(bright upbeat music) >> Hello, welcome to this CUBE Unstoppable Domain Showcase. I'm John Furrier, host of theCUBE. We've been showcasing all the great content about Web3 and what's going around the corner for Web4. Of course, Unstoppable Domains is one of the big growth stories in the business. Brad Kam, the Co-founder is here with me, of Unstoppable Domains, Brad, great to see you, thanks for coming on this showcase. >> Thanks, pleasure for having me. >> So you have a lot of history in the Web3. They're calling it now, but it's basically crypto and blockchain. You know, the white paper came out and then, you know how it developed was organically. We saw how that happened. Now you're the co-founder of Unstoppable Domains. You're seeing the mainstream, I would say mainstream scene, Superbowl commercials, okay? You're seeing it everywhere. So it is here. Stadiums are named after cryptos, companies. It's here. Hey, it's no longer a fringe, it is reality. You guys are in the middle of it. What's going on with the trend, and where does Unstoppable fit in and where do you guys tie in here? >> I mean, I think that what's been happening in general, this whole revolution around cryptocurrencies and then NFTs and what Unstoppable Domain is doing. It's all around creating this idea that people can own something that's digital. And this hasn't really been possible before Bitcoin. Bitcoin was the first case. You could own money. You don't need a bank, no one else. You know, you can completely control it. No one else can turn you off. Then there was this next phase of the revolution, which is, assets beyond just currencies. So NFTs, digital art. What we're working on is like a decentralized identity, like a username for Web3 and each individual domain name is an NFT. But yeah, it's been a crazy ride over the past 10 years. >> It's fun because, you know, on siliconangle.com, which we founded, we were covering early days of crypto. In fact, our first website, the developer want to be paid in crypto. It's interesting. Price of Bitcoin, I won't say that how low it was. But then you saw the ICO Wave, the token started coming in. You started seeing much more engineering focus, a lot of white papers coming out, a lot of cool ideas. And then now you got this mainstream of this. So I got to ask you, what are the coolest things you guys are working on, because Unstoppable has a solution that solves a problem today, and that people are facing at the same time, it is part of this new architecture. What problem do you guys solve right now that's in market that you're seeing the most traction on? >> Yeah, so it's really about, so whenever you interact with a blockchain, you wind up having to deal with one of these really, really crazy public keys, public addresses. And they're like anywhere from 20 to 40 characters long, they're random, they're impossible to memorize. And going back to even early days in crypto, I think people knew that this tech was not going to go mainstream if you have to copy and paste these things around. If I'm getting ready to send you like a million dollars, I'm going to copy and paste some random string of numbers and letters. I'm going to have no confirmations about who I'm sending it to, and I'm going to hope that it works out. It's just not practical. People have kind of always known there was going to be a solution. And one of the more popular ideas was, doing kind of like what DNS did, which is, instead of having to deal with these crazy IP addresses, this long random string of numbers to find a website, you have a name like a keyword, something that's easy to remember. You know, like a hotels.com or something like that. And so what NFT domains are, is basically the same thing, but for blockchain addresses. And yeah, it's just better and easier. There's this joke that everybody, you know, if you want to send me money, you're going to send me a test transaction of, you know, like a dollar first, just to make sure that I get it. Call me up and make sure that I get it before you go and send the big amount. Just not the way of moving billions of dollars of value is going to work in the future. >> Yeah, and I think one of the things you just point out, make it easier. When you have these new waves, these shifts, we saw it with the web pages. More and more web pages were coming on, more online users. They called it the online populations growing. Here, the same thing's happening. And if the focus is on ease of use, making things simpler to understand, and reducing the step it takes to do things, right? This is kind of what's going on and with the developer community, and what Ethereum has done really well is, brought in the developers. So that's the convergence of all the action. And so, when you (John chuckles) so that's where you're at right now. How do you go forward from here? Obviously, there's business development deals to do, you guys are partnering a lot. What's the strategy? What are some of the things that you can share about some of your business activity that points to how mainstream it is and where it's going? >> So I think the way to think about an NFT domain name is that it's meant to be like your identity on Web3. So, it's going to have a lot of different context. So it's kind of like your Venmo account, where you could send me money to brad.crypto, can be your decentralized website, where you can check out my content at brad.crypto. It can also be my like login kind of like a decentralized Facebook O oth, where I can log into DApps and share information about myself and bring my data along with me. So it's got all of these different things that it can do, but where it's starting is inside of crypto wallets and crypto apps, and they are adopting it for this identity idea. And it's the same form of identity across all your apps. That's the thing that's new here. So, yeah, that's the really big and profound shift that's happening. And the reason why this is going to be maybe even more important than a lot of, you know, your listeners think is that, everyone's going to have a crypto wallet. Every person in the world is going to have a crypto wallet. Every app, every consumer app that you use is going to build one in. Twitter just launched, just built one. Reddit is building one. You're seeing it across all the consumer finance apps. So it's not just the crypto companies that you're thinking of, every app's going to have a wallet. And it's going to really change the way that we use the internet. >> I think there's a couple things you pointed. I want to get your reaction to and thoughts more on this concept of DApps or decentralized applications, DApps or depending on what you call it. This is applications. And that take advantage of the architecture, and then this idea of users owning their own data. And this absolutely reverses the script today. Today, you see Facebook, you see LinkedIn, all these silos, they own the data that you are the product. Here, the users are in control. They have their data, but the apps are being built for it for the paradigm shift here, right? That's what's happening. Is that right? >> Totally, totally. And so, it all starts. I mean, DApp is just this crazy term. It feels like it's this, like really foreign, weird thing. All it means is that you sign in with your wallet instead of signing in with a username and password, where the data is stored inside of that app. Like inside of Facebook. So that's the only real, like, core underneath difference to keep in mind, signing in with the wallet. But that is like a complete sea change in the way the internet works. Because I have this key, this private key, it's on my phone or my device or whatever. And I'm the only one that has it. So, if somebody wanted to hack me, they need to go get access to my device. Two years ago, when Twitter got hacked, Barack Obama and Elon Musk were tweeting the same stuff. That's because Twitter had all the data. And so, you needed to hack Twitter instead of each individual person. It's a completely different security model. It's way better for users to have that. But, if you're thinking from the user perspective, what's going to happen is, is that instead of Facebook storing all of my data, and then me being trapped inside of Facebook, I'm going to store it, and I'm going to move around on the internet, logging in with my Web3 username, my NFT domain name, and I'm going to have all my data with me. And then I could use 100 different Facebooks all in one day. And it would be effortless for me to go and move from one to the other. So, the monopoly situation that we exist in as a society is because of the way data storage works and- >> So that's a huge point. So let's double down on that for one more second. This is a huge point. I want to get your thoughts. So I think people don't understand that in the mainstream having that horizontal traversal or ability to move around with your identity in this case, your Unstoppable Domain and your data allows the user to take it from place to place. It's like going to other apps that could be like Facebook, where the user's in charge. And they're either deciding whether to share their data or not, or they're certainly continuate their data. And this allows for more of a horizontal scalability for the user, not for a company. >> Yeah, and what's going to happen is, as users are building up their reputation. They're building up their identity in Web3. So you have your username and you have your profile and you have certain badges of activities that you've done. And you're building up this reputation. And now apps are looking at that, and they're starting to create social networks and other things to provide me services because it started with the user. And so, the user is starting to collect all this valuable data, and then apps are saying, well, hey, let me give you a special experience based on that. But the real thing, and this is like the core, I mean, this is just like a core capitalist idea, in general. If you have more competition, you get a better experience for users. We have not had competition in Web2 for decades because these companies have become monopolies. And what Web3 is really allowing is, this wide open competition. And that's the core thing. Like, it's not like, you know, it's going to take time for Web3 to get better than Web2. You know, it's very, very early days. But the reason why it's going to work is because of the competitive aspect here. Like it's just so much better for consumers when this happens. >> I would also add to that, first of all, great point, great insight. I would also add that the web presence technology based upon DNS specifically is, first of all, it's asking, so it's not foreign characters, it's not Unicode for the geeks out there. But that's limiting too, it limits you to be on a site. And so, I think the combination of kind of inadequate or antiquated DNS has limitations. So if... And that doesn't help communities, right? So when you're in the communities, you have potentially marketplaces that could be anywhere. So if you have ID, I'm just kind of thinking it forward here. But if you have your own data and your own ID, you can jump into a marketplace, two-sided marketplace anywhere. An app can provide that, if the community's robust, this is kind of where I see the use case going. How do you guys, do you guys agree with that statement and how do you see that ability for the user to take advantage of other competitive or new emerging communities or marketplaces? >> So I think it all comes down. So identity is just this huge problem in Web2. And part of the reason why it's very, very hard for new marketplaces and new communities to emerge is 'cause you need all kinds of trust and reputation. And it's very hard to get real information about the users that you're interacting with. If you're in the Web3 paradigm, then what happens is, is you can go and check certain things on the blockchain to see if they're true. And you can know that they're true 100%. You can know that I have used Uniswap in the past 30 days, and OpenSea in the past 30 days. You can know for sure that this wallet is mine. The same owner of this wallet also owns this other wallet, owns this asset. So having the ability to know certain things about a stranger is really what's going to change behavior. And one of the things that we're really excited about is being able to prove information about yourself without sharing it. So I can tell you, hey, I'm a unique person. I'm an American, I'm not an American, but I don't have to tell you who I am. And you can still know that it's true. And that concept is going to be what enables what you're talking about. I'm going to be able to show up in some new community that was created two hours ago, and we can all trust each other that a certain set of facts are true. And that's possible because- >> And exchange value with smart contracts and other with no middle men involved activities, which is the promise of the new decentralized web. All right, so let me ask you a question on that. Because I think this is key. The anonymous point is huge. If you look at any kind of abstraction layers or any evolution in technology over the years, it's always been about cleaning up the mess or extending capabilities of something that was inadequate. We mentioned DNS, now you got this. There's a lot of problems with Web2, 2.0, social bots. You mentioned bots. Bots are anonymous and they don't have a lot of time in market. So it's easy to start bots, and everyone who does either scraping bots, everyone knows this. What you just pointed out was, in an ops environment that was user choice, but has all the data that could be verified. So it's almost like a blue check mark on Twitter without having your name, kind of- >> It's going to be 100s of check marks, but exactly. 'Cause there's so many different things that you're going to want to communicate to strangers, but that's exactly the right mental model. It's going to be these check marks for all kinds of different contexts. And that's what's going to enable people to trust that they're, you know, you're talking to a real person or you're talking to the type of person you thought you were talking to, et cetera. But yeah, it's, you know, I think that the issues that we have with bots today are because Web2 has failed at solving identity. I think Facebook at one point was deleting half a billion fake accounts per quarter. Something like the entire number of user profiles they were deleting per year. So it's just a total- >> And they spring up like mushrooms. They just pop up, to think that's the problem. I mean, the data that you acquire in these siloed platforms is used by them, the company. So you don't own the data, so you become the product as the cliche goes. But what you guys are saying is, if you have an identity and you pop around to multiple sites, you also have your digital footprints and your exhaust that you own. Okay, that's time, that's reputation data. I mean, you can cut it any way you want, but the point is, it's your stuff over time, that's yours. And that's immutables on the blockchain, you can store it and then make that permanent and add to it. >> Exactly. >> That's a time based thing versus today, bots that are spreading misinformation can get popped up when they get killed. They just start another one. So time actually is a metric for quality here. >> Absolutely. And people already use it in the crypto world to say like, hey, this wallet was created greater than two years ago. This wallet has had transactions for at least three or four years. Like this is probably a real, you know, this is probably a legitimate user. And anybody can look that up. I mean, we can we go look it up together right now on Etherscan, it would take a minute. >> Yeah, (indistinct). Yeah, I'm a big fan, I can tell, I love this product. I think you guys are going to do really well. Congratulations, I'm a big fan. I think this is needed. What are some of the deals you've done? blockchain.com is one and Opera. Can you take us through those deals and why they're working with you? Let's start with blockchain.com. >> Yeah, so the whole thing here is that, this identity standard for Web3 apps need to choose to support it. So, you know, we spent several years as a company working to get as many crypto wallets and browsers and crypto exchanges to support this identity standard. Some of the largest and probably most popular companies to have done this are, blockchain.com, for example, blockchain.com, one of the largest crypto wallets in the world. And you can use your domain names instead of crypto addresses. And this is super cool because blockchain.com in particular focuses on onboarding new users. So they're very focused on how we're going to get the next 4 billion internet users to use this tech. And they said, usernames are going to be essential. Like, how can we onboard this next several billion people if we have to explain to them about all these crazy addresses. And it's not just one, like we want to give you 10, 40 character addresses for all these different contexts. Like, it's just no way people are going to be able to do that without having a user name. So, that's why we're really excited about what blockchain.com's doing. They want to train users that this is the way you should use the tech. >> Yeah, and certainly no one wants to remember. I remember how writing down all my... You know, I was never a big wallet fan 'cause of all the hacks I used to write it down and store it in my safe. But if the house burns down or I kick the can who's going to find it, right? So again, these are all important things. Your key storing it, securing it, super important. Talk about Opera. That's an interesting partnership because it's got a browser that people know what it is. What are they doing different? Almost imagine they're innovating around the identity and what people's experiences with what they touch. >> Yeah, so this is one of those things that's a little bit easier and I strongly encourage everybody to go and try DApps after this. 'Cause this is going to be one of those concepts, it can be a little easier if you try it than if you hear about it. But the concept of a wallet and a browser are kind of merging. So it makes sense to have a wallet inside of your browser. Because when you go to a website, the website's going to want you to sign in with your wallet. So having that be in one app is quite convenient for users. And so Opera was one of the trailblazers, a traditional browser that added a crypto wallet so that you can store money in there. And then also added support for domain names for payments and for websites. So, you can type in brad.crypto and you can send me money, or you can type in brad.crypto into the browser and you can check out my website. I've got a little NFT gallery. You can see my collection up there right now. So that's the idea is that, browsers have this kind of superpower in Web3. And what I think is going to happen, Opera and Brave have been kind of the trailblazers here. What I think is going to happen is that, these traditional browsers are going to wake up and they're going to see that integrating a wallet is critical for them to be able to provide services to consumers. >> I mean, it is an app. I mean, why not make it a DApps as well? Because why wouldn't I want to just send you crypto, like Venmo, you mentioned earlier, which people can understand that concept. Venmo, let me make my cash. Same concept here. But built in to the browser, which is not a browser anymore it's a reader, a DApp reader, basically with a wallet. All right, so what does this mean for you guys and the marketplace? You got Opera pushing the envelope on browsing, changing the experience, enabling the applications to be discovered and navigated and consumed. You got blockchain.com with the wallets and being embedded there. Good distribution. Who are you looking for for partners? How do people partner? Let's just say theCUBE wants to do NFTs, and we want to have a login for our communities, which are all open. How do we partner with you? Or do we? We have to wait or is there a... I mean, take us through the partnership strategy. How do people engage with Unstoppable Domains? >> Yeah, so, I mean, I think that if you're a wallet or a crypto exchange, it's super easy, we would love to have you support being able to send money using domains. We also have all sorts of different kind of marketing activities we can do together. We can give out free stuff to your communities. We have a bunch of education that we do. We're really trying to be this onboarding point to Web3. So there's, I think a lot of cool stuff we can do together on the commercial side and on the marketing side. And then the other category that we didn't talk about was DApps. And we now have this login with ensemble domains, which you kind of alluded to there. And so you can log in with your domain name and then you can give the app permission to get certain information about you or proof of information about you, not the actual information, if you don't want to share it, because it's your choice and you're in control. And so, that would be another thing. Like, if you all launch a DApps, we should absolutely have login with Unstoppable there. >> Yeah, there's so much headroom here. You got a short term solution with exchange. Get that distribution, I get that, that's early days of the foundation, push the distribution, get you guys everywhere. But the real success comes in for the login. I mean, the sign in single sign in concept. I think that's going to be powerful, great stuff. Okay, future, tell us something we don't know about Unstoppable Domains that people might be interested in. >> I think the thing that you're going to hear about a lot from us in the future is going to be around this idea of identity, of being able to prove that you're a human and be able to tell apps that. And apps are going to give you all kinds of special access and rewards and all kinds of other things, because you gave 'em that information. So that's probably, that's the hint I'm going to drop. >> You know, it's interesting, Brad. You bring trust, you bring quality verified data, choose intelligence software and machine learning, AI and access to distributed communities and distributed applications. Interesting to see what the software does with that. Cause it traditionally didn't have that before. I mean, just in mind blowing. I mean, it's pretty crazy. Great stuff. Brad, thanks for coming on. Thanks for sharing the insight. The Co-founder of Unstoppable Domains, Brad Kam. Thanks for stopping by theCUBE's Showcase with Unstoppable Domains. >> Thanks for having me. (bright upbeat music)

>> From theCUBE studios in Palo Alto in Boston. This is an episode in the remote works, Citrix virtual series. >> Hey, welcome back everybody. Jeff Frick here with theCUBE, we're in our Palo Alto studio here on this ongoing leadership series that we've been doing, reaching out to people in the community to get their take on what's going on with the COVID situation, what are best practices, what can we learn and specifically today, really the whole new way to work, and working from home. And we're really excited to have two guests on for this segment. The first one is Amy Hayworth. She is the Chief of Staff for HR for Citrix, joining us from Florida. Amy, great to see. >> Great to see you, Jeff. >> And also Tamara McCleary, who's been on many, many times coming to us from Denver. She is a well respected speaker, you've probably seen her doing more speaking than anything else, and also the CEO of Thulium. Tamara, great to see you. >> Thank you, I'm so excited for this conversation. >> Well, let's just jump into it. So it's so funny and doing a little homework, Amy, I came across a Professional Change Management executive conference, 2015 and you were talking about building change management as a profession and working from home was part of that and that was like five years ago and things creep along and then we have a light switch moment where there's no time to plan, there's no time to think, there's no time to implement things, it's, everyone must now stay at home. And so, outside the human tragedy, that is the COVID situation, we're not going to really speak to that here. But from a business point of view, suddenly with no warning, everyone had to work from home. From someone who's been in the profession of trying to drive change management through a process over time, what does that do for you? How do you digest that suddenly oh my goodness, we've got this light switch moment which is a forcing function that may have never come, but now we have to go? I wonder what your take is. >> I think the thing that get me most excited about this light switch moment is it is showing all of us that we are capable beyond what we ever thought we were when it comes to change. We've been called to take a leap, and for much of my experience in the organizational change management field, we spend a lot of time talking about managing resistance and the pushback about change and there's even this thing that drives me crazy, which is change is hard. I don't know why we tell ourselves that message. And I think what this is showing us is that number one, change is inevitable, it's going to happen. There is very little control that we actually have, but also we are more resilient, more adaptable. We're capable of change than many of us knew that we were. And it is calling up for me, what do we need to put in place within organizations to cultivate resilience? Because one of the things I think this is making all of us very aware is how volatile the world actually is. And it's also laid bare where we are strong individually and able to cope and where we also may need to do a little bit of practice and some very intentional resilience building. Though I think the conversation around the whole change management field is about to change and my hope is that focus turns more to resilience than it is to managing change. >> It's interesting 'cause a lot of just the chatter that's out there, is about Zoom. Do I use Zoom? Do I not use Zoom? Is it secure? All this other, people like to jump into the technology piece. But really, we had your boss on the other day, Donna Kimmel, the EVP and Chief People Officer, Citrix and she broke it down into three buckets. Culture was number one, physical space is number two and digital space was number three. And I thought it was really interesting that she really leads with empathy and human factors and I think that it's easy to forget those, but bringing up simple things that not only are you working from home, but guess what, your kids are home too and your spouse is home too. And they have meetings and they have Zoom calls, they have to do it or the other dog is still running around and all the other kinds of distractions. So the human factors are so, so important. Tamara, one of your early keynotes about your early development was in your early career working with people who are at the end of their life. And I know it helped you develop an empathy and really a prioritization that I think a lot of people are probably getting today that maybe they haven't thought about, what is truly important, what is truly meaningful. And this again, is this forcing function to say let's pump the brakes a little bit, take a step back and think about what's really important and the human factors. Again, your take on this crazy situation. >> I think you're absolutely right Jeff, and the fact that really what this has done, to Amy's point, yes we are very capable of change, but we're mostly so resistant and unwilling to change. And it's not because we don't want to, it's because we fear what will happen if we do change. And sometimes it's like the devil you know is better than the devil you don't. And right now what has been forced upon us is to really think about critical issues. So when you're faced with a lack of toilet paper and uncertainty about your survival rate, you start to think about things in terms of say Maslow's hierarchy of needs. You're looking at that base level, that safety piece. And when people go to safety, they have really left that area of self actualization in what do I want to be, what do I want to do? And it's more about, oh no, what have I done? Do I like my life? I'm stuck here at home, wherever you're sheltering in place and am I really enjoying my life? Am I experiencing my life? And what we really have experienced through being forced to get on to video conferencing, how many of you out there are doing video conferencing like a billion times a day? We're being forced to really see each other as human beings. And that means whether you're the CEO or you're the EVP of global blah, blah, it doesn't matter. What matters is your dog is still barking, your child is still running around and needs something from you in that moment when you happen to be on a call. Because as we all know, with kids, when you say, I can't be bothered for the next 30 minutes, what do you think is going to happen? That's exactly the time when they need more grapes. So I think that what it does is it levels the playing field and it shows us all how human we are. It shows us our strengths as Amy pointed out, and it also shows us our communal frailty. >> So let's get into some of the specifics about what people are feeling. Citrix just commissioned this report put on by one pole, pretty timely, comes out in April, 2020, about working from home. And I think there was really some interesting stuff, still connectivity and bandwidth, still the biggest challenge that people have. Can I even get online, was the number one problem. And when they do, their wifi is slow and there's single sign on. All these things that we've been talking about for years and years and years. I mean, why, why Amy, have we still not gotten it done? It's fascinating to me that in 2020, we still have internet connectivity issues and people don't know how to turn on their microphone on their Zoom call, we're so far behind. >> Yeah, Jeff, I think what we're seeing is number one, it takes practice, then the need to be familiar with all these tools. I also have talked to many parents who first day of homeschool, my son tells me I can't call it homeschool 'cause it's different, it's virtual school, he says it's very different. But that first day, especially families with multiple children trying to get onto a Zoom call with their class, Heron is trying to work, possibly two parents in the house are connected. Our home WiFi networks just haven't taken this kind of load before, but very quickly I think we needed to realize as an organization that this is not work from home, this is working at home during the global pandemic and it is very different. So you mentioned that need to lead with empathy and to really understand what's going on, and I think that's so true and just that the humanness of what we've experienced, that one full research really talked about a few epic moments of mishap, whether it's taking a call from the garage, I have a colleague who would take from the car on the street, still sheltering in place, but the only quiet place to go to take a call. We have a legend in our Singapore office. There's a salesperson who made record numbers working from his garage for a month. So there are all sorts of heroics taking place to balance than in the midst of that when technology isn't acting as we would hope it would under normal circumstances, having to adjust quickly, whether that means staggering schedules, working through accommodations, teachers, however it needs to happen but I think the reality and the acceptance, going back to that humanness and empathy is that we all have to shift our mindset about what work means and even are at work. We've built up a lot of these polishished buttoned up personas and when we are able to actually let some of that down, I think what we're starting to see is connection on a much deeper level amongst teams and among colleagues. >> I'm just looking at the survey at how few people think that this is going to roll over into a little bit more of a permanent form. Only 37% think my organization in general will be more relaxed about remote working. I think staff will be allowed to work from home more regularly, 36%. We had Marten Mickos on and he ran MySQL before it got bought by Sun many moons ago. He talked that he had a distributed team from day one and he laughed. He said, "It's so much easier to fake it at the office, "to look busy versus when you're remote." As you just said Amy, you're only judged by your deliverables. And I thought it was so funny in your blog posts from earlier this year that when managers start managing by outcome and deliverable rather than assuming as good work's getting done because someone showed up at the office, I mean this is ridiculous that people are still judging things based on activity, not outcome. And we're even seeing now all these new tools that people are introducing in the marketplace. I can tell you how often your people are on Zoom and how many hours on the VPN. What are we measuring? We should be measuring outcomes and the piece that comes up over and over is trust. And if I can't trust you to deliver outcomes, I probably have a bigger problem than managing your day to day. Tamara, you see this all the time in terms of the trust and how important this is to relationships. >> I do and in fact our workforce at Thulium has always been a remote workforce. And for the way that I've built our organization is treat everybody like an adult and get your work done. And we do base everything upon productivity versus FaceTime. And I think that the reason some of these larger organizations have had this concept of show up having that FaceTime means that whoever gets there the earliest and leaves the latest somehow has been a better employee, it's not true. It is about productivity. And I think those wise organizations that look at how much they can save with the costs of like AC heat, the building cost, having a brick and mortar for everyone to come into it is very costly. And it's an old paradigm that a lot of middle managers have, which is this control piece. And that if the people are there in the office, they've got more control. And actually what we find is you don't need that control, especially when you look at the younger generational cohort coming up, how they have a totally different view of work. And we've talked a lot about the future of work and the gig economy, and what this COVID pandemic has done for us is to show us that actually work does get done at home. And in fact in some respects, more work gets done at home because it's harder to stop working when your work is happening right there at home. And so it does blur the lines and the boundaries between the work life than the home life. And so I think you get a lot more out of your employees when they work from home. >> It's funny, when Donna was on, she brought up a really interesting topic. She said, "Every time somebody pushes back on that, "can't be done from home." This job, this person, this type of task can't be done from home. The question should always be like, why? It almost sounds like when you move the whole cloud conversation that we've been tracking, went from, when should I move stuff to cloud, to why shouldn't you move to cloud? And it's not, does it work on a mobile, it should be mobile first. And now this conversation is moving this to, why can't somebody do it from home, as opposed to it has to be done from the office? So I think even just the relative flip of the context of setting up the question seems to be changing. That's why it surprised me that so few people think that it's going to go back. It clearly, especially as this goes on for a while, new behaviors become habits and they become normalized and hopefully, the senior management pays attention to the outcome and again, not this activity which is really not, that's not what you want people to do, you want them to actually get stuff done. >> Jeff and Amy, the other thing I was going to say is, Amy, when you look at the report that Citrix has put out, how many people are even going to be able to go back to work when kids aren't going back to school? And then we have summer, piggybacking onto that, so now you've got parents who have kids at home, what is that outlook? To me, it's not just this simple, okay, it's over, let's get back to work guys, because the rest of our life has completely shifted as well. >> That was actually my conversation today, is starting to really think about holistically when it comes to policies, programs, what are we putting in place for the summer? And not only that, but even some of our employees who have been alone through this, I think at the beginning, there was a very large shift on those who had children or elder care to think about. And at some point, at least in this half of the world, about last week, we really started to hear, worried about this person who's been alone by themselves in their apartment sheltering for over a month. So I think if they start to look at the variety of experiences people are having, really being sensitive to different personas in the organization, different needs, different emotions that are happening and we even start to think about, what does that mean to come back to work? And I know countries and organizations are being very cognizant about doing that. safely, in a very gradual  way of thinking about it, but it starts to get very, very complex very quickly and also from just let's do this well because there's a whole new set. Jeff, you bring up all new set of questions of employees asking, I wasn't allowed to work from home prior, I would like to do that more often now, new conversations with managers about, well, how are we going to measure results? There's a lot of work to be done between now and then, whatever what then is, to really ensure that we help everyone be successful. And I think the conversation we're having, it's likely not going to be one or the other. The new normal is not the old normal and we're not sure what it is but most likely, there's going to be some sort of hybrid working arrangement. Right now, the playing field is leveled and that in and itself is a very different work from home experience. What happens when it's hybrid again and there are some who are remote, some who are in the office, how do we make sure that it's equitable and all the voices have equal opportunity to chime in? Because when people are in the office and their colleague or two is remote, it's not a level of conversation in an organization. So whether that's establishing norms or really just starting to create behaviors where if one person's remote, then everybody's remote no matter if you're in the office or not, you dial in via go to meeting or whatever collaboration tool you're , so all sorts of things to think about, but I guess that is our ecosystem of work is going to change for sure. >> It was so funny in your blog posts, you talked a little bit about that as well. And one of the little paragraphs was, who gets to do it? It's like this binary decision, you can either work from home or you can't. And there's this whole second order impacts that we see on infrastructure, there's nobody in the trains or there's nobody on the freeways. You think, wow, we actually have a lot of freeways if everyone is not on them at the same time. So, begs a lot of questions are why is everybody driving to work at 8:30 in the morning to work on their laptop? Now clearly if you're in construction or service trades and you've got a truck and you got to go do something on site, they have to be there. But I think hopefully what this will do is help people as you're discussing, look at those who can. And even if it's one day a week, two days a week, one day a week, every couple of weeks. The impact on infrastructure, the impact on traffic, the environment, mental health, Amy, you talked about mental health, sitting in a car for an hour each way, every day certainly is not helping anybody feel better about themselves or get more work done. So I think there are so many benefits if you just look at it in the right context, focused on who can, not who can't and the how and the why and the enabler. But it's really interesting, we've talked a lot about the physical space and the cultural space. Imagine if this happened in 2006, before the iPhone came out, the smartphone. Think of the crazy amount of tools that we do have. I mean right now, we're talking and we spread out all over the country. So we're actually in a really fortunate space in terms of the digital infrastructure that we have in place to enable these things. And I know Citrix, you guys have been in the lead of supporting this forever, now even have a whole set up of resources, what's it called, the Citrix Remote Work Hub for people to get resource to figure out everything from the mental health to the WiFi connectivity, to all these other little things as Tamara said, how do you manage the kids and the dog and your significant other that also has Zoom meetings that they have to attend? So it's so many resources that people need to use and not feel uncomfortable that they're alone and could use a little bit of an assist. >> Absolutely well said. When this quickly became a forced experiment to work remote, Citrix has 30 years of history helping enable successful remote work in a secure way and the first thing that we wanted to do was be of service. So pulling together these resources has been a big project and we're so glad to be able to provide this tool set and we truly do hope that it makes this transition stronger, better, it will continue to grow and to evolve even as our own experiences evolve, new challenges arise, but we definitely want to keep it fresh and keep meeting the need that's out there, both internal for Citrix as much as in as long as we've been doing, we don't have it all figured out, we are learning too, this is unchartered territory for everyone, but also to take what we are learning and put it out there in a very transparent way. >> Right, I want to-- >> You know, I was-- >> Go ahead, Tamara. >> Sorry, but there was just something so crazy, Jeff, about the study that Citrix put out. And Amy, I wanted to bring this up to you because you said they're coworkers like, well, so-and-so lives alone, I wonder if they're okay or if they're lonely. But in the study, barely a quarter of the individuals reported any loneliness. I find that to be pretty shocking. >> It is shocking and I think it really speaks to how quickly those happy hours, the Zoom Happy Hours or the gatherings and some of the creativity that started to pop up, but yeah, you made a great point, Tamara, that was surprising and I'm curious if that will continue to be the case. (murmurs) >> But I guess maybe some of us when we got home, we were like, wow, this isn't so bad after all. And then can you imagine? So Jeff, if only 28% of people experienced any loneliness, imagine when you can have peace and quiet in your home again and still work. I think that this really is a lot more delicious than a lot of us anticipated it would be. And, what a grand social science experiment this has been! It's phenomenal. >> The fact that everyone is experiencing it at the same time globally just blows my mind. I was here for the earthquake, I was in Portland for Mount Saint Helens, I've been through a few little things here and there, but those are still regional, there's still a safe space, there's still people that don't have that story. Everyone, six or 7 billion people will have a where were you in March, 2020 story, which is fascinating. And then as you said, it's not only the work from home, there's no time to plan and no time to put infrastructure and, oh by the way, the kids are home too, and school is also from home. So in terms of an accelerant, it's just gasoline on the fire. But I want to jump in a little bit about one of the things you talked about Amy and you'll take camera 'cause you're doing it in your own company, and is in terms of establishing norms. I think people are maybe not thinking about the fact that they either need to establish new norms or they need to be very clear on the communication of what the norms are so that everybody is as you said Amy, feels comfortable in this new space because we have norms at work and now we have to have these new norms and there's all kinds of funny stuff going on in terms of we talked about dogs and kids, that this and that dressed, you're not dressed, you put makeup on, it's funny in the survey, do you take a shower? Only 30 some odd people take a shower every day, which I thought was kind of-- unexpected >> What about the shoe comment? Did you believe that, Jeff, where people actually would wear their shoes to their death? Well, I'll tell you, they didn't ask the women because the women would not be wearing high heels at home if they didn't have. >> They didn't specify which shoes, Tamara, they just said shoes. So maybe the more comfortable flats were the ones that were coming out. But I'm just curious on establishing social norms. Tamara, I'll let you go first, how did you establish them? Was it hard to do? Did they self self-generate and as a leader, do you have to police it or is it self policing? How's that working? And then Amy, from your point in terms of formal communication in a much bigger organization and being part of the HR office, one might say, isn't that already part of HR's charter? But how's that different now? Tamara, I'll let you go first. >> Sure, it's a great question because since we do have a remote workforce, one of the most salient things that I found to be critically important for productivity and collaboration and even cohesion and decreasing those silos between business unit is making sure that we form a community. And so what I mean by that is we have and always have had, we've been using video conferencing since before the pandemic and we have video conferencing meetings where video is on, so that's one of the parameters, is everybody needs to see everyone else's faces, and we have a morning kickoff meeting, an all hands meeting and then we have an end of week one as well and part of that piece, we call a standup where people either share something that's either a challenge within their workplace or with a customer or even in their own personal life, and then they end on something to celebrate because I think it's really important for us to cultivate that. But it really helps the teams to get to know one another. So just because someone in this business unit doesn't work with someone in this business unit, they know one another because of these team meetings that we have. And so I think creating a culture of positivity and collaboration versus competition and creating a culture where people feel a part of a team and a part of something bigger and where they see that their contribution makes a difference to the whole, creates a really delicious community that helps people feel valued at work. And I think with a remote workforce, you have got to pay attention to how you are creating that community and that feeling and sense of value to each and every individual within the organization. >> It's a very different kind of a challenge. Amy, your thoughts on more of a formal approach to establishing social norms to some of these big organizations, or do you treat it differently as a big organization or is it just a bunch of small little clusters of people that work together? >> I have so many thoughts on this, so I would love to have a two hour dialogue with both of you on this topic. Couple thoughts, there's implicit norms that develop organically, and then there's the explicit ones which for whatever reason we seem more hesitant to have very explicit conversations about norms. I don't know if people think it's tedious or something like that, I'm not sure, I haven't done that research yet. But in times of transition, it's so incredibly important just even for efficiency to add certainty, to make sure that everyone has the same message, same expectation to lean a little more heavily on the exquisite norms. Talking about how do we want to begin our meeting, let's reserve the first 10 minutes and just catch up like we would in the hallway. Some of that is a shift to how those meetings probably were happening two months ago. So making sure that everyone understands is that expectation and even little bit more of a warmup question. How's everybody feeling today? And even getting more specific, there is a couple of organizational gurus who I have been following quite a bit lately, Aaron Dignan and Rodney Evans, Aaron wrote a book called "Brave New Work" and they also have a podcast, but they really talk about the organization as an operating system. And when we look at norms, the norms are so much a part of that operating system and getting really clear about who does what here. There're things like how are not taken, how are we following up, in our current climate, who's checking on who? And so having some of those explicit conversations I think are incredibly important. And also for me with some of the work that I've been doing over the last six weeks is trying to harness goodness across the globe. So we have a group of site leaders who meet twice a week, their charge is to look after their location. So every location in the Citrix ecosystem that has more than 20 employees has a designated site leader during this time. And in bigger sites, they have pulled together committees, they're doing things that are local level to keep that site engaged, but what we're also looking to do is harness the best of the best. Some really amazing things, I did a radio calisthenic last night with our team in Tokyo. So something very true and personal to the Japanese culture but other sites, they're doing coffee chats and having drop-ins, celebrity guests, organizational leaders that are pretty high profile just popping in and out actively to have a very authentic Q&A conversations. There's some really inventive ideas to keep people engaged and also possibly establish new norm and I think that the question for me is, what do people like so much that they decide that it stays in place? When we do have of that thing and people are in the office more often, what level of connectivity will we keep? Even, will people start showering every day again? Some of these things, who knows what's going to happen? >> You make me want to go down to a to RNB and look in the meeting rooms at Intel, they used to have a very defined meeting, culture meeting, process meeting establishment, super efficient just like they're making chips. I wonder if they've changed a little bit in light of what's going on, but final note in terms of frequency and variety of communications. Both of you now have mentioned in the communications with your people and what you're hearing about is one is, you got to increase the frequency just period. And in fact, you might actually be communicating more frequently 'cause you don't necessarily chat all the time in the hallways when you're physically together. And the other thing that strikes me is the variety. It's not just the meeting, it's not just information exchange, it's touching base with community, it's establishing deeper relationships, it's doing some social things that, kind of the variety and the frequency of direct communication person to person, just not necessarily closer than six feet within one another has to go up dramatically, and is, as you're seeing in best practices in this new world. Amy, why don't you go first? >> I'm seeing a lot more Slack usage, we are an organization that has a multitude of tools to choose from, Slack being one of them, but highly engaged Slack community. The other thing that's become very clear as an insight is the more authentic the communication, the better. So our CEO, David Henshall has been doing video pieces and they had become increasingly more personal about whether it's his space where he exercises what he's doing for exercise, and the employee response has been deep appreciation for feeling several degrees more connected to our senior leadership. Other senior leaders on the team have profiled their own work from home antic in a very humorous way and so just finding inventive ways to leverage the communication vehicles we have, but at a level that is very true to the situation we're in and very human at their core. >> So Tamara, let me ask you a followup on that. You're big on social, it's a big part of your business helping other companies do better at social and engage in social, and it strikes me, especially in the real senior leadership ranks, there are those who tweet just to pick a platform, like Michael Dell, Sanjay Poonen, some CUBE alumni that you know, and then there's some that don't. And again, we talked about the contrast of IBM now, Ginny didn't tweet now, the new CEO announces it on LinkedIn. When you talk to CEOs and leaders about getting involved in social, I'm sure a lot of them that don't do it, just say the risk reward is not there, why am I going to expose some little personal tidbit of myself when the potential harm is great? But as we just heard from Amy, people like to know who the person is, people want to relate to who the person is. That's kind of part of the whole CUBE thing that we figured out a long time ago, is people are interested in the people that are behind the technology in the companies in the implementation. So how do you advise people, what do you see to convince them that, hey, it's actually in your best interest to show a little vulnerability, to show a little humanity, to maybe be scared sometimes and not necessarily have the right answer? How do you help coach them that these are good things, not bad things? >> It's so brilliant you brought this up, Jeff, because with the pandemic, a lot of the executives that were not on social media all of a sudden wanted to be on social media, and how do I do this, and how do I set up my thought leadership? Because this was a very primary mode of communication. And I think what we're seeing is that you do see a lot of the progressive CEOs and executive members on social media and then what you've outlined is there was a hesitancy by a lot of the CEOs who come from a different paradigm in which the hierarchal structure was such that they got to this level and why do I need to be on social media? And what we're seeing is that this push from the younger generational cohorts, which is they don't really see that hierarchal structure at all, and they want to be able to communicate with their CEO as much as they want to communicate with their manager. And when they can't, there is this distrust and you brought up the trust piece, which is huge. And I do know that a lot of global business leaders in highly regulated industries have been afraid, like in the financial services industry because there are a lot of rules and regulations. So I can understand and appreciate their hesitancy to be on social media, which is like a bit of the wild West. And you see those that are really pretty insulated from anything that they do, you can see like Elon Musk can tweet whatever he wants to tweet, and a lot of executives don't feel that they have that same sort of freedom. And so how we work with them, we work in the B2B and enterprise space is about what is it that you want to be known for? What is it that you're passionate about that would, Amy's point, be uplifting to those who not only work internally, your internal stakeholders, but to even your customers or those on the external, and stick to that? So no, you don't need to tweet about your political feelings, you don't need to tweet about sensitive subjects. We always say stay away from politics and religion, but you can absolutely establish a very authentic transparent, vulnerable thought leadership about the things that you care about. And we say pick three things. What three things do you want people to think of when you're not in the room? Pick three adjectives and then construct your editorial calendar, what you're doing on social media around how those three things are going to come to life. Through all of your email? Through your videos that you share with your community? And also what you're talking about on LinkedIn, Twitter and no, I'm not advising any of the executives to get on TikTok, but I do advise them to be on LinkedIn and Twitter. >> Matt Eastwood is starting to play with TikTok, so I don't know if you follow him on that, but he's a budding Casey Neistat. So I think he's getting into the TikTok thing, or even just TikTok edits, it's great. We could go on and on and on, and I really appreciate the time and it's just interesting again, pulling from Amy's blog post about leadership and you lead with trust, accountability, vulnerability, inclusion and communication. I think those are all human things and I think are so important. So final word, assuming things are going to get better in let's just say a year from now, we get back together and talk about how the new way to work has changed in a post COVID world, what do you hope that we'll be talking about that's different a year from now than we are today? Beyond obviously the COVID itself? Amy, you first. >> Wow. To narrow that down, I hope we are talking about how organizations have invested in helping our people find their strengths and feed with resilience and to understand what it is that helps them operate at their best, no matter what situation that you're in. >> That's great. Tamara? >> Me, Jeff, I'm going to hope that we are talking about the technology that's available a year from now that's going to help us have a much more immersive experience remotely working. So we'll be talking about hopefully things like the haptic internet, well that haptic interface with tactile internet and how AR, VR and mixed reality settings will help us as remote authors to feel like we're actually in meetings and having the same sort of experience that oftentimes we think we get only when we're at the building with everybody else. So I hope we're talking about how technology is really moving the needle forward to helping our remote workforce have that same experience and camaraderie and team building that they do in the physical space. >> Great. Well and again, there's this digital is different than physical, we're not together physically and we can't be right now, but we're together digitally. And so it's not the same, it's different, but there's a lot of good things about it too. So thank you both for taking the time, this has been a really great conversation. Amy, I agree with you, we could go for another couple of hours, but I think the crew would start throwing things at me. So I think we'll have to cut it off here. Thanks again and stay safe and really appreciate the time. >> Thanks, Jeff. >> Thank you. >> All right, thank you for tuning in, thanks for watching theCUBE, we'll see you next time. (upbeat music)

(upbeat music) >> Hello, and welcome to our Palo Alto studios in California. I'm John Furrier, host of theCUBE. This is a CUBE conversation with Jason Zintak, CEO of 6sense. This is part of our next gen conversation series. We talk about the technologies and the news and the people making it happen for the next generation technologies, clouds, and solutions. Jason, welcome to theCUBE conversation. Thanks for coming on. >> Thanks, happy to be here. >> So you guys got some news. So you got a couple weeks ago you announced $40 million in funding, which we'll talk about. I want to get that out right away. But I think, more importantly, we're seeing a trend where this next gen blank is happening. You know, I'm watching just the Super Bowl next gen stats is for NFL. You got next gen cloud, you got next gen data. The world of the technology is kind of shifting to a new architecture. You're starting to see visibility into what this next gen looks like. Your company is squarely in the middle of this next gen sales and marketing platform, solutions in the new model. Cloud-scale, data first, this is a core, major shift and it's a huge market. Look at Salesforce, look at all these companies that've been around. And they're incumbents now, you're the new guard. >> Jason: Yeah, yeah. >> Tell us, what's going on with you guys? >> Sure, well you're right. We just raised $40 million. It's our Series C from Insight Partners. Went through a lengthy evaluation process and compete and happy to have announce that last month. And as far as next generation, you're correct. I grew up in a world of email platforms and then big data platforms, marketing automation. And this is a data first strategy, where we allow, we now have compute power that allows us to process huge amounts of data sets. So it's our belief that it should all be data first and driven from AI and ML on top of data that drives a next generation marketing tactic or sales tactic, an email, or a display ad. >> What's interesting is that you mentioned you worked in previous old school technology. You were CEO of Responsys, which was sold to Oracle. That was a great wave that brought in the marketing technology stack. We saw the sales and marketing solutions from Salesforce.com obviously. That was the first wave that you were part of. Now the new wave is going to that next level. This is really the fundamental shift. And it's not so much they're being replaced, but they're just being abstracted away with new capabilities, in some cases being replaced. What's the core problem that customers are having, or the core problem that you're solving because some of these old solutions can't scale. >> Jason: Sure. >> Some of them are because they're big, but what's the core problem in the industry? >> The core problem is that these systems were designed to be contact first, or lead first. And as you know today, no one likes an abundance of emails in their inbox. And so companies have said, hey I want to have a relationship with my customer or prospect. I want it to be a cycle of engagement, an infinity loop. Which means we don't blast emails. We monitor a relationship, what that's like, how we might engage. And the data allows us to do that. We can see what's going on with the activity, and based on that engagement, AI tells us what tactic might be the most appropriate. Which is actually send less but more effective and more targeted. So it's a data-driven approach. It's an account based focus in B2B world, as opposed to old generation which is lead and actually rule based. And so we used to write these, call them journey maps, these if then statements, which were manual. And the second we got done doing weeks of if then statements, they become stale. And so now data helps us and AI helps us understand real time behavior with intent and then the tactic. >> Love the name 6sense. Obviously you want to get a sense of what's going on around you, six degrees of separation. You got network effect. We're seeing a new reality and that is organic kind of user experience is different happening outside the funnel, sometimes inside the funnel, as they talk about in the sales and marketing. But users, at the end of the day, they're downloading Brave browser. They don't necessarily want the ads, and so they're making these decisions based on their experience that they want. So this is changing some of the tactics. >> Jason: Absolutely. >> So talk about that dynamic because the old way was based on see an ad, click on it, go to a landing page, get a lead, throw it in the funnel, matriculate down, and sell them something. And time's not on your side. It's not real time. It's slow, antiquated, you know how to quit. >> Exactly right, so if you don't look at Forrester or Gartner, they'll give you stats that 80% of the B2B sales cycle is done anonymously today. Meaning, they don't want to contact the vendor. There's an abundance of data on the web. And so we appreciate that. We want to actually enable an engagement through learning. We call it the actual dark funnel. This is all the research where it's happening without the vendor being contacted, without someone raising their hand and saying I want a vendor message. Because of this activity that we're able to see and be patient with, we're allowed to engage when the prospect or customer says they want to. But in a nurture format, so it's more respectful of their time. And all the while, this engagement idea is we're giving them content when they want it, when it's on demand, and when it's appropriate. >> And there's all kinds of new data laws coming, so you got to navigate that kind of regulatory environment. But we've been saying on theCUBE, this is our 10th year, and you know the old way and now we got a new way that you're on with company is that people are connected. Everything can be instrumented. This is the big data revelation that started about 10 years ago when the big data movement, and when people said hey data's going to be a big part of it. But with the internet, everyone's kind of connected, so you can technically measure everything. So as a company, how do you look at data? I mean data's fundamental to your vision and your execution. How is that ingrained into the culture and your product? >> Good question and first like to say we respect privacy in the data and personal and companies. So we are GDPR compliant, SOC 2, CCPA, the new California laws as you know. And that is part and parcel to our strategy, respect it. But at the same time, today's consumers generally want to be known in some way, shape or form because they understand the experience of engagement, whether it's an account or an individual customer. The experience is that much richer, if it's personalized and done with taste. Meaning, it's not spam. It's not a thousand emails. It's a meaningful, purposeful, time-based engagement,' content's relative to when they want to know something. >> Well I like what you guys are doing. I like this next gen architecture. It's definitely been valid. You've seen the rise of Amazon. Microsoft's shifted their business model to the cloud. And you're starting to see other ones, other people shifting. IBM shifting to the cloud. So they're all shifting to this new business model. So for you guys, 6sense, talk about and tell me about your target market. What market are you going after? Is it the marketing automation? Is it like the sales platform? What's the market that you're in now, and what market are you expanding into? >> Interesting you say that, so we're classically B2B. We obviously have a bunch of tech customers as our, in the account universe. But also manufacturers, service businesses. We are going after the entire B2B organization because the world as you know it, relative to marketing and sales, is changing. And so it's not just marketing automation that we're replacing, or a next generation of, it's customer success. It's the sellers. Our customers' sales organizations use it with their sales people to understand insights of their accounts and how to engage. So I'd say it's that whole universe, and it's that infinity loop across customer, sellers, marketers. >> You know, I want to just before I get into some of the business model questions and target audience, the buyer, you mentioned customer success. We're seeing a lot of energy around what that is. It used to be customer success was like customer satisfaction, support organization. You're seeing companies bring customer success much further forward into the sales and marketing process for pre-sales and or ongoing engagement as some of these SaaS environments evolve. >> Jason: Yep. >> Are you seeing that, and what's going on with this customer success? I'm seeing a lot more other than lip service. It's pretty integral with companies, organizations these days. What's your thoughts on that? >> I think all of us drive to be customer first, customer happiness, loyalty. Sure, why not? I mean, that's what we should do as organizations. Our software actually, interestingly enough, allows customers to monitor how their customers are engaging with the vendor. And for instance, they may be, if we see a spike in looking at a competitor, the customer will say, hey are you happy? Or product telemetry and usage. We help companies track that usage and see spikes and based on that intent, you might engage with your customer differently, high or low propensity to actually churn. We help with churn mitigation and churn management. >> Okay, let's get in to the product. We're kind of teasing around the product. What is the product? What's the core jewel? What's the IP? What's the main platform look like? What's the product? >> So as mentioned, we're a big data company first. Meaning, we believe it all starts with the data. Because of the compute power available, we're analyzing data, which is your first party data. So all your historical sales and marketing outbound, maybe your CRM system, your marketing automation system, some of the systems that will continue to evolve. And we'll match that data with behavioral data. So what's happening on the web, what's happening through maybe it's cookies, email hashes, display account ID, advertising ID. And we've patented an approach called a company ID graph. And this ID graph is essentially this marriage of people, personas, and accounts and what's going on. Based on the insight that comes from this monitoring, you can create audiences or segments to market to, to sell to. So the insights would be on the marketing side, relative to how do I parse my total addressable market. Or on the seller's side, Oh, I can understand what my count or my prospect might be doing today, therefore I want to execute XYZ tactic, and all led by AI. >> And so I got a, good point there about sales and marketing. In the old way you had a marketing tech, and a sales tech. The lines have blurred, almost seem to be fully integrated now, they're one in the same now, seems like that's the way you guys look at it. Is that true? >> Absolutely, I grew up in sales and marketing and the old world they didn't talk to each other. Today this is absolutely the glue, the connective tissue for sales and marketing so you can start with, whether it's marketing or sales ops, you start with a central plan around your account universe, and then parse from there and segment from there. And so, marketers and sellers will come up with the annual strategy, but allows the conversation. So it's no longer is my lead any good. We've got data around the lead, is the customer responding to an ad campaign. We've got data that it's true. It's not, you know, maybe. >> Yeah, it's always the sales guys always tripping about the leads, these are good leads. The leads are from Glen Gary, Glen Ross, always great quote, good quote that in there. All kidding aside, at the end of the day it's about customer satisfaction. No one wants to be marketed to, so it's a wave of personalization coming. And we're starting to see that now with Big Data, kind of set the tone on that. How are you seeing this new account based marketing and company selling platform. To deliver this kind of personalization it adds value. How do you orchestrate all that? So this is the big challenge, how do you bring that all together? What's your thoughts? >> So, actually our platform allows for that. So as you might imagine, you mentioned the sales funnel, and start with you know customer having initial curiosity, or maybe down at the bottom of the funnel there, actual buying stages through procurement. Based on where we detect someone is in the funnel, you would personalize the content. So if we detect through ID graph, that the company or person might be interested in general awareness, awareness content. If they're down in the buying cycle, far down into the funnel, then it's more related to transactional, meaningful clips that would be more relevant. And that is the personalization, so it's stage appropriate as someone would want to consume it. As there engaging with us. >> Jason give us some of the top use cases that you guys are seeing, as you start to see visibility, you got $40 million in funding, third round venture. You got customer growth, good growth. What's the visibility, what do you see in front of you, what are the use cases? >> Great, so for the capital, I assume you mean. We've had two great years, we've doubled the company two years in a row. We're expanding, so it's actually going to be sort of broad brush, we're expanding our field organization, we're expanding the engineering. We're looking for acquisitions that are strategic, and so our growth will be both organic and inorganic, but it's because of the success and the growth. We want to build the product better to make the customer happier. And that is the general use, of our international expansion. >> So I'm a customer, sell me on this, what's the pitch? >> So-- >> I'm a big tech company, I've got five tons of data. People, internal knife fights going on, I got this platform, we got to get the ROI out of it. How do you, what's the, what's in it for me, pitch me? >> Hey, John is your sales organization happy with the leads? Do they think it's quality? >> The leads are shit. (John laughs) >> The leads are shit, we can help you there, we actually have you know AI helping us understand your account prospects of whose high propensity to buy. We help your sellers. Does marketing talk to sales, John? >> They have meetings, no one want to attend them, I mean this is the kind of thing that goes on. I mean we're talking about, kind of role playing here, but in real time, Hey, no, we're good. It's the sales guys fault, they're not good enough. >> Yeah, exactly, so-- >> The leads are terrible. So there's obviously, again, this is the kind of thing, the tension that goes on. >> Yes, so from the marketers perspective they're looking for a more data driven approach to, and again data helps, data doesn't lie. You know it's sort of math. And so it's no longer speculative, it's we can see the engagement if we run a campaign, whether it be email, ads, social posts, chat bots. All this is collecting data, and showing data relative to efficacy, and that is actually what the marketer wants, and candidly the CEO wants to the see the result of those joint selling and marketing efforts. >> All right, so you got me hooked. Let's do something. How do your clients engage with you? What do they do? A POC? Do they just have a sandbox, is there kind of a freemium tier? can you explain some of the business model and engagement? >> Sure, yeah. We do POC's, we do sandbox. But interestingly enough, we can turn the data on in an hour, an actually a prospect can see what's happening in their universe, they're competitive universe or their own. website, for instance. And so that's a very easy way, tell-tale sign to see data at work. We have low entry points, where companies can come in at 30K at 20K, and start. Or we have million dollar plus contracts that you know span the breadth of sales, marketing and customer success. So it's an easy entry point, you can grow with data, you can grow with users, or you can grow with models. >> So Facebook, and LinkedIn are on, and Twitter, but mainly Facebook and LinkedIn are showing micro targeting as highly valuable. I mean the election train wreck that's happened this past few years, and even this year, I see Facebook has their own issues, but LinkedIn, a lot of people from a B2B standpoint, like LinkedIn. It's network effect kind of distribution, you got targeting, you got a lot of metadata in there. So it's kind of brought up the conversation around micro-targeting. Why can't you just go at the people? You guys do an account based marketing and sales orchestration platform, and you've got these little walled garden organizations out there like LinkedIn. I'm not sure they're selling the data, do they do that? Do you work with LinkedIn, so will there be more LinkedIn? Nope, we got our data, we're going to keep it? Data becomes the key, but if they're going to hoard the data, it's a problem. How do you address that? First of all, do they hoard the data or not? And if so, how do you guys get around that? >> Well you know LinkedIn's got a wonderful business, and they, to agree some of this wall, are a partner of ours, and actually we'll have some announcements pending. So I'll save that for later, but -- >> So they are engaging with platforms, LinkedIn from a data standpoint. >> Very much so, we're an active talks with LinkedIn. And I think we all want to share for the benefit of the ultimate customer experience. And we believe that because we have the Big Data, and we also allow for that micro-segmenting. LinkedIn's another channel, and we want to activate every channel through our platform and that is our strategy. So we allow you as mentioned before, email, display, social sites. >> Do you guys have a program or approach or posture to the marketplace in terms of, if I have a platform, do I engage with you. Can I be a partner or am I a customer? How do you look at the biz dev or partner side of it? >> You know part of the $40 million funding is going to allow us to build out the partner ecosystem that's already in play. We work with agencies, ad agencies. We work with professional service organizations. We work with complimentary software products. We want it to be an open system. We want to be able to bring your own data, and we'll carry it for you to make the AI that much smarter. >> Awesome, great stuff, quick plug of the company, we're you guys at in terms of head count? What are some of your goals this year? And what are you guys looking for, obviously hiring, you said, you mentioned earlier? Give a quick plug for the company. >> Yeah, thank you for that. As I mentioned we doubled the company two years in a row. We've tripled our head count. You know we're hiring everyday in every single segment, looking for people. We'd love to talk to you. We've also tripled our customer base in that same period. So, things are going well, we're happy and I think the big challenge is just keep doing it, and deliver delightful experience for customers. >> Interesting, companies can be very successful Jason if they have a certain you know view. You guys are data first, you got to a horizontal view of the data, but yet providing a specific unique solution to differentiate off that. We're video first, that's our angle. A lot of people having virtual first. Your starting to see this new kind of scale with companies. So I want to ask you about your vision for the next few years. As you look out as the wave is coming in, it's very clear. Cloud-scale, the roll of data, machine learning and AI. It's going to build this Application Layer that has to be horizontally scalable, but yet vertically specialized, for the use cases. Which requires a very dynamic data intensive environment. What's your vision of the next few years? How do you see the world evolving? Because there's a lot of big companies, and start-ups that have been around doing a lot of these point solutions that are features. How do you see this next wave go in the next five years? >> I had a thesis three years ago, I joined the company that these point solutions would go away because they weren't data driven. The hard work is in the large data, the applying the ML and AI on top of that and then doing something with that. We surfaced in applications for the last two years, we've been building the apps that allow marketers, sellers, and customer success organizations to prosecute that data, understand the data and let AI recommend a tactic. So I think it'll just be more of the same but specialized by use case. So where some of our applicability is generic use cases, we'll get specific to telecom on that use case, we'll get more specific in customer success enabling turn mitigation as opposed to just sellers and marketers. >> That's awesome. And if you look at the current events, I got to get your expert opinion. Donald Trump, the Democrats, they've been using social platforms, political ads are being kicked off, but there is a lot more innovation that they're actually doing. So with all that they had actors out there, there's actually an innovation story that's going on under the covers. What's your view of that, I mean the bad stuff's out there, but they're leveraging the new architecture. Facebook's on record saying that Donald Trump ran the best campaign ever. Mentions why he's winning. >> That's the story and back story is sort of history unfolds when we understand it. Is that these election cycles have leveraged data to run their campaigns and it's the new world. And so while there may be bad actors, I think hopefully the world is majority good. And much like our story, we tryna bring a data solution and help decisioning. Obviously, the political campaigns are leveraging it to. >> Yeah, it's disastrous to see the applications fail like they did in Iowa, but the data's there, I mean it's about time. I always say it's going to be on block chain, and Andrew Yang is, just recently came out and said, All the voting should be on block chain. Maybe that's going to happen someday, we'll see. Jason thanks for coming, I appreciate the conversation. >> I appreciate the opportunity, thanks John. >> Jason Zintak, here the CEO of 6sense, industry veteran. Big pedigree, big company with $40 million in fresh funding. We're talking about next generation platforms, I'm John Furrier, thanks for watching. (upbeat music)

(electronic music) >> Live from Toronto, Canada it's the Cube! Covering Blockchain Futurist Conference 2018. Brought to you by The Cube! >> Hello, welcome back. Cube exclusive coverage here in Toronto for the untraceable Blockchain Futurist Conference. Two days of wall-to-wall with the Cube. I'm John Furrier, my co-host Dave Valante, we're initiating this Blockchain coverage to all 2018 Cube events all around the world. You'll see us more and more talking to the most important people. Excited to have, here at The Cube, San Kim, CEO of Lucidity. on the front page of siliconangle.com, our journalism team, with news. Also doing the really interesting Blockchain advertising, if you can believe what that could be. We know about Brave and the attention token, a lot of activity going around on what is the benefit to the user around advertising. Certainly having having immutability and data might be interesting. Sam, welcome to The Cube >> Thank you. >> So, first of all, big news today on Silicon Angle. We covered you guys, you guys announced a strategic investor. >> Yes. >> What's the hard news? >> Yeah, well, thank you for covering us today. Today we announced our initial funding and our strategic investor is Pythia. Pythia represents the hard chain foundation, and so we're really excited about this opportunity, We believe our chain represents an incredible advancement of base protocol layers and so, we're looking, we'll be supporting them as we go forward, as we work closely with Pythia, our chain, and that community. >> Tell me about what you guys offer taken specific context, folks may or may not be familiar with what you do. What's the basic premise of your opportunity, technology and problems that you solve, and how do you use Blockchain for that? Yeah, so, we started, we were a digital advertising protocol. Effectively, we are a shared ledger for the digital advertising ecosystem, and if you know digital advertising, it operates at a tremendous scale. And so we have to build this Layer 2 technology that sits on top of the traditional, the base layer protocols, like Ethereum and Archain. In order to address the three challenges. The three challenges, one being scalability, the second is difficulty in sharing privacy, and the third is the high overhead cost of decentralizing a network. And so we've built this Layer 2 technology that uses a plasma sidechain, and we use something called a time series database, that solves those three problems. And, we're looking to support additional chains, in addition to Ethereum, and so obviously our chain is a natural extension for us. >> Yeah, and you guys obviously get, we cover you guys from a broad perspective, that's a big problem in advertising. >> But are you guys charting the user value proposition, or the digital marketer or agency proposition, or both? >> Yeah, so we're not trying to tokenize digital advertising. Our token is basically used internally as a proof of stake token. So, the advertiser, we're asking them to pay in fiat, and we convert that into a stable coin. And on our current instincts, it's the Dai token by MakerDAO. And so, what we are trying to solve is the transparency issue, that's rampant in the supply chain. So for example, when you run a digital ad today, you use anywhere from seven to 15 vendors, and those vendors, each of them have their own database, and they never communicate that data across to each other, and so there's discrepancies, and it also opens itself up to a lot of fraud. And so the industry is a 225 billion dollar industry, and the industry itself estimates that there's, like, 30% of that money is wasted. And a lot of that is because there's no reconciliation of that data, there's no transparency, and so we've created this protocol layer, for all 15 vendors to submit their data. And, in real time, we can understand, which impressions were valid, which ones were fraudulent, and, well, not just transparency, but now that we as industry participants don't have to argue with one another, we'll start to trust one another, and then we can move the industry forward. >> In the market it'll adjust the pricing as a result of that as well, right? >> Oh, absolutely, absolutely, and it's just about identifying where is the value created, right? So if you're a value creator in the supply chain, you could probably estimate that, the advertiser's going to eliminate the less valuable ones, and focus on the valuable and the adding ones. So basically, if you're fraudulent, like yeah, you might get hurt, but the real adders will benefit from it. >> Just to clarify a question, you talked about the overheads of decentralizing advertising. I infer from that that an advertising supply chain, by its inherent nature is decentralized? Or are you talking about more of a disruptive model? Can you explain? >> Yeah, so we're not re-creating a whole ecosystem, >> Right >> We're interoperable with the existing architecture. >> Which, is decentralized by its very nature, you're saying, or...? >> No, no, no, it's not decentralized >> Okay >> It's very centralized, like all the metrics are controlled by a few players. >> So it's no seven people in the supply chain, that form that central entity... >> Yes, it's all central entities, and we're asking them to submit their data, into this shared ledger, that works across all of the different industry structures. >> So it is disrupting that... >> Oh, it's highly disruptive in terms of that, but we're not trying to re-create the infrastructure like a lot of other blockchain architect companies. >> Oh, I see, so you're tapping into the existing, and you're providing good auditing, I imagine with this, right, so the benefit might be auditing. So give an example of how that would render itself. >> Yeah, so, one of the areas that we're focused on today, is just looking at the impressions, in a programmatic ad buying. And so, let's say, let's just focus, instead of talking about the 15 vendors, let's just talk about the four. The four is the advertiser, is the DSP, which is basically the buying platform, the SSP, which also represents the exchange, and then the publisher. Now there is, we were asked that all four submit their data into the smart contract, and we verify whether that impression was valid. If you think of a fraudulent example, like a bot, they will not be able to mimic the data across the whole supply chain. And so because we're looking at the data wholistically, rather than just the slices of it, we can identify those fraudulent behaviors. >> This is the benefit of horizontally scalable, integrated systems. Cloud can help you, Blockchain helps you. How's the uptake been? Give us an update on who's involved, what's been the successes, and how's your success going? >> So we've been really excited to work with the IAB, and the IAB stands for the Interactive Advertisement Bureau. They're the bodies that set standards in digital advertising and we're working very closely with them. We launched our pilot, the first official pilot with the IAB, and we have great advertisers that are working with us, we're working with a lot of the agencies, we're actually even working closely with the publishers, and the ad networks, and the exchangers. AppNexus is one of the major partners with us, and the reception's been really positive because I think everybody wants that transparency. >> Well, some of the status quo might not want that transparency, I mean, let's face it, right? >> The fraud is rampant, it really is. >> A 220 billion dollar industry, I betcha there's a lot of people in it that are like, oh boy, here comes lucidity! I mean, come on, what about that? >> I'm sure that exists, but we haven't really come across it because the advertiser, at the end of the day, has become really aware that there is this rampant fraud, there is this waste. And I don't want to attribute everything to fraud, I think some of it is just wasted, because of the quality of the data. And so, the advertiser is demanding and at the end of the day, we're here to serve the advertiser, right? We're here to deliver value to the advertiser, and I think the industry is mature enough now, to where we recognize that. And so we don't think of transparency as a threat to the business anymore. We think of it as a value enhancement to our customer, the advertiser. >> Yeah, and I would personally totally agree with that, because as I said, the market will correct itself. Higher quality advertising is going to deliver more revenue, ultimately, alone, because there's going to be better outcomes. Right, so if you can increase your hit rate, you'd be happy to lower the clicks, you know? >> Is there any benefit for publishers? >> Yeah, I mean, publishers today have to basically trust what their partners are paying them. There's no way for them to verify and validate it. And so, with our system, we enable publishers to look into, it's our sidechain, right? And so, they are able to look at the events, but we obscure the data, we hash the data that's there so that we make it anonymous. But then they're able to see, like, okay, these are the impressions I've manned, here are the ones that were considered valid and verified, and here's what I should get paid. So the publishers now get the transparency, that which they lack today. >> So much of that industry is a black box, you might have a big media buyer, who's got voodoo, you know, that sprinkles magic dust, sends you a big bill, and you're like whoa! Is this really worth it? >> Bots, fake traffic.. >> You can automate a lot of that... >> And you've been doing this for 20 years! This has been the status quo for 20 years! >> We need a change. So, talk about the company, how big, how much funding did you actually owe? Is it privately funded, what's the funding mechanism? How big are you guys, what's the story? >> So today we announced that we raised five million dollars, we did it in traditional means. We did not do an ICO. >> Venture capital? >> It's a mix of venture capital, and obviously Pythia is the fund for our chain, so, but it was an equity deal. And that's the brow we're going to continue with. We do have an internal token, but we are not looking at doing a public sale. >> So not a security token, preferred stock, classic funding. >> So wait, so you did a security token? >> No no, no, preffered stock, classic venture capital. Well, great! Yeah, that's awesome, congratulations. We'll keep in touch, it's great to have you come on. >> Thank you very much >> Thanks very much, appreciate the time. >> And thank you for covering us! >> Of course! We love innovative things, in advertising specifically because it's freaking broken, big time! We have no advertising on our site, because we want to get the best content possible. Of course, the Cube is supported by sponsors, we appreciate that. Thanks for coming on. Cube coverage here in Toronto for watching futurists, we'll be right back, stay with us, as we start to wind down day one. Be right back with more great interviews after this break. (light-hearted techno music)

>> From Orlando, Florida It's theCube covering SAP Sapphire Now 2018! Brought to you by NetApp. >> Welcome, you're watching theCube, On The Ground at SAP Sapphire Now. I'm your host, Keith Townsend. We're in steamy Orlando. Great convention center size of 16 American football fields. Got in about three thousand steps this morning, but you know what, I'm not here to talk about me. We're here talking about the relationship between Microsoft and NetApp. We have Brad Berkey, GM SAP Global at Microsoft and Kevin Zhang, Tech Solutions Pro, and this is a mouthful, SAP on Azure Intelligent Global and you're a black belt? >> Yes. >> Oh wow! >> Yes, I can kickbox. >> You can kick some SAP butt. >> Yes (laughs) oh no, yes, yes we do great solutions. >> So first off let's talk about the NetApp, Microsoft relationship as it pertains to SAP. What's the story behind NetApp and Microsoft? >> The great thing aout NetApp and Microsoft is you both have the same vision, right. For us, it's about our responsibility to help our customers innovate. And NetApp is a key partner for us in our ability to help our customers innovate and provide solutions around SAP. >> So, let's talk about those solutions around SAP. One of the things that's getting pushed an awful lot is that SAP is now cloud ready. We can go to the cloud. We can go to these hyperscalers, such as Azure or As-zure and swipe a credit card and get up and running with HANA. Tell us about that experience. How does that go exactly? >> Kevin? >> Oh yeah, so I don't know if you have heard. We just announced we released a 12 terabyte memory size virtual machine. Our Halo logging instances can go up to 24 terabytes. So we ran the largest SAP workload in the world. There are so many customers, about 400 SAP Azure customer. Personally I work with about 30 SAP on Azure customers and over 77 or 80 SAP HANA on Azure customers. So, it's very exciting and we see that the trend is picking up, the demand is picking up worldwide. >> Wow! Bill McDermott on stage yesterday gave the numbers around SAP HANA in general, 1800 customers. So Microsoft having 400 SAP HANA customers. >> Sure, just to be clear on that. So when we talk about customers that are sitting inside of Azure for their SAP Landscape, that's both traditional NetLever base and HANA base and I think the number that you have is closer to 70 of that larger number. The real important thing that customers are seeing today is the... When people think of cloud, they think about cost reduction. I'm gonna save money because I'm gonna be renting equipment. The true value is in your ability to be nimble to innovate, right? So imagine a customer puts their SAP Landscape inside of Azure and it's NetLever based say the older stuff. At any point along that journey, they can call us up and say, "I want the infrastructure for HANA." They can innovate at will. If they buy hardware that sits on-premise, that hardware's set to run that particular landscape, it's not set to run HANA. So there's some opportunities for the customer to innovate using Azure. It's not just cost savings, it's around efficiencies and the ability to innovate at will. >> So let's talk about hybrid clouds scenarios around that very concept. We had another NetApp partner on that talked about the scenario in which customers have this desire to innovate quickly. Traditionally, in a traditional enterprise, to your point, if I wanted to spin up a HANA workload, I'd have to procure hardware, I'd have to get my bases team to lay down the NetWeaver stack along with HANA. It could be a couple of months before I'm up and running. Then I can innovate, do my innovation. How does Microsoft help shorten that cycle? >> I can speak to it. We actually have another partner here with there model, as well, SUSE. HANA is drawn SUSE right ahead and different flavors of Linux. and they're running on Azure. Today, we are able to deploy the entire SAP Landscape using alternative scripts inside Azure. In 30 minutes, you have the entire SAP Landscape deployed including the large virtual machine M series for your HANA cluster. You also have the ESCS, the central instances and also the AFS Cluster as well as your application servers. All of those things running your automation, your cloud speed in 30 minutes instead of three months. >> So one of the obviously manages of cloud, in general, is this ability to get to agility. There's a concept that once I've innovated in the cloud, I know what the workload is, it's stable, it's not changing that I bring that back in house. Is that something that you're seeing, are people continuing to run these workloads steady state in the cloud as well? >> I think they're gonna run more so in steady state. We don't see them kind of moving it back. The idea that in a traditional SAP Landscape is that everything is always on. >> Right. >> Right. Since the lights are always on, why not I have my own equipment as opposed to renting just compute from a hyperscaler like Microsoft. The reality is, is again, back to that notion of innovating. If I'm gonna role out, let's say, S4 on top of HANA, so you think about Suite on HANA and then S4, I'm gonna set up all of these test environments, multiple test environments, versions of it as I roll out. I'm gonna be really big for a short period of time then I'm gonna roll it out and shrink back down. Also, when I do upgrades, you think about it like if you're doing payroll at the end of the month, I'm gonna be big for short periods of time. So we call that bursting, and it's that bursting that allows you to continually to reduce costs you wouldn't bring back on-prem, where you can't burst, right? Makes sense? >> That makes sense. So let's talk about some of these business conversations that you've had with customers. What have been some of the primary drivers other than the obvious agility? What are some of the conversations that you look at the broader Microsoft portfolio solutions that you're able to bring into customer conversations? >> Two things come to mind. One of which is when you think about enterprise-class security across all domains, right? So right now we provide Azure for Office 365. That's an Azure tenant. And we can give you advance security for that. Imagine that I can provide that same security for your SAP system. I want to give you an example of the type of security solutions. We have an intelligent IOT-based security model that sits inside of Azure that will predict hacks. They'll look at your environment and say, "you look just like a customer who has been hacked" or "you have the attributes of a customer "who could get hacked" and they'll proactively come in and say you need to make these adjustments That kind of stuff sits inside of the cloud in Azure. So it's not just... And again, I think the misnomer is it's just about cost savings 'cause if it was just about cost savings, then at some point, your depreciation models for on-premise hardware as long as you can stay and not change, so not changing would save you a lot of money. So that's why I get back to you, it'll allows you to change without burden of impact. >> Talking about change in the industry, we can't have a 7.5 billion dollar acquisition and not talk about it on theCube. We kind of eat this stuff up. You guys acquired GitHub. Let's talk about the relationship of developers, one of the things I haven't heard a lot, at least in conversations I've had on theCube so far this week have been about the developer. Talk about the importance of the developer relationship and potential integrations with GitHub, if you can, and SAP. >> First, that is one of my favorite topics I have. I came from a development background we call enable agility allow you to run continuous development and continuous integration, and the GitHub has been a integrate part of Microsoft Solution already. We are probably the largest contributor in the GitHub before Google and Facebook where if you ranking based on the history. The open source has been cultural after the Satya takeover as CEO has been our winning grace, open source, and we actually... The majority of our code and our deployment is in the GitHub. In the SAP world, the ARM templates for automation templates, JSON templates, and all the automation scripts we deployed in the GitHub, and we share with customer as a community. If they actually use those scripts through their deployment, continuously improve the scripts for automation. >> So, continuous integration, continued development is not a term that we hear a lot in the SAP world. As we're bringing these concepts from I think thought into reality with services such as GitHub to store DevOps scripts, automation scripts, what has been the business impact of being able to bring a continuous integration, continued development practice to SAP which is usually not big? >> I'll give you a good example. For example, when Brad Berkey mentioned earlier doing the SAP Landscape deployment, you have no N+1 deployment and you want to do a test environment, you want to do a Sandbox to troubleshoot the incidence. Today, with the scripts automation, you can spring up an entire system in three hours, four hours, including S4, including the time old system when you put in the business object BI and the other things together. You can test this and then shut down the entire system and delay the resource group inside Azure. As we move that system, they re-spring up as necessary. Also, we're working with SAP called Landscape Manager which allows you to clone the system inside the Azure. The scripts behind it is actually a computer integration into the dual element type of scripts allows you to replicate system files, allow you to deploy another testing system or training system. It gives you a lot of modern deployment methodology to give you fast agility to the business. >> So Microsoft, the ultimate platform company, one of the things that designates the platform company is that your partners basically make more money than you off the platform. Windows is a great example of a platform. So you have platform, Azure is definitely becoming known as a platform, and then we have NetApp, the data driven company. Talk through the value of the NetApp data fabric, data driven technology and platform as it pertains to the ability to have the same data operation strategy on-prem and in the Microsoft Cloud. >> Okay, I'll give you an example. A lot of our customer, Brad sells a lot of SAP on Azure to many customers. I've supported those customers. Many of them because NetApp has a super, very high speed fastest management, snapshot management to data protection and data recovery and backup, and also the DR capability, customers demand asks us can we actually work with Microsoft in the cloud or use a similar technology. So they deployed the NetApp ONTAP inside of Azure today. And we're able to support AFS file services to file sync from on-prem to the cloud, from one Azure region to another region, leverage those ONTAP snap mirroring and all the technology as well. So to enable to provide an enterprise level file sync, file protection, file recovery and warning replication as well. >> So, you guys are pretty good. I'm trying to throw you curve balls but you're pretty much knocking 'em out the park, so I'ma try to throw another curve ball. Bring the hybrid IT story in for me from a Microsoft perspective when it comes to Azure stack. How does Azure stack play a role in the overall vision whether it's Edge, Core, or like stationed into the cloud, how does Azure stack play a role in it? >> In Azure stacks. It's not for SAP. >> Yeah, okay. Azure stack is a very important overall view from Edge to the entire cloud. We have the 50 regions globally. We have many data centers combined. The largest of public quota from region perspective, but still they're areas, for example, like a cruise ship, like a defense department, they may actually require Edge inside a prime type of technology stack. Azure stack allow you to use the same interface, same view to deploy the technology. When you actually connect it, you can synchronize your subscription. So it can allow you to have end-to-end access from your on-premise into the cloud. Microsoft has the perfect hybrid cloud strategy here, and it allow you to do not only the IaaS and PaaS and also the SaaS solution to our customers. >> So, okay, let's bring the conversation back up a couple of levels and talk, Brad, what have been the conversations here? After the keynote this morning, talking about the intelligent business, the conversations yesterday with Bill McDermott with the super-high energy about SAP going into CRM, what has been the conversations with customers? >> We've had a privilege for a lot of customer meetings in here. The great thing about SAP Sapphire is you got about 20,000 customer attendees here. They're the big ones, and at the C-Suite, so we get to have some great conversations. The customer conversations have been around the notion of the responsibility that Microsoft and SAP have to them. To the point where I was speaking with a customer early, he says, "You have an accountability "to help me be innovative." That's a very important responsibility. A lot of that revolves around enterprise-class security. A lot of that revolves around uptime and legacies between those environments. "What's my performance attribute?" and "Are you going to be there with me forever?" Now when a customer chooses Azure or they choose SAP and they choose Azure, certainly, it's really a three-part partnership. The customer, Microsoft, and SAP as a partnership. If I had to add a fourth one to that, it would be the systems integrator because in the case, Microsoft doesn't upgrade, migrate, move or install anything. So we rely on all the many partners that are here to do that set of work, everywhere from Accenture to Gemini to Brave New World. That was ABC, right? I got those out, right? All of those partners are very key to both Microsoft and SAP to ensure customer success. So a lot of the meetings that we've had here have been with those partners and those customers. >> Wow, to be a fly on the wall for those. I would love to go into more detail. We've run out of time. I'm getting the wrap sign, but I would love to have a conversation around support, integration, way more areas than we have time for. We'll have to get you on theCube again. You're now Cube veterans. From Orlando, this is Keith Townsend for theCube. Stay tuned or stay in the YouTube feed to find out more about what's going on about SAP Sapphire Now On The Ground. Talk to you soon. (lively music)

>> Narrator: Live from San Juan, Puerto Rico It's theCUBE, covering Blockchain Unbound Brought to you by Blockchain Industries (upbeat music) >> Hey, welcome back everybody, we're live in Puerto Rico for the cryptocurrency, global blockchain, decentralized internet, Cube coverage in Puerto Rico part of Blockchain Unbound. I'm John Furrier, host of theCUBE here, also co-founder of SiliconANGLE Media Inc. And, we're here with a first Cube ever, father/son Cube segment where we're going to kind of break down a summary of the show but mainly get the take from a 22 year old. Here with me is my son Alex Furrier who's been doing the schedule and greeting all the guests. Alec has been also demoing our platform that we haven't formally announced but also Not that we have to but it's out there. theCUBE platform, all the back-end data Because it really is getting everyone here excited So, Alec, welcome to theCUBE. >> Thanks, great to be on, finally, after all these years (John chuckles) to be on, it's an honor. >> Well, thanks for all the hard work you did on the schedule but you're a young gun, you're 22 years old. This is an exciting crypto world for your generation. What's your reaction to the commentary you've heard, the stories you've heard, what's the young perspective on cryptocurrency, blockchain, what's the view? >> Totally, it's a totally crazy culture, right? So, there's a very big influx of young talent and talented minds at that, right? And, this is really changing the revolution landscape. It's accelerating the tech. These ideas are being freely shared whereas before there was bottlenecks in the collaboration aspect of the technological field, right? >> You're a gamer, I know that so you're the young eco-system You don't care about data lakes and data centers and cloud computing. What is your generation look at this as an opportunity? What's exciting about it? What's the perspective? >> Well, there's multiple perspectives. The main two I say, there's multiple perspectives. Main two, is one, there's a shit ton of way to make money. And you know, is there a scam? Is there a risk for my business? You know, blockchain is involved. And there's a little bit of that mumbo jumbo going along. But then, there's also the other side that are really into it and really applying the tech and know that this is the best way to collaborate with peers >> What's the coolest thing you've seen? >> The coolest thing I've seen is probably Hashgraph which is actually not on the blockchain and competitors of the blockchain. And that's actually increasing speeds and pretty much making the tech, the back-end infrastructure better. >> So, you dropped out of UCSB, you're going to maybe go back to school but you're also working as a product manager for our crypto project for SiliconANGLE Media, theCUBE, Cube Network, you were giving demos. What is, what are we doing? How would you explain what we're doing? And, what was some of the reactions to the demo that you were giving? >> All great reactions so far. People are very excited what we're building which is a reputation centrality metric. And, what this does, is allows us to track, what users are talking about, and where they're talking about it. And actually, rank their reputation leaderboard rankings by topic, by frequency, by impact down reverb in the entire network. And that allows us to appropriate connections between two people who have different social, culture and professional topics that they talk about. And allow them to create more value for the entire platform, for the community and more importantly, themselves. >> What is, what does that mean, what problem are we solving? >> So, we're solving the Facebook ad word problem of the old generation which is you as a user do not own your data. Right? >> Yep. >> So now, what we have is this user base struggling to find the monetary value in their social media platforms. But now, we are actually offering a way for them to reverse the paradigm and get paid for interacting with others, creating with others and contributing to the community through all of their social media outlets. >> What was the biggest thing that people reacted to at the demos, the variety of tools we showed them. What was the number one, couple of things that they reacted to, what jumped out at you? >> So, I would say what jumped out is, how blown away these people are. They really are, you know, elevated in their mindset when they think about these concepts. Because it expands their mind and when they realize that I can go and expand someone else's mind and their mind will essentially contribute to the entire community. And everyone's going to grow from one initial idea. >> What are you working on, the project? Please share with the folks, what've you been working on, what specific things that you do and you're managing. What's unique about the technology? Share some color commentary on the project. >> Yeah so right now we have a couple of projects going, and, for now, I'll just talk about the platform side of things which is the more futuristic vision. Specifically, we're creating trending communities so we could actually auto generate stories based on Twitter API data, right? And also, our own platform has even more complex metrics which we'll be rewarding people for, so people will get rewards for using our platform more than the Twitter. But we could still have native content versus in-network content being weighed differently. And so, what we're doing is routing metrics of weighted value with a contextual layer on top through natural language processing and machine learning. >> So, are some people saying "Oh, you're like Steam?" How do you respond to that? >> We're not like Steam. Steam is extremely powerhousey and it's momentum and it doesn't actually do topic weighing Right, so, and we also value attention of the crowd so what we're working on is, what do people influence with their reputation? Whereas Steam, it's like, where do people contribute? How much do they contribute? And so, what we want to do is, we say hey, you know if I get uploads on Reddit that should be weighed in the network somewhere else, right? Instead of having a overall karma, we should have one integrated karmic aspect of a topicality so that if my karma, I'm using karma as an analogy cause Reddit has the up votes karma, down votes karma. >> So what about blockchain, why are we So, how would you explain to someone Okay, you're theCUBE what is the blockchain? What is crypto mean for us? >> So, blockchain, we're using it to add a layer of trust and security to our network. So we want transparency within our network and that means we have to have a ledger for every single engagement, interaction like we tweet on the network, right? >> And the crypto, the token, does what? >> Crypto token will pretty much be able to be cashed out thru Ethereum, right, ERC20 but it would also have a weighted role in our two sided marketplace, bounty ask buy. And, that'll be the main medium of where people identify and exchange their reputation. >> How would you describe out platform to a user out there if they say, what do you like, or what are you disrupting, what aren't you like, what are you guys doing, what you disrupting? And why would I want to use your platform? >> Yeah, so I think we're disrupting, you know, multiple companies, right? And, the one I really associate with is a professional Steamit meets Brave Browser, BAT token versus Steam, right? So, BAT is attention only and attention is valuable. I'm here with you, you have a 20 minute interview with me. That's your attention, that's valuable but it's much more valuable than someone else who isn't interviewing, let's just say, someone who is less fortunate. But, that's also a real time aspect. So there's a time variable, there's a network variable and there's a topicality variable, you know the social graph, you got the interest graph, and then the value graph on top. >> So Alec, so if you had to describe what we do in one sentence, what would it be? Putting you on the spot. >> In one sentence, I would say we would call it, a decentralized media platform with rewards for the user base, based on reputation. >> Alright, my son Alec Furrier is also involved in our crypto project, part of theCUBE network coming soon, house of theCUBE is here, the crypto conference, and what better way to align with the crypto community then demoing our token enabled platform. Congratulations to you, Narendra, Kent, Jeff and the team doing a great job with theCUBE network. Cube alumni are all going to get coins, right? Not yet decided but great work Alec, thanks for sharing. It's theCUBE here, Puerto Rico. I'm John Furrier, my son Alec. Thanks for watching. (upbeat music)

(upbeat music) >> Narrator: Live from Nassau, in the Bahamas it's theCUBE. Covering POLYCON18. >> Hello welcome back everyone this is theCUBE's exclusive coverage from the Bahamas, we are here at POLYCON18 Put on by Polymath and Grit Capital This is an amazing event, it's really the cryptocurrency, blockchain, token economics, the decentralized future-internet is happening now. The industry if forming, CUBE is starting its 2018 run. We'll cover all the top events this year, in the cryptos. As you know, we know cloud, big data, we do all those other events, we'll start covering in a big way because the ecosystem is formed, you're seeing people making money. The early whales, the big guys, now you've got institutional investors coming in, a real ecosystem dynamic. This is what industries look like when they're formed. Our next guest is Carlos Domingo, founder of and managing partner at SPiCE VC, and the founder and chairman at Securitize. One of the tell-signs of a maturing ecosystem that's growing very fast is companies that are adding value. You're one of them, Carlos. >> Thank you. >> Welcome to theCUBE. >> Thank you, thank you guys for having me here. >> So, you know Dave Vellante who just had to jump on a plane 'cause the snowstorm in Boston would comment, he would say, 'cause we talk about this all the time, "You know you look "for the big waves, and you see what's happening. "But How do you know when there's a tipping point "in a new industry?" And that when there's stuff being created, value being captured, industry being formed with an ecosystem, and a community, this is absolutely happening. >> Correct. >> You're bringing a very valuable service to market. You guys self-funded this operation, Securitize. You're automating other value chains that were old guard businesses in a new way. >> Correct. >> Take a minute to explain Securitize, why the idea, what you guys have built, what you've got going on, and, What's the disruption of that product? >> Good, so the idea came originally 'cause last year me and my partners, we wanted to tokenize a VC fund. And basically show a security token that contains the economic rights of the fund as a way to provide liquidity to the investors because liquidity on the VC space is one of the biggest problems, right, you invest money and it takes like seven to 10 years and then you can actually get your money back. So we had that idea, at that time Blockchain Capital had done one security token, was the first security token, for a 10 million dollar offering, and we wanted to kind of build on that, so we went out and looked for people that could actually do the issuance of the security token in a regulated way, so the KYC, the AML, the accreditation process per country, not just for the US. And basically ran the ICO in a secure way with secure wallets for different cryptocurrencies, and then also have the smart contract issuing the token, but also smart contract managing what happens with the token on the secondary market, which is very important, right? 'Cause see, in the secondary market the tokens can actually move from a wallet to a wallet, and suddenly you're outside the regulatory framework that you protected at the beginning Right, so we went out and talked to Polymath and many, the few companies that were doing that and no one was actually ready with a platform last year, so, we are all tech entrepreneurs and product people, so we did what we know how to do, we hire a CTO, hire engineers and went and built our own platform for SPiCE VC, for tokenizing the fund. And then when we announced the project around September, October last year, I posted a Medium about the investment process, and the screenshots of the path and how it works, all the features that it has, we also integrated Bancorp as the central exchange to provide liquidity. And then started of getting flooded with people saying, wow, this is very cool yeah, we wanted to do security tokens, think this is the future, and no one actually is ready with the platform and you guys seem to have one, so who has built it? And I told people, we built it, this is our platform. And then we took the decision last year to basically separate the platform from the fund. And the fund becoming the first customer, and we created Securitize. Which is basically an end-to-end issuance platform for security tokens. >> And so this is really filling a void for people who want to either raise money for a startup-like venture, And then also maybe want to raise cryptocurrency in capital for growing a business that they're tokenizing. That's a big trend, so you've got the startup, hey I've got a great idea with a whitepaper, we're going to revolutionize the world, People are interested, some people call it the dumbest idea they've ever seen, which turns into a billion-dollar idea, because that's the way it works. (laughs) So got to raise some cash. And then there's the businesses that are growing saying, you know, I can grow with working capital in a tokenized environment, 'cause the business model shifts for that. >> Correct, I think that what people don't realize is that you know, getting actual liquidity in a market, like doing an IPO is either very difficult, or very expensive, or both things. >> John: Yeah, and the hurdle's very high. >> Yeah, the hurdle is very high, the cost could be like 10 to 12% of the money you raise you know paying the underwriters and paying everyone to get it done, so I think that what tokenizing real assets, like asset-backed tokens or security tokens, this basically allows for two things. One is the network of investors you can actually reach is anyone with an internet connection that within the regulation in their country are allowed to invest. So suddenly you've multiplied by 100 the reach you have of potentially finding investors. And second, is it's cheaper to do it. There's less friction. Third, is managing all of these thousands of investors would not be possible in the traditional financial system, right? Because you have investors from many countries, with different currencies, different bank accounts, different banks, and with the smart contract and tokens you can automate the entire process, >> And from your accent you're obviously not in the US, not an american but you're from? >> I'm from Barcelona. >> Barcelona, so you're really laid back, you're chill about this, but you're hardcore techie, right? >> (laughs) Yes. >> Okay, so let me just go through the process here, so what's interesting to me is, first of all, I love cloud computing and I think what DevOps has done in software with open-source that's clearly, in line with crypto market scene, mission. Automation is a really big deal, when you can automate something down to efficient process, you're doing it, you guys are doing this different, it's well not different it's automated, great, but the investment piece is accredited investors, right? Am I getting it right? >> It depends on the jurisdiction. So, most countries have security laws, so what our platform does, is we'll actually identify through the KYC on the name of the investor, and depending on the jurisdiction where you're from, we will apply a different rule, because in the US it is accredited investors only but in other countries you can take the small portion of retail. Also the meaning of accredited investor is different, how you actually comply with that, the documentation you need to collect or not collect for validating that someone's an accredited investor is not the same in the US and in other jurisdictions. >> Alright so, here's the problem that I see you solving, correct me if I'm wrong, if I'm a company XYZ Corporation, we're growing like crazy and we can tokenize our business, and we say hey, we could raise a token, 'cause we actually have a product and security token is a great vehicle, and so they go their lawyer well you're in the US, you can only use accredited investors, if you want to go outside the US you got to go to the Cayman Islands or somewhere else, set up a new company and do all that stuff, 'cause they have to manage the process, and they got to go find investors, that's hard! >> That's hard. >> Okay, do you solve that problem for them? >> We streamline the problem, so basically, first the fact that you setup a company in Cayman doesn't actually prevent you from, you know, the regulations in each country because the regulators care about where the investor sits, not where the company is. So what we solve the problem, is basically allow them to provide a liquidity event through fundraising and provide liquidity for the investors on the secondary market, so we basically will save them the trouble of having to figure out how to do all these processes country-by-country. >> So it's a liquidity value, too, so it's also getting the process done, streamlined, and then managing some liquidity challenges that the company would have to put cycles into managing it. >> Exactly. >> Okay so here's a question, so this is like a consulting hour for the people watching. I'm a company, XYZ Corporation I want to tokenize my business, now, we've been up and running for a few years and say hey, Securitize is really interesting, these guys are amazing, the same ethos as us, they're cloud guys, they're automating. Let's just go through them. We sign up, we apply to yo. What we do, do we have to set up a new company, is there risk issues, what's your advice on the playbook? >> So the fact, because you're using a security you don't actually have to go through all the jurisdictions, right? You can just do it from wherever you are, because you're issuing a security that assigns some economic interest on you your business, right? Now in terms of us, we're trying to become kind of like a quality security token ICO place, so we create a lot and decide which ones we bring on board or not, first, because we have so many, we have hundreds of leads coming to us all the time. And secondly, because we want to make sure that people who we're securitizing, that those are quality companies that we've vetted, and our lawyers have checked that the company's interesting, that the company is going to do well not only and the fundraising, but later down the road, so, >> What about the legal and regulatory challenges? So again, most people do a new code because they want to protect their corporate shield, there's a corporate shield to protect themselves, you know investors are always are gun-shy or trigger-happy when it comes to suing people. Especially in this economy. How does an entrepreneur or business manager protect against that, do you guys handle some of that, or is it just a buyer beware kind of thing? >> No, so we work with our attorneys, Colten in New York they specialize in securities, and we basically will advise the customer that actually uses our attorneys because they are very experienced in doing this, and in terms of protection, in a security token you're not just getting the token, you're actually signing a subscription agreement which is a legal binding document that explains exactly what the token is going to do, and there's and information memorandum which is basically describing what the business is going to do. So there's a legal framework, off-chain if you want alongside the on-chain token and the smart contract side. >> So all that stuff's happened, so awesome. Alright so we're going to change gears here, Carlos. Talk about, talk about you, why, why do this? What drove you here, are you scratching an itch or are you serial entrepreneur, how did you get here, what's the story? >> So the story is I've been, this is like the third phase of my career. My first 10 years of career, I was at the middle of the dot-com boom, I took company public in Inashik, Japan. And then went through years of corporate companies and then everything crashed so I lived both the up and the down. The second part of my career started in 2006 and then lasted another 10 years, which is during Telefonica, one of the largest telcos in the world, and I lived through all the mobile boom with the iPhone coming out in 2007 and 2008 and all the excitement happening in the industry but to me it was the opposite, I was looking for what is the next thing I do, because all these industries are now not as exciting anymore. So I came across blockchain and crypto, two things. One is I was doing a project in small cities and Dubai, where I live, where we started looking at blockchain and ran some pilots and then one of my colleagues, and friend, Brendan Eich who is the founder of Mozilla and he actually did an ICO for a company called Brave in March last year, when I saw that-- >> Brave browser? >> Yeah, yeah. >> Very familiar, great, great offering. >> He's a great entrepreneur, the guy's invented JavaScript and when I saw he did that, I met him actually a year ago and I met him this week as well in Barcelona at Mobile World Congress and when I say what he did I was like wow this is very revolutionary, right, so this is a completely different way of raising money and it's also a great way for investors because you get liquidity so why not get there and find a project. So, I started with one and then-- >> Serial entrepreneur, great story, lot of experience coming into cryptos, you got some young guns who are inventing, and making some cash, and doing well, also starting funds. You've got developers and business entrepreneurs who are successful and they're becoming investors and then you got the pros coming in, alpha geeks, serial entrepreneurs, pros on the banking side, all think differently, and they see the vision, so I got to ask you, what is your vision of the decentralized internet? You've seen how telcos work and you know their challenge is over the top content, centralized organization, you see what Brave's doing, you've lived the dot-com up and down, what's your vision of decentralized internet, how would you describe how big the wave is, and what's the opportunity? >> So I think that if you think of why people were excited in 1994 1995 over the internet, it was precisely because the internet promised decentralization back then, right? So there were all these protocols that allow you to move voice, move data, move webpages that we're going to disintermediate people. And what happened is that a lot of traditional players got disintermediated but then the weight shifted into players which are now high concentrated and centralized, right, everything on Facebook or Google. So I think that the excitement around crypto's about making a reality, the decentralized internet that didn't happen the first time. And I think that because the protocols have a way to monetize, and there's an economic incentive to be part of the network, this time will be different. >> Cloud computing has also helped a little bit, too. Because with open source and cloud computing you have a great creative environment on technology's side. >> Correct, this is like open-source money if you want to think about like crypto. So I think yes, the fact that the maturity of some adjacent technologies is helping this move faster. >> And open-source has been a proven formula, one, second tier citizen when I was growing up in the open-source community, I remember people were poo-pooing Linux back in the day, and all of the sudden now it's tier one powering the world, and now you have community modeling around how that worked, how would you compare and contrast? And you have other things coming into this, too. You've got cryptography systems you've got gamers and cryptocurrency and you got cloud, how would you tease out the industry and describe the cryptocurrency and the blockchain communities, I mean it's kind of a confluence of a lot of-- >> I think it's a very interesting industry and it has forced myself also to have to learn about adjacent topics, right, because you've got to understand about technology, but you've got to understand about software, cryptography, you've got to understand about finance and economy to understand what a monetary policy is and how you're going to define that into your token. You've got to understand about finance if you do security tokens, you know securities laws, so it is fascinating because of this confluence of different things. >> We were having a joke on one of our broadcasts, I said to my co-host, these startups will soon have a CTO, a CEO, and a Chief Economic Officer, I mean this is kind of token economics! >> Makes all the sense. >> I mean you're going to have to say, hey do we increase the coin rate, do we drop this down? >> A legal counselor. >> I mean it's a big human dynamic there. >> I think this is for me why I am so excited about it. 'cause I was kind of bored of being in an industry for 10 years, you feel that you already know more or less everything, and yet there's new things coming, but are kind of like incremental improvements. This feels like an exponential improvement, something is going to really change things, and as you said it forces you to understand more disciplines than just software technology. >> I mean to use a California example, to end the segment, you know you see the waves coming and the surfers grabbing their boards, and they're on the wave hangin' 10. And that's what's going on, you see the best people attracted to this space because there's problems or opportunities, there's challenges and there's a social impact, mission-driven impact. And I think people are seeing that, and it's attracting new entrants into the space, from banking, all sectors now coming in, they're seeing the ecosystem develop, how would you see that going, because, you do agree that the ecosystem is forming pretty quickly. >> It is forming very, very quickly, surprisingly quickly. And I think that one of the things you mentioned is the fact that, people like me or other people that come from you know long-standing backgrounds in tech are moving into this industry who are also making the industry kind of grow faster, because the industry is a bit immature if you want, in terms of everything technology. This is why there's so many hacks, the usability of the products is still not there, so as more people from a traditional tech industry move here, and start building good products, this will actually change very quickly. >> Great leadership, Carlos, on your end, congratulations. You're seeing an opportunity and you're making a difference. You're putting out a great product service I think people are going to use a lot of, and looking forward to chatting more about it and of course you got to VC fund, and you're doing some investments, you put some skin in the game as well, with your companies, congratulations. This is theCUBE live coverage we'll be back with more, here in the Bahamas, and our friend from Barcelona here. Great entrepreneur, looking forward to chatting more about the decentralized economics, the technology, how the value will be captured, the technology that's going to enable that and the impact to society. It's theCUBE, more live coverage after this short break. (upbeat music)

>> Narrator: Live from Las Vegas It's theCUBE covering Edge 2016. Brought to you by IBM. Now, here are your hosts Dave Vellante and Stu Miniman. >> Welcome back to Las Vegas, everybody. This is theCUBE the world-wide leader in live tech coverage. Leanne Kemp is here. She's the founder and CEO of Everledger. Leanne, good to see you. >> Hello, hello. What a great place to be. >> Good joke, Las Vegas again. Stu and I spend a lot of time here. Why did you start Everledger? >> Well, you know, some might say it's my mid-life crisis but the reality is I've been in emerging technology for 25 years. In the mid 90s, now I'm giving away my age I was in radio frequency identification so at the chip and inlay level supply chain tracking. A bit boring, really. >> Stu: No, RFID is cool. >> But in the last 10 years I've worked in jewelry and insurance. And that's given me an appreciation of the size of the problems that exist in the market. And couple that with a whole lot of nerd we have the ability to solve the problems that we're solving today. >> And describe that problem. It's a problem of provenance and transparency is that right? >> Provenance, fraud, document tampering. And when you mix all of those together you have a pretty potent formula for black market trade. And sadly, some of that trade is really running into terrorist-funded activities. So, it's a pretty big problem but I think now is a very real issue that's washing the front pages of every paper on a daily event. Diamonds, of course, is one of the vehicles for anti-money laundering. And if we can go and serve to reduce some of those problems then it's worthwhile getting out of bed for. >> Okay, so you're attacking the diamond value chain. Why that? 'Cuz you have a background in jewelry? Okay, how are you solving that problem though? Describe that in a little bit more detail. >> So, attacking's pretty aggressive. I think we're enhancing. So, we're bringing transparency in a once-opaque market. You know, we're enabling, with the use of technology to bring transparency into the market so that we can start to reduce some of the problems around fraud. When you really think about I mean most people look at us as a blockchain company. I liken us to an emerging technology company. We're using the very best of blockchain and smart contracts and machine vision as an enabler to be able to identify fraudulent-related activities and reduce them in marketplaces. And we're just starting with diamonds but it's really anything that is appreciable of value that criminals like to maybe get their grubby mitts on. >> When did you get this idea, like what timeframe? 2010, 2011, 2015? >> To be honest with you I think this has been a cocktail of experience that really has brought it together at the right time. So, you know, as I said my background has been really unfolding like a patchwork quilt. But when you really see the heightened anxiety that's going on in market now particularly around synthetic diamonds that are of gem-quality standards there's no greater time to be able to bring confidence back into the diamond industry and the consumer networks. >> I guess my question is that at what point did you say okay blockchain can be addressed to enhance this problem? Did you look at Bitcoin and say hmm, that's interesting? Not a currency, it's a technology that I can apply to all the problems. >> Yeah, I mean, you know, I'm a technologist so I really am quite bored with Sudoku so I would rather sort of look at what's going on in the tech space. And so when I really saw the emergency of Bitcoin I understood where that application could lie. But because I wasn't from a banking background it was patently obvious to me that I could decouple the currency from the ledger and really use the currency as a vehicle or a tokenization of assets. And the assets is diamonds, a girl's best friend. So why wouldn't you want to protect your assets? (chuckles) >> Fascinating 'cuz I think the first time I heard of, you know, blockchain and Bitcoin it was about being anonymous and therefore there were concerns that some of those unscrupulous people that are trying to benefit off of like diamonds would use, you know, this crypto currency. They don't have to talk to banks. They don't have to talk to governments. So you've almost flipped the usage of the technology to something to help the world a little bit more. >> That's right. I guess when you really think about it, you know the Bitcoin has often been assimilated with the anarchic world. And we're really bringing it to clean and transparency. So, I guess there is a juxtaposition there. But everything's upside down for me. I'm from Australia so it's perfectly normal. >> Go ahead, Stu. >> Yeah, just when you look at Blockchain and kind of the core technology you think we're really in the early days? What kind of usage do you see out beyond the ledgers? Are there other applications be it beyond the diamonds that you guys are looking at? >> Yeah, you know, so it's interesting. In the early 2000s I worked in WAP, you know? And I was so excited. I thought wow, this tech is really going to do something. So, you know, I'm part of Team Asserti in Australia and wrote out an application. And I felt like nearly six months came into the tech. And all of a sudden, I woke up and I went where the bloody hell did WAP go? It just disappeared. There was a very real danger that this technology was likely to face the same ill fate. And we often see in any emerging technology where there are heightened promises. They often end in disappointment. So, actually most of the decisions I've made in a start-up, and we're only 18 months old have really been counterintuitive. You know, when it's the time to put the pedal straight down I've often held back to really wait to see where the maturity of the technology was going to lie. And in any emerging technology and if you're a CEO of a start-up you have to be completely articulate about where the problem is that you're solving. But not only that you need to take the time to really distill the technology to its purest essence and then enable that to be the potent shot that goes out first and foremost. And so this is a nascent technology. And maybe, you know, it has the parentage of a multilingual PhD scientist but the reality is it's only just been born. We're not even nappy feddy. We're not even out of out of our nappies right now. So we need to give it the time to really grow. And we've chosen a niche market. It just so happens that it's a bloody big niche. >> So what took longer to figure out the problem or the solution? >> You know, I think you know, I don't know. That's a really good question, actually. I think the problem for me I understood quite early but I just didn't appreciate the size of the problem globally and the extension of that problem into other areas. And really I think it's taken some time for the technology to be understood. We've taken a view that we'd like to see ourselves as the custodian of the technology. We don't want to go to market too early. We want to be sure that whenever the message is delivered to market that it's something we've already delivered that we have built that the engineering effort has already been afforded. You know, small acorns grow into mighty oaks. And so for us, it's about ensuring that we take the time to really give the right fertilizer to the growth. >> And that's a 50 billion dollar problem you said this morning is that right? Is that there- >> Just in insurance. But we have banks as our clients too so, you know, we're shooting hoops. >> So you're saying it's a multiplier of that 50 billion? >> Leanne: Of course. >> Yeah, big multiplier. >> I mean counterfeit good if you extend it into luxury goods it's 1.7 trillion dollars. >> And you talked about the sort of value chain of rough cut, 15 billion and you maybe triple that when it gets polished almost 50 billion and then another one and a half X at retail. Where are the holes in that value chain, everywhere? I mean are you seeing fraud occur throughout that value chain or- >> Effectively. You know, we don't have you know, visibility of complete provenance through the supply chain. And in fact, it's not just limited to the diamond industry. I mean I guess the diamond industry there's the allure of luxury. You know, there's the backdrop of affluence. And then, of course, there's the atrocity of what goes on in terms of or what used to go on so prolifically in blood diamonds. You know, effectively the industry isn't as burdened with technology as say financial services. It doesn't have the legacy of 50 years of technology that it needs to unwind. So, when you really consider what's going on in the market today to bring emerging technology into this space not limited to blockchain even enabling new technologies like high-definition photographs and machine vision our marketplace has the ability to consume that technology quite rapidly. And when you think about the problems in our market or the restrictions in our market it's really a lightning rod moment for us where we've just been fortunate enough to be able to build out a solid engineering rod to be able to capture that lightning bolt of problem. >> Dave: Mm-hmm. >> We've had a lot of discussions with IBM executives this week and they feel security is one of the things that IBM does really well. Talk a little bit about your relationship with IBM what IBM does well what they're good at partnering with. How is it to work with IBM? >> Dave: What they could do better. >> Yeah. >> Absolutely (chuckles). We, in the very first 12 months of Everledger we managed to onboard, you know, a million diamonds. And most people were applauding the efforts of our engineering team. And we certainly applauded ourselves. But Christmas was a very lonely path for me because I started to become shivered by the thought of what would this mean if I went from a million to 10 million to 15 million and then into rough being able to track 320 million carats of rough diamonds across 80 countries around the world. So, when you're a start-up and you're faced with some of the largest organizations and governments around the world let's face it, the industry's 130 years old. You want to be able to look towards a technology innovator like IBM that has been around and reinvented itself over a trusted 100 years. And that transactional trust is at the very core of this fabric. So, some of the things that you look at in terms of a start-up may be actually too isolated. A lot of technology companies that are in the blockchain space are just looking at the blockchain fabric. But for me, it was patently obvious we needed to stretch further. We needed to realize that we have to deliver this into a cloud solution. We have to deliver this technology in such a form that has to be secured. And the security needs to really be from the ground up at the root source right the way through to the front end. And there's no other partner that's actually doing that. There are other service providers in this space that shall not be mentioned. But they're, of course, taking whatever nascent technology is being built and putting it into the cloud. IBM has really taken the time to sew together the right security fabric. >> And that's about scale for you, right? I mean you wouldn't be able to scale without it. >> I sleep at night knowing that we have IBM. Like as a CEO, I sleep at night. >> My understanding, there's container technology that you're using in here. Most people think of containers as security's one of the holes there so, you know, how do you feel with the security of containers today? And maybe you can share a little bit about you know, what IBM's doing specifically for that. >> Yeah, I mean the container services team that we've been working with and today I had the absolute privilege it was a diary note moment for me to present on stage with Donna. You know, her background in security has afforded us the ability to really deliver this quite quickly. The work that they have been doing is recognized not only and I touched on the surface of the three markets that of real concern or focus for us is fraud and theft and cyber. And when you consider the container services and the security team that's wrapped this around I really think that actually one of the silent winners in this is the reduction in cyber crime. And maybe that hasn't been focused on too largely. And the 50 billion dollars that I was talking about was really around document tampering and, you know, the over-inflation of insurance claims. When you really think about it it's actually cyber crime that I think we could actually truly solve as part of the solution itself. >> So explain again, Leanne, how does it work? So each diamond has a unique identifies it's got a fingerprint on there. How does it get on there? >> So there are existing processes in industry. There are two parts to the market first is rough diamonds and the second is polished diamonds. And as diamonds are crossing borders as a part of international trade they're often inspected by gemologists. Those that, of course, have received licenses in the skill of identifying diamonds. But that's all- >> Dave: But that's a spot inspection, is that right or- >> Correct. >> Dave: Yeah. >> But there's also actual machinery. So there are certain types of science that have been applied and have been applied for a number of years. And one of the challenges that we faced with ourselves is to IoT-enable the diamond pipeline. So, some of these machines have been in existence. They're highly calibrated and they have precision but that data is often blackboxed. It's not, indeed, ledgered or stored for public view or even inter-office view. And so one of the tricks that we've enabled is the ability to take all of those data points 40 meta data points as well as the reputation or the expert opinion and lay that data into the blockchain. So we're layering really a reputation score not only of the person, the machine but also the diamond and the validity of that diamond. And that can only come over time with large aggregated data sets. >> Okay, and that is your providence. You said the world's provenance is locked in paper. So now you're locking it into- >> Leanne: You're listening >> The blockchain. Of course (chuckles). I knew we had to talk to you. We better listen. Okay, so all right. And then can you explain the banking crisis the liquidity crisis in the diamond business? >> Leanne: Yeah, absolutely. >> What's that stem from? I didn't quite understand. >> It's really affecting the middle part of the pipeline. We have very large mining companies and of course quite substantial retailers but it's the middle part of the pipeline that's really being caused in terms of a squeeze. And so they are the diamond cutters and polishers really generational businesses that have perfected the art and the skill of cutting diamonds. It's the middle part of the pipeline that's really being affected at the moment. And as I mentioned there are two brave Western banks that remain supporting industry. The largest, which has been really in industry for quite some time is ABN AMRO. And proudly, they still remain. And Barclay's Bank. But we've seen an announcement more recently with Standard pulling back out of the industry for a lack of transparency and a burden on their balance sheet. This, of course, has come from Basel III and some of the regulations that's been pushed down from them. And if we're able to take certification and extend transparency but also bring certification to the next level to enable a collateral management system to be built so banks can take the security on the underlying asset rather than just take a balance sheet position it will lift the burden on their balance sheet. It will give them security of the diamond. And let's face it, diamonds are worth something. And as I said when you start to understand the true effect of rough to polished to track the diamond through its lifecycle and give security is something that banks are open-minded about. >> Yes, okay. So it's not a chicken and egg problem it's a transparency begets liquidity is that right? That's the premise anyway >> Yeah >> Dave: That you're testing basically making that bet with your company. We don't have much time but I just wanted to ask you about your company. You're an entrepreneur. You started the company, you said 18 months ago. Funding, VC, you know, give us the lowdown. >> Sure, sure, sure. I mean I came into London in October of 2014. And I was desperate to talk to insurers. And so one of the largest insurers in the London market is Aviva. And they had a hackathon at Google so I thought hey, this would be all right. I'm just going to Trojan Horse the event and see if I can have a talk to the CFO and COO. So I went there. They opened up some APIs. And because I, of course, had a technical background I thought those APIs are hopeless there's not much I can do with that. But if you want to solve some of the problems here this is what you can do. You can take diamonds, take certification and put it on the blockchain as a way to reduce fraud. And at that hackathon I was awarded the innovation prize. But the managing director of Barclay's Techstars was one of the judges and came to me and invited me to join them as part of their accelerator in London which began in March 2015. And, of course, I thought this is crazy. Why would I want to do that? Why would I want to be in London with a bank? It doesn't really make too much sense. And let's face it, I mean Australia is a much nicer country to spend your holidays in rather than London. But in any event, I returned and participated as part of the Barclay's accelerator and I've been supported through the process of the acceleration. But Barclay's is both a bank and an insurance company in Africa so the penny dropped and we put our head down. We wore some letters off the keyboard and Everledger was born. And away we go. >> And so Barclay's funded, in part the company or- >> Barclay's and the Techstars accelerator program have a seed funding event which is a part of the acceleration program for start-ups if you're chosen. And we were fortunate enough to be chosen. And since that time we've been we haven't disclosed who one of our backers are. >> Dave: Okay. >> But we will, in time. And so we've been funded by a selected name in industry. And we're actually just about to go into our Series A so we're looking towards that in the next number of months. >> Dave: You're not even in Series A yet? So you've gotten this far without even getting to your Series A? >> Leanne: Yeah. >> 980 thousand? >> Well, we have revenue, so- >> Dave: Yeah. >> This is my last start-up. I had to go through an intervention with my family to enable me to be here. >> Dave: This is my last So this is it. >> Dave: We've heard that before. >> I promise. I know, it's true, it's true. >> Opportunities beyond diamonds or is that getting too ahead of our speech here? >> Diamonds, watches, art, fine wine you know, and I'm completely empowered by how do we bring what the diamond industry did so well in the reduction of blood diamonds and bring ethical trade really to the forefront of the mind of the consumer and also the mind of the financial services market. So, you know, for me it's really around that part of the world. If that nexus point comes together then I'll keep getting out of bed for it. >> Awesome. Great story. Impressive entrepreneur. Thanks for coming on theCUBE. >> Leanne: Yes, thank you. >> London's not so bad (chuckles). Comment? >> London's probably watching. (Dave and Leanne laugh) >> All right, thanks again. Keep it right there, buddy. Stu and I will be back with our next guest. We're live from IBM Edge in Las Vegas. We'll be right back. (low tempo music)