without having to modify re factor or rework the right. I have a workload that I sit in a data center in a public cloud of VM where simply V motion or use HC X to move that workload, and I could be up and running instantly on that consistency as a lot of flexibility, agility and, you know, it helps people do things faster. So I think those of my final comments it was really good to see you, Jeff. Thanks for having us. You >>do. Thanks for checking in. Ah, I think it's the first time we've done one of these, But certainly we've spent lots of time together around the Cube set. So Ah, I'm glad everybody's healthy and this to show passed. So keep working hard to keep delivering great products. And thanks again for stopping by. >>Thank you. >>Alright, He's Matt and way. I'm Jeff. You're watching the Cube. Thanks for watching. We'll see you next time. Yeah, yeah, yeah, yeah.

>>Locke from Las Vegas. It's the cube covering AWS reinvent 2019 brought to you by Amazon web services and along with its ecosystem partners. >>Well, welcome back to the cube live here in Las Vegas for AWS reinvent 2019 it's the cubes seventh year, eighth year of reinvent. We've been there almost from the beginning. I'm John ferry with Dave Volante extracting the signal from the noise. The two great guests here chew senior leaders, VMware, auntie that were Sanjay Poonan, COO of VMware cube alumni, Mike Clayville, vice president of worldwide commercial sales and business development for AWS guys. You're the senior leaders out on the field making things happen. I got to say the AWS VMware relationship, which we covered a couple of years ago when Gelsinger and Jassy were doing the little love Fest, they're in San Francisco. A lot of people were skeptical. This show here, we're hearing things like, that's my Superbowl moment. Things are working great. Cloud is scaling, so congratulations and welcome to the cube. Good to see you. Thank you. Yeah. All right, so let's get to the relationship. >>Talk about you guys' relationship and how it's morphed into such a success. We're hearing great feedback. The numbers on the research at day's been digging into shows. Customer spend is up. Is that the wave of cloud? Is that the integration? Sanjay, what's going on? Give us, gives you up to, Oh, I think we're delighted. You know Mike obviously and I have been friends for years. He's had some connections with VMware in his past that certainly helped in setting up this partnerships. So we're grateful to Mike and Andy and the team for that and it's, you know, two and a half to three years now since we announced it. Tremendous amount of customer interest. Listen, you know we said at the beginning of this, when you take sort of the King of the public cloud and the King, the private cloud together and don't force customers to say these have to be separate doors, you're going to do them both together. >>Customers liked that message and what we've been really doing over the course of the last 1218 months is perfecting use cases for this platform. I think to us, the key word is migrations. Cloud migrations. When people are moving their workloads off an app off VMware vSphere or cloud foundation, we want this to be the best place for it to land. We are McCloud in AWS for migration opportunity and anything short of that refactoring app would we, you know, not something that would be a good use of people's time and money because they should be then modernizing with all the wonderful services that Amazon's built, one they've migrated. So we've really perfected our message in the course of the last six, 12 months to two M's, migrate and modernize, migrate and modernize. So we could migrate you into this Avenue and then modernize with a set of container and other services. So that messes working. We put on stage at VMworld and there are many of them here, two big Amazon customers, VMware cloud, Amazon, Freddie Mac and IHS market. And they were telling our tens of thousands customers at those shows and similarly many of them here, that that's the best option to be able to do things. >>Yeah, it's great. It's great by the way, because it's a frictionless migration, right? So you've got a platform that same code base working on pram, same cloud based and cloud creating a seamless integration between the two platforms. We're finding customers very in enthralled by that. I say they say they love that because it's less disruptive for them. Yeah. But at the same time they say, but eventually I want to change my operating model to really drive profits to my bottom line. So could you talk a little bit about what that journey looks like? And I'm really interested in longer term Sanjay, how you play in that. I look Mike, sorry. So the first thing I'd say that one of the real reasons I love it is because they've got a big investment today and that investment is in skills. That investment is in operational processes. That investment is in licensing and all of that comes along with them on their journey. Whether it's a migration journey or a migration to modernize journey, it's working. So when you're talking about the bottom line, like you are, this is a great play for that bottom line. >>Yeah, I know. And I'd say, listen, from our perspective, we want to take a Freddie Mac. When they spoke at VMworld, they have I think 800 applications, 50 of whom are SAS and the other 750 are custom built, deep Lee virtualized and they're going to move all of them over the course of the next 12 months. I fell off my chair when I, when I heard how fast they planned to do it. IHS market has very a variety of very spread accounts and Amazon. Now we're going to help them move a lot of their workloads there. Once they're there, we want them to then use the tools that Amazon's bill. I'll give you two examples, maybe some of their backup tools into S3 CloudWatch some of their analytical monitoring types of tools. So there's going to be, and then of course AI database services and the best place once you've moved it there is to make sure that that migrated stack is stable. >>You have the best of the VMware tools, V center, V motion, all you know and the best of the Amazon tools. So when people start to see this, I think the myth of Sarah's saying refactor and replatform that application, which is in essence like taking a home. Okay. And having to destroy the home and completely rebuild it. Right? And that's just a meal, a waste of money and time when you could migrate it and then modernize it. So we just need to get that story well understood. Get our, you know, I, I mean Amazon probably has a few million customers. We have a half a million customers. If all of those customers can hear the story and beginning their journey with us, I think we will tip this in a way. Starting >>to tip, to get the, back to the point of your question as well. Look, our two companies have been engineering these solutions together deeply. So this just isn't a paper arbiters. Yeah. This is an engineering partnership that started years ago and what that means is as customers migrate to a beam ware on AWS, now they have access to over 175 AWS services, can it, right. Significant native access to a broad range of services that they can continue to innovate, identify new business models and it all seamlessly integrates back into a single platform. >>Yeah. One of the things I always said when I talked to Andy and Amazon folks is that the competitive advantage of the businesses scale and also the new announcements that come in. So one of the things we heard yesterday from a customer, uh, one of your joint customers was, you know, I asked him about outpost, which you guys now are going to ship in 2020, which was announced you already got native outpost, general availability. He goes, look it, we'd love VMware. We could probably look at VMware and kind of poke at things, maybe do things differently. But frankly I don't want to have to rearchitect my stack because I want the data science stuff from studio a Sage maker studio because the demand for the business results is coming in from the new capabilities. So this seems to be the trend where the migration is just lift and shifts, keep the operational flow going, foundation and the business value over the top is whatever you guys can bring in from an NSX and then the apps. Is this something that you're hearing more of? Because this points to all of us, the discussion around the platform is irrelevant because the business value is coming in from the data. Yeah. What, how do you guys react to that? Is that something that you're hearing? >>Well, the first thing I would say is the, you know, the pundents will tell you that by 2020 90% of customers will be in a hybrid model. So you know, the migration is, you talk about is in play and, and arguably 2020 will be the year of the most migrations in history if those pendants are correct. Right. And so that gets a lot of customers in the mode of being able to leverage a BMC and then be able to take advantage of all the, you know, the extensive amount of data services we have available. But if you ask me, where do you know, what are the, what are the big reasons driving the migration? It's traditional economics, right? It's, I'm, I don't need to be a capital expense heavy organization anymore. Why do I have to build data centers? Why do I have to extend data centers? Why am I building, why am I buying air conditioning that's not differentiating my business? Right? All of those things are creating drivers for this migration. Now as you begin the migration, that's when you begin to see, wow, imagine the simplicity of the same code base, same operational processes. I don't have to retrain a bunch of people just moving it right onto the cloud and now let me really dig in to the new services available from AWS. Look for those new business. >>I suppose having that focus of differentiation and VMware and saying, let's keep it and expand it to the edge and do things like that. And yeah, absolutely. I mean, listen, I think they had Cerner yesterday on stage and I think it was interesting to hear the CEO, they're talking about three verbs, migrated, modernize, and innovate. I mean that's the thing thing. So I think when you, when you start to see that becoming a very active dialogue, not just from CEOs but from CEOs and boards that are saying, listen, you know, part of the reason we want to move to the cloud is an increase our bruiser agility. It's not just a cost reduction. Yeah. I mean I don't need to have 80 data centers have, I could have half a zero a one or two so that I get, but beyond cost, if we can kind of get agility going faster. >>And for many of these folks, I think when I sit down in their customer advisory councils, when I, when we are advising them, they're all trying to serve their customers better, get data to become sort of the oil of their ability to make decisions better and AI and analytics sort of help in that area. And then of course, getting more efficient in lowering costs and risks. And I think when you're doing it, the scale that both of us have experienced doing, we understand data centers really well. We've software defined them for 20 years. These guys understand cloud probably better than anybody else. When we bring that sort of scale together and as Mike pointed out, a deeply engineered solution, we have a, we have a significant R and D investment in this and we're doing that jointly with them. When I often sit down in our joint QPRs, I joke about it with Mike and Andy and others, I sometimes forget, is that a VMware person speaking or an Amazon person because there's finishing each other's sentences. So there's a lot of that joint trust they've built and we just now have to keep showing that this is a solution that's innovating every three months because you're running on monthly and quarterly cycles and get large customers. I mean to us now, it's less so about the noise of getting everybody on stage. It's much more of a showing customer attraction. >>So I wonder if we could talk about one of the other big problems in the industry. Mikey talked about deep engineering and you guys are, you know, you're never done right, but you've solved that problem or solving that problem of making it easy for customers, VM-ware customers to run in the cloud. There's another big problem it could be concerned about customers is security and there seems to be somewhat of a dissonance. And I wonder if you could share with us maybe some of the thinking around this. So Steven Schmidt for instance, who is Amazon CSO says, Hey, the state of security in the cloud is, is great. And it is, it's, you know, you don't have a lot of technical debt coming in to the game. Pat Gelsinger is saying, Hey, you know, security, the state of security in my world is broken. So what's the conversation with you guys in terms of addressing that big concern on the minds of CEOs? And >>yeah, I'll start and they might feel free to add them. Thomas, I mean we've talked to Steve, we're like Steve, he's a very, he's a, he's an innovator and a thought leader in security. We're coming at it from a place that's complimentary to some of the point of views of, of Amazon. Um, and I shared this at our last VM world discussion. When we look at the, the, the control points of security where traditional security spent network, endpoint, identity, cloud and analytics, those are five, four control points where a lot of security is spent inside the $50 billion security market. We picked two that we're going to do really well. The network and endpoint NSX has been doing really well there. Now granted a bunch of that is on prem. It's replacing or complimenting Cisco, Palo Alto, checkpoint fire, a flash for a railroad bed, F five NetScaler spent. >>And now that business 13,000 customers in has become a 40, 50% of its security use cases. The network we just acquired, carbon black aide runs on the Amazon platform. It runs, uh, a next gen endpoint security. That's, you know, an evolution from the old world of Symantec, McAfee, you know, and there were only two vendors doing this at scale carbon black and CrowdStrike, we built, we built, we bought the better one. So when you put those together and collect a significant amount of telemetry from that, we think we could do something highly differentiated and security. So VMware, his goal and to the extent that Amazon or others are doing things in security that compliment our view of it, we'll build on it, right? Whether it's identity and access tools, whether it's load balancers, whether it's security, event management capabilities. >>Well we're in, we're integrating those two into the security in the cloud, which makes it seamless security, which is critical. >>Goal would be, listen, when we go and when we talked about this is what we're doing, security, we go to Mike and Andy and Steve and said, listen, this is our ambitions and security. We don't view Amazon as a competitor. And that's why he's very much complimented. They'll will be on the fringes. They have a load balancer. We now have a cloud. But that's okay. But that's the bigger part. If they were going off for endpoint security, as we be competitive there, if they were going up in network secure, but they're not. So I think when we share our intents, which we do very openly, we have open kimono sessions. He, this is where we are, this is where we're going. That's what we, and we go deep in that >>trust luck, but this is a historic partnership. This is not a partnership that I've seen anywhere in the industry in my 35 years. This is something that's at the next level and I think you'll look back, history will look back at this partnership and and recognize that its impact on cloud is going to be substantial. >>You hope you guys deserve a lot of credit and again, the critics were critical of the announcement. We were obviously favor, we saw the vision, but I think what surprised me most is that the spend numbers reflect is you guys clarified your cloud play with this move. The customers saluted it 100% they were on board and the numbers are showing it, but as Andy and you guys go to the next level, I got to get your thoughts on this trend of transformation. We have two means. We started in the cube this week. One was if you take the T out of cloud native, it's cloud naive. And the other one is what I said in my post about being reborn in the cloud. So you've got born in the cloud, startups and growth and enterprises were becoming reborn, okay? In the cloud, which means they're transforming. >>So as that trillions of dollars that are coming into the migration, you look at the numbers, there's only 20% of it spend in cloud. Roughly give or take. You're talking about trillions of dollars of new money. You guys are the commercial guys. Hey look, it's still day one for the cloud. It's still day one. I agree. You have a lot of people who might not make the migration, might die of starvation. Okay? As they move to the new model, you guys are out there have to take and you're going to go get that cash. What are you guys seeing? Cause this is a big trillions and trillions of dollars are on the table. You started Mike off. Well look. So, >>you know, uh, Sanjay talked about you see these customers and how enthusiastic they are about the opportunity here, right? And, and Freddie Mac's a great example of 100 million lines of code, and I've got to get out of three data centers in 24 months. Bam, they're out in 10, 10 months, 10 months, right? Um, 100 million lines of code over hundreds of, of applications done in 10 months. Now imagine the rest that the company can do now that they got that behind him, right? And that's what we're seeing is this partnership enables our customers to get a bunch done very economically, much faster, and now they can get onto the other things that they need to do. >>Yeah. And I'd build on that. Listen, you know, we track about a trillion dollars of it spend. And if you add up all of the cloud spend today, it's probably a, I mean, Amazon and Salesforce are probably the biggest in infrastructure and apps. It's probably 150 billion in total cloud spend, maybe 200 billion. So that's 15 to 20% of the total it spend, which is massive, but it's still as, as my points, that's early innings is that 20% it's probably going to become 50% at some point soon, right? If you look at the pace at which the cloud companies are growing, so the key question is, is going to go as 150 billion, the 1 trillion total number is going to grow, but probably a little bit faster and GDP most every 5% max, who's going to go grab that 150 Boone as it goes from 150 billion to 500 billion and the on premise spend slows down. >>Right? Um, I think that, you know, I think Amazon is very well positioned and from our perspective at VMware, we have a, you know, 10 $11 billion business. We're trying to tilt this increasingly more cloud. We announced our earnings call, 13% of it now is hybrid cloud and SAS, that 13% should become 2025 50. They are a pure cloud company. 100% of their businesses is cloud. We're in that transition. But why are we in that transition? Because we see that 150 billion of it spend likely becoming 500 billion. And if we don't get it somebody else's well hybrids, are we a tailwind for you guys? Because outpost is actually a statement that says hybrid at the edge. Now the data centers an edge, you've got edge. What is an edge? So cloud operations is now the standard and we, I mean, we actually coined the term hybrid six years ago and everyone could five, six years ago and everyone really laughed at us and now I think it's being validated. So it's, it's very gratifying now that Amazon has a similar vision to hybrid as us. Uh, we believe both the VMware cloud on Amazon outpost and BMR cloud running on outpost, we're very committed to that joint vision. >>Yeah. You're talking about the spending data and you know, VMware yet another revenue hit. I was pretty consistent in that and that standpoint. But if you look at the spending data, virtually every sort of traditional company with very few exceptions is you're seeing a share shift to the cloud. VMware is an exception. It didn't use to be that way a couple of years ago, but you're embracing the cloud really changed and became, you may cloud a tailwind right now to headwind. >>I think this partnership helped in that area and you put it right, right. Everything in life is either an opportunity or a threat. I think, and I've talked about it in your show before, cloud and containers were a significant threat. When I joined Amazon, sorry, when I was partners with Amazon, I joined VMware six years ago. I asked Pat and I said, listen, I think the threats to VMR, Amazon and Docker in 2013 now Docker is a whole different story. Kubernetes took their head out. Uh, but to our credit we joined credit, we partnered here and I think from our perspective, see, we at VMware aren't able to do a complete pivot like Adobe did to say burn the boats on, on premise and completely shift everything. SAS. Why? Because customers still want NSX on prem. Customers still want our HCI product on prem. People are still buying vSphere on prem. >>So we've got this more delicate balance of starting to shift and on-prem business. The aircraft carrier, you know at the time, 5,000,000,005, six years ago now, 11 billion to something that's a blend of on prem and cloud. While the cloud part grows a lot faster, that 13% of revenue we announced our earnings call is growing 40% yeah. So we can keep that growing foster and foster while the on-prem business is not decaying, it's still growing but not growing at the same pace, plus changing its end, make that transition a few years from now to being a lot more of a cloud company. >>The other thing you're seeing in the spending data, I wonder if you could comment is, you know, digital initiatives really started in earnest, let's say 2016 and people were doing a lot of experimentation. They were throwing everything for the new stuff against the wall. And what we're seeing now is they're narrowing the new and they were keeping the legacy stuff around because they were sort of running in parallel to hedge their bets. What we're seeing now is less experimentation in the new, and they're starting to unplug some of the older stuff. What they're not unplugging is cloud and they're hanging on to VMware and we're seeing, you know, spending levels revert to pre 2018 levels. I wonder what you guys are seeing at the macro. >>Well, the first thing I would say is I see experimentation continuing to accelerate, right? All of the new functionality that we bring out every day. Everybody's excuse, you're the sandbox for us. It's very invigorating because we love people to experiment and, uh, and we, you know, a lot of those experiments turned into amazing new startups as an example. And, or a bunch of those experiments turned into major new project projects in our, in our big, uh, enterprises. So we're continuing to see a real push towards experimentation and driving agility into the business. I don't know. Yeah, >>no, I, well, Mike, I'd agree. I mean, listen, we in some senses, uh, we have a very good strong, you know, on-premise business and when we see a really innovative company that's in the order of 33 35%, that's already 35 three 35 billion growing in the forties 30 to 40% I mean that's incredible. When we see companies like Salesforce and Adobe that are giant SAS companies approaching, you know, 10 1115 20 billion growing 2020 5% I think that infrastructure is a service and SAS business for us are trailblazers of where this cloud is headed now, these, the biggest companies in infrastructure and in SAS and we follow that. Now we have to then navigate to say, listen, the growth rates and the spending is going to be reflected by cloud spend that's heavily spending on there. And the way in which the on premise world is what spending, we have a bunch of hardware companies, we work very closely. >>We're watching how that spending is, is playing OD, whether it's Cisco, whether it's HP, whether it's Lenovo, Dell and others. And then of course we've got VM. We're sitting right in between and I think what we're trying to manage as you got a whole world of on-prem driven primarily by hardware companies. You've got a bunch of these cloud new companies, Amazon, Salesforce, Adobe, and we have a right in the middle saying, okay, listen, we want to be dragged by both while many of our customers still want some on prem. It's a delicate balance, but there's no, um, I mean we are very clear within VMware. We want to be led by a cloud first policy wherever we can. I'll give you an example. Workspace one, manage these devices. We want a company five years ago named AirWatch, why did we buy them versus somebody else? >>It was cloud. It was cloud-first that business now and use a computing has stilted itself to be primarily cloud-based, very subscription-based. It was on premise VDI at the time Mike was at the company six, seven years ago. It's become now completely cloud based on the back of a workspace one, you know, kind of thing. So that's how we're thinking about it. The new acquisitions we've done, whether it's carbon black, whether it's Velo club, it's CloudHealth. They're all cloud-based. Well, you guys made a good bet on cloud operations. That's the real shift. The cloud operation model is right in your wheelhouse. You guys have operators, VMware, you guys have cloud operations everywhere now edge with outpost. Congratulations. I want to say, Sanjay, it's been a great journey with you. You've been with the cube all 10 years. All seven years. We've been actually the 10 year anniversary. >>We've been documenting the history. Wow. The historic moments like you guys together writing AWS, really appreciate it. and of course that was good to see more action coming. Cloud 2.0 next gen. Cloud competition controversies. I mean what? You can't ask for a better movie here. John. Dave, I'm going to, we're going to bring mugs next time. Okay. We're going to have mugs.. I'm John for Dave a lot. They saw Jay Poon and Mike Clayville, the leaders, senior leaders of AWS and VMware out with their customers here on the queue. This is our AWS Intel set in the middle of the floor here at reinvent 2019 our seventh year. Thanks for watching more coverage day two of the queue. We'll be right back.

>> 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

For Las Vegas, it's the cube covering vm world 2018, brought to you by vm ware and its ecosystem partners. Ladies and gentlemen, Vm ware would like to thank it's global diamond sponsors and it's platinum sponsors for vm world 2018 with over 125,000 members globally. The vm ware User Group connects via vmware customers, partners and employees to vm ware, information resources, knowledge sharing, and networking. To learn more, visit the [inaudible] booth in the solutions exchange or the hemoglobin gene vm village become a part of the community today. This presentation includes forward looking statements that are subject to risks and uncertainties. Actual results may differ materially as a result of various risk factors including those described in the 10 k's 10 q's and k's vm ware. Files with the SEC. Ladies and Gentlemen, please welcome Pat Gelsinger. Welcome to vm world. Good morning. Let's try that again. Good morning and I'll just say it is great to be here with you today. I'm excited about the sixth year of being CEO. When it was on this stage six years ago were Paul Maritz handed me the clicker and that's the last he was seen. We have 20,000 plus here on site in Vegas and uh, you know, on behalf of everyone at Vm ware, you know, we're just thrilled that you would be with us and it's a joy and a thrill to be able to lead such a community. We have a lot to share with you today and we really think about it as a community. You know, it's my 23,000 plus employees, the souls that I'm responsible for, but it's our partners, the thousands and we kicked off our partner day yesterday, but most importantly, the vm ware community is centered on you. You know, we're very aware of this event would be nothing without you and our community and the role that we play at vm wares to build these cool breakthrough innovations that enable you to do incredible things. You're the ones who take our stuff and do amazing things. You altogether. We have truly changed the world over the last two decades and it is two decades. You know, it's our anniversary in 1998, the five people that started a vm ware, right. You know, it was, it was exactly 20 years ago and we're just thrilled and I was thinking about this over the weekend and it struck me, you know, anniversary, that's like old people, you know, we're here, we're having our birthday and it's a party, right? We can't have a drink yet, but next year. Yeah. We're 20 years old. Right. We can do that now. And I'll just say the culture of this community is something that truly is amazing and in my 38 years, 38 years in tech, that sort of sounds like I'm getting old or something, but the passion, the loyalty, almost a cult like behavior that we see in this team of people to us is simply thrilling. And you know, we put together a little video to sort of summarize the 20 years and some of that history and some of the unique and quirky aspects of our culture. Let's watch that now. We knew we had something unique and then we demonstrated that what was unique was also some reasons that we love vm ware, you know, like the community out there. So great. The technology I love it. Ware is solid and much needed. Literally. I do love Vmr. It's awesome. Super Awesome. Pardon? There's always someone that wants to listen and learn from us and we've learned so much from them as well. And we reached out to vm ware to help us start building. What's that future world look like? Since we're doing really cutting edge stuff, there's really no better people to call and Bmr has been known for continuous innovation. There's no better way to learn how to do new things in it than being with a company that's at the forefront of technology. What do you think? Don't you love that commitment? Hey Ashley, you know, but in the prep sessions for this, I thought, boy, what can I do to take my commitment to the next level? And uh, so, uh, you know, coming in a couple days early, I went to down the street to bad ass tattoo. So it's time for all of us to take our commitment up level and sometimes what happens in Vegas, you take home. Thank you. Vm Ware has had this unique role in the industry over these 20 years, you know, and for that we've seen just incredible things that have happened over this period of time and it's truly extraordinary what we've accomplished together. And you know, as we think back, you know, what vm ware has uniquely been able to do is I'll say bridge across know and we've seen time and again that we see these areas of innovation emerging and rapidly move forward. But then as they become utilized by our customers, they create this natural tension of what business wants us flexibility to use across these silos of innovation. And from the start of our history, we have collectively had this uncanny ability to bridge across these cycles of innovation. You know, an act one was clearly the server generation. You know, it may seem a little bit, uh, ancient memory now, but you remember you used to walk into your data center and it looked like the loove the museum of it passed right? You know, and you had your old p series and your z series in your sparks and your pas and your x86 cluster and Yo, it had to decide, well, which architecture or am I going to deploy and run this on? And we bridged across and that was the magic of Esx. You don't want to just changed the industry when that occurred. And I sort of called the early days of Esx and vsphere. It was like the intelligence test. If you weren't using it, you fail because Yup. Servers, 10 servers become one months, become minutes. I still have people today who come up to me and they reflect on their first experience of vsphere or be motion and it was like a holy moment in their life and in their careers. Amazing and act to the Byo d, You know, can we bridge across these devices and users wanted to be able to come in and say, I have my device and I'm productive on it. I don't want to be forced to use the corporate standard. And maybe more than anything was the power of the iphone that was introduced, the two, seven, and suddenly every employee said this is exciting and compelling. I want to use it so I can be more productive when I'm here. Bye. Jody was the rage and again it was a tough challenge and once again vm ware helped to bridge across the surmountable challenge. And clearly our workspace one community today is clearly bridging across these silos and not just about managing devices but truly enabling employee engagement and productivity. Maybe act three was the network and you know, we think about the network, you know, for 30 years we were bound to this physical view of what the network would be an in that network. We are bound to specific protocols. We had to wait months for network upgrades and firewall rules. Once every two weeks we'd upgrade them. If you had a new application that needed a firewall rule, sorry, you know, come back next month we'll put, you know, deep frustration among developers and ceos. Everyone was ready to break the chains. And that's exactly what we did. An NSX and Nice Sierra. The day we acquired it, Cisco stock drops and the industry realizes the networking has changed in a fundamental way. It will never be the same again. Maybe act for was this idea of cloud migration. And if we were here three years ago, it was student body, right to the public cloud. Everything is going there. And I remember I was meeting with a cio of federal cio and he comes up to me and he says, I tried for the last two years to replatform my 200 applications I got to done, you know, and all of a sudden that was this. How do I do cloud migration and the effective and powerful way. Once again, we bridged across, we brought these two worlds together and eliminated this, uh, you know, this gap between private and public cloud. And we'll talk a lot more about that today. You know, maybe our next act is what we'll call the multicloud era. You know, because today in a recent survey by Deloitte said that the average business today is using eight public clouds and expected to become 10 plus public clouds. And you know, as you're managing different tools, different teams, different architectures, those solution, how do you, again bridge across, and this is what we will do in the multicloud era, we will help our community to bridge across and take advantage of these powerful cycles of innovation that are going on, but be able to use them across a consistent infrastructure and operational environment. And we'll have a lot more to talk about on this topic today. You know, and maybe the last item to bridge across maybe the most important, you know, people who are profit. You know, too often we think about this as an either or question. And as a business leader, I'm are worried about the people or the And Milton Friedman probably set us up for this issue decades ago when he said, planet, right? the sole purpose of a business is to make profits. You want to create a multi-decade dilemma, right? For business leaders, could I have both people and profits? Could I do well and do good? And particularly for technology, I think we don't have a choice to think about these separately. We are permeating every aspect of business. And Society, we have the responsibility to do both and have all the things that vm ware has accomplished. I think this might be the one that I'm most proud of over, you know, w we have demonstrated by vsphere and the hypervisor alone that we have saved over 540 million tons of co two emissions. That is what you have done. Can you believe that? Five hundred 40 million tons is enough to have 68 percent of all households for a year. Wow. Thank you for what you have done. Thank you. Or another translation of that. Is that safe enough to drive a trillion miles and the average car or you could go to and from Jupiter just in case that was in your itinerary a thousand times. Right? He was just incredible. What we have done and as a result of that, and I'll say we were thrilled to accept this recognition on behalf of you and what you have done. You know, vm were recognized as number 17 in the fortune. Change the world list last week. And we really view it as accepting this honor on behalf of what you have done with our products and technology tech as a force for good. We believe that fundamentally that is our opportunity, if not our obligation, you know, fundamentally tech is neutral, you know, we together must shape it for good. You know, the printing press by Gutenberg in 1440, right? It was used to create mass education and learning materials also can be used for extremist propaganda. The technology itself is neutral. Our ecosystem has a critical role to play in shaping technology as a force for good. You know, and as we think about that tomorrow, we'll have a opportunity to have a very special guest and I really encourage you to be here, be on time tomorrow morning on the stage and you know, Sanjay's a session, we'll have Malala, Nobel Peace Prize winner and fourth will be a bit of extra security as you come in and you understand that. And I just encourage you not to be late because we see this tech being a force for good in everything that we do at vm ware. And I hope you'll enjoy, I'm quite looking forward to the session tomorrow. Now as we think about the future. I like to put it in this context, the superpowers of tech know and you know, 38 years in the industry, you know, I am so excited because I think everything that we've done over the last four decades is creating a foundation that allows us to do more and go faster together. We're unlocking game, changing opportunities that have not been available to any people in the history of humanity. And we have these opportunities now and I, and I think about these four cloud, you have unimaginable scale. You'll literally with your Amex card, you can go rent, you know, 10,000 cores for $100 per hour. Or if you have Michael's am ex card, we can rent a million cores for $10,000 an hour. Thanks Michael. But we also know that we're in many ways just getting started and we have tremendous issues to bridge across and compatible clouds, mobile unprecedented scale. Literally, your application can reach half the humans on the planet today. But we also know that five percent, the lowest five percent of humanity or the other half of humanity, they're still in the lower income brackets, less than five percent penetrated. And we know that we have customer examples that are using mobile phones to raise impoverished farmers in Africa, out of poverty just by having a smart phone with proper crop, the information field and whether a guidance that one tool alone lifting them out of poverty. Ai knows, you know, I really love the topic of ai in 1986. I'm the chief architect of the 80 46. Some of you remember what that was. Yeah, I, you know, you're, you're my folk, right? Right. And for those of you who don't, it was a real important chip at the time. And my marketing manager comes running into my office and he says, Pat, pat, we must make the 46 a great ai chip. This is 1986. What happened? Nothing an AI is today, a 30 year overnight success because the algorithms, the data have gotten so much bigger that we can produce results, that we can bring intelligence to everything. And we're seeing dramatic breakthroughs in areas like healthcare, radiology, you know, new drugs, diagnosis tools, and designer treatments. We're just scratching the surface, but ai has so many gaps, yet we don't even in many cases know why it works. Right? And we'll call that explainable ai and edge and Iot. We're connecting the physical and the digital worlds was never before possible. We're bridging technology into every dimension of human progress. And today we're largely hooking up things, right? We have so much to do yet to make them intelligent. Network secured, automated, the patch, bringing world class it to Iot, but it's not just that these are super powers. We really see that each and each one of them is a super power in and have their own right, but they're making each other more powerful as well. Cloud enables mobile conductivity. Mobile creates more data, more data makes the AI better. Ai Enables more edge use cases and more edge requires more cloud to store the data and do the computing right? They're reinforcing each other. And with that, we know that we are speeding up and these superpowers are reshaping every aspect of society from healthcare to education, the transportation, financial institutions. This is how it all comes together. Now, just a simple example, how many of you have ever worn a hardhat? Yeah, Yo. Pretty boring thing. And it has one purpose, right? You know, keep things from smacking me in the here's the modern hardhat. It's a complete heads up display with ar head. Well, vr capabilities that give the worker safety or workers or factory workers or supply people the ability to see through walls to understand what's going on inside of the equipment. I always wondered when I was a kid to have x Ray Vision, you know, some of my thoughts weren't good about why I wanted it, but you know, I wanted to. Well now you can have it, you know, but imagine in this environment, the complex application that sits behind it. You know, you're accessing maybe 50 year old building plants, right? You're accessing HVAC systems, but modern ar and vr capabilities and new containerized displays. You'll think about that application. You know, John Gage famously said the network is the computer pat today says the application is now a network and pretty typically a complicated one, you know, and this is the vm ware vision is to make that kind of environment realizable in every aspect of our business and community and we simply have been on this journey, any device, any application, any cloud with intrinsic security. And this vision has been consistent for those of you who have been joining us for a number of years. You've seen this picture, but it's been slowly evolving as we've worked in piece by piece to refine and extend this vision, you know, and for it, we're going to walk through and use this as the compass for our discussion today as we walk through our conversation. And you know, we're going to start by a focus on any cloud. And as we think about this cloud topic, you know, we see it as a multicloud world hybrid cloud, public cloud, but increasingly seeing edge and telco becoming clouds in and have their own right. And we're not gonna spend time on it today, but this area of Telco to the is an enormous opportunity for us in our community. You know, data centers and cloud today are over 80 percent virtualized. The Telco network is less than 10 percent virtualized. Wow. An industry that's almost as big as our industry entirely unvirtualized, although the technologies we've created here can be applied over here and Telco and we have an enormous buildout coming with five g and environments emerging. What an opportunity for us, a virgin market right next to us and we're getting some early mega winds in this area using the technologies that you have helped us cure rate than the So we're quite excited about this topic area as well. market. So let's look at this full view of the multicloud. Any cloud journey. And we see that businesses are on a multicloud journey, you know, and today we see this fundamentally in these two paths, a hybrid cloud and a public cloud. And these paths are complimentary and coexisting, but today, each is being driven by unique requirements and unique teams. Largely the hybrid cloud is being driven by it. And operations, the public cloud being driven more by developers and line of business requirements and as some multicloud environment. So how do we deliver upon that and for that, let's start by digging in on the hybrid cloud aspect of this and as we think about the hybrid cloud, we've been talking about this subject for a number of years and I want to give a very specific and crisp definition. You're the hybrid cloud is the public cloud and the private cloud cooperating with consistent infrastructure and consistent operations simply put seamless path to and from the cloud that my workloads don't care if it's here or there. I'm able to run them in a agile, scalable, flexible, efficient manner across those two environments, whether it's my data center or someone else's, I can bring them together to make that work is the magic of the Vm ware Cloud Foundation. The vm ware Cloud Foundation brings together computer vsphere and the core of why we are here, but combines with that networking storage delivered through a layer of management and automation. The rule of the cloud is ruthlessly automate everything. We laid out this vision of the software defined data center seven years ago and we've been steadfastly working on this vision and vm ware. Cloud Foundation provides this consistent infrastructure and operations with integrated lifecycle management automation. Patching the m ware cloud foundation is the simplest path to the hybrid cloud and the fastest way to get vm ware cloud foundation is hyperconverged infrastructure, you know, and with this we've combined integrated then validated hardware and as a building block inside of this we have validated hardware, the v Sand ready environments. We have integrated appliances and cloud delivered infrastructure, three ways that we deliver that integrate integrated hyperconverged infrastructure solution. And we have by far the broadest ecosystem of partners to do it. A broad set of the sand ready nodes from essentially everybody in the industry. Secondly, we have integrated appliances, the extract of vxrail that we have co engineered with our partners at Dell technology and today in fact Dell is releasing the power edge servers, a major step in blade servers that again are going to be powering vxrail and vxrack systems and we deliver hyperconverged infrastructure through a broader set of Vm ware cloud partners as well. At the heart of the hyperconverged infrastructure is v San and simply put, you know, be San has been the engine that's just been moving rapidly to take over the entire integration of compute and storage and expand to more and more areas. We have incredible momentum over 15,000 customers for v San Today and for those of you who joined us, we say thank you for what you have done with this product today. Really amazing you with 50 percent of the global 2000 using it know vm ware. V San Vxrail are clearly becoming the standard for how hyperconverge is done in the industry. Our cloud partner programs over 500 cloud partners are using ulv sand in their solution, you know, and finally the largest in Hci software revenue. Simply put the sand is the software defined storage technology of choice for the industry and we're seeing that customers are putting this to work in amazing ways. Vm Ware and Dell technologies believe in tech as a force for good and that it can have a major impact on the quality of life for every human on the planet and particularly for the most underdeveloped parts of the world. Those that live on less than $2 per day. In fact that this moment 5 billion people worldwide do not have access to modern affordable surgery. Mercy ships is working hard to change the global surgery crisis with greater than 400 volunteers. Mercy ships operates the largest NGO hospital ship delivering free medical care to the poorest of the poor in Africa. Let's see from them now. When the ship shows up to port, literally people line up for days to receive state of the art life, sane changing life saving surgeries, tumor site limbs, disease blindness, birth defects, but not only that, the personnel are educating and training the local healthcare providers with new skills and infrastructure so they can care for their own. After the ship has left, mercy ships runs on Vm ware, a dell technology with VX rail, Dell Isilon data protection. We are the it platform for mercy ships. Mercy ships is now building their next generation ship called global mercy, which were more than double. It's lifesaving capacity. It's the largest charity hospital ever. It will go live in 20 slash 20 serving Africa and I personally plan on being there for its launch. It is truly amazing what they are doing with our technology. Thanks. So we see this picture of the hybrid cloud. We've talked about how we do that for the private cloud. So let's look over at the public cloud and let's dig into this a little bit more deeply. You know, we're taking this incredible power of the Vm ware Cloud Foundation and making it available for the leading cloud providers in the world and with that, the partnership that we announced almost two years ago with Amazon and on the stage last year, we announced their first generation of products, no better example of the hybrid cloud. And for that it's my pleasure to bring to stage my friend, my partner, the CEO of aws. Please welcome Andy Jassy. Thank you andy. You know, you honor us with your presence, you know, and it really is a pleasure to be able to come in front of this audience and talk about what our teams have accomplished together over the last, uh, year. Yo, can you give us some perspective on that, Andy and what customers are doing with it? Well, first of all, thanks for having me. I really appreciate it. It's great to be here with all of you. Uh, you know, the offering that we have together customers because it allows them to use the same software they've been using to again, where cloud and aws is very appealing to manage their infrastructure for years to be able to deploy it an aws and we see a lot of customer momentum and a lot of customers using it. You see it in every imaginable vertical business segment in transportation. You see it with stagecoach and media and entertainment. You see it with discovery communications in education, Mit and Caltech and consulting and accenture and cognizant and dxc you see in every imaginable vertical business segment and the number of customers using the offering is doubling every quarter. So people were really excited about it and I think that probably the number one use case we see so far, although there are a lot of them, is customers who are looking to migrate on premises applications to the cloud. And a good example of that is mit. We're there right now in the process of migrating. In fact, they just did migrate 3000 vms from their data centers to Vm ware cloud native us. And this would have taken years before to do in the past, but they did it in just three months. It was really spectacular and they're just a fun company to work with and the team there. But we're also seeing other use cases as well. And you're probably the second most common example is we'll say on demand capabilities for things like disaster recovery. We have great examples of customers you that one in particular, his brakes, right? Urban in those. The brings security trucks and they all armored trucks coming by and they had a critical need to retire a secondary data center that they were using, you know, for Dr. so we quickly built to Dr Protection Environment for $600. Bdms know they migrated their mission critical workloads and Wallah stable and consistent Dr and now they're eliminating that site and looking for other migrations as well. The rate of 10 to 15 percent. It was just a great deal. One of the things I believe Andy, he'll customers should never spend capital, uh, Dr ever again with this kind of capability in place. That is just that game changing, you know, and you know, obviously we've been working on expanding our reach, you know, we promised to make the service available a year ago with the global footprint of Amazon and now we've delivered on that promise and in fact today or yesterday if you're an ozzie right down under, we announced in Sydney, uh, as well. And uh, now we're in US Europe and in APJ. Yeah. It's really, I mean it's very exciting. Of course Australia is one of the most virtualized places in the world and, and it's pretty remarkable how fast European customers have started using the offering to and just the quarter that's been out there and probably have the many requests customers has had. And you've had a, probably the number one request has been that we make the offering available in all the regions. The aws has regions and I can tell you by the end of 2019 will largely be there including with golf clubs and golf clap. You guys have been, that's been huge for you guys. Yeah. It's a government only region that we have that a lot of federal government workloads live in and we are pretty close together having the offering a fedramp authority to operate, which is a big deal on a game changer for governments because then there'll be able to use the familiar tools they use and vm ware not just to run their workloads on premises but also in the cloud as well with the data privacy requirements, security requirements they need. So it's a real game changer for government too. Yeah. And this you can see by the picture here basically before the end of next year, everywhere that you are and have an availability zone. We're going to be there running on data. Yup. Yeah. Let's get with it. Okay. We're a team go faster. Okay. You'll and you know, it's not just making it available, but this pace of innovation and you know, you guys have really taught us a few things in this respect and since we went live in the Oregon region, you know, we've been on a quarterly cadence of major releases and two was really about mission critical at scale and we added our second region. We added our hybrid cloud extension with m three. We moved the global rollout and we launched in Europe with m four. We really add a lot of these mission critical governance aspects started to attack all of the industry certifications and today we're announcing and five right. And uh, you know, with that, uh, I think we have this little cool thing you know, two of the most important priorities for that we're doing with ebs and storage. Yeah, we'll take, customers, our cost and performance. And so we have a couple of things to talk about today that we're bringing to you that I think hit both of those on a storage side. We've combined the elasticity of Amazon Elastic Block store or ebs with ware is Va v San and we've provided now a storage option that you'll be able to use that as much. It's very high capacity and much more cost effective and you'll start to see this initially on the Vm ware cloud. Native us are five instances which are compute instances, their memory optimized and so this will change the cost equation. You'll be able to use ebs by default and it'll be much more cost effective for storage or memory intensive workloads. Um, it's something that you guys have asked for. It's been very frequently requested it, it hits preview today. And then the other thing is that we've worked really hard together to integrate vm ware's Nsx along with aws direct neck to have a private even higher performance conductivity between on premises and the cloud. So very, very exciting new capabilities to show deep integration between the companies. Yeah. You know, in that aspect of the deep integration. So it's really been the thing that we committed to, you know, we have large engineering teams that are working literally every day. Right on bringing together and how do we fuse these platforms together at a deep and intimate way so that we can deliver new services just like elastic drs and the c and ebs really powerful, uh, capabilities and that pace of innovation continue. So next maybe. Um, maybe six. I don't know. We'll see. All right. You know, but we're continuing this toward pace of innovation, you know, completing all of the capabilities of Nsx. You'll full integration for all of the direct connect to capabilities. Really expanding that. You're only improving licensed capabilities on the platform. We'll be adding pks on top of for expanded developer a capabilities. So just. Oh, thank you. I, I think that was formerly known as Right, and y'all were continuing this pace of storage Chad. So anyway. innovation going forward, but I think we also have a few other things to talk about today. Andy. Yeah, I think we have some news that hopefully people here will be pretty excited about. We know we have a pretty big database business and aws and it's. It's both on the relational and on the nonrelational side and the business is billions of dollars in revenue for us and on the relational side. We have a service called Amazon relational database service or Amazon rds that we have hundreds of thousands of customers using because it makes it much easier for them to set up, operate and scale their databases and so many companies now are operating in hybrid mode and will be for a while and a lot of those customers have asked us, can you give us the ease of manageability of those databases but on premises. And so we talked about it and we thought about and we work with our partners at Vm ware and I'm excited to announce today, right now Amazon rds on Vm ware and so that will bring all the capabilities of Amazon rds to vm ware's customers for their on premises environments. And so what you'll be able to do is you'll be able to provision databases. You'll be able to scale the compute or the memory or the storage for those database instances. You'll be able to patch the operating system or database engines. You'll be able to create, read replicas to scale your database reads and you can deploy this rep because either on premises or an aws, you'll be able to deploy and high high availability configuration by replicating the data to different vm ware clusters. You'll be able to create online backups that either live on premises or an aws and then you'll be able to take all those databases and if you eventually want to move them to aws, you'll be able to do so rather easily. You have a pretty smooth path. This is going to be available in a few months. It will be available on Oracle sql server, sql postgresql and Maria DB. I think it's very exciting for our customers and I think it's also a good example of where we're continuing to deepen the partnership and listen to what customers want and then innovate on their behalf. Absolutely. Thank you andy. It is thrilling to see this and as we said, when we began the partnership, it was a deep integration of our offerings and our go to market, but also building this bi-directional hybrid highway to give customers the capabilities where they wanted cloud on premise, on premise to the cloud. It really is a unique partnership that we've built, the momentum we're feeling to our customer base and the cool innovations that we're doing. Andy, thank you so much for you Jordan Young, rural 20th. You guys appreciate it. Yeah, we really have just seen incredible momentum and as you might have heard from our earnings call that we just finished this. We finished the last quarter. We just really saw customer momentum here. Accelerating. Really exciting to see how customers are starting to really do the hybrid cloud at scale and with this we're just seeing that this vm ware cloud foundation available on Amazon available on premise. Very powerful, but it's not just the partnership with Amazon. We are thrilled to see the momentum of our Vm ware cloud provider program and this idea of the vm ware cloud providers has continued to gain momentum in the industry and go over five years. Right. This program has now accumulated more than 4,200 cloud partners in over 120 countries around the globe. It gives you choice, your local provider specialty offerings, some of your local trusted partners that you would have in giving you the greatest flexibility to choose from and cloud providers that meet your unique business requirements. And we launched last year a program called Vm ware cloud verified and this was saying you're the most complete embodiment of the Vm ware Cloud Foundation offering by our cloud partners in this program and this logo you know, allows you to that this provider has achieved the highest standard for cloud infrastructure and that you can scale and deliver your hybrid cloud and partnering with them. It know a particular. We've been thrilled to see the momentum that we've had with IBM as a huge partner and our business with them has grown extraordinarily rapidly and triple digits, but not just the customer count, which is now over 1700, but also in the depth of customers moving large portions of the workload. And as you see by the picture, we're very proud of the scope of our partnerships in a global basis. The highest standard of hybrid cloud for you, the Vm ware cloud verified partners. Now when we come back to this picture, you know we, you know, we're, we're growing in our definition of what the hybrid cloud means and through Vm Ware Cloud Foundation, we've been able to unify the private and the public cloud together as never before, but we're also seeing that many of you are interested in how do I extend that infrastructure further and farther and will simply call that the edge right? And how do we move data closer to where? How do we move data center resources and capacity closer to where the data's being generated at the operations need to be performed? Simply the edge and we'll dig into that a little bit more, but as we do that, what are the things that we offer today with what we just talked about with Amazon and our VCP p partners is that they can consume as a service this full vm ware Cloud Foundation, but today we're only offering that in the public cloud until project dimension of project dimension allows us to extend delivered as a service, private, public, and to the edge. Today we're announcing the tech preview, a project dimension Vm ware cloud foundation in a hyperconverged appliance. We're partnered deeply with Dell EMC, Lenovo for the first partners to bring this to the marketplace, built on that same proven infrastructure, a hybrid cloud control plane, so literally just like we're managing the Vm ware cloud today, we're able to do that for your on premise. You're small or remote office or your edge infrastructure through that exact same as a service management and control plane, a complete vm ware operated end to end environment. This is project dimension. Taking the vcf stack, the full vm ware cloud foundation stack, making an available in the cloud to the edge and on premise as well, a powerful solution operated by BM ware. This project dimension and project dimension allows us to have a fundamental building block in our approach to making customers even more agile, flexible, scalable, and a key component of our strategy as well. So let's click into that edge a little bit more and we think about the edge in the following layers, the compute edge, how do we get the data and operations and applications closer to where they need to be. If you remember last year I talked about this pendulum swinging of centralization and decentralization edge is a decentralization force. We're also excited that we're moving the edge of the devices as well and we're doing that in two ways. One with workspace, one for human optimized devices and the second is project pulse or Vm ware pulse. And today we're announcing pulse two point zero where you can consume it now as a service as well as with integrated security. And we've now scaled pulse to support 500 million devices. Isn't that incredible, right? I mean this is getting a scale. Billions and billions and finally networking is a key component. You all that. We're stretching the networking platform, right? And evolving how that edge operates in a more cloud and that's a service white and this is where Nsx St with Velo cloud is such a key component of delivering the edge of network services as well. Taken together the device side, the compute edge and rethinking and evolving the networking layer together is the vm ware edge strategy summary. We see businesses are on this multicloud journey, right? How do we then do that for their private of public coming together, the hybrid cloud, but they're also on a journey for how they work and operate it across the public cloud and the public cloud we have this torrid innovation, you'll want Andy's here, challenges. You know, he's announcing 1500 new services or were extraordinary innovation and you'll same for azure or Google Ibm cloud, but it also creates the same complexity as we said. Businesses are using multiple public clouds and how do I operate them? How do I make them work? You know, how do I keep track of my accounts and users that creates a set of cloud operations problems as well in the complexity of doing that. How do you make it work? Right? And your for that. We'll just see that there's this idea cloud cost compliance, analytics as these common themes that of, you know, keep coming up and we're seeing in our customers that are new role is emerging. The cloud operations role. You're the person who's figuring out how to make these multicloud environments work and keep track of who's using what and which data is landing where today I'm thrilled to tell you that the, um, where is acquiring the leader in this space? Cloudhealth technologies. Thank you. Cloudhealth technologies supports today, Amazon, azure and Google. They have some 3,500 customers, some of the largest and most respected brands in the, as a service industry. And Sasa business today rapidly span expanding feature sets. We will take cloudhealth and we're going to make it a fundamental platform and branded offering from the um, where we will add many of the other vm ware components into this platform, such as our wavefront analytics, our cloud, choreo compliance, and many of the other vm ware products will become part of the cloudhealth suite of services. We will be enabling that through our enterprise channels as well as through our MSP and BCPP partners as well know. Simply put, we will make cloudhealth the cloud operations platform of choice for the industry. I'm thrilled today to have Joe Consella, the CTO and founder. Joe, please stand up. Thank you joe to your team of a couple hundred, you know, mostly in Boston. Welcome to the Vm ware family, the Vm ware community. It is a thrill to have you part of our team. Thank you joe. Thank you. We're also announcing today, and you can think of this, much like we had v realize operations and v realize automation, the compliment to the cloudhealth operations, vm ware, cloud automation, and some of you might've heard of this in the past, this project tango. Well, today we're announcing the initial availability of Vm ware, cloud automation, assemble, manage complex applications, automate their provisioning and cloud services, and manage them through a brokerage the initial availability of cloud automation services, service. Your today, the acquisition of cloudhealth as a platform, the aware of the most complete set of multicloud management tools in the industry, and we're going to do so much more so we've seen this picture of this multicloud journey that our customers are on and you know, we're working hard to say we are going to bridge across these worlds of innovation, the multicloud world. We're doing many other things. You're gonna hear a lot at the show today about this year. We're also giving the tech preview of the Vm ware cloud marketplace for our partners and customers. Also today, Dell technologies is announcing their cloud marketplace to provide a self service, a portfolio of a Dell emc technologies. We're fundamentally in a unique position to accelerate your multicloud journey. So we've built out this any cloud piece, but right in the middle of that any cloud is the network. And when we think about the network, we're just so excited about what we have done and what we're seeing in the industry. So let's click into this a little bit further. We've gotten a lot done over the last five years. Networking. Look at these numbers. 80 million switch ports have been shipped. We are now 10 x larger than number two and software defined networking. We have over 7,500 customers running on Nsx and maybe the stat that I'm most proud of is 82 percent of the fortune 100 has now adopted nsx. You have made nsx these standard and software defined networking. Thank you very much. Thank you. When we think about this journey that we're on, we started. You're saying, Hey, we've got to break the chains inside of the data center as we said. And then Nsx became the software defined networking platform. We started to do it through our cloud provider partners. Ibm made a huge commitment to partner with us and deliver this to their customers. We then said, boy, we're going to make a fundamental to all of our cloud services including aws. We built this bridge called the hybrid cloud extension. We said we're going to build it natively into what we're doing with Telcos, with Azure and Amazon as a service. We acquired the St Wagon, right, and a Velo cloud at the hottest product of Vm ware's portfolio today. The opportunity to fundamentally transform branch and wide area networking and we're extending it to the edge. You're literally, the world has become this complex network. We have seen the world go from the old defined by rigid boundaries, simply put in a distributed world. Hardware cannot possibly work. We're empowering customers to secure their applications and the data regardless of where they sit and when we think of the virtual cloud network, we say it's these three fundamental things, a cloud centric networking fabric with intrinsic security and all of it delivered in software. The world is moving from data centers to centers of data and they need to be connected and Nsx is the way that we will do that. So you'll be aware of is well known for this idea of talking but also showing. So no vm world keynote is okay without great demonstrations of it because you shouldn't believe me only what we can actually show and to do that know I'm going to have our CTL come onstage and CTL y'all. I used to be a cto and the CTO is the certified smart guy. He's also known as the chief talking officer and today he's my demo partner. Please walk, um, Vm ware, cto ray to the stage. Right morning pat. How you doing? Oh, it's great ray, and thanks so much for joining us. Know I promised that we're going to show off some pretty cool stuff here. We've covered a lot already, but are you up to the task? We're going to try and run through a lot of demos. We're going to do it fast and you're going to have to keep me on time to ask an awkward question. Slow me down. Okay. That's my fault if you run along. Okay, I got it. I got it. Let's jump right in here. So I'm a CTO. I get to meet lots of customers that. A few weeks ago I met a cio of a large distribution company and she described her it infrastructure as consisting of a number of data centers troll to us, which he also spoke of a large number of warehouses globally, and each of these had local hyperconverged compute and storage, primarily running surveillance and warehouse management applications, and she pulls me four questions. The first question she asked me, she says, how do I migrate one of these data centers to Vm ware cloud on aws? I want to get out of one of these data centers. Okay. Sounds like something andy and I were just talking exactly, exactly what you just spoke to a few moments ago. She also wanted to simplify the management of the infrastructure in the warehouse as themselves. Okay. He's age and smaller data centers that you've had out there. Her application at the warehouses that needed to run locally, butter developers wanted to develop using cloud infrastructure. Cloud API is a little bit late. The rds we spoken with her in. Her final question was looking to the future, make all this complicated management go away. I want to be able to focus on my application, so that's what my business is about. So give me some new ways of how to automate all of this infrastructure from the edge to the cloud. Sounds pretty clear. Can we do it? Yes we can. So we're going to dive right in right now into one of these demos. And the first demo we're going to look at it is vm ware cloud on aws. This is the best solution for accelerating this public cloud journey. So can we start the demo please? So what you were looking at here is one of those data centers and you should be familiar with this product. It's a familiar vsphere client. You see it's got a bunch of virtual machines running in there. These are the virtual machines that we now want to be able to migrate and move the VMC on aws. So we're going to go through that migration right now. And to do that we use a product that you've seen already atx, however it's the x has been, has got some new cool features since the last time we download it. Probably on this stage here last year, I wanted those in particular is how do we do bulk migration and there's a new cool thing, right? Whole thing we want to move the data center en mass and his concept here is cloud motion with vsphere replication. What this does is it replicates the underlying storage of the virtual machines using vsphere replication. So if and when you want to now do the final migration, it actually becomes a vmotion. So this is what you see going on right here. The replication is in place. Now when you want to touch you move those virtual machines. What you'll do is a vmotion and the key thing to think about here is this is an actual vmotion. Those the ends as room as they're moving a hustler, migrating remained life just as you would in a v motion across one particular infrastructure. Did you feel complete application or data center migration with no dying town? It's a Standard v motion kind of appearance. Wow. That is really impressive. That's correct. Wow. You. So one of the other things we want to talk about here is as we are moving these virtual machines from the on prem infrastructure to the VMC on aws infrastructure, unfortunately when we set up the cloud on VMC and aws, we only set up for hosts, uh, that might not be, that'd be enough because she is going to move the whole infrastructure of that this was something you guys, you and Andy referred to briefly data center. Now, earlier, this concept of elastic drs. what elastic drs does, it allows the VMC on aws to react to the workloads as they're being created and pulled in onto that infrastructure and automatically pull in new hosts into the VMC infrastructure along the way. So what you're seeing here is essentially the MC growing the infrastructure to meet the needs of the workloads themselves. Very cool. So overseeing that elastic drs. we also see the ebs capabilities as well. Again, you guys spoke about this too. This is the ability to be able to take the huge amount of stories that Amazon have, an ebs and then front that by visa you get the same experience of v Sign, but you get this enormous amount of storage capabilities behind it. Wow. That's incredible. That's incredible. I'm excited about this. This is going to enable customers to migrate faster and larger than ever before. Correct. Now she had a series of little questions. Okay. The second question was around what about all those data centers and those age applications that I did not move, and this is where we introduce the project which you've heard of already tonight called project dementia. What this does, it gives you the simplicity of Vm ware cloud, but bringing that out to the age, you know what's basically going on here, vmc on aws is a service which manages your infrastructure in aws. We know stretch that service out into your infrastructure, in your data center and at the age, allowing us to be able to manage that infrastructure in the same way. Once again, let's dive down into a demo and take a look at what this looks like. So what you've got here is a familiar series of services available to you, one of them, which is project dimension. When you enter project dimension, you first get a view of all of the different infrastructure that you have available to you, your data centers, your edge locations. You can then dive deeply into one of these to get a closer look at what's going on here. We're diving into one of these The problem is there's a networking problem going on in this warehouse. warehouses and we see it as a problem here. How do we know? We know because vm ware is running this as a managed service. We are directly managing or sorry, monitoring your infrastructure or we discover there's something going wrong here. We automatically create the ASR, so somebody is dealing with this. You have visibility to what's going on, but the vm ware managed service is already chasing the problem for you. Oh, very good. So now we're seeing this dispersed infrastructure with project dementia, but what's running on it so well before we get with running out, you've got another problem and the problem is of course, if you're managing a lot of infrastructure like this, you need to keep it up to date. And so once again, this is where the vm ware managed service kicks in. We manage that infrastructure in terms of patching it and updating it for you. And as an example, when we released a security patch, here's one for the recent l, one terminal fault, the Vmr managed service is already on that and making sure that your on prem and edge infrastructure is up to date. Very good. Now, what's running? Okay. So what's running, uh, so we mentioned this case of this software running at the edge infrastructure itself, and these are workloads which are running locally in those age, uh, those edge locations. This is a surveillance application. You can see it here at the bottom it says warehouse safety monitor. So this is an application which gathers images and then stores those images He said my sql database on top there, now this is where we leverage the somewhere and it puts them in a database. technology you just learned about when Andy and pat spoke about disability to take rds and run that on your on prem infrastructure. The block of virtual machines in the moment are the rds components from Amazon running in your infrastructure or in your edge location, and this gives you the ability to allow your developers to be able to leverage and operate against those Apis, but now the actual database, the infrastructure is running on prem and you might be doing just for performance reasons because of latency, you might be doing it simply because this data center is not always connected to the cloud. When you take a look into under the hood and see what's going on here, what you actually see this is vsphere, a modified version of vsphere. You see this new concept of my custom availability zone. That is the availability zone running on your infrastructure which supports or ds. What's more interesting is you flip back to the Amazon portal. This is typically what your developers are going to do. Once again, you see an availability zone in your Amazon portal. This is the availability zone running on your equipment in your data center. So we've truly taken that already as infrastructure and moved it to the edge so the developer sees what they're comfortable with and the infrastructure sees what they're comfortable with bridging those two worlds. Fabulous. Right. So the final question of course that we got here was what's next? How do I begin to look to the future and say I am going to, I want to be able to see all of my infrastructure just handled in an automated fashion. And so when you think about that, one of the questions there is how do we leverage new technologies such as ai and ml to do that? So what you've got here is, sorry we've got a little bit later. What you've got here is how do I blend ai in a male and the power of what's in the data center itself. Okay. And we could do that. We're bringing you the AI and ml, right? And fusing them together as never before to truly change how the data center operates. Correct. And it is this introduction is this merging of these things together, which is extremely powerful in my mind. This is a little bit like a self driving vehicle, so thinking about a car driving down the street is self driving vehicle, it is consuming information from all of the environment around it, other vehicles, what's happening, everything from the wetter, but it also has a lot of built in knowledge which is built up to to self learning and training along the way in the kids collecting lots of that data for decades. Exactly. And we've got all that from all the infrastructure that we have. We can now bring that to bear. So what we're focusing on here is a project called project magna and project. Magna leverage is all of this infrastructure. What it does here is it helps connect the dots across huge datasets and again a deep insight across the stack, all the way from the application hardware, the infrastructure to the public cloud, and even the age and what it does, it leverages hundreds of control points to optimize your infrastructure on Kpis of cost performance, even user specified policies. This is the use of machine language in order to fundamentally transform. I'm sorry, machine learning. I'm going back to some. Very early was here, right? This is the use of machine learning and ai, which will automatically transform. How do you actually automate these data centers? The goal is true automation of your infrastructure, so you get to focus on the applications which really served needs of your business. Yeah, and you know, maybe you could think about that as in the past we would have described the software defined data center, but in the future we're calling it the self driving data center. Here we are taking that same acronym and redefining it, right? Because the self driving data center, the steep infusion of ai and machine learning into the management and automation into the storage, into the networking, into vsphere, redefining the self driving data center and with that we believe fundamentally is to be an enormous advance and how they can take advantage of new capabilities from bm ware. Correct. And you're already seeing some of this in pieces of projects such as some of the stuff we do in wavefront and so already this is how do we take this to a new level and that's what project magnet will do. So let's summarize what we've seen in a few demos here as we work in true each of these very quickly going through these demos. First of all, you saw the n word cloud on aws. How do I migrate an entire data center to the cloud with no downtime? Check, we saw project dementia, get the simplicity of Vm ware cloud in the data center and manage it at the age as a managed service check. Amazon rds and Vm ware. Cool Demo, seamlessly deploy a cloud service to an on premises environment. In this case already. Yes, we got that one coming in are in m five. And then finally project magna. What happens when you're looking to the future? How do we leverage ai and ml to self optimize to virtual infrastructure? Well, how did ray do as our demo guy? Thank you. Thanks. Thanks. Right. Thank you. So coming back to this picture, our gps for the day, we've covered any cloud, let's click into now any application, and as we think about any application, we really view it as this breadth of the traditional cloud native and Sas Coobernetti is quickly maybe spectacularly becoming seen as the consensus way that containers will be managed and automate as the framework for how modern APP teams are looking at their next generation environment, quickly emerging as a key to how enterprises build and deploy their applications today. And containers are efficient, lightweight, portable. They have lots of values for developers, but they need to also be run and operate and have many infrastructure challenges as well. Managing automation while patch lifecycle updates, efficient move of new application services, know can be accelerated with containers. We also have these infrastructure problems and you know, one thing we want to make clear is that the best way to run a container environment is on a virtual machine. You know, in fact, every leader in public cloud runs their containers and virtual machines. Google the creator and arguably the world leader in containers. They runs them all in containers. Both their internal it and what they run as well as G K, e for external users as well. They just announced gke on premise on vm ware for their container environments. Google and all major clouds run their containers and vms and simply put it's the best way to run containers. And we have solved through what we have done collectively the infrastructure problems and as we saw earlier, cool new container apps are also typically some ugly combination of cool new and legacy and existing environments as well. How do we bridge those two worlds? And today as people are rapidly moving forward with containers and Coobernetti's, we're seeing a certain set of problems emerge. And Dan cone, right, the director of CNCF, the Coobernetti, uh, the cloud native computing foundation, the body for Coobernetti's collaboration and that, the group that sort of stewards the standardization of this capability and he points out these four challenges. How do you secure them? How do you network and you know, how do you monitor and what do you do for the storage underneath them? Simply put, vm ware is out to be, is working to be is on our way to be the dial tone for Coobernetti's. Now, some of you who were in your twenties might not know what that means, so we know over to a gray hair or come and see me afterward. We'll explain what dial tone means to you or maybe stated differently. Enterprise grade standard for Cooper netties and for that we are working together with our partners at Google as well as pivotal to deliver Vm ware, pks, Cooper netties as an enterprise capability. It builds on Bosh. The lifecycle engine that's foundational to the pivotal have offerings today, uh, builds on and is committed to stay current with the latest Coobernetti's releases. It builds on Nsx, the SDN container, networking and additional contributions that were making like harbor the Vm ware open source contribution for the container registry. It packages those together makes them available on a hybrid cloud as well as public cloud environments with pks operators can efficiently deploy, run, upgrade their coopernetties environments on SDDC or on all public clouds. While developers have the freedom to embrace and run their applications rapidly and efficiently, simply put, pks, the standard for Coobernetti's in the enterprise and underneath that Nsx you'll is emerging as the standard for software defined networking. But when we think about and we saw that quote on the challenges of Kubernetes today, we see that networking is one of the huge challenge is underneath that and in a containerized world, things are changing even more rapidly. My network environment is moving more quickly. NSX provides the environment's easily automate networking and security for rapid deployment of containerized environments that fully supports the MRP chaos, fully supports pivotal's application service, and we're also committed to fully support all of the major kubernetes distribution such as red hat, heptio and docker as well Nsx, the only platform on the planet that can address the complexity and scale of container deployments taken together Vm Ware, pks, the production grade computer for the enterprise available on hybrid cloud, available on major public clouds. Now, let's not just talk about it again. Let's see it in action and please walk up to the stage. When di Carter with Ray, the senior director of cloud native marketing for Vm ware. Thank you. Hi everybody. So we're going to talk about pks because more and more new applications are built using kubernetes and using containers with vm ware pts. We get to simplify the deploying and the operation of Kubernetes at scale. When the. You're the experts on all of this, right? So can you take as true the scenario of how pks or vm ware pts can really help a developer operating the Kubernedes environment, developed great applications, but also from an administrator point of view, I can really handle things like networking, security and those configurations. Sounds great. I love to dive into the demo here. Okay. Our Demo is. Yeah, more pks running coubernetties vsphere. Now pks has a lot of cool functions built in, one of which is Nsx. And today what I'm going to show you is how NSX will automatically bring up network objects as quick Coobernetti's name spaces are spun up. So we're going to start with the fees per client, which has been extended to Ron pks, deployed cooper clusters. We're going to go into pks instance one, and we see that there are five clusters running. We're going to select one other clusters, call application production, and we see that it is running nsx. Now a cluster typically has multiple users and users are assigned namespaces, and these namespaces are essentially a way to provide isolation and dedicated resources to the users in that cluster. So we're going to check how many namespaces are running in this cluster and more brought up the Kubernetes Ui. We're going to click on namespace and we see that this cluster currently has four namespaces running wire. We're going to do next is bringing up a new name space and show that Nsx will automatically bring up the network objects required for that name space. So to do that, we're going to upload a Yammel file and your developer may actually use Ku Kata command to do this as well. We're going to check the namespace and there it is. We have a new name space called pks rocks. Yeah. Okay. Now why is that guy now? It's great. We have a new name space and now we want to make sure it has the network elements assigned to us, so we're going to go to the NSX manager and hit refresh and there it is. PKS rocks has a logical robber and a logical switch automatically assigned to it and it's up and running. So I want to interrupt here because you made this look so easy, right? I'm not sure people realize the power of what happened here. The developer, winton using Kubernetes, is api infrastructure to familiar with added a new namespace and behind the scenes pks and tardy took care of the networking. It combination of Nsx, a combination of what we do at pks to truly automate this function. Absolutely. So this means that if you are on the infrastructure operation, you don't need to worry about your developer springing up namespaces because Nsx will take care of bringing the networking up and then bringing them back down when the namespace is not used. So rate, but that's not it. Now, I was in operations before and I know how hard it is for enterprises to roll out a new product without visibility. Right, so pks took care of those dates, you operational needs as well, so while it's running your clusters, it's also exporting Meta data so that your developers and operators can use wavefront to gain deep visibility into the health of the cluster as well as resources consumed by the cluster. So here you see the wavefront Ui and it's showing you the number of nodes running, active parts, inactive pause, et cetera. You can also dive deeper into the analytics and take a look at information site, Georgia namespace, so you see pks rocks there and you see the number of active nodes running as well as the CPU utilization and memory consumption of that nice space. So now pks rocks is ready to run containerized applications and microservices. So you just get us a very highlight of a demo here to see a little bit what pks pks says, where can we learn more? So we'd love to show you more. Please come by the booth and we have more cool functions running on pks and we'd love to have you come by. Excellent. Thank you, Lindy. Thank you. Yeah, so when we look at these types of workloads now running on vsphere containers, Kubernedes, we also see a new type of workload beginning to appear and these are workloads which are basically machine learning and ai and in many cases they leverage a new type of infrastructure, hardware accelerators, typically gps. What we're going to talk about here is how in video and Vm ware have worked together to give you flexibility to run sophisticated Vdi workloads, but also to leverage those same gpu for deep learning inference workloads also on vsphere. So let's dive right into a demo here. Again, what you're seeing here is again, you're looking at here, you're looking at your standard view realized operations product, and you see we've got two sets of applications here, a Vdi desktop workload and machine learning, and the graph is showing what's happening with the Vdi desktops. These are office workers leveraging these desktops everyday, so of course the infrastructure is super busy during the daytime when they're in the office, but the green area shows this is not been used very heavily outside of those times. So let's take a look. What happens to the machine learning application in this case, this organization leverages those available gpu to run the machine learning operations outside the normal working hours. Let's take a little bit of a deeper dive into what the application it is before we see what we can do from an infrastructure and configuration point of view. So this machine learning application processes a vast number of images and it clarify or sorry, it categorizes these images and as it's doing so, it is moving forward and putting each of these in a database and you can see it's operating here relatively fast and it's leveraging some gps to do that. So typical image processing type of machine learning problem. Now let's take a dive in and look at the infrastructure which is making this happen. First of all, we're going to look only at the Vdi employee Dvt, a Vdi infrastructure here. So I've got a bunch of these applications running Vdi applications. What I want to do is I want to move these so that I can make this image processing out a application run a lot faster. Now normally you wouldn't do this, but pot insisted that we do this demo at 10:30 in the morning when the office workers are in there, so we're going to move older Vdi workloads over to the other cluster and that's what you're seeing is going on right now. So as they move over to this other cluster, what we are now doing is freeing up all of the infrastructure. The GPU that Vdi workload was using here. We see them moving across and now you've freed up that infrastructure. So now we want to take a look at this application itself, the machine learning application and see how we can make use of that. Now freed up infrastructure we've got here is the application is running using one gpu in a vsphere cluster, but I've got three more gpu is available now because I've moved the Vdi workloads. We simply modify the application, let it know that these are available and you suddenly see an increase in the processing capabilities because of what we've done here in terms of making the flexibility of accessing those gps. So what you see here is the same gps that youth for Vdi, which you probably have in your infrastructure today, can also be used to run sophisticated machine learning and ai type of applications on your vsphere infrastructure. So let's summarize what we've seen in the various demos here in this section. First of all, we saw how the MRPS simplifies the deployment and operating operation of Kubernetes at scale. What we've also seen is that leveraging the Nvidia Gpu, we can now run the most demanding workloads on vsphere. When we think about all of these applications and these new types of workloads that people are running. I want to take one second to speak to another workload that we're seeing beginning to appear in the data center. And this is of course blockchain. We're seeing an increasing number of organizations evaluating blockchains for smart contract and digital consensus solutions. So this tech, this technology is really becoming or potentially becoming a critical role in how businesses will interact each other, how they will work together. We'd project concord, which is an open source project that we're releasing today. You get the choice, performance and scale of verifiable trust, which you can then bring to bear and run in the enterprise, but this is not just another blockchain implementation. We have focused very squarely on making sure that this is good for enterprises. It focuses on performance, it focuses on scalability. We have seen examples where running consensus algorithms have taken over 80 days on some of the most common and widely used infrastructure in blockchain and we project conquered. You can do that in two and a half hours. So I encourage you to check out this project on get hub today. You'll also see lots of activity around the whole conference. Speaking about this. Now we're going to dive into another section which is the anti device section. And for that I need to welcome pat back up there. Thank you pat. Thanks right. So diving into any device piece of the puzzle, you and as we think about the superpowers that we have, maybe there are no more area that they are more visible than in the any device aspect of our picture. You know, and as we think about this, the superpowers, you know, think about mobility, right? You know, and how it's enabling new things like desktop as a service in the mobile area, these breadth of smartphones and devices, ai and machine learning allow us to manage them, secure them and this expanding envelope of devices in the edge that need to be connected and wearables and three d printers and so on. We've also seen increasing research that says engaged employees are at the center of business success. Engaged employees are the critical ingredient for digital transformation. And frankly this is how I run vm ware, right? You know, I have my device and my work, all my applications, every one of my 23,000 employees is running on our transformed workspace one environment. Research shows that companies that, that give employees ready anytime access are nearly three x more likely to be leaders in digital transformation. That employees spend 20 percent of their time today on manual processes that can be automated. The way team collaboration and speed of division decisions increases by 16 percent with engaged employees with modern devices. Simply put this as a critical aspect to enabling your business, but you remember this picture from the silos that we started with and each of these environments has their own tribal communities of management, security automation associated with them, and the complexity associated with these is mind boggling and we start to think about these. Remember the I'm a pc and I'm a Mac. Well now you have. I'm an Ios. I'm a droid and other bdi and I'm now a connected printer and I'm a connected watch. You remember citrix manager and good is now bad and sccm a failed model and vpns and Xanax. The chaos is now over at the center of that is vm ware, workspace one, get it out of the business of managing devices, automate them from the cloud, but still have the mentor price. Secure cloud based analytics that brings new capabilities to this critical topic. You'll focus your energy on creating employee and customer experiences. You know, new capabilities to allow like our airlift, the new capability to help customers migrate from their sccm environment to a modern management, expanding the use of workspace intelligence. Last year we announced the chromebook and a partnership with HP and today I'm happy to announce the next step in our partnerships with Dell. And uh, today we're announcing that Dell provisioning for Vm ware, workspace one as part of Dell's ready to work solutions Dallas, taking the next leap and bringing workspace one into the core of their client to offerings. And the way you can think about this as Literally a dell drop ship, lap pops showing up to new employee. day one, productivity. You give them their credential and everything else is delivered by workspace one, your image, your software, everything patched and upgraded, transforming your business, right beginning at that device experience that you give to your customer. And again, we don't want to talk about it. We want to show you how this works. Please walk to the stage with re renew the head of our desktop products marketing. Thank you. So we just heard from pat about how workspace one integrated with Dell laptops is really set up to manage windows devices. What we're broadly focused on here is how do we get a truly modern management system for these devices, but one that has an intelligence behind it to make sure that we're kept with a good understanding of how to keep these devices always up to date and secure. Can we start the demo please? So what we're seeing here is to be the the front screen that you see of workspace one and you see you've got multiple devices a little bit like that demo that patch assured. I've got Ios, android, and of course I've got windows renewal. Can you please take us through how workspace one really changes the ability of somebody an it administrator to update and manage windows into our environment? Absolutely. With windows 10, Microsoft has finally joined the modern management body and we are really excited about that. Now. The good news about modern management is the frequency of ostp updates and how quickly they come out because you can address all those security issues that are hitting our radar on a daily basis, but the bad news about modern management is the frequency of those updates because all of us in it admins, we have to test each and every one of our applications would that latest version because we don't want to roll out that update in case of causes any problems with workspace one, we saw that we simply automate and provide you with the APP compatibility information right out of the box so you can now automate that update process. Let's take a quick look. Let's drill down here further into the windows devices. What we'll see is that only a small percentage of those devices are on that latest version of operating system. Now, that's not a good thing because it might have an important security fix. Let's scroll down further and see what the issue is. We find that it's related to app compatibility. In fact, 38 percent of our devices are blocked from being upgraded and the issue is app compatibility. Now we were able to find that not by asking the admins to test each and every one of those, but we combined windows analytics data with APP intelligent out of the box and be provided that information right here inside of the console. Let's dig down further and see what those devices and apps look like. So knew this is the part that I find most interesting. If I am a system administrator at this point I'm looking at workspace one is giving me a key piece of information. It says if you proceed with this update, it's going to fail 84, 85 percent at a time. So that's an important piece of information here, but not alone. Is it telling me that? It is telling me roughly speaking why it thinks it's going to fail. We've got a number of apps which are not ready to work with this new version, particularly the Mondo card sales lead tracker APP. So what we need to do is get engineering to tackle the problems with this app and make sure that it's updated. So let's get fixing it in order to fix it. What we'll do is create an automation and we can do this right out of the box in this automation will open up a Jira ticket right from within the console to inform the engineers about the problem, not just that we can also flag and send a notification to that engineering manager so that it's top of mine and they can get working on this fixed right away. Let's go ahead and save that automation right here, ray UC. There's the automation that we just So what's happening here is essentially this update is now scheduled meeting. saved. We can go and update oldest windows devices, but workspace one is holding the process of proceeding with that update, waiting for the engineers to update the APP, which is going to cause the problem. That's going to take them some time, right? So the engineers have been working on this, they have a fixed and let's go back and see what's happened to our devices. So going back into the ios updates, what we'll find is now we've unblocked those devices from being upgraded. The 38 percent has drastically dropped down. It can rest in peace that all of the devices are compliant and on that latest version of operating system. And again, this is just a snapshot of the power of workspace one to learn more and see more. I invite you all to join our EOC showcase keynote later this evening. Okay. So we've spoken about the presence of these new devices that it needs to be able to manage and operate across everything that they do. But what we're also seeing is the emergence of a whole new class of computing device. And these are devices which are we commonly speak to have been at the age or embedded devices or Iot. And in many cases these will be in factories. They'll be in your automobiles, there'll be in the building, controlling, controlling, uh, the building itself, air conditioning, etc. Are quite often in some form of industrial environment. There's something like this where you've got A wind farm under embedded in each of these turbines. This is a new class of computing which needs to be managed, secured, or we think virtualization can do a pretty good job of that in new virtualization frontier, right at the edge for iot and iot gateways, and that's gonna. That's gonna, open up a whole new realm of innovation in that space. Let's dive down and taking the demo. This spaces. Well, let's do that. What we're seeing here is a wind turbine farm, a very different than a data center than what we're used to and all the compute infrastructure is being managed by v center and we see to edge gateway hose and they're running a very mission critical safety watchdog vm right on there. Now the safety watchdog vm is an fte mode because it's collecting a lot of the important sensor data and running the mission critical operations for the turbine, so fte mode or full tolerance mode, that's a pretty sophisticated virtualization feature allowing to applications to essentially run in lockstep. So if there's a failure, wouldn't that gets to take over immediately? So this no sophisticated virtualization feature can be brought out all the way to the edge. Exactly. So just like in the data center, we want to perform an update, so as we performed that update, the first thing we'll do is we'll suspend ft on that safety watchdog. Next, we'll put two. Oh, five into maintenance mode. Once that's done, we'll see the power of emotion that we're all familiar with. We'll start to see all the virtual machines vmotion over to the second backup host. Again, all the maintenance, all the update without skipping a heartbeat without taking down any daily operations. So what we're seeing here is the basic power of virtualization being brought out to the age v motion maintenance mode, et cetera. Great. What's the big deal? We've been doing that for years. What's the, you know, come on. What's the big deal? So what you're on the edge. So when you get to the age pack, you're dealing with a whole new class of infrastructure. You're dealing with embedded systems and new types of cpu hours and process. This whole demo has been done on an arm 64. Virtualization brought to arm 64 for embedded devices. So we're doing this on arm on the edge, correct. Specifically focused for embedded for age oems. Okay. Now that's good. Okay. Thank you ray. Actually, we've got a summary here. Pat, just a second before you disappear. A lot to rattle off what we've just seen, right? We've seen workspace one cross platform management. What we've also seen, of course esx for arm to bring the power of vfx to edge on 64, but are in platforms will go no. Okay. Okay. Thank you. Thanks. Now we've seen a look at a customer who is taking advantage of everything that we just saw and again, a story of a customer that is just changing lives in a fundamental way. Let's see. Make a wish. So when a family gets the news that a child is sick and it's a critical illness, it could be a life threatening illness. The whole family has turned upside down. Imagine somebody comes to you and they say, what's the one thing you want that's in your heart? You tell us and then we make that happen. So I was just calling to give you the good news that we're going to be able to grant jackson a wish make, which is the largest wish granting organizations in the United States. English was featured in the cbs 60 minutes episode. Interestingly, it got a lot of hits, but uh, unfortunately for the it team, the whole website crashed make a wish is going through a program right now where we're centralizing technology and putting certain security standards in place at our chapters. So what you're seeing here, we're configuring certain cloud services to make sure that they always are able to deliver on the mission whether they have a local problem or not is we continue to grow the partnership and work with vm ware. It's enabling us to become more efficient in our processes and allows us to grant more wishes. It was a little girl. She had a two year old brother. She just wanted a puppy and she was forthright and I want to name the puppy in my name so my brother would always have me to list them off a five year old. It's something we can't change their medical outcome, but we can change their spiritual outcome and we can transform their lives. Thank you. Working together with you truly making wishes come true. The last topic I want to touch on today, and maybe the most important to me personally is security. You got to fundamentally, when we think about this topic of security, I'll say it's broken today and you know, we would just say that the industry got it wrong that we're trying to bolt on or chasing bad, and when we think about our security spend, we're spending more and we're losing more, right? Every day we're investing more in this aspect of our infrastructure and we're falling more behind. We believe that we have to have much less security products and much more security. You know, fundamentally, you know, if you think about the problem, we build infrastructure, right? Generic infrastructure, we then deploy applications, all kinds of applications, and we're seeing all sorts of threats launched that as daily tens of millions. You're simple virus scanner, right? Is having tens of millions of rules running and changing many times a day. We simply believe the security model needs to change. We need to move from bolted on and chasing bad to an environment that has intrinsic security and is built to ensure good. This idea of built in security. We are taking every one of the core vm ware products and we are building security directly into it. We believe with this, we can eliminate much of the complexity. Many of the sensors and agents and boxes. Instead, they'll directly leverage the mechanisms in the infrastructure and we're using that infrastructure to lock it down to behave as we intended it to ensure good, right on the user side with workspace one on the network side with nsx and microsegmentation and storage with native encryption and on the compute with app defense, we are building in security. We're not chasing threats or adding on, but radically reducing the attack surface. When we look at our applications in the data center, you see this collection of machines running inside of it, right? You know, typically running on vsphere and those machines are increasingly connected. Through nsx and last year we introduced the breakthrough security solution called app defense and app defense. Leverages the unique insight we get into the application so that we can understand the application and map it into the infrastructure and then you can lock down, you could take that understanding, that manifest of its behavior and then lock those vms to that intended behavior and we do that without the operational and performance burden of agents and other rear looking use of attack detection. We're shrinking the attack surface, not chasing the latest attack vector, you know, and this idea of bolt on versus chasing bad. You sort of see it right in the network. Machines have lots of conductivity, lots of applications running and something bad happens. It basically has unfettered access to move horizontally through the data center and most of our security is north, south. MosT of the attacks are eastwest. We introduced this idea of microsegmentation five years ago, and by it we're enabling organizations to secure some networks and separate sensitive applications and services as never before. This idea isn't new, that just was never practical before nsx, but we're not standing still. Our teams are innovating to leap beyond 12. What's next beyond microsegmentation, and we see this in three simple words, learn, imagine a system that can look into the applications and understand their behavior and how they should operate. we're using machine learning and ai instead of chasing were to be able to ensure good where that that system can then locked down its behavior so the system consistently operates that way, but finally we know we have a world of increasing dynamic applications and as we move to more containerize the microservices, we know this world is changing, so we need to adapt. We need to have more automation to adapt to the current behavior. Today I'm very excited to have two major announcements that are delivering on this vision. The first of those vsphere platinum, our flagship vm ware vsphere product now has app defense built right in platinum will enable virtualization teams. Yeah, go ahead. Yeah, let's use it. Platinum will enable virtualization teams you to give an enormous contribution to the security profile of your enterprise. You could see whatever vm is for its purpose, its behavior until the system. That's what it's allowed to do. Dramatically reducing the attack surface without impact. On operations or performance, the capability is so powerful, so profound. We want you to be able to leverage it everywhere, and that's why we're building it directly into vsphere, vsphere platinum. I call it the burger and fries. You know, nobody leaves the restaurant without the fries who would possibly run a vm in the future without turning security on. That's how we want this to work going forward. Vsphere platinum and as powerful as microsegmentation has been as an idea. We're taking the next step with what we call adaptive microsegmentation. We are fusing Together app defense and vsphere with nsx to allow us to align the policies of the application through vsphere and the network. We can then lock down the network and the compute and enable this automation of the microsegment formation taken together adaptive microsegmentation. But again, we don't want to just tell you about it. We want to show you. Please welcome to the stage vj dante, who heads our machine learning team for app dispense. Vj a very good vj. Thanks for joining us. So, you know, I talked about this idea right, of being able to learn, lock and adapt. Uh, can you show it to us? Great. Yeah. Thank you. With vc a platinum, what we have done is we have put in everything you need to learn, lock and adapt, right with the infrastructure. The next time you bring up your wifi at line, you'll actually see a difference right in there. Let's go with that demo. There you go. And when you look at our defense there, what you see is that all your guests, virtual machines and all your host, hundreds of them and thousands of virtual machines enabling for that difference. It's in there. And what that does is immediately gets you visibility into the processes running on those virtual machines and the risk for the first time. Think about it for the first time. You're looking at the infrastructure through the lens of an application. Here, for example, the ecommerce application, you can see the components that make up that application, how they interact with each other, the specific process, a specific ip address on a specific board. That's what you get, but so we're learning the behavior. Yes. Yeah, that's very good. But how do you make sure you only learn good behavior? Exactly. How do we make sure that it's not bad? We actually verify me insured. It's all good. We ensured that everybody these reputation is verified. We ensured that the haven is verified. Let's go to svc host, for example. This process can exhibit hundreds of behaviors across numerous. Realize what we do here is we actually verify that failure saw us. It's actually a machine learning models that had been trained on millions of instances of good, bad at you said, and then automatically verify that for okay, so we said, you. We learned simply, learn now, lock. How does that work? Well, once you learned the application, locking it is as simple as clicking on that verify and protect button and then you can lock both the compute and network and it's done. So we've pushed those policies into nsx and microsegmentation has been established actually locked down the compute. What is the operating system is exactly. Let's first look at compute, protected the processes and the behaviors are locked down to exactly what is allowed for that application. And we have bacon policies and program your firewall. This is nsx being configured automatically for you, laurie, with one single click. Very good. So we said learn lock. Now, how does this adapt thing work? Well, a bad change is the only constant, but modern applications applications change on a continuous basis. What we do is actually pretty simple. We look at every change as it comes in determinant is good or bad. If it's good, we say allow it, update the policies. That's bad. We denied. Let's look at an example as asco dxc. It's exhibiting a behavior that they've not seen getting the learning period. Okay? So this machine has never behave this This hasn't been that way. But. way. But again, our machine learning models had seen thousands of instances of this process. They know this is normal. It talks on three 89 all the time. So what it's done to the few things, it's lowered the criticality of the alarm. Okay, so false positive. Exactly. The bane of security operations, false positives, and it has gone and updated. Jane does locks on compute and network to allow for that behavior. Applications continues to work on this project. Okay, so we can learn and adapt and action right through the compute and the network. What about the client? Well, we do with workplace one, intelligence protect and manage end user endpoint, but what's one intelligence? Nsx and actually work together to protect your entire data center infrastructure, but don't believe me. You can watch it for yourself tomorrow tom cornu keynote. You want to be there, at 1:00 PM, be there or be nowhere. I love you. Thank you veejay. Great job. Thank you so much. So the idea of intrinsic security and ensuring good, we believe fundamentally changing how security will be delivered in the enterprise in the future and changing the entire security industry. We've covered a lot today. I'm thrilled as I stand on stage to stand before this community that truly has been at the center of changing the world of technology over the last couple of decades. In it. We've talked about this idea of the super powers of technology and as they accelerate the huge demand for what you do, you know in the same way we together created this idea of the virtual infrastructure admin. You'll think about all the jobs that we are spawning in the discussion that we had today, the new skills, the new opportunities for each one of us in this room today, quantum program, machine learning engineer, iot and edge expert. We're on the cusp of so many new capabilities and we need you and your skills to do that. The skills that you possess, the abilities that you have to work across these silos of technology and enabled tomorrow. I'll tell you, I am now 38 years in the industry and I've never been more excited because together we have the opportunity to build on the things that collective we have done over the last four decades and truly have a positive global impact. These are hard problems, but I believe together we can successfully extend the lifespan of every human being. I believe together we can eradicate chronic diseases that have plagued mankind for centuries. I believe we can lift the remaining 10 percent of humanity out of extreme poverty. I believe that we can reschedule every worker in the age of the superpowers. I believe that we can give modern ever education to every child on the planet, even in the of slums. I believe that together we could reverse the impact of climate change. I believe that together we have the opportunity to make these a reality. I believe this possibility is only possible together with you. I asked you have a please have a wonderful vm world. Thanks for listening. Happy 20th birthday. Have a great topic.