welcome back everyone to thecube's live coverage in san francisco for vmware explorer 2022 formerly vmworld i'm john furrier david live dave 12 years we've been covering this event formerly vmware first time in west now it's explore we've been in north we've been in south we've been in vegas multi-cloud is now the exploration vmware community is coming in john siegel svp at dell cube alumni dave mccraw vp at vmware guys thanks for coming back both cube alumni it's great to see you very senior organizations senior roles in the organizations of vmware and dell one year since the split great partnership continuing i mean some of the conversations we've been having over the past few years is that control plane the management layer making everything work together it's essentially been the multi-cloud hybrid cloud story what's the update what's how's the partnership look yeah i you know i just to start off i mean i would say i don't think our partnership's been any has ever been any better um if you look at you mention our vision very much a shared vision in terms of the multi-cloud world and i don't think we've ever had more joint innovation projects at one time i think we have over 40 now dave that are going on across multi-cloud ai cyber security uh modern applications and and uh you know here just at you just vmworld vmware explorer we have over 30 uh vmware sessions that are featuring dell um and this is i think more than we've ever had so look i think um there's a lot of momentum there and we're really looking forward to what's to come so you guys obviously spent a lot of time together when vmware was part of dell and then you've been it's been a year since the spin and then you codified i think it was a five-year agreement you know so you had some time to figure that out and then put it into paper so you just kind of quantified some of the stuff that's going on but now we're entering a yet another phase so that that that that agreement's probably more important than ever now i mean list in terms of getting it documented and an understanding right yeah that agreement really defines a framework for solution development and for go to market so we've been doing it and refining it for the last five years so now you know putting and codifying it into a written signed agreement it basically is instantiating what we've been doing that we know works uh where we can drive uh solution development we can drive deep architectural co-innovation together as well and as john said across multiple you know project and solution areas so we we've been talking to years to you know a lot of these strat guys guys like matt baker about things like you know you see aws do nitro and then of course project monterey and and i know that you guys have had a you know a big sort of input into that and so now to see it come to fruition is is huge because you know from our view it's the future of computing architectures how do you handle you know data rich applications ai applications that's what are your thoughts on here i couldn't agree more uh project monterey is a great example of how we're innovating together we just talked about i mean first of all it's all so we have vxrail which let's let's start there right we have over 19 000 joint customers right now we continue to innovate more and more on the vxrail architecture great example of that as our partnership with project monterey and taking essentially vsphere 8 and running it for the first time on an hci system directly on the dp used itself right on the dpus ability now to offload nsxt from from the cpus to the dpus uh hope you know in the short term first of all great benefits for customers in terms of better performance but as you just mentioned it's game changing in terms of laying the foundation for the future architectures that we plan on together helping out customers there's one other dynamic for you on is um and it's not unique to dell but dell's the biggest you know supply supplier partner etc but you're able to take vmware software and drive it through your business and and that enables you to get more subscription revenue and makes it stickier and that's a really important change from you know 10 years ago yeah and it's it's a combination as you know of dell software and vmware software together absolutely and i think what's with this is a game-changing innovation that you can run on top of our joint system vxrail if you will um and now what our customers can expect is life cycle automation of now you know the dpus as well as tanzu as well as everything else we layer on top of that core foundation that we have over 19 000 customers running today so i mean like that 19 000 number i want to get back up to the vx rail and you mentioned vsphere that's big news here this year vsphere 8 big release a lot of going on what's the hci angle you mentioned that what's in it for the customer what does that mean for the folks here because let's face it the vsphere aids got everyone in that they've all the v-sections are going going crazy right another vsphere release getting training they have the labs here what's it mean for the customers what's the value there with that hci solution with the gpus well first of all vsphere 8 as we know it has a lot of goodies in it but you know what what i think to me what's been most powerful about this is the ability to run vsphere 8 uh and and specifically on the dpus now you can run it it is open up all new possibilities now and so that nsxt that i mentioned you know running that on gpus opens up a whole new uh architecture now for our customers going forward and now really sets us up for modern distributed architecture for the future so like edge okay yeah and vsphere 8 brings in you know cloud connectivity as well so you know customers can run in a cloud disconnected mode they can run in a cloud connected mode so you know that's going to bring in the ability to do specialized things on security cycle management there's a whole series of services that can now be added as well as you know leveraging you know vcenter management capabilities so what's happening at the edge we had i think it was lows on hotel tech world right okay good not the other one um but so so that's got to be exploding now with that with that because it just changes the game for for these stores there's i mean retail uh manufacturing maybe you can give us an update on there's so much happening on the edge side as you know i mean that's where most of the a lot of the innovations happening right now is at the edge and a lot of the companies we talked to 8x right 8x expectation of increase in uh edge workloads over the next and the data challenge too and the data challenge is huge so you heard about the innovations with vsphere 8. in addition to that we just introduced today as well the smallest vx rail for the edge ever this thing is it's like think picture a couple eight and a half by 11 notebooks not much not much you know maybe a little wider than that but not much more um you know these these are stacked on top of each other these are you can rack and stack and mount these things anywhere and it also is the first aci system that has you know a built-in hardware witness so this helps set it up for environments that are you know network bandwidth constrained or have high high latency no longer an issue next gen app is going to want to have a local data server at the edge right and with compute there right high performance right right so now you're getting it across the wire yes you get racket stack a couple of these small things i mean they can they can fit into like a you know clark kent's briefcase right these things are so small um you want to do the analytics on site and return responses back you don't want to be moving massive data payloads off the egg so you got to have the right level of compute to run machine learning algorithms and and do the analytics type work that you want to do to make local decisions yeah i mean we just had david lithimon who was one of the keynote speakers here at the event and we've been talking about super cloud and multi-cloud meta cloud all the different versions of what we see as this next-gen and this brings up a point of like his advice to young people learn how multi-cloud learn about system architecture because if you can figure out how to put it together you're going to have to make more money anyway that this whole edge piece opens up huge challenges and opportunities around how do you configure these next-gen apps what does the ai look like what's the data architecture this is not like get some training curriculum online and you get you know 101 and you're getting a job no this is more complicated but with the hardware you guys make it easier so where's the complexity shift between having a powerful edge device like the vxrail with the vsphere what's the ec button on that like how do you guys what's the vision because this is going to be a major battleground this whole edge piece yeah it's going to be huge well i think when you look at the innovation that dell is bringing to market with technologies like outlander and then designing that into vxrail and then you combine that with our tonzu capabilities to manage development and deployment of applications this is about heterogeneous deployment and management at scale of applications with technologies like tons of mission control then deploying service mesh right for security being able to use sassy to be able to secure you know with cloud security over the wire so it's bringing together multiple technologies to deliver simplicity to the customer the ability to go one to many you know in terms of being able to deploy and manage and update whether that's a security patch or an application update and do that very rapidly at a low cost so the benefit with this solution now just putting this together is i can ship a box small and or stack them and essentially it's done remotely it's that's provision the provisioning issues not a truck roll as they say or professional services enabled you can just drop that out there and this is where the customers need to be yeah that absolutely is that the vision don't get that right exactly you don't you don't need the you don't need the skills yeah you don't need the specialized skills you don't need a lot of space you don't need you know high network bandwidth all these things right all these innovations that we're talking about here um really combined into really enabling a whole new whole new future here for edge is are you doing apex now is that i think thickest part sure part of yours okay so um is apex fitting into the to the edge how does it fit yeah i mean well first of all you know a lot of what we talked with apex is really about a consumption a way to ensure there's a common cloud experience wherever the data is and where the applications are and so absolutely edge fits into this as well and so we have we have common ways to consume our infrastructure today our joint infrastructure whether it's in the data center at the edge um or you know uh in the cloud usain ragu when he was on i said it was great keynote loved it one of the things that i didn't think there was enough of was security and he's like yeah we only had so much time but vmware is a very strong security story we heard a really strong security story at dell tech world i mean half the innovations and the new you know storage products were security and the new os's and it was impressive what what's how are you guys working together on security is that one of those let me give you a few key things you know our teams are working together at the engineer to engineer level you know reference architectures for zero trust as an example being able to look you know hardware root of trust up into the application layer right so we're looking at really defense in depth here you know i mentioned what we're doing with sassy right with cloud security capabilities so you really have to look at this from the edge to the core with the you know from a networking perspective getting the network the insights on things that maybe anomalies that may be happening on the network so using our network insight technology you know uh nsx and then being able to ultimately uh have a secure development pipeline as well i mean you we all know about the supply chain attacks that happen right and so being able to have a you know secure pipeline for development is critical for both of our companies working together i think the tan zoo and you mentioned the developer self-service that experience combined with kind of the power of the dell you know let's face it the boxes are awesome hardware matters and software matters so bringing that expertise together michael daley always used to say on thecube better together in respect to vmware and dell a lot of fruit has been born from that labor right specifically around and now when you add the tan zoo and you get vsphere you got the operational excellence you got the you got the performance and scale with the dell boxes and hardware and software and now you've got the tan zoo what's missing or is it all there now i mean where how would you how would you guys peg the progress bar is it like it's all rocking right now or or i'd say you're never done first of all but i you know i look at some of the innovations that we've brought to market recently where we've are combining and stacking these technologies into a more defense in-depth like solution you know bringing nsx onto vxrail so that you can flip a switch easily and light up the firewall the new plug-in yeah that's a great example simple simple um carbon black workload another example where we're taking carbon black technology that was typically on endpoints you know on pcs bringing that into the data center right and leveraging all the analytics and insights around you know being able to identify anomalies and then remediate those anomalies so we're seeing very good traction with those and the cloud native developers containers they're all native container working with compute and container storage object store in the cloud kubernetes we've embraced it yeah i mean yeah containers running containers and vms on the same infrastructure common way to manage it all i mean that that's been a big part of it as well obviously a lot of the focus that dell's bringing here as well is is the inability to run that stack easily right you heard the announcement on uh tanzu for kubernetes operators right earlier today tko we call it uh you know that running on vxrail now is really targeted at the i.t operator in allowing them to easily stand up a self-service developer devops environment on vxrail going forward and then a piece that might be invisible to them is back to monterey isolation right encryption and data moving you know absolutely storage the security the compute right the management right that's that's a complete and it's about reducing attack services as well right the security perspective as well when you when you're moving nsxt onto a dpu you're doing that as well so there's it takes the little things right at the end of the day security is a mindset up across both companies in terms of how we approach our architectures um and it's the you know a lot of times it's the little things as well that we make sure right so shared vision working at the engineering levels together for many many years know that you guys are validating more of that coming what's next take us through okay we're here 2022 we got super cloud multi-cloud hybrid full throttle right now it's hybrid's a steady state that's cloud operations infrastructure as code has happened it's happening what's next for you guys in the relationship can you share a little bit that you can if you can what we can expect what you see uh with monterrey is the start of a re-architecting of i.t infrastructure not just in the data center but also at the edge right these technologies will move out and be pervasive you know across i think edge to colo to core data center to cloud right and so that's a starting point now we're looking at memory tiering right i think we talked last time about capitola and memory tiering and you know being able to bring that forward uh being able to do more with confidential computing as an example right secure enclaves and confidential computing so you know a lot of this is focused around simplicity and security going forward and ease of management around take the heavy lifting away from the customer abstract that in offer the power and performance that's right and it's going to come down to delivering time to value for our customers you know can we cut that time to value by 25 50 percent so they can be in production faster yeah i think project monterey is something we'll be building on for a long time right i mean this is the start of a major new future architecture of these companies so if you had to pick one we have 40 initiatives that are joined together real literally project monterey is one of my favorites for sure in terms of what it's going to do not just for that common cloud experience but for the edge and and we talked a lot about the edge today and where that's headed you think it's going to explode up new apps i really do think so well it's going to put you in a new it's going to put in curve yeah absolutely right and operationally uh security wise um from a modern apps perspective i mean all it checks all the boxes and it's going to allow us to to help and take our existing customers on that journey as well what's great about this conversation we've been following both you guys for a long time and your companies and and technology upgrades and and the business impact and open source and all doing all this for customers but the wave that's coming we're seeing the expo hall here i mean it's people are really excited they're enthused they're committed highly confident that this this wave is coming they kind of see it people kind of seeing the fog lift they're seeing money making value creation people kind of feeling more comfortable but still a little nervous around you know what's coming next because it's still uncertainty but pretty good ecosystem i'd have to say that's pretty pretty interesting yeah a lot of them are excited about you know what they can do at the edge and how they can differentiate their businesses i mean that's right well congratulations guys thanks for coming on thecube and sharing the update thank you it more innovation it's not stopping here at vmware explorer dell and vm we're continuing to have that kind of relationship joint engineering it's all coming together and you can mix and match this and the stack but it's ultimately going to be cloud operations edge is the action of course hybrid cloud as well it's thecube thanks for watching [Music] you

>> From theCUBE Studios in Palo Alto in Boston, bringing you data driven insights from theCUBE and ETR. This is Breaking Analysis with Dave Vellante. >> After a two-year epic run in tech, 2022 has been an epically bad year. Through yesterday, The NASDAQ composite is down 30%. The S$P 500 is off 21%. And the Dow Jones Industrial average 16% down. And the poor holders at Bitcoin have had to endure a nearly 60% decline year to date. But judging by the attendance and enthusiasm, in major in-person tech events this spring. You'd never know that tech was in the tank. Moreover, walking around the streets of Las Vegas, where most tech conferences are held these days. One can't help but notice that the good folks of Main Street, don't seem the least bit concerned that the economy is headed for a recession. Hello, and welcome to this weeks Wiki Bond Cube Insights powered by ETR. In this Breaking Analysis we'll share our main takeaways from the first half of 2022. And talk about the outlook for tech going forward, and why despite some pretty concerning headwinds we remain sanguine about tech generally, but especially enterprise tech. Look, here's the bumper sticker on why many folks are really bearish at the moment. Of course, inflation is high, other than last year, the previous inflation high this century was in July of 2008, it was 5.6%. Inflation has proven to be very, very hard to tame. You got gas at $7 dollars a gallon. Energy prices they're not going to suddenly drop. Interest rates are climbing, which will eventually damage housing. Going to have that ripple effect, no doubt. We're seeing layoffs at companies like Tesla and the crypto names are also trimming staff. Workers, however are still in short supply. So wages are going up. Companies in retail are really struggling with the right inventory, and they can't even accurately guide on their earnings. We've seen a version of this movie before. Now, as it pertains to tech, Crawford Del Prete, who's the CEO of IDC explained this on theCUBE this very week. And I thought he did a really good job. He said the following, >> Matt, you have a great statistic that 80% of companies used COVID as their point to pivot into digital transformation. And to invest in a different way. And so what we saw now is that tech is now where I think companies need to focus. They need to invest in tech. They need to make people more productive with tech and it played out in the numbers. Now so this year what's fascinating is we're looking at two vastly different markets. We got gasoline at $7 a gallon. We've got that affecting food prices. Interesting fun fact recently it now costs over $1,000 to fill an 18 wheeler. All right, based on, I mean, this just kind of can't continue. So you think about it. >> Don't put the boat in the water. >> Yeah, yeah, yeah. Good luck if ya, yeah exactly. So a family has kind of this bag of money, and that bag of money goes up by maybe three, 4% every year, depending upon earnings. So that is sort of sloshing around. So if food and fuel and rent is taking up more, gadgets and consumer tech are not, you're going to use that iPhone a little longer. You're going to use that Android phone a little longer. You're going to use that TV a little longer. So consumer tech is getting crushed, really it's very, very, and you saw it immediately in ad spending. You've seen it in Meta, you've seen it in Facebook. Consumer tech is doing very, very, it is tough. Enterprise tech, we haven't been in the office for two and a half years. We haven't upgraded whether that be campus wifi, whether that be servers, whether that be commercial PCs as much as we would have. So enterprise tech, we're seeing double digit order rates. We're seeing strong, strong demand. We have combined that with a component shortage, and you're seeing some enterprise companies with a quarter of backlog, I mean that's really unheard of. >> And higher prices, which also profit. >> And therefore that drives up the prices. >> And this is a theme that we've heard this year at major tech events, they've really come roaring back. Last year, theCUBE had a huge presence at AWS Reinvent. The first Reinvent since 2019, it was really well attended. Now this was before the effects of the omicron variant, before they were really well understood. And in the first quarter of 2022, things were pretty quiet as far as tech events go But theCUBE'a been really busy this spring and early into the summer. We did 12 physical events as we're showing here in the slide. Coupa, did Women in Data Science at Stanford, Coupa Inspire was in Las Vegas. Now these are both smaller events, but they were well attended and beat expectations. San Francisco Summit, the AWS San Francisco Summit was a bit off, frankly 'cause of the COVID concerns. They were on the rise, then we hit Dell Tech World which was packed, it had probably around 7,000 attendees. Now Dockercon was virtual, but we decided to include it here because it was a huge global event with watch parties and many, many tens of thousands of people attending. Now the Red Hat Summit was really interesting. The choice that Red Hat made this year. It was purposefully scaled down and turned into a smaller VIP event in Boston at the Western, a couple thousand people only. It was very intimate with a much larger virtual presence. VeeamON was very well attended, not as large as previous VeeamON events, but again beat expectations. KubeCon and Cloud Native Con was really successful in Spain, Valencia, Spain. PagerDuty Summit was again a smaller intimate event in San Francisco. And then MongoDB World was at the new Javits Center and really well attended over the three day period. There were lots of developers there, lots of business people, lots of ecosystem partners. And then the Snowflake summit in Las Vegas, it was the most vibrant from the standpoint of the ecosystem with nearly 10,000 attendees. And I'll come back to that in a moment. Amazon re:Mars is the Amazon AI robotic event, it's smaller but very, very cool, a lot of innovation. And just last week we were at HPE Discover. They had around 8,000 people attending which was really good. Now I've been to over a dozen HPE or HPE Discover events, within Europe and the United States over the past decade. And this was by far the most vibrant, lot of action. HPE had a little spring in its step because the company's much more focused now but people was really well attended and people were excited to be there, not only to be back at physical events, but also to hear about some of the new innovations that are coming and HPE has a long way to go in terms of building out that ecosystem, but it's starting to form. So we saw that last week. So tech events are back, but they are smaller. And of course now a virtual overlay, they're hybrid. And just to give you some context, theCUBE did, as I said 12 physical events in the first half of 2022. Just to compare that in 2019, through June of that year we had done 35 physical events. Yeah, 35. And what's perhaps more interesting is we had our largest first half ever in our 12 year history because we're doing so much hybrid and virtual to compliment the physical. So that's the new format is CUBE plus digital or sometimes just digital but that's really what's happening in our business. So I think it's a reflection of what's happening in the broader tech community. So everyone's still trying to figure that out but it's clear that events are back and there's no replacing face to face. Or as I like to say, belly to belly, because deals are done at physical events. All these events we've been to, the sales people are so excited. They're saying we're closing business. Pipelines coming out of these events are much stronger, than they are out of the virtual events but the post virtual event continues to deliver that long tail effect. So that's not going to go away. The bottom line is hybrid is the new model. Okay let's look at some of the big themes that we've taken away from the first half of 2022. Now of course, this is all happening under the umbrella of digital transformation. I'm not going to talk about that too much, you've had plenty of DX Kool-Aid injected into your veins over the last 27 months. But one of the first observations I'll share is that the so-called big data ecosystem that was forming during the hoop and around, the hadoop infrastructure days and years. then remember it dispersed, right when the cloud came in and kind of you know, not wiped out but definitely dampened the hadoop enthusiasm for on-prem, the ecosystem dispersed, but now it's reforming. There are large pockets that are obviously seen in the various clouds. And we definitely see a ecosystem forming around MongoDB and the open source community gathering in the data bricks ecosystem. But the most notable momentum is within the Snowflake ecosystem. Snowflake is moving fast to win the day in the data ecosystem. They're providing a single platform that's bringing different data types together. Live data from systems of record, systems of engagement together with so-called systems of insight. These are converging and while others notably, Oracle are architecting for this new reality, Snowflake is leading with the ecosystem momentum and a new stack is emerging that comprises cloud infrastructure at the bottom layer. Data PaaS layer for app dev and is enabling an ecosystem of partners to build data products and data services that can be monetized. That's the key, that's the top of the stack. So let's dig into that further in a moment but you're seeing machine intelligence and data being driven into applications and the data and application stacks they're coming together to support the acceleration of physical into digital. It's happening right before our eyes in every industry. We're also seeing the evolution of cloud. It started with the SaaS-ification of the enterprise where organizations realized that they didn't have to run their own software on-prem and it made sense to move to SaaS for CRM or HR, certainly email and collaboration and certain parts of ERP and early IS was really about getting out of the data center infrastructure management business called that cloud 1.0, and then 2.0 was really about changing the operating model. And now we're seeing that operating model spill into on-prem workloads finally. We're talking about here about initiatives like HPE's Green Lake, which we heard a lot about last week at Discover and Dell's Apex, which we heard about in May, in Las Vegas. John Furrier had a really interesting observation that basically this is HPE's and Dell's version of outposts. And I found that interesting because outpost was kind of a wake up call in 2018 and a shot across the bow at the legacy enterprise infrastructure players. And they initially responded with these flexible financial schemes, but finally we're seeing real platforms emerge. Again, we saw this at Discover and at Dell Tech World, early implementations of the cloud operating model on-prem. I mean, honestly, you're seeing things like consoles and billing, similar to AWS circa 2014, but players like Dell and HPE they have a distinct advantage with respect to their customer bases, their service organizations, their very large portfolios, especially in the case of Dell and the fact that they have more mature stacks and knowhow to run mission critical enterprise applications on-prem. So John's comment was quite interesting that these firms are basically building their own version of outposts. Outposts obviously came into their wheelhouse and now they've finally responded. And this is setting up cloud 3.0 or Supercloud, as we like to call it, an abstraction layer, that sits above the clouds that serves as a unifying experience across a continuum of on-prem across clouds, whether it's AWS, Azure, or Google. And out to both the near and far edge, near edge being a Lowes or a Home Depot, but far edge could be space. And that edge again is fragmented. You've got the examples like the retail stores at the near edge. Outer space maybe is the far edge and IOT devices is perhaps the tiny edge. No one really knows how the tiny edge is going to play out but it's pretty clear that it's not going to comprise traditional X86 systems with a cool name tossed out to the edge. Rather, it's likely going to require a new low cost, low power, high performance architecture, most likely RM based that will enable things like realtime AI inferencing at that edge. Now we've talked about this a lot on Breaking Analysis, so I'm not going to double click on it. But suffice to say that it's very possible that new innovations are going to emerge from the tiny edge that could really disrupt the enterprise in terms of price performance. Okay, two other quick observations. One is that data protection is becoming a much closer cohort to the security stack where data immutability and air gaps and fast recovery are increasingly becoming a fundamental component of the security strategy to combat ransomware and recover from other potential hacks or disasters. And I got to say from our observation, Veeam is leading the pack here. It's now claiming the number one revenue spot in a statistical dead heat with the Dell's data protection business. That's according to Veeam, according to IDC. And so that space continues to be of interest. And finally, Broadcom's acquisition of Dell. It's going to have ripple effects throughout the enterprise technology business. And there of course, there are a lot of questions that remain, but the one other thing that John Furrier and I were discussing last night John looked at me and said, "Dave imagine if VMware runs better on Broadcom components and OEMs that use Broadcom run VMware better, maybe Broadcom doesn't even have to raise prices on on VMware licenses. Maybe they'll just raise prices on the OEMs and let them raise prices to the end customer." Interesting thought, I think because Broadcom is so P&L focused that it's probably not going to be the prevailing model but we'll see what happens to some of the strategic projects rather like Monterey and Capitola and Thunder. We've talked a lot about project Monterey, the others we'll see if they can make the cut. That's one of the big concerns because it's how OEMs like the ones that are building their versions of outposts are going to compete with the cloud vendors, namely AWS in the future. I want to come back to the comment on the data stack for a moment that we were talking about earlier, we talked about how the big data ecosystem that was once coalescing around hadoop dispersed. Well, the data value chain is reforming and we think it looks something like this picture, where cloud infrastructure lives at the bottom. We've said many times the cloud is expanding and evolving. And if companies like Dell and HPE can truly build a super cloud infrastructure experience then they will be in a position to capture more of the data value. If not, then it's going to go to the cloud players. And there's a live data layer that is increasingly being converged into platforms that not only simplify the movement in ELTing of data but also allow organizations to compress the time to value. Now there's a layer above that, we sometimes call it the super PaaS layer if you will, that must comprise open source tooling, partners are going to write applications and leverage platform APIs and build data products and services that can be monetized at the top of the stack. So when you observe the battle for the data future it's unlikely that any one company is going to be able to do this all on their own, which is why I often joke that the 2020s version of a sweaty Steve Bomber running around the stage, screaming, developers, developers developers, and getting the whole audience into it is now about ecosystem ecosystem ecosystem. Because when you need to fill gaps and accelerate features and provide optionality a list of capabilities on the left hand side of this chart, that's going to come from a variety of different companies and places, we're talking about catalogs and AI tools and data science capabilities, data quality, governance tools and it should be of no surprise to followers of Breaking Analysis that on the right hand side of this chart we're including the four principles of data mesh, which of course were popularized by Zhamak Dehghani. So decentralized data ownership, data as products, self-serve platform and automated or computational governance. Now whether this vision becomes a reality via a proprietary platform like Snowflake or somehow is replicated by an open source remains to be seen but history generally shows that a defacto standard for more complex problems like this is often going to emerge prior to an open source alternative. And that would be where I would place my bets. Although even that proprietary platform has to include open source optionality. But it's not a winner take all market. It's plenty of room for multiple players and ecosystem innovators, but winner will definitely take more in my opinion. Okay, let's close with some ETR data that looks at some of those major platform plays who talk a lot about digital transformation and world changing impactful missions. And they have the resources really to compete. This is an XY graphic. It's a view that we often show, it's got net score on the vertical access. That's a measure of spending momentum, and overlap or presence in the ETR survey. That red, that's the horizontal access. The red dotted line at 40% indicates that the platform is among the highest in terms of spending velocity. Which is why I always point out how impressive that makes AWS and Azure because not only are they large on the horizontal axis, the spending momentum on those two platforms rivals even that of Snowflake which continues to lead all on the vertical access. Now, while Google has momentum, given its goals and resources, it's well behind the two leaders. We've added Service Now and Salesforce, two platform names that have become the next great software companies. Joining likes of Oracle, which we show here and SAP not shown along with IBM, you can see them on this chart. We've also plotted MongoDB, which we think has real momentum as a company generally but also with Atlas, it's managed cloud database as a service specifically and Red Hat with trying to become the standard for app dev in Kubernetes environments, which is the hottest trend right now in application development and application modernization. Everybody's doing something with Kubernetes and of course, Red Hat with OpenShift wants to make that a better experience than do it yourself. The DYI brings a lot more complexity. And finally, we've got HPE and Dell both of which we've talked about pretty extensively here and VMware and Cisco. Now Cisco is executing on its portfolio strategy. It's got a lot of diverse components to its company. And it's coming at the cloud of course from a networking and security perspective. And that's their position of strength. And VMware is a staple of the enterprise. Yes, there's some uncertainty with regards to the Broadcom acquisition, but one thing is clear vSphere isn't going anywhere. It's entrenched and will continue to run lots of IT for years to come because it's the best platform on the planet. Now, of course, these are just some of the players in the mix. We expect that numerous non-traditional technology companies this is important to emerge as new cloud players. We've put a lot of emphasis on the data ecosystem because to us that's really going to be the main spring of digital, i.e., a digital company is a data company and that means an ecosystem of data partners that can advance outcomes like better healthcare, faster drug discovery, less fraud, cleaner energy, autonomous vehicles that are safer, smarter, more efficient grids and factories, better government and virtually endless litany of societal improvements that can be addressed. And these companies will be building innovations on top of cloud platforms creating their own super clouds, if you will. And they'll come from non-traditional places, industries, finance that take their data, their software, their tooling bring them to their customers and run them on various clouds. Okay, that's it for today. Thanks to Alex Myerson, who is on production and does the podcast for Breaking Analysis, Kristin Martin and Cheryl Knight, they help get the word out. And Rob Hoofe is our editor and chief over at Silicon Angle who helps edit our posts. Remember all these episodes are available as podcasts wherever you listen. All you got to do is search Breaking Analysis podcast. I publish each week on wikibon.com and siliconangle.com. You can email me directly at david.vellante@siliconangle.com or DM me at dvellante, or comment on my LinkedIn posts. And please do check out etr.ai for the best survey data in the enterprise tech business. This is Dave Vellante for theCUBE's Insights powered by ETR. Thanks for watching be well. And we'll see you next time on Breaking Analysis. (upbeat music)