>> All right, we'll be back in a moment. We'll have Stephen Manly, the CTO, and Anjan Srinivas, the GM and VP of Product Management will join me. You're watching theCUBE, the leader in high tech enterprise coverage. >> Ransomware is top of mind for everyone. The attacks are becoming more frequent and more sophisticated. It's a problem you can't solve alone anymore. Ransomware is built to exploit weaknesses in your backup solution, destroying data and your last line of defense. With many vendors, it can take a lot of effort and configuration to ensure your backup environment is secure. Criminals also know that it's easy to fall behind on best practices like vulnerability scans, patches and updates. In fact, 42% of vulnerabilities are exploited after a patch has been released. After an attack, recovery can be a long and manual process that still may not restore clean or complete data. The good news is that you can keep your data safe and recover faster with the Druva data resiliency cloud on your side. The Druva platform functions completely in the cloud with no hardware, software, operating system, or complex configurations. Which means there are none of the weaknesses that ransomware commonly uses to attack backups. Our software is a service model delivers 24/7 365 fully managed security operations for your backup environment. We handle all the vulnerability scans, patches and upgrades for you. Druva also makes zero trust security easy with built in multi-factor authentication, single sign on and roll based access controls. In the event of an attack, Druva helps you stop the spread of ransomware and quickly understand what went wrong with built in access insights and anomaly detection. Then you can use industry first tools and services to automate the recovery of clean unencrypted data from the entire timeframe of the attack. Cyber attacks are a major threat, but you can make protection and recovery easy with Druva. (upbeat music) >> Welcome back everyone to theCUBE special presentation with Druva on Why Ransomware Isn't Your Only Problem. I'm John Furrier, host of theCUBE. Our next guest are Stephen Manly's, Chief Technology Officer of Druva and Anjan Srinivas, who is the general manager and Vice President of Product Management at Druva. Gentleman, you got the keys to the kingdom, the technology, ransomware, data resilience. This is the topic the IDC white paper that you guys put together with IDC really kind of nails it out. I want to get into it right away. Welcome to this segment, I really appreciate it. Thanks for coming on. >> Great to be here John. >> So what's your thoughts on the survey's conclusion, obviously, the resilience is huge. Ransomware continues to thunder away at businesses and causes a lot of problems. Disruption, I mean, it's endless ransomware problems. What's your thoughts on the conclusion? >> So I'll say the thing that pops out to me is on the one hand everybody who sees the survey, who reads it's is going to say, well, that's obvious. Of course, ransomware continues to be a problem. Cyber resilience is an issue that's plaguing everybody. But I think when you dig deeper and there's a lot of subtleties to look into. But one of the things that I hear on a daily basis from the customers is it's because the problem keeps evolving. It's not as if the threat was a static thing to just be solved and you're done. Because the threat keeps evolving, it remains top of mind for everybody because it's so hard to keep up with what's happening in terms of the attacks. >> And I think the other important thing to note, John, is that people are grappling with this ransomware attack all of a sudden where they were still grappling with a lot of legacy in their own environment. So they were not prepared for the advanced techniques that these ransomware attackers were bringing to market. It's almost like these ransomware attackers had a huge leg up in terms of technology that they had in their favor while keeping the lights on was keeping it ideally from all the tooling that needed to do. A lot of people are even still wondering when that happens next time what do I even do? So clearly not very surprising. Clearly I think it's here to stay. And I think as long as people don't retool for a modern era of data management, this is going to stay this way. >> Yeah, I mean, I hear this whole time in our CUBE conversations with practitioners. It's kind of like the security program, give me more tools I'll buy anything that comes in the market, I'm desperate. There's definitely attention, but it doesn't seem like people are satisfied with the tooling that they have. Can you guys share kind of your insights into what's going on in the product side because people claim that they have tools at fine points of recovery opportunities but they can't get there. So it seems to be that there's a confidence problem here in the market. How do you guys see that? Because I think this is where the rubber meets the road with ransomware 'cause it is a moving train, it's always changing but it doesn't seem as confidence. Can you guys talk about that? What's your reaction? >> Yeah, let me jump in first and Stephen can add to it. What happens is I think this is a panic buying and they have accumulated this tooling now just because somebody said it could solve your problem. But they haven't had a chance to take a relook from a ground up perspective to see where are the bottlenecks, where are the vulnerabilities and which tooling set needs to lie where, where does the logic need to reside. And what at Druva of we are watching people do and people do it successfully, is that as they have adopted Druva technology which is ground up built for the cloud, and really built in a way which is driven at a data insight level where we have people even monitoring our service for anomalies and activities that are suspicious. We know where we need to play a role in really kind of mitigating this ransomware. And then there is a whole plethora of ecosystem players that kind of combine to really really finish the story so to say, right? So I think this has been a panic buying situation. This is like, get me any help you can give me. And I think as this settles down and people really understand that longer term as they really build out a true defense mechanism, they need to think really ground up. They will start to really see the value of technologies like Druva and try to identify the right set of ecosystem to really bring together to solve it meaningfully. >> I was going to say I mean, one of the really interesting things in this survey for me and for a moment, little more than a moment it made me think was the large number of respondents who said, I've got a really efficient well run back up environment. Who then on basically the next question said, and I have no confidence that I can recover from a ransomware attack. And you scratch your head and you think, well, if your backup environment is so good, why do you have such low confidence? And I think that's the moment when we dug deeper and we realized, if you've got a traditional architecture and let's face it, the disbase architecture has been around for almost two decades now in terms of disbased backup. You can have that tune to the help, that can be running as efficiently as you want it. But it was built before the ransomware attacks, before all these cyber issues really started hitting companies. And so I have this really well run traditional backup environment that is not at all built for these modern threat vectors. And so that's really why customers are saying, I'm doing the best I can, but as Anjan pointed out, the architecture, the tooling isn't there to support what problems I need to solve today. >> Well, that's a great point. And before we get into the customer side I want to get to in second. I interviewed Jaspreet, the founded and CEO many years ago even before the pandemic and you mentioned modern. You guys have always had the cloud with Druva, this is huge. Now that you're past the pandemic, what is that modern cloud edge that you guys have? Because that's a great point. A lot of stuff was built kind of back up and recovery bolted on, not really kind of designed into the current state of the infrastructure and the cloud native application modern environment we're seeing right now is a huge issue. >> I think to me there's three things that come up over and over and over again as we talk to people in terms of being built in cloud, being cloud native, why isn't an advantage? The first one is security and ransomware. And we can go deeper but the most obvious one that always comes up is every single backup you do with Druva is air gapped, offsite, managed under a separate administrative domain so that you're not retrofitting any sort of air gap network and buying another appliance or setting up your own cloud environment to manage this. Every backup is ransomware protected, guaranteed. I think the second advantage is the scalability. And this certainly plays into account as your business grows or in some cases as you shrink or repurpose workloads you're only paying for what you use. But it also plays a big role again when you start thinking of ransomware recoveries because we can scale your recovery in cloud on premises as much or as little as you want. And then I think the third one is we're seeing basically things evolving, new workloads, data sprawl, new threat vectors. And one of the nice parts of being SaaS service in the cloud is you're able to roll out new functionality every two weeks and there's no upgrade cycle, there's no waiting. The customer doesn't have to say, wow, I need it six months in the lab before I upgrade it and it's an 18 month, 24 month cycle before the functionality releases. You're getting it every two weeks and it's backed by Druva to make sure it works. >> That says it. Anjan, you got the product side, it's a challenging job 'cause you have so many customers asking for things probably on the roadmap you probably go hour for that one. But I want to get your thoughts on what you're hearing and seeing from customers. we just reviewed the IDC with Phil. How are you guys responding to your customer's needs? Because it seems that it's highly accelerated probably on the feature request, but also structurally as as ransomware continues to evolve. What are you hearing, what's the key customer need? How are you guys responding? >> Yeah, actually I have two things that I hear very clearly when I talk to customers. One, I think after listening to their security problems and their vulnerability challenges because we see customers and help customers who are getting challenged by ransomware on a weekly basis. And what I find that this problem is not just a technology problem, it's an operating model problem. So in order to really secure themselves, they need a security operating model and a lot of them haven't figured out that security operating model in totality. Now, where we come in as Druva is that we are providing them the cloud operating model and a data protection operating model combined with a data insights operating model which all fit into their overall security operating model that they are really owning and they need to manage and operate. Because this is just not about a piece of technology. On top of that, I think our customers are getting challenged by all the same challenges of not just spending time on keeping the lights on, but innovating faster with less. And that has been this age old problem, do more with less. But in this whole, they're like trying to innovate we're in the middle of the war so to say, right? The war is happening, they're getting attacked, but there's also net new shadow IT challenges that's forcing them to make sure that they can manage all the new applications that are getting developed in the cloud. There is thousands of SaaS applications that they're consuming not knowing which data is critical to their success and which ones to protect and govern and secure. So all of these things are coming at them at 100 miles per hour while they're just trying to live one day at a time. And unless they really develop this overall security operating model helped by cloud native technologies like Druva that is really providing them a true cloud native model of really giving like a touchless and an invisible protection infrastructure not just beyond backups, beyond just the data protection that we all know of into this kind of this mindset of kind of being able to look at where each of those functionalities need to lie. That's where I think they're grappling with. Now Druva is clearly helping them with keep up to pace with the public cloud innovations that they need to do and how to protect data. We just launched our EC2 offering to protect EC2 virtual machines back in AWS. And we are going to be continuing to evolve that to further many services that public cloud software 'cause our customers are really kind of consuming them at breakneck speed. >> So the new workloads, the new security capabilities. Love that, good call out there. Stephen there's still the issue of the disruption side of it. You guys have a guarantee, there's a cost to ownership as you get more tools. Can you talk about that angle of it? Because you got new workloads, you got the new security needs, what's the disruption impact? Because you won't avoid that, how much is it going to cost you? And you guys have this guarantee, can you explain that? >> Yeah, absolutely. So Druva launched our $10 million data resiliency guarantee. And for us, there were really two key parts to this. The first obviously is $10 million means that, again, we're willing to put our money where our mouth is and that's a big deal, right? That we're willing to back this with the guarantee. But then the second part and this is the part that I think reflects that sort of model that Anjan was talking about. We sort of look at this and we say, the goal of Druva is to do the job of protecting and securing your data for you. So that you as a customer don't have to do it anymore. And so the guarantee actually protects you against multiple types of risks all with SLAs. So everything from your data is going to be recoverable in the case of a ransomware attack. Okay, that's good. Of course, for it to be recoverable we're also guaranteeing your backup success rate. We're also guaranteeing the availability of the service. We're guaranteeing that the data that we're storing for you can't be compromised or leaked externally. And we're guaranteeing the long term durability of the data so that if you back up with us today and you need to recover it 30 years from now, that data is going to be recovered. So we wanted to really attack the end to end risks that affect our customers. Cybersecurity is a big deal but it is not the only problem out there. And the only way for this to work is to have a service that can provide you SLAs across all of the risks because that means, again, as a SaaS vendor, we're doing the job for you so you're buying results as opposed to technology. >> That's great point. Ransomware isn't the only problem, that's the title of this presentation. But it's a big one and people concerned about it so great stuff. And the last five minutes guys if you don't mind, I'd love to have you share what's on the horizon for Druva. You mentioned the new workloads Anjan, you mentioned this new security hearing shift left, DevOps is now the developer model, they're running IT. Yet data and security teams now stepping in and trying to be as high velocity as possible for the developers and enterprises. What's on the horizon for Druva? What trends is the company watching and how are you guys putting that together to stay ahead in the marketplace and the competition? >> I think listening to our customers, what we realize is they need help with the public cloud number one. I think that's a big wave of consumption. People are consolidating their data centers moving to the public cloud. They need help in expanding data protection which becomes the basis of a lot of the security operating model that I talked about. They need that first from Druva before they can start to get into much more advanced level of insights and analytics on that data to protect themselves and secure themselves and do interesting things with that data. So we are expanding our coverage on multiple fronts there. The second key thing is to really bring together a very insightful presentation layer which I think is very unique to Druva because only we can look at multiple tenants, multiple customers because we are a SaaS vendor. And look at insights and give them best practices and guidances and analytics that nobody else can give. There's no silo anymore because we are able to take a good big vision view and now help our customers with insights that otherwise that information map is completely missing. So we are able to guide them down a path where they can optimize which workloads need what kind of protection and then how to secure them. So that is the second level of insights and analytics that we are building. And there's a whole plethora of security offerings that we are going to build all the way from a feature level where we have things like recycle bin that's already available to our customers today to prevent any anomalous behavior and attacks that would delete their backups and then they still have a way to recover from it. But also things to curate and get back to that point in time where it is safe to recover and help them with a sandbox which they can recover confidently knowing it's not going to jeopardize them again and reinfect the whole environment again. So there's a whole bunch of things coming, but the key themes are public cloud, data insights and security. And that's where my focus is to go and get those features delivered. And Stephen can add a few more things around services that Stephen is looking to build and launch. >> Sure. So John, I think one of the other areas that we see just an enormous groundswell of interest. So public cloud is important, but there are more and more organizations that are running hundreds if not thousands of SaaS applications. And a lot of those SaaS applications have data. So there's the obvious things like Microsoft 365, Google Workspace, but we're also seeing a lot of interest in protecting Salesforce. Because if you think about it, if someone deletes some really important records in Salesforce, that's actually kind of the record of your business. And so we're looking at one more SaaS application protection and really getting deep in that application awareness. It's not just about backup and recovery. When you look at something like a Salesforce or something like a Microsoft 365, you do want to look into sandboxing, you want to look into long term archival. Because this is the new record of the business, what used to be in your on-premises databases that all lives in cloud and SaaS applications now. So that's a really big area of investment for us. The second one, just to echo what Anjan said is, one of the great things of being a SaaS provider is I have metadata that spans across thousands of customers and tens of billions of backups a year. And I'm tracking all sorts of interesting information that is going to enable us to do things like make backups more autonomous. So that customers, again, I want to do the job for them, we'll do all the tuning, we'll do all the management for them. To be able to better detect ransomware attacks, better respond to ransomware attacks because we're seeing across the globe. And then of course, being able to give them more insight into what's happening in their data environment so they can get a better security posture before any attack happens. Because let's face it, if you can set your data up more cleanly, you're going to be a lot less worried and a lot less exposed when that attack happens. So we want to be able to again, cover those SaaS applications in addition to the public cloud. And then we want to be able to use our metadata and use our analytics and use this massive pipeline we've got to deliver value to our customers. Not just charts and graphs, but actual services that enable them to focus their attention on other parts of the business. >> That's great stuff, Anjan. >> And remember John, I think all this while keeping things really easy to consume, consumer grade UI, APIs. And during the power of SaaS as a service simplicity to kind of continue on amongst kind of keeping these complex technologies together. >> Anjan, that's a great call out. I was going to mention ease of use and self-service, big part of the developer and IT experience expected it's a table stakes, love the analytic angle. I think that brings the scale to the table and faster time to value to get to learn best practices. But at the end of the day, automation, cross cloud protection and security to protect and recover. This is huge and this is a big part of not only just protecting against ransomware and other things, but really being fast and being agile. So really appreciate the insights. Thanks for sharing on this segment, really under the hood and really kind of the value of the product. Thanks for coming on, appreciate it. >> Thank you very much. >> Okay, there it is. You got the experts talk about the hood, the product, the value, the future of what's going on with Druva and the future of cloud native protecting and recovering. This is what it's all about. It's not just ransomware they have to worry about. In a moment, Dave Allante will give you some closing thoughts on the subject here. You're watching theCUBE, the leader in high tech enterprise coverage. >> As organizations migrate their business processes to multi-cloud environments, they still face numerous threats and risks of data loss. With a growing number of cloud platforms and fragmented applications, it leads to an increase in data silos, sprawl and management complexity. As workloads become more diverse, it's challenging to effectively manage data growth, infrastructure, and resource costs across multiple cloud deployments. Using numerous backup vendor solutions for multiple cloud platforms can lead to management complexity. More importantly, the lack of centralized visibility and control can leave you exposed to security vulnerabilities, including ransomware that can cripple your business. The Druva data resiliency cloud is the only 100% SaaS data resiliency platform that provides centralized, secure air gapped and immutable backup and recovery. With Druva, your data is safe with multiple layers of protection and is ready for fast recovery from cyber attacks, data corruption, or accidental data loss. Through a simple, easy to manage platform, you can seamlessly protect fragmented, diverse data at scale, across public clouds and your business critical SaaS applications. Druva is the only 100% SaaS vendor that can manage, govern, and protect data across multiple clouds and business critical SaaS applications. It supports not just backup up and recovery, but also data resiliency across high value use cases such as e-discovery, sensitive data governance, ransomware and security. No other vendor can match Druva for customer experience, infinite scale, storage optimization, data immutability and ransomware protection. The Druva data resiliency cloud, your data always safe, always ready. Visit druva.com today to schedule a free demo. (upbeat music) >> One of the big takeaways from today's program is that in the scramble to keep business flowing over the past two plus years, a lot of good technology practices have been put into place. But there's much more work to be done, specifically because the frequency of attacks is on the rise and the severity of lost, stolen or inaccessible data is so much higher today. Business resilience must be designed into architectures and solutions from the start. It cannot be an afterthought. Well, actually it can be, but you won't be happy with the results. Now, part of the answer is finding the right partners, of course, but it also means taking a systems view of your business, understanding the vulnerabilities and deploying solutions that can balance cost efficiency with appropriately high levels of protection, flexibility, and speed/accuracy of recovery. We hope you found today's program useful and informative. Remember, this session is available on demand in both its full format and the individual guest segments. All you got to do is go to thecube.net and you'll see all the content. Or you can go to druva.com. There are tons of resources available including analyst reports, customer stories. There's this cool TCO calculator. You can find out what pricing looks like and lots more. Thanks for watching Why Ransomware Isn't Your Only Problem made possible by Druva. A collaboration with IDC and presented by theCUBE, your leader in enterprise and emerging tech coverage. (upbeat music)

(soft electronic music) >> Welcome to this special CUBE Conversation. I'm John Furrier here, in theCUBE's Palo Alto studio. We're here, remotely, with Nick Halsey who's the CEO of OKERA, hot startup doing amazing work in cloud, cloud data, cloud security, policy governance as the intersection of cloud and data comes into real stable operations. That's the number one problem. People are figuring out, right now, is how to make sure that data's addressable and also secure and can be highly governed. So Nick, great to see you. Thanks for coming on theCUBE. >> It's great to be here, John, thank you. >> So you guys have a really hot company going on, here, and you guys are in an intersection, an interesting spot as the market kind of connects together as cloud is going full, kind of, whatever, 3.0, 4.0. You got the edge of the network developing with 5G, you've got space, you've got more connection points, you have more data flowing around. And the enterprises and the customers are trying to figure out, like, okay, how do I architect this thing. And oh, by the way, I got a, like all these compliance issues, too. So this is kind of what you could do. Take a minute to explain what your company's doing. >> Yeah, I'm happy to do that, John. So we're introduced a new category of software that we call universal data authorization or UDA which is really starting to gain some momentum in the market. And there're really two critical reasons why that happening. People are really struggling with how do I enable my digital transformation, my cloud migration while at the same time making sure that my data is secure and that I'm respecting the privacy of my customers, and complying with all of these emerging regulations around data privacy like GDPR, CCPA, and that alphabet soup of regulations that we're all starting to become aware of. >> I want to ask about the market opportunity because, you know, one of the things we see and the cloud covers normal conversations like, "Hey, modern applications are developing." We're starting to see cloud-native. You're starting to see these new use cases so you're starting to see new expectations from users and companies which creates new experiences. And this is throwing off all kinds of new, kinds of data approaches. And a lot of people are scratching their head and they feel like do they slow it down, they speed it up? Do I get a hold of the compliance side first? Do I innovate? So it's like a real kind of conflict between the two. >> Yeah, there's a real tension in most organizations. They're trying to transform, be agile, and use data to drive that transformation. But there's this explosion of the volume, velocity, and variety of data, we've all heard about the three Ds, we'll say there're five Ds. You know, it's really complicated. So you've got the people on the business side of the house and the Chief Data Officer who want to enable many more uses of all of these great data assets. But of course, you've got your security teams and your regulatory and compliance teams that want to make sure they're doing that in the right way. And so you've got to build a zero-trust infrastructure that allows you to be agile and be secure at the same time. And that's why you need universal data authorization because the old manual ways of trying to securely deliver data to people just don't scale in today's demanding environments. >> Well I think that's a really awesome approach, having horizontally scalable data. Like infrastructure would be a great benefit. Take me through what this means. I'd like to get you to define, if you don't mind, what is universal data authorization. What is the definition? What does that mean? >> Exactly and people are like, "I don't understand security. "I do data over here and privacy, "well I do that over here." But the reality is you really need to have the right security platform in order to express your privacy policies, right. And so in the old days, we used to just build it into the database, or we'd build it into the analytic tools. But now, we have too much data in too many platforms in too many locations being accessed by too many, you know, BI applications and A-I-M-L data apps and so you need to centralize the policy definition and policy enforcement so that it can be applied everywhere in the organization. And the example I like to give, John, is we are just like identity access management. Why do I need Okta or Sale Point, or one of those tools? Can't I just log in individually to, you know, SalesForce or to GitHub or? Sure, you can but once you have 30 or 40 systems and thousands of users, it's impossible to manage your employee onboarding and off-boarding policy in a safe and secure way. So you abstract it and then you centralize it and then you can manage and scale it. And that's the same thing you do with OKERA. We do all of the security policy enforcement for all of your data platforms via all of your analytic tools. Anything from Tableau to Databricks to Snowflake, you name it, we support those environments. And then as we're applying the security which says, "Oh, John is allowed access to this data in this format "at this time," we can also make sure that the privacy is governed so that we only show the last four digits of your social security number, or we obfuscate your home address. And we certainly don't show them your bank balance, right? So you need to enable the use of the data without violating the security and privacy rights that you need to enforce. But you can do both, with our customers are doing at incredible scale, then you have sort of digital transformation nirvana resulting from that. >> Yeah, I mean I love what you're saying with the scale piece, that's huge. At AWS's Reinforce Virtual Conference that they had to run because the event was canceled due to the Delta COVID surge, Stephen Schmidt gave a great keynote, I called it a master class, but he mainly focused on cyber security threats. But you're kind of bringing that same architectural thinking to the data privacy, data security piece. 'Cause it's not so much you're vulnerable for hacking, it's still a zero-trust infrastructure for access and management, but-- >> Well you mean you need security for many reasons. You do want to be able to protect external hacks. I mean, every week there's another T-Mobile, you know, you name it, so that's... But 30% of data breaches are by internal trusted users who have rights. So what you needed to make sure is that you're managing those rights and that you're not creating any long tails of data access privilege that can be abused, right? And you also need, one of the great benefits of using a platform like OKERA, is we have a centralized log of what everybody is doing and when, so I could see that you, John, tried to get into the salary database 37 times in the last hour and maybe we don't want to let you do that. So we have really strong stakeholder constituencies in the security and regulatory side of the house because, you know, they can integrate us with Splunk and have a single pane of glass on, weird things are happening in the network and there's, people are trying to hit these secure databases. I can really do event correlation and analysis, I can see who's touching what PII when and whether it's authorized. So people start out by using us to do the enforcement but then they get great value after they've been using us for a while, using that data, usage data, to be able to better manage their environments. >> It's interesting, you know, you bring up the compliance piece as a real added value and I wasn't trying to overlook it but it brings up a good point which is you have, you have multiple benefits when you have a platform like this. So, so take me through like, who's using the product. You must have a lot of customers kicking the tires and adopting it because architecturally, it makes a lot of sense. Take me through a deployment of what it's like in the customer environment. How are they using it? What is some of the first mover types using this approach? And what are some of the benefits they might be realizing? >> Yeah, as you would imagine, our early adopters have been primarily very large organizations that have massive amounts of data. And they tend also to be in more regulated industries like financial services, biomedical research and pharmaceuticals, retail with tons of, you know, consumer information, those are very important. So let me give you an example. We work with one of the very largest global sports retailers in the world, I can't use their name publicly, and we're managing all of their privacy rights management, GDPR, CCPA, worldwide. It's a massive undertaking. Their warehouse is over 65 petabytes in AWS. They have many thousands of users in applications. On a typical day, an average day OKERA is processing and governing six trillion rows of data every single day. On Black Friday, it peaked over 10 trillion rows of data a day, so this is scale that most people really will never get to. But one of the benefits of our architecture is that we are designed to be elastically scalable to sort of, we actually have a capability we call N scale because we can scale to the Nth degree. We really can go as far as you need to in terms of that. And it lets them do extraordinary things in terms of merchandising and profitability and market basket analysis because their teams can work with that data. And even though it's governed and redacted and obfuscated to maintain the individuals' privacy rights, we still let them see the totality of the data and do the kind of analytics that drive the business. >> So large scale, big, big customer base that wants scale, some, I'll say data's huge. What are some of the largest data lakes that you guys have been working with? 'Cause sometimes you hear people saying our data lakes got zettabytes and petabytes of content. What are some of the, give us a taste of the order of magnitude of some of the size of the data lakes and environments that your customers were able to accomplish. >> I want to emphasize that this is really important no matter what size because some of our customers are smaller tech-savvy businesses that aren't necessarily processing huge volumes of data, but it's the way that they are using the data that drives the need for us. But having said that, we're working with one major financial regulator who has a data warehouse with over 200 petabytes of data that we are responsible for providing the governance for. And one thing about that kind of scale that's really important, you know, when you want to have everybody in your organization using data at that scale, which people think of as democratizing your data, you can't just democratize the data, you also have to democratize the governance of the date, right? You can't centralize policy management in IT because then everybody who wants access to the data still has to go back to IT. So you have to make it really easy to write policy and you have to make it very easy to delegate policy management down to the departments. So I need to be able to say this person in HR is going to manage these 50 datasets for those 200 people. And I'm going to delegate the responsibility to them but I'm going to have centralized reporting and auditing so I can trust but verify, right? I can see everything they're doing and I can see how they are applying policy. And I also need to be able to set policy at the macro level at the corporate level that they inherit so I might just say I don't care who you are, nobody gets to see anything but the last four digits of your social security number. And they can do further rules beyond that but they can't change some of the master rules that you're creating. So you need to be able to do this at scale but you need to be able to do it easily with a graphical policy builder that lets you see policy in plain English. >> Okay, so you're saying scale, and then the more smaller use cases are more refined or is it more sensitive data? Regulated data? Or more just levels of granularity? Is that the use case? >> You know, I think there's two things that are really moving the market right now. So the move to remote work with COVID really changed everybody's ideas about how do you do security because you're no longer in a data center, you no longer have a firewall. The Maginot Line of security is gone away and so in a zero-trust world, you know, you have to secure four endpoints: the data, the device, the user, and the application. And so this pretty radical rethinking of security is causing everybody to think about this, big, small, or indifferent. Like, Gartner just came out with a study that said by 2025 75% of all user data in the world is going to be governed by privacy policy. So literally, everybody has to do this. And so we're seeing a lot more tech companies that manage data on behalf of other users, companies that use data as a commodity, they're transacting data. Really, really understand the needs for this and when you're doing data exchange between companies that is really delicate process that have to be highly governed. >> Yeah, I love the security redo. We asked Pat Gelsinger many, many years ago when he was a CEO of VMware what we thought about security and Dave Allante, my co-host at theCUBE said is it a do-over? He said absolutely it's a do-over. I think it was 2013. He mused around that time frame. It's kind of a do-over and you guys are hitting it. This is a key thing. Now he's actually the CEO of Intel and he's still driving forward. Love Pat's vision on this early, but this brings up the question okay, if it's a do-over and these new paradigms are existing and you guys are building a category, okay, it's a new thing. So I have to ask you, I'm sure your customers would say, "Hey, I already got that in another platform." So how do you address that because when you're new you have to convince the customer that this is a new thing. Like, I don't-- >> So, so look, if somebody is still running on Teradata and they have all their security in place and they have a single source of the truth and that's working for them, that's great. We see a lot of our adoption happening as people go on their cloud transformation journey. Because I'm lifting and shifting a lot of data up into the cloud and I'm usually also starting to acquire data from other sources as I'm doing that, and I may be now streaming it in. So when I lift and shift the data, unfortunately, all of the security infrastructure you've built gets left behind. And so a lot of times, that's the forcing function that gets people to realize that they have to make a change here, as well. And we also find other characteristics like, people who are getting proactive in their data transformation initiatives, they'll often hire a CDO, they'll start to use modern data cataloging tools and identity access management tools. And when we see people adopting those things, we understand that they are on a journey that we can help them with. And so we partner very closely with the catalog vendors, with the identity access vendors, you know, with many other parts of the data lake infrastructure because we're just part of the stack, right? But we are the last mile because we're the part of the stack that lets the user connect. >> Well I think you guys are on a wave that's massive and I think it's still, it's going to be bigger coming forward. Again, when you see categories being created it's usually at the beginning of a bigger wave. And I got to ask you because one thing's I've been really kind of harping on on theCUBE and pounding my fist on the table is these siloed approaches. And you're seeing 'em everywhere, I mean, even in the consumer world. LinkedIn's a silo. Facebook's a silo. So you have this siloed mentality. Certainly in the enterprise they're no stranger to silos. So if you want to be horizontally scalable with data you've got to have it free, you've got to break the silos. Are we going to get there? Is this the beginning? Are we breaking down the silos, Nick, or is this the time or what's your reaction to that? >> I'll tell you something, John. I have spent 30 years in the data and analytics business and I've been fortunate enough to help launch many great BI companies like Tableau and Brio Software, and Jaspersoft and Alphablocks we were talking about before the show. Every one of those companies would have been much more successful if they had OKERA because everybody wanted to spread those tools across the organization for better, more agile business analytics, but they were always held back by the security problem. And this was before privacy rights were even a thing. So now with UDA and I think hand-in-hand with identity access management, you truly have the ability to deliver analytic value at scale. And that's key, you need simplicity at scale and that is what lets you let all parts of your organization be agile with data and use it to transform the business. I think we can do that, now. Because if you run in the cloud, it's so easy, I can stand up things like Hadoop in, you know, like Databricks, like Snowflake. I could never do that in my on-prem data center but I can literally press a button and have a very sophisticated data platform, press a button, have OKERA, have enforcement. Really, almost any organization can now take advantage of what only the biggest and most sophisticated organizations use to be able to do it. >> I think Snowflake's an example for all companies that you could essentially build in the shadows of the big clouds and build your own franchise if you nail the security and privacy and that value proposition of scale and good product. So I got, I love this idea of security and privacy managed to a single platform. I'd love to get your final thought while I got you here, on programmability because I'm seeing a lot of regulators and people in the privacy world puttin' down all these rules. You got GDPR and I want to write we forgot and I got all these things... There's a trend towards programmability around extraction of data and managing data where just a simple query could be like okay, I want to know what's goin' on with my privacy and we're a media company and so we record a lot of data too, and we've got to comply with all these like, weird requests, like hey, can you, on June 10th, I want, can you take out my data? And so that's programmatic, that's not a policy thing. It's not like a lawyer with some privacy policy. That's got to be operationalized. So what's your reaction to that as this world starts to be programmable? >> Right, well that's key to our design. So we're an API first approach. We are designed to be a part of a very sophisticated mesh of technology and data so it's extremely simple to just call us to get the information that you need or to express a policy on the fly that might be created because of the current state-based things that are going on. And that's very, very important when you start to do real-time applications that require geo-fencing, you're doing 5G edge computing. It's a very dynamic environment and the policies need to change to reflect the conditions on the ground, so to speak. And so to be callable, programmable, and betable, that is an absolutely critical approach to implementing IUDA in the enterprise. >> Well this is super exciting, I feel you guys are on, again, a bigger wave than it appears. I mean security and privacy operating system, that's what you guys are. >> It is. >> It is what it is. Nick, great to chat with you. >> Couldn't have said it better. >> I love the category creation, love the mojo and I think you guys are on the right track. I love this vision merging data security policy in together into one to get some enablement and get some value creation for your customers and partners. Thanks for coming on to theCUBE. I really appreciate it. >> Now, it's my pleasure and I would just give one piece of advice to our listeners. You can use this everywhere in your organization but don't start with that. Don't boil the ocean, pick one use case like the right to be forgotten and let us help you implement that quickly so you can see the ROI and then we can go from there. >> Well I think you're going to have a customer in theCUBE. We will be calling you. We need this. We've done a lot of digital events now with the pandemic, so locked data that we didn't have to deal with before. But thanks for coming on and sharing, appreciate it. OKERA, hot startup. >> My pleasure, John and thank you so much. >> So OKERA conversation, I'm John Furrier here, in Palo Alto. Thanks for watching. (soft electronic music)

from the cube studios in Palo Alto in Boston connecting with thought leaders all around the world this is a cube conversation hi buddy welcome this special digital presentation where we're covering the topic of data ops and specifically how IBM is really operationalizing and automating the data pipeline with data ops and with me is Interpol Bhandari who is the global chief data officer at IBM in Nepal has always great to see you thanks for coming on my pleasure you know the standard throw away question from guys like me is you know what keeps the chief data officer up at night well I know what's keeping you up at night it's kovat 19 how are you doing it's keeping keeping all of us yeah for sure so how you guys making out as a leader I'm interested in you know how you have responded with whether it's you know communications obviously you're doing much more stuff you know remotely you're not on airplanes certainly like you used to be but but what was your first move when you actually realized this was going to require a shift well I think one of the first things that I did was to test the ability of my organization who worked remotely this was well before the the recommendations came in from the government but just so that we wanted you know to be sure that this is something that we could pull off if there were extreme circumstances where even everybody was good and so that was one of the first things we did along with that I think another major activity that we embarked on is even that we had created this central data and AI platform for IBM using our hybrid multi cloud approach how could that be adapting very very quickly you helped with the covert situation but those were the two big items that my team embarked on very quickly and again like I said this is well before there was any recommendations from the government or even internally within IBM any recommendations but B we decided that we wanted to run ahead and make sure that we were ready to ready to operate in that fashion and I believe a lot of my colleagues did the same yeah there's a there's a conversation going on right now just around productivity hits that people may be taking because they really weren't prepared it sounds like you're pretty comfortable with the productivity impact that you're achieving oh I'm totally comfortable with the productivity in fact I will tell you that while we've gone down this spot we've realized that in some cases the productivity is actually going to be better when people are working from home and they're able to focus a lot more on the work aspect you know and this could this runs the gamut from the nature of the job where you know somebody who basically needs to be in the front of a computer and is remotely taking care of operations you know if they don't have to come in their productivity is gonna go up somebody like myself who had a long drive into work you know which I would use on phone calls but now that entire time is can be used a lot more productivity but not maybe in a lot more productive manner so there is a we realize that that there's going to be some aspects of productivity that will actually be helped by the situation provided you're able to deliver the services that you deliver with the same level of quality and satisfaction that you've always done now there were certain other aspects where you know productivity is going to be affected so you know my team there's a lot of whiteboarding that gets done there are lots of informal conversations that spark creativity but those things are much harder to replicate in a remote in life so we've got a sense of you know where we have to do some work what things together versus where we were actually going to be more productive but all in all they are very comfortable that we can pull this off no that's great I want to stay on Kovac for a moment and in the context of just data and data ops and you know why now obviously with a crisis like this it increases the imperative to really have your data act together but I want to ask you both specifically as it relates to Co vid why data ops is so important and then just generally why at this this point in our time so I mean you know the journey we've been on they you know when I joined our data strategy centered around the cloud data and AI mainly because IBM's business strategy was around that and because there wasn't the notion of ái in enterprise right there was everybody understood what AI means for the consumer but for the enterprise people don't really understand what it meant so our data strategy became one of actually making IBM itself into an AI and a BA and then using that as a showcase for our clients and customers who look a lot like us to make them into a eye on the prize and in a nutshell what that translated to was that one had to in few AI into the workflow of the key business processes of enterprise so if you think about that workflow is very demanding why do you have to be able to deliver data and insights on time just when it's needed otherwise you can essentially slow down the whole workflow of a major process with but to be able to pull all that off you need to have your own data very very streamlined so that a lot of it is automated and you're able to deliver those insights as the people who are involved in the workflow needed so we've spent a lot of time while we were making IBM into an AI enterprise and infusing AI into our keepers and thus processes into essentially a data ops pipeline that was very very streamlined which then allowed us to very quickly adapt to the covert 19 situation and I'll give you one specific example that we'll go to you know how one would say one could essentially leverage that capability that I just talked about to do this so one of the key business processes that we had taken aim at was our supply chain you know we're a global company and our supply chain is critical we have lots of suppliers and they are all over the globe and we have different types of products so that you know it has a multiplicative fact is we go from each of those you have other additional suppliers and you have events you have other events you have calamities you have political events so we have to be able to very quickly understand the risk associated with any of those events with regard to our supply chain and make appropriate adjustments on the fly so that was one of the key applications that we built on our central data and the Aqua and as part of a data ops pipeline that meant he ingested the ingestion of the several hundred sources of data had to be blazingly fast and also refreshed very very quickly also we had to then aggregate data from the outside from external sources that had to do with weather related events that had to do with political events social media feeds etcetera and overlay that on top of our map of interest with regard to our supply chain sites and also where they were supposed to deliver we'd also weaved in our capabilities here to track those shipments as they flowed and have that data flow back as well so that we would know exactly where where things were this is only possible because we had a streamlined data ops capability and we had built this central data Nai platform for IBM now you flip over to the covert 19 situation when go with 19 you know emerged and we began to realize that this was going to be a significant significant pandemic what we were able to do very quickly was to overlay the Kovach 19 incidents on top of our sites of interest as well as pick up what was being reported about those sites of interest and provide that over to our business continuity so this became an immediate exercise that we embarked but it wouldn't have been possible if you didn't have the foundation of the data ops pipeline as well as that central data Nai platform in place to help you do that very very quickly and adapt so so what I really like about this story and something that I want to drill into is it essentially a lot of organizations have a real tough time operationalizing AI and fusing it to use your word and the fact that you're doing it is really a good proof point that I want to explore a little bit so you're essentially there was a number of aspects of what you just described there was the data quality piece with your data quality in theory anyway is gonna go up with more data if you can handle it and the other was speed time to insight so you can respond more quickly if it's think about this Kovan situation if your days behind or weeks behind which is not uncommon you know sometimes even worse you just can't respond I mean these things change daily sometimes certainly within the day so is that right that's kind of the the business outcome and objective that you guys were after yes you know so trauma from an infused AI into your business processes by the overarching outcome metric that one focuses on is end to end cycle so you take that process the end-to-end process and you're trying to reduce the end-to-end cycle time by you know several factors several orders of magnitude we did for instance in my organization that have to do with the generation of metadata is data about data and that's usually a very time-consuming process and we've reduced that by over 95% by using AI you actually help in the metadata generation itself and that's applied now across the board for many different business processes that you know iBM has that's the same kind of principle that was you you'll be able to do that so that foundation essentially enables you to go after that cycle time reduction right off the bat so when you get to a situation like of open 19 situation which demands urgent action your foundation is already geared to deliver on that so I think actually we might have a graphic and then the second graphic guys if you bring up this second one I think this is Interpol what you're talking about here that sort of 95 percent reduction guys if you could bring that up would take a look at it so this is maybe not a co vid use case yeah here it is so that 95 percent reduction in in cycle time improving and data quality what we talked about there's actually some productivity metrics right this is what you're talking about here in this metadata example correct yeah yes the middle do that right it's so central to everything that one does with data I mean it's basically data about data and this is really the business metadata that we're talking about which is once you have data in your data Lee if you don't have business metadata describing what that data is then it's very hard for people who are trying to do things to determine whether they can even whether they even have access to the right data and typically this process has been done manually because somebody looks at the data they looks at the fields and they describe it and it could easily take months and what we did was we essentially use a deep learning and a natural language processing approach looked at all the data that we've had historically over an idea and we've automated the metadata generation so whether it was you know you were talking about both the data relevant for probit team or for supply chain or for a receivable process any one of our business processes this is one of those fundamental steps that one must go through to be able to get your data ready for action and if you were able to take that cycle time for that step and reduce it by 95% you can imagine the acceleration yeah and I liked it we were saying before you talk about the end to end a concept you're applying system thinking here which is very very important because you know a lot of a lot of points that I talked you'll they'll be they're so focused on one metric may be optimizing one component of that end to end but it's really the overall outcome that you're trying to achieve you you may sometimes you know be optimizing one piece but not the whole so that systems thinking is is very very important isn't it the system's thinking is extremely important overall no matter you know where you're involved in the process of designing the system but if you're the data guy it's incredibly important because not only does that give you an insight into the cycle time reduction but it also gives it clues you in into what standardization is necessary in the data so that you're able to support an eventual out you know a lot of people will go down the path of data governance and creation of data standard and you can easily boil the ocean trying to do that but if you actually start with an end-to-end view of your key processes and that by extension the outcomes associated with those processes as well as the user experience at the end of those processes and kind of then work backwards as to what are the standards that you need for the data that's going to feed into all that that's how you arrive at you know a viable practical data standards effort that you can essentially push forward with so there's there are multiple aspects when you take that end-to-end system you that helps the chief later one of the other tenets of data ops is really the ability across the organization for everybody to have visibility communications it's very key we've got another graphic that I want to show around the organizational you know in the right regime and this is a complicated situation for a lot of people but it's imperative guys if you bring up the first graphic it's imperative that organizations you know fine bring in the right stakeholders and actually identify those individuals that are going to participate so that there's full visibility everybody understands what their their roles are they're not in in silos so a guys if you could show us that first graphic that would be great but talk about the organization and the right regime they're Interpol yes yes I believe you're going to what you're gonna show up is actually my organization but I think it's yes it's very very illustrative of what one has to set up to be able to pull off the kind of impact you know so let's say we talked about that central data and AI platform that's driving the entire enterprise and you're infusing AI into key business processes like the supply chain you then create applications like the operational risk insights that we talked about and then extend it over to a faster merging and changing situation like the overt nineteen you need an organization that obviously reflects the technical aspects of the plan right so you have to have the data engineering arm and in my case there's a lot of emphasis around because that's one of those skill set areas that's really quite rare and but also very very powerful so they're the major technology arms of that there's also the governance arm that I talked about where you have to produce a set of standards and implement them and enforce them so that you're able to make this end-to-end impact but then there's also there's a there's an adoption where there's a there's a group that reports in to me very very you know empowered which essentially has to convince the rest of the organization to adopt but the key to their success has been in power in the sense that they are empowered to find like-minded individuals in our key business processes who are also empowered and if they agree they just move forward and go ahead and do it because you know we've already provided the central capabilities by central I don't mean they're all in one location we're completely global and you know it's it's it's a hybrid multi-cloud set up but it's central in the sense that it's one source to come for for trusted data as well as the expertise that you need from an AI standpoint to be able to move forward and deliver the business outcome so when these business schemes come together with the adoption that's where the magic hand so that's another another aspect of the organization that's critical and then we've also got a data officer council that I chair and that has to do with the people who are the chief data officer z' of the individual business units that we have and they're kind of my extended team into the rest of the organization and we leverage that bolt from a adoption of the platform standpoint but also in terms of defining and enforcing standard it helps us do want to come back the Ovid talked a little bit about business resiliency people I think you've probably seen the news that IBM's you know providing super computer resources to the government to fight coronavirus you've also just announced that some some RTP folks are helping first responders and nonprofits and providing capabilities for no charge which is awesome I mean it's the kind of thing look I'm sensitive the companies like IBM you know you don't want to appear to be ambulance-chasing in these times however IBM and other big tech companies you're in a position to help and that's what you're doing here so maybe you could talk a little bit about what you're doing in this regard and then we'll tie it up with just business resiliency and the importance of data right right so you know I'd explained the operational risk insights application that we had which we were using internally and be covert nineteen even be using it we were using it primarily to assess the risk to our supply chain from various events and then essentially react very very quickly to those through those events so you could manage the situation well we realize that this is something that you know several non government NGOs that big they could essentially use the ability because they have to manage many of these situations like natural disasters and so we've given that same capability to the NGOs to you and to help them to help them streamline their planning and their thinking by the same token but you talked about Oh with nineteen that same capability with the poet mine team data overlaid on top of them essentially becomes a business continuity planning and resilience because let's say I'm a supply chambers right now I can look the incidence of probe ignite and I can and I know where my suppliers are and I can see the incidence and I can say oh yes know this supplier and I can see that the incidence is going up this is likely to be affected let me move ahead and start making plans backup plans just in case it reaches a crisis level then on the other hand if you're somebody in our revenue planning you know on the finance side and you know where your keep clients and customers are located again by having that information overlaid with those sites you can make your own judgments and you can make your own assessment to do that so that's how it translates over into a business continuity and resilient resilience planning - we are internally doing that now - every department you know that's something that we are actually providing them this capability because we could build rapidly on what we had already done and to be able to do that and then as we get inside into what each of those departments do with that data because you know once they see that data once they overlay it to their sites of interest and this is you know anybody and everybody in IBM because no matter what department they're in there are going to be sites of interest that are going to be affected and they have an understanding of what those sites of interest mean in the context of the planning that they're doing and so they'll be able to make judgments but as we gain a better understanding of that we will automate those capabilities more and more for each of those specific areas and now you're talking about a comprehensive approach an AI approach to business continuity and resilience planning in the context of a large complicated organization like IBM which obviously will be of great interest to enterprise clients and customers right one of the things that we're researching now is trying to understand you know what about this crisis is gonna be permanent some things won't be but but we think many things will be there's a lot of learnings do you think that organizations will rethink business resiliency in this context that they might sub optimize profitability for example to be more prepared for crises like this with better business resiliency and what role would data play in that so no it's a very good question and timely question Dave so I mean clearly people have understood that with regard to such a pandemic the first line of beef right is it is it's not going to be so much on the medicine side because the vaccine is not even we won't be available for a period of time it has to go to development so the first line of defense is actually to take a quarantine like a pro like we've seen play out across the world and then that in effect results in an impact on the businesses right in the economic climate and the businesses there's an impact I think people have realized this now they will obviously factor this in into their into how they do business will become one of those things from if this is time talking about how this becomes permanent I think it's going to become one of those things that if you're a responsible enterprise you are going to be planning for you're going to know how to implement this on the second go-around so obviously you put those frameworks and structures in place and there will be a certain cost associated with them and one could argue that that could eat into the profitability on the other hand what I would say is because these two points really that these are fast emerging fluid situations you have to respond very very quickly to those you will end up laying out a foundation pretty much like we did which enables you to really accelerate your pipeline right so the data ops pipelines we talked about there there's a lot of automation so that you can react very quickly you know data ingestion very very rapidly that you're able to you know do that kind of thing the metadata generation just the entire pipeline that we're talking about that you're able to respond and very quickly bring in new data and then aggregated at the right levels infuse it into the workflows and then deliver it to the right people at the right time I will you know that will become a must now but once you do that you could argue that there is a cost associated with doing that but we know that the cycle time reductions on things like that they can run you know I mean I gave you the example of 95 percent you know on average we see like a 70% end to end cycle time era where we've implemented the approach that's been pretty pervasive with an idea across a business process so that in a sense in in essence then actually becomes a driver for profitability so yes it might you know this might back people into doing that but I would argue that that's probably something that's going to be very good long term for the enterprises involved and they'll be able to leverage that in their in their business and I think that just the competitive pressure of having to do that will force everybody down that path mean but I think it'll be eventually a good that end and cycle time compression is huge and I like what you're saying because it's it's not just a reduction in the expected loss during a crisis there's other residual benefits to the organization Interpol thanks so much for coming on the cube and sharing this really interesting and deep case study I know there's a lot more information out there so really appreciate your time all right take care buddy thanks for watching and this is Dave Allante for the cube and we will see you next time [Music]

>> Announcer: Live from Nashville, Tennessee, it's theCUBE, covering Commvault GO 2018. Brought to you by Commvault. >> Welcome to the Music City. You're watching theCUBE, the worldwide leader in live tech coverage. This is Commvault GO. 20-year-old company, Commvault, the third year of their show, and the first time we have theCUBE here, and the first time we've been in Nashville, Tennessee. I'm Stu Miniman, your host for one day of coverage and joining me to help unlock the Commvault is the CTO advisor, Keith Townsend. >> Good to be back on theCUBE. >> Yeah, Keith, so you've actually been to this show before. It's my first time. I've known Commvault for a long time, but, you know, we talk about companies, they're all going through some kind of digital transformation and Commvault is no exception. I love the energy that I'm seeing at this show. They've got great puns around data. Data is at the center of everything, and really comes to what we see. You know, we know that data is so important. All the tropes out there. It's the new oil, it's the new currency, it is one of the most important things, not only in IT, but in business. So what's your experience been, so far? >> So far great. You know, they did a great job, second go for me. Last year, they had Captain Sully, great inspirational talk. This year they had a comedian, Connell on it, did a fabulous job of fast-paced multimedia sessions, talking about the connection of data, our everyday lives, lives as a technologist. Really high-powered show, a lot of great conversation around data and its applicability. >> Yeah, I did love that. Steve Connell, he is a poet, and some humor, and a lot of geeky things in there, talking about, right, how data fits into all of our lives, and what we do. And then that's one of the reason's why we're here, why the customers are here, and that's what it's about. You look at a company like Commvault. They've got 10s of thousands of customers, and as the big wave's coming in, what is Cloud Mead? I like some of the messages. I know we're going to dig in, both in our analysis, as well as with the guests, how cloud is impacting this, as well as things like the wave of AI. How is that changing the product? How can I access the information? I hear things like ransomware and GDPR, and hacking. It's a dangerous time in technology, whether you're talking social media, or talking in business. So give us a little bit of background, what you're hearing. Keith, you're talking to customers in your day job all the time. How important is data? And things like backup and data recovery, where do they fit in their world? >> Well, you know what? Customers are still learning this journey. I've talked to plenty of customers that have used Commvault, competing products, and a lot of, at the low level, a lot of these guys are still thinking about it as backup, but great, great testimony from one of the larger customers, out there, Merck, who talked about using backup or data protection, as part of their data management strategy, moving workloads from worker mobility, moving workloads from cloud to cloud, location to location. Every customer is dealing with multi-cloud challenges. Stu, we've talked about multi-cloud and the keys to multi-cloud data is absolutely the most important part of getting your multi-cloud strategy, or even cloud strategy, straight. So, I'm looking forward to continuing the conversation I've had out in the field, which is customers challenged with how do I simply identify a data management strategy? To hearing Commvault's message today and throughout the guests that we'll have on, customers, partners, the entire ecosystem, about how Commvault enables multi-cloud through data management. >> Yeah, I was curious what I would see coming in. Would this be, kind of, a hard core, let's get in to the product and understand things like backup and recovery. As you know, backup's important, but recovery is everything. We heard some of the customer stories about how fast they can recover. Those are great stories. How does cloud fit into it? You had the CEO and the COO on stage talking about do you go, when you go to the cloud, do you go simple or do you go smart? And there's some nuance there that you'll want to unpack as to understanding. You know, as we look at cloud, it's not just take the way we were doing things and throw them up there. I mean Keith, they talked about tape and virtual tape. You know, I remember back when, like, the VTLs were first being a thing, I was working at a storage company back then. You know, it was a huge move. Backup, those processes, are really hardened into an environment. What do the admins have to do? What do they have to change in the way they're doing things? Let's look at the news a little bit. So, you know, there was the, Commvault did a good job, I think, of checking all the check boxes. While there was nothing that jumped out at me as, like, wow this is the first time I've heard it, it's what I'm hearing from customers. So, moving to, and as a service portfolio, they've got a full line of appliances, but it's not only hardware. If you'd like to buy the software from them, of course you could do that. Got a number of big partners. We're going to HPE on the program. We're going to have Cisco on the program. NetUP is another big, big partner here. As well as, I think that the product that they're most excited to talk about is Commvault Activate, which is really looking a lot of the governance, which, when you talk in a cloud world, is one of the biggest challenges. By the way, if people in the background hear these cheering, the Commvault employees are really excited, everybody's starting to walk on the show floor. We're in the center of it all, Keith. So, we got a preview yesterday, they actually announced it to the tech field day crew, which you and I sat in with. So, give me your thoughts as to what you saw in the product line. How does that line up with what you're hearing from customers in a competitive nature? >> So, I think I tweeted out yesterday, doing the tech field day session, Commvault does not sleep at the wheel. As you said, Stu, there's nothing amazingly new about what they announced, but a 20-year-old technology company is definitely keeping pace with the innovation that we've seen in the field. Customers want options when it comes to consuming backup and recovery. From a storage layer, they want the storage bricks, they want a hardware solution, they want to consume it via subscription, or perpetual license. They want this cloud-type capability. More importantly, they want, and they talked about it on stage today, this analytics capability. The ability to extract intelligence out of your data. Commvault calls is 4-D indexing. Other vendors just call it, simply, meta-data. But taking advantage of 15, 20 year-old data, to drive innovation in today's society, while keeping compliant with GDPR and other regulations that are coming up, sprouting up as it seems, every other week. >> I did like that terminology that you used. The 4-D innovation, because of course the fourth dimension is time and we're using intelligence. The challenge we have, as we know, is we have so much data and what do we the analytics for? They said we can use the analytics, first of all, compliance. I need to understand that I take care of that. Secondly, what if I want to cull data? What data don't I need anymore? What can I get rid of? There's huge cost savings that I can have there. And lastly, what can I get from analytics? How can I get value out of that information? And more. So, the use of analytics is something I was looking for, obviously want to talk to some of the product people, some of the customers, about what I've heard so far and talking to people. People were excited. I was actually talking to one of the partners of Commvault, they said one of the reasons they partnered deeper and are looking to work with Commvault, is they've got good tech. There's a reason they've been around for 20 years. They're a publicly traded stock. They've been doing well. They have been growing. Revenue wise, I looked, the last three years, I think they're at 700 million, they've been growing in the kind of eight to 9% year over year for the last couple years. Which, as a software company, it's not taking the world by storm, but for, in the infrastructure space, that is good growth. I do have to mention, there was some activist investor activity that came on. We actually we're going to have the CMO, we're going to have the COO on the program. We won't have the CEO, they are in the midst of going through a change there. And, you know, look, say what you will about activist investors. The reason they're getting involved is because they believe that there is more value that can be unlocked in Commvault with some changes and with product line and the things happening that's what we're starting to see here. That's why were excited to dig in and kind of understand. >> Yeah, we can see that even in some of the tech customer's testimonials. The state of Colorado net new customer. This is amazing in an area that we've seen 90 million, 250 million, easily a half a million dollars of investment in the data protection space. Commvault, 20-year-old company, still gaining traction with net new use cases and if I was an activist investor, I'd look at that. I'd look at the overall industry and thinking what can we do to unlock some of the potential of a fairly large customer base? Pretty stable company, but a very, very exciting part of the industry. >> Yeah, and Keith, you brought up meta-data. Meta-data's something that, you know, in the industry we've been talking about for a long time. It's really that intelligence that's going to allow the systems to gather everything. I know, when I get my brand new phone now, I can search my 4,000 photos by location, by date, everything like that. It's auto-recognizing information. The same thing we're getting on the business side. It used be oh okay, let's make sure when you put your photo, your file, in there that you tag it. Come on. Nobody can do this. Nobody's thinking when I'm doing my job, well I really need to think about the meta data 'cause five years from now, I might want to do it. Oh, I can search by person or project or things like that. But it's the intelligence in the system to be able to learn and grow and the more data we have, actually the more that the intelligence can get there. >> And that's critically important for even compliance. Again, culling data. You know, Bill Nye got up on stage and talked about being able to use data, or I'm sorry, AstraZeneca got up on stage and talked about using data that was 15-years-old to rerun through today's algorithms and trials. If you were to cull the wrong data, then they could not have the innovation that they've created by having 15-year-old data. So, the meta data, the ability to go back again, search your repository for key words, content, surface up that data and leverage that data. This is why we say data is the new currency, it's the new oil, it's the most critical. I even heard on stage today, data's the new water. I don't know if I'd go quite that far, you know I like my old-fashioned glass of water, but this is why we hear these terms because companies are reinventing themselves with the data. >> Alright, so Keith, what Dave Allante would point out is water is a limited resource. Data, we can reuse it. We can take a drink of data, we can share it. Data helps complete us. It's the shirts that they have at the show. We've got AstraZeneca, we've got the state of Colorado, we've got other users. The key partners, key executives. We're going to bring you the key data to help you extract the signal from the noise here at Commvault GO. For Keith Townsend, I'm Stu Miniman. Thanks for joining theCUBE. (upbeat music)

live from Las Vegas it's the cube covering service now knowledge 2018 brought to you by service now welcome back to the cubes live coverage of service now knowledge 18 we are here in Las Vegas Nevada I'm your host Rebecca Knight along with my co-host Dave allanté we are joined by John Donahoe who is the president and CEO of ServiceNow thanks so much for coming on the cube it's great to be here Rebecca so I want to talk with you a little bit about what you said on the main stage this morning you said this is your first year your anniversary of joining ServiceNow you said when you got here you could barely spell IT but when you reflect back on this year what has been sort of the biggest surprise challenges and surprises about about leading this company well I would say a couple things one I've sort of fallen in love with our customers and the challenges and opportunities they have and what I spoke about this morning this digital transformation thing even a year ago is a bit of a buzzword it's a reality for CEOs for companies and therefore for CIOs and then the second thing that is as I talked about it something very exciting is the role of the CIO the role of IT is transforming before our very eyes out of necessity because technology is here to stay technology's driving strategic change at every company can call it a digital transformation called a tech transformation and CEOs need the most technically savvy leader in the c-suite to help with that and that's often the CIO and so I think that's an enormous ly exciting opportunity for the people that are our traditional customer base and then the last thing I just I'm thrilled about is how many companies are saying that ServiceNow is a strategic platform of choice going forward far beyond just IT and so that's something to roll build upon I was struck yesterday in the Financial Analysts session you shared with us your meeting with the board yeah and you said to them look if you want to clean this thing up flip it whatever that don't hire me I'm here to build a sustainable company during company I think is what you said and the attributes of an enduring companies that are Purpose Driven they both innovate and execute they invest in talent and they have a will to win they got a fight in them a lot of good sports analogies there yeah so okay so you've set that framework where do you see this thing going in the next near term mid term and long term well we've said I think it's really important to set the aspiration of what it is you're shooting toward I've been surprised how many customers have responded well to the statement that we aspire to create a built to last company it starts with the purpose I defined our purpose and that purpose is a long term investment and our employees are already deeply resonating with the purpose and then comes the hard work the hard work of how you bring the purpose to life and our purpose and our product and the work we do with our customers all fit together you talked about automation and in many executives that we talked to kind of run away from that we don't want to talk about automation because it implies we're gonna replace humans you said hey we're at the center of automation we have to take that issue head-on what's the conversation like with the executives and customers that you talk to well the first thing is I have to think yet to look at the data which is what I've spent time doing and two things jump out one if you look at where automation is really gonna have the biggest impact it's not in any given job it's actually the third of all of our jobs that are repetitive administrative redundant right that's so we need to automate the low value-added parts of all of our jobs and then that will free our time up to be due to leverage our more creative capabilities to add more value and so if you look at it both at a micro and macro standpoint where automation is going to impact jobs it's not a given category it's more of a horizontal cut of all jobs and then secondly looking at aggregate job creation I've done a fair amount of work with James mineka the McKinsey Institute is to blow up a suit who's got to think the best objective macro study about job creation and there going to be some jobs they'll be fewer of and other jobs they'll be more of and how do we migrate the skills migration so that people have the skills for the jobs of the future one of which by the ways things like being a ServiceNow administrator you do not have to be a computer science major or an engineer to be a ServiceNow administrator you have to like technology you have to embrace technology but you can do it as a mere mortal and so we're looking at ways of how do we help retrain people to have the skills to create one of the jobs that we're creating through ServiceNow administrators John you talk to a lot of people I think five or six hundred customers know and they'll have since I met you a year ago it ServiceNow headquarters we obviously talked to a lot of people on the cube and no question every CEO the ax talked it was trying to get digital right yep they understand it but there's somewhat of a dissonance and I wonder if you sense it in and I wonder if you could talk about how ServiceNow can help wear this the c-suite gets it and they're driving for that but when you go below the line there's a lot of sometimes complacency not in our industry not in my lifetime I'll be retired by then do you hear a lot of that and how can ServiceNow help increase the urgency well I'd say I take a couple things Dave one is the c-suite gets it by not every c-suites role-modeling what's necessary without the cross-functional leadership the partnership of ITN HR and the business units then what happens by tama goes to three levels down people have functional identities and so people role model are behaving the way they see their leadership team role modeling and so if that if that c suite is embracing technology and understanding technology demands cross-functional engagement to deliver great customer experiences and employee experiences then it makes it a lot easier two three steps down the second thing I think c-suite people need to do is be able to say we take if off the table we said I talked about top-down goals most people are scared of a top-down goal the problem is if there's a not a top-down goal then people can debate if we need to make this change and how but if the CEO the c-suite says we are going to improve the employee experience and I'm setting this goal then it's when you go a level two levels down it's not if no no they said if now our job is how and so I think leadership has to do its role and I think I think the c-suite and leadership's learning how you lead and a technology enabled environment so leadership is the key and and the CEO is really leading a little suite I think the whole the whole C suite set of leaders and partnering and reaching out to one another so we I mean as you said on the main stage in many ways the technology is the easy part but what you're talking about is the hard stuff because this is the real change management and and it's human lead so what are you hearing what are you seeing and do you have any ideas for best practices I mean as you said that the the C suite needs to embrace it yes and then push that down but how do you do it what are some what are some of the things you've seen that work well here's some of the things that we're trying to do to contribute toward that because obviously we're a software platform but one is to do what I did this morning which is be more articulate about what best practice looks like what is best in class so that anyone in any organization can can go to their boss and say oh this is best practice this is best-in-class we need to emulate this and here are the returns we can get if we emulate it so one is just hold out the successes successful examples and illustrate what's required that's why I kept saying over and over this morning employee experience is not just an HR issue employee experience is not just an IT issue you need a powerful team of CIO C HR o other functional leaders and then the second thing I think is getting people on i.t to see themselves a little bit differently we have a CIO track going on upstairs with a hundred top CIOs and the whole day is around driving culture change and CIO is leader and I think good leaders they don't just allow a label to be attached to them they invest in themselves they build their skills they build change management skills communication skills and I think whether it's a CIO or IT if they're going to have the kind of transformative impact they can across the company they need to build their technical expertise along with other skill sets you heard Andrew Wilson talk about that and they need to learn to speak business and not just IT John I want to push on something that I'm discerning from you guys and get your reaction so obviously cloud you guys are born in the cloud cloud is a tailwind for you we've seen this Asif occation of business but we seem to be entering a new era moving from a cloud of remote services to one of us fabric Ubiquiti is fabric of digital services so my question is around innovation you talked about that as one of the key attributes of an enduring company what's the innovation equation going forward yeah it's not Moore's law anymore it's not cloud mobile social Big Data at least it doesn't feel that way anymore is it machine intelligence combined with cloud what do you see I think it gets down actually to what I talked about this morning user experience I think machine learning I think AI is going to be a commodity functionality we're gonna get it from AWS or Azure or Google the cloud infrastructure providers whether it's natural language processing whether it's the kind of machine learning capabilities that's that's gonna be sort of available widely then it's our job as a software platform to build that into our platform so we built machine learning capability into our platform we built chat bot functionality into our platform we built leading-edge mobile capability into our platform and again I'll call that I don't know it's the easy part but that's our job in this equation the hard job then is how you apply that to real-world use cases whether you're applying using real-world datasets specific customer data sets and real-world workflows and use cases so let me give you a small example we bought a machine learning company a year ago called DX continuum great machine learning team great machine learning technology we rebuilt it inside the ServiceNow platform okay and I don't believe a AI is a horizontal platform is I don't you know we didn't call it a name it after a a dead scientist that's out what we're gonna do and I'm not casting judgment on it but it's not a solution looking for a problem we built machine learning into our platform and then so we want to be the first user we want to use it on a specific challenge so the case we used it on our own inbound customer support we have about 800 customer support agents that serve our customers about 11 percent of their time is spent on something we call incident categorization and incident routing sounds kind of grunty terms but when summer calls with a problem we have to be able to identify what that problem is and then route it to the right person to fix the problem so 11% of our peoples time was doing that that's not a fun task so we turned on machine learning and within two weeks the machine was categorizing the issue and routing it more accurately than a human can so now what happens is our customers problems are getting solve faster and the 11% of those resources those customer support resources who are engineers in our case are focused on solving customer problems not doing what felt like an administrative task to them and so I think the actual application of machine learning the actual application in many of these these technologies it's the application that's going to matter not the invention so a lot of what you said makes it makes sense to me because you're saying that your customers are gonna be buying essentially that machine learning capability in relative and applying it in very narrow use cases to solve their business problems rather than trying to build it right and you do see some companies trying to maybe get over out over their skis and over-rotate to try to build some of that stuff that's gonna come from the technology suppliers what yours if we're doing our job the infrastructure providers the software platforms like us we're doing our job we're making it easy another small example will be mobile I talked this morning about companies everywhere need to build mobile experiences and so there one do I need to build a mobile design team a mobile coding team if you're up if you're a bank or utility or an oil and gas company or a retailer or well platforms like ours make building mobile experiences really easy for them so we're trying to build that mobile capability that design capability that Design Thinking the mobile capability into the platform so they can just get out-of-the-box functionality and they don't have to have their own mobile designers they don't have their own mobile engineers they can just be saying how do I want to use mobile inside my company and then there they're taking our mobile platform if you will and and creating mobile applications and mobile experiences that are relevant for them so your brand identity is now making work work better for people yes when you are doing your blue sky thinking about the pain points that employees feel and that job candidates feel because that's their another important part of of companies trying to keep their people happy yes what what are what do you see I mean as you said the next three to five years are going to be this the revolution is going to be in the workplace yes what do you see as sort of the biggest challenges that you want to help solve well let me just take a simple use case that that comes to mind as you mention that let's take from the time you start being recruited for a company through that let's say you get hired and get started so the recruiting process you're sending a resume and you don't know if I got in didn't get in if anyone someone may or may not contact you you may get an interview you got to find out where you're going if you're going did you get called back maybe you get an offer letter it comes you get it all set all kind of I would call an unstructured workflow let's say you get hired then the onboarding process onboarding is a classic unstructured workflow you got to go to this security to get your badge you got to go to facilities to get your desk you got to go to it2 get your laptop or mobile phone you got to get to another part of IT to get your email credentials put on you've got to enter your information into the payroll system you got to reenter your same information and pick a health care provider you got a range of the same information and and and get a in the tini system you got to do all this compliance training painting an accurate ownerís picture this is your first impression of the company you're joining now there is no reason they took my mobile phone away from me so I'm twitching there's no reason why there shouldn't be an app that says a recruit says I want to interview if the company they download the app they submit their resume based on the app we give a response in the app they say oh might my resume was accepted and I they want me to do an interview and they want me to be in Santa Clara next once at 8:00 and here's who I'm going to be meeting with and here's their background in the app then they do the interview let's say they get invited back who they're interviewing with we're inside the app okay let's say then they get an offer well then the app has more permission in the offer comes through the app you can print it or you can read it then onboarding starts onboarding can be a seamless experience it still can connect but you enter your data in once it pre fills all those systems and then in one mobile experience you're picking what's your laptop what's your healthcare system what's the bank you want your payroll in teeny to go into and all the complexity is hidden underneath it that's what we have in the consumer world our lives at home when you buy something on eBay all the complexities hidden when you pay with PayPal all the complexities hidden there's no reason why all the complexity can't be hidden in the recruiting and onboarding process and and so the technology's there to do it but it's managing all the workflows managing all the processes underneath so you can pull that together into a seamless experience and that's the kind of experience it's funny I have four grown kids my daughter she started working I won't say where but a major technology company and she's like dad what's up with this onboarding process why isn't it in a mobile app and the Millennials will start demanding this and so I I just think there's so much opportunity to make our lives at work feel more like our lives at home and you just described the capability that allow you to reach your aspirations of the next great enterprise software company when we think of great enterprise software companies we think of Oracle and si P you're nothing like Oracle and si P in my opinion and then of course you think of Salesforce different you know you're not a an SMB how should we be thinking about the next great enterprise software company so this I think this is a really important question Dave and I'd look at it through the eyes that what I heard from the 500 customers and here's what I heard they're embracing digital transformation they're embracing cloud they're embracing cloud at the infrastructure level figuring out their data center strategy and how much they embrace public cloud and then at the software platform level they're saying we want to have four to six strategic platforms and often it's the born in the cloud platforms often its sales force and workday and service now and maybe office 365 or Google for email or communications maybe if they have a supply chain ASAP and they're saying I want those platforms to work well together so no one platform should be claiming they can do everything each of us needs to figure out what's our role and how do we work with one another and our role ServiceNow I'm proud to say is one of those strategic platforms as I said earlier people see our capabilities as being connective tissues helping to pull those platforms together you know in the onboarding example we pull all the data sets and platforms together by the way we don't slap our brand on top because actually employees want to see their own brands they want to see their own company's brand they don't want to know what the enterprise software brand underneath it is they just wanna have a great experience and so I I don't view it I think the winning enterprise software I see a chance for Salesforce and workday and ServiceNow and Microsoft to all be winners and delivering this future for companies where you are the platform of platforms though correct but that's not and I'm being very careful the way I say it I'm not saying we're the top dog sure I'm saying what we're good at is cross-functional workflow actually it's probably the grunt 'ya stuff all those things and you're the best at it and we're the best at you are and our brand we're not we're not forcing our brand everywhere that we're doing it in service to our customers and so I just want to always be listening to what our customers want that's gonna be our North Star they're gonna guide us it always has been I know you know Fred Letty started that from the beginning and that's what we're gonna continue to do well John it's always a pleasure having you on the cube so thanks so much for coming on our show thank you very much Becky thank you Dave great to be happy John I'm Rebecca night for Dave Allante we will have more from ServiceNow knowledge 18 in just a little bit [Music]

(upbeat electronic music) >> Announcer: Live from Las Vegas, it's theCUBE, covering ServiceNow Knowledge 2018. Brought to you by ServiceNow. (crowd chattering) >> Hello everybody and welcome to theCUBE's live coverage of ServiceNow. We are here in Las Vegas, Nevada at The Venetian. I'm your host, Rebecca Knight. Co-hosting with Dave Vellante and Jeff Frick. It's great to be here with you-- >> Hey, Rebecca. >> doing the show. >> Busy week. >> Very busy week and we are only-- >> Busy month. (laughs) >> And it's only day one. So we just heard John Donahoe who is the new CEO, he's been CEO for a year, he was at eBay for a decade. He got up on stage and he said, "When I came "to this job I could barely spell IT." But I want to talk to you first, Dave, and say how's John doing, how's the company doing? What's your take on this? >> Well, the company's doing great. It's the fastest growing software company over a billion dollars. It's got consistent growth. 35-40% growth each quarter, year over year. It's growing sequentially, it's throwing off, it's free cash flow is actually growing faster than it's revenue, which is quite impressive. Company's got a 29 billion dollar market cap. Couple years ago ServiceNow, when Frank Slootman was running the company said, we're going to put the stake in the ground and we're going to be a four billion dollar company, I think this company's going to do four billion dollars in its sleep. I think the next milestone is how they get to 10 billion. And beyond that, how they get to 15 billion, how they take their market value from where it is today in the high 20's, low 30's, up to 100 billion. This company wants to be the next great enterprise software company. Basically automating manual tasks you wouldn't think there's that many manual left, but when you think about whether it's scheduling meetings, or scheduling travel or keeping track of medical leave, and all this other stuff that's manual, they want to automate that process. >> Right, exactly, that's what he talked, the tagline this year and really for the brand identity is making more work work better for people. He said that people are at the heart of this brand. Jeff, does this strike you as a new idea? Is this going to work for ServiceNow? >> It's not really a new idea but their kind of changing their shift. It's interesting when we saw Frank Slootman on he was always, the IT guys are my homies, right? He was very specifically focused on going after IT. And Fred's great kind of early intro was, remember the copier room with all the colored pieces of paper. (Rebecca laughs) Vacation requests, new laptop request, etc. How does he make that automated. And more importantly how does he let the people responsible for that be able to code and build a workflow. So I think the vision is consistent, they're obviously expanding beyond just, the IT are my homies, 'cause it's still ultimately workflow. And I think at the end of the day it's competition for how do you work. What screen or what app is on your screen as you go through your day to day workflow. And they're obviously trying to grab more of those processes so that you're doing them inside of ServiceNow versus one of the many other applications that you might be trying to do. >> Just to follow up on that, when Jeff and I first started covering this show it was 2013, less than 5% of ServiceNow's business was outside of the IT department. Today it's about 35% is outside the IT department. So they have their strategy of, they call it, land and expand. Christian Chabot from Tableau I think was the first I heard use that term. These guys are executing on that. Starting with IT and then moving into HR, moving into maybe facilities, moving into marketing, other parts of the organization, customer service management, security, I don't know if they count that as IT, but cohort businesses. So if you look at their financials their up-selling is phenomenal. Huge percentage of their business comes from existing customers. If you look at the anatomy of a typical ServiceNow customer, they might start with a 50 or 75 thousand dollar deal. That quickly jumps to a multi-hundred thousand dollar deal, then up to a multi-million dollar deal. And then up into the high eight figures. So it's really a tremendous story and the reason is, and Jeff you and I have talked about this a lot, is because when Fred Luddy started the company he developed a platform. He took that platform to the venture capital community and they said well what do you do with this? He said you can do anything with it. They said, yeah, get out. So he said all right I'm going to write an app. He worked at Peregrine so he wrote and IT service management app. And when ServiceNow went public, I remember Gartner Group came out and said, eh, it's a tiny little market, help desk is a dying market, flat, billion dollar TAM. Well this company's TAM, it's almost immeasurable. I mean it's, the TAM is literally in the half a trillion dollars in my view. I mean it's enormous. >> It's workflow, right, so again it's just that competition for the screen. And as everyone goes from their specialty and tries to expand, right? Sales force is trying to expand more into marketing. You've got Zendesk and other kinds of help desk platforms that are trying to get into more workflow. What they were smart is they went into IT 'cause IT controls the applications that are in shop. And so to use that as a basis, and IT touches whether it's an HR process where I need to get the person a new laptop. Or it's facilities where I need to open up a new building or etc., IT touches it all. So a really interesting way to try to grab that screen and application space via the IT systems. >> And that's where John Donahoe comes is. As you said Jeff, Frank Slootman, Data Domain, EMC, you know, IT guy. And now John Donahoe, not an IT guy, came from the consumer world, he's trying to take the ServiceNow brand into the C suite. So we have him on a little later, we're going to talk to him about sort of how he's doing that. But this is a company that's transforming, they're constantly transforming. Really trying to become a brand name, the next great enterprise software company. >> I think another thing that really came out in the keynote and also just on the main stage this morning is this idea of change is not just about the technology. In fact, the technology is the easy part. One of the things he kept saying, and he brought up other people and customers and partners to talk about his too, is that it really is a culture shift. And it really is about a different way of leading. It's a different way of bringing in the right kind of talent who are not just these IT guys, let's be honest. >> Right. >> But they are data scientists, they are creative people, they integrate design thinking into the way they do their jobs, with this over-arching goal of how do I make the employee experience better and how do I make the candidate experience better too. Because that's another part of this. It's not just the people who are already working for you. In the period where there is a war for talent-- >> Jeff: Right, right. >> you also have to be thinking about okay, how do the people that we want to get-- >> Jeff: Right. >> What's their experience like when we're trying to attract them. >> So question for you, Rebecca, 'cause you cover this space-- >> Rebecca: I do, yes. >> a lot, right, and you write for MIT and-- >> Rebecca: HBR. >> HBR and the new way to work and the good, I'm trying to remember-- >> Rebecca: It's called Best Practices, yeah. >> book that you did, that interview. So as it is competition for talent, how did it strike you? 'Cause at the end of the day that's really what it's all about. How do you get and retain the best people when there just aren't enough people for all the jobs that are out there. >> It's interesting because I do feel as though, obviously, you want to be able to enjoy your workday and that's what Andrew Wilson at Accenture was talking about, really it's about having fun. And it's about having it be a great experience. At the same time I do think the human part of work is so essential. As we've talked about before, you don't quit jobs you quit bosses. And it really is about who is your manager and who is the person who is leading this change. >> Jeff: Right. And how are they interacting with employees and with you personally. >> But should it be fun, I mean, they're still paying you to show up. (Rebecca laughs) >> And I think sometimes we get confused. Clearly the mundane still takes-- >> Yes. >> a ridiculously too high percentage-- >> Rebecca: True. >> of time to do the routine, where there's this automation opportunity. But the other piece is the purpose piece and they brought up purpose early on in the keynote, right? >> Rebecca: Yes. >> People want to work for purpose driven organizations and the millennial workers have said they want to be involved in that. It's not just about shareholders and stakeholders and customers. So there is a bigger calling that they need to deliver on to attract and maintain the best people. >> A couple words about the show. So we do a lot of shows. This is a legit 18,000 person show, we're at the Sands Convention Center. It's crowded, the line at the Starbucks coffee the morning-- >> Rebecca: (laughs) Around the block. >> was about 60 to 65 deep, I mean that's a lot of people waiting for coffee. The other thing I want to stress is the ecosystem. When Jeff and I first started this show the ecosystem was very thin, Jeff, as you recall, and that's one of the things we said is watch the ecosystem as an indicator of progress. Well the ecosystem's exploding. You've seen acquisitions where companies like CXC and Accenture have got into the business big time. You see E&Y, Deloitte coming in as big partners now of ServiceNow and as we've often joked, the system integrators like to eat at the trough. So there's a lot of business going on in this ecosystem. >> Right, and that was part of the keynote too. The software's the easy part. It's are you investing in the change management for your people, are you investing in best practices. And if you're not then you're probably wasting some of your money. >> Great. Well it's going to be a great show, this is just segment one, we've got a lot of great guests so I'm excited to get going with both of you. >> Jeff: All right. >> Dave: All-righty. >> I'm Rebecca Knight for Dave Allante and Jeff Frick, we will have more from ServiceNow Knowledge18 coming up just after this. (electronic music)

>> Announcer: Live from Washington, D.C. It's theCUBE covering DotNext Conference. Brought to you by Nutanix. >> Welcome back to the district everybody, I'm Dave Allante with Stu Miniman, and this is theCUBE, the leader in live tech coverage. We go out to the events, and we Extract the Signal from the Noise. We're here, this is day two of the Nutanix.NEXTConf, #NEXTConf, Chris Hsu is here, sorry Calvin Hsu is here, VP of Product Marketing at Citrix. Welcome to theCUBE. >> Thank you very much, nice to be here. >> So, you're up on stage earlier today right? A lot of good action here at the show. Talk about Citrix, and what you guys are doing here. >> Yeah, so I think Citrix, Nutanix, we've had a partnership going back for quite awhile. I think what really brought us together were customers that were actually trying to solve this issue, of how do I implement VDI, and how do I do this better right, there has to be a better way. And it's funny, we were just talking about chatting a little bit before about how many different infrastructure pieces and how many different components there are to learn in order to do VDI, and that was one of the things that always kind of stood as a barrier to adoption in some of the early days, going back, I don't know several years now, and they would say, well, you got to have, be an expert in networking, you got to be an expert in storage, you got to know all the server side infrastructure, the virtualization that goes with it, and then you got to also know the desktops, and the app parts of it, and how to manage all that. And in my experience it was all that technical knowledge, but it was also, it was also the people right? So, you also had to bring those people to the table, have one VDI project, go in and talk to a customer, and we're going to do a pilot for 200 people to start, and there'd be 20 people in the room. Because everybody had different areas of responsibility. And so as Nutanix is involved, and the whole idea of hyper-conversion, and HDI that's come around, that's really been some of the basis of where VDI is kind of getting that second booster of, in it's life cycle here, where they're realizing that it could just be a few people that are responsible for that HDI infrastructure, can deploy the VDI, and now they have a more simple reliable way of implementing that solution so (mumbles). >> I mean, that's kind of where, even when I go back to the converged infrastructure world that's, VDI was the one like foothold use case with Vblock's in the early days, and the HPE stuff, or HP then, and you know I have to say, I have to ask both of you guys, because you know this business really well, and you're obviously a VDI expert but, when you talk to customers, they get really excited about VDI, they're like, "Hey, this is a great use case, "we're going to, we're doing VDI, VDI, VDI, "it was a big project effort." When you talk to the analysts they're like, "Uhhh, VDI is so boring." What is it about VDI that there's this bifurcated opinion base right? Analysts uhhhh, okay, but customers eat it up. What's going on, what...? Unpack that for us. >> Well, I mean analysts don't necessarily feel the day-to-day pain of managing a desktop right? That's what it is right, so for them it's a-- >> Well said. >> It's the truth. Well, actually I know, I know some analysts that actually did that job, and so they're the ones that are still excited about it right? But in general, like once you get past the idea of that consulting a client on the complexities, and how do you choose a vendor and, and then it comes down to a few basic things, it's which one's going to deliver the best employee experience with the solution, which one's going to be the best operationally to manage and then sort of their job is done. But then, from a IT Admin perspective it's like they're still, every day they're managing new application update, the new desktop image, and it doesn't end right? And that's dozens and dozens of hours out of every week, every month, that you spend. >> Alright let's hear from the analyst. >> Dave, it was called VDI fatigue. Every year was the year of VDI you know. I think we've gotten beyond that, because I tell you, from my viewpoint, it was wait. It was this mess of a stack, and we're going to fix that. Oh wait, now storage is the mess, now flash is going to solve that, oh wait, mobile adoption is you know, the barrier, yet the opportunity, how do we modernize our applications, the changing workforce, mobile workforce. There were always the next, the next, the next, the next, the next thing and, it reminds me of our conversations with (mumbles) you know, it was like we're never finished, and a lot of it was, it was this big category of you know, you talk about the user experience, is I think, what Citrix is focused on, and how do we make that simpler and you know, so many analysts... The other thing from an analyst is, most analysts focus on a piece of it, and this is very different. I know some analysts focus on like, user experience, and let's look at the application, that's probably closer to where VDI is then, right, if you ask the storage guys they're like ah, VDI. If you ask the desktop people they're like wait, my place is fine so, it's that, it was a really complicated problem, but it's very different today, than it was, and I have to think with Nutanix it is, must've changed in the last five years. >> Absolutely, and well, I think the other thing is that's funny is if you take it back to like 2008 right? Analysts called the VDI game really early, so it's like you're saying every year was the VDI. Before anybody was deploying it in any sort of size, they were already saying it's a, X gazillion billion dollar market and that, and it, I think it's taken awhile for the customers... The customers are still just trying to dealing with some very basic desktop management issues today, and they're probably lagging behind the industry and analysts by three to five years I'd say, right? But what I hear now is, Windows 10 is coming around the horizon, how am I going to manage Windows 10 updates? I've got an Office 365 deployment project on my hands, how am I going to get this all out, how am I going to get the functionality that every one of my end users needs? And it comes around and it's like VDI is a great answer for that, it's a great way to solve that issue. >> Calvin, one of the things that we hear from new (mumbles) customers I mean, they love that kind of one-click simplicity, one-click update, and I hear about you know, Windows 10 is like the roll-out of the next thing, and where things break. How are Citrix and Nutanix working together to solve some of these challenges? >> Yeah, I think that approach of one-click, the automation you know, both the blue-printing types of technology is what we're pulling together. All that sort of automation is really important for, for this type of environment. You know I think the, we're both willing to pull together solutions that really then, drive that simplicity for, for both the infrastructure and the management, ongoing of that solution. It's like for example, we're working together on, work on the district's workspace appliance right? And that's, for us it's not a product name that's really a program, it's a way of defining HCI infrastructure like Nutanix and they're jumping on board with this. To be able to point that thing at the Citrix Cloud, and then download all the resources that it needs in order to run a Citrix workload on it. So it's a very automated way of getting stood up, so that not only is it deployment of the infrastructure, automated and simple, but placing that workload on it, and getting it set to manage, and then even running it and operating it is more like running and operating a Cloud service than it is even operating a local infrastructure for it. >> One of the things that David Floyer from Wikibon, has done a lot of analysis saying, if we can get to basically a single-managed entity is where he calls it, so I can have the entire thing comes out, not just the infrastructure, but all the way through the stack. Not only does that really help your deployment, but the overall kind of time-to-value, customer experience is just tremendously improved, tell us how you're helping to kind of reach that vision. >> Yeah, well I think it's time-to-value, but it's also making VDI accessible to more customers right, and more segments of the market. The types of things that VDI solves, security, manageability, those aren't just enterprise problems right? Even midsize companies, they have security concerns, and for them it's actually probably even more dramatic, like they have a breach there, and it's catastrophic for the company, not just, you know we're delayed by a few hours. And so you know, having that simplicity, and then making that whole thing easier to deploy, and faster, it's not just easier to deploy, but on day two, it's easier to manage ongoing. Those things are getting into tension again. >> So for years I remember in the Citrix, Synergy, a bunch of VMware, VM world's, talked to customers, and it was always a two-horse race between those two companies, and Citrix was like Secretariat, and VMware was like Devil His Due. You've probably never heard of Devil His Due. Pretty good horse but not Secretariat, and you guys, Citrix was the dominant player in that marketplace. What's the competitive situation today? It seems like VMware has made some acquisitions, has maybe caught up, maybe has some advantages, what, how do you see them as a competitor? >> I, so I think where Citrix is, I think that what really happens in the competitors space now is that it becomes less about VDI, versus VDI, and like what features are in each one. Although I could talk for hours, I think there's still a bunch of differentiation in there. You know earlier talking about user experience, I think the way we're looking at this market, and what's happening to it right now, is less about sort of user experience in the sense of a classic protocol versus protocol sense, in a technical sense, and more about, and I'll use the term more and more often about employee experience, alright, so it's not just what is the performance of my virtual desktop when I'm on x-y-z device, over a certain network. It is what happens that first time I give an employee a resource, or a virtual desktop, or a mobile application, or access to a SAS application, or an internally-hosted Web application through a virtual browser, and they go in and they, they want to get work done right? So the experience of that employee is now, not just one of these technologies, it is what we refer to as workspace technology. It's everything I need from the applications, to the files that I want to use, to the workflows that I want to kick off, and I think that will be their new area of differentiation, and again, that's where we want to move very far for. >> Calvin, what should we be expecting to see from Citrix and Nutanix going for a long partnership, and how does it improve even more for customers? >> I think you know, the stuff that Nutanix has announced here, with the whole Hybrid Cloud strategy, I think that very much is in alignment with our philosophy on Hybrid Cloud approaches for customers. So I would expect to see a lot more in that collaboration area. There's lots more that we can do on the NetScaler side of the business for networking, and enabling the reliability of a lot of these network connections as people become, you know I love that concept of the core, the distributing the Edge Cloud right, and all of that's going to need interconnectivity, and security and reliability. And you know, more of the same on making VDI simpler for, for all customers of all sizes. I think we're just at the cusp of you know we've got this automation plan going in, we're creating the workspace appliance in its simplicity there. I think there's a lot more we can do, again, from day two perspective operationally, as I keep going and I'm growing this thing, and I'm managing my images, and I'm managing applications, and growing the infrastructure, increasing performance, taking on different types of workloads, there's lots more we can do in that area. >> What is the all Citrix Stack Workplace Appliance? >> Right, so that is really the Nutanix has announced support for XenServer, and for us, you know XenServer, we've really done a transformation of that technology over the last couple years, where we've taken what was a general platform virtualization solution, and we've really specifically targeted at our workloads. At XenApp, XenDesktop, NetScaler, and making it the best virtualization platform for our, for our solutions. Why do we do that? We do that because there's going to be certain things that we need out of that layer from an innovation standpoint whether it's supporting graphics, which we were the first to do, across all the major ship vendors, virtual GPUs, coming up with new security paradigms like being able to do deep Hypervisor Introspection, and identify day one malware attacks before they, even infect any of the machines. You know, those sorts of innovations become really important that we can drive, and having control over XenServer we're able to do that. So through the partnership with Nutanix, and getting their support on that as well, then all the joint Nutanix and Citrix customers could take advantage of that innovation. So now they also have the obviously at their disposal, everything that Nutanix is putting into HV, everything we're putting into XenServer, and being able to manage it that way. So, in the workspace appliance, sort of reference guide for building this, one of the things we focus on is the XenServer component of it, and being able to have that innovation coming from Citrix as part of that solution. >> Great. Calvin, thanks very much for coming to theCUBE, appreciate your time, and your insights. >> Thank you, yeah it's good to be here. >> Good to see you. Alright, keep it right there buddy, Stu and I will be back with our next guest. We're live from DotNext, #NEXTConf, this is theCUBE. (techno music)

live from las vegas it's the cube covering discover 2016 las vegas brought to you by Hewlett Packard Enterprise now you're your host John furrier and Dave vellante okay welcome back here and we are here live in Las Vegas for HP discover 2016 exclusive coverage from SiliconANGLE media's two cubes our flagship program we go out to the events and extract the signal noise i'm john / with my co-host dave allante and our next guest is Bobby Patrick CMO of the cloud enterprise group at HPE and Michael Loomis head of sales of global enterprise that at nuage networks pardon now part of Nokia that's right welcome back to the cube welcome for the first time thank you very much may the cube alumni club that's right it's bro my cabin I leave I gotta get a platinum membership now no VIP Thompson after six times you got we people want have a cube alumni event at these events so it's be fun next year like that we'll look at that yeah Bobby I want to get touch base on the cloud you also you'd run in the cloud group I Nokia's customer of you guys obviously HP everyone knows the history had the public cloud they kind of pivoted over and now you guys found your swim lane alright you to just take a minute right to clarify Andrey amplify what we talked about last and right I'm in London around HP's cloud strategy it's not like it's not define you guys have a clear line of sight right take a minute to just share your vision and the specifically the company's cloud strategy yeah thanks John it's great to be here again you know cloud is the catalyst for our customers transformation and our partners and got 24 here at discover onstage showcasing he lien at healing at work it up I've been there two years now and our cloud strategy couldn't be any more on fire and working this three prongs to it the first one is we want to help customers in a multi cloud world source manager consume cloud services across traditional IT private managed in public rightly so the azure partnership before we have dropbox now as well and others so we're demonstrating that second one is we want to partner with the leading technology so you mentioned the public cloud we used to have in the past now we're focused on that part of the right mix of our customers cloud strategy on public cloud partnerships so you see that Microsoft Azure specialty clouds like enter links around document collaboration you know doc Dropbox so all examples of demonstrating around partner clouds and the third one is we want to integrate our solutions with those clouds as well so managing that multi-cloud world is complex working with becomes like Nokia we're taking healing and healing OpenStack is giving Cloud Foundry we're layering on it called cloud orchestration which we now bundle as our healing Cloud suite today and we pull in public cloud we pull in manage private and traditional IT into one single solution for our customers so you mentioned as your and there's nothing in the announcements this morning that mention as yours that's the previous relationship right we announced our partners with as your last discover this one there's a number of announcements just showing it at work right our managed cloud broker offering cloud brokerage is a really big deal now for CIOs trying to manage a multi-cloud world now extends to azure so there's a lot of those announcements are going to see throughout discover with Azure and there's gonna be some other cloud announcements as well well we'll get to the eucalyptus AWS relationship kind of late if I wanted to ask you specifically around the strategy and how you see the cloud enabling delivery and on the opening i mentioned dave was asking about my views on HP's growth and I kind of use the story of back in the old days of the many computers this little laserjet attachment to walang system was a major growth engine for HP and the rest is history so we're kind of looking at the cloud and saying okay is IOT that bolt onto the cloud that is going to lift up where cloud becomes also pervasive like many computers and then distributed computing did how are you guys enabling things like IOT right because now the hybrid cloud public private data center right is integrating together right do you see that as an integration into the cloud and you enabling those kinds of things there's actually two big kind of growth axes that I think a report right one is you mentioned IOT so the number of devices connected the amount of data just huge orders of magnitude growth you got to actually drive costs down and things as well be part of that and so that's a big deal i would say universal platform that we announced as well healing is a back-end for that so massive scale on OpenStack on our cloud line service or other so you get that Maxim economics with new wash another spreading across multiple data centers for availability we have that platform for IOT but I think from a growth in March we look at the new hpe now right the lighter nimbler stronger when i layer on our security product security's number one concern our customers have going to go into cloud you know arcsight being able to do threat detection across a hybrid cloud right right the ability to do encryption with our data secure product right bringing in our big data products like Vertica for the column data store in our in our work around Hadoop or distributed are right when you get to bring those pieces into the fold right you begin to have the ability to add on top high-value software and services more of the stack you know obviously infrastructure across the bottom so what I see is us growing share of wallet growing our strategic relevance by both by both handling the massive amounts of data that's being generated supporting the connected world but also security managing that data big data fast data and providing that full stack on top and we're bringing all those pieces together but the past HP kind of have these siloed be use in a way right not anymore all these pieces are coming together and that's a big part of my my organization responsibility so Michael talked about where nuage fits in what's the relationship where do you guys add value so nuage is a what we call a software-defined networking product it's born out of some routing technology that we've had for a number of years we started our router products back in 2001 and we're number one or number two depending on the category and service provider edge routers and when you look at the the problem of scale out and flexibility in the cloud you need some complex network constructs that may not be ready of readily available in some of those cloud tools and obviously you can't go throw an expensive service provider edge router at that problem so what we did is we took that software use that as a SDN controller to manage the forwarding tables of the virtual switches or the namespace in the case of linux container integrated that into the distribution or a cloud system like Keely on and there you go you've got a stack that can scale out at the network layer and at the composite VMware killer yeah as a solution Kyle singer always talking about network and he's so proud of his acquisition of the stn player and the sierra which is a part of the vmware but dave and i always saw always saw that the network was the bottom that you seeing a rube out there yes pacifically talk about where the network piece fits in and why that's so important right now with cloud you mentioned some technical things but is it is it really the DevOps enable or is it about the containers is it about the micro services all the above what's the key will issue network is important for scale anytime you want to go multi data center or hybrid or you want to secure your applications you got to have an advanced networking solution or an SDN solution what's driving that scale you know we approach private cloud a few years back we had the stack we were putting it together we got nice production pilots up in the customers and then we found that a lot of the applications weren't built to consume the flexibility and the scale out that we delivered with that private cloud so these enterprises are going back and they've got new applications that are coming on that are micro services oriented architectures cloud native applications and they can consume this architecture and they're starting to it's not just IOT it's lots of applications that are relooking at how to take advantage of this infrastructure it's being built and that spreads across multiple data centers and part of the hybrid cloud which is why solid networking solutions important it's absolutely critical have good networking let's get to the DevOps question I'll see the big process workloads one of the things you guys have talked about in your announcements morning was obviously workload management having the ability of flexibility by poseable infrastructure yadda yadda yeah I got it Michael you that you're developing this stuff and the thing that Dave and I here and Wikibon community from customers is make it easier for me the total cost of ownership is out of control it's super hard to do this how does this get easier how are people managing through the complexity to make it simpler and how are they managing the total cost of ownership keeley on so that's just why it's important for us because we come in and we have a lot of great networking technology but people are not going to consume that networking technology in and of themselves they need a integrated complete stack that's supported installs quickly and as an orchestration layer on top that's going to allow it to scale the staples an example this I just say annealing what specifically about helium makes it simpler lower costs so when you look at healing on one great tool set they built together is an installer tool set and so there's nice scripting that's going to take when you look at a cloud you've got OpenStack components you've got your Cloud Foundry components you got your networking components storage components and to have all of that stuff install and deploy seamlessly and scale out as demand is required that doesn't come off the shelf if you're going to self integrate some of these open source projects so that the support and service that's added with helium and then if you look at the sea a slate layer on top to manage all the components and integrate in with some of the public clouds that's what takes the technology stack from being a great set of standards and a great set of open-source products that can now be consumed well dude some installation was the biggest barrier openstax had for a long time now how complex it was to install it scale right so i think that the contract and it takes it from a stack of technology to something that actually solves a business so that business problem is IT labor right right that's right non differentiated provisioning or patching or talk about the shift that's going on within that sort of labor pool from stuff that gives you no competitive advantage out to where we are today or where we're headed we used to go into proof of concepts and the customer would one or two types they either have an OpenStack expert in there someone who had lived and breathe it and was part of the original community and they would work with us to get the initial stack up and running a guy a guy or we would have to bring that guy to the table and they get somebody that was trying to be that person we'd help them stand up OpenStack at the same time we'd go in with nuage we knew that wasn't going to work so that's when we started partnering strongly with partners like healing on who can come in and make that work for the enterprise and if you're in a CIOs position you don't want to be dependent on one or two OpenStack experts that you've got to make sure stay or you gotta hire an army of OpenStack engineers what you want is a private cloud that works in a trusted partner to deliver it for you but you want the openness and the standards-based attributes of a product like Helion so you can plug other pieces of the environment in so that's it's really important Dave just you know the average the average customer that we have today has one engineer for every 240 virtual machines with helium staccato 40 which were rolling out has we believe we can get that to 12 500 and that's because you've got a universal control plane where you've got a single pane of glass basically across all the clouds but as your AWS openstack-based clouds maybe even some vmware stack clouds as well and and you could through one see the workloads deploy them that's how you really get a continuous delivery pipeline going it's api's for developers but a single pane of glass for IT and scale what's key it's working now so it brought up VMware VMware killer when you mention it so I'll bring up the VMware question so back in the day VMware ecosystem was really robust yeah some are saying it's on the decline will see that what's the update our vmworld the cube will be there again this year but they made for every one of their partners they made ten dollars for every dollar VMware book so they threw up a lot of cash which is great but the ecosystem you know feeds the feeds that feeds the beast if you will how are you guys Bobby doing that with your partners and now do you see docker for instance enabling things like that and how does that all you have to do some sort of economic advantage for your partners can you share some insight into what you got yeah yeah yeah so in addition to you know that the terms around helping it be attractive to skill up and and transfer our partners transforming as well most of them in resellers you know they want to climb the stack now they would be more relevant to their customers the skilling up does have come with cost and one of the big things we're doing is working on go to market with them actually bringing them bringing them opportunities bringing them in the deals in the case of like with with with Nokia right the ability to to go in with them work on accounts together these are major really large significant IT transformations with our other partners as well skilling them up getting bringing them away wrapping services around their monetization services wrappers yeah they're actually building hostess back up as a service other kinds of service offerings that they build and run themselves that we will actually sell to our go-to-market channels or they'll deploy on site that you know most of our business you know seventy percent goes through the channel right was there a number can you share a number ten dollars I don't have the number by the number how do stuff how does the ecosystem build around and how they make money with helion's the services is that the apps we deploy we sell software licenses so as Helion scales out we get more workloads on the system then we're going to sell more software licenses but the ecosystem is critical for us because when you're talking about building a private cloud and you're talking about building an open private cloud which is getting away from the vendor lock that exists today which is why people are driving to some of these open source products it means that a lot of products have to come together and work well together and so it usually it's the it's the OpenStack distribution that's that's like healing on that's leading that ecosystem we're a part of that and then we get interaction with a lot of other components as a part of that ecosystem that helps build an end solution to the customer we have 360 now cloud builder partners we had 30 18 months ago will have 3018 more months right we're transforming them and they're building new businesses hire marketing services and grow in their bodies how do you see the CSC Spinco whatever we're going to call that affecting is you had basically a built-in consumer right of you know your stuff there one of the Cantonian area's biggest customers right how will that shake out you think and of course CS he has a strong relationship with AWS that's goodness but yeah yeah I think I think it's about focuses meg always says writes about it's about having companies i can really focus on their best thing right so you know we have a growth high growth a growth company focus on software and hardware and infrastucture and services I think outsourcing they're coming together with CSC they're building a be a big partner of ours but we're also part with Accenture and others as well so I think it's hella everybody to be the best of what they do we'll have relationships contractual and partnership relationships but it will allow maybe a bit more complete competition probably very very healthy you feel Alfie with the sis the big power s eyes you guys in good shape with those guys yeah in Price Waterhouse Coopers just received a partner of the year for cloud they're here in a big way accenture is here yeah I think they're they're big as well but you know our enterprise services and and they're here in a big way too and I think that will continue some of the influences out there last question wants to know about the update on equal lyptus AWS that relation down can give an update yeah so our strategy is to partner with public cloud providers many of them eucalyptus has a great story you know where obviously you go to reinvent or a big part of that you know I think there will be you'll see more to come on the public cloud partnership partnership face but will be at reinvent no to the cube watch a movie at dr. Khan as well coming up very quickly I think next week or the week after thank you okay let me avenge coming up guys thanks so much appreciate it thanks for spending the time yeah thank you i'll be Patrick Michael Loomis here on the cube this is a cube we'll be right back after this short break

no from the noise it's the cube covering vmworld 2015 brought to you by VMware and its ecosystem sponsors now your hosts John furrier and Dave vellante okay welcome back everyone we are live in San Francisco moscone north lobby at vmworld 2015 this is the cube silicon angles flagship program we go out to the events and extract the scene from the noise i'm john furrier the founder still gonna enjoy my coach dave vellante co-founder Wikibon calm research our next call our next guest is called shabaab the president and c-e-o chief opera offer vmware welcome back to the queue great to see you John Dave thanks for having me it's always good to spend time with you every vmworld we sit here it's great to have you but this year a little change of plans you did the opening keynote so were you nervous I mean usually it's girl singer it's the big stage and yeah you're the top note your peeps come on yeah i mean i don't i don't necessarily get that nervous anymore i mean if you don't have a little bit about it flies in your belly then you're not excited about doing it so it's more the nervousness about get going getting out there i mean when you first walk out and you see 20,000 sets of people looking at yeah you're like okay game on let's get going I'd like to set up this year like how you set the table up for Pat today's big great presentation but you laid out i'll c vm foundation you got vm women's thing going on today at four o'clock at them at the marriott you have a lot of product announcements kind of the blocking and tackling of the success so share with us some of the highlights because everyone's like who are whores the old school at what's not what nothing really new here and then the new folks to be in world like refresh wow a lot of new stuff here so yeah so i think it's a new stuff you know being a you know an old veteran here at vmware of more than 13 years i think it's just so exciting is how the company continues to you know innovate time and time again and we use vmworld as to showcase to be able to do that you know things that stand out for me right now is how you if you look back over time there's been a whole bunch of different technologies and companies that we're going to put vmware out of business and you come to vmworld and at first it starts with coneqtec then it's hyper-v then it's zen then it's kvn then it was OpenStack now it's containers and just watching vm we're how we think about the future make sure we embrace these new technologies that move the market forward is something we're quite proud of them we don't always view all of these things as big competitive threats we look at them as market extension opportunities for us and they all run on the same platform that we've brought to market for the mass many years so I you know and then we have some great events we have we have a vm women's conference we do every year at you know showing our diversity and we're really focused on that a lot internally at the company and then there's many events i just left we have a cio conference this year that's being hosted by our by our cio bass kire that's going really well with 40 different CIOs and we just you know keep thinking of different ways to be innovative at this conference time and time again not only technologically about how we engage with our people yeah I gotta say this year I that stands out for me as well and all some illustrations for me is one Pat's keynote today really thinks a long view of perspective because that's the tam is bigger it's not about short-term results and all this Elliott capital converses are on the Federation which is noise to the bigger picture which he basically just kills that conversation when out here's look at the future this yeah we're going after and then you got tactical stuff like DevOps which is kind of down in the trenches yeah so that's interesting that's so to me that's the highlight of for me this week so I got to ask you with that going on you're out leading the teams that actually talk to customers yes so how do you now take the vision that Pat laid out and you get the Federation construct how do you do in those deals how's everything working with VMware get some give us some data on what's going on with the with the sales the customers the deployments of solutions yeah so again yeah you know we did lay out a great vision at vmworld again this year and if you look at how we're addressing the market we're really now talking to multiple audiences where if you go back five years ago we talked to a single audience and as we engage with our customers we're talking to you know if you will the core VMware virtualization folks but now we're talking to networking teams we're talking to security we're talking to the line of business who is driving IT and we're also engaging as you said John with the developer community and one of the things that we've been focused on is not only going after those audiences but may making sure the core IT is become relevant to these next generation type of people that want to leverage our infrastructure and you know with our vision we now can turn over our vision to our core customers and say you now can internally market yourself as someone who's capable of running your legacy environment and looking at the future as well and I think that's really playing out here in the show this year and then the other area is just with nsx nsx and we showed the picture of a bullet train with it with you know this thing taking off and going extremely fast yesterday at the financial analyst meeting we had and i can tell you and just watching i just walked through the show floor over there and you go to the vmware booth in the one section that is jam-packed every time you go there is around nsx so John I'd say these customer engagements and conversations have expanded from pure virtualization to the cloud people to security and a lot of that as around NSX and then in one lasting dave is it's just our end user computing strategy I think at the conference last year we said what a difference a year makes an end-user computing in 2014 in 2015 I'll say it again what a difference a year makes we've come so far the acquisition of AirWatch has put us on the forefront of everything going on and both not virtualizing existing desktops but the world of mobility so our strategies coming together and i will tell you you talk to customers at the show they're seeing it real time well what a difference five years makes especially in that business if it's a win a 180 in that hole and use a computer space so you're talking about these different opportunities and it ties into the TAM expansion that you guys lay it out a couple years ago actually your strategic plan the reason i like talking yukos because you you're the executive who's most responsible for running the business i listen to the conference calls when I can or i read the transcripts and you know paddle give the high-level jonatha will give you the tax rates and then it comes out of carl won't you take that because you know that the business you're the executive who really isn't responsible for that and the big theme of these last you know several calls has been you know years now a couple years diversifying beyond the beyond the core of vSphere and you you're beginning to do that in a big way v san NSX vCloud air management so I wonder if you could talk about that Tam expansion and the business and how you feel about that in the momentum yeah I think one of the statistics we share on the hearings call every quarter is how our business has evolved over the years in the statistic we always use is what percentage of our business comes outside a stand alone if you will naked vSphere sales and now we're up over sixty percent of our business you know up from I think just three years ago or was only thirty percent of our business so we continue to evolve and make sure we're selling all these products the exciting part is we have all these solutions Dave at the same time when when you're thinking about from a go-to-market perspective we have to really figure out where to prioritize and how we enable our sales force to be capable of now catching all these great solutions and products we have to take to market so we've spent a lot of time on evolving and transforming our sales force to be capable of selling multiple solutions into the market but it goes way beyond Dave quite frankly our sales force it also goes to our channel as you know it just walked out solutions exchange over there you see you know 400 plus you know customers partners and ecosystem folks there they're all working with us and we have to make sure that they can move with us as quickly as we want to move as we bring these things to Marcus so it's um it's not easy I think we're doing quite well in the evolution of our go-to-market in how we're selling but it's something we're going to have to keep working on especially as you go into cloud and you have different licensing models whether it's a perpetual a subscription model or term model there's a whole bunch of things we have to do different and I think we're doing it well and the customers want that that choice but I'm glad you brought up that point because it's a great opportunity for you especially as your enterprise agreements come up for renewal now you can sell other services like bananas and bunches but it's complicated and and what I'm hearing from you is it's really the ecosystem power that allows you to do that yeah and and as well some hard work and training and the like yeah absolutely Dave in yo we do have you know use the enterprise license agreement as a vehicle and how we engage with our customers and as they come up for renewal the great news is we have a framework in place and now we have the opportunity as we continue to innovate bring more more are these products into the renewal and hopefully make them bigger as the years go on so Carl Pat said in this keynote sound but I picked up on referencing clouds can we all can't we all get along kind of like playing with that kind of phrase everyone kind of throws around so I want you to comment on that and then I want to share tweet with you then I'm going to ask you a sales motion question with how you guys are handling your sales motions with your customers in terms of the value proposition someone tweeted it's no longer the big beating the small it's the fast beating the slow get agile with VMware one cloud so one cloud any device are any on cloud and any device yeah is the key message so let's start with the cloud question first can't we all get along I think in some sense we can and we are getting along in another sense we're competing I mean this is a cooperative world we live in or I call it frenemies we're friends and enemies simultaneously it's just the world we live in an IT today and if you look at it through the lens of VMware the one thing we've said time and time again is we're going to give our customers freedom flexibility and choice I articulated this during my keynote yesterday morning and and really it's this whole notion of letting our customers choose who they partner with how they partner with them and then look to VMware and say will you still engage and we're doing that an example in the cloud space VMware obviously can run on premise with our private cloud and we can run our customers workloads in our vCloud air cloud itself or one of our partners but at the same time we'll look at our customers and say you know what if you want a provision any of your workloads and run them in an amazon cloud in a microsoft azure cloud or any other cloud out there will be the provisioning letter through what we call cmp cloud management platform and that's what helped us emerge to be the number one cloud management platform player in the industry so it's not necessarily we have to directly engage with with some of our competitors in a cloud space but we also look at our customers say hey they have great clouds we're not going to have one big homo genius cloud there's going to be many college there's going to be a heterogeneous set of infrastructure people want to use and we're going to allow them to do that but we're going to be the orchestrator of just a drill down on that the word engineering came up in Pat's cube conversation earlier today talking about cloud how cloud be many things to many people hybrid cloud is just a kind of like this should be the computing it's the outcome of engineering efforts and every customer is a different use case get workloads exactly so given that piece there that is where the resource piece comes up the unlimited resource so is that the key driver for your philosophy of in many clouds that hey let the customers engineer what they want per se is that kind of what you're getting at what we're saying is we know the customers who want to leverage many clouds out there I mean whether and it's not just infrastructure-as-a-service clouds its past clouds platform as a service and it says whether it's sales force or box or you know any of the others and we're saying we know they're going to want to use them at the same time we look at our customers and say listen we've been on a journey you know and we say we've been on a journey for the last 10 years together and there's probably no one who's provided more value right or more economic return in the data center than VMware in the last 10 years it's a rhetorical question and I'll ask customers that and they'll say yeah you're probably right and then I say it's not if it's when you're going to use a public cloud and they'll say yes and then I'll say well why don't we go on another decade long journey and make sure that exactly how you run your environment today we give you a safe passage way to go to the cloud not if but when you want to go there with the same operating model with the same tooling in the same infrastructure and when you have that conversation with VMware customers are like let's engage and let's go on another journey because I know why you can take me there and that's where our engineering comes in things like long distance vmotion backing up virtual machines in a public cloud so the engineering of what we're doing is deeply integrated into our solutions but it doesn't eliminate our customers from using other classes wiki there if I may is that you're enabling your idea giving credibility to the IT organizations that are subtitle those are your peeps right so it's the shadow IT that those guys are trying to avoid and obviously that's the edict of the organization that I t is responsible for so that to me is the key yeah I'm it's a great way to put I mean the thing that's happening now is is that what Pat brought up I want to get your conscious because this comes back your sales touch points out so you have your constituent in IT jobs so Pat said on the cube here he said they did a survey and the DevOps DevOps conference whether you're a developer or in ninety and majority the people were in IT mm-hmm so after you own that's your wheelhouse you have a great install base 10-year journey that's cool you own that so John you call it ops dev but this is nice i see i do the guys who kicked ass with virtualization so we know that exists out there but what's happening now that we're seeing here and i want to see if you guys are seeing it in the field is there's a whole nother pressure point from the app developers yeah that are rolling out massive projects are you guys touching that part of the organization the sales motion are you hearing that from customers thank you know I think the question really is how are we engaging or what are we doing to engage with probably a different set of customers and that's the developers and I would say if you talk to Robin and you talk to the marketing teams we're just reaching out to those developers we haven't historically as you both said really been talking to developers we supplied IT with an infrastructure that then they support the developer community but what you're seeing now is the developers don't believe I can give them what they want and they're going around them to other denture any cloud boat which is exactly why now VMware has a two-prong strategy we're going to go and what we're going to do is we're going to enable IT to remain the platform of choice for the developers but we're also going to go and touch the developers and give them the confidence that they can run on the existing unlimited shadow I teach that is the goal it will always exist I'm sure but for some things but you know it's been our shadow IT is always doing the cubes like it's been are indeed it's like at some point you got to operationalize it absolutely and you know if you think about it when we speak to customers what we want them to be as a service broker we want them to broker infrastructure services past services SAS service and developer services on the most efficient effective way they can run it whether its internal or external clouds and in and we don't want to create a bottleneck because you never want to slow down the speed of innovation from the developer community but if you can somehow funnel and through IT and they can get the confidence I t can get them the resources they want then it's a win-win shadow i t's born out of necessity if you can eliminate the necessity exactly wit everybody wins a crate so final question for me is what are the top conversations that you're having with customers when you know in terms of like look at just from metadata from you on like but what are some of the conversations that are there in the real down-and-dirty conversations with the customers what are they talking about what's their top concerns what's the point every probably three the first is you know the challenge they have with running their legacy data center where seventy percent of IT dollars are spent but also trying to address the needs of the business and devout developer community you know if you will supporting both sides that the divide is actually really hard and they're all struggling with it you talk to any customer of any size they're struggling with it how do you take your brownfield environment and make it capable of handling net new infrastructure of platforming solutions and applications and some of them just build brand new green field data centers and that's how they go forward so that's the first thing that we hear loud and clear from our customers the second is I don't think you know any of them believe the technology is not going to evolve and when we bring this whole notion it's a very big vision of software-defined data center to our customers they all get it and I'm confident we can deliver all the way from Network compute to storage and highly automated that is not their biggest challenge the single biggest challenge we see with our customers to getting massive scale adoption of the software-defined data center it's not technology its people their organizations are aligned on the network team on the compute team on the storage team on the dev ops team and all sudden this crappy company VMware comes in and says we're converging to technologies and now you have a mismatch between your technology organisation so sake for your transformation that people Jennifer mation is actually really hard for them to consume right so it's you know that I'd say that is the single biggest challenge that we see with our customers I'll tell you in our experience the successful organizations are the ones that damn the torpedoes bring in the technology and then figure it out as opposed to trying to figure out the organization because it'll never happen yes Oh work experience is there it's a forcing function exactly and then the third area conversation we're having with our customers you know he's around network virtualization this is you know not it's when and how fast i think we've eliminated the barrier of virtualizing the infrastructure just like we did years ago with you know ESX it took a long time for us to break through that barrier but because we broke through that barrier i think the there's a much more openness to something like that or virtualization because we've already proved it can be done in one component of the data center compute why can't we do it on networking so that's a that's a big discussion point yeah for the folks watching that last point if you look at Pat Gelson's interview he talks about where that hardon line is he sees the evolution so yeah Carl thanks for the insight I know you're super busy you got a lot of things to do your roaming the halls going to all the different events congratulations and thanks for coming on the Cuban sharing your insights thanks for having me appreciate being here every year with you guys great stuff from vmworld 2015 is the cube I'm John furrier with Dave allante live in San Francisco for the Emerald 2015 we'll be right back after this short break

live from Boston Massachusetts extracting the signal from the noise it's the kue covering HP big data conference 2015 brought to you by HP software now your host John furrier and Dave vellante okay welcome back everyone we are here live in boston massachusetts for HP's big data conference this is a special presentation of the cube our flagship program where we go out to the events and extract the season for the noise I'm John furrier with Dave allante here Wikibon down on research our next guest Stephanie McReynolds VP margon elation hot new startup that's been kind of coming out of stealth that's out there big data a lot of great stuff Stephanie welcome to the cube great see you great to be here tell us what the start at first of all because good buzz going on it's kind of stealth buzz but it's really with the fought leaders and really the you know the people in the industry who know what they're talking about like what you guys are doing so so introduce the company tells me you guys are doing and relationship with Vertica and exciting stuff absolutely a lesion is a exciting company we just started to come out of south in March of this year and we came out of self with some great production customers so eBay is a customer they have hundreds of analysts using our systems we also have square as a customer smaller analytics team but the value that you Neelix teams are getting out of this product is really being able to access their data in human context so we do some machine learning to look at how individuals are using data in an organization and take that machine learning and also gather some of the human insights about how that data is being used by experts surface that all in line with in work so what kind of data cuz Stonebreaker was kind of talking yesterday about the 3 v's which we all know but the one that's really coming mainstream in terms of a problem space is variety variety you have the different variety of schema sources and then you have a lot of unstructured exhaust or data flying around can you be specific on what you guys do yeah I mean it's interesting because there's several definitions of data and big data going around right and so I'm you know we connect to a lot of database systems and we also connect to a lot of Hadoop implementations so we deal with both structured data as well as what i consider unstructured data and i think the third part of what we do is bring in context from human created data or cumin information with which robert yesterday was talking about a little bit which is you know what happens in a lot of analytic organizations is that and there's a very manual process of documenting some of the data that's being used in these projects and that's done on wiki pages or spreadsheets that are floating around the organization and that's actually a really black base camp all these collaboration all these collaboration platforms and what you realize when you start to really get into the work of using that information to try to write your queries is that trying to reference a wiki page and then write your sequel and flip back and forth between maybe ten different documents is not very productive for the analyst so what our customers are seeing is that by consolidating all of that data and information in one place where the tables are actually reference side by side with the annotations their analysts can get from twenty to fifty percent savings and productivity and new analysts maybe more importantly new analyst can get up to speed quite a bit quicker and that square the day I was talking to one of the the data scientists and he was was talking about you know his process for finding data in the organization which prior to using elation it would take about 30 minutes going two maybe three or four people to find the data he needed for his analysis and with elation in five seconds he can run a query search for the date he wants gets it back gets all kind of all that expert annotation already around that base data said he's ready to roll he can start I'm testing some of us akashi go platform right they've heard it was it a platform and it and you said you work with a lot of database the databases right so it's tightly integrated with the database in this use case so it's interesting and you know we see databases as a source of information so we don't create copies of the data on our platform we go out and point to the data where it lies and surface that you know that data to to the end user now in the case of verdict on our relationship with Vertica and we've also integrated verdict in our stack to support we call data forensics which is the building for not an analyst who's using the system day to day but for NIT individual to understand where the behaviors around this data and the types of analysis that are being done and so verdicts a great high performance platform for dashboarding and business intelligence a back end of that providing you know quick access to aggregates so one of they will work on a vertica you guys just the engine what specifically again yeah so so we use the the vertica the vertical engine underneath our forensics product and then the that's you know one portion of our platform the rest of our platform is built out on other other technologies so verdict is part of your solution it's part of our solution it's it's one application that we part of one application we deliver so we've been talking all week about this week Colin Mahoney in his talk yesterday and I saw a pretty little history on erp how initially was highly customized and became packaged apps and he sort of pointed to a similar track with analytics although he said it's not going to be the same it's going to be more composable sort of applications I wonder and historically the analytics in the database have been closely aligned I'll say maybe not integrated you see that model continuing do you see it more packaged apps or will thus what Collins calling composable apps what's the relationship between your platforming and the application yeah so our platform is is really more tooling for those individuals that are building or creating those applications so we're helping data scientists and analysts find what algorithms they want to use as a foundation for those applications so a little bit more on the discovery side where folks are doing a lot of experiment and experimentation they may be having to prepare data in different ways in order to figure out what might work for those applications and that's where we fit in as a vendor and what's your license model and so you know we're on a subscription model we have customers that have data teams in the in the hundreds at a place like eBay you know the smaller implementations could be maybe just teams of five analyst 10a analyst fairly small spatial subscription and it's a seat base subscription but we can run in the cloud we can run on premise and we do some interesting things around securing the data where you can and see your columns bommana at the data sets for financial services organizations and our customers that have security concerns and most of those are on premise top implementation 70 talk about the inspiration of the company in about the company he's been three years since then came out of stealth what's the founders like what's the DNA the company what do you guys do differently and what was the inspiration behind this yeah what's really what's really interesting I think about the founding of the company is that and the technical founders come from both Google and Apple so you have an interesting observation that both individuals had made independently hardcore algorithmic guy and then like relevant clean yeah and both those kind of made interesting observations about how Google and Apple two of the most data-driven companies you know on the planet we're struggling and their analytics teams were struggling with being able to share queries and share data sets and there was a lot of replication of work that was happening and so much for the night you know but both of these folks from different angles kind of came together at adulation said look there's there's a lot of machine learning algorithms that could help with this process and there's also a lot of good ways with natural language processing to let people interact with their data in more natural ways the founder from from Apple Aaron key he was on the Siri team so we had a lot of experience designing products for navigability and ease of use and natural language learning and so those two perspectives coming together have created some technology fundamentals in our product and it's an experience to some scar tissue from large-scale implementations of data yeah very large-scale implementations of data and also a really deep awareness of what the human equation brings to the table so machine learning algorithms aren't enough in and of themselves and I think ken rudin had some interesting comments this morning where you know he kind of pushed it one step further and said it's not just about finding insight data science about is about having impact and you can't have impact unless you create human contacts and you have communication and collaboration around the data so we give analyst a query tool by which we surface the machine learning context that we have about the data that's being used in the organization and what queries have been running that data but we surface in a way where the human can get recommendations about how to improve their their sequel and drive towards impact and then share that understanding with other analysts in the organization so you get an innovation community that's started so who you guys targets let's step back on the page go to market now you guys are launched got some funding can you share the amount or is it private confidential or was how much did you raise who are you targeting what's your go-to market what's the value proposition give us the give us this data yeah so its initial value proposition is just really about analyst productivity that's where we're targeted how can you take your teams of analysts and everyone knows it's hard to hire these days so you're not going to be able to grow those teams out overnight how do you make the analyst the data scientist the phd's you have on staff much more productive how do you take that eighty to ninety percent of the time that they make them using stuff sharing data because I stuff you in the sharing data try to get them out of the TD of trying to just find eight in the organization and prepare it and let them really innovate and and use that to drive value back to the to the organization so we're often selling to individual analysts to analytics teams the go to market starts there and the value proposition really extends much further in the organization so you know you find teams and organizations that have been trying to document their data through traditional data governance means or ETL tools for a very long time and a lot of those projects have stalled out and the way that we crawl systems and use machine learning automation and to automate some of that documentation really gives those projects and new life in our enterprise data has always been elusive I mean do you go back decades structured day to all these pre pre built databases it's been hard right so it's you can crack that nut that's going to be a very lucrative in this opportunity I got the Duke clusters now storing everything I mean some clients we talked to here on the key customers of a CHP or IBM big companies they're storing everything just because they don't know they do it again yeah I mean if the past has been hard in part because we in some cases over manage the modeling of the data and I think what's exciting now about storing all your data in Hadoop and storing first and then asking questions later is you're able to take a more discovery oriented hypothesis testing iterative approach and if you think about how true innovation works you know you build insights on top of one another to get to the big breakthrough concepts and so I think we're at an interesting point in the market for a solution like this that can help with that increasing complexity of data environment so you just raise your series a raised nine million you maybe did some seed round before that so pretty early days for you guys you mentioned natural language processing before one of your founders are you using NLP and in your solution in any way or so we have a we have a search interface that allows you to look for that technical data to look for metadata and for data objects and by entering a simple simple natural language search terms so we are using that as part of our interface in solution right and so kind of early customer successes can you talk about any examples or yeah you know there's some great examples and jointly with Vertica square is as a customer and their analytics team is using us on a day-to-day basis not only to find data sets and the organization but to document those those data sets and eBay has hundreds of analysts that are using elation today in a day to day manner and they've seen quite a bit of productivity out of their new analysts that are coming on the system's it used to take analysts about 18 months to really get their feet around them in the ebay environment because of the complexity of all of the different systems at ebay and understanding where to go for that customer table you know that they needed to use and now analysts are up and running about six months and their data governance team has found that elation has really automated and prioritized the process around documentation for them and so it's a great light a great foundation for them there and data curators and data stewards to go in and rich the data and collaborate more with the analysts and the actual data users to get to a point of catalogued catalog data disease so what's the next you guys going to be on the road in New York Post Radek hadoop world big data NYC is coming up a big event in New York I'm Cuba visa we're getting the word out about elation and then what we're doing we have customers that are you know starting to speak about their use cases and the value that they're seeing and will be in New York market share I believe will be speaking on our behalf there to share their stories and then we're also going to a couple other conferences after that you know the fall is an exciting time which one's your big ones there so i will be at strada in New York and a September early October and then mid-october we're going to be at both teradata partners and tableaus conference as well so we connect not only to databases of all set different sorts but also to go with users are the tools yeah awesome well anything else you'd like to add share at the company is awesome we're some great things about you guys been checking around I'll see you found out about you guys and a lot of people like the company I mean a lot of insiders like moving little see you didn't raise too much cash that's raised lettin that's not the million zillion dollar round I think what led you guys take nine million yeah raised a million and I you know I think we're building this company in a traditional value oriented way great word hey stay long bringing in revenue and trying to balance that out with the venture capital investment it's not that we won't take money but we want to build this company in a very durable so the vision is to build a durable company absolutely absolutely and that may be different than some of our competitors out there these days but that's that we've and I have not taken any financing and SiliconANGLE at all so you know we're getting we believe in that and you might pass up some things but you know what have control and you guys have some good partners so congratulations um final word what's this conference like you go to a lot of events what's your take on this on this event yeah I do i do end up going to a lot of events that's part of the marketing role you know i think what's interesting about this conference is that there are a lot of great conversations that are happening and happening not just from a technology perspective but also between business people and deep thinking about how to innovate and verticals customers i think are some of the most loyal customers i've seen in the in the market so it's great in their advanced to they're talking about some pretty big problems but they're solving it's not like little point solutions it's more we architecting some devops i get a dev I'm good I got trashed on Twitter private messages all last night about me calling this a DevOps show it's not really a DevOps cloud show but there's a DevOps vibe here the people who are working on the solutions I think they're just a real of real vibe people are solving real problems and they're talking about them and they're sharing their opinions and I I think that's you know that's similar to what you see in DevOps the guys with dev ops are in the front line the real engineers their engineering so they have to engineer because of that no pretenders here that's for sure are you talking about it's not a big sales conference right it's a lot of customer content their engineering solutions talking to Peter wants a bullshit they want reaiah I mean I got a lot on the table i'm gonna i'm doing some serious work and i want serious conversations and that's refreshing for us but we love love of hits like it's all right Stephanie thinks for so much come on cubes sharing your insight congratulations good luck with the new startup hot startups here in Boston hear the verdict HP software show will be right back more on the cube after this short break you you

hey welcome back to vmworld 2013 this is the cube our flagship program out the advanced extracted from the noise I'm John furry the founders SiliconANGLE my co-host Dave allante co-founder Wikibon or go to Wikibon org for free content go to slipping the angle for the reference point for tech innovation and go to SiliconANGLE com for all the footage also go to youtube.com slash SiliconANGLE for all the replays i'm showing with my co-host hi everybody i'm dafe a lot a leak as well as here is the vice president virtualization product group that fusion-io we welcome back to the cube thank you very much it's great to be here see you guys again this venue is terrific yeah you here in a new role actually I a new company new role is very exciting to us I'm going for you how many vm Rose have you been to oh yes it's all right yeah you Jen your veteran exactly so you have seen a lot of change and that you know since virtualization I mean flash is the next big exciting thing is 0 10 years I mean a lot to change first five years just give us your perspectives you worked at VMware right five years and second five years what's just what's a summary what's the bumper sticker you know when we started off the back in like two thousand we basically like to say well what are we going to virtualize first and it was the easy stuff right take all the applications that were running that weren't very i/o intensive it wasn't the Oracle databases we want to go put on virtualization now we've got what seventy eighty percent of workloads being virtualized what's left well all the hard stuff right and that's where flash is coming in is how do we go and take the hard applications and make those sing in a virtual environment so I've seen you're at heading up the virtualization team at fusion is that correct that's the roles that's the official title yes so what's the big news for you guys this week you know we've got some very exciting deliverables that we've shown we have a technology demonstration we're doing on a new product called I ovd i Iove I basically solves the problem of how you get performance into virtual desktops without breaking persistent storage and giving you a cost that's less than a physical desktop which is what everybody wanted from the start so you have to solve the cost problem solve the performance problem I ovd I is that that's the latest port now the latest implementation of our i/o turbine software so it's a very interesting way to go and say we'll take all the benefits of the i/o memory flash platform which you know I've been you know the basics of fusion-io success so you and I had you and I had a chance to chat on last week prior to the embargo of the new yet but one of the things we were talking about and then I was I went Dave about earlier they say was that everything at the top of the stack has always been this elusive dream right when Palmer its laid out the original vision you know 2010 it was really laid out we called the software mainframe what everyone want to call it it was a stack at the top of the stack e with apps being where I tried to her hand at that now pivotal's out outside and still there was a lot of work to do in the middle ground right so yes I would say it got stalled a little bit mainly because the hypervisor stuff a lot of the middle where big data hit the scene storage virtualization network virtualization all kind of started to happen yes so with that what's happening above the stack so stuff starting to commodify the infrastructure service platform deserves but then the apps data fabrics are there so what's your at the top of the thing you got to look up what's the view and what's the trends there well one of the aspects of virtualizing flash is that we're looking at basic hypervisor level virtualization first and this was the phase one of what I owe turbine had to develop which is how do we go and solve the i/o blender problem so any virtual virtual appliances or virtual machines have to go and look carefully at how we're going to go take what looks like now a random workload and how do we accelerate that that was phase one now we have with IO vdi a very interesting way to run in the guest and add more intelligence and so the intelligence now could be paying a desktop environment how do I take advantage of common files to speed up boot times how do I take advantage of the fact that there's a substantial amount of desktop rights that actually never matter remember your desktop even that drive goes on you're like what's it doing that's all data that doesn't ever have to go to this and we could take advantage of this now intelligently at the guest and do some very interesting work to speed up acceleration make sure desktops are working fast and that's the sort of intelligence you look at and it's all based on applications and solution knowledge one of the things that I've been working on it at fusion-io so I got to ask you leave I've been coming to vmworld now probably auto six or seven years and and my remember my first vmworld I said oh my gosh storage is good to get killed right and it was everybody's complaining about storage and and so so then we started down this path of integration you know via a I and Vasa and the Lycan right and every year Wikibon does this evaluation of the integration points and we rank oh you know who's got wat and I'm looking at the other day and I'm saying all this stuff is designed to sort of minimize the the spinning disk penalty mm-hmm and I've look at the integration points that relate to flash and it's like a handful of them mm-hmm so to the extent we get to that vision it seems to be is coming soon we're all my active data we talked about this with Gary earlier well my active data is served out of flash all those other integrations that I just spent all this time and money on kind of become irrelevant that was my take so the first time I've articulated that I wonder you know you're an expert in this area and products is that a fair characterization yet for years the disk drive has been doing a dual service it's been providing both performance which it's not very good at and capacity which is very good at right and so what's happening is it as you look at flash right now this is one of the reasons fusion-io is so successful early on is a single pci card serves the performance delivery of over 200 drives and so what's happening now is there's this radical split happening where wherever you can take the performance and disaggregate it from the capacity needs now that's changing extremely fast and so we're seeing that overall or I'm going to use a disc for a relatively cold store anywhere I can provide acceleration the software stack is how we do that yeah well if I could do that through an API call right right based on some kind of policy so so where are we in terms of being able to do that and what role does fusion-io play in that regard yeah very good question we've done some very interesting things with IO control for example this is an acquisition we had recently where we're now applying quality of service across as a policy across application environments so if you want to have a sand and basically run multiple applications how do I go make sure that I've got I've got performance now that I can allocate so that I can make sure that i'm getting the performance i need for the applications i care about allocating not just baseline performance but quality of service becomes a very important differentiator that fusion-io is driving okay and i can do that through an API call that's why I can open the API yes and you can go and actually allocate this on a policy-based by your application then I can change that pretty much on the fly on the fly yes it's one way of thinking that it's not just raw performance that users care about it turns out what users care about and you know this from your own experience waiting for that look that little life you know the hourglass to change what you care about is you care about persistent or seek consistent performance as much as you care about vegetable consistent performance right yeah the one thing that drives users nuts is if they don't know when something's gonna complete right and if it's too slow then they'll throw it out and get a new one but if it's consistent and predictable and I know what's coming one of the build processes around it here's one of the area's we've spending a lot of time on we are so early with flash we spend a lot of time on solutions so if you look at what are the key solutions at flash accelerates today well its databases server virtualization VDI big data if you take those as a group we have a set of customers that have deployed and seen successful the acceleration in the field and we're just going to show other customers here's how you can do this we've stripped out all the risk of making this work in the field so talk a little bit more about the the customers and how use cases are expanding kind of where they started and where you see them going and I know that's if there's a wide variety but I wonder if we can generalize especially as your product line has begun more more robust well we've taken a mapping right now of whether you're on a server side are you on the storage side with caching are you going to basically try and bridge the gap between these and the applications look like this so within databases databases love block storage and they love fast response times you can service more customers you can save costs you can consolidate infrastructure these are terrific benefits now for how flash can make a difference in server virtualization we've got the ability to go and run more VMs more consistently that's a huge driver of getting more virtual workloads going personal desktops got that same same concept of how do I make sure that users get that level of consistent response times and then lastly in big data big data is all about processing no data is deleted anymore the data that you have is just processed over and over and over again and that processing is all consistent with high-performance flash so big daddy talking about extending in-memory analytics potentially persisting in-memory analytics right every yeah we have some is Hannah crazy but Hannah Healy persistent data we've been doing a lot of work on Hannah lately his eats it's great I mean I love we love the concept but but you talk to Hannah users and they keep telling you what goes down a lot so well we need to persist it I know you guys are working on part on helping us ap out with that problem well there's some very interesting applications we announced Spotify as a customer for example streaming music is an ideal case of how do you have very fast performance over latency sensitive applications these types of things and how you go and manage things like playlists right become very important for businesses that want to take all of the effort they were doing on managing i/o take those developers off that work put them on developing new applications or new features that you're going to use to competing as your you know your competition that's how you've changed the game right now is I don't have to actually worry about managing io because we have thousands of I ops to work with hundreds of thousands of I ops the all of a sudden what was a scarce resource in the past now you've got a lot of it so think about riorca texting that's the that's the sort of you know cathartic change we're going through right now Lee how do you talk to guys first of all there's two there's two professions to this one first one is Silicon Valley is always a new stars coming on so like are there any seats left at the table in the i/o gain we'll get to that one to say but I watch this or the second one first which is if you're an IT guy you get all the storage laying around yes you know Nass and gas and all of its laying around usually tied to some app by going server-side talk about the dynamics that you guys get in there is it a rip and replace is an extension you guys commoditize it is it just you treat storage as a a resource that can be commoditized I mean how you view that what's the solution it's very interesting one thing we're finding is that there's so much extra capacity now because customers into buying discs to deliver performance that element right if having to buy so you know 15k SAS drive gives you a hundred and fifty I ops it costs seven dollars to get that level of performance flash is relatively inexpensive at a nickel so you can all of a sudden now you can free up all of this capacity so one of the things we're seeing first off is what drives buying decisions is how do I consolidate the infrastructure I have we're consolidating physical infrastructure we're consolidating licenses as well by having this level of performance so that's one dynamic customers are come in different shapes and sizes some customers want to buy server-side flash some customers want to buy storage side flash we're delivering both we have with our eye on products and IO control products if you want to buy storage we have some very interesting ways to deploy it that way if you want to buy servers we got the fastest in the industry on the server side so you know our metal our Metro right now is that you know however you want to consume it we're going to supply the economics is you can come in and maximize pre existing investments same time get that flash data center built out is that kind of like yeah let me describe one one way we're doing that with IO vdi which is new for virtual desktops we're coming in saying we're taking all the performance dependencies from the sand and basically moving them into the server side so by having it on the server side now you can say well I'll just tap into the sand for capacity which is really what you wanted in the first place huh I just wanted to add sand for data protection and so the sand administrators is great this is what I was hoping to do in the first place give you a few terabytes you're off and running I deploy this on server side deployments basically gets you back into that seamless increments of deployment well we saw a lot of action today in the news violin filed to go possible that so competition there was always new startups coming out so what are you back to the start of a question is always a new startup iOS hot so you have some innovation what are you seeing on the on the startup scene and are there any seats left at the table well who knew storage was going to be so sexy we did I guess you guys did right shopper come on Georgie day really yeah head Jojo Jojo G of storage a sexy I'll tell you what you know he got enough expected when he turns out he's gonna taught yeah it's funny mate if there's a lot of room for innovation left this is what you know we're we're seeing you know flash by itself is one way to go and deploy this there will be others right over time what what we're looking at is once you take any imperfect media and flash like disc is an imperfect media you have to start thinking about hey how do i how do i basically overcome some of the limitations there's reliability considerations i got to make it reliable right there's density how do i go and aggregate it together there's protection i mean all of these things and so all of that tends to lead towards software innovation right software innovation is where we're putting the bulk of our effort right now on making flash more more social so everybody wants a piece of you I mean you guys came out you had like a four-year lease on the industry and you did the side because oh wow maybe yeah the flash in the pan and so so it now all these big guys investing buying you back etc so you said software is where the innovation is is that how you keep your regiment if we could talk about that a little bit and help us understand you know what we can expect generally yeah that's that's a really good question there's no doubt and I've had experience in the past at one time my career I was selling some silicon to Intel for 69 margins and the question was so how did you get away with that rest of the day thank you me too and the answer was C 45 the value prop was not about this so yeah right listen item at what's not about the silicon itself who is how did you prove out things like compatibility software value add and in our case at fusion-io solutions what we've done and what we offer to customers is it's not so much about like raw acceleration because anybody can pull a number off a data sheet and say hey we're faster in this one case what we can show is we've made these customers this much more successful in the field and so our value right now is to show that we're going to accelerate your success with flash not just accelerate some portion of your data so what are those solutions we talked about him briefly before but so what talking about in generic terms database you know I abetik stuff it was interesting actually looking we have a luxury it from a marketing standpoint of saying they're actually fairly definable so within the database case Microsoft sequel server we've got Oracle both for rack for Oracle 11 12 X my sequel if you look there when you look into virtualization well clearly we've got VMware today and then moving to hyper-v right within VDI so it's both VMware for view and Citrix and then within big data we see some very interesting we're some work there not like to comment on that for a minute because because of our success on flash just showing the raw performance then we had application developer saying hey I'd like to rewrite the applications now and so we've had some very good success with companies like sky sequel Maria DB percona of rewriting the applications now to take advantage of the native the native benefits of flash yeah so that's two orders of magnitude performance it's a very interesting dynamic right so so okay so that's that's always been fundamental to your strategy and a big part of it has mediation and you guys are kind of unique in that area I think you got it well at some point there we're moving from the early adopters so early adopters right they like words like visionary disruptive groundbreaking this is going to be de like well to the later adopters right the CIO of a grain company in the Midwest like that sounds pretty scary so what we've done now is we've reduced the risk saying hey you get these / benefits and one of the things we have we have a theme st. same planet different world and that is designed around the aha moment that occurs when people realize are you kidding me forty percent of our customers see more than 10x performance in their applications 10x in the field from our surveys 10x performance can you imagine the moment where you go really seriously I could do that while the norm is to get that low latency you know feel like hey no disc at all but you know I think that's the key so I want to ask you two final questions we wrap up the place what's so you guys also you're doing great and we were talking earlier with Gary orenstein and some other folks the stuff under the under the hood is where all the actions in the data center so yeah so I'm gonna find data centers not just one thing it's that it's a bunch of parts yeah flashes is a big part of it yeah what is the big takeaway for folks out there shares I'll give you the last word share with them in your own words what's going on with flash this year at vmworld is 10th anniversary so flash the benefits of flash are so compelling it's going to be deployed everywhere where disk has been deployed when you think about it that way all of a sudden you look at the server side you look at the storage side and you look at how you bridge the gap in between we're going to see flash come on than everyone and what fusion-io has done is said we're going to be able to give you solutions however you want to consume it will give an offering there that you can go and say the advantages that we've developed and hardware and software take that and deploy it at low risk final question please add one more you've been at vmware veteran your industry vet been on the block you've seen at the movie a few times kids going to college our kids going to college so yeah but you've been all the vm worlds what what can you share the folks from the beginning of the first vmworld to now ten years what has happened how big has it become what's your giving the order of magnitude share some perspective or experiences sure you know in the early days the question was hey there was a customer question of virtualization is it safe right just to start off with like will my data like will my apps run and so you go through that first phase right of jumping in the pool like am I going to jump it is it okay right and then you jump in and you're like wow that was pretty good right one of my experiences early on was that the first benefit was about consolidation because that drove cost improvement and then the subsequent value was around high availability and management we're seeing the same thing in flash right now and you're seeing everyone get in the act the first element is hey is it safe is it going to work how can I consolidate infrastructure we're going through that we've gone through that phase now it's how do I manage this how do I make sure it works in the applications how do i get a che how do I support vmotion these are the questions customers are asking it's an integration question we think we're in a great position to capitalize on that the castle is fusion-io thanks for me on the cube we right back with wrap up after this short break day 1 i'm john forward day volante this is silicon angles the cube here live at vmworld in San Francisco we right back after this short break