>>Good afternoon and welcome back to the Classiest Show in Technology. This is the Cube we are at AWS Reinvent 2022 in Fabulous Sin City. That's why I've got my sequence on. We love a little Vegas, don't we? I'm joined by John Farer, another, another Vegas >>Fan. I don't have my sequence, I left it in my room. We're >>Gonna have to figure out how to get us 20 as soon as possible. What's been your biggest shock for you at the show so far? >>Well, I think the data story and security is so awesome. I love how that's front and center. If you look at the minutes of the keynote of Adamski, the CEO on day one, it's all bulked into data and security. All worked hand in hand. That's on top of already the innovation of their infrastructure. So I think you're gonna see a lot of interplay going on in this next segment. It's gonna tell a lot of that innovation story that's coming next. It's pretty awesome. >>It is pretty awesome, and I'm super excited. It's not only what we do here on the Cube, it's also in my show notes. We are gonna be geeking out for the next segment. Please welcome Paul and Puja. Wonderful to have you both here. Paul from Amazon, s3, glacier, and Pujan, CEO of kuo. I wanna turn to you Pujan, to start us off, just in case the audience isn't familiar, give us the Kuo pitch. >>Yeah, so basically Kuo is a, a backup as a service offering, right? Built in AWS four aws, right? And effectively going after, you know, any service that a customer uses on top of aws, right? And so a lot of the data sitting on s3, right? So that's been like our, our big use case going and basically building backup and air gap protection for, for s3. But we basically go to every other service, e c two, ebs, dynamo, you know, you name it, right? So basically do the whole thing >>And the relationship with aws. Can you guys share, I mean, you got you here together. You guys are a great partnership. Born in the cloud, operation in the cloud. Absolutely. I think talk about the partnership with aws. >>Absolutely. I think the last five years of building on AWS has been phenomenal, right? And I love the platform. It's, it's a very pure platform for us. You know, the APIs and, and the access you get and access you get to the service teams like Paul sitting here and the other teams you have gotten access to, I think has been phenomenal. But we also have, I would say, pushed the envelope in terms of how innovative we have been and how aggressive we have been in utilizing all the innovation that AWS has built in over the last few years. But it would not have happened without the fantastic partnership with the service teams. >>Paul, talk about the, AM the S3 part of this. What's the story there? >>Well, it's been great working with the CUO team over the course of the last few years. We were just upstairs diving deep into the, to the features that they're taking advantage of. They really push us hard on behalf of customers, and it's been a, it's just been a great relationship over the last years. >>That's awesome. And the ecosystem at such a, we're gonna hear tomorrow, the keynote on the, from Aruba who's gonna tend over the ecosystem. You guys are working together. There's a lot of strategic partnerships, so much collaboration between you guys that makes it very, this is the next gen cloud of cloud environment we're seeing. And you heard the, the economies around the corner. It's still gonna be challenging, but still there's more growth in the cloud. This is not stopping. This is impacts the customers. What are the customers saying to you guys when you work backwards from their needs? They want it faster, easier, cheaper. They want it more integrated. What are some of the things, all those you guys hearing from customers? >>So for us, you know, if you think about it, like, you know, as people are moving to the cloud, especially like take a use case like s3, right? So much of critical data sitting on top of S3 today. And so what folks have realized that as they're, you know, putting all of those, you know, what, over two 50 trillion objects, you know, sitting on s3, a lot of them need backup and data protection because there could be accidental deletions, there could be software bugs, there could be a ransomware type event due to which you need a second copy of the data that is outside of your security domain, right? But again, that needs to get be done at the, at the right price point, right? And that's where like a technology like Columbia comes in because since we've been built on the cloud, we've optimized it correctly. So especially for folks who are very cost conscious, given the macroeconomic conditions, we are heading into a technology that's built correctly so that, you know, you get the right architecture and the right solution at the right price point and the scale, right? Talking about trillions of objects, billions of objects within a single customer, within a single bucket sometimes. And that's where Columbia comes in. Cause we basically do that at scale without, again, impacting the, the customer's wallet more than it needs to. >>The porridge has to be the right temperature and the right size bowl. With the right spoon. You've got a lot of complexity when it comes to solving those customer challenges. You have a couple customer story examples you're allowed to share with us. Correct? Paul, do you want to kick one off? Go ahead. Oh, puja. All right. >>No, absolutely. I think there's a ton of them. I, I'll talk about, you know, want to begin with like Cox Automotive, right? A phenomenal customer that we, all of us have worked together with them. And again, looking for a solution to backup S3 to essentially go air gap protection outside of their account, right? They looked at doing it themselves, right? They thought they'll go and basically do it themselves. And then they fortunately bumped into Columbia, they looked at our architecture, looked at what it would really go and take to build it. And guess what, sitting in 2022, getting 23 right now, nobody wants to go and build this themselves. They actually want a turnkey solution that just does it, right? And so, again, we are a phenomenal joint customer of ours doing this at a pretty massive scale, right? And there are many more like that. There's Warner Brothers that are essentially going into the cloud from on premises, right? And they're going really fast accelerating the usage on aws again, looking at, you know, backup and data protection and using clum because of our extreme simplicity that we provide. >>Yeah, I think it's, you've got a, a lot of different people solving different problems that you're working with all the time. Millions of customers. Well, how do you prioritize? >>Well, for us, it really all comes down to fundamentals, right? So Amazon, s3 s unique distributed architecture delivers industry leading durability, availability, performance and security at virtually unlimited scale, right? And it's really been delivering on the fundamentals that has earned the trust of so many customers of all sizes and industries over the course of over 16 years. Now, in terms of how we prioritize on behalf of those customers, we always say that 90% of our roadmap comes directly from what customers are telling us is important. And a large number of our customers now are using S3 through lumino, which is why the relationship is so important. We're here talking about customer use cases here at the show, and we do that regularly throughout the year as well. And that's, that's how we land on a road. >>And what are the, what are the top stories from customers? What, what are they telling you? What's the number one top three things you're hearing? >>I tell you, like, again, it just comes down to the fundamentals, right? Of security, availability, durability and performance at virtually unlimited scale. Like that is the first customer first discussions that we have with customers talking about durable storage, for >>Sure. What I find interesting in, you mentioned scale, right? That comes up a lot scale with data. Yeah. That we heard data. The big theme here, security, what's in my S3 bucket? Can you find out what's in there? Is it backed up properly? How do I get it back? Where's the ransomware? Why not just target the ransomware? So how do you navigate the, the security challenges, the, the need to store all that scale data? What's the secret sauce? >>Yeah, so I think the, the big thing is we'll start with the, you know, how we have architected the product, right? If you think about it, this, you're dealing with a lot of scale, right? You get to a hundred million, a billion and billions very fast on S3 few, especially on a cloud native application. So it starts with the visibility, right? It's basically about, like we have things where you do, where you create a subset of your buckets called protection groups that you can essentially, you know, do it based on prefixes. So now you can essentially figure out what prefix you want to back up and what you don't want to back up. Maybe there's log data that you don't care about, so you don't back that up, right? And it all starts with that visibility that you give. And the prefix level data protection then comes the scale, which is where I was telling you, right? We have basically built an orchestration engine, right? It's like we call the ES for Lambdas, right? So we have a internal orchestration engine and essentially what what we have done is we have our own language internally that spawns off these lambdas, right? And they go after these S3 partitions do the right things and then you basically reel them back. So things like that that we do that are not possible if you're not built on the >>Clock. Well also, I mean, just mind blowing and go back 10 years. Yeah. I mean you got Lambda. What you're talking about here is the gift of the cloud innovation. Yeah. So the benefit of S3 is now accelerated. This is the story this year. Yeah. I mean they're highlighting it at scale, not just in the data, but like what we knew when Lambda came out and what S3 could do. But now mainstream solutions are coming in. Does that change your backup plans? Because we're gonna see a lot more end to end, lot more solutions. We heard that on the keynote. Some are saying it's more complexity. Of course it might, but you can abstract another way with the cloud that's the best part of the cloud. So these abstraction leads. So what's your view on that? But I wanna get your thoughts because you guys are perfectly positioned for this scale, but there's more coming. Yes. Yes. Exactly. What, how are you looking at that? >>So again, I think the, you know, obviously the, the S3 teams and every team in AWS is basically pushing the envelope in terms of innovation. But the key for a partner like us is to go and take that innovation. A lot of complex architectures behind the scene. But what you deliver to the customer is simple. I'll give you one more example. One of the things we launched that, you know, Paul and others are very excited about, is this ability to do instant access on the backup, right? So you could have billions of objects that you backed up. Maybe you need just 10,000 of them for a DR test. And we can basically create like an instant virtual bucket on top of that backup that you can instantly restore >>Spinning up a sandbox of temporary data to go check it >>Out. Exactly. Offer an inte application. >>Think we're geeking out right now. >>Yeah, I know. Brought that part of the segment, John. Don't worry, we're safely there. But, >>But that's the thing, right? That all that is possible because of all the, the scale and innovation and all the APIs and everything that, you know, Paul and the team gives us that we go and build on top of >>Paul, geek out on with us on this. We >>Are super excited for instant restore >>For store. I mean, automation programmability. >>It is, I mean it's the logical next step for backup in the cloud. Exactly. Yeah. But it's a super hard engineering problem to go solve for customers. I mean, the RTO benefits alone are super compelling, but then there's a cost element as well of not having to bring back all that stuff for a test restore, for example. And so it's, it's been really great to, to work with the team on that. We have some ideas on how we may help solve it from our side, and we're looking forward to collaborating on it. >>This is a great illustration of what I was writing about this week around the classic cloud, which is great. And as Adam said, and used like to use the word and, and you got this new functionality we're seeing emerge from the growth. Yes. From the companies that are built on Amazon web services that are growing. You're a partner, they have a lot of other partners and people are taking over restaurant here off action. I mean, there's real growth and new functionality on top of aws. You guys are no different. What's, are you prepared for that? Are you ready to go? >>Yeah, no, absolutely. And I think if you think about, if you think about it, right, I think it's also about doing this without impacting the primary application. Like if the customer is running a primary application at scale on s3, a backup application like ours can't come in and really mess with that. So I think being able to do things where, and this is where you solve really hard computer science problems, right? Where you're bottling yourself. If you are essentially seeing any kind of, you know, interfering with the primary, you're going to cut yourself down. You're gonna go after a different partition. So there are a lot of things you need to do behind the scenes, which is again, all the complexity, all of that, but deliver the, to the customer a very, very simple thing. >>You know, Paul, I wanna get your thoughts and I want you to chime in. Yeah. In 2014, I interviewed Steven Schmidt, my first interview with the, he was the CISO then, and now he's a CSO and, and former ciso, he's back at that time, the word was the cloud's not secure. Now we're talking about security. Just in the complexity of how you're partitioning and managing your sub portions, how you explained it, it's harder for the attackers. The cloud in its in its architecture has become a more secure environment. Yeah. Well, and getting more secure as you have laying out this, this is a new dynamic. This is good. Can you explain the, >>I mean, I, I can just tell you that at AWS security is job zero and that it will always be our number one priority, right? We have a, an infrastructure with under AWS that is vetted and approved to run even top secret workloads, which benefits all customers in all regions. >>And your, your security posture is embedded on top of that. And you got your own stuff. >>Yeah. And if you think of it as a shared responsibility model, so security of the cloud is the responsibility of the cloud provider, but then security of the data on top of it. Like you, you go and delete stuff, your software goes and does something that resiliency, the integrity of the data is your responsibility as a customer. And that's where, you know, we come in. Who >>Shared responsibility has been such a hot topic all week. Yeah. >>I gotta ask him one more question. Cause this is fascinating. And we are talking about on the cube all day today after we saw the announcement and Adam's comment on the cube, Adams LE's comment on the keynote. I mean, he said, if you're gonna tighten your belt, meaning economic cost recovery, re right sizing. If you want to tighten your belt, come to the cloud. So I have to ask you guys, Puja, if you can comment, that'd be great. There's a lot of other competitors out there that aren't born on aws. What is the customer gonna do when they tighten the build? What does that mean? They're gonna go to, to the individual contracts. They're gonna work in the marketplace. I mean this, there's a new dynamic in town. It's called AWS 2022. They weren't really around much in the recession of 2008. They were just starting to grow. Now they're an economic force. People like yourselves have embedded in there. There's a lot of competition. What's gonna happen? >>I think people are gonna just go to a place like, you know, AWS marketplace. You're going to essentially look for solutions and essentially like, and, and the right solutions built in are going to be self-service like aws. It's a very self-service thing. A hundred percent. So you go and do self-service, you figure out what's working, what's not working. Also, the model has to be consumption oriented. No longer can you expect the customer to go and pay a bunch of money for shelfware, right? It's like, like how we charge how AWS charges, which is you pay for what you consume. That and all has to be front and center, >>Right? I think that's a really, I think that's a really important >>Point. It's time >>And I think it's time. So we have a new challenge on the cube. We give you 30 seconds roughly to give us your extraordinarily hot take your shining thought leadership moment and, and highlight what you think is the most important takeaway from the show. The biggest soundbite, the juiciest announcement. Paul, I'll >>Start with an Instagram. Real basically. Yeah. Okay. >>Yeah. Hi. Go. I would just say from an S3 perspective, over the course of the last several years, we've really seen workloads shift from just backup and recovery and static images on websites to data lake analytics applications. And you continue to see that here. And I can tell you that some of these scaled applications are running at enormous mind blowing scale, right? And so, so every year we come here, we talk to customers, and it's just every year it sort of blows me away. And I've been in the storage industry for a long time and it's just is, it blows me away. Just the scale at customers are running in >>And >>Blowing scale. And when it comes to backup, let me just say that it's easy to back up and recover a single object, but doing an easy thing, a billion or 10 billion times over, that's actually quite hard. >>And just to, just to bold that a little bit, just pull out my highlighter. S3 now has over 280 trillion objects. That's a lot. >>That's a lot of objects. >>Yeah. You are not, you are not kidding. When you talk about scale, I mean, this is the most scalable. >>That's not solution's not there. Yeah. That, that's right. And we wake up every, we have a culture of durability and we wake up every single day to raise the bar on the fundamentals and make sure that every single one of those objects is protected and safe. >>Okay. You, I, >>I can't imagine worrying about two, two 80 trillion different things. >>Let's go. You're Instagram real >>For me again, you know, between S3 and us, we are two players out there that are really, you know, processing the data at the end of the day, right? And so I'm very excited about, you know, what we are going to do more and more with the instant restore capability where we can integrate third party services on top of it that can do more things with the data that is not, not passively sitting, but now becomes active data that you can analyze and do things with. So that's something where we take this to the next level is something that I'm super excited about. >>There's a lot to be excited about and, and we're excited to have you. We're excited to hear what happens next. Excited to see more collaboration like this. Paul Pon, thank you so much for joining us here on the show. Thank all of you from for tuning into our continuous wall to wall super thrilling live coverage of AWS reinvent here in fabulous Las Vegas, Nevada, with John Furrier. I'm Savannah Peterson. We're the cube, the leading source for high tech coverage.

>>Okay, we're back with the hybrid Cloud power panel. I'm Dave Ante, and with me our Eric Lockard, who's the corporate vice president of Microsoft Azure Specialized Thomas Corn's, the senior vice president of products at Nutanix. And Indu Carey, who's the Senior Vice President of engineering, NCI and nnc two at Nutanix. Gentlemen, welcome to the cube. Thanks for coming on. >>It's to be >>Here. Have us, >>Eric, let's, let's start with you. We hear so much about cloud first. What's driving the need for hybrid cloud for organizations today? I mean, I not just ev put everything in the public cloud. >>Yeah, well, I mean the public cloud has a bunch of inherent advantages, right? I mean it's, it has effectively infinite capacity, the ability to, you know, innovate without a lot of upfront costs, you know, regions all over the world. So there is a, a trend towards public cloud, but you know, not everything can go to the cloud, especially right away. There's lots of reasons. Customers want to have assets on premise, you know, data gravity, sovereignty and so on. And so really hybrid is the way to achieve the best of both worlds, really to kind of leverage the assets and investments that customers have on premise, but also take advantage of, of the cloud for bursting or regionality or expansion, especially coming outta the pandemic. We saw a lot of this from work from home and, and video conferencing and so on, driving a lot of cloud adoption. So hybrid is really the way that we see customers achieving the best of both worlds. >>Yeah, it makes sense. I wanna, Thomas, if you could talk a little bit, I don't wanna inundate people with the acronyms, but, but the Nutanix cloud clusters on Azure, what is that? What problems does it solve? Give us some color there please. >>Yeah, there, so, you know, cloud clusters on Azure, which we actually call NC two to make it simple and SONC two on Azure is really our solutions for hybrid cloud, right? And you about hybrid cloud, highly desirable customers want it. They, they know this is the right way to do it for them, given that they wanna have workloads on premises at the edge, any public clouds, but it's complicated. It's hard to do, right? And the first thing that you did with just silos, right? You have different infrastructure that you have to go and deal with. You have different teams, different technologies, different areas of expertise and dealing with different portals, networkings get complicated, security gets complicated. And so you heard me say this already, you know, hybrid can be complex. And so what we've done, we then c to Azure is we make that simple, right? We allow teams to go and basically have a solution that allows you to go and take any application running on premises and move it as is to any Azure region where Ncq is available. Once it's running there, you keep the same operating model, right? And that's, so that's actually super valuable to actually go and do this in a simple fashion, do it faster, and basically do hybrid in a more cost effective fashion, know for all your applications. And that's really what's really special about NC two Azure today. >>So Thomas, just a quick follow up on that. So you're, you're, if I understand you correctly, it's an identical experience. Did I get that right? >>This is, this is the key for us, right? Is when you think you're sending on premises, you are used to way of doing things of how you run your applications, how you operate, how you protect them. And what we do here is we extend the Nutanix operating model two workloads running in Azure using the same core stack that you're running on premises, right? So once you have a cluster deploying C to an Azure, it's gonna look like the same cluster that you might be running at the edge or in your own data center using the same tools you, using the same admin constructs to go protect the workloads, make them highly available, do disaster recovery or secure them. All of that becomes the same. But now you are in Azure, and this is what we've spent a lot of time working with Americanist teams on, is you actually have access now to all of those suites of Azure services in from those workloads. So now you get the best of both world, you know, and we bridge them together and you get seamless access of those services between what you get from Nutanix, what you get from Azure. >>Yeah. And as you alluded to, this is traditionally been non-trivial and people have been looking forward to this for, for quite some time. So Indu, I want to understand from an engineering perspective, your team had to work with the Microsoft team, and I'm sure there was this, this is not just a press releases or a PowerPoint, you had to do some some engineering work. So what specific engineering work did you guys do and what's unique about this relative to other solutions in the marketplace? >>So let me start with what's unique about this, and I think Thomas and Eric both did a really good job of describing that the best way to think about what we are delivering jointly with Microsoft is that it speeds of the journey to the public cloud. You know, one way to think about this is moving to the public cloud is sort of like remodeling your house. And when you start remodeling your house, you know, you find that you start with something and before you know it, you're trying to remodel the entire house. And that's a little bit like what journey to the public cloud sort of starts to look like when you start to refactor applications. Because it wasn't, most of the applications out there today weren't designed for the public cloud to begin with. NC two allows you to flip that on its head and say that take your application as is and then lift and shift it to the public cloud, at which point you start the refactor journey. >>And one of the things that you have done really well with the NC two on Azure is that NC two is not something that sits by Azure side. It's fully integrated into the Azure fabric, especially the software defined network and SDN piece. What that means is that, you know, you don't have to worry about connecting your NC two cluster to Azure to some sort of an net worth pipe. You have direct access to the Azure services from the same application that's now running on an NC two cluster. And that makes your refactoring journey so much easier. Your management plan looks the same, your high performance notes let the NVMe notes, they look the same. And really, I mean, other than the facts that you're doing something in the public cloud, all the nutanix's goodness that you're used to continue to receive that, there is a lot of secret sauce that we have had to develop as part of this journey. >>But if we had to pick one that really stands out, it is how do we take the complexity, the network complexity of a public cloud, in this case Azure, and make it as familiar to Nutanix's customers as the VPC construc, the virtual private cloud construc that allows them to really think of that on-prem networking and the public cloud networking in very similar terms. There's a lot more that's gone on behind the scenes. And by the way, I'll tell you a funny sort of anecdote. My dad used to say when I drew up that, you know, if you really want to grow up, you have to do two things. You have to like build a house and you have to marry your kid off to someone. And I would say our dad a third do a flow development with the public cloud provider of the partner. This has been just an absolute amazing journey with Eric and the Microsoft team, and you're very grateful for their >>Support. I, I need NC two for my house. I live in a house that was built in, it's 1687 and we connect all to new and it's, it is a bolt on, but, but, but, and so, but the secret sauce, I mean there's, there's a lot there, but is it a PAs layer? You didn't just wrap it in a container and shove it into the public cloud, You've done more than that. I'm inferring, >>You know, the, it's actually an infrastructure layer offering on top of fid. You can obviously run various types of platform services. So for example, down the road, if you have a containerized application, you'll actually be able to TA it from OnPrem and run it on C two. But the NC two offer itself, the NCAA offer itself is an infrastructure level offering. And the trick is that the storage that you're used to the high performance storage that you know, define tenants to begin with, the hypervisor that you're used to, the network constructs that you're used to light MI segmentation for security purposes, all of them are available to you on NC two in Azure, the same way that we're used to do on-prem. And furthermore, managing all of that through Prism, which is our management interface and management console also remains the same. That makes your security model easier, that makes your management challenge easier, that makes it much easier for an application person or the IT office to be able to report back to the board that they have started to execute on the cloud mandate and they've done that much faster than they'll be able to otherwise. >>Great. Thank you for helping us understand the plumbing. So now Thomas, maybe we can get to like the customers. What, what are you seeing, what are the use cases that are, that are gonna emerge for the solution? >>Yeah, I mean we've, you know, we've had a solution for a while, you know, this is now new on Azure's gonna extend the reach of the solution and get us closer to the type of use cases that are unique to Azure in terms of those solutions for analytics and so forth. But the kind of key use cases for us, the first one you know, talks about it is a migration. You know, we see customers on that cloud journey. They're looking to go and move applications wholesale from on premises to public cloud. You know, we make this very easy because in the end they take the same concept that are around the application and make them, we make them available Now in the Azure region, you can do this for any applications. There's no change to the application, no networking change. The same IP will work the same whether you're running on premises or in Azure. >>The app stays exactly the same, manage the same way, protected the same way. So that's a big one. And you know, the type of drivers point politically or maybe I wanna go do something different or I wanna go and shut down location on premises, I need to do that with a given timeline. I can now move first and then take care of optimizing the application to take advantage of all that Azure has to offer. So migration and doing that in a simple fashion, in a very fast manner is, is a key use case. Another one, and this is classic for leveraging public cloud force, which are doing on premises, is disaster recovery. And something that we refer to as elastic disaster recovery, being able to go and actually configure a secondary site to protect your on premises workloads. But I think that site sitting in Azure as a small site, just enough to hold the data that you're replicating and then use the fact that you cannot get access to resources on demand in Azure to scale out the environment, feed over workloads, run them with performance, potentially fill them back to on premises and then shrink back the environment in Azure to again, optimize cost and take advantage of elasticity that you get from public cloud models. >>And then the last one, building on top of that is just the fact that you cannot get bursting use cases and maybe running a large environment, typically desktop, you know, VDI environments that we see running on premises and I have, you know, a seasonal requirement to go and actually enable more workers to go get access the same solution. You could do this by sizing for the large burst capacity on premises wasting resources during the rest of the year. What we see customers do is optimize what they're running on premises and get access to resources on demand in Azure and basically move the workload and now basically get combined desktop running on premises desktops running on NC two on Azure, same desktop images, same management, same services, and do that as a burst use case during, say you're a retailer that has to go and take care of your holiday season. You know, great use case that we see over and over again for our customers, right? And pretty much complimenting the notion of, look, I wanna go to desktop as a service, but right now, now I don't want to refactor the entire application stack. I just won't be able to get access to resources on demand in the right place at the right time. >>Makes sense. I mean this is really all about supporting customers', digital transformations. We all talk about how that was accelerated during the pandemic and, but the cloud is a fundamental component of the digital transformations. And Eric, you, you guys have obviously made a commitment between Microsoft and and Nutanix to simplify hybrid cloud and that journey to the cloud. How should customers, you know, measure that? What does success look like? What's the ultimate vision here? >>Well, the ultimate vision is really twofold. I think the one is to, you know, first is really to ease a customer's journey to the cloud to allow them to take advantage of all the benefits to the cloud, but to do so without having to rewrite their applications or retrain their, their administrators and or, or to obviate their investment that they already have in platforms like, like Nutanix. And so the, the work that companies have done together here, you know, first and foremost is really to allow folks to come to the cloud in the way that they want to come to the cloud and take really the best of both worlds, right? Leverage, leverage their investment in the capabilities of the Nutanix platform, but do so in conjunction with the advantages and and capabilities of of Azure, you know. Second, it is really to extend some of the cloud capabilities down onto the on-premise infrastructure. And so with investments that we've done together with Azure arc for example, we're really extending the Azure control plane down onto on-premise Nutanix clusters and bringing the capabilities that that provides to the Nutanix customer as well as various Azure services like our data services and Azure SQL server. So it's really kind of coming at the problem from, from two directions. One is from kind of traditional on-prem up into the cloud, and then the second is kind of from the cloud leveraging the investment customers have in in on-premise hci. >>Got it. Thank you. Okay, last question. Maybe each of you could just give us one key takeaway for our audience today. Maybe we start with with with with Thomas and then Indu and then Eric you can bring us home. >>Sure. So the key takeaway is, you know, you takes cloud clusters on Azure is ngi, you know, this is something that we've had tremendous demand from our customers, both from the Microsoft side and the Nutanix side going, going back years literally, right? People have been wanting to go and see this, this is now live GA open for business and you know, we're ready to go and engage and ready to scale, right? This is our first step in a long journey in a very key partnership for us at Nutanix. >>Great Indu >>In our Dave. In a prior life about seven or eight, eight years ago, I was a part of a team that took a popular patch preparation software and moved it to the public cloud. And that was a journey that took us four years and probably several hundred million dollars. And if we had had NC two then it would've saved us half the money, but more importantly would've gotten there in one third the time. And that's really the value of this. >>Okay. Eric, bring us home please. >>Yeah, I'll just point out like this is not something that's just both on or something. We, we, we started yesterday. This is something the teams, both companies have been working on together for, for years really. And it's, it's a way of, of deeply integrating Nutanix into the Azure Cloud and with the ultimate goal of, of again, providing cloud capabilities to the Nutanix customer in a way that they can, you know, take advantage of the cloud and then compliment those applications over time with additional Azure services like storage, for example. So it really is a great on-ramp to the cloud for, for customers who have significant investments in, in Nutanix clusters on premise, >>Love the co-engineering and the ability to take advantage of those cloud native tools and capabilities, real customer value. Thanks gentlemen. Really appreciate your time. >>Thank >>You. Thank you. Thank you. >>Okay, keep it right there. You're watching. Accelerate hybrid cloud, that journey with Nutanix and Microsoft technology on the cube. You're leader in enterprise and emerging tech coverage >>Organizations are increasingly moving towards a hybrid cloud model that contains a mix of on premises public and private clouds. A recent study confirms 83% of businesses agree that hybrid multi-cloud is the ideal operating model. Despite its many benefits, deploying a hybrid cloud can be challenging, complex, slow and expensive require different skills and tool sets and separate siloed management interfaces. In fact, 87% of surveyed enterprises believe that multi-cloud success will require simplified management of mixed infrastructures >>With Nutanix and Microsoft. Your hybrid cloud gets the best of both worlds. The predictable costs, performance control and data sovereignty of a private cloud and the scalability, cloud services, ease of use and fractional economics of the public cloud. Whatever your use case, Nutanix cloud clusters simplifies IT. Operations is faster and lowers risk for migration projects, lowers cloud TCO and provides investment optimization and offers effortless, limitless scale and flexibility. Choose NC two to accelerate your business in the cloud and achieve true hybrid cloud success. Take a free self-guided 30 minute test drive of the solutions provisioning steps and use cases at nutanix.com/azure td. >>Okay, so we're just wrapping up accelerate hybrid cloud with Nutanix and Microsoft made possible by Nutanix where we just heard how Nutanix is partnering with cloud and software leader Microsoft to enable customers to execute on a true hybrid cloud vision with actionable solutions. We pushed and got the answer that with NC two on Azure, you get the same stack, the same performance, the same networking, the same automation, the same workflows across on-prem and Azure Estates. Realizing the goal of simplifying and extending on-prem workloads to any Azure region to move apps without complicated refactoring and to be able to tap the full complement of native services that are available on Azure. Remember, all these videos are available on demand@thecube.net and you can check out silicon angle.com for all the news related to this announcement and all things enterprise tech. Please go to nutanix.com as of course information about this announcement and the partnership, but there's also a ton of resources to better understand the Nutanix product portfolio. There are white papers, videos, and other valuable content, so check that out. This is Dave Ante for Lisa Martin with the Cube, your leader in enterprise and emerging tech coverage. Thanks for watching the program and we'll see you next time.

>>Okay, we're back with the hybrid Cloud power panel. I'm Dave Ante and with me our Eric Lockhart, who's the corporate vice president of Microsoft Azure, Specialized Thomas Corny, the senior vice president of products at Nutanix, and Indu Care, who's the Senior Vice President of engineering, NCI and nnc two at Nutanix. Gentlemen, welcome to the cube. Thanks for coming on. >>It's to >>Be here. Have us, >>Eric, let's, let's start with you. We hear so much about cloud first. What's driving the need for hybrid cloud for organizations today? I mean, I wanna just ev put everything in the public cloud. >>Yeah, well, I mean, the public cloud has a bunch of inherent advantages, right? I mean, it's, it has effectively infinite capacity, the ability to, you know, innovate without a lot of upfront costs, you know, regions all over the world. So there is a, a trend towards public cloud, but you know, not everything can go to the cloud, especially right away. There's lots of reasons. Customers want to have assets on premise, you know, data gravity, sovereignty and so on. And so really hybrid is the way to achieve the best of both worlds, really to kind of leverage the assets and investments that customers have on premise, but also take advantage of, of the cloud for bursting or regionality or expansion, especially coming outta the pandemic. We saw a lot of this from work from home and, and video conferencing and so on, driving a lot of cloud adoption. So hybrid is really the way that we see customers achieving the best of both worlds. >>Yeah, makes sense. I wanna, Thomas, if you could talk a little bit, I don't wanna inundate people with the acronyms, but, but the Nutanix Cloud clusters on Azure, what is that? What problems does it solve? Give us some color there, please. >>That is, so, you know, cloud clusters on Azure, which we actually call NC two to make it simple. And so NC two on Azure is really our solutions for hybrid cloud, right? And you think about the hybrid cloud, highly desirable customers want it. They, they know this is the right way to do for them, given that they wanna have workloads on premises at the edge, any public clouds. But it's complicated. It's hard to do, right? And the first thing that you deal with is just silos, right? You have different infrastructure that you have to go and deal with. You have different teams, different technologies, different areas of expertise and dealing with different portals. Networkings get complicated, security gets complicated. And so you heard me say this already, you know, hybrid can be complex. And so what we've done, we then c to Azure is we make that simple, right? We allow teams to go and basically have a solution that allows you to go and take any application running on premises and move it as is to any Azure region where ncq is available. Once it's running there, you keep the same operating model, right? And that's something actually super valuable to actually go and do this in a simple fashion, do it faster, and basically do, do hybrid in a more cost effective fashion, know for all your applications. And that's really what's really special about NC Azure today. >>So Thomas, just a quick follow up on that. So you're, you're, if I understand you correctly, it's an identical experience. Did I get that right? >>This is, this is the key for us, right? Is when you think you're sending on premises, you are used to way of doing things of how you run your applications, how you operate, how you protect them. And what we do here is we extend the Nutanix operating model two workloads running in Azure using the same core stack that you're running on premises, right? So once you have a cluster deploying C to an Azure, it's gonna look like the same cluster that you might be running at the edge or in your own data center, using the same tools, using, using the same admin constructs to go protect the workloads, make them highly available with disaster recovery or secure them. All of that becomes the same, but now you are in Azure, and this is what we've spent a lot of time working with Americanist teams on, is you actually have access now to all of those suites of Azure services in from those workloads. So now you get the best of both world, you know, and we bridge them together and you get seamless access of those services between what you get from Nutanix, what you get from Azure. >>Yeah. And as you alluded to, this is traditionally been non-trivial and people have been looking forward to this for, for quite some time. So Indu, I want to understand from an engineering perspective, your team had to work with the Microsoft team, and I'm sure there was this, this is not just a press releases or a PowerPoint, you had to do some some engineering work. So what specific engineering work did you guys do and what's unique about this relative to other solutions in the marketplace? >>So let me start with what's unique about this, and I think Thomas and Eric both did a really good job of describing that the best way to think about what we are delivering jointly with Microsoft is that it speeds up the journey to the public cloud. You know, one way to think about this is moving to the public cloud is sort of like remodeling your house. And when you start remodeling your house, you know, you find that you start with something and before you know it, you're trying to remodel the entire house. And that's a little bit like what journey to the public cloud sort of starts to look like when you start to refactor applications. Because it wasn't, most of the applications out there today weren't designed for the public cloud to begin with. NC two allows you to flip that on its head and say that take your application as is and then lift and shift it to the public cloud, at which point you start the refactor journey. >>And one of the things that you have done really well with the NC two on Azure is that NC two is not something that sits by Azure side. It's fully integrated into the Azure fabric, especially the software defined network and SDN piece. What that means is that, you know, you don't have to worry about connecting your NC two cluster to Azure to some sort of a net worth pipe. You have direct access to the Azure services from the same application that's now running on an C2 cluster. And that makes your refactoring journey so much easier. Your management claim looks the same, your high performance notes let the NVMe notes, they look the same. And really, I mean, other than the facts that you're doing something in the public cloud, all the Nutanix goodness that you're used to continue to receive that, there is a lot of secret sauce that we have had to develop as part of this journey. >>But if we had to pick one that really stands out, it is how do we take the complexity, the network complexity, offer public cloud, in this case Azure, and make it as familiar to Nutanix's customers as the VPC construc, the virtual private cloud construct that allows them to really think of their on-prem networking and the public cloud networking in very similar terms. There's a lot more that's gone on behind the scenes. And by the way, I'll tell you a funny sort of anecdote. My dad used to say when I drew up that, you know, if you really want to grow up, you have to do two things. You have to like build a house and you have to marry your kid off to someone. And I would say our dad a third do a code development with the public cloud provider of the partner. This has been just an absolute amazing journey with Eric and the Microsoft team, and you're very grateful for their support. >>I need NC two for my house. I live in a house that was built and it's 1687 and we connect old to new and it's, it is a bolt on, but, but, but, and so, but the secret sauce, I mean there's, there's a lot there, but is it a PAs layer? You didn't just wrap it in a container and shove it into the public cloud, You've done more than that. I'm inferring, >>You know, the, it's actually an infrastructure layer offering on top of fid. You can obviously run various types of platform services. So for example, down the road, if you have a containerized application, you'll actually be able to tat it from OnPrem and run it on C two. But the NC two offer itself, the NCAA often itself is an infrastructure level offering. And the trick is that the storage that you're used to the high performance storage that you know, define Nutanix to begin with, the hypervisor that you're used to, the network constructs that you're used to light MI segmentation for security purposes, all of them are available to you on NC two in Azure, the same way that we're used to do on-prem. And furthermore, managing all of that through Prism, which is our management interface and management console also remains the same. That makes your security model easier, that makes your management challenge easier, that makes it much easier for an accusation person or the IT office to be able to report back to the board that they have started to execute on the cloud mandate and they have done that much faster than they'll be able to otherwise. >>Great. Thank you for helping us understand the plumbing. So now Thomas, maybe we can get to like the customers. What, what are you seeing, what are the use cases that are, that are gonna emerge for this solution? >>Yeah, I mean we've, you know, we've had a solution for a while and you know, this is now new on Azure is gonna extend the reach of the solution and get us closer to the type of use cases that are unique to Azure in terms of those solutions for analytics and so forth. But the kind of key use cases for us, the first one you know, talks about it is a migration. You know, we see customers on the cloud journey, they're looking to go and move applications wholesale from on premises to public cloud. You know, we make this very easy because in the end they take the same culture that are around the application and make them, we make them available Now in the Azure region, you can do this for any applications. There's no change to the application, no networking change. The same IP will work the same whether you're running on premises or in Azure. >>The app stays exactly the same, manage the same way, protected the same way. So that's a big one. And you know, the type of drivers point to politically or maybe I wanna go do something different or I wanna go and shut down education on premises, I need to do that with a given timeline. I can now move first and then take care of optimizing the application to take advantage of all that Azure has to offer. So migration and doing that in a simple fashion, in a very fast manner is, is a key use case. Another one, and this is classic for leveraging public cloud force, which are doing on premises IT disaster recovery and something that we refer to as elastic disaster recovery, being able to go and actually configure a secondary site to protect your on premises workloads, but I that site sitting in Azure as a small site, just enough to hold the data that you're replicating and then use the fact that you cannot get access to resources on demand in Azure to scale out the environment, feed over workloads, run them with performance, potentially feed them back to on premises and then shrink back the environment in Azure to again, optimize cost and take advantage of elasticity that you get from public cloud models. >>Then the last one, building on top of that is just the fact that you cannot get boosting use cases and maybe running a large environment, typically desktop, you know, VDI environments that we see running on premises and I have, you know, a seasonal requirement to go and actually enable more workers to go get access the same solution. You could do this by sizing for the large burst capacity on premises wasting resources during the rest of the year. What we see customers do is optimize what they're running on premises and get access to resources on demand in Azure and basically move the workload and now basically get combined desktops running on premises desktops running on NC two on Azure, same desktop images, same management, same services, and do that as a burst use case during, say you're a retailer that has to go and take care of your holiday season. You know, great use case that we see over and over again for our customers, right? And pretty much complimenting the notion of, look, I wanna go to desktop as a service, but right now I don't want to refactor the entire application stack. I just wanna be able to get access to resources on demand in the right place at the right time. >>Makes sense. I mean this is really all about supporting customers', digital transformations. We all talk about how that was accelerated during the pandemic and, but the cloud is a fundamental component of the digital transformation generic. You, you guys have obviously made a commitment between Microsoft and and Nutanix to simplify hybrid cloud and that journey to the cloud. How should customers, you know, measure that? What does success look like? What's the ultimate vision here? >>Well, the ultimate vision is really twofold. I think the one is to, you know, first is really to ease a customer's journey to the cloud to allow them to take advantage of all the benefits to the cloud, but to do so without having to rewrite their applications or retrain their, their administrators and or or to obviate their investment that they already have and platforms like, like Nutanix. And so the, the work that companies have done together here, you know, first and foremost is really to allow folks to come to the cloud in the way that they want to come to the cloud and take really the best of both worlds, right? Leverage, leverage their investment in the capabilities of the Nutanix platform, but do so in conjunction with the advantages and and capabilities of, of Azure. You know, Second is really to extend some of the cloud capabilities down onto the on-premise infrastructure. And so with investments that we've done together with Azure arc for example, we're really extending the Azure control plane down onto on premise Nutanix clusters and bringing the capabilities that that provides to the, the Nutanix customer as well as various Azure services like our data services and Azure SQL server. So it's really kind of coming at the problem from, from two directions. One is from kind of traditional on-premise up into the cloud and then the second is kind of from the cloud leveraging the investment customers have in in on-premise hci. >>Got it. Thank you. Okay, last question. Maybe each of you can just give us one key takeaway for our audience today. Maybe we start with with with with Thomas and then Indu and then Eric you can bring us home. >>Sure. So the key takeaway is, you know, Nutanix Cloud clusters on Azure is now ga you know, this is something that we've had tremendous demand from our customers, both from the Microsoft side and the Nutanix side going, going back years literally, right? People have been wanting to go and see this, this is now live GA open for business and you know, we're ready to go and engage and ready to scale, right? This is our first step in a long journey in a very key partnership for us at Nutanix. >>Great Indu >>In our Dave. In a prior life about seven or eight, eight years ago, I was a part of a team that took a popular cat's preparation software and moved it to the public cloud. And that was a journey that took us four years and probably several hundred million. And if we had had NC two then it would've saved us half the money, but more importantly would've gotten there in one third the time. And that's really the value of this. >>Okay. Eric, bring us home please. >>Yeah, I'll just point out like this is not something that's just both on or something. We, we, we started yesterday. This is something the teams, both companies have been working on together for, for years, really. And it's, it's a way of, of deeply integrating Nutanix into the Azure Cloud and with the ultimate goal of, of again, providing cloud capabilities to the Nutanix customer in a way that they can, you know, take advantage of the cloud and then compliment those applications over time with additional Azure services like storage, for example. So it really is a great on-ramp to the cloud for, for customers who have significant investments in, in Nutanix clusters on premise, >>Love the co-engineering and the ability to take advantage of those cloud native tools and capabilities, real customer value. Thanks gentlemen. Really appreciate your time. >>Thank >>You. Thank you. >>Okay. Keep it right there. You're watching Accelerate Hybrid Cloud, that journey with Nutanix and Microsoft technology on the cube. You're a leader in enterprise and emerging tech coverage.

>>Welcome back everyone to Supercloud 22. This is the Cube's live presentation streaming out virtually our inaugural event, kind of a pilot I'm John Furo of the cube with Dave ante. Got a great panel here to discuss the enablers and blockers question mark for superclouds. We got, we got kit Culbert, CTO of VMware basketball, Gor CEO platform nine, and has Pani who is the CEO of RA systems. We got a mix of the big leader, VMware and the upstart companies growing into the same space, all cloud native friends of the cube. Great to see you guys. Thanks for coming on. Thank >>You. >>Start. All right. So there's no debate cloud native is booming. We see that clearly Kubernetes became a unifying force. It's an ops layer kind of almost like a kind of a midline between dev and ops DevSecOps is happening at scale. What are the blockers and what are the enablers for super cloud? What do we need? Let's see what do get your take? >>Sure. So UN I spoke about this a little bit in, at New York summit, the big trend I'm seeing, and it's, it's a blocker that's being sort of taken care of by enterprises, which is, you know, until very recently, Kubernetes was effectively a project that NA would take on. They'd try things out, they'd go to the cloud, they'd spin things up. And then the next team would come and they'd do the same things. And there was no consistency. There was no ization, it's a mess, right? It's all over the place. Some things are moving fast. Some things are not going fast and this is not how enterprises do business, right? That's not how things work. Traditionally enterprises have had it organizations that create standards, right? So those it organizations now kind of are starting to think like a platform organization. So centrally come up with the right framework for all application teams to consume infrastructure, modern infrastructure. So I'm not using the word Kubernetes here because Kubernetes is an enabler. We are a Kubernetes company, obviously, but it's about modern applications, modern infrastructure. So stepping back and thinking about it as to how an enterprise will do this across the board is the right answer. And I'm seeing this happen in a pretty significant way across all the large enterprises I talked to. >>That's why you've had a great career. And we talked before you came on Opia you did a turnaround there, we, you even go back to the old days of the web web 1.0 and early software. You've seen the movie before. >>Yes. >>You know, complexity is not solved way more complexity. This is kind of the old enterprise way. And they don't want that. They've seen the benefits of self-service. They see architecture and standards as being an enabler. Where are we in here in the market? Is, are we positioned in your opinion for customers to get the value of a super cloud? >>Absolutely. So if you think about, first of all, I think the topic of cloud native developers and app developers picking containers and Kubernetes, that's a done deal, right? That has already happened. So every cloud native developer is already using these tools. Now, I think as has been discussed today in you, in the earlier sessions, is, are the operations and infrastructure catching up or they're lagging behind, right? As more and more developers are using multi-cloud technologies, enterprises are creating a choice, I think operations and what we also strongly believe that's actually part of the name of our company is, is a platform. The platform of which a company uses to transform itself to be cloud native is the big opportunity. I don't think it's a blocker, but it's a huge opportunity. And I think this is where, you know, as you can't stop developers from developing on different clouds, private, public, multi edge, that's gonna happen. Innovation is gonna continue. But then how does the infrastructure in the platform make it seamless? Right? And almost treat all these different clouds as a single pan super cloud platform. That's I think is the >>Opportunity. So we in a platform more than with other companies, or is there one unified platform called cloud native? We know customers been buying tools from security they're they got so many tools in, in their tools shed, so to speak. What is that platform? I mean, is it more unique, fragmentation? Is it unified? >>I mean, if you think about it, a couple of it's a combination of tools that are stitched together to reach a purpose, right? So if you think about, you know, APIs continued APIs that's been discussed earlier today, I think that's, that should be standardized. The other thing is always on monitoring because I think that's a very key aspect. Once you build it, then as the enterprises are using it, the always on monitoring becomes. So I think it's a combination of capabilities that are stitched together to enable the acceleration for companies to become cloud native. >>I, I have a thought on a blocker. None of you guys are gonna like it. Oh, maybe you can come. Maybe some of you guys probably won't but comment, but maybe John will. I think AWS is a blocker to Supercloud cuz they, they don't want those cross cloud service. It's like they, they, for years they wouldn't even say multicloud. The first time I heard it was in Boston three weeks ago, I actually heard it. So Hey, you see, >>You know, I'm gonna disagree with that. Okay. >>But, but okay, go ahead. All >>So we'll get their reaction. So my, we just heard from the last panel that the security should be leading the consortium. Yeah. Because they're, they're not the enemy they're actually, >>Maybe they should be >>Well back in the old web days, when standards were driving things, you had a common enemy, proprietary NASAs, proprietary networking stack. So the evil empire was at and T that's owned Unix. If you remember, they copyright that. >>So you think they're greasing the skids for, >>I think Supercloud, I think the hyperscalers could cuz they're driving the CapEx, they're providing the value. So in my opinion, Amazon and Azure, whoever does the right thing first can win every, maybe >>This is how Google could catch up >>It. It could be a, it could be a Slingshot move. It could, you know, boomerang, someone to the front of the line or extend. Amazon's already huge lead. So if I'm AWS, if I'm Adam Slosky and I'm talking to Andy Jassy, he says, how am I gonna differentiate myself? I'd say, I'm gonna come in and own multicloud. I'm gonna own Supercloud we are the Supercloud and you work with AWS's primitives in a way that makes services work. I would go for that. I'd be like, okay, show me more. What do you >>Think? I, I, I don't think think any one company is going to be a super cloud because I think yes, there is going to be a lot of workloads on public clouds, but there's a huge amount of workloads at the enterprise at the edge at the store. I think those will continue for various reasons, whether it's data, sovereignty regulations. So I think it's going to be a combination. Everybody's not gonna go to one, you know, cloud, it's going to be an amalgamation. >>Okay. But I I've argued that snowflake is a form of a super data cloud and a very specific use case, you know, Aviatrix is trying to be a network, you know, layer and you know, sneak in a security, let me on and on, on a lot of small you get, you get super cloud stove pipes, but, but nonetheless you're, you're still abstracting. I mean, we've this industry attractions, right? >>Well this, this concept I completely agree with, right? This idea that, so, so one of the, my is that right now enterprises buy 500 different technologies and they have to become PhDs in 500 different things. It's just never gonna happen skills issue, which is no way. Right. So what's gonna happen is all of these providers are gonna essentially become managed service providers. Cloud is in manifestation of that. Snowflake is a ation data breaks is a manifestation of that. Right? So in our general industry, there's gonna be a handful of platforms. Right. And they're gonna work across these clouds. Amazon may have one too. Right? Look, they, they, they, for the longest time sort of ignored OnPrem, but now they have something called SSA, which runs on Preem. Right. Why, why would they bother? Because, well, obviously there's a lot of money to be made in a data center as well. >>So I, my sense is they get it completely understand and appreciate that there's other things outside of Amazon. But in terms of what Bosco was talking about, my sense is, you know, these multiple platforms will come about. And to the point we were making earlier about standardization and I, I mean, is it gonna be one company or is it gonna be standards that everybody will else will adopt? There's a topic that the three of us have talked about before, which is this vCenter for Kubernetes. Right. And all due respect to kit. Right. My sense is that there there's gonna be multiple companies that are gonna start working towards a vCenter for Kubernetes. And it is right. I mean, that's how I've, I mean, I've been thinking about this before and a half years, including >>VMware. >>Yeah. And you know, and we, we should compare notes. Right. But what's gonna happen is there was a, there was a distinct advantage VMware had back in the day because ESX was their product. Right. And that was a standard right now. What's the ESX in the new it's sort of Kubernetes, right. I mean, it's on bare metal for the most part or whatever VMs. So that's a standard, that's got standardized APIs, the things around it are standardized APIs. So what is the unfair advantage that one company has other than execution? >>Nothing. Well also composability if you over rotate on Kubernetes, for example, and not take advantage of say C two, for instance. Totally, >>Totally. >>It's a mix and match. >>Yeah. But I think, I think if you get too focused on Kubernetes, it's a means to an end. Yeah. But at the end of the day, it it's a mean to end end. And I think all these tools, there's a lot of standardization happening that's gonna happen. Right. And no one vendor is gonna control that. Right. It's it's going to be, it's gonna continue. I think how you bring these together and orchestrate right. And manage the service. Because I think that if you think about the lack of skills to keep up with the operations and platforms is one of the largest inhibitors right now for enterprises to move as fast as they want to become cloud native. >>And you have the shiny new toy problem kit where people just go and grab it. You know, Keith Townsend has a, as a quote, he says, look, we essentially move at the speed of the CIO or else we're going too fast or too slow. So, so the, to, to the point about the new toy now I've got new skills. >>Yep. Well, so this has been a really good discussion. And I think so there's a couple of things, right. Going back to the, the paper that we wrote, right. How we have these different sort of layers of multi-cloud services or, or categories of multi-cloud services. And it's exactly to capture some of the ex different examples you just mentioned. And yeah, the challenge is that each of them by themselves are a little bit of an island today. Like you don't have that extra level of integration. And so what the platform teams typically do is try to add that extra glue to make the experience more seamless for the, the, the, you know, developers at that company. And so like, you know, for instance, things like identity. So the nice thing about going to a single public cloud is that there's one, usually one identity system for everything. And that's great. All the different services roles are, you know, are back all that. Stuff's all centralized, but you don't have that when you're going across many different multicloud services. So what does that look like? So I think there's some of these different crosscutting concerns that we need to look at how we standardize on as an industry. And that's, again, one of the things >>You felt that part. And I think, I think also the other key thing is yes, you can always say I'll put everything in one world, world garden and I'm done. Yeah. Okay. But that's not the reality because at some point you need, the flexibility and cost comes into play and flexibility to move comes into play. And I think that is a key factor. Yep. Right. >>Yeah. And so like, so then the question is, what degrees of freedom do you give yourself there? And I think that's the architectural question is how you, how do you design it? What sort of abstractions do you leverage? And I think that goes back to some of our discussion before, which is, do you directly go on top of a native cloud service or do you use a multi-cloud service? >>But I think it's a combination of, I don't think it's either or no, it's not, it's not an either or you have to have the ability to choose a public cloud or do it private. Yeah. At the same time you don't change. It's like a common dictionary, right. You're not gonna change every time the accent changes, you know? So that's, >>So here's a question for you guys. So what has to happen for super clouds, be existing assume that AWS and Azure and Google, aren't gonna sit still assume that maybe they normalize into some sort of swim lane or position that they have to rationalize. What, assuming they're not gonna sit still, what has to happen for super clouds to, to actually work >>Well? Well, I think, you know, really quick going back to the platform team point, I would say that the platform teams at various companies, and we got one at VMware two, they're creating a rudimentary form of a super cloud. Right. Cause they, you know, absolutely like if, if they are supporting multiple clouds, like all the things they're stitching together and all that work, that is a super cloud. The problem is that there's not really a standard approach or architecture or reusable things to enable that. I think that's really what's missing. >>Yeah. But I think the key here is standard us reusable. Because for example, we have customers who are in doesn't matter where they are, some of their loads are in public cloud. Some are in private, some are at the edge, but they're still using the same platform. Yeah. Right. So it is a standard open source based technology. So it is standard. There's no lock in for them from an infrastructure point of view. Yep. And it gives them the flexibility because certain apps, you wanna put it on the public cloud, certain apps, you do not, you need the, I mean, for example, some of the AI, I think earlier discussion that was going on about chips and AI and ML workloads. I mean, think about moving all of that to a public cloud, to, and I think a lot of machine learning and AI applications are going to happen where the data is getting created at the edge. Yeah. At the edge >>Public cloud. It's not gonna happen cloud. It's gonna be real time in, >>It's gonna the end time. And so therefore you have to decide based on your workload, what are you gonna move all the way to a public cloud? And what are you need to do to make business decisions at this spot where the data is created? >>That's a huge disruptor potentially to Supercloud. This is a whole new architecture that emerges at the edge with a whole new set of economics. I >>Think the edge is gonna be like massively disruptive. >>I think it's gonna think about, if you think about the edge, go beyond just the classic definition of edge. Think about branches in stores, retail stores. Yeah. Right. I mean, you cannot shut down retail store because you lost connectivity to the network or something you still have to serve your company >>Edge is a disruptive enabler. I think it's gonna change potentially change the position of the players in the business. Whoever embraces the edge. >>Yeah. Maybe going back to the question that you had asked before, which is what is, what is a framework for a super cloud? So you said something that is important, which is your team's burning one. Yeah. I met that team. Actually. They seem to be very sharp guys. >>They're they're mine. They're my are great. They're awesome. >>We got a deal going on here. Yeah. >>I tried. We have >>It. >>So this is the interesting part, right? So I will pause it that the super cloud of the future will be a company that owns zero servers and no network. >>Okay. >>That's gonna happen. Okay. So I just kind of it's >>Full point you >>Made before I made that point just about the public cloud, just so Mr. >>Yeah, yeah, yeah, yeah. No, that really interesting. Not >>We that, so I've thought about this a long time that in my opinion, and I've, I'm, I'm sure I've said this to you, John, that, you know, the one company that I've always believed has the best shot at doing this well is actually VMware because that's the one company that's, you know, that there's, there's no, you know, infrastructure back haul. Right. You know, that you're carrying, but, but in terms of thinking and getting there, you know, being, being a company that can do it is not the same as being the company who has done it. That's a, there's a distance, but >>I have to defend that now because hyperscalers are not gonna be able to super cloud. They're not now it's hype. See, agreed, great point. Public clouds will be part of the super cloud. Yeah, totally. But they will not, the hyperscalers are not building super clouds. Totally. They're blocking it. Right. Yeah. >>They're enabling it. >>We agree on >>No, they're enabling >>Because it's, it's not in there to their advantage. Right. Look, the, the snowflake example you gave is the pivotal example in this conversation. Yep. Right. Why does snowflake exist at all when Redshift exists and all these other things exist because they provide value that is beyond a single clouds purview. Right. And at that point, just step back from our platforms and what we sell. Forget about that for a minute. Right. It's it's about, look, I think, I think this, we are, this market is early, we're out early, right. 10 years from now, what will a company look like? That actually solves a superly problem they're gonna solve for yeah. Kubernetes, whatever. Right. But they're gonna solve for truly modern applications. >>Yeah. They're gonna refactor application that has new economics new value, right. >>At that point, this idea of edge and cloud, forget about it. Right. This is all distribution issues, right. It doesn't really matter. Is it retail or not? Yeah, absolutely. These are places, but, but the way, the right way to think about this is not about edge versus cloud, right? This is about an app. Sometimes it needs to run in one location and it's good enough. Sometimes it needs to run in 10,000 locations and, and it's a distribution issue. I've always believed there's this idea of edge versus cloud. This is BS, right? Because it, it is a cloud over a different size. Sure. But, but I'm making a slightly different point. Sure. Which is, it's a distribution problem. Right. If you step back and think about distribution, my app could run in Azure or AWS or in a retail store, in a branch or whatever. Right. >>And once that is done, the question is, how am I in, in making all this happen? There was a point made in the prior conversation, in the, in the session about a database kind of popping up in the place where I needed to run. Okay. Nobody does that today, by the way. Right. At least truly well right about that, sir, that will come. Right? Yeah. But when that comes, my application is a conglomerate of compute data. I don't know a, a service bus and network and all these things and they will all kind of pop together. That company does not exist >>Today. Well, we'll, we will be documenting which we have more time. We're gonna document it. We have to unfortunately stop this panel because it's awesome. We can go for another hour. Sure. Let's bring you guys back, but that's it. The super cloud of the future will look like something and we're gonna debate it. And speaking of snowflake, we have the co-founder here next to sit down with us to talk about what he thinks about this super cloud. He, he probably heard the comment, come back more coverage. This break with the co-founder of snowflake after the short break. >>Do thank you.

>>Okay, welcome back to everyone. Cube's live coverage of VMware Explorer, 2022. I'm John fur, host of the cube. Two sets three days of live coverage. Dave Ante's here. Lisa Martin, Dave Nicholson, all host of the cube 12 interviews today, just we're with Rocklin and rolling, getting down to the end of the show. As we wind down and look back and look at the future. We've got Steven Jones. Here's the general manager of the VMware cloud on AWS. He's with Amazon web service. Steven Jones. Welcome to the cube. >>Thanks John. >>Welcome back cube alumni. I've been on many times going back to 2015. Yeah. >>Pleasure to be here. Great >>To see you again. Thanks for coming on. Obviously 10 years at AWS, what a ride is that's been, come on. That's fantastic. Tell me it's been crazy. >>Wow. Learned a lot of stuff along the way, right? I mean, we, we, we knew that there was a lot of opportunity, right? Customers wanting the agility and flexibility of, of the cloud and, and we, we still think it's early days, right? I mean, you'll hear Andy say that animals say that, but it really is. Right. If you look at even just the amount of spend that's being spent on, on clouds, it's in the billions, right. And the amount of, of spend in it is still in the trillion. So there's, there's a long way to go and customers are pushing us hard. Obviously >>It's been interesting a lot going on with VM. We're obviously around with them, obviously changing the strategy with their, their third generation and their narrative. Obviously the Broadcom thing is going on around them. And 10 years at abs, we've been, we've been, this'll be our ninth year, no 10th year at reinvent coming up for us. So, but it's 10 years of everything at Amazon, 10 years of S three, 10 years of C two. So if you look at the, the marks of time, now, the history books are starting to be written about Amazon web services. You know, it's about 10 years of full throttle cube hyperscaler in action. I mean, I'm talking about real growth, like >>Hardcore, for sure. I'll give you just one anecdote. So when I first joined, I think we had maybe two EC two instances back in the day and the maximum amount of memory you could conversion into one of these machines was I think 128 gig of Ram fast forward to today. You literally can get a machine with 24 terabytes of Ram just in insane amounts. Right? My, my son who's a gamer tells me he's got 16 gig in his, in his PC. You need to, he thinks that's a lot. >>Yeah. >>That's >>Excited about that. That's not even on his graphics card. I mean, he's, I know it's coming next. The GPU, I mean, just all >>The it's like, right? >>I mean, all the hardware innovation that you guys have done, I mean, look at every it's changed. Everyone's changed their strategy to copy AWS nitro, Dave ante. And I talk about this all the time, especially with James Hamilton and the team over there, Peter DeSantos, these guys have, are constantly going at the atoms and innovating at the, at the level. I mean that, that's how hardcore it is over there right now. I mean, and the advances on the Silicon graviton performance wise is crazy. I mean, so what does that enabling? So given that's continuing, you guys are continuing to do great work there on the CapEx side, we think that's enabling another set of new net new applications because we're starting to see new things emerge. We saw snowflake come on, customer of AWS refactor, the data warehouse, they call it a data cloud. You're starting to see Goldman Sachs. You see capital one, you see enterprise customers building on top of AWS and building a cloud business without spending the CapEx >>Is exactly right. And Ziggy mentioned graviton. So graviton is one of our fastest growing compute families now. And you know, you mentioned a couple of ISVs and partners of ours who are leaning in heavily on porting their own software. Every event Adam announced that we're working with SAP to, to help them port their HANA cloud, which is a, a database of service offering HANA flagship to graviton as well. So it's, it's definitely changing. >>And I think, you know, one of the, and we're gonna circle back to VMware is kind of a point to this. This conversation is that, is that if you look at the trends, right, okay. VMware really tried hard to do cloud and they had a good shot at it V cloud air, but it just, they didn't have the momentum that you guys had at AWS. We saw a lot, lot of other stragglers try to do cloud. They fell off the road, OpenStack, HP, and the list goes on and on. I don't wanna get into that, but the point is, as you guys become more powerful and you're open, right? So you have open ecosystem, you have people now coming back, taking advantage and refactoring and picking up where they left off. VMware was the one of the first companies that actually said, you know what pat Gelsinger said? And I was there, let's clear up the positioning. Let's go all in with AWS. That's >>Right >>At that time, 2016. >>Yeah. This was new for us, for >>Sure. And then now that's set the standard. Now everybody else is kind of doing it. Where is the VMware cloud relationship right now? How is that going out? State's worked. >>It's working well very well. It's I mean, we're celebrating, I think we made the announcement what, five years ago at this conference. Yeah. 2016. So, I mean, it's, it's been a tremendous ride. The best part are the customers who were coming and adopting and proving to us that our vision back then was the right vision. And, and, and what's been different. I think about this relationship. And it was new for us was that we, we purposely went after a jointly engineered solution. This wasn't a, we've got a, a customer or a partner that's just going to run and build something on us. This is something where we both bring muscle and we actually build a, a joint offering together. Talk about, about the main difference. >>Yeah. And that, and that's been working, but now here at this show, if you look at, if you squint through the multi-cloud thing, which is like just, I think positioning for, you know, what could happen in, in a post broad Broadcom world, the cloud native has traction they're Tansu where, where customers were leaning in. So their enterprise customer is what I call the classic. It, you know, mainstream enterprise, which you guys have been doing a lot of business with. They're now thinking, okay, I'm gonna go on continu, accelerate on, in the public cloud, but I'm gonna have hybrid on premise as well. You guys have that solution. Now they're gonna need cloud native. And we were speculating that VMware is probably not gonna be able to get 'em all of it. And, and that there's a lot more cloud native options as customers want more cloud native. How do you see that piece on Amazon side? Because there's a lot of benefits between the VMware cloud on AWS and the services that you guys have natively in your cloud. So we see customers really taking advantage of the AWS goodness, as well as expanding the cloud side at VMware cloud on AWS. >>Yeah. There's probably two ways I would look at this. Right? So, so one is the combination of VMware cloud on AWS. And then both native services just generally brings more options to customers. And so typically what we're seeing now is customers are just able to move much faster, especially as it comes to data center, evacuations, migrating all their assets, right? So it used to be that, and still some customers they're like, I I've gotta think through my entire portfolio of applications and decide what to refactor. And the only way I can move it to cloud is to actually refactor it into some net new application, more and more. We're actually seeing customers. They've got their assets. A lot of them are still on premises in a VMware state, right. They can move those super quick and then modernize those. And so I think where you'll see VMware and AWS very aligned is on this, this idea of migrate. Now you need to get the benefits of TCO and, and the agility that comes with being in the cloud and then modernize. We took a step further, which is, and I think VMware would agree here too, but all of the, the myriad of services, I think it's 200 plus now AWS native services are for use right alongside any that a customer wants to run in VMware. And so we have examples of customers that are doing just, >>And that's, that's how you guys see the native and, and VMware cloud integrating in. Yeah, that's, that's important because this, I mean, if I always joke about, you know, we've been here 12 years listening in the hallways and stuff, you know, on the bus to the event last night, walking the parties and whatnot, listening in the streets, there's kind of two conversations that rise right to the top. And I wanna get your reaction to this Steven, because this seems to be representative of this demographic here at VMware conference, there's conversations around ransomware and storage and D dub and recovery. It's all, a lot of those happen. Yeah. Clearly a big crowd here that care about, you know, Veeam and NetApp and storage and like making sure stuff's secure and air gapped. And a lot of that kind of, I call nerdy conversations and then the other one is, okay, I gotta get the cloud story. >>Right. So there's kind of the operational security. And then there's like, okay, what's my path to true cloud. I need to get this moving. I need to have better applications. My company is the application now not it serves some sort of back office function. Yeah. It's like, my company is completely using technology as its business. So the app is the business. So that means everything's technology driven, not departmental siloed. So there's a, that's what I call the true cloud conversation. How do you, how do you see that evolving because VMware customers are now going there. And I won't say, I won't say they're behind, but they're certainly going there faster than ever before. >>I think, I think, I mean, it's an interesting con it's an interesting way to put it and I, I would completely agree. I think it's, it's very clear that I think a lot of customer companies are actually being disrupted. Right. And they have to move fast and reinvent themselves. You said the app is now becoming the company. Right. I mean, if, if you look at where not too many years back, there were, you know, big companies like Netflix that were born in the cloud. Right. Airbnb they're disruptors. >>There's, that's the >>App, right? That's the app. Yeah. So I, I would exactly agree. And, and that's who other companies are competing with. And so they have to move quickly. You talked about some, some technology that allows them to do that, right? So this week we announced the general availability of a NetApp on tap solution. It's been available on AWS for some time as a fully managed FSX storage solution. But now customers can actually leverage it with, with VMC. Now, why is that important? Well, there's tens of thousands of customers running VMware. On-premises still, there's thousands of them that are actually using NetApp filers, right? NetApp, NetApp filers, and the same enterprise features like replication. D do you were talking about and Snapp and clone. Those types of things can be done. Now within the V VMware state on AWS, what's even better is they can actually move faster. So consider replicating all this, you know, petabytes and petabytes of data that are in these S from on-premises into AWS, this, this NetApp service, and then connected connecting that up to the BMC option. So it just allows customers much, much. >>You guys, you guys have always been customer focus. Every time I sat down with the Andy jazzy and then last year with Adam, same thing we worked back from, I know it's kind of a canned answer on some of the questions from media, but, but they do really care. I've had those conversations. You guys do work backwards from the customer, actually have documents called working backwards. But one of the things that I observed, we talked about here yesterday on the cube was the observations of reinvent versus say, VM world. Now explore is VM world's ecosystem was very partner-centric in the sense of the partners needed to rely on VMware. And the customers came here for both more of the partners, not so much VMware in the sense there wasn't as much, many, many announcements can compare that to the past, say eight years of reinvent, where there's so much Amazon action going on the partners, I won't say take as a second, has a backseat to Amazon, but the, the attendees go there generally for what's going on with AWS, because there's always new stuff coming out. >>And it's, it's amazing. But this year it starts to see that there's an overlap or, or change between like the VMware ecosystem. And now Amazon there's, a lot of our interviews are like, they're on both ecosystems. They're at Amazon's show they're here. So you start to see what I call the naturalization of partners. You guys are continuing to grow, and you'll probably still have thousands of announcements at the event this year, as you always do, but the partners are much more part of the AWS equation, not just we're leasing all these new services and, and oh, for sure. Look at us, look at Amazon. We're growing. Cause you guys were building out and look, the growth has been great. But now as you guys get to this next level, the partners are integral to the ecosystem. How do you look at that? How has Amazon thinking about that? I know there's been some, some, a lot of active reorgs around AWS around solving this problem or no solve the problem, addressing the need and this next level of growth. What's your reaction to >>That? Well, I mean, it's, it's a, it's a good point. So I have to be honest with you, John. I, I, I spent eight of my 10 years so far at AWS within the partner organization. So partners are very near and dear to my heart. We've got tens of thousands of partners and you are you're right. You're starting to see some overlap now between the VMware partner ecosystem and what we've built now in AWS and partners are big >>By the way, you sell out every reinvent. So it's, you have a lot of partners. I'm not suggesting that you, that there's no partner network there, but >>Partners are critical. I mean, absolutely naturally we want a relationship with a customer, but in order to scale the way we need to do to meet the, the needs of customers, we need partners. Right. We, we can't, we can't interact with every single customer as much as we would like to. Right. And so partners have long built teams and expertise that, that caters to even niche workloads or opportunity areas. And, and we love partners >>For that. Yeah. I know you guys do. And also we'll point out just to kind of give props to you guys on the partner side, you don't, you keep that top of the stack open on Amazon. You've done some stuff for end to end where customers want all Amazon, but for the most part, you let competition come in, even on, so you guys are definitely partner friendly. I'm just observing more the maturization of partners within the reinvent ecosystem, cuz we're there every year. I mean, it's, I mean, first of all, they're all buzzing. I mean, it's not like there's no action. There's a lot of customers there it's sold out as big numbers, but it just seems that the partners are much more integrated into the value proposition of at a AWS because of the, the rising tide and, and now their enablement, cuz now they're part of the, of the value proposition. Even more than ever before >>They, they really are. And they, and they're building a lot of capabilities and services on us. And so their customers are our customers. And like you say, it's rising tide, right. We, we all do better together. >>Okay. So let's talk about the VMware cloud here. What's the update here in terms of the show, what's your, what's your main focus cuz a lot of people here are doing, doing sessions. What's been some of the con content that you guys are producing here. >>Yeah. So the best part obviously is a always the customer conversations to partner conversations. So a, a lot of, a lot of sessions there, we did keynote yesterday in Ryan and I, where we talked about a number of announcements that are, I think pretty material now to the offering a joint announcement with NetApp yesterday as well around the storage solution I was talking about. And then some, some really good technical deep dives on how the offering works. Customers are still interested in like how, how do I take what I've got on premises and easily move into AWS and technology like HSX H CX solution with VMware makes it really easy without having to re IP applications. I mean, you know, it is super difficult sometimes to, to move an application. If you've got figure out where all the firewall rules are and re iPing those, those things source. But yeah, it's, it's been fantastic. >>A lot of migrations to the cloud too. A lot of cloud action, new cloud action. You guys have probably seen an uptake on services right on the native side. >>Yes. Yes. For sure. So maybe I just outlined some of the, some of the assets we made this week. So absolutely >>Go ahead. >>We, we announced a new instance family as a, a major workhorse underneath the VMware cloud offering called I, I, you mentioned nitro earlier, this is on, based on our latest generation of nitro, which allows us to offer as you know, bare metal instances, which is, which is what VMware actually VMware was our first partnership and customer that I would say actually drove us to really get Nira done and out the door. And we've continued to iterate on that. And so this I four, I instance, it's based on the, the latest Intel isolate processor with more than double the Ram double the compute, a whopping 75 gigabytes per second network. So it's a real powerhouse. The cool thing is that with the, with the NetApp storage solution that we, we discussed, we're now disaggregating the need to provision, compute and storage at the same time. It used to be, if you wanted to add more storage to your VSAN array, that was on a V VMware cloud. Yeah. You'd add another note. You might not need more compute for memory. You'd have to add another note. And so now customers can simply start adding chunks of storage. And so this opens up customers. I had a customer come to me yesterday and said, there's no reason for us not to move. Now. We were waiting for something that like this, that allowed us to move our data heavy workloads yeah. Into VMware cloud. It's >>Like, it's like the, the alignment. You mentioned alignment earlier. You know, I would say that VMware customers are lined up now almost perfectly with the hybrid story that's that's seamless or somewhat seems it's never truly seamless. But if you look at like what Deepak's doing with Kubernetes and open source, you, you guys have that there talking that big here, you got vs a eight vSphere, eight out it's all cloud native. So that's lined up with what you guys are doing on your services and the horsepower. They have their stuff, you have yours that works better together. So it seems like it's more lined up than ever before. What's your take on that? Do you agree? And, and if so, what folks watching here that are VMware customers, what's, what's the motivation now to go faster? >>Look, it is, it is absolutely lined up. We are, as, as I mentioned earlier, we are jointly engineering and developing this thing together. And so that includes not just the nuts and bolts underneath, but kind of the vision of where it's going. And so we're, we're collectively bringing in customer feedback. >>What is that vision real quick? >>So that vision has to actually help an under help meet even the most demanding customer workloads. Okay. So you've got customer workloads that are still locked in on premises. And why is that? Well, it used to be, there was big for data and migration, right? And the speed. And so we continue to iterate this and that again is a joint thing. Instead of say, VMware, just building on AWS, it really is a, a tight partnership. >>Yeah. The lift and shift is a, an easy thing to do. And, and, and by the way, that could be a hassle too. But I hear most people say the reason holding us back on the workloads is it's just a lot of work, a hassle making it easier is what they want. And you guys are doing that. >>We are doing that. Absolutely. And by the way, we've got not just engineering teams, but we've got customer support teams on both sides working together. We also have flexible commercial options, right? If a customer wants to buy from AWS because they've negotiated some kind of deal with us, they can do that. They wanna buy from VMware for a similar reason. They could buy from VMware. So are >>They in the marketplace? >>They are in the market. There, there are some things in the marketplace. So you talked about Tansu, there's a Tansu offering in the marketplace. So yes. Customers can >>Contract. Yeah. Marketplaces. I'm telling you that's very disruptive. I'm Billy bullish on the market AIOS marketplace. I think that's gonna be a transformative way. People have what they procure and fully agree, deploy and how, and channel relationships are gonna shift. I think that's gonna be a disruptive enabler to the partner equation and, and we haven't even seen it yet. We're gonna be up there in September for their inaugural event. I think it's a small group, but we're gonna be documenting that. So even final question for you, what's next for you? What's on the agenda. You got reinvent right around the corner. Your P ones are done. Right? I know. Assuming all that, I turn that general joke. That's an internal Amazon joke. FYI. You've got your plan. What's next for the world. Obviously they're gonna go this, take this, explore global. No matter what happens with Broadcom, this is gonna be a growth wave with hybrid. What's next for you and your team with AWS and VMware's relationship? >>Yeah. So both of us are hyper focused on adding additional options, both from a, an instance compute perspective. You know, VMware announced some, some, some additional offerings that we've got. We've got a fully complete, like, so they're, they announce things like VMware flex compute V VMware flex storage. You mentioned earlier, there was a conversation around ransomware. There's a new ransomware based offering. So we're hyper focused on rounding out, continuing to round out the offering and giving customers even more choice >>Real quick. Jonathan made me think about the ransomware we were at reinforce Steven Schmidtz now the CSO. Now you got a CSO. AJ's the CSO. You got a whole focus, huge emphasis on security right now. I know you always have, but now it's much more public. It's PO more positive, I think, than some of the other events I've been to. It's been more Lum and doom. What's the security tie in here with VMware. Can you share a little bit real quick on the security piece update around this relationship? >>Yeah, you bet. So as you know, security for us is job zero. Like you don't have anything of security. And so what are the things that, that we're excited about specifically with VMware is, is the latest offering that, that we put together and it's called this, this ransomware offering. And it's, it's a little bit different than other ransomware. I mean, a lot of people have ransomware offerings today, just >>Air gap. >>Right, right, right. Exactly. No, that's easy. No, this one is different. So on the back end, so within VMC, there's this, this option where CU we can be to be taking iterative snapshots of a customer environment. Now, if an event were to occur, right. And a customer is like, I have to know if I'm compromised, we can actually spin up super easy. This is cloud. Remember? Yeah. We can spin up a, a copy of this environment, throw a switch, pick a snapshot with NSX. So VMware NSX firewall it off and then use some custom tooling from VMware to actually see if it's been compromised or not. And then iterate through that until you actually know you're clean. And that's different than just tools that do maybe a >>Little bit of scam. We had Tom gills on yesterday and, and one of the things Dave ante had to leave is taking the sun to college is last one in the house and B nester now, but Tom Gill was on. We were talking about how good their security story is ware. And they really weren't showboating it as much as they could have here. I thought they could have done a better job, but this is an example of kind of them really leaning in with you guys. That's the key part of the relationship. >>Yeah, it really is. And I think this is something is materially different than what you can get elsewhere. And it's exciting for, >>Okay. Now the, the real question I want to know is what's your plans for AWS reinvent the blockbuster end of the year, Amazon surf show that gets bigger and bigger. I know it's still hybrid now, but it's looking be hybrid, but people are back in person last year. You guys were the first event really come back and still had massive numbers. AWS summit, New York at 19,000. I heard last week in Chicago, big numbers. So we're expecting reinvent to be pretty large this year. What are you, what are you gonna do there? What's your role there? >>We are expecting, well, I'll be there. I cover multiple businesses. Obviously. We're, we're planning on some additional announcements, obviously in the VMware space as well. And one of the other businesses I run is around SAP. And you should look for some things there as well. Yeah. Really looking forward to reinvent, except for the fact that it's right after Thanksgiving. But I think it >>Always ruins my, I always get an article out. I like, why are you we're having, we're having Thanksgiving dinner. I gotta write this article. It's gotta get Adam, Adam. Leski exclusive. We, every year we do a, a CEO sit down with Andy was the CEO and then now Adam. But yeah, it's a great event to me. I think it sets the tone. And it's gonna be very interesting to see the big clouds are coming to the big cloud. You guys, and you guys are now called hyperscalers. Now, multiple words. It's interesting. You guys are providing the CapEx goodness for everybody else now. And that relationship seems to be the new, the new industry standard of you guys provide the enablement and then everyone you get paid, cuz it's a service. A whole nother level of cloud is emerging in the partner network, GSI other companies. Yeah. >>Yeah. I mean we're really scaling. I mean we continue to iterate and release regions at a fast clip. We just announced support for VMware in Hong Kong. Yeah. So now we're up to 21 regions for this service, >>The sovereign clouds right around the corner. Let's we'll talk about that soon. Steven. Thanks for coming. I know you gotta go. Thank you for your valuable time. Coming in. Put Steven Jones. Who's the general manager of the VMware cloud on AWS business. Four AWS here inside the cube day. Three of cube coverage. I'm John furrier. Thanks for watching. We'll be right back.

>>Hey everyone. It's the cube live at VMware Explorer, 2022. We're at Mascone center and lovely, beautiful San Francisco. Dave Volante is with me, Lisa Martin. Beautiful weather here today. >>It is beautiful. I couldn't have missed this one because you know, the orange and the pure and VA right. Are history together. I had a, I had a switch sets. You >>Did. You were gonna have FOMO without a guest. Who's back. One of our longtime alumni V Stewart, VP of global technology alliances partners at pure storage one. It's great to have you back on the program, seeing you in 3d >>It's. It's so great to be here and we get a guest interviewer. So this >>Is >>Fantastic. Fly by. Fantastic. >>So talk to us, what's going on at pure. It's been a while since we had a chance to talk, >>Right. Well, well, besides the fact that it's great to see in person and to be back at a conference and see all of our customers, partners and prospects, you know, pure storage has just been on a tear just for your audience. Many, those who don't follow pure, right? We finished our last year with our Q4 being 41% year over year growth. And in the year, just under 2.2 billion, and then we come outta the gates this year, close our Q1 at 50% year over year, quarter quarterly growth. Have you ever seen a storage company or an infrastructure partner at 2 billion grow at that rate? >>Well, the thing was, was striking was that the acceleration of growth, because, you know, I mean, COVID, there were supply chain issues and you know, you saw that. And then, and we've seen this before at cloud companies, we see actually AWS as accelerated growth. So this is my premise here is you guys are actually becoming a cloud-like company building on top of, of infrastructure going from on-prem to cloud. But we're gonna talk about that. >>This is very much that super cloud premise. Well, >>It is. And, and, but I think it's it's one of the characteristics is you can actually, it, you know, we used to see companies, they go, they'd come out of escape velocity, and then they'd they'd growth would slow. I used to be at IDC. We'd see it. We'd see it. Okay. Down then it'd be single digits. You guys are seeing the opposite. >>It's it's not just our bookings. And by the way, I would be remiss if I didn't remind your audience that our second quarter earnings call is tomorrow. So we'll see how this philosophy and momentum keeps going. See, right. But besides the growth, right? All the external metrics around our business are increasing as well. So our net promoter score increased right at 85.2. We are the gold standard, not just in storage in infrastructure period. Like there's no one close to us, >>85. I mean, that's like, that's a, like apple, >>It's higher than apple than apple. It's apple higher than Tesla. It's higher than AWS shopping. And if you look in like our review of our products, flash rate is the leader in the gardener magic quadrant for, for storage array. It's been there for eight years. Port works is the leader in the GIGO OME radar for native Kubernetes storage three years in a row. Like just, it's great to be at a company that's hitting on all cylinders. You know, particularly at a time that's just got so much change going on in our >>Industry. Yeah. Tremendous amount of change. Talk about the, the VMware partnership from a momentum of velocity perspective what's going on there. And some of the things that you're accelerating. >>Absolutely. So VMware is, is the, the oldest or the longest tenured technology partner that we've had. I'm about to start my 10th year at pure storage. It feels like it was yesterday. When I joined, they were a, an Alliance partner before I joined. And so not to make that about me, but that's just like we built some of the key aspects around our first product, the flash array with VMware workloads in mind. And so we are a, a co-development partner. We've worked with them on a number of projects over years of, of late things that are top of mind is like the evolution of vials, the NV support for NVMe over fabric storage, more recently SRM support for automating Dr. With Viv a deployments, you know, and, and, and then our work around VMware ex extends to not just with VMware, they're really the catalyst for a lot of three way partnerships. So partnerships into our investments in data protection partners. Well, you gotta support V ADP for backing up the VMware space, our partnership within Nvidia, well, you gotta support NVA. I, so they can accelerate bringing those technologies into the enterprise. And so it's it, it's not just a, a, a, you know, unilateral partnership. It's a bidirectional piece because for a lot of customers, VMware's kind of like a touchpoint for managing the infrastructure. >>So how is that changing? Because you you've mentioned, you know, all the, the, the previous days, it was like, okay, let's get, make storage work. Let's do the integration. Let's do the hard work. It was kind of a race for the engineering teams to get there. All the storage companies would compete. And it was actually really good for the industry. Yeah, yeah. Right. Because it, it went from, you know, really complex, to much, much simpler. And now with the port works acquisition, it brings you closer to the whole DevOps scene. And you're seeing now VMware it's with its multi-cloud initiatives, really focusing on, you know, the applications and that, and that layer. So how does that dynamic evolve in terms of the partnership and, and where the focus is? >>So there's always in the last decade or so, right. There's always been some amount of overlap or competing with your partnerships, right. Something in their portfolios they're expanding maybe, or you expand you encroach on them. I think, I think two parts to how I would want to answer your question. The retrospective look V VMware is our number one ISV from a, a partner that we, we turn transactions with. The booking's growth that I shared with you, you could almost say is a direct reflection of how we're growing within that, that VMware marketplace. We are bringing a platform that I think customers feel services their workloads well today and gives them the flexibility of what might come in their cloud tomorrow. So you look at programs like our evergreen one subscription model, where you can deploy a consumption based subscription model. So very cloud-like only pay for what you use on-prem and turn that dial as you need to dial it into a, a cloud or, or multiple clouds. >>That's just one example. Looking forward, look, port works is probably the platform that VMware should have bought because when you look at today's story, right, when kit Culbert shared a, a cross cloud services, right, it was, it was the modern version of what VMware used to say, which was, here's a software defined data center. We're gonna standardize all your dissimilar hardware, another saying software defined management to standardize all your dissimilar clouds. We do that for Kubernetes. We talk about accelerating customers' adoption of Kubernetes by, by allowing developers, just to turn on an enable features, be its security, backup high availability, but we don't do it mono in a, you know, in a, in a homogeneous environment, we allow customers to do it heterogeneously so I can deploy VMware Tansu and connect it to Amazon EKS. I can switch one of those over to red head OpenShift, non disruptively, if I need to. >>Right? So as customers are going on this journey, particularly the enterprise customers, and they're not sure where they're going, we're giving them a platform that standardizes where they want to go. On-prem in the cloud and anywhere in between. And what's really interesting is our latest feature within the port works portfolio is called port works data services, and allows customers to deploy databases on demand. Like, install it, download the binaries. You have a cus there, you got a database, you got a database. You want Cassandra, you want Mongo, right? Yeah. You know, and, and for a lot of enterprise customers, who've kind of not, not know where to don't know where to start with port works. We found that to be a great place where they're like, I have this need side of my infrastructure. You can help me reduce cost time. Right. And deliver databases to teams. And that's how they kick off their Tansu journey. For example. >>It's interesting. So port works was the enabler you mentioned maybe VMware should above. Of course they had to get the value out of, out of pivotal. >>Understood. >>So, okay. Okay. So that, so how subsequent to the port works acquisition, how has it changed the way that you guys think about storage and how your customers are actually deploying and managing storage? >>Sure. So you touched base earlier on what was really great about the cloud and VMware was this evolution of simplifying storage technologies, usually operational functions, right? Making things simpler, more API driven, right. So they could be automated. I think what we're seeing customers do to today is first off, there's a tremendous rise in everyone wanting to do every customer, not every customer, a large portion of the customer bases, wanting to acquire technology on as OPEX. And it, I think it's really driven by like eliminate technical debt. I sign a short term agreement, our short, our shortest commitment's nine months. If we don't deliver around what we say, you walk away from us in nine months. Like you, you couldn't do that historically. Furthermore, I think customers are looking for the flexibility for our subscriptions, you know, more from between on-prem and cloud, as I shared earlier, is, is been a, a, a big driver in that space. >>And, and lastly, I would, would probably touch on our environmental and sustainability efforts. You saw this morning, Ragu in the keynote touch on what was it? Zero carbon consumption initiative, or ZCI my apologies to the veer folks. If I missed VO, you know, we've had, we've had sustainability into our products since day one. I don't know if you saw our inaugural ESG report that came out about 60 days ago, but the bottom line is, is, is our portfolio reduces the, the power directly consumed by storage race by up to 80%. And another aspect to look at is that 97% of all of the products that we sold in the last six years are still in the market today. They're not being put into, you know, into, to recycle bins and whatnot, pure storage's goal by the end of this decade is to further drive the efficiency of our platforms by another 66%. And so, you know, it's an ambitious goal, but we believe it's >>Important. Yeah. I was at HQ earlier this month, so I actually did see it. So, >>Yeah. And where is sustainability from a differentiation perspective, but also from a customer requirements perspective, I'm talking to a lot of customers that are putting that requirement when they're doing RFPs and whatnot on the vendors. >>I think we would like to all, and this is a free form VO comment here. So my apologies, but I think we'd all like to, to believe that we can reduce the energy consumption in the planet through these efforts. And in some ways maybe we can, what I fear in the technology space that I think we've all and, and many of your viewers have seen is there's always more tomorrow, right? There's more apps, more vendors, more offerings, more, more, more data to store. And so I think it's really just an imperative is you've gotta continue to be able to provide more services or store more data in this in yesterday's footprint tomorrow. A and part of the way they get to is through a sustainability effort, whether it's in chip design, you know, storage technologies, et cetera. And, and unfortunately it's, it's, it's something that organizations need to adopt today. And, and we've had a number of wins where customers have said, I thought I had to evacuate this data center. Your technology comes in and now it buys me more years of time in this in infrastructure. And so it can be very strategic to a lot of vendors who think their only option is like data center evacuation. >>So I don't want to, I, I don't wanna set you up, but I do want to have the super cloud conversation. And so let's go, and you, can you, you been around a long time, your, your technical, or you're more technical than I am, so we can at least sort of try to figure it out together when I first saw you guys. I think Lisa, so you and I were at, was it, when did you announce a block storage for AWS? The, was that 2019 >>Cloud block store? I believe block four years >>Ago. Okay. So 20 18, 20 18, 20 18. Okay. So we were there at, at accelerate at accelerate and I said, oh, that's interesting. So basically if I, if I go back there, it was, it was a hybrid model. You, you connecting your on-prem, you were, you were using, I think, priority E C two, you know, infrastructure to get high performance and connecting the two. And it was a singular experience yeah. Between on-prem and AWS in a pure customer saw pure. Right. Okay. So that was the first time I started to think about Supercloud. I mean, I think thought about it in different forms years ago, but that was the first actual instantiation. So my, my I'm interested in how that's evolved, how it's evolving, how it's going across clouds. Can you talk just conceptually about how that architecture is, is morphing? >>Sure. I just to set the expectations appropriately, right? We've got, we've got a lot of engineering work that that's going on right now. There's a bunch of stuff that I would love to share with you that I feel is right around the corner. And so hopefully we'll get across the line where we're at today, where we're at today. So the connective DNA of, of flash array, OnPrem cloud block store in the cloud, we can set up for, for, you know, what we call active. Dr. So, so again, customers are looking at these arrays is a, is a, is a pair that allows workloads to be put into the, put into the cloud or, or transferred between the cloud. That's kind of like your basic building, you know, blocking tackling 1 0 1. Like what do I do for Dr. Example, right? Or, or gimme an easy button to, to evacuate a data center where we've seen a, a lot of growth is around cloud block store and cloud block store really was released as like a software version of our hardware, Ray on-prem and it's been, and, and it hasn't been making the news, but it's been continually evolving. >>And so today the way you would look at cloud block store is, is really bringing enterprise data services to like EBS for, for AWS customers or to like, you know, is Azure premium disc for Azure users. And what do I mean by enterprise data services? It's, it's the, the, the way that large scale applications are managed, on-prem not just their performance and their avail availability considerations. How do I stage the, the development team, the sandbox team before they patch? You know, what's my cyber protection, not just data protection, how, how am I protected from a cyber hack? We bring all those capabilities to those storage platforms. And the, the best result is because of our data reduction technologies, which was critical in reducing the cost of flash 10 years ago, reduces the cost of the cloud by 50% or more and pays for the, for pays more than pays for our software of cloud block store to enable these enterprise data services, to give all these rapid capabilities like instant database, clones, instant, you know, recovery from cyber tech, things of that nature. >>Do customers. We heard today that cloud chaos are, are customers saying so, okay, you can run an Azure, you can run an AWS fine. Are customers saying, Hey, we want to connect those islands. Are you hearing that from customers or is it still sort of still too early? >>I think it's still too early. It doesn't mean we don't have customers who are very much in let's buy, let me buy some software that will monitor the price of my cloud. And I might move stuff around, but there's also a cost to moving, right? The, the egress charges can add up, particularly if you're at scale. So I don't know how much I seen. And even through the cloud days, how much I saw the, the notion of workloads moving, like kind of in the early days, like VMO, we thought there might be like a, is there gonna be a fall of the moon computing, you know, surge here, like, you know, have your workload run where power costs are lower. We didn't really see that coming to fruition. So I think there is a, is a desire for customers to have standardization because they gain the benefits of that from an operational perspective. Right. Whether they put that in motion to move workloads back and forth. I think >>So let's say, let's say to be determined, let let's say they let's say they don't move them because your point you knows too expensive, but, but, but, but you just, I think touched on it is they do want some kind of standard in terms of the workflow. Yep. You you're saying you're, you're starting to see demand >>Standard operating practices. Okay. >>Yeah. SOPs. And if they're, if they're big into pure, why wouldn't they want that? If assuming they have, you know, multiple clouds, which a lot of customers do. >>I, I, I I'll assure with you one thing that the going back to like basic primitives and I touched it touched on it a minute ago with data reduction. You have customers look at their, their storage bills in the cloud and say, we're gonna reduce that by half or more. You have a conversation >>Because they can bring your stack yeah. Into the cloud. And it's got more maturity than what you'd find from a cloud company, cloud >>Vendor. Yeah. Just data. Reduction's not part of block storage today in the cloud. So we've got an advantage there that we, we bring to bear. Yeah. >>So here we are at, at VMware Explorer, the first one of this name, and I love the theme, the center of the multi-cloud universe. Doesn't that sound like a Marvel movie. I feel like there should be superheroes walking around here. At some point >>We got Mr. Fantastic. Right here. We do >>Gone for, I dunno it >>Is. But a lot of, a lot of news this morning in the keynote, you were in the keynote, what are some of the things that you're hearing from VMware and what excites you about this continued evolution of the partnership with pure >>Yeah. Great point. So I, I think I touched on the, the two things that really caught my attention. Obviously, you know, we've got a lot of investment in V realize it was now kind of rebranded as ay, that, you know, I think we're really eager to see if we can help drive that consumption a bit higher, cuz we believe that plays into our favor as a vendor. We've we've we have over a hundred templates for the area platform right now to, you know, automation templates, whether it's, you know, levels set your platform, you know, automatically move workloads, deploy on demand. Like just so, so again, I think the focus there is very exciting for us, obviously when they've got a new release, like vSphere eight, that's gonna drive a lot of channel behaviors. So we've gotta get our, you know, we're a hundred percent channel company. And so we've gotta go get our channel ready because with about half of the updates of vSphere is, is hardware refresh. And so, you know, we've gotta be, be prepared for that. So, you know, some of the excitements about just being how to find more points in the market to do more business together. >>All right. Exciting cover the grounds. Right. I mean, so, okay. You guys announce earnings tomorrow, so we can't obviously quiet period, but of course you're not gonna divulge that anyway. So we'll be looking for that. What other catalysts are out there that we should be paying attention to? You know, we got, we got reinvent coming up in yep. In November, you guys are obviously gonna be there in, in a big way. Accelerate was back this year. How was accelerate >>Accelerate in was in Los Angeles this year? Mm. We had great weather. It was a phenomenal venue, great event, great partner event to kick it off. We happened to, to share the facility with the president and a bunch of international delegates. So that did make for a little bit of some logistic securities. >>It was like the summit of the Americas. I, I believe I'm recalling that correctly, but it was fantastic. Right. You, you get, you get to bring the customers out. You get to put a bunch of the engineers on display for the products that we're building. You know, one of the high, you know, two of the highlights there were, we, we announced our new flash blade S so, you know, higher, more performant, more scalable version of our, our scale and object and file platform with that. We also announced the, the next generation of our a I R I, which is our AI ready, AI ready infrastructure within video. So think of it like converged infrastructure for AI workloads. We're seeing tremendous growth in that unstructured space. And so, you know, we obviously pure was funded around block storage, a lot around virtual machines. The data growth is in unstructured, right? >>We're just seeing, we're seeing, you know, just tons of machine learning, you know, opportunities, a lot of opportunities, whether we're looking at health, life sciences, genome sequencing, medical imaging, we're seeing a lot of, of velocity in the federal space. You know, things, I can't talk about a lot of velocity in the automotive space. And so just, you know, from a completeness of platform, you know, flat flash blade is, is really addressing a need really kind of changing the market from NAS as like tier two storage or object is tier three to like both as a tier one performance candidate. And now you see applications that are supporting running on top of object, right? All your analytics platforms are on an object today, Absolut. So it's a, it's a whole new world. >>Awesome. And Pierce also what I see on the website, a tech Fest going on, you guys are gonna be in Seoul, Mexico city in Singapore in the next week alone. So customers get the chance to be able to in person talk with those execs once again. >>Yeah. We've been doing the accelerate tech tech fests, sorry about that around the globe. And if one of those align with your schedule, or you can free your schedule to join us, I would encourage you. The whole list of events dates are on pure storage.com. >>I'm looking at it right now. Vaon thank you so much for joining Dave and me. I got to sit between two dapper dudes, great conversation about what's going on at pure pure with VMware better together and the, and the CATA, the cat catalysis that's going on on both sides. I think that's an actual word I should. Now I have a degree biology for Vaughn Stewart and Dave Valante I'm Lisa Martin. You're watching the cube live from VMware Explorer, 22. We'll be right back with our next guest. So keep it here.

>>Hello, everyone. Welcome to the Cube's live coverage here in Boston, Massachusetts for AWS reinforce 2022. I'm John fur, host of the cube with Dave. Valante my co-host for breaking analysis, famous podcast, Dave, great to see you. Um, Beck in Boston, 2010, we started >>The queue. It all started right here in this building. John, >>12 years ago, we started here, but here, you know, just 12 years, it just seems like a marathon with the queue. Over the years, we've seen many ways. You call yourself a historian, which you are. We are both now, historians security is doing over. And we said in 2013 is security to do where we asked pat GSK. Now the CEO of Intel prior to that, he was the CEO of VMware. This is the security show fors. It's called the reinforce. They have reinvent, which is their big show. Now they have these, what they call reshow, re Mars, machine learning, automation, um, robotics and space. And then they got reinforced, which is security. It's all about security in the cloud. So great show. Lot of talk about the keynotes were, um, pretty, I wouldn't say generic on one hand, but specific in the other clear AWS posture, we were both watching. What's your take? >>Well, John, actually looking back to may of 2010, when we started the cube at EMC world, and that was the beginning of this massive boom run, uh, which, you know, finally, we're starting to see some, some cracks of the armor. Of course, we're threats of recession. We're in a recession, most likely, uh, in inflationary pressures, interest rate hikes. And so, you know, finally the tech market has chilled out a little bit and you have this case before we get into the security piece of is the glass half full or half empty. So budgets coming into this year, it was expected. They would grow at a very robust eight point half percent CIOs have tuned that down, but it's still pretty strong at around 6%. And one of the areas that they really have no choice, but to focus on is security. They moved everything into the cloud or a lot of stuff into the cloud. >>They had to deal with remote work and that created a lot of security vulnerabilities. And they're still trying to figure that out and plug the holes with the lack of talent that they have. So it's interesting re the first reinforc that we did, which was also here in 2019, Steven Schmidt, who at the time was chief information security officer at Amazon web services said the state of cloud security is really strong. All this narrative, like the pat Gelsinger narrative securities, a do over, which you just mentioned, security is broken. It doesn't help the industry. The state of cloud security is very strong. If you follow the prescription. Well, see, now Steven Schmidt, as you know, is now chief security officer at Amazon. So we followed >>Jesse all Amazon, not just AWS. So >>He followed Jesse over and I asked him, well, why no, I, and they said, well, he's responsible now for physical security. Presumably the warehouses I'm like, well, wait a minute. What about the data centers? Who's responsible for that? So it's kind of funny, CJ. Moses is now the CSO at AWS and you know, these events are, are good. They're growing. And it's all about best practices, how to apply the practices. A lot of recommendations from, from AWS, a lot of tooling and really an ecosystem because let's face it. Amazon doesn't have the breadth and depth of tools to do it alone. >>And also the attendance is interesting, cuz we are just in New York city for the, uh, ado summit, 19,000 people, massive numbers, certainly in the pandemic. That's probably one of the top end shows and it was a summit. This is a different audience. It's security. It's really nerdy. You got OT, you got cloud. You've got on-prem. So now you have cloud operations. We're calling super cloud. Of course we're having our inaugural pilot event on August 9th, check it out. We're called super cloud, go to the cube.net to check it out. But this is the super cloud model evolving with security. And what you're hearing today, Dave, I wanna get your reaction to this is things like we've got billions of observational points. We're certainly there's no perimeter, right? So the perimeter's dead. The new perimeter, if you will, is every transaction at scale. So you have to have a new model. So security posture needs to be rethought. They actually said that directly on the keynote. So security, although numbers aren't as big as last week or two weeks ago in New York still relevant. So alright. There's sessions here. There's networking. Very interesting demographic, long hair. Lot of >>T-shirts >>No lot of, not a lot of nerds doing to build out things over there. So, so I gotta ask you, what's your reaction to this scale as the new advantage? Is that a tailwind or a headwind? What's your read? >>Well, it is amazing. I mean he actually, Steven Schmidt talked about quadrillions of events every month, quadrillions 15 zeros. What surprised me, John. So they, they, Amazon talks about five areas, but by the, by the way, at the event, they got five tracks in 125 sessions, data protection and privacy, GRC governance, risk and compliance, identity network security and threat detection. I was really surprised given the focus on developers, they didn't call out container security. I would've thought that would be sort of a separate area of focus, but to your point about scale, it's true. Amazon has a scale where they'll see events every day or every month that you might not see in a generation if you just kind of running your own data center. So I do think that's, that's, that's, that's a, a, a, a valid statement having said that Amazon's got a limited capability in terms of security. That's why they have to rely on the ecosystem. Now it's all about APIs connecting in and APIs are one of the biggest security vulnerability. So that's kind of, I, I I'm having trouble squaring that circle. >>Well, they did just to come up, bring back to the whole open source and software. They did say they did make a measurement was store, but at the beginning, Schmidt did say that, you know, besides scale being an advantage for Amazon with a quadri in 15 zeros, don't bolt on security. So that's a classic old school. We've heard that before, right. But he said specifically, weave in security in the dev cycles. And the C I C D pipeline that is, that basically means shift left. So sneak is here, uh, company we've covered. Um, and they, their whole thing is shift left. That implies Docker containers that implies Kubernetes. Um, but this is not a cloud native show per se. It's much more crypto crypto. You heard about, you know, the, uh, encrypt everything message on the keynote. You heard, um, about reasoning, quantum, quantum >>Skating to the puck. >>Yeah. So yeah, so, you know, although the middleman is logged for J heard that little little mention, I love the quote from Lewis Hamilton that they put up on stage CJ, Moses said, team behind the scenes make it happen. So a big emphasis on teamwork, big emphasis on don't bolt on security, have it in the beginning. We've heard that before a lot of threat modeling discussions, uh, and then really this, you know, the news around the cloud audit academy. So clearly skills gap, more threats, more use cases happening than ever before. >>Yeah. And you know, to your point about, you know, the teamwork, I think the problem that CISOs have is they just don't have the talent to that. AWS has. So they have a real difficulty applying that talent. And so but's saying, well, join us at these shows. We'll kind of show you how to do it, how we do it internally. And again, I think when you look out on this ecosystem, there's still like thousands and thousands of tools that practitioners have to apply every time. There's a tool, there's a separate set of skills to really understand that tool, even within AWS's portfolio. So this notion of a shared responsibility model, Amazon takes care of, you know, securing for instance, the physical nature of S3 you're responsible for secure, make sure you're the, the S3 bucket doesn't have public access. So that shared responsibility model is still very important. And I think practitioners still struggling with all this complexity in this matrix of tools. >>So they had the layered defense. So, so just a review opening keynote with Steve Schmidt, the new CSO, he talked about weaving insecurity in the dev cycles shift left, which is the, I don't bolt it on keep in the beginning. Uh, the lessons learned, he talked a lot about over permissive creates chaos, um, and that you gotta really look at who has access to what and why big learnings there. And he brought up the use cases. The more use cases are coming on than ever before. Um, layered defense strategy was his core theme, Dave. And that was interesting. And he also said specifically, no, don't rely on single security control, use multiple layers, stronger together. Be it it from the beginning, basically that was the whole ethos, the posture, he laid that down >>And he had a great quote on that. He said, I'm sorry to interrupt single controls. And binary states will fail guaranteed. >>Yeah, that's a guarantee that was basically like, that's his, that's not a best practice. That's a mandate. <laugh> um, and then CJ, Moses, who was his deputy in the past now takes over a CSO, um, ownership across teams, ransomware mitigation, air gaping, all that kind of in the weeds kind of security stuff. You want to check the boxes on. And I thought he did a good job. Right. And he did the news. He's the new CISO. Okay. Then you had lean is smart from Mongo DB. Come on. Yeah. Um, she was interesting. I liked her talk, obviously. Mongo is one of the ecosystem partners headlining game. How do you read into that? >>Well, I, I I'm, its really interesting. Right? You didn't see snowflake up there. Right? You see data breaks up there. You had Mongo up there and I'm curious is her and she's coming on the cube tomorrow is her primary role sort of securing Mongo internally? Is it, is it securing the Mongo that's running across clouds. She's obviously here talking about AWS. So what I make of it is, you know, that's, it's a really critical partner. That's driving a lot of business for AWS, but at the same time it's data, they talked about data security being one of the key areas that you have to worry about and that's, you know what Mongo does. So I'm really excited. I talked to her >>Tomorrow. I, I did like her mention a big idea, a cube alumni, yeah. Company. They were part of our, um, season one of our eight of us startup showcase, check out AWS startups.com. If you're watching this, we've been doing now, we're in season two, we're featuring the fastest growing hottest startups in the ecosystem. Not the big players, that's ISVs more of the startups. They were mentioned. They have a great product. So I like to mention a big ID. Um, security hub mentioned a config. They're clearly a big customer and they have user base, a lot of E C, two and storage going on. People are building on Mongo so I can see why they're in there. The question I want to ask you is, is Mongo's new stuff in line with all the upgrades in the Silicon. So you got graviton, which has got great stuff. Um, great performance. Do you see that, that being a key part of things >>Well, specifically graviton. So I I'll tell you this. I'll tell you what I know when you look at like snowflake, for instance, is optimizing for graviton. For certain workloads, they actually talked about it on their earnings call, how it's lowered the cost for customers and actually hurt their revenue. You know, they still had great revenue, but it hurt their revenue. My sources indicate to me that that, that Mongo is not getting as much outta graviton two, but they're waiting for graviton three. Now they don't want to make that widely known because they don't wanna dis AWS. But it's, it's probably because Mongo's more focused on analytics. But so to me, graviton is the future. It's lower cost. >>Yeah. Nobody turns off the database. >>Nobody turns off the database. >><laugh>, it's always cranking C two cycles. You >>Know the other thing I wanted to bring, bring up, I thought we'd hear, hear more about ransomware. We heard a little bit of from Kirk Coel and he, and he talked about all these things you could do to mitigate ransomware. He didn't talk about air gaps and that's all you hear is how air gap. David Flo talks about this all the time. You must have air gaps. If you wanna, you know, cover yourself against ransomware. And they didn't even mention that. Now, maybe we'll hear that from the ecosystem. That was kind of surprising. Then I, I saw you made a note in our shared doc about encryption, cuz I think all the talk here is encryption at rest. What about data in motion? >>Well, this, this is the last guy that came on the keynote. He brought up encryption, Kurt, uh, Goel, which I love by the way he's VP of platform. I like his mojo. He's got the long hair >>And he's >>Geeking out swagger, but I, he hit on some really cool stuff. This idea of the reasoning, right? He automated reasoning is little pet project that is like killer AI. That's next generation. Next level >>Stuff. Explain that. >>So machine learning does all kinds of things, you know, goes to sit pattern, supervise, unsupervised automate stuff, but true reasoning. Like no one connecting the dots with software. That's like true AI, right? That's really hard. Like in word association, knowing how things are connected, looking at pattern and deducing things. So you predictive analytics, we all know comes from great machine learning. But when you start getting into deduction, when you say, Hey, that EC two cluster never should be on the same VPC, is this, this one? Why is this packet trying to go there? You can see patterns beyond normal observation space. So if you have a large observation space like AWS, you can really put some killer computer science technology on this. And that's where this reasoning is. It's next level stuff you don't hear about it because nobody does it. Yes. I mean, Google does it with metadata. There's meta meta reasoning. Um, we've been, I've been watching this for over two decades now. It's it's a part of AI that no one's tapped and if they get it right, this is gonna be a killer part of the automation. So >>He talked about this, basically it being advanced math that gets you to provable security, like you gave an example. Another example I gave is, is this S3 bucket open to the public is a, at that access UN restricted or unrestricted, can anyone access my KMS keys? So, and you can prove, yeah. The answer to that question using advanced math and automated reasoning. Yeah, exactly. That's a huge leap because you used to be use math, but you didn't have the data, the observation space and the compute power to be able to do it in near real time or real time. >>It's like, it's like when someone, if in the physical world real life in real life, you say, Hey, that person doesn't belong here. Or you, you can look at something saying that doesn't fit <laugh> >>Yeah. Yeah. >>So you go, okay, you observe it and you, you take measures on it or you query that person and say, why you here? Oh, okay. You're here. It doesn't fit. Right. Think about the way on the right clothes, the right look, whatever you kind of have that data. That's deducing that and getting that information. That's what reasoning is. It's it's really a killer level. And you know, there's encrypt, everything has to be data. Lin has to be data in at movement at rest is one thing, but you gotta get data in flight. Dave, this is a huge problem. And making that work is a key >>Issue. The other thing that Kirk Coel talked about was, was quantum, uh, quantum proof algorithms, because basically he put up a quote, you're a hockey guy, Wayne Greski. He said the greatest hockey player ever. Do you agree? I do agree. Okay, great. >>Bobby or, and Wayne Greski. >>Yeah, but okay, so we'll give the nada Greski, but I always skate to the where the puck is gonna be not to where it's been. And basically his point was where skating to where quantum is going, because quantum, it brings risks to basically blow away all the existing crypto cryptographic algorithms. I, I, my understanding is N just came up with new algorithms. I wasn't clear if those were supposed to be quantum proof, but I think they are, and AWS is testing them. And AWS is coming out with, you know, some test to see if quantum can break these new algos. So that's huge. The question is interoperability. Yeah. How is it gonna interact with all the existing algorithms and all the tools that are out there today? So I think we're a long way off from solving that problem. >>Well, that was one of Kurt's big point. You talking about quantum resistant cryptography and they introduce hybrid post quantum key agreements. That means KMS cert certification, cert manager and manager all can manage the keys. This was something that's gives more flexibility on, on, on that quantum resistance argument. I gotta dig into it. I really don't know how it works, what he meant by that in terms of what does that hybrid actually mean? I think what it means is multi mode and uh, key management, but we'll see. >>So I come back to the ho the macro for a second. We've got consumer spending under pressure. Walmart just announced, not great earning. Shouldn't be a surprise to anybody. We have Amazon meta and alphabet announcing this weekend. I think Microsoft. Yep. So everybody's on edge, you know, is this gonna ripple through now? The flip side of that is BEC because the economy yeah. Is, is maybe not in, not such great shape. People are saying maybe the fed is not gonna raise after September. Yeah. So that's, so that's why we come back to this half full half empty. How does that relate to cyber security? Well, people are prioritizing cybersecurity, but it's not an unlimited budget. So they may have to steal from other places. >>It's a double whammy. Dave, it's a double whammy on the spend side and also the macroeconomic. So, okay. We're gonna have a, a recession that's predicted the issue >>On, so that's bad on the one hand, but it's good from a standpoint of not raising interest rates, >>It's one of the double whammy. It was one, it's one of the double whammy and we're talking about here, but as we sit on the cube two weeks ago at <inaudible> summit in New York, and we did at re Mars, this is the first recession where the cloud computing hyperscale is, are pumping full cylinder, all cylinders. So there's a new economic engine called cloud computing that's in place. So unlike data center purchase in the past, that was CapEx. When, when spending was hit, they pause was a complete shutdown. Then a reboot cloud computer. You can pause spending for a little bit, make, might make the cycle longer in sales, but it's gonna be quickly fast turned on. So, so turning off spending with cloud is not that hard to do. You can hit pause and like check things out and then turn it back on again. So that's just general cloud economics with security though. I don't see the spending slowing down. Maybe the sales cycles might go longer, but there's no spending slow down in my mind that I see. And if there's any pause, it's more of refactoring, whether it's the crypto stuff or new things that Amazon has. >>So, so that's interesting. So a couple things there. I do think you're seeing a slight slow down in the, the, the ex the velocity of the spend. When you look at the leaders in spending velocity in ETR data, CrowdStrike, Okta, Zscaler, Palo Alto networks, they're all showing a slight deceleration in spending momentum, but still highly elevated. Yeah. Okay. So, so that's a, I think now to your other point, really interesting. What you're saying is cloud spending is discretionary. That's one of the advantages. I can dial it down, but track me if I'm wrong. But most of the cloud spending is with reserved instances. So ultimately you're buying those reserved instances and you have to spend over a period of time. So they're ultimately AWS is gonna see that revenue. They just might not see it for this one quarter. As people pull back a little bit, right. >>It might lag a little bit. So it might, you might not see it for a quarter or two, so it's impact, but it's not as severe. So the dialing up, that's a key indicator get, I think I'm gonna watch that because that's gonna be something that we've never seen before. So what's that reserve now the wild card and all this and the dark horse new services. So there's other services besides the classic AC two, but security and others. There's new things coming out. So to me, this is absolutely why we've been saying super cloud is a thing because what's going on right now in security and cloud native is there's net new functionality that needs to be in place to handle multiple clouds, multiple abstraction layers, and to do all these super cloudlike capabilities like Mike MongoDB, like these vendors, they need to up their gain. And that we're gonna see new cloud native services that haven't exist. Yeah. I'll use some hatchy Corp here. I'll use something over here. I got some VMware, I got this, but there's gaps. Dave, there'll be gaps that are gonna emerge. And I think that's gonna be a huge wild >>Cup. And now I wanna bring something up on the super cloud event. So you think about the layers I, as, uh, PAs and, and SAS, and we see super cloud permeating, all those somebody ask you, well, because we have Intuit coming on. Yep. If somebody asks, why Intuit in super cloud, here's why. So we talked about cloud being discretionary. You can dial it down. We saw that with snowflake sort of Mongo, you know, similarly you can, if you want dial it down, although transaction databases are to do, but SAS, the SAS model is you pay for it every month. Okay? So I've, I've contended that the SAS model is not customer friendly. It's not cloudlike and it's broken for customers. And I think it's in this decade, it's gonna get fixed. And people are gonna say, look, we're gonna move SAS into a consumption model. That's more customer friendly. And that's something that we're >>Gonna explore in the super cloud event. Yeah. And one more thing too, on the spend, the other wild card is okay. If we believe super cloud, which we just explained, um, if you don't come to the August 9th event, watch the debate happen. But as the spending gets paused, the only reason why spending will be paused in security is the replatforming of moving from tools to platforms. So one of the indicators that we're seeing with super cloud is a flight to best of breeds on platforms, meaning hyperscale. So on Amazon web services, there's a best of breed set of services from AWS and the ecosystem on Azure. They have a few goodies there and customers are making a choice to use Azure for certain things. If they, if they have teams or whatever or office, and they run all their dev on AWS. So that's kind of what's happened. So that's, multi-cloud by our definition is customers two clouds. That's not multi-cloud, as in things are moving around. Now, if you start getting data planes in there, these customers want platforms. If I'm a cybersecurity CSO, I'm moving to platforms, not just tools. So, so maybe CrowdStrike might have it dial down, but a little bit, but they're turning into a platform. Splunk trying to be a platform. Okta is platform. Everybody's scale is a platform. It's a platform war right now, Dave cyber, >>A right paying identity. They're all plat platform, beach products. We've talked about that a lot in the queue. >>Yeah. Well, great stuff, Dave, let's get going. We've got two days alive coverage. Here is a cubes at, in Boston for reinforc 22. I'm Shante. We're back with our guests coming on the queue at the short break.

>>The cube presents, Coon and cloud native con Europe, 2022, brought to you by red hat, the cloud native computing foundation and its ecosystem partners. >>Welcome to Valencia Spain in Coon cloud native con Europe, 2022. I'm your host Keith Townsend. And we're continuing the conversation with community, with startups, with people building cloud native, a cube alum joint by a CTO. And not as the CTO advisor. I really appreciate talking to CTOs Capel. Th Lou don't forgive me if I murder the name, that's a tough one. I'm I'm, I'm getting warmed up to the cubey, but don't worry. When we get to the technical parts, it's gonna be fun. And then a cube alum, Umer K director of marketing Capel. You're the CTO. So we we'll start out with you. What's the problem statement? What, what, what are you guys doing? >>So, uh, we're building on top of an open source project podcast, custodian, uh, that is in CNCF. And that I built when I was at capital one and just as they were going, they're taking those first few steps. It's a large regulated enterprise into the cloud. And the challenge that I saw was, you know, how do we enable developers to pick whatever tools and technologies they want, if they wanna use Terraform or cloud formation or Ansible? I mean, the cloud gives us APIs and we wanna be able to enable people to use those APIs through innovative ways. Uh, but at the same time, we wanna make sure that the, regardless of what choices those developers make, that the organization is being is being well managed, that all those resources, all that infrastructure is complying to the organizational's policies. And what we saw at the time was that what we were getting impediments around our velocity into the cloud, because we had to cover off on all of the compliance and regulation aspects. >>And we were doing that them as one offs. And so, uh, taking a step back, I realized that what we really needed was a way to go faster on the compliance side and clock custodian was born out of that effort side of desk that we took through enterprise wide. And it was really about, um, accelerating the velocity around compliance, but doing it in the same way that we do application and infrastructure is code. So doing policy as code in a very simple readable YAML DSL, um, because, you know, PO you have, we, anytime we write code, we're gonna more people are gonna read that code than, than are going to need to be able to write it. And so being able to make it really easy to understand from both the developers that are in the environment from the compliance folks or auditors or security folks that might wanna review it, um, it was super important. And then instead of being at the time, we saw lots of very under products and they were all just big walls of red in somebody's corner office and getting that to actually back the information back in the hands of developers so that they can fix things, um, was problematic. So being able to do time remediation and real time collaboration and communication back to developers, Hey, you put a database on the internet. It's okay. We fixed it for you. And here's the corporate policy on how to do it better in the future. >>So this is a area of focus of mind that people, I think don't get right. A lot, the technology hard enough by itself. The transformation cloud is not just about adopting new technologies, but adopting new processes, the data, and information's there automatically. But when I go to an auditor or, or, uh, compliance and say, Hey, we've changed the process for how do we do change control for our software stack? I get a blank stare. It's what do you mean we've been doing it this way for the past 15, 20 years, that's resistance, it's a pain point and projects fail due to this issue. So talk to me about that initial customer engagement. What's what's that conversation like? >>So we start off by deploying our, our platform on top of buck custodian. Um, and as far as our customers, and we give them a view of all the things that are in their cloud, what is their baseline, so to speak. Um, but I think it's really important. Like I think you bring up a good point, like communication, the challenge, larger challenge for enterprises in the cloud, and especially with grocery compliance is understanding that it is not a steady state. It's always, there's always something new in the backlog. And so being able, and the, one of the challenges for larger orgs is just being able to communicate out what that is. I remember changing a tag policy and spending the next two years, explaining it to people what the actual tag policy was. Um, and so being able to actually inform them, you know, via email, via slack, via, you know, any communication mechanism, uh, as they're doing things is, is so powerful to be able to, to help the organization grow together and move and get an alignment about what, what the, what the new things are. >>And then additionally, you know, from a perspective of, uh, tooling that is built for the real world, like being able to, as those new policies come into play, being able to say, okay, we're going to segment into stopping the bleeding on the net new and being able to then take action on what's already deployed that now needs to become into compliance is, is really important. But coming back to your question on customer engagements, so we'll go in and we'll deploy, uh, a SAC platform for them. We'll basically show them all of the things that are there already and extent. Um, we provide a real time SQL interface that customers can use, um, that is an asset inventory of all their cloud assets. Uh, and then we provide, uh, policy packs that sort of cover off on compliance, security, cost, optimizations, and opportunities for them. Uh, and then we help them through, uh, get ops around those policies, help deploy remediation activities and capabilities for their environment. >>So walk me through some of the detail of, of, of the process and where the software helps and where people need to step in. I'm making I'm, I'm talking to my security auditor, and he's saying, you know what, Keith, I understand that the Aw, that the, uh, VM talking to the application, VM talking to the Oracle database, there is a firewall rule that says that that can happen. Show me that rule in cloud custodian. And you're trying to explain, well, well, there's no longer a firewall. There's a service. And the service is talking to that. And it, it is here and clouds, custodian and St is whether Stant help come to either help with the conversation, or where do I inject more of my experience and my ability to negotiate with the auditor. >>So stalet from the perspective, uh, and if we take a step back, we, we talk about governances code and, and the four pillars around compliance, security, cost, optimization operations, uh, that we help organizations do. But if we take a step back, what is cloud custodian? Cloud custodian is really a cloud orchestrator, a resource orchestrator. What <inaudible> provides on top of that is UI UX, um, policy packs at scale execution, across thousands of accounts, but in the context of an auditor, what we're really providing is here's the policy that we're enforcing. And here's the evidence, the attestation over time. And here's the resource database with history that shows how we, how we got here, where we compliant last year to this policy that we just wrote today. >>So shifting the conversation, you just mentioned operations. One of the larger conversations that I have with CIOs and CTOs is where do I put my people? Like this is a really tough challenge. When you look at moving to something like a SRE model, or, uh, let's say, even focus on the SRE, like what, where does the SRE sit in an organization? How does stack, like if at all, help me make those types of strategic decisions if I'm talking about governance overall. So, >>So I think in terms of personas, if you look at there's a cloud engineer, then SRE, I think that what at its core Stackler and cloud custodian does is a centralized engine, right? So your cost policies, your compliance policies, your security policies are not in a silo anymore. It's one tool. It's one repository that everyone can collaborate on as well. And even engineering, a lot of engineering teams run custodian and, and adopt custodian as well. So in terms of persona stack, it really helps bring it together. All teams have the same simple YAML DSL file that they can write their policies, share their policies and communicate and collaborate better as well. >>Yeah. So I mean, cloud transformation for an enterprise is a deeper topic. Like I think, you know, there's a lot of good breast practices establishing a cloud center of excellence. Um, I, I think, you know, investing in training for people, uh, getting certification so everyone can speak the same language when it comes to cloud is a key aspect. When it comes to the operations aspect, I very much believe that you should have, you know, try to devolve and get the developers writing, uh, some of the DevOps. And so having SREs around for the actual application teams is, is valuable, but you still have a core cloud infrastructure engineering group that's doing potentially any of your core networking, any of your, you know, IM authentication aspects. And so, uh, what we found is that, you know, SLA and cloud custodian get PR primarily get deployed by one of three groups. >>The, uh, you know, you've got the, the CIO buyer within that cloud infrastructure engineering team. And what we found is that group is because they're working with the application teams in a read right way. Uh, they're very much more, um, uh, used to doing and open to doing remediation in real time. Um, and so, and then we also have the CISO teams that want to get to a secure compliance state, be able to do audit and, and validate that all the environments are, um, you know, secure, frankly. And then we get to the CFO groups. Uh, and so, and this sometimes is part of the cloud center of excellence. And so it, it has to be this cross team collaboration. And they're really focused on the, that, that cost optimization, finding the over provision, underutilized things, establishing workloads for dev environments to turn them off at night. Um, and of course, respective of time zones, cause we're all global these days. Uh, and so those are sort of the three groups that we see that sort of really want to engage with us because we can provide value for them to help their accelerate their business goals. >>So that's an expansive view, cost compliance, security operations. That's a lot, I'm thinking about all the tools, all the information that feeds into that, where does cloud custodians start and stop? Like, am I putting cloud custodian agents on servers or, uh, pods, like how, how am I interacting with this? >>So the core clock suiting is just to see lot it's stateless, it's designed to be operationally simple. Um, and so you can run it in Kubernetes, in Jenkins. We've seen people use GitLab. We've seen people run just as a query interactive tool just from, um, investigations perspective on their laptop. But when you write a policy, a policy really consists of, you know, a couple of core elements. Uh, you identify a resource you want to target say an S3 bucket or, uh, a Google cloud VM. And then you say establishes that a filters. I want to look for all the C two instances that are on public subnets with an IM roll attached that has the ability to, uh, create another IM user. And so that, you know, you filter down, you ask the arbitrary questions to filter to the interesting set of things you want, and then you take a set of actions on them. >>So you might take an action, like stop an C two instance, and you might use it as an incident response. Um, you might, uh, use it for off hours in a, in that type of policy. So you get this library of filters and actions that you can combine to form, you know, millions of different types of policies. Now, we also have this notion of an execution mode. So you might say, uh, let's operate in real time. Whenever someone launches this instance, whenever there's an API call, we want to introspect what that API I call is doing and make sure that it's compliant to policy. Now, when you do that, custo will, when you, and you run it with the COI, cause you will actually provision a Lambda function and hook up the event sources to it. Uh, and sorry, Lambda really the serverless we bind into the serverless native capabilities of the underlying cloud provider. So Google cloud function, Azure serverless functions, uh, and native AWS Lambda native us. And so now that policy is effectively hermetically sealed, running, uh, in the Seus runtime of that cloud and responding to API calls in real time, all with, you know, structured outputs and logs and metrics to the native cloud provider capabilities around those. Um, and that really ensures that, uh, you know, it's effectively becomes operation free from the perspective of the user of having to maintain infrastructure >>For it. So let's talk about >>Agent agent list and API based. >>Let's talk about like the a non-developer use case specifically finance. Absolutely. We, you have to deploy the ability to deploy, uh, um, uh, SAP in a, uh, E C two instance, but it's very expensive. Do it only when you absolutely need to do it, but you have the rights to do it. And I wanna run a, uh, a check to see if anyone's doing it like this is this isn't a colder developer, what is their experience? So, >>So primarily we focus on the infrastructure. So low balancers, VMs, you know, encryption and address on discs. Um, when we get into the application workloads running on those instances, we spend, we don't spend that that's on our target focus area. Mm-hmm <affirmative>, we can do it. Uh, and it really depends on the underlying cloud provider's capabilities. So in Amazon, there's a system called systems manager and it runs, and it's basically running an agent on the box. We're not running the agent, but we can communicate with that agent. We can, I inspect the, the inventory that's running on that box. We can send commands to that box, through those serverless functions and through those policies. And so we see it commonly used for like incident response and a security perspective where you might wanna take a memory snapshot of, of, of the instance before, uh, um, yeah, putting it into a forensic cloud and adding >>To that, like these days we're seeing the emerging personas of a fops engineer or a fops director as well, because cost in cloud is totally different. So what custodian and Stackler allows to do is again, using the simple policy files. Even if they have a non-developer background, they can understand this DSL, they can create policies, they can better, uh, target developers, better get them to take actions on policy as well. If they're overspending in the cloud or underspending in the cloud, uh, especially with St. You get, they get a lot of, out of the box dashboards and policy packs too. So say they can really understand how the cost has been consumed. They can have the developers take actions because a lot of the fops finance people complain like my developers does not understand it. Right. How do we get them to take action and make sure we are not over spending? Right. So with custodian policies, they're able to send them, uh, educational messages on slack or open a J ticket and really enforce them to take action as well and start saving cost. Like >>If you, uh, if you imagine cloud custodian as, um, you know, cleaning staff for, for the, your, your cloud environment, like it, it's, uh, you know, if you go to a typical, you know, cloud account, you're gonna see chairs that are 10 feet tall sitting at the table. You're gonna, because it's been over provision and obviously, you know, one can use it. Um, you're gonna find like the trash is overflowing because no one set up a log retention policy on the log group or set up S3, uh, life cycle rules on their buckets. And so you just have this, um, sort of this, uh, this explosion of things that people now, you know, beyond application functioning, like beyond, you know, getting to, you know, high performance, Dr. Capable, uh, SLAs around your application model, you now have to worry about the life cycle of all those resources and helping people manage that life cycle and making sure that they're using the, the, just the resources and consumption that they need, because we're all utilization based, uh, in the cloud. And so getting that to be more in line with what the application actually needs is really where we can help organizations and the CFO cost context. >>So, Emil, you got 10 seconds to tell me why you brought me a comic book. >><laugh> we created this comic book, uh, to explain the concept of governance scored in a simplified fashion. I know Keith, you like comic books, I believe. Uh, so it's a simple way of describing what we do, why it's important for pH ops for SecOps teams. And it talks about custodian and St. It as well. >>Well, I'm more of an Ironman type of guy or Batman cloud governance or governance cloud native governance is a very tough problem. I can't under emphasize how many projects get stalled or fail from a perception perspective, even if you're technically delivered what you've asked to deliver. That's where a lot of these conversations are going. We're gonna talk to a bunch of startups that are solving these tough problems here from Licia Spain, I'm Keith Townsend, and you're watching the cube, the leader in high tech coverage.

>>Mhm Hello, I'm jennifer with the cube. We're here at Rogers vice president of EC two Product Manager, NWS raj. Thanks for coming off its quick cube conversation. Um Congratulations on your 15th birthday of E C two. You get the keys to the kingdom of one of the hottest products. The most important product you look at. I look at our billets. Ec two is the highest, it's always the best everyone focuses on. It's the compute a lot of other goodness with amazon cloud. Thanks for coming on. >>Thank you. Thanks for having me. >>So, can you break down the graviton two processor overview? Why is custom Silicon important and why should architects and developers understand the opportunity with graviton to these are the other opportunities within 80 bucks. What's the, what's the magic do it we should that they think about as the architect their cloud. >>Yeah. So, I mean, I think why it's important is what you said like so much uh the workloads that they're running at the end of the day is running on EC two, whether it's running on Ec two directly or running on one of the other AWS services that's built on a C two and when you have, when you're able to, when we're able to innovate and deliver a very significant price performance advantage, not just lowers their costs. So like there, It's hardly a day of industry where you're able to go and do a pretty simple migration and get a 40% price performance improvement and that's huge and I think that's why this is, you know, raising a lot of interest. Is that um, customers, I found it relatively easy to go and do this migration and get that benefit. >>That's awesome mirage. I gotta ask you ec two offers more than 400 instant types with different combinations of compute memory, networking and storage, which is obviously the backbone of the cloud. A lot of people that are coming in learning about clouds, what does it mean that there's all these instances that because it's just more combinations, different workloads, why 400 instance types? What does that mean for someone learning about clouds? Does it mean anything to you actually? Would you explain the difference of instance types of 400 of them? >>Yeah. So, I mean when you think about an instance type, it's essentially configuration of a virtual machine, there's a certain amount of memory, there's a certain amount of processing power. Uh there could be a certain amount of disk and workloads, uh, the different ratios of these uh, dimensions, these characteristics. So by offering selection across a wide variety of instances were really able to optimize the compute that particular workload needs. The customers could essentially uh, increase their performance and have a more optimized price for what they want to get done. So ultimately, that's what that's what it's about having the right form factor for a given workload and the more configurations that we have, the more we're able to tune for those workloads. >>It's like having a driver riding a car you want the driver type to match the road, match the engine. So the instance has to match the profile of the app, the workload and kind of, and is that kind of where you're getting at getting met? You can do that. >>Yeah. And you know, and one of the things that we're also investing in at the same time as tools to enable customers to realize and learn what the right instance is. So, you know, we launched about a year ago uh capability called compute optimizer that lets customers look at their workloads, you know, in flight essentially and make recommendations saying, hey, instead of this instance, you know, you could Move to um this other instance type and save 50% or you know, as an example. So, um, you know, part of it, creating the selection and the other part of it is creating the tools. So customers, do you know what the right fit is for them so that they can really optimize their thin >>Well Roger, I really preach this is going to ask me anything guru question, but here's the simple one. What is gravitas to, at the end of the day when someone asks you what is graviton too? >>Yeah. So I mean grandma can do is a processor, it's a chip, it's a CPU um and so what that means essentially is and it's an arm. Basic. So um, you know, with, with are just like you have intel and AMG processors, these are the, the circuitry and the computer that does the work. Right. And um with, with Gravitas on we support arm which is a different architecture set but one that has been around long enough and it's pretty ubiquitous across mobile devices and servers now. So the operating systems that you know, you know all the Linux operating system, the tools that you know, they all work and are able to run on Graviton too. So this means that when you have applications, you can very easily take it from the same AMG or intel X 86 platform and move it over and just get the efficiencies that gravity to offers with lower power envelope and higher performance >>there it is many master class here at raj. Pie Vice President Ec two product management laying down the graviton to knowledge and for folks learning about cloud and architects really want to know the difference. It's a 40% performance improvement, lower power envelope, 20% less than cost. I believe something those range about right about in the same territory there. So basically high performance, lower costs, better power. So for workloads that demanded you got the option raj. Thank you for sharing. Thank you. All right. I'm john for, with the cube Thanks for watching. Mhm mm

>>Okay, >>welcome to Accelerating next. Thank you so much for joining us today. We have a great program. We're gonna talk tech with experts, will be diving into the changing economics of our industry and how to think about the next phase of your digital transformation. Now. Very importantly, we're also going to talk about how to optimize workloads from edge to excess scale with full security and automation all coming to you as a service. And with me to kick things off as Neil Mcdonald, who's the GM of compute at HP NEAL. Always a pleasure. Great to have you on. >>It's great to see you dad >>now, of course, when we spoke a year ago, we had hoped by this time we'd be face to face. But here we are again, you know, this pandemic, It's obviously affected businesses and people in so many ways that we could never have imagined. But the reality is in reality, tech companies have literally saved the day. Let's start off, how is HPV contributing to helping your customers navigate through things that are so rapidly shifting in the marketplace, >>although it's nice to be speaking to you again and I look forward to being able to do this in person. At some >>point. The >>pandemic has really accelerated the need for transformation and businesses of all sizes. More than three quarters of C. I. O. S. Report that the crisis has forced them to accelerate their strategic agendas, organizations that were ready transforming or having to transform faster and organizations that weren't on that journey yet are having to rapidly develop and execute a plan to adapt to this new reality. Our customers are on this journey and they need a partner for not just the computer technology but also the expertise and economics that they need for that digital transformation. And for us this is all about unmatched optimization for workloads from the edge to the enterprise to extra scale With 360° security and the intelligent automation all available in that as a service experience. >>Well, you know, as you well know, it's a challenge to manage through any transformation, let alone having to set up remote workers overnight, securing them, re setting budget priorities. What are some of the barriers that you see customers are working hard to overcome? >>Simply put the organizations that we talk with our challenged in three areas. They need the financial capacity to actually execute a transformation. They need the access to the resource and the expertise needed to successfully deliver on a transformation. And they have to find the way to match their investments with the revenues for the new services that they're putting in place to service their customers in this environment. >>You know, we have a data partner E. T. R. Enterprise Technology Research and the spending data that we see from them is it's quite dramatic. I mean last year we saw a contraction of roughly 5% of in terms of I. T. Spending budgets etcetera. And this year we're seeing a pretty significant rebound. Maybe a 67% growth ranges is the prediction. The challenge we see his organizations have to they got to iterate on that. I call it the forced march to digital transformation and yet they also have to balance their investments. For example that the corporate headquarters which have kind of been neglected. Is there any help in sight for the customers that are trying to reduce their spending and also take advantage of their investment capacity? >>I think you're right. Many businesses are understandably reluctant to loosen the purse strings right now given all of the uncertainty. And often a digital transformation is viewed as a massive upfront investment that will pay off in the long term, and that can be a real challenge in an environment like this, but it doesn't need to be uh, we work through HP financial services to help our customers create the investment capacity to accelerate the transformation, often by leveraging assets they already have and helping them monetize them in order to free up the capacity to accelerate what's next for their infrastructure and for the business. >>So can we drill into that? I would wonder if you could add some specifics. I mean, how do you ensure a successful outcome? What are you really paying attention to as those sort of markers for success? >>Well, when you think about the journey that an organization is going through, it's tough to be able to run the business and transform at the same time and one of the constraints is having the people with enough bandwidth and enough expertise to be able to do both. So we're addressing that in two ways for our customers. One is by helping them confidently deploy new solutions which we have engineered, leveraging decades of expertise and experience in engineering to deliver those workload optimized portfolios that take the risk and the complexity out of assembling some of these solutions and give them a prepackaged validated supported solution intact that simplifies that work for them. But in other cases we can enhance our customers bandwidth by bringing them HP point Next experts with all of the capabilities we have to help them plan, deliver and support these I. T. Projects and transformations. Organizations can get on a faster track of modernization, getting greater insight and control as they do it. We're a trusted partner to get the most for a business that's on this journey in making these critical computer investments to underpin the transformations and whether that's planning to optimizing to save for retirement at the end of life. We can bring that expertise to bear to help amplify what our customers already have in house and help them accelerate and succeed in executing these transformations. >>Thank you for that. Let's let's talk about some of the other changes that customers see him in the cloud is obviously forced customers and their suppliers to really rethink how technology is packaged, how it's consumed, how it's priced. I mean there's no doubt in that. So take Green Lake, it's obviously leading example of a pay as you scale infrastructure model and it could be applied on prem or hybrid. Can you maybe give us a sense as to where you are today with Green Lake? >>Well, it's really exciting now from our first pay, as you go offering back in 2006, 15 years ago to the introduction of Green Lake. HBs really been paving the way on consumption-based services through innovation and partnership to help meet the exact needs of our customers. Hp Green Lake provides an experience, is the best of both worlds. A simple paper use technology model with the risk management of data that's under our customers direct control and it lets customers shift to everything as a service in order to free up capital and avoid that upfront expense that we talked about. They can do this anywhere at any scale or any size and really HP Greenlee because the cloud that comes to you >>like that. So we've touched a little bit on how customers can maybe overcome some of the barriers to transformation. What about the nature of transformations themselves? I mean historically there was a lot of lip service paid to digital and and there's a lot of complacency, frankly, but you know that covid wrecking ball meme that so well describes that if you're not a digital business, essentially you're gonna be out of business. So, you know, those things have evolved, how is HPV addressed the new requirements? >>Well, the new requirements are really about what customers are trying to achieve. And four very common themes that we see are enabling the productivity of remote workforce. That was never really part of the plan for many organizations being able to develop and deliver new apps and services in order to service customers in a different way or drive new revenue streams, being able to get insights from data so that in these tough times they can optimize their business more thoroughly. And then finally think about the efficiency of an agile hybrid private cloud infrastructure. Especially one that now has to integrate the edge. And we're really thrilled to be helping our customers accelerate all of these and more with HP computer. >>I want to double click on that remote workforce productivity. I mean again the surveys that we see, 46 of the ceo say that productivity improved with the whole work from home remote work trend. And on average those improvements were in the four range which is absolutely enormous. I mean when you think about that how does HP specifically help here? What do you guys do? >>Well every organization in the world has had to adapt to a different style of working and with more remote workers than they had before. And for many organizations that's going to become the new normal. Even post pandemic, many I. T. Shops are not well equipped for the infrastructure to provide that experience because if all your workers are remote the resiliency of that infrastructure, the latency is of that infrastructure, the reliability of are all incredibly important. So we provide comprehensive solutions expertise and as a service options that support that remote work through virtual desktop infrastructure or V. D. I. So that our customers can support that new normal of virtual engagements online everything across industries wherever they are. And that's just one example of many of the workload optimized solutions that we're providing for our customers is about taking out the guesswork and the uncertainty in delivering on these changes that they have to deploy as part of their transformation. And we can deliver that range of workload optimized solutions across all of these different use cases. Because of our broad range of innovation in compute platforms that span from the ruggedized edge to the data center all the way up to exa scale in HPC. >>I mean that's key if you're trying to affect the digital transformation and you don't have to fine tune, you know, basically build your own optimized solutions if I can buy that rather than having to build it and rely on your R and D. You know, that's key. What else is HP doing? You know, to deliver new apps, new services, you your microservices, containers, the whole developer trend, what's going on there? >>Well, that's really key because organizations are all seeking to evolve their mix of business and bring new services and new capabilities, new ways to reach their customers, new way to reach their employees, new ways to interact in their ecosystem all digitally. And that means that development and many organizations of course are embracing container technology to do that today. So with the HP container platform, our customers can realize that agility and efficiency that comes with container ization and use it to provide insight to their data more and more on that data of course is being machine generated or generated the edge or the near edge. And it can be a real challenge to manage that data holistically and not of silos and islands at H. P. S. Moral data fabric speeds the agility and access to data with a unified platform that can span across the data centers, multiple clouds and even the edge. And that enables data analytics that can create insights powering a data driven production oriented cloud enabled analytics and AI available anytime anywhere and at any scale. And it's really exciting to see the kind of impact that that can have in helping businesses optimize their operations in these challenging times. >>You gotta go where the data is and the data is distributed. It's decentralized. I I like the liberal vision and execution there so that all sounds good. But with digital transformation you're gonna see more compute in hybrid deployments. You mentioned edge. So the surface area, it's like the universe its its ever expanding. You mentioned, you know, remote work and work from home before. So I'm curious where are you investing your resources from a cyber security perspective? What can we count on from H P. E there >>Or you can count on continued leadership from hp as the world's most secure industry standard server portfolio. We provide an enhanced and holistic 360° view to security that begins in the manufacturing supply chain and concludes with a safeguarded end of life Decommissioning. And of course we've long set the bar for security with our work on silicon root of trust and we're extending that to the application tier. But in addition to the security customers that are building this modern Khyber or private cloud, including the integration of the Edge need other elements to they need an intelligent software defined control plane so that they can automate their compute fleets from all the way at the edge to the core. And while scale and automation enable efficiency, all private cloud infrastructures are competing with Web scale economics and that's why we're democratizing web scale technologies like Pensando to bring web scale economics and web scale architecture to the private cloud. Our partners are so important in helping us serve our customers needs. >>Yeah. I mean H. P. Is really up to its ecosystem game since the middle of last decade when when you guys reorganized and it became even more partner friendly. So maybe give us a preview of what's coming next in that regard from today's event. >>Well, they were really excited to have HP. Ceo, Antonio Neri speaking with Pat Gelsinger's from Intel and later lisa su from A. M. D. And later I'll have the chance to catch up with john Chambers, the founder and Ceo of J. C. Two ventures to discuss the state of the market today. >>Yeah, I'm jealous. You got, yeah, that's a good interviews coming up, NEal, thanks so much for joining us today on the virtual cube. You've really shared a lot of great insight how HP is is partner with customers. It's, it's always great to catch up with you. Hopefully we can do so face to face, you know, sooner rather than later. >>I look forward to that. And you know, no doubt our world has changed and we're here to help our customers and partners with the technology, the expertise and the economics they need For these digital transformations. And we're going to bring them unmatched workload optimization from the edge to exa scale with that 360° security with the intelligent automation. And we're gonna deliver it all as an as a service experience. We're really excited to be helping our customers accelerate what's next for their businesses. And it's been really great talking with you today about that day. Thanks for having me >>very welcome. It's been super Neil and I actually, you know, I had the opportunity to speak with some of your customers about their digital transformation and the role of that HPV plays there. So let's dive right in. >>Yeah. Mm.

>>from around the globe. It's the Cube presenting Cuban cloud brought to you by silicon angle, everybody to Cuban cloud. My name is Dave Volonte, and I'll be here throughout the day with my co host, John Ferrier, who was quarantined in an undisclosed location in California. He's all good. Don't worry. Just precautionary. John, how are you doing? >>Hey, great to see you. John. Quarantine. My youngest daughter had covitz, so contact tracing. I was negative in quarantine at a friend's location. All good. >>Well, we wish you the best. Yeah, well, right. I mean, you know what's it like, John? I mean, you're away from your family. Your basically shut in, right? I mean, you go out for a walk, but you're really not in any contact with anybody. >>Correct? Yeah. I mean, basically just isolation, Um, pretty much what everyone's been kind of living on, kind of suffering through, but hopefully the vaccines are being distributed. You know, one of the things we talked about it reinvent the Amazon's cloud conference. Was the vaccine on, but just the whole workflow around that it's gonna get better. It's kind of really sucky. Here in the California area, they haven't done a good job, a lot of criticism around, how that's rolling out. And, you know, Amazon is now offering to help now that there's a new regime in the U. S. Government S o. You know, something to talk about, But certainly this has been a terrible time for Cove it and everyone in the deaths involved. But it's it's essentially pulled back the covers, if you will, on technology and you're seeing everything. Society. In fact, um, well, that's big tech MIT disinformation campaigns. All these vulnerabilities and cyber, um, accelerated digital transformation. We'll talk about a lot today, but yeah, it's totally changed the world. And I think we're in a new generation. I think this is a real inflection point, Dave. You know, modern society and the geo political impact of this is significant. You know, one of the benefits of being quarantined you'd be hanging out on these clubhouse APS, uh, late at night, listening to experts talk about what's going on, and it's interesting what's happening with with things like water and, you know, the island of Taiwan and China and U. S. Sovereignty, data, sovereignty, misinformation. So much going on to talk about. And, uh, meanwhile, companies like Mark injuries in BC firm starting a media company. What's going on? Hell freezing over. So >>we're gonna be talking about a lot of that stuff today. I mean, Cuba on cloud. It's our very first virtual editorial event we're trying to do is bring together our community. It's a it's an open forum and we're we're running the day on our 3 65 software platform. So we got a great lineup. We got CEO Seo's data Practitioners. We got a hard core technologies coming in, cloud experts, investors. We got some analysts coming in and we're creating this day long Siri's. And we've got a number of sessions that we've developed and we're gonna unpack. The future of Cloud computing in the coming decade is, John said, we're gonna talk about some of the public policy new administration. What does that mean for tech and for big tech in General? John, what can you add to that? >>Well, I think one of the things that we talked about Cove in this personal impact to me but other people as well. One of the things that people are craving right now is information factual information, truth texture that we call it. But hear this event for us, Davis, our first inaugural editorial event. Robbo, Kristen, Nicole, the entire Cube team Silicon angle, really trying to put together Morva cadence we're gonna doom or of these events where we can put out feature the best people in our community that have great fresh voices. You know, we do interview the big names Andy Jassy, Michael Dell, the billionaires with people making things happen. But it's often the people under there that are the rial newsmakers amid savory, for instance, that Google one of the most impressive technical people, he's gotta talk. He's gonna present democratization of software development in many Mawr riel people making things happen. And I think there's a communal element. We're going to do more of these. Obviously, we have, uh, no events to go to with the Cube. So we have the cube virtual software that we have been building and over years and now perfecting and we're gonna introduce that we're gonna put it to work, their dog footing it. We're gonna put that software toe work. We're gonna do a lot mawr virtual events like this Cuban cloud Cuban startup Cuban raising money. Cuban healthcare, Cuban venture capital. Always think we could do anything. Question is, what's the right story? What's the most important stories? Who's telling it and increase the aperture of the lens of the industry that we have and and expose that and fastest possible. That's what this software, you'll see more of it. So it's super exciting. We're gonna add new features like pulling people up on stage, Um, kind of bring on the clubhouse vibe and more of a community interaction with people to meet each other, and we'll roll those out. But the goal here is to just showcase it's cloud story in a way from people that are living it and providing value. So enjoy the day is gonna be chock full of presentations. We're gonna have moderated chat in these sessions, so it's an all day event so people can come in, drop out, and also that's everything's on demand immediately after the time slot. But you >>want to >>participate, come into the time slot into the cube room or breakout session. Whatever you wanna call it, it's a cube room, and the people in there chatting and having a watch party. So >>when you're in that home page when you're watching, there's a hero video there. Beneath that, there's a calendar, and you'll see that red line is that red horizontal line of vertical line is rather, it's a linear clock that will show you where we are in the day. If you click on any one of those sessions that will take you into the chat, we'll take you through those in a moment and share with you some of the guests that we have upcoming and and take you through the day what I wanted to do. John is trying to set the stage for the conversations that folks are gonna here today. And to do that, I wanna ask the guys to bring up a graphic. And I want to talk to you, John, about the progression of cloud over time and maybe go back to the beginning and review the evolution of cloud and then really talk a little bit about where we think it Z headed. So, guys, if you bring up that graphic when a W S announced s three, it was March of 2000 and six. And as you recall, John you know, nobody really. In the vendor and user community. They didn't really pay too much attention to that. And then later that year, in August, it announced E C two people really started. They started to think about a new model of computing, but they were largely, you know, chicken tires. And it was kind of bleeding edge developers that really leaned in. Um what? What were you thinking at the time? When when you saw, uh, s three e c to this retail company coming into the tech world? >>I mean, I thought it was totally crap. I'm like, this is terrible. But then at that time, I was thinking working on I was in between kind of start ups and I didn't have a lot of seed funding. And then I realized the C two was freaking awesome. But I'm like, Holy shit, this is really great because I don't need to pay a lot of cash, the Provisional Data center, or get a server. Or, you know, at that time, state of the art startup move was to buy a super micro box or some sort of power server. Um, it was well past the whole proprietary thing. But you have to assemble probably anyone with 5 to 8 grand box and go in, and we'll put a couple ghetto rack, which is basically, uh, you know, you put it into some coasting location. It's like with everybody else in the tech ghetto of hosting, still paying monthly fees and then maintaining it and provisioning that's just to get started. And then Amazon was just really easy. And then from there you just It was just awesome. I just knew Amazon would be great. They had a lot of things that they had to fix. You know, custom domains and user interface Council got better and better, but it was awesome. >>Well, what we really saw the cloud take hold from my perspective anyway, was the financial crisis in, you know, 709 It put cloud on the radar of a number of CFOs and, of course, shadow I T departments. They wanted to get stuff done and and take I t in in in, ah, pecs, bite sized chunks. So it really was. There's cloud awakening and we came out of that financial crisis, and this we're now in this 10 year plus boom um, you know, notwithstanding obviously the economic crisis with cove it. But much of it was powered by the cloud in the decade. I would say it was really about I t transformation. And it kind of ironic, if you will, because the pandemic it hits at the beginning of this decade, >>and it >>creates this mandate to go digital. So you've you've said a lot. John has pulled forward. It's accelerated this industry transformation. Everybody talks about that, but and we've highlighted it here in this graphic. It probably would have taken several more years to mature. But overnight you had this forced march to digital. And if you weren't a digital business, you were kind of out of business. And and so it's sort of here to stay. How do you see >>You >>know what this evolution and what we can expect in the coming decades? E think it's safe to say the last 10 years defined by you know, I t transformation. That's not gonna be the same in the coming years. How do you see it? >>It's interesting. I think the big tech companies are on, but I think this past election, the United States shows um, the power that technology has. And if you look at some of the main trends in the enterprise specifically around what clouds accelerating, I call the second wave of innovations coming where, um, it's different. It's not what people expect. Its edge edge computing, for instance, has talked about a lot. But industrial i o t. Is really where we've had a lot of problems lately in terms of hacks and malware and just just overall vulnerabilities, whether it's supply chain vulnerabilities, toe actual disinformation, you know, you know, vulnerabilities inside these networks s I think this network effects, it's gonna be a huge thing. I think the impact that tech will have on society and global society geopolitical things gonna be also another one. Um, I think the modern application development of how applications were written with data, you know, we always been saying this day from the beginning of the Cube data is his integral part of the development process. And I think more than ever, when you think about cloud and edge and this distributed computing paradigm, that cloud is now going next level with is the software and how it's written will be different. You gotta handle things like, where's the compute component? Is it gonna be at the edge with all the server chips, innovations that Amazon apple intel of doing, you're gonna have compute right at the edge, industrial and kind of human edge. How does that work? What's Leighton see to that? It's it really is an edge game. So to me, software has to be written holistically in a system's impact on the way. Now that's not necessarily nude in the computer science and in the tech field, it's just gonna be deployed differently. So that's a complete rewrite, in my opinion of the software applications. Which is why you're seeing Amazon Google VM Ware really pushing Cooper Netease and these service messes in the micro Services because super critical of this technology become smarter, automated, autonomous. And that's completely different paradigm in the old full stack developer, you know, kind of model. You know, the full stack developer, his ancient. There's no such thing as a full stack developer anymore, in my opinion, because it's a half a stack because the cloud takes up the other half. But no one wants to be called the half stack developer because it doesn't sound as good as Full Stack, but really Cloud has eliminated the technology complexity of what a full stack developer used to dio. Now you can manage it and do things with it, so you know, there's some work to done, but the heavy lifting but taking care of it's the top of the stack that I think is gonna be a really critical component. >>Yeah, and that that sort of automation and machine intelligence layer is really at the top of the stack. This this thing becomes ubiquitous, and we now start to build businesses and new processes on top of it. I wanna I wanna take a look at the Big Three and guys, Can we bring up the other The next graphic, which is an estimate of what the revenue looks like for the for the Big three. And John, this is I asked and past spend for the Big Three Cloud players. And it's It's an estimate that we're gonna update after earning seasons, and I wanna point a couple things out here. First is if you look at the combined revenue production of the Big Three last year, it's almost 80 billion in infrastructure spend. I mean, think about that. That Z was that incremental spend? No. It really has caused a lot of consolidation in the on Prem data center business for guys like Dell. And, you know, um, see, now, part of the LHP split up IBM Oracle. I mean, it's etcetera. They've all felt this sea change, and they had to respond to it. I think the second thing is you can see on this data. Um, it's true that azure and G C P they seem to be growing faster than a W s. We don't know the exact numbers >>because >>A W S is the only company that really provides a clean view of i s and pass. Whereas Microsoft and Google, they kind of hide the ball in their numbers. I mean, I don't blame them because they're behind, but they do leave breadcrumbs and clues about growth rates and so forth. And so we have other means of estimating, but it's it's undeniable that azure is catching up. I mean, it's still quite distance the third thing, and before I want to get your input here, John is this is nuanced. But despite the fact that Azure and Google the growing faster than a W s. You can see those growth rates. A W s I'll call this out is the only company by our estimates that grew its business sequentially last quarter. Now, in and of itself, that's not significant. But what is significant is because AWS is so large there $45 billion last year, even if the slower growth rates it's able to grow mawr and absolute terms than its competitors, who are basically flat to down sequentially by our estimates. Eso So that's something that I think is important to point out. Everybody focuses on the growth rates, but it's you gotta look at also the absolute dollars and, well, nonetheless, Microsoft in particular, they're they're closing the gap steadily, and and we should talk more about the competitive dynamics. But I'd love to get your take on on all this, John. >>Well, I mean, the clouds are gonna win right now. Big time with the one the political climate is gonna be favoring Big check. But more importantly, with just talking about covert impact and celebrating the digital transformation is gonna create a massive rising tide. It's already happening. It's happening it's happening. And again, this shift in programming, uh, models are gonna really kinda accelerating, create new great growth. So there's no doubt in my mind of all three you're gonna win big, uh, in the future, they're just different, You know, the way they're going to market position themselves, they have to be. Google has to be a little bit different than Amazon because they're smaller and they also have different capabilities, then trying to catch up. So if you're Google or Microsoft, you have to have a competitive strategy to decide. How do I wanna ride the tide If you will put the rising tide? Well, if I'm Amazon, I mean, if I'm Microsoft and Google, I'm not going to try to go frontal and try to copy Amazon because Amazon is just pounding lead of features and scale and they're different. They were, I would say, take advantage of the first mover of pure public cloud. They really awesome. It passed and I, as they've integrated in Gardner, now reports and integrated I as and passed components. So Gardner finally got their act together and said, Hey, this is really one thing. SAS is completely different animal now Microsoft Super Smart because they I think they played the right card. They have a huge installed base converted to keep office 3 65 and move sequel server and all their core jewels into the cloud as fast as possible, clarified while filling in the gaps on the product side to be cloud. So you know, as you're doing trends job, they're just it's just pedal as fast as you can. But Microsoft is really in. The strategy is just go faster trying. Keep pedaling fast, get the features, feature velocity and try to make it high quality. Google is a little bit different. They have a little power base in terms of their network of strong, and they have a lot of other big data capabilities, so they have to use those to their advantage. So there is. There is there is competitive strategy game application happening with these companies. It's not like apples, the apples, In my opinion, it never has been, and I think that's funny that people talk about it that way. >>Well, you're bringing up some great points. I want guys bring up the next graphic because a lot of things that John just said are really relevant here. And what we're showing is that's a survey. Data from E. T. R R Data partners, like 1400 plus CEOs and I T buyers and on the vertical axis is this thing called Net score, which is a measure of spending momentum. And the horizontal axis is is what's called market share. It's a measure of the pervasiveness or, you know, number of mentions in the data set. There's a couple of key points I wanna I wanna pick up on relative to what John just said. So you see A W S and Microsoft? They stand alone. I mean, they're the hyper scale er's. They're far ahead of the pack and frankly, they have fall down, toe, lose their lead. They spend a lot on Capex. They got the flywheel effects going. They got both spending velocity and large market shares, and so, but they're taking a different approach. John, you're right there living off of their SAS, the state, their software state, Andi, they're they're building that in to their cloud. So they got their sort of a captive base of Microsoft customers. So they've got that advantage. They also as we'll hear from from Microsoft today. They they're building mawr abstraction layers. Andy Jassy has said We don't wanna be in that abstraction layer business. We wanna have access to those, you know, fine grain primitives and eso at an AP level. So so we can move fast with the market. But but But so those air sort of different philosophies, John? >>Yeah. I mean, you know, people who know me know that I love Amazon. I think their product is superior at many levels on in its way that that has advantages again. They have a great sass and ecosystem. They don't really have their own SAS play, although they're trying to add some stuff on. I've been kind of critical of Microsoft in the past, but one thing I'm not critical of Microsoft, and people can get this wrong in the marketplace. Actually, in the journalism world and also in just some other analysts, Microsoft has always had large scale eso to say that Microsoft never had scale on that Amazon owned the monopoly on our franchise on scales wrong. Microsoft had scale from day one. Their business was always large scale global. They've always had infrastructure with MSN and their search and the distributive how they distribute browsers and multiple countries. Remember they had the lock on the operating system and the browser for until the government stepped in in 1997. And since 1997 Microsoft never ever not invested in infrastructure and scale. So that whole premise that they don't compete well there is wrong. And I think that chart demonstrates that there, in there in the hyper scale leadership category, hands down the question that I have. Is that there not as good and making that scale integrate in because they have that legacy cards. This is the classic innovator's dilemma. Clay Christensen, right? So I think they're doing a good job. I think their strategy sound. They're moving as fast as they can. But then you know they're not gonna come out and say We don't have the best cloud. Um, that's not a marketing strategy. Have to kind of hide in this and get better and then double down on where they're winning, which is. Clients are converting from their legacy at the speed of Microsoft, and they have a huge client base, So that's why they're stopping so high That's why they're so good. >>Well, I'm gonna I'm gonna give you a little preview. I talked to gear up your f Who's gonna come on today and you'll see I I asked him because the criticism of Microsoft is they're, you know, they're just good enough. And so I asked him, Are you better than good enough? You know, those are fighting words if you're inside of Microsoft, but so you'll you'll have to wait to see his answer. Now, if you guys, if you could bring that that graphic back up I wanted to get into the hybrid zone. You know where the field is. Always got >>some questions coming in on chat, Dave. So we'll get to those >>great Awesome. So just just real quick Here you see this hybrid zone, this the field is bunched up, and the other companies who have a large on Prem presence and have been forced to initiate some kind of coherent cloud strategy included. There is Michael Michael, multi Cloud, and Google's there, too, because they're far behind and they got to take a different approach than a W s. But as you can see, so there's some real progress here. VM ware cloud on AWS stands out, as does red hat open shift. You got VM Ware Cloud, which is a VCF Cloud Foundation, even Dell's cloud. And you'd expect HP with Green Lake to be picking up momentum in the future quarters. And you've got IBM and Oracle, which there you go with the innovator's dilemma. But there, at least in the cloud game, and we can talk about that. But so, John, you know, to your point, you've gotta have different strategies. You're you're not going to take out the big too. So you gotta play, connect your print your on Prem to your cloud, your hybrid multi cloud and try to create new opportunities and new value there. >>Yeah, I mean, I think we'll get to the question, but just that point. I think this Zeri Chen's come on the Cube many times. We're trying to get him to come on lunch today with Features startup, but he's always said on the Q B is a V C at Greylock great firm. Jerry's Cloud genius. He's been there, but he made a point many, many years ago. It's not a winner. Take all the winner. Take most, and the Big Three maybe put four or five in there. We'll take most of the markets here. But I think one of the things that people are missing and aren't talking about Dave is that there's going to be a second tier cloud, large scale model. I don't want to say tear to cloud. It's coming to sound like a sub sub cloud, but a new category of cloud on cloud, right? So meaning if you get a snowflake, did I think this is a tale? Sign to what's coming. VM Ware Cloud is a native has had huge success, mainly because Amazon is essentially enabling them to be successful. So I think is going to be a wave of a more of a channel model of indirect cloud build out where companies like the Cube, potentially for media or others, will build clouds on top of the cloud. So if Google, Microsoft and Amazon, whoever is the first one to really enable that okay, we'll do extremely well because that means you can compete with their scale and create differentiation on top. So what snowflake did is all on Amazon now. They kind of should go to azure because it's, you know, politically correct that have multiple clouds and distribution and business model shifts. But to get that kind of performance they just wrote on Amazon. So there's nothing wrong with that. Because you're getting paid is variable. It's cap ex op X nice categorization. So I think that's the way that we're watching. I think it's super valuable, I think will create some surprises in terms of who might come out of the woodwork on be a leader in a category. Well, >>your timing is perfect, John and we do have some questions in the chat. But before we get to that, I want to bring in Sargi Joe Hall, who's a contributor to to our community. Sargi. Can you hear us? All right, so we got, uh, while >>bringing in Sarpy. Let's go down from the questions. So the first question, Um, we'll still we'll get the student second. The first question. But Ronald ask, Can a vendor in 2021 exist without a hybrid cloud story? Well, story and capabilities. Yes, they could live with. They have to have a story. >>Well, And if they don't own a public cloud? No. No, they absolutely cannot. Uh hey, Sergey. How you doing, man? Good to see you. So, folks, let me let me bring in Sergeant Kohala. He's a He's a cloud architect. He's a practitioner, He's worked in as a technologist. And there's a frequent guest on on the Cube. Good to see you, my friend. Thanks for taking the time with us. >>And good to see you guys to >>us. So we were kind of riffing on the competitive landscape we got. We got so much to talk about this, like, it's a number of questions coming in. Um, but Sargi we wanna talk about you know, what's happening here in Cloud Land? Let's get right into it. I mean, what do you guys see? I mean, we got yesterday. New regime, new inaug inauguration. Do you do you expect public policy? You'll start with you Sargi to have What kind of effect do you think public policy will have on, you know, cloud generally specifically, the big tech companies, the tech lash. Is it gonna be more of the same? Or do you see a big difference coming? >>I think that there will be some changing narrative. I believe on that. is mainly, um, from the regulators side. A lot has happened in one month, right? So people, I think are losing faith in high tech in a certain way. I mean, it doesn't, uh, e think it matters with camp. You belong to left or right kind of thing. Right? But parlor getting booted out from Italy s. I think that was huge. Um, like, how do you know that if a cloud provider will not boot you out? Um, like, what is that line where you draw the line? What are the rules? I think that discussion has to take place. Another thing which has happened in the last 23 months is is the solar winds hack, right? So not us not sort acknowledging that I was Russia and then wish you watching it now, new administration might have a different sort of Boston on that. I think that's huge. I think public public private partnership in security arena will emerge this year. We have to address that. Yeah, I think it's not changing. Uh, >>economics economy >>will change gradually. You know, we're coming out off pandemic. The money is still cheap on debt will not be cheap. for long. I think m and a activity really will pick up. So those are my sort of high level, Uh, >>thank you. I wanna come back to them. And because there's a question that chat about him in a But, John, how do you see it? Do you think Amazon and Google on a slippery slope booting parlor off? I mean, how do they adjudicate between? Well, what's happening in parlor? Uh, anything could happen on clubhouse. Who knows? I mean, can you use a I to find that stuff? >>Well, that's I mean, the Amazons, right? Hiding right there bunkered in right now from that bad, bad situation. Because again, like people we said Amazon, these all three cloud players win in the current environment. Okay, Who wins with the U. S. With the way we are China, Russia, cloud players. Okay, let's face it, that's the reality. So if I wanted to reset the world stage, you know what better way than the, you know, change over the United States economy, put people out of work, make people scared, and then reset the entire global landscape and control all with cash? That's, you know, conspiracy theory. >>So you see the riches, you see the riches, get the rich, get richer. >>Yeah, well, that's well, that's that. That's kind of what's happening, right? So if you start getting into this idea that you can't actually have an app on site because the reason now I'm not gonna I don't know the particular parlor, but apparently there was a reason. But this is dangerous, right? So what? What that's gonna do is and whether it's right or wrong or not, whether political opinion is it means that they were essentially taken offline by people that weren't voted for that. Weren't that when people didn't vote for So that's not a democracy, right? So that's that's a different kind of regime. What it's also going to do is you also have this groundswell of decentralized thinking, right. So you have a whole wave of crypto and decentralized, um, cyber punks out there who want to decentralize it. So all of this stuff in January has created a huge counterculture, and I had predicted this so many times in the Cube. David counterculture is coming and and you already have this kind of counterculture between centralized and decentralized thinking and so I think the Amazon's move is dangerous at a fundamental level. Because if you can't get it, if you can't get buy domain names and you're completely blackballed by by organized players, that's a Mafia, in my opinion. So, uh, and that and it's also fuels the decentralized move because people say, Hey, if that could be done to them, it could be done to me. Just the fact that it could be done will promote a swing in the other direction. I >>mean, independent of of, you know, again, somebody said your political views. I mean Parlor would say, Hey, we're trying to clean this stuff up now. Maybe they didn't do it fast enough, but you think about how new parlor is. You think about the early days of Twitter and Facebook, so they were sort of at a disadvantage. Trying to >>have it was it was partly was what it was. It was a right wing stand up job of standing up something quick. Their security was terrible. If you look at me and Cory Quinn on be great to have him, and he did a great analysis on this, because if you look the lawsuit was just terrible. Security was just a half, asshole. >>Well, and the experience was horrible. I mean, it's not It was not a great app, but But, like you said, it was a quick stew. Hand up, you know, for an agenda. But nonetheless, you know, to start, get to your point earlier. It's like, you know, Are they gonna, you know, shut me down? If I say something that's, you know, out of line, or how do I control that? >>Yeah, I remember, like, 2019, we involved closing sort of remarks. I was there. I was saying that these companies are gonna be too big to fail. And also, they're too big for other nations to do business with. In a way, I think MNCs are running the show worldwide. They're running the government's. They are way. Have seen the proof of that in us this year. Late last year and this year, um, Twitter last night blocked Chinese Ambassador E in us. Um, from there, you know, platform last night and I was like, What? What's going on? So, like, we used to we used to say, like the Chinese company, tech companies are in bed with the Chinese government. Right. Remember that? And now and now, Actually, I think Chinese people can say the same thing about us companies. Uh, it's not a good thing. >>Well, let's >>get some question. >>Let's get some questions from the chat. Yeah. Thank you. One is on M and a subject you mentioned them in a Who do you see is possible emanate targets. I mean, I could throw a couple out there. Um, you know, some of the cdn players, maybe aka my You know, I like I like Hashi Corp. I think they're doing some really interesting things. What do you see? >>Nothing. Hashi Corp. And anybody who's doing things in the periphery is a candidate for many by the big guys, you know, by the hyper scholars and number two tier two or five hyper scholars. Right. Uh, that's why sales forces of the world and stuff like that. Um, some some companies, which I thought there will be a target, Sort of. I mean, they target they're getting too big, because off their evaluations, I think how she Corpuz one, um, >>and >>their bunch in the networking space. Uh, well, Tara, if I say the right that was acquired by at five this week, this week or last week, Actually, last week for $500 million. Um, I know they're founder. So, like I found that, Yeah, there's a lot going on on the on the network side on the anything to do with data. Uh, that those air too hard areas in the cloud arena >>data, data protection, John, any any anything you could adhere. >>And I think I mean, I think ej ej is gonna be where the gaps are. And I think m and a activity is gonna be where again, the bigger too big to fail would agree with you on that one. But we're gonna look at white Spaces and say a white space for Amazon is like a monster space for a start up. Right? So you're gonna have these huge white spaces opportunities, and I think it's gonna be an M and a opportunity big time start ups to get bought in. Given the speed on, I think you're gonna see it around databases and around some of these new service meshes and micro services. I mean, >>they there's a There's a question here, somebody's that dons asking why is Google who has the most pervasive tech infrastructure on the planet. Not at the same level of other to hyper scale is I'll give you my two cents is because it took him a long time to get their heads out of their ads. I wrote a piece of around that a while ago on they just they figured out how to learn the enterprise. I mean, John, you've made this point a number of times, but they just and I got a late start. >>Yeah, they're adding a lot of people. If you look at their who their hiring on the Google Cloud, they're adding a lot of enterprise chops in there. They realized this years ago, and we've talked to many of the top leaders, although Curry and hasn't yet sit down with us. Um, don't know what he's hiding or waiting for, but they're clearly not geared up to chicken Pete. You can see it with some some of the things that they're doing, but I mean competed the level of Amazon, but they have strength and they're playing their strength, but they definitely recognize that they didn't have the enterprise motions and people in the DNA and that David takes time people in the enterprise. It's not for the faint of heart. It's unique details that are different. You can't just, you know, swing the Google playbook and saying We're gonna home The enterprises are text grade. They knew that years ago. So I think you're going to see a good year for Google. I think you'll see a lot of change. Um, they got great people in there. On the product marketing side is Dev Solution Architects, and then the SRE model that they have perfected has been strong. And I think security is an area that they could really had a lot of value it. So, um always been a big fan of their huge network and all the intelligence they have that they could bring to bear on security. >>Yeah, I think Google's problem main problem that to actually there many, but one is that they don't They don't have the boots on the ground as compared to um, Microsoft, especially an Amazon actually had a similar problem, but they had a wide breath off their product portfolio. I always talk about feature proximity in cloud context, like if you're doing one thing. You wanna do another thing? And how do you go get that feature? Do you go to another cloud writer or it's right there where you are. So I think Amazon has the feature proximity and they also have, uh, aske Compared to Google, there's skills gravity. Larger people are trained on AWS. I think Google is trying there. So second problem Google is having is that that they're they're more focused on, I believe, um, on the data science part on their sort of skipping the cool components sort of off the cloud, if you will. The where the workloads needs, you know, basic stuff, right? That's like your compute storage and network. And that has to be well, talk through e think e think they will do good. >>Well, so later today, Paul Dillon sits down with Mids Avery of Google used to be in Oracle. He's with Google now, and he's gonna push him on on the numbers. You know, you're a distant third. Does that matter? And of course, you know, you're just a preview of it's gonna say, Well, no, we don't really pay attention to that stuff. But, John, you said something earlier that. I think Jerry Chen made this comment that, you know, Is it a winner? Take all? No, but it's a winner. Take a lot. You know the number two is going to get a big chunk of the pie. It appears that the markets big enough for three. But do you? Does Google have to really dramatically close the gap on be a much, much closer, you know, to the to the leaders in orderto to compete in this race? Or can they just kind of continue to bump along, siphon off the ad revenue? Put it out there? I mean, I >>definitely can compete. I think that's like Google's in it. Then it they're not. They're not caving, right? >>So But But I wrote I wrote recently that I thought they should even even put mawr oven emphasis on the cloud. I mean, maybe maybe they're already, you know, doubling down triple down. I just I think that is a multi trillion dollar, you know, future for the industry. And, you know, I think Google, believe it or not, could even do more. Now. Maybe there's just so much you could dio. >>There's a lot of challenges with these company, especially Google. They're in Silicon Valley. We have a big Social Justice warrior mentality. Um, there's a big debate going on the in the back channels of the tech scene here, and that is that if you want to be successful in cloud, you have to have a good edge strategy, and that involves surveillance, use of data and pushing the privacy limits. Right? So you know, Google has people within the country that will protest contract because AI is being used for war. Yet we have the most unstable geopolitical seen that I've ever witnessed in my lifetime going on right now. So, um, don't >>you think that's what happened with parlor? I mean, Rob Hope said, Hey, bar is pretty high to kick somebody off your platform. The parlor went over the line, but I would also think that a lot of the employees, whether it's Google AWS as well, said, Hey, why are we supporting you know this and so to your point about social justice, I mean, that's not something. That >>parlor was not just social justice. They were trying to throw the government. That's Rob e. I think they were in there to get selfies and being protesters. But apparently there was evidence from what I heard in some of these clubhouse, uh, private chats. Waas. There was overwhelming evidence on parlor. >>Yeah, but my point is that the employee backlash was also a factor. That's that's all I'm saying. >>Well, we have Google is your Google and you have employees to say we will boycott and walk out if you bid on that jet I contract for instance, right, But Microsoft one from maybe >>so. I mean, that's well, >>I think I think Tom Poole's making a really good point here, which is a Google is an alternative. Thio aws. The last Google cloud next that we were asked at they had is all virtual issue. But I saw a lot of I T practitioners in the audience looking around for an alternative to a W s just seeing, though, we could talk about Mano Cloud or Multi Cloud, and Andy Jassy has his his narrative around, and he's true when somebody goes multiple clouds, they put you know most of their eggs in one basket. Nonetheless, I think you know, Google's got a lot of people interested in, particularly in the analytic side, um, in in an alternative, hedging their bets eso and particularly use cases, so they should be able to do so. I guess my the bottom line here is the markets big enough to have Really? You don't have to be the Jack Welch. I gotta be number one and number two in the market. Is that the conclusion here? >>I think so. But the data gravity and the skills gravity are playing against them. Another problem, which I didn't want a couple of earlier was Google Eyes is that they have to boot out AWS wherever they go. Right? That is a huge challenge. Um, most off the most off the Fortune 2000 companies are already using AWS in one way or another. Right? So they are the multi cloud kind of player. Another one, you know, and just pure purely somebody going 200% Google Cloud. Uh, those cases are kind of pure, if you will. >>I think it's gonna be absolutely multi cloud. I think it's gonna be a time where you looked at the marketplace and you're gonna think in terms of disaster recovery, model of cloud or just fault tolerant capabilities or, you know, look at the parlor, the next parlor. Or what if Amazon wakes up one day and said, Hey, I don't like the cubes commentary on their virtual events, so shut them down. We should have a fail over to Google Cloud should Microsoft and Option. And one of people in Microsoft ecosystem wants to buy services from us. We have toe kind of co locate there. So these are all open questions that are gonna be the that will become certain pretty quickly, which is, you know, can a company diversify their computing An i t. In a way that works. And I think the momentum around Cooper Netease you're seeing as a great connective tissue between, you know, having applications work between clouds. Right? Well, directionally correct, in my opinion, because if I'm a company, why wouldn't I wanna have choice? So >>let's talk about this. The data is mixed on that. I'll share some data, meaty our data with you. About half the companies will say Yeah, we're spreading the wealth around to multiple clouds. Okay, That's one thing will come back to that. About the other half were saying, Yeah, we're predominantly mono cloud we didn't have. The resource is. But what I think going forward is that that what multi cloud really becomes. And I think John, you mentioned Snowflake before. I think that's an indicator of what what true multi cloud is going to look like. And what Snowflake is doing is they're building abstraction, layer across clouds. Ed Walsh would say, I'm standing on the shoulders of Giants, so they're basically following points of presence around the globe and building their own cloud. They call it a data cloud with a global mesh. We'll hear more about that later today, but you sign on to that cloud. So they're saying, Hey, we're gonna build value because so many of Amazon's not gonna build that abstraction layer across multi clouds, at least not in the near term. So that's a really opportunity for >>people. I mean, I don't want to sound like I'm dating myself, but you know the date ourselves, David. I remember back in the eighties, when you had open systems movement, right? The part of the whole Revolution OS I open systems interconnect model. At that time, the networking stacks for S N A. For IBM, decadent for deck we all know that was a proprietary stack and then incomes TCP I p Now os I never really happened on all seven layers, but the bottom layers standardized. Okay, that was huge. So I think if you look at a W s or some of the comments in the chat AWS is could be the s n a. Depends how you're looking at it, right? And you could say they're open. But in a way, they want more Amazon. So Amazon's not out there saying we love multi cloud. Why would they promote multi cloud? They are a one of the clouds they want. >>That's interesting, John. And then subject is a cloud architect. I mean, it's it is not trivial to make You're a data cloud. If you're snowflake, work on AWS work on Google. Work on Azure. Be seamless. I mean, certainly the marketing says that, but technically, that's not trivial. You know, there are latent see issues. Uh, you know, So that's gonna take a while to develop. What? Do your thoughts there? >>I think that multi cloud for for same workload and multi cloud for different workloads are two different things. Like we usually put multiple er in one bucket, right? So I think you're right. If you're trying to do multi cloud for the same workload, that's it. That's Ah, complex, uh, problem to solve architecturally, right. You have to have a common ap ice and common, you know, control playing, if you will. And we don't have that yet, and then we will not have that for a for at least one other couple of years. So, uh, if you if you want to do that, then you have to go to the lower, lowest common denominator in technical sort of stock, if you will. And then you're not leveraging the best of the breed technology off their from different vendors, right? I believe that's a hard problem to solve. And in another thing, is that that that I always say this? I'm always on the death side, you know, developer side, I think, uh, two deaths. Public cloud is a proxy for innovative culture. Right. So there's a catch phrase I have come up with today during shower eso. I think that is true. And then people who are companies who use the best of the breed technologies, they can attract the these developers and developers are the Mazen's off This digital sort of empires, amazingly, is happening there. Right there they are the Mazen's right. They head on the bricks. I think if you don't appeal to developers, if you don't but extensive for, like, force behind educating the market, you can't you can't >>put off. It's the same game Stepping story was seeing some check comments. Uh, guard. She's, uh, linked in friend of mine. She said, Microsoft, If you go back and look at the Microsoft early days to the developer Point they were, they made their phones with developers. They were a software company s Oh, hey, >>forget developers, developers, developers. >>You were if you were in the developer ecosystem, you were treated his gold. You were part of the family. If you were outside that world, you were competitors, and that was ruthless times back then. But they again they had. That was where it was today. Look at where the software defined businesses and starve it, saying it's all about being developer lead in this new way to program, right? So the cloud next Gen Cloud is going to look a lot like next Gen Developer and all the different tools and techniques they're gonna change. So I think, yes, this kind of developer ecosystem will be harnessed, and that's the power source. It's just gonna look different. So, >>Justin, Justin in the chat has a comment. I just want to answer the question about elastic thoughts on elastic. Um, I tell you, elastic has momentum uh, doing doing very well in the market place. Thea Elk Stack is a great alternative that people are looking thio relative to Splunk. Who people complain about the pricing. Of course it's plunks got the easy button, but it is getting increasingly expensive. The problem with elk stack is you know, it's open source. It gets complicated. You got a shard, the databases you gotta manage. It s Oh, that's what Ed Walsh's company chaos searches is all about. But elastic has some riel mo mentum in the marketplace right now. >>Yeah, you know, other things that coming on the chat understands what I was saying about the open systems is kubernetes. I always felt was that is a bad metaphor. But they're with me. That was the TCP I peep In this modern era, C t c p I p created that that the disruptor to the S N A s and the network protocols that were proprietary. So what KUBERNETES is doing is creating a connective tissue between clouds and letting the open source community fill in the gaps in the middle, where kind of way kind of probably a bad analogy. But that's where the disruption is. And if you look at what's happened since Kubernetes was put out there, what it's become kind of de facto and standard in the sense that everyone's rallying around it. Same exact thing happened with TCP was people were trashing it. It is terrible, you know it's not. Of course they were trashed because it was open. So I find that to be very interesting. >>Yeah, that's a good >>analogy. E. Thinks the R C a cable. I used the R C. A cable analogy like the VCRs. When they started, they, every VC had had their own cable, and they will work on Lee with that sort of plan of TV and the R C. A cable came and then now you can put any TV with any VCR, and the VCR industry took off. There's so many examples out there around, uh, standards And how standards can, you know, flair that fire, if you will, on dio for an industry to go sort of wild. And another trend guys I'm seeing is that from the consumer side. And let's talk a little bit on the consuming side. Um, is that the The difference wouldn't be to B and B to C is blood blurred because even the physical products are connected to the end user Like my door lock, the August door lock I didn't just put got get the door lock and forget about that. Like I I value the expedience it gives me or problems that gives me on daily basis. So I'm close to that vendor, right? So So the middle men, uh, middle people are getting removed from from the producer off the technology or the product to the consumer. Even even the sort of big grocery players they have their APs now, uh, how do you buy stuff and how it's delivered and all that stuff that experience matters in that context, I think, um, having, uh, to be able to sell to thes enterprises from the Cloud writer Breuder's. They have to have these case studies or all these sample sort off reference architectures and stuff like that. I think whoever has that mawr pushed that way, they are doing better like that. Amazon is Amazon. Because of that reason, I think they have lot off sort off use cases about on top of them. And they themselves do retail like crazy. Right? So and other things at all s. So I think that's a big trend. >>Great. Great points are being one of things. There's a question in there about from, uh, Yaden. Who says, uh, I like the developer Lead cloud movement, But what is the criticality of the executive audience when educating the marketplace? Um, this comes up a lot in some of my conversations around automation. So automation has been a big wave to automate this automate everything. And then everything is a service has become kind of kind of the the executive suite. Kind of like conversation we need to make everything is a service in our business. You seeing people move to that cloud model. Okay, so the executives think everything is a services business strategy, which it is on some level, but then, when they say Take that hill, do it. Developers. It's not that easy. And this is where a lot of our cube conversations over the past few months have been, especially during the cova with cute virtual. This has come up a lot, Dave this idea, and start being around. It's easy to say everything is a service but will implement it. It's really hard, and I think that's where the developer lead Connection is where the executive have to understand that in order to just say it and do it are two different things. That digital transformation. That's a big part of it. So I think that you're gonna see a lot of education this year around what it means to actually do that and how to implement it. >>I'd like to comment on the as a service and subject. Get your take on it. I mean, I think you're seeing, for instance, with HP Green Lake, Dell's come out with Apex. You know IBM as its utility model. These companies were basically taking a page out of what I what I would call a flawed SAS model. If you look at the SAS players, whether it's salesforce or workday, service now s a P oracle. These models are They're really They're not cloud pricing models. They're they're basically you got to commit to a term one year, two year, three year. We'll give you a discount if you commit to the longer term. But you're locked in on you. You probably pay upfront. Or maybe you pay quarterly. That's not a cloud pricing model. And that's why I mean, they're flawed. You're seeing companies like Data Dog, for example. Snowflake is another one, and they're beginning to price on a consumption basis. And that is, I think, one of the big changes that we're going to see this decade is that true cloud? You know, pay by the drink pricing model and to your point, john toe, actually implement. That is, you're gonna need a whole new layer across your company on it is quite complicated it not even to mention how you compensate salespeople, etcetera. The a p. I s of your product. I mean, it is that, but that is a big sea change that I see coming. Subject your >>thoughts. Yeah, I think like you couldn't see it. And like some things for this big tech exacts are hidden in the plain >>sight, right? >>They don't see it. They they have blind spots, like Look at that. Look at Amazon. They went from Melissa and 200 millisecond building on several s, Right, Right. And then here you are, like you're saying, pay us for the whole year. If you don't use the cloud, you lose it or will pay by month. Poor user and all that stuff like that that those a role models, I think these players will be forced to use that term pricing like poor minute or for a second, poor user. That way, I think the Salesforce moral is hybrid. They're struggling in a way. I think they're trying to bring the platform by doing, you know, acquisition after acquisition to be a platform for other people to build on top off. But they're having a little trouble there because because off there, such pricing and little closeness, if you will. And, uh, again, I'm coming, going, going back to developers like, if you are not appealing to developers who are writing the latest and greatest code and it is open enough, by the way open and open source are two different things that we all know that. So if your platform is not open enough, you will have you know, some problems in closing the deals. >>E. I want to just bring up a question on chat around from Justin didn't fitness. Who says can you touch on the vertical clouds? Has your offering this and great question Great CP announcing Retail cloud inventions IBM Athena Okay, I'm a huge on this point because I think this I'm not saying this for years. Cloud computing is about horizontal scalability and vertical specialization, and that's absolutely clear, and you see all the clouds doing it. The vertical rollouts is where the high fidelity data is, and with machine learning and AI efforts coming out, that's accelerated benefits. There you have tow, have the vertical focus. I think it's super smart that clouds will have some sort of vertical engine, if you will in the clouds and build on top of a control playing. Whether that's data or whatever, this is clearly the winning formula. If you look at all the successful kind of ai implementations, the ones that have access to the most data will get the most value. So, um if you're gonna have a data driven cloud you have tow, have this vertical feeling, Um, in terms of verticals, the data on DSO I think that's super important again, just generally is a strategy. I think Google doing a retail about a super smart because their whole pitches were not Amazon on. Some people say we're not Google, depending on where you look at. So every of these big players, they have dominance in the areas, and that's scarce. Companies and some companies will never go to Amazon for that reason. Or some people never go to Google for other reasons. I know people who are in the ad tech. This is a black and we're not. We're not going to Google. So again, it is what it is. But this idea of vertical specialization relevant in super >>forts, I want to bring to point out to sessions that are going on today on great points. I'm glad you asked that question. One is Alan. As he kicks off at 1 p.m. Eastern time in the transformation track, he's gonna talk a lot about the coming power of ecosystems and and we've talked about this a lot. That that that to compete with Amazon, Google Azure, you've gotta have some kind of specialization and vertical specialization is a good one. But of course, you see in the big Big three also get into that. But so he's talking at one o'clock and then it at 3 36 PM You know this times are strange, but e can explain that later Hillary Hunter is talking about she's the CTO IBM I B M's ah Financial Cloud, which is another really good example of specifying vertical requirements and serving. You know, an audience subject. I think you have some thoughts on this. >>Actually, I lost my thought. E >>think the other piece of that is data. I mean, to the extent that you could build an ecosystem coming back to Alan Nancy's premise around data that >>billions of dollars in >>their day there's billions of dollars and that's the title of the session. But we did the trillion dollar baby post with Jazzy and said Cloud is gonna be a trillion dollars right? >>And and the point of Alan Answer session is he's thinking from an individual firm. Forget the millions that you're gonna save shifting to the cloud on cost. There's billions in ecosystems and operating models. That's >>absolutely the business value. Now going back to my half stack full stack developer, is the business value. I've been talking about this on the clubhouses a lot this past month is for the entrepreneurs out there the the activity in the business value. That's the new the new intellectual property is the business logic, right? So if you could see innovations in how work streams and workflow is gonna be a configured differently, you have now large scale cloud specialization with data, you can move quickly and take territory. That's much different scenario than a decade ago, >>at the point I was trying to make earlier was which I know I remember, is that that having the horizontal sort of features is very important, as compared to having vertical focus. You know, you're you're more healthcare focused like you. You have that sort of needs, if you will, and you and our auto or financials and stuff like that. What Google is trying to do, I think that's it. That's a good thing. Do cook up the reference architectures, but it's a bad thing in a way that you drive drive away some developers who are most of the developers at 80 plus percent, developers are horizontal like you. Look at the look into the psyche of a developer like you move from company to company. And only few developers will say I will stay only in health care, right? So I will only stay in order or something of that, right? So they you have to have these horizontal capabilities which can be applied anywhere on then. On top >>of that, I think that's true. Sorry, but I'll take a little bit different. Take on that. I would say yes, that's true. But remember, remember the old school application developer Someone was just called in Application developer. All they did was develop applications, right? They pick the framework, they did it right? So I think we're going to see more of that is just now mawr of Under the Covers developers. You've got mawr suffer defined networking and software, defined storage servers and cloud kubernetes. And it's kind of like under the hood. But you got your, you know, classic application developer. I think you're gonna see him. A lot of that come back in a way that's like I don't care about anything else. And that's the promise of cloud infrastructure is code. So I think this both. >>Hey, I worked. >>I worked at people solved and and I still today I say into into this context, I say E r P s are the ultimate low code. No code sort of thing is right. And what the problem is, they couldn't evolve. They couldn't make it. Lightweight, right? Eso um I used to write applications with drag and drop, you know, stuff. Right? But But I was miserable as a developer. I didn't Didn't want to be in the applications division off PeopleSoft. I wanted to be on the tools division. There were two divisions in most of these big companies ASAP. Oracle. Uh, like companies that divisions right? One is the cooking up the tools. One is cooking up the applications. The basketball was always gonna go to the tooling. Hey, >>guys, I'm sorry. We're almost out of time. I always wanted to t some of the sections of the day. First of all, we got Holder Mueller coming on at lunch for a power half hour. Um, you'll you'll notice when you go back to the home page. You'll notice that calendar, that linear clock that we talked about that start times are kind of weird like, for instance, an appendix coming on at 1 24. And that's because these air prerecorded assets and rather than having a bunch of dead air, we're just streaming one to the other. So so she's gonna talk about people, process and technology. We got Kathy Southwick, whose uh, Silicon Valley CEO Dan Sheehan was the CEO of Dunkin Brands and and he was actually the c 00 So it's C A CEO connecting the dots to the business. Daniel Dienes is the CEO of you I path. He's coming on a 2:47 p.m. East Coast time one of the hottest companies, probably the fastest growing software company in history. We got a guy from Bain coming on Dave Humphrey, who invested $750 million in Nutanix. He'll explain why and then, ironically, Dheeraj Pandey stew, Minuteman. Our friend interviewed him. That's 3 35. 1 of the sessions are most excited about today is John McD agony at 403 p. M. East Coast time, she's gonna talk about how to fix broken data architectures, really forward thinking stuff. And then that's the So that's the transformation track on the future of cloud track. We start off with the Big Three Milan Thompson Bukovec. At one oclock, she runs a W s storage business. Then I mentioned gig therapy wrath at 1. 30. He runs Azure is analytics. Business is awesome. Paul Dillon then talks about, um, IDs Avery at 1 59. And then our friends to, um, talks about interview Simon Crosby. I think I think that's it. I think we're going on to our next session. All right, so keep it right there. Thanks for watching the Cuban cloud. Uh huh.

>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. Welcome back to the Cubes Coverage of 80 Bus Reinvent 2020. This is the Cube virtual. I'm your host, John Ferrier normally were there in person, a lot of great face to face, but not this year with the pandemic. We're doing a lot of remote, and he's got a great great content guest here. Rebecca Weekly, who's the senior director and senior principal engineer at for Intel's hyper scale strategy and execution. Rebecca. Thanks for coming on. A lot of great news going on around Intel on AWS. Thanks for coming on. >>Thanks for having me done. >>So Tell us first, what's your role in Intel? Because obviously compute being reimagined. It's going to the next level, and we're seeing the sea change that with Cove in 19, it's putting a lot of pressure on faster, smaller, cheaper. This is the cadence of Moore's law. This is kind of what we need. More horsepower. This is big theme of the event. What's what's your role in intel? >>Oh, well, my team looks after a joint development for product and service offerings with Intel and A W s. So we've been working with AWS for more than 14 years. Um, various projects collaborations that deliver a steady beat of infrastructure service offerings for cloud applications. So Data Analytics, ai ml high performance computing, Internet of things, you name it. We've had a project or partnership, several in those the main faces on thanks to that relationship. You know, today, customers Committee choose from over 220 different instance types on AWS global footprint. So those feature Intel processors S, P. J s ai accelerators and more, and it's been incredibly rewarding an incredibly rewarding partnership. >>You know, we've been covering Intel since silicon angle in the Cube was formed 10 years ago, and this is what we've been to every reinvent since the first one was kind of a smaller one. Intel's always had a big presence. You've always been a big partner, and we really appreciate the contribution of the industry. Um, you've been there with with Amazon. From the beginning, you've seen it grow. You've seen Amazon Web services become, ah, big important player in the enterprise. What's different this year from your perspective. >>Well, 2020 has been a challenging here for sure. I was deeply moved by the kinds of partnership that we were able to join forces on within telling a W s, uh, to really help those communities across the globe and to address all the different crisis is because it it hasn't just been one. This has been, ah, year of of multiple. Um, sometimes it feels like rolling crisis is So When the pandemic broke out in India in March of this year, there were schools that were forced to close, obviously to slow the spread of the disease. And with very little warning, a bunch of students had to find themselves in remote school out of school. Uh, so the Department of Education in India engaged career launcher, which is a partner program that we also sponsor and partner with, and it really they had to come up with a distance learning solutions very quickly, uh, that, you know, really would provide Children access to quality education while they were remote. For a long as they needed to be so Korean launcher turned to intel and to a W s. We helped design infrastructure solution to meet this challenge and really, you know, within the first, the first week, more than 100 teachers were instructing classes using that online portal, and today it serves more than 165,000 students, and it's going to accommodate more than a million over the fear. Um, to me, that's just a perfect example of how Cove it comes together with technology, Thio rapidly address a major shift in how we're approaching education in the times of the pandemic. Um, we also, you know, saw kind of a climate change set of challenges with the wildfires that occurred this year in 2020. So we worked with a partner, Roman, as well as a partner who is a partner with AWS end until and used the EEC Thio C five instances that have the second Gen Beyond available processors. And we use them to be able to help the Australian researchers who were dealing with that wildfire increase over 60 fold the number of parallel wildfire simulations that they could perform so they could do better forecasting of who needed to leave their homes how they could manage those scenarios. Um, and we also were able toe work with them on a project to actually thwart the extinction of the Tasmanian Devils. Uh, in also in Australia. So again, that was, you know, an HPC application. And basically, by moving that to the AWS cloud and leveraging those e c two instances, we were able to take their analysis time from 10 days to six hours. And that's the kind of thing that makes the cloud amazing, right? We work on technology. We hope that we get thio, empower people through that technology. But when you can deploy that technology a cloud scale and watch the world's solve problems faster, that has made, I would say 2020 unique in the positivity, right? >>Yeah. You don't wanna wish this on anyone, but that's a real upside for societal change. I mean, I love your passion on that. I think this is a super important worth calling out that the cloud and the cloud scale With that kind of compute power and differentiation, you gets faster speed to value not just horsepower, but speed to value. This is really important. And it saved lives that changes lives. You know, this is classic change. The world kind of stuff, and it really is on center stage on full display with Cove. I really appreciate, uh, you making that point? It's awesome. Now with that, I gotta ask you, as the strategist for hyper scale intel, um, this is your wheelhouse. You get the fashion for the cloud. What kind of investments are you making at Intel To make more advancements in the clock? You take a minute, Thio, share your vision and what intel is working on? >>Sure. I mean, obviously were known more for our semiconductor set of investments. But there's so much that we actually do kind of across the cloud innovation landscape, both in standards, open standards and bodies to enable people to work together across solutions across the world. But really, I mean, even with what we do with Intel Capital, right, we're investing. We've invested in a bunch of born in the cloud start up, many of whom are on top of AWS infrastructure. Uh, and I have found that to be a great source of insights, partnerships, you know, again how we can move the needle together, Thio go forward. So, in the space of autonomous learning and adopt is one of the start ups we invested in. And they've really worked to use methodologies to improve European Health Co network monitoring. So they were actually getting a ton of false positive running in their previous infrastructure, and they were able to take it down from 50 k False positive the day to 50 using again a I on top of AWS in the public cloud. Um, using obviously and a dog, you know, technology in the space of a I, um we've also seen Capsule eight, which is an amazing company that's enabling enterprisers enterprises to modernize and migrate their workloads without compromising security again, Fully born in the cloud able to run on AWS and help those customers migrate to the public cloud with security, we have found them to be an incredible partner. Um, using simple voice commands on your on your smartphone hypersonic is another one of the companies that we've invested in that lets business decision makers quickly visualized insects insight from their disparate data sources. So really large unstructured data, which is the vast majority of data stored in the world that is exploding. Being able to quickly discern what should we do with this. How should we change something about our company using the power of the public cloud? I'm one of the last ones that I absolutely love to cover kind of the wide scope of the waves. That cloud is changing the innovation landscape, Um, Model mine, which is basically a company that allows people thio take decades of insights out of the mainframe data and do something with it. They actually use Amazon's cloud Service, the cloud storage service. So they were able Teoh Teik again. Mainframe data used that and be able to use Amazon's capabilities. Thio actually create, you know, meaningful insights for business users. So all of those again are really exciting. There's a bunch of information on the Intel sponsor channel with demos and videos with those customer stories and many, many, many more. Using Amazon instances built on Intel technology, >>you know that Amazon has always been in about startup born in the cloud. You mentioned that Intel has always been investing with Intel Capital, um, generations of great investments. Great call out there. Can you tell us more about what, uh, Amazon technology about the new offerings and Amazon has that's built on Intel because, as you mentioned at the top of the interview, there's been a long, long standing partnership since inception, and it continues. Can you take a minute to explain some of the offerings built on the Intel technology that Amazon's offering? >>Well, I've always happened to talk about Amazon offerings on Intel products. That's my day job. You know, really, we've spent a lot of time this year listening to our customer feedback and working with Amazon to make sure that we are delivering instances that are optimized for fastest compute, uh, better virtual memory, greater storage access, and that's really being driven by a couple of very specific workloads. So one of the first that we are introducing here it reinvents is the n five the n instant, and that's really ah, high frequency, high speed, low Leighton see network variants of what was, you know, the traditional Amazon E. C two and five. Um, it's powered by a second Gen Intel scalable processors, The Cascade late processors and really these have the highest all court turbo CPU performance from the on scalable processors in the club, with a frequency up to 4.5 gigahertz. That is really exciting for HPC work clothes, uh, for gaining for financial applications. Simulation modeling applications thes are ones where you know, automation, Um, in the automotive space in the aerospace industries, energy, Telkom, all of them can really benefit from that super low late and see high frequency. So that's really what the M five man is all about, um, on the br to others that we've introduced here today and that they are five beats and that is that can utilize up thio 60 gigabits per second of Amazon elastic block storage and really again that bandwidth and the 260 I ops that it can deliver is great for large relational databases. So the database file systems kind of workload. This is really where we are super excited. And again, this is built on Cascade Lake. The 2nd 10. Yeah, and it takes It takes advantage of many different aspects of how we're optimizing in that processor. So we were excited to partner with customers again using E. B s as well as various other solutions to ensure that data ingestion times for applications are reduced and they can see the delivery to what you were mentioning before right time to results. It's all about time to results on the last one is t three e. N. 33 e n is really the new D three instant. It's again on the Alexa Cascade Lake. We offer those for high density with high density local hard drive storage so very cost optimized but really allowing you to have significantly higher network speed and disk throughput. So very cost optimized for storage applications that seven x more storage capacity, 80% lower costs given terabytes of storage compared to the previous B two instances. So we will really find that that would be ideal for workloads in distributed and clustered file system, Big data and analytics. Of course, you need a lot of capacity on high capacity data lakes. You know, normally you want to optimize a day late for performance, but if you need tons of capacity, you need to walk that line. And I think the three and really will help you do that. And and of course, I would be absolutely remiss to not mention that last month we announced the Amazon Web Services Partnership with us on an Intel select solution, which is the first, you know, cloud Service provider to really launching until select solution there. Um, and it's an HPC space, So this is really about in high performance computing. Developers can spend weeks for months researching, you know, to manage compute storage network software configuration options. It's not a field that has gone fully cloud native by default, and those recipes air still coming together. So this is where the AWS parallel cluster solution using. It's an Intel Select solution for simulation and modeling on top of AWS. We're really excited about how it's going to make it easier for scientists and researchers like the ones I mentioned before, but also I t administrators to deploy and manage and just automatically scale those high performance computing clusters in Aws Cloud. >>Wow, that's a lot. A lot of purpose built e mean, no, you guys were really nailing. I mean, low late and see you got stories, you got density. I mean, these air use cases where there's riel workloads that require that kind of specialty and or e means beyond general purpose. Now, you're kind of the general purpose of the of the use case. This is what cloud does this is amazing. Um, final comments this year. I want to get your thoughts because you mentioned Cloud Service provider. You meant to the select program, which is an elite thing, right? Okay, we're anticipating Mawr Cloud service providers. We're expecting Mawr innovation around chips and silicon and software. This is just getting going. It feels like to me, it's just the pulse is different this year. It's faster. The cadence has changed. As a strategist, What's your final comments? Where is this all going? Because this is pretty different. Its's not what it was pre code, but I feel like this is going to continue transforming and being faster. What's your thoughts? >>Absolutely. I mean, the cloud has been one of the biggest winners in a time of, you know, incredible crisis for our world. I don't think anybody has come out of this time without understanding remote work, you know, uh, remote retail, and certainly a business transformation is inevitable and required thio deliver in a disaster recovery kind of business continuity environment. So the cloud will absolutely continue on continue to grow as we enable more and more people to come to it. Um, I personally, I couldn't be more excited than to be able Thio leverage a long term partnership, incredible strength of that insulin AWS partnership and these partnerships with key customers across the ecosystem. We do so much with SVS Os Vives s eyes MSP, you know, name your favorite flavor of acronym, uh, to help end users experience that digital transformation effectively, whatever it might be. And as we learn, we try and take those learnings into any environment. We don't care where workloads run. We care that they run best on our architecture. Er and that's really what we're designing. Thio. And when we partner between the software, the algorithm on the hardware, that's really where we enable the best and user demand and the end use their time to incite and use your time to market >>best. >>Um, so that's really what I'm most excited about. That's obviously what my team does every day. So that's of course, what I'm gonna be most excited about. Um, but that's certainly that's that's the future that you see. And I think it is a bright and rosy one. Um, you know, I I won't say things I'm not supposed to say, but certainly do be sure to tune into the Cube interview with It's on. And you know, also Chatan, who's the CEO of Havana and obviously shaken, is here at A W s, a Z. They talk about some exciting new projects in the AI face because I think that is when we talk about the software, the algorithms and the hardware coming together, the specialization of compute where it needs to go to help us move forward. But also, the complexity of managing that heterogeneity at scale on what that will take and how much more we need to do is an industry and as partners to make that happen. Um, that is the next five years of managing. You know how we are exploding and specialized hardware. I'm excited about that, >>Rebecca. Thank you for your great insight there and thanks for mentioning the Cube interviews. And we've got some great news coming. We'll be breaking that as it gets announced. The chips in the Havana labs will be great stuff. I wouldn't be remiss if I didn't call out the intel. Um, work hard, play hard philosophy. Amazon has a similar approach. You guys do sponsor the party every year replay party, which is not gonna be this year. So we're gonna miss that. I think they gonna have some goodies, as Andy Jassy says, Plan. But, um, you guys have done a great job with the chips and the performance in the cloud. And and I know you guys have a great partner. Concerts provide a customer in Amazon. It's great showcase. Congratulations. >>Thank you so much. I hope you all enjoy olive reinvents even as you adapt to New time. >>Rebecca Weekly here, senior director and senior principal engineer. Intel's hyper scale strategy and execution here in the queue breaking down the Intel partnership with a W s. Ah, lot of good stuff happening under the covers and compute. I'm John for your host of the Cube. We are the Cube. Virtual Thanks for watching

>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel and AWS. Yeah, welcome back to the cubes. Live coverage here for eight of us. Reinvent 2020. Virtual normally were on the show floor getting all of the interviews and talking about the top newsmakers and we have one of them here on the Cube were remote. I'm John for your host of the Cube. George Ellis Eros, GM and director of product manager for AWS. Talking about Wavelength George. Welcome to the remote Cube Cube. Virtual. Thanks for coming on. >>Good to be here. Thanks for having a John >>Eso Andy's Kino. One of the highlights last year, I pointed out that the five g thing is gonna be huge with the L A Wavelength Metro thing going on this year. Same thing. Mawr Proofpoint S'more expansion. Take us through what was announced this year. What's the big update on wavelength? >>Yes, so John Wavelength essentially brings a W services at the edge of the five G network, allowing our AWS customers and developers to reach their own end users and devices. Five devices with very low latency enabling a number off emerging applications ranging from industrial automation and I O. T. All the way to weigh AR VR smart cities, connected vehicles and much more this year we announced earlier in the year the general availability of wavelength in two locations one in the Bay Area and one in the Boston area. And since then we've seen we've been growing with Verizon or five D partner in the U. S. And and increasing that coverage in multiple off the larger U. S cities, including Miami and D. C in New York. And we launched Las Vegas yesterday at Andy's keynote with Verizon. We also announced that we are going toe to have a global footprint with K d D I in Japan launching a wavelength in Tokyo with SK detail SK Telecom in in South Korea or launching indigestion and with Vodafone in London >>so significant its expansion. Um, we used to call these points of presence back in the old days. I don't know what you call them now. I guess they're just zones like you calling them zones, but this really is gonna be a critical edge network, part of the edge, whether it's stadiums, metro area things and the density and the group is awesome. And everyone loves at about five gs. More of a business at less consumer. When you think about it, what has been some of the response as you guys had deployed mawr, What's the feedback? Um, can you take us through what the response has been? What's it been like? What have been some of the observations? >>Yeah, customers air really excited with the promise of five G and really excited to get their hands on these new capabilities that we're offering. Um, And they're telling us, you know, some consistent feedback that we're getting is that they're telling us that they love that they can use the same A W s, a P I S and tools and services that they used today in the region to get their hands on this new capabilities. So that's being pretty pretty consistent. Feedback these off use and the you know, Sometimes customers tell us that within a day they are able to deploy their applications in web. So that's a that's pretty consistent there. We've seen customers across a number of areas arranging, you know, from from manufacturing to healthcare to a ar and VR and broadcasting and live streaming all the way to smart cities and and connected vehicles. So a number of customers in these areas are using wavelength. Some of my favorite you know, examples are in in actually connected vehicles where you really can see that future materialized. You get, you know, customers like LG that are building the completely secularized vehicle, tow everything platform, and customers like safari that allow multiple devices to do, you know, talkto the Waveland, the closest Waveland Zone process. All of those device data streams at the edge. And then, um, it back. You know messages to the drivers, like for emergency situations, or even construct full dynamic maps for consumption off the off the vehicle themselves. >>I mean, it's absolutely awesome. And, you know, one of things that someone Dave Brown yesterday around the C two and the trend with smaller compute. You have the compute relationship at the edge to moving back and forth so I can see those dots connecting and looking forward to see how that plays out. Sure, and it will enable more capabilities. I do want to get your your thoughts, or you could just for the audience and our perspective just define the difference between wavelength and local zones because we know what regions are. Amazon regions are well understood all around the world. But now you have this new concept called locals owns part of wavelength, not part of wavelengths. Are they different technology? Can you just explain? Take him in to exclaim wavelength versus local zones how they work together? >>Yeah, So let me take a step back at AWS. Basically, what we're trying to do is we're trying to enable our customers to reach their end users with low latency and great performance, wherever those end users are and whatever network they're they're using to get connected, whether that's the five g mobile network with the Internet or in I o t Network. So we have a number of products that help our customers do that. And we expect, like, in months off other areas of the AWS platform, that customers are gonna pick and twos and mix and match and combine some of these products toe master use case. So when you're talking about wavelength and local zones, wavelength is about five g. There is obviously a lot off excitement as you said yourself about five g about the promise off those higher throughput. They're Lowell agencies. You know, the large number of devices supported and with wavelengths were enabling our customers toe to make the most of that. You know, of the five G technology and toe work on these emerging new use cases and applications that we talked about When it comes to local zones, we're talking more about extending AWS out two more locations. So if you think about you mentioned AWS regions, we have 24 regions in another five coming. Those are worldwide and enabled most of our customers to run their workloads. You know all of their workloads with low latency and adequate performance across the world. But we are hearing from customers that they want AWS in more locations. So local zones basically bring a W S extend those regions to more locations by bringing a W s closer to population I t and industrial centers. You know, l A is a great example of that. We launched the lay last year toe to local zones in L. A and toe toe a mainly at the media and entertainment customers that are, you know, in the L. A Metro, and we've seen customers like Netflix, for example, moving their artist workstations to the local zones. If they were to move that somewhere, you know, to the cloud somewhere further out the Laden's, he might have been too much for their ass artists work clothes and having some local AWS in the L. A. Metro allows them to finally move those workstation to the cloud while preserving that user experience. You know, interacting with the workstations that's happened. The cloud. >>So just like in conceptualizing is local zone, like a base station is in the metro point of physical location. Is it outpost on steroids? Been trying to get the feel for what it is >>you can think off regions consisting off availability zones. So these are, you know, data center clusters that deliver AWS services. So a local zone is much like an availability zone. But instead of being co located with the rest of the region, is in another locations that, for example, in L. A. Rather than being, you know, in in Virginia, let's say, um, they are internally. We use the same technology that we use for outpost, I suppose, is another great example of how AWS is getting closer to customers for on premises. Deployments were using much of the same technology that you you probably know as Nitro System and a number of other kind of technology that we've been working on for years, actually, toe make all this possible. >>You know, anyone who's been to a football game or any kind of stadium knows you got a great WiFi signal, but you get terrible bandwidth that is essentially kind of the back hall component for the telecom geeks out there. This is kind of what we're talking about here, right? We're talking about more of an expansionary at that edge on throughput, not just signal. So there's, you know, there's there's a wireless signal, and it's like really conductivity riel functionality for applications. >>Yeah, and many. Many of those use case that we're talking about are about, you know, immersive experiences for for end users. So with five t, you get that increasing throughput, you can get up to 10 GPS. You know, it is much higher with what you get 40. You also get lower latents is, but in order to really get make the most out of five G. You need to have the cloud services closer to the end user. So that's what Wavelength is doing is bringing all of those cloud services closer to the end user and combined with five G delivers on these on these applications. You know, um, a couple of customers are actually doing very, very, very exciting things on immersive application, our own immersive experiences. Um, why be VR is a customer that's working on wavelength today to deliver a full 3 60 video off sports events, and it's like you're there. They basically take all of those video streams. They process them in the waving zone and then put them back down to your to your VR headset. But don't you have seen those? We are headsets there, these bulky, awkward, big things because we can do a lot of the processing now at the edge rather than on the heads of itself. We are envisioning that these headsets will Will will string down to something that's indistinguishable potential from, you know, your glasses, making that user experience much better. >>Yeah, from anything from first responders toe large gatherings of people having immersive experiences, it's only gonna get better. Jorge. Thanks for coming on. The Cuban explaining wavelength graduates on the news and expansion. A lot more cities. Um, what's your take for reinvent while I got you? What's the big take away for you this year? Obviously. Virtual, but what's the big moment for you? >>Well, I think that the big moment for me is that we're continuing to, you know, to deliver for our customers. Obviously, a very difficult year for everyone and being able to, you know, with our help off our customers and our partners deliver on the reinvent promised this year as well. It is really impressed for >>me. All right. Great to have you on. Congratulations on local news. Great to see Andy pumping up wavelength. Ah, lot more work. We'll check in with you throughout the year. A lot to talk about. A lot of societal issues and certainly a lot of a lot of controversy as well as tech for good, great stuff. Thanks for coming. I appreciate it. >>Thanks for having me. Thanks. >>Okay, That's the cube. Virtual. I'm John for your host. Thanks for watching. We'll be back with more coverage from reinvent 2023 weeks of coverage. Walter Wall here in the Cube. Thanks for watching. Yeah,

>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel and AWS. Yeah. Welcome to the cubes. Virtual coverage of 80 was reinvent 2020. I'm John for your host. We are the Cube virtual not there in person, but we're doing remote, as is a W s. Although there there on stage live. And we're here with Dave Brown, Vice President of the Sea, to compute. Great to see you again. Great keynote last night, kicking off everything for the opening night. Great stuff. >>Yeah, well, John, it's always good to be on the Cuban. Thanks for having me back. >>You know, you're in the hot seat these days in the sense of there's so much going on. I mean, Andy, that could do a three week announcement. Keynote. It was like in three hours of nonstop you take a break to go The bathroom. You missed two announcements, right? So, so much going on. You opened up reinvent 2020 with your announcement ec2 of mac instances. And there was a ton of compute. And the theme was really you know, reinventing and reimagining compute both. I want to get into that. But let's start with the hard news. Tell me about the Mac instances. Um, you had a great use case there, That kind of illustrated in your talk. But where is this coming from? It's obviously Mac developers are big, but is this market something that you guys saw from customers or was a necessity? Take us through the thinking around the Mac instance. Easy to for Mac instances, um are going for >>absolutely absolutely So I mean me personally Matthews, a longtime Matthews that we've often thought about. Could we ever bring Mac OS to AWS? Right This thing we've spoken about on and off for many, many years and, you know, it was about a year and a half about two years ago. You know, we're always hearing new use cases from customers, and that's kind of what we're doing. So we're saying what a customer is trying to do that we don't support today, and how would we support them in that? And we started a year from customers that they have been able to successfully migrate all of the AWS workloads to AWS. So most of the server workloads to AWS and then they've got this Mac bold workload that they just weren't able to bring to us. We just didn't support Max into. It was a great example who I had on stage with me last night where you know, they over the last couple of years have been moving Ah, lot of their workloads to AWS. And and then they had these Mac money sitting around that they had to manage themselves. And so we said, could we actually do this? And so that was the one thing the customer ask. And the other thing that we realized was with the nitro system in the work that we've been doing there over the last, you know, six years, seven years since 2012, Really? And just where we are from the From nitro system point of view, we were able to wrap a Mac money without making any changes to it with nitro cards plugging a FireWire to the thunderbolt port and and and actually control that device. And so it means that you get the best of Apple hardware, which is what Apple's all about is the hard way that they make and the way that their software works with it. together with the nitric system and the cards around that inte integrating with the rest of AWS. So we're giving you, you know, high speed secure networking. We're giving you great access to elastic block store Was just integrates natively into the magma Nias? Well, a So we realized that the technology was there, the customer asked, was there and then obviously went to Apple and worked with them very closely to make it happen. And so that's kind of how it all came together. And I was incredibly excited to announce it last night. And the feedback today has just been amazing. A lot of excitement. >>Yeah, take me through the use case because, you know, obviously there's two trends going on. There's custom chips and server list kind of thing happening where you guys, I mean, really doing a good job of the eye as layer, innovating there and then platform as a service. All that software on top. I totally get that. You could see that happening. Chips custom ships to Intel, A, M, D. And others. Now you got Mac hardware. Where's the innovation use case because one would start would say, Hey, why don't you care about whether it's Mac hardware or not. Because I'm server lists. I should be programming the infrastructure actually be getting compute generically. Where does the Mac tying come in? Because that's the first question I was thinking of was, I'm a Mac user. I love Mac, but I'm also got some windows actually going on now. And ultimately, do I really care if it's compute? What's your reaction to that? Yeah, >>absolutely. I mean, if you look at Apple's ecosystem today, right, they have millions of applications in the APP store. They have 28 million developers worldwide, actually building those applications just incredible. And many of those applications, all these millions in the In the APP store itself, there's many more applications that are both by enterprises and companies, right? We have an application that we use internally at Amazon is available on my phone. That's not in the APP store, and you know, many companies are doing that and to build applications for the ecosystem, they have to be built on Mac hardware. And that's just how Apple works, right? So if you wanna build for iPad or iPhone or even Apple TV and Apple watch, you have to build those applications on a Mac. And so what we see companies doing is, you know, the old develop a meme off. Well, it works on my computer, right when you build something, you don't wanna be bullied on your local laptop for production. So they typically have a fleet of machines that they either under somebody's desk or in a data center somewhere that they use for for building these Mac applications. And so it's not possible to build a Mac application on anything other than a Mac itself. And we when we looked at it, we really didn't feel that virtualization made sense, right? Apple? I mean, they have some some virtualization that they're able to do within Mac OS itself. But if you think about how do we solve the customer use case, it's really bringing apple hardware too easy to to solve the problem and giving customers that exactly same exact same experience that they have on prep. And if you look into it like that, models just worked right. We gave them better access. Uh, you know, they've been using that data which you normally say, Hey, don't don't run production workloads on a beta. But you know, I found out if I interview with the BPS at Intuit critique that they've actually moved 80% of their production pulled wear clothes too easy to already to run on the Mac instances. And so that, and that's in the space of two months. And so, just as seamless ability to move because it's the same hardware is kind of what we were going >>after. Great, thanks for sharing that and say, one thing I wanna point out is Mac does have their own chips as well. They're going custom chips. Amazon's going custom chips. And I think I think you nailed what I was trying to understand, which is this developer community for Mac. And there's some things that are purpose built for Mac devices. So on Mac ecosystem, get the marketplace as well as you know, that that was the hardware PCs and devices, and they're only doing more and more. So this brings me to the i o t. Um, piece of it, because Apple does make devices that people wear and I watch is, um, iPhones. I mean, they're not computers anymore. They're everything. So this kind of brings up the edge conversation. So whether it's an iPhone or a five G in a Metro or I'm a stadium watching a football game and there's some sensor camera vision industrial thing there, this is the new normal. This is where you guys are kind of eating, eating up the software side that that business, because there's new capabilities here. Can you explain how compute he's, particularly C two gets to the edges because no one wants to move data around. They wanna move, compute, not data, because data is expensive and it's and it's fat. So we we talked about that we keep on years ago, but you gotta move. Compute. So how does that work Take us through your vision? >>Absolutely. And this is This is a massively growing area for us. I mean, you mentioned Apple's new M one silicon Apple silicon that they just launched a swell, and we're super excited about Apple's been doing there. We've been doing the same thing with our grab. It's on two processor and really saving customers. An incredible amount on price performance. Tried customers moving and getting 40% improvement and price performance just by moving to grab it on too. It's just incredible. Um, in terms of the edge, you know, we started this journey. We started this journey quite some time ago and bringing, you know, Lambda functions to cloudwatch and things like that. How do we bring compute to the edge? We took a look at five G, which I think it's gonna feel a lot of this right if if we look at our cell phones today was actually just talking to the Apple team yesterday with the iPhone, only came out, you know, 13 years ago. It's kind of amazing to think just how much progress we've had and what four g did for the device that's in our pocket in terms of, you know, just how much we rely on that today and what we get. Well, five g is just a step function in both in terms of latency, but also in terms of throughput. And so, you know, one of the projects we announced last year with Verizon and we now Andy announced this morning we're also gonna be rolling out with Katy D I and SK Telecom and Vodafone next year. Um is a project always like that brings aws compute to the edge of the telco network. And so with Verizon, we now have eight locations around the U. S. Where we have AWS compute capacity. And what I mean by that is literally C five instances uh, G four GPU instances for customers that want to do influence and graphics processing on the edge. And that's embedded into the five G network on DSO customers. You know, we've got a number of customers that are doing a lot of interesting things with five G in the sports area, where they have five G cameras that are, you know, submitted directly to wavelength. We no longer need to drive a truck to a stadium to record a game. You just have five G cameras, um, to, you know, automated factories where they doing robotics in factories and yet really low latency. And they don't want the computer, the factory they wanted in five G and so just exciting area for us. That's growing really, really quickly. Thea Other thing we did is obviously with local zones. We launched our first local zones in L a X last year, Los Angeles on that's being used by the movie industry, so you know right now is a lot of exciting up and running off the covert and shut down for a period of time and filming the next release of all of our favorite episodes and across all of these various streaming platforms. And a lot of that work is actually the post production is being done on on AWS on G four instances within the Los Angeles region. So, you know, very low agency for colorization animation, special effects, all that sort of things happening there. What we heard from a lot of customers was they loved outposts as well, which is our offering to put a server into a data center. And you heard from riot games in Andy's Keynote, where they actually bought a number of outposts and put them all over the U. S. And also other places of the world to really lower the Leighton see for their latest game. And so what Andy also just announced is the availability off three additional local zones. So Atlanta, Miami and Houston Sorry, Boston Miami in Houston available today, and then additional 12 available local zones next year, and what that does is that sort of spreads AWS capacity compute capacity at the edge in all of our major metropolitan hubs all of their capacities on the AWS backbone as well, but brings customers that low latency connectivity that they're looking for. Gaming developers were, you know, every every millisecond counts in terms of gameplay on so super excited to be going after that use case, which I think, you know, it's difficult to tell what the next 10 years is gonna be like. But I think Layton's he's gonna have a big part to play in the types of applications we see on our phones going forward. >>Great stuff, final question for you as we wrap up, obviously with virtualization with virtualization. But you know, the cove it is. And he pointed out, People are gonna change, is gonna be winners and losers. He kind of clearly pointed out, But the people who do lean into the cloud who have been on the cloud or taking advantage of the tail winds of cove in because of the capabilities there are two bills air higher, and you should be happy for that. But they're also gonna have more demand for you to say, Hey, I need more services. So How do you speak to those people who are leaning in who are leveraging, more, compute? What should they be looking at? What kinds of services should be connecting into compute? How should they be thinking about the future of compute so that they can take advantage of those capabilities? The lower costs, higher performance? What things are complementary for these customers as they come in, not toe dip in the water kind of things against really driving. And what do they need? >>Yeah, absolutely. And this has been a big focus on us. You know, things has bean, as I cover in my keynote, which leadership session that I'm doing tomorrow Wednesday. You know, a lot of this year has been helping customers through covert and what covert is meant for their business. Whether that is cost savings for many of them or whether it's just demand, you know that they've never experienced are expected before. I mean, we've been incredibly hard at work in servicing those customers, right? I actually catch up with Scott Sikora. In my keynote. He leads our capacity team. We talked through what it meant and how we actually provided the capacity that our customers needed during Colbert Times. But for a customer moving to us, the first thing is obviously we wanna find ways to make them very successful in the cloud, but more importantly, lower price performance for them. So what we wanted to do is give them the best possible performance that's available at the lowest possible cost. And if you look at a number of the announcements that Andy made today, you know whether it's our latest graviton processor where you can, you know, when you move to arm. I think customers often overestimate how much work it will be to move to arm. And when I talked to them after they have moved, that's ahead. Wasn't actually that much work. We actually got it up and running relatively quickly. So what's simpler than people expect? But that's an opportunity to save 40% on price performance. You know these new newer workloads like our graphics. We just launched a new G four a D, which is an AMG based GPU solution, the first time we have had an AMG GPU on the EEC too. And that's also looking to say, if you know upwards of 40% price performance of other GPU offering so just incredibly exciting for graphics, work, clothes and then in the machine learning space. Like I think, if you know, machine learning is just become the new normal, like everybody is doing it. And you know, just three years ago, everybody was thinking about whether they should do it. How would how they would use it Now that it's a lot of companies are doing it. It's really How do you How do I use it more? And that comes down to again saving costs. And so what we know with without Inferential Chip and then the new Habbaniya chip we just announced it with with the work with Intel that we're doing and then a new trainee, um, ship for training, training. We're really working to lower the cost of machine learning. And so, like we've seen many customers like Alexa was a great use case the other day. Being able to lower the cost of inference for Alexa by 35% again just helps customers, you know, move to the cloud. But I mean, just generally, you know, we're trying to support customers everywhere where there were, you know, if there are many customers are in their own data centers looking to move to AWS. You know, we have great models that can support them with our existing compute. A new savings plan offering we announced last year just great for saving costs on getting the price down So a lot. You can look at it. You know, I could go on forever. Really. It >>Certainly it's certainly is MAWR. We'll we'll do a deeper dive follow up after reinvent, but it is a wake up call. As I wrote in my post, um, for a cloud on Finally, I've been saying this for years. Horizontal scalability is a disruption on the infrastructure side, but you've got vertical specialization with data to create great modern apse of machine learning. And I actually playing out in full display here is Andy said, um, net right now. So all this benefits and all these opportunities to disrupt horizontally and then leverage the data all tied together, all coming together. You're clear. Leading the team. Great Brown, vice president of E C. Two in charge of the team that's driving the future. Compute. Thanks for coming on The Cube Cube Live coverage. Thanks. >>Thanks for having me. >>Okay. I'm John for the Q back for more live coverage after this short break

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

>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. Everyone welcome back to the cubes coverage of a Davis reinvent 2020. It's a virtual conference this year. This is the Cube virtual. I'm John for your host. We're not in person this year. We're doing it remote because of the pandemic, but it's gonna be wall to wall coverage for three weeks. We've got you covered. And we got a great interview signature interview here with Two Cube alumni's Matt Garment, vice president of sales and marketing at AWS, formerly head of the C two and, of course, Sanjay Poon in CEO of VM Ware. Both distinguished guests and alumni of the Cube. Good to see you, Sanjay. Matt. Thanks for coming on. Uh, let's just jump into it. How are you guys doing? >>Great. Exciting. Excited for reinvent and, uh, excited for the conversation. So thanks for having us on. >>Yeah, I'm great to be here. We are allowed to be 6 ft away from each other, so I came in, but super excited about the partnership. Matt and I have been friends for several years on. You were so excited about another reinvent, the different circumstances doing all virtual. But it's a fantastic partnership. >>You know, I look forward to reinvent one of my most favorite times of the year, and it's also kind of stressful because it's backs up against Thanksgiving. And but, you know, you get through it, you have your turkey and you do the Friday and you guys probably Kino, perhaps, and all things going on and then you go to Vegas is a few celebration. We're not doing it this year. Three weeks eso There's gonna be a lot of big content in the first week, and we're gonna roll that out. We're gonna cover it, But it's gonna be a different celebrations so mad. I know you're in front center on this, Uh, just real quick. What are what do you expect people to be doing on the system? What's your expectations and how is this all going to play out? >>Yeah, you know, it's gonna be different, but I think we have Justus much exciting news as ever. And, you know, it's gonna be over a three week period. I think it actually gives people an opportunity to Seymour things. I think a lot of times we heard from, uh, from customers before was they love the excitement of being in Vegas, and we're not gonna be able to exactly replicate that, but But we have a lot of exciting things planned, and it'll enables customers to get two more sessions Seymour of the content and really see more of the exciting things that are coming out of AWS. And there's a lot s over the three weeks I encourage folks toe to dive in and really learn things is a This is the opportunity for customers to learn about the cloud and and some really cool things coming out. We're excited. >>Well, congratulations on all the business performs. I know that there's been a tailwind with the pandemic as people wanna go faster and smarter with cloud and on premise and Sanjay, you guys have a great results as well. Before I get into some of my point. Of course, I have a lot of I know we don't a lot of time, but I want to get a nup date on the relationship we covered in three years ago when, uh, Andy Jassy and team came down to San Francisco with Pat Gelsinger, Raghu, Sanjay. All this went down. There were skeptics. Relationship has proven to be quite strong and successful for both parties because you guys take a minute so you will start with you and talk about the relationship update. Where you guys at, What's the status? The relationship people want to know. >>Yeah, I think John, the relationship is going really well. Uh, it's rooted in first off, a clear understanding that there's value for customers. Um, this is the best of the public cloud in the private cloud in a hybrid cloud journey. And then, secondly, a deep engineering effort. This wasn't a Barney announcement. We both decided Matt in his previous role, was running a lot of the engineering efforts. Uh, we were really keen to make this a deep engineering effort, and often when we have our connected Cube ers, we're doing one little later this afternoon. I often can't tell when a Amazon personal speaking when a VM ware person speaking we're so connected both the engineering and then the go to market efforts. And I think after the two or three years that the the solution has had to just state and now we have many, many customers started to get real value. The go to market side of the operations really starting take off. So we're very excited about it. It is the preferred and the best offering. We think in the market, Um, and for Vienna, where customers. We message it as the best place for Vienna workload that's running on V sphere to move into Amazon. >>Matt, what's your take on the relationship update from your >>standpoint, I agree with Sanjay. I think it's been it's been fantastic. I think like you said, some folks were skeptical when we first announced it. But But, you know, we knew that there was something there and I think as we've gotten even deeper into this partnership, Onda figured out how we can continue Thio integrate more deeply both with on Prem and into the cloud. Our customers have really guided us and I think that's that's enabled us to further strengthen that partnership, and customers continue to get more excited when they see how easy it is to move and operate their VM where in their V sphere workloads inside of a W S on how it integrates well with the AWS environment, Um on they can still use all of the same functions and capabilities that they they built their business on the inside of the sphere. We're seeing bigger and bigger customers really just embrace us, and the partnerships only grown stronger. I think you know, Sanjay and I, we do joint sales calls together. I think that the business has really, really grown. It's been it's been a fantastic partnership. >>I was talking about that yesterday with being where in eight of us teams members as well. I want to get your thoughts on this cultural fit. Sanjay mentioned e think the engineering cultures air there. The also the corporate culture, both customer focused. Remember Andy Jassy told me, Hey, we're customer focused like you're making big. You make big, big statements Public Cloud and now he goes toe hybrid. He's very reactive to the customers and this is a cultural thing for me, was an VM where what are the customers saying to you now? What are you working backwards from this year? Because there's a lot to work backwards from. You got the pandemic. You got clear trends around at modernization automation under the covers, if you will. And you got VM Ware successful software running on their cloud on AWS. You got other customers. Matt, what's the big trends right now that are highlighted in your in your world? >>Yeah, it's a good question. And I think you know, it really does highlight the strength of this this hybrid model, I think, you know, pre pandemic. We had huge numbers of customers, obviously kind of looking at the cloud, but some of the largest enterprises in the world, in the more traditional enterprises, they really weren't doing a lot, you know, they were tipping their toes in, and some of the forward leaning enterprises were being really aggressive about getting into the cloud. But, you know, many people were just, you know, kind of hesitant or kind of telling, saying, Yes, we'll go learn about the cloud. I think as soon as the pandemic hit, we're really starting to see some of those more traditional enterprises realize it's a business imperative for them. Toe have ah, big cloud strategy and to move there quickly, and I I think our partnership with VM Ware and the VMC offering really is allowing many of these large enterprises to do that. And we see we see big traditional enterprise is really accelerating that move into the cloud. It gives them the business agility they need that allows them to operate their environment in uncertain world that allows them to operate remotely on DSO. We're seeing all of those trends, and I think I think we're going to continue to see the acceleration of our joint business. >>Sanjay, your thoughts. Virtualization has hit ah, whole nother level. It's not like server virtualization like it's cultural, it's societal. What's your take? >>Yeah, I think you know, virtualization is that fabric that connects the private cloud to the public cloud. It's the basis for a lot of the public cloud infrastructure. So when we listen to customers, I think the first kind of misconception we had to help them with was that it had to be choice between one or the other and being able to take Vienna Cloud, which was basically compute storage networking management and put that into the bare metal capabilities of AWS, an engineer deep into the stack and all the services that Matt and the engineering team were able to provide to us now allows that sort of application that sitting on premise to move like a house on wheels into a W s. And that's a beautiful experience we've even shown in in conferences, like a virtual reality moving of a workload, throwing a workload into a W s and a W s catches it. It's a good metaphor in a good way to think of those things that VM were like like the most playing the customers like like the emotional moves nicely. But then the other a misconception we had thio kind of illustrate to our customers was that you could once you were there, uh, let's take that metaphor. The house and wheels renovate the house with all the I think there's probably $200 services that Amazon AWS has. Um, all of a I data services be I I o t. Whatever. You have all the things that Andy and Matt kind of talk about in any of the reinvents. You get to participate and build on those services so it has. It's not like you take this there, and then it's sort of a dead end. You get to modernize your app after you migrated. So this migrate and modernize motion is something that we really start to reinforce with our customers, and it doesn't matter which one you do. First, you may modernize first and then migrate or migrate first and modernize. And in the modernized parts we've also made some significant investments and containers and Tan Xue. We could talk about that at this time and optimizing that for both the private cloud world and the public cloud world like Amazon. >>You know, Matt, this is something that we're talking about a lot this week. These few weeks with reinvent going on this everything is a service trend has a lot of things under it, like automation. Higher level services. One of the critics would say, Three years ago, when this announcement relationship between VM Ware enables came out was, Oh, Amazon's is going to steal all of their customers and VM we're screwed. Turns out that's not the case. You guys are both winning and rising. Tide floats all boats because VM Ware has an operator kind of market. People are operating their business with VM ware and they're adding higher level services with Cloud native, So it Xan overall win, so that was proven false. So clearly the new trend You guys are gaining a large enterprises that wanna go faster, have that existing operator kind of legacy stuff or pre conditions of the enterprise like VM ware. So how do you guide the technology teams and how do you look at this? Because this is where customers are like saying, Hey, I cannot operate my business house on wheels, modernize it in real time, come out a covert with the growth strategy and go faster your interview on all that. >>So I think you're exactly right. I think we see a lot of customers who see I don't want to necessarily lose what I have. I want to add on top of that, And so whether that's adding machine learning and kind of figuring out how they can take their data from various different data silos and put them into a large data lake and gets the machine learning insights on top of that, whether they want to do analytics, um, whether they want to d i o T. Whether they want to modernize two containers, I think there's there's a whole bunch of ways in which customers are looking at that. But you're absolutely right. It's not a I'm gonna go from a to B. It's I'm gonna take a and add B to it and, um, we see that's that's over and over again. I think what we've seen from customers doing it and, um and they're really taking advantage of that, right? And I think customers see all the announcements that we're making a reinvent over the next three weeks, and they wanna be able to take advantage of those things right? It's it's they want to be able to add that onto their production environment. They want to take a lot of the benefits they've gotten from their VM Ware environment, but also add some of these innovations from AWS. And I think that Z that really is what we focus on is what our engineering teams focus on. You know, we have joint engineering efforts to figure out how we can bridge that gap, right, so that they BMR environments can very easily reach into their A W s environment and take advantage of all the new services and offerings that we have there. So, um, that's that's exactly what our joint teams really pushed together. >>Sanjay, I wanna get your thoughts on this and we talk. Two years ago, we had a conversation with Cuba. I ask you since this is a great move for VM Ware because it simplifies the messaging and clears up the whole cloud strategy. And you had said something that I'm gonna bring this back today. You said it's not just simplifying the messaging to customers about what we're gonna do in the cloud. It's going to simplify their life is gonna make things easier. Have them set up for better bitterness. Goodness down the road. Can you take him in to explain what that what that goodness was? What came out of the simplicity of the messaging, the simplicity of solution? Where are we now? How does that all kind of Italian together? Can you take him in to explain that? >>Yeah, I think when the history books are written, John, um, this partnership will be one of the most seminal partnerships because from VM Ware's perspective, maybe a little from Amazon Let Matt talk about if you feel the same way. This is a headwind turning into a tailwind. I think that's sort of narrative that VM ware in Amazon were competing each others that maybe was the early story. In the early days of A W s Progress and VM, we're trying to build our own public cloud and then divesting that, uh, Mats, a Stanford grad. I'm a Harvard grad. So one day there'll be a case study. I think in both schools about how this partnership we have a strong partnership with deadlines, sometimes joke. That's a little bit of an arranged marriage we don't have. We didn't have much saying that because AMC Bardhyl so that's an important partnership. But this one we have to work hard to create. And I tell our customers, Del on AWS are top partners. And as you think about what we've been able to do here, the simplicity to the customer for you, as you describe this, is being able to really lower cost of ownership in any process, in terms of how they're building and migrating APs to be the best optimization of hardware, software and services. And the more you could make that better, simpler, cheaper through software and through the movement to the cloud. Um, I think customers benefit, and then you know, Of course, the innovation machine of both companies. Uh, Amazon's really building. I mean, every time I go to read and I'm just amazed at the Yeah, I think it's a near 200 services that they're building in all of these rich layers. All of those developers, services and, I don't know, two million customers. The whatever number of people that have it reinvent this year get to participate on top of all the applications and the virtualization infrastructure we built over the 20 years of our history. Uh eh. So I hope, you know, as we continue do this, this is all now, but customers success large and small customers being able to. And I'm very gratified to three years since we announced this that we're getting very good customer traction. And for us, that's gonna be a key focus to the reinvent, uh, presence we >>have at their show. It really just goes to show you when you built, when you invest in relationships up and down the spectrum from engineering Ah, product and executive. It kind of does pay off. Congratulations to you guys on that matter. I want to get your thoughts on where this kind of going because you're talking about the messaging from VM ware in the execution that comes behind it is the best, you know, Private public cloud hybrid cloud success. There's momentum there. What are the customers saying to you when you look at customer proof points? Um, what do you point to? Because you're now in charge of sales and marketing, you have to take now the installed base of Amazon Web services, which is you got the Debs and startups and, you know, cloud scale to large enterprises. Now you got the postcode growth. Go fast, cloud scale. You've got a huge customer base. You've got a target. These guys, you gotta bring this solution. What are they saying about the VM ware AWS success? Can you share some? Some >>days I'd be happy to, I think I mean, look, this this is what gets, uh, us excited. I know Sanjay gets just as excited about this. It's and it's really it's resonating across our customer base. You know, there's folks like S and P Global who's a large enterprise, right? They had, uh, they had a hardware procurement cycle. They were looking at them on front of implementation and they looked at a WSMV I'm wearing. They said, Look, we want to migrate. All of our applications want to migrate. Everything we have into the cloud, I think it was 150 critical financial applications that they seamlessly migrated with zero downtime Now all running on BMC in the cloud. Um, you look at governments, right? We have thing folks like the Scottish government on many government customers. We have folks that are like Penny Mac and regulated industries. Um, that really took critical parts of their application. Andi seamlessly migrated them to to A W S and BMC, and they looked at us. And when we talk to these customers, we really say, like, where is the best place for us to run these v sphere workloads? And, um and the great thing is we have a consistent message. We we know that it's the right that that aws nbn where's the best place to run those VCR workloads in the cloud? And so as we see enterprises as we see regulated industries as we see governments really looking to modernize and take advantage of the cloud, we're seeing them move whole swaths of their applications. And this is not just small parts. These are the critical really mission critical applications that they know that they need to get out flexibility on, and they want to get that agility. And so, um, you know, there's been a broad swath of customers like that that have really moved large large pieces of their application in date of us. So it's been fun to see. >>And John, if I might add to that what we've also sought to do is pick some of those great customers like the ones that Matt talked about and put them on stage. Uh, VM world. In previous, we had Freddie Mac and we had, you know, I h s market and these are good examples in the few that Matt talked about. So I'm super excited. I expect there'll be many more reinvent we did. Some also be in world. So we're getting these big customers to talk about this because then you get the 10 phenomenon. Everyone wants to come to this, tend to be able to participate in that momentum. The other thing I'm super excited about it started off as a US phenomenon. Just the U s customers, but I'm starting to see riel interest from European and a p J customers. Asia Pacific customers in countries Australia, Japan, U. K, France, Germany. So this becomes a global phenomenon where customers understand that this doesn't have to be just the U. S centric customers that are participating. And then that was, for me a very key objective because the early customers always gonna start in the Geo where, um, you know, there's the most resonance with the public cloud. But now we're starting to see this really take off in many parts of the world. >>Yeah, that's a great point at something we can talk about another conversation. Maybe we will bring you guys into some of our live check ins throughout the three weeks we're doing here. Reinvent. But this global regional approach Matt has been hugely successful. Um, we're on Amazon. We have Q breaches because by default, we're on top of Amazon. You're seeing companies build on top of Amazon. Look a snowflake. The largest I po in the history of Wall Street behind VM Ware. They run Amazon, right? And I will probably have other clouds to down the road. But the point is you guys are enabling this. >>Yeah, global. And it's it is one of the things that we hear from customers that they that they love about running in the cloud is that, you know, think about if you had Teoh, you know you mentioned snowflake. Imagine if your snowflake and you have to go build data centers everywhere. If you had to go roll out toe to Europe and then you have to build data centers in Germany and then you have to build data centers and the U. K. And then you had to go build data centers in Australia like that would be an enormous cost and complexity, and they probably wouldn't do it frankly, at their early stage, Um, you know, now they just they spin up another stack and their ableto serve their customers anywhere around the world. And we're seeing that from our VM or customers where, you know, they actually are spinning up brand new vmc clusters, uh, where they weren't able to do it before, where they either had toe operate from a single stack. Um, now they're able to say, you know what? I'd love to have Ah, vm or stack in Australia, and they're able to get that up and running quickly. And so I do think that this is actually enabling new business it z, enabling customers to think about. How do they put their computer environment close to where their end users are or where they need that computer environment to be sometime just close to end users? Sometimes it's for data residency requirements, but it really kind of enables customers to do that. Where think about in a cove in world, if you have to go launch a data center in a new country, you probably just I mean, maybe it wouldn't even be possible to do that way are today. And now it's just FBI calls. So >>I mean, your point about going slows in an option. The imperative we have, you know, even expression here inside silicon and on the Cube team. Is there a problem? Yes. Is it important? Yes. What are the consequences if you don't solve the problem? Can you quantify those consequences? And then you gotta look at solutions and look at the timing. So you got timing. You got cost. You got the consequences of not doing it. And speed all those things. No. No one's gonna roll out of data center in six months if they if they tried so again, Cloud. And I'm trying to come into play here. You gotta operate something. It's a hand in the glove, its's. I'm seeing the cream rise to the top with covert. You're seeing real examples of riel scale riel value problems that you solve that important that have consequences that can be quantified. I mean, it's simple. Is that >>you know, John, I was gonna say, in addition to this via McLeod on aws were also pretty, you know, prominent AWS customer for some of our services. So some of the services that we've seen accelerate through Covic Are these distributed workforce security capabilities? Eso we resume internally, that obviously runs on AWS. But then surrounding that with workspace one and carbon like to secure the laptop that goes home. Those services of us running A W. S two. So this is one of those places where we're grateful that we could run those cloud services because we're also just like Snowflake and Zoom and others. Many of the services that we build that our SAS type services run on Amazon, and that reinforces the partnership for us. Almost like a SAS customer. >>Well, gentlemen, really appreciate your insight. As always, a great conversation. We could go for another hour. You guys with leaders of your organizations, you're at the front lines as managing through the pandemic will have you guys come into our check ins throughout the three weeks now here during reinvent from or commentary. But I'd like to end this segment by sharing. In your opinion, what is the most important thing that the audience should pay attention to this year at Reinvent? I know there's a lot of things going on. It's three weeks, not four days. It's so it's longer, but still there's a lot of announcements, man, on your side vm where you got the moment and you got your announcements. What should customers pay attention to this reinvent Virtual 2020. >>So, do you wanna go first? >>No, man, it's your show. You go first. E >>I would encourage folks toe Really think about and plan the three weeks out. This this is the opportunity to really dive in and learn. Right? Reinvent is as as many of you know, this This is just a different type of conference. It's not American Conference. This is a learning conference, and and even virtually that doesn't change. And so I encourage. Look across the broad swath of things that we're doing. Learn about machine learning and what we're doing in that space. Learn about the new compute capabilities or container capabilities. Learn about you know what, what is most relevant to your business if you're looking about. Hey, I have an on premise data center, and I'm looking about how I extend into the cloud. There's a lot of new capabilities around BMC and AWS that makes sense, but there's also a lot of cool announcements around just other services. Um, that could be interesting. We have a ton of customers. They're giving talks. And learning from other customers is often the best way to really understand how you can get the most value out of the cloud. And so I encourage folks toe really kind of block that time. I think it's easy when your remote to get distracted by, you know, watching Netflix or answering emails or things like that. But this is this is a great opportunity to block that schedule. Find the time that you have to really spend time and dive into the sessions because we have a ton of great content on a lot of really cool launches coming up. >>Yeah, I'm just very quickly. I would like one of things I love about Amazon's culture and were similar. VM Ware is that sort of growth mindset. Learn it all and I'm looking forward myself personally to going to reinvent university. This is three weeks of learning, uh, listening to many of those those things. I learned a ton and I've tried to have my own sort of mindset of have being a learn it all as opposed to know it. Also these air incredible sessions and I would also reinforce what Matt said which is going find pure customers of yours that are in your same vertical. We're seeing enormous success in the key verticals Vienna plays in which itself called financial services public sector healthcare manufacturing, CPG retail. I mean, whatever it is so and many of those customers will be, uh, you know, doing virtual talks or we have case studies of use cases because often these sort of birds of a feather allow you to then plan your migration of modernization journey in a similar >>fashion, Matt Sanjay, always great to get the leaders of the two biggest companies in our world A, W s and VM where to share their perspectives. Uh, this year is gonna be different. I'm looking forward to, you know, really kinda stepping up and leaning into the virtual because, you know, we're gonna do three weeks of cube coverage. We have, like, special coverage days, Tuesday, Wednesday, Thursday for each of the three weeks that we're in. And we're gonna try to make this fun as possible. Keep everyone engaged on tryto navigate, help people navigate through the virtual world. So looking forward to having you guys back on and and sharing. Thanks for coming. I appreciate it. Thank you very much. Okay, this is the cubes. Virtual coverage of virtual reinvent 2020. I'm John for your host. Stay with us. Silicon angle dot com. The cube will be checking in with our live coverage in and out of the sessions and stay with us for more wall to wall coverage. Thanks for watching. Yeah,