from the cube studios in Palo Alto in Boston bringing you data-driven insights from the cube and ETR this is breaking analysis with Dave vellante the ascendancy of AWS under the leadership of Andy jassy was marked by a tsunami of data and corresponding cloud services to leverage that data now those Services they mainly came in the form of Primitives I.E basic building blocks that were used by developers to create more sophisticated capabilities AWS in the 2020s being led by CEO Adam solipski will be marked by four high-level Trends in our opinion one A Rush of data that will dwarf anything we've previously seen two a doubling or even tripling down on the basic elements of cloud compute storage database security Etc three a greater emphasis on end-to-end integration of AWS services to simplify and accelerate customer adoption of cloud and four significantly deeper business integration of cloud Beyond it as an underlying element of organizational operations hello and welcome to this week's wikibon Cube insights powered by ETR in this breaking analysis we extract and analyze nuggets from John furrier's annual sit-down with the CEO of AWS we'll share data from ETR and other sources to set the context for the market and competition in cloud and we'll give you our glimpse of what to expect at re invent in 2022. now before we get into the core of our analysis Alibaba has announced earnings they always announced after the big three you know a month later and we've updated our Q3 slash November hyperscale Computing forecast for the year as seen here and we're going to spend a lot of time on this as most of you have seen the bulk of it already but suffice to say alibaba's cloud business is hitting that same macro Trend that we're seeing across the board but a more substantial slowdown than we expected and more substantial than its peers they're facing China headwinds they've been restructuring its Cloud business and it's led to significantly slower growth uh in in the you know low double digits as opposed to where we had it at 15 this puts our year-end estimates for 2022 Revenue at 161 billion still a healthy 34 growth with AWS surpassing 80 billion in 2022 Revenue now on a related note one of the big themes in Cloud that we've been reporting on is how customers are optimizing their Cloud spend it's a technique that they use and when the economy looks a little shaky and here's a graphic that we pulled from aws's website which shows the various pricing plans at a high level as you know they're much more granular than that and more sophisticated but Simplicity we'll just keep it here basically there are four levels first one here is on demand I.E pay by the drink now we're going to jump down to what we've labeled as number two spot instances that's like the right place at the right time I can use that extra capacity in the moment the third is reserved instances or RIS where I pay up front to get a discount and the fourth is sort of optimized savings plans where customers commit to a one or three year term and for a better price now you'll notice we labeled the choices in a different order than AWS presented them on its website and that's because we believe that the order that we chose is the natural progression for customers this started on demand they maybe experiment with spot instances they move to reserve instances when the cloud bill becomes too onerous and if you're large enough you lock in for one or three years okay the interesting thing is the order in which AWS presents them we believe that on-demand accounts for the majority of AWS customer spending now if you think about it those on-demand customers they're also at risk customers yeah sure there's some switching costs like egress and learning curve but many customers they have multiple clouds and they've got experience and so they're kind of already up to a learning curve and if you're not married to AWS with a longer term commitment there's less friction to switch now AWS here presents the most attractive plan from a financial perspective second after on demand and it's also the plan that makes the greatest commitment from a lock-in standpoint now In fairness to AWS it's also true that there is a trend towards subscription-based pricing and we have some data on that this chart is from an ETR drill down survey the end is 300. pay attention to the bars on the right the left side is sort of busy but the pink is subscription and you can see the trend upward the light blue is consumption based or on demand based pricing and you can see there's a steady Trend toward subscription now we'll dig into this in a later episode of Breaking analysis but we'll share with you a little some tidbits with the data that ETR provides you can select which segment is and pass or you can go up the stack Etc but so when you choose is and paths 44 of customers either prefer or are required to use on-demand pricing whereas around 40 percent of customers say they either prefer or are required to use subscription pricing again that's for is so now the further mu you move up the stack the more prominent subscription pricing becomes often with sixty percent or more for the software-based offerings that require or prefer subscription and interestingly cyber security tracks along with software at around 60 percent that that prefer subscription it's likely because as with software you're not shutting down your cyber protection on demand all right let's get into the expectations for reinvent and we're going to start with an observation in data in this 2018 book seeing digital author David michella made the point that whereas most companies apply data on the periphery of their business kind of as an add-on function successful data companies like Google and Amazon and Facebook have placed data at the core of their operations they've operationalized data and they apply machine intelligence to that foundational element why is this the fact is it's not easy to do what the internet Giants have done very very sophisticated engineering and and and cultural discipline and this brings us to reinvent 2022 in the future of cloud machine learning and AI will increasingly be infused into applications we believe the data stack and the application stack are coming together as organizations build data apps and data products data expertise is moving from the domain of Highly specialized individuals to Everyday business people and we are just at the cusp of this trend this will in our view be a massive theme of not only re invent 22 but of cloud in the 2020s the vision of data mesh We Believe jamachtagani's principles will be realized in this decade now what we'd like to do now is share with you a glimpse of the thinking of Adam solipsky from his sit down with John Furrier each year John has a one-on-one conversation with the CEO of AWS AWS he's been doing this for years and the outcome is a better understanding of the directional thinking of the leader of the number one Cloud platform so we're now going to share some direct quotes I'm going to run through them with some commentary and then bring in some ETR data to analyze the market implications here we go this is from solipsky quote I.T in general and data are moving from departments into becoming intrinsic parts of how businesses function okay we're talking here about deeper business integration let's go on to the next one quote in time we'll stop talking about people who have the word analyst we inserted data he meant data data analyst in their title rather will have hundreds of millions of people who analyze data as part of their day-to-day job most of whom will not have the word analyst anywhere in their title we're talking about graphic designers and pizza shop owners and product managers and data scientists as well he threw that in I'm going to come back to that very interesting so he's talking about here about democratizing data operationalizing data next quote customers need to be able to take an end-to-end integrated view of their entire data Journey from ingestion to storage to harmonizing the data to being able to query it doing business Intelligence and human-based Analysis and being able to collaborate and share data and we've been putting together we being Amazon together a broad Suite of tools from database to analytics to business intelligence to help customers with that and this last statement it's true Amazon has a lot of tools and you know they're beginning to become more and more integrated but again under jassy there was not a lot of emphasis on that end-to-end integrated view we believe it's clear from these statements that solipsky's customer interactions are leading him to underscore that the time has come for this capability okay continuing quote if you have data in one place you shouldn't have to move it every time you want to analyze that data couldn't agree more it would be much better if you could leave that data in place avoid all the ETL which has become a nasty three-letter word more and more we're building capabilities where you can query that data in place end quote okay this we see a lot in the marketplace Oracle with mySQL Heatwave the entire Trend toward converge database snowflake [ __ ] extending their platforms into transaction and analytics respectively and so forth a lot of the partners are are doing things as well in that vein let's go into the next quote the other phenomenon is infusing machine learning into all those capabilities yes the comments from the michelleographic come into play here infusing Ai and machine intelligence everywhere next one quote it's not a data Cloud it's not a separate Cloud it's a series of broad but integrated capabilities to help you manage the end-to-end life cycle of your data there you go we AWS are the cloud we're going to come back to that in a moment as well next set of comments around data very interesting here quote data governance is a huge issue really what customers need is to find the right balance of their organization between access to data and control and if you provide too much access then you're nervous that your data is going to end up in places that it shouldn't shouldn't be viewed by people who shouldn't be viewing it and you feel like you lack security around that data and by the way what happens then is people overreact and they lock it down so that almost nobody can see it it's those handcuffs there's data and asset are reliability we've talked about that for years okay very well put by solipsky but this is a gap in our in our view within AWS today and we're we're hoping that they close it at reinvent it's not easy to share data in a safe way within AWS today outside of your organization so we're going to look for that at re invent 2022. now all this leads to the following statement by solipsky quote data clean room is a really interesting area and I think there's a lot of different Industries in which clean rooms are applicable I think that clean rooms are an interesting way of enabling multiple parties to share and collaborate on the data while completely respecting each party's rights and their privacy mandate okay again this is a gap currently within AWS today in our view and we know snowflake is well down this path and databricks with Delta sharing is also on this curve so AWS has to address this and demonstrate this end-to-end data integration and the ability to safely share data in our view now let's bring in some ETR spending data to put some context around these comments with reference points in the form of AWS itself and its competitors and partners here's a chart from ETR that shows Net score or spending momentum on the x-axis an overlap or pervasiveness in the survey um sorry let me go back up the net scores on the y-axis and overlap or pervasiveness in the survey is on the x-axis so spending momentum by pervasiveness okay or should have share within the data set the table that's inserted there with the Reds and the greens that informs us to how the dots are positioned so it's Net score and then the shared ends are how the plots are determined now we've filtered the data on the three big data segments analytics database and machine learning slash Ai and we've only selected one company with fewer than 100 ends in the survey and that's databricks you'll see why in a moment the red dotted line indicates highly elevated customer spend at 40 percent now as usual snowflake outperforms all players on the y-axis with a Net score of 63 percent off the charts all three big U.S cloud players are above that line with Microsoft and AWS dominating the x-axis so very impressive that they have such spending momentum and they're so large and you see a number of other emerging data players like rafana and datadog mongodbs there in the mix and then more established players data players like Splunk and Tableau now you got Cisco who's gonna you know it's a it's a it's a adjacent to their core networking business but they're definitely into you know the analytics business then the really established players in data like Informatica IBM and Oracle all with strong presence but you'll notice in the red from the momentum standpoint now what you're going to see in a moment is we put red highlights around databricks Snowflake and AWS why let's bring that back up and we'll explain so there's no way let's bring that back up Alex if you would there's no way AWS is going to hit the brakes on innovating at the base service level what we call Primitives earlier solipsky told Furrier as much in their sit down that AWS will serve the technical user and data science Community the traditional domain of data bricks and at the same time address the end-to-end integration data sharing and business line requirements that snowflake is positioned to serve now people often ask Snowflake and databricks how will you compete with the likes of AWS and we know the answer focus on data exclusively they have their multi-cloud plays perhaps the more interesting question is how will AWS compete with the likes of Specialists like Snowflake and data bricks and the answer is depicted here in this chart AWS is going to serve both the technical and developer communities and the data science audience and through end-to-end Integrations and future services that simplify the data Journey they're going to serve the business lines as well but the Nuance is in all the other dots in the hundreds or hundreds of thousands that are not shown here and that's the AWS ecosystem you can see AWS has earned the status of the number one Cloud platform that everyone wants to partner with as they say it has over a hundred thousand partners and that ecosystem combined with these capabilities that we're discussing well perhaps behind in areas like data sharing and integrated governance can wildly succeed by offering the capabilities and leveraging its ecosystem now for their part the snowflakes of the world have to stay focused on the mission build the best products possible and develop their own ecosystems to compete and attract the Mind share of both developers and business users and that's why it's so interesting to hear solipski basically say it's not a separate Cloud it's a set of integrated Services well snowflake is in our view building a super cloud on top of AWS Azure and Google when great products meet great sales and marketing good things can happen so this will be really fun to watch what AWS announces in this area at re invent all right one other topic that solipsky talked about was the correlation between serverless and container adoption and you know I don't know if this gets into there certainly their hybrid place maybe it starts to get into their multi-cloud we'll see but we have some data on this so again we're talking about the correlation between serverless and container adoption but before we get into that let's go back to 2017 and listen to what Andy jassy said on the cube about serverless play the clip very very earliest days of AWS Jeff used to say a lot if I were starting Amazon today I'd have built it on top of AWS we didn't have all the capability and all the functionality at that very moment but he knew what was coming and he saw what people were still able to accomplish even with where the services were at that point I think the same thing is true here with Lambda which is I think if Amazon were starting today it's a given they would build it on the cloud and I think we with a lot of the applications that comprise Amazon's consumer business we would build those on on our serverless capabilities now we still have plenty of capabilities and features and functionality we need to add to to Lambda and our various serverless services so that may not be true from the get-go right now but I think if you look at the hundreds of thousands of customers who are building on top of Lambda and lots of real applications you know finra has built a good chunk of their market watch application on top of Lambda and Thompson Reuters has built you know one of their key analytics apps like people are building real serious things on top of Lambda and the pace of iteration you'll see there will increase as well and I really believe that to be true over the next year or two so years ago when Jesse gave a road map that serverless was going to be a key developer platform going forward and so lipsky referenced the correlation between serverless and containers in the Furrier sit down so we wanted to test that within the ETR data set now here's a screen grab of The View across 1300 respondents from the October ETR survey and what we've done here is we've isolated on the cloud computing segment okay so you can see right there cloud computing segment now we've taken the functions from Google AWS Lambda and Microsoft Azure functions all the serverless offerings and we've got Net score on the vertical axis we've got presence in the data set oh by the way 440 by the way is highly elevated remember that and then we've got on the horizontal axis we have the presence in the data center overlap okay that's relative to each other so remember 40 all these guys are above that 40 mark okay so you see that now what we're going to do this is just for serverless and what we're going to do is we're going to turn on containers to see the correlation and see what happens so watch what happens when we click on container boom everything moves to the right you can see all three move to the right Google drops a little bit but all the others now the the filtered end drops as well so you don't have as many people that are aggressively leaning into both but all three move to the right so watch again containers off and then containers on containers off containers on so you can see a really major correlation between containers and serverless okay so to get a better understanding of what that means I call my friend and former Cube co-host Stu miniman what he said was people generally used to think of VMS containers and serverless as distinctly different architectures but the lines are beginning to blur serverless makes things simpler for developers who don't want to worry about underlying infrastructure as solipsky and the data from ETR indicate serverless and containers are coming together but as Stu and I discussed there's a spectrum where on the left you have kind of native Cloud VMS in the middle you got AWS fargate and in the rightmost anchor is Lambda AWS Lambda now traditionally in the cloud if you wanted to use containers developers would have to build a container image they have to select and deploy the ec2 images that they or instances that they wanted to use they have to allocate a certain amount of memory and then fence off the apps in a virtual machine and then run the ec2 instances against the apps and then pay for all those ec2 resources now with AWS fargate you can run containerized apps with less infrastructure management but you still have some you know things that you can you can you can do with the with the infrastructure so with fargate what you do is you'd build the container images then you'd allocate your memory and compute resources then run the app and pay for the resources only when they're used so fargate lets you control the runtime environment while at the same time simplifying the infrastructure management you gotta you don't have to worry about isolating the app and other stuff like choosing server types and patching AWS does all that for you then there's Lambda with Lambda you don't have to worry about any of the underlying server infrastructure you're just running code AS functions so the developer spends their time worrying about the applications and the functions that you're calling the point is there's a movement and we saw in the data towards simplifying the development environment and allowing the cloud vendor AWS in this case to do more of the underlying management now some folks will still want to turn knobs and dials but increasingly we're going to see more higher level service adoption now re invent is always a fire hose of content so let's do a rapid rundown of what to expect we talked about operate optimizing data and the organization we talked about Cloud optimization there'll be a lot of talk on the show floor about best practices and customer sharing data solipsky is leading AWS into the next phase of growth and that means moving beyond I.T transformation into deeper business integration and organizational transformation not just digital transformation organizational transformation so he's leading a multi-vector strategy serving the traditional peeps who want fine-grained access to core services so we'll see continued Innovation compute storage AI Etc and simplification through integration and horizontal apps further up to stack Amazon connect is an example that's often cited now as we've reported many times databricks is moving from its stronghold realm of data science into business intelligence and analytics where snowflake is coming from its data analytics stronghold and moving into the world of data science AWS is going down a path of snowflake meet data bricks with an underlying cloud is and pass layer that puts these three companies on a very interesting trajectory and you can expect AWS to go right after the data sharing opportunity and in doing so it will have to address data governance they go hand in hand okay price performance that is a topic that will never go away and it's something that we haven't mentioned today silicon it's a it's an area we've covered extensively on breaking analysis from Nitro to graviton to the AWS acquisition of Annapurna its secret weapon new special specialized capabilities like inferential and trainium we'd expect something more at re invent maybe new graviton instances David floyer our colleague said he's expecting at some point a complete system on a chip SOC from AWS and maybe an arm-based server to eventually include high-speed cxl connections to devices and memories all to address next-gen applications data intensive applications with low power requirements and lower cost overall now of course every year Swami gives his usual update on machine learning and AI building on Amazon's years of sagemaker innovation perhaps a focus on conversational AI or a better support for vision and maybe better integration across Amazon's portfolio of you know large language models uh neural networks generative AI really infusing AI everywhere of course security always high on the list that reinvent and and Amazon even has reinforce a conference dedicated to it uh to security now here we'd like to see more on supply chain security and perhaps how AWS can help there as well as tooling to make the cio's life easier but the key so far is AWS is much more partner friendly in the security space than say for instance Microsoft traditionally so firms like OCTA and crowdstrike in Palo Alto have plenty of room to play in the AWS ecosystem we'd expect of course to hear something about ESG it's an important topic and hopefully how not only AWS is helping the environment that's important but also how they help customers save money and drive inclusion and diversity again very important topics and finally come back to it reinvent is an ecosystem event it's the Super Bowl of tech events and the ecosystem will be out in full force every tech company on the planet will have a presence and the cube will be featuring many of the partners from the serial floor as well as AWS execs and of course our own independent analysis so you'll definitely want to tune into thecube.net and check out our re invent coverage we start Monday evening and then we go wall to wall through Thursday hopefully my voice will come back we have three sets at the show and our entire team will be there so please reach out or stop by and say hello all right we're going to leave it there for today many thanks to Stu miniman and David floyer for the input to today's episode of course John Furrier for extracting the signal from the noise and a sit down with Adam solipski thanks to Alex Meyerson who was on production and manages the podcast Ken schiffman as well Kristen Martin and Cheryl Knight helped get the word out on social and of course in our newsletters Rob hoef is our editor-in-chief over at siliconangle does some great editing thank thanks to all of you remember all these episodes are available as podcasts wherever you listen you can pop in the headphones go for a walk just search breaking analysis podcast I published each week on wikibon.com at siliconangle.com or you can email me at david.valante at siliconangle.com or DM me at di vallante or please comment on our LinkedIn posts and do check out etr.ai for the best survey data in the Enterprise Tech business this is Dave vellante for the cube insights powered by ETR thanks for watching we'll see it reinvent or we'll see you next time on breaking analysis [Music]

(electronic music) - Welcome to theCube Insights. A podcast that is typically taken from Siliconangle media's theCube interviews, where we share the best of our teams insights from all events we go to and from time to time we want to be able to extract some of our learnings when we're back at the ranch. Joining me for this segment is co-founder, co-CEO, benevolent dictator of a community, my boss, Dave Vellante. - Hey Stu. - Dave. Good to see you dressed down. - Yeah, well. Podcast, right? We got toys, props and no tie. - Yeah, I love seeing this ... we were just talking, John Furrier, who we could really make a claim to say we wouldn't have the state of podcasting today, definitely in tech, if it wasn't for what John had done back in the day with PodTech and it's one of those things, we've talked about podcasts for years but I'd gotten feedback from the community that said, "Wow, you guys have grown and go to so many shows that we want to listen to you guys as to: what was interesting at this show, what did you guys take out of it, what cool people did you interview?" We said, "Well, of course all over youtube, our website thecube.net but it made a lot of sense to put them in podcast form because podcasts have had a great renaissance over the last couple of years. - Yeah, and it's pretty straight forward, as Stu, for us to do this because virtually every show we do, even if it's a sponsor show, we do our own independent analysis upfront and at the tail end, a lot of our people in our community said, "We listen to that, to get the low down on the show and get your unfiltered opinion." And so, why not? - Yeah, Dave. Great point. I love, from when I first came on board, you always said, "Stu, speak your mind. Say what the community; what are the users saying? What does everybody talk about?" As I always say, if there is an elephant in the room we want to put it on the table and take a bite out it. And even, yes, we get sponsored by the companies to be there. We're fully transparent as to who pays us. But from the first Cube event, at the end of the day, where after keynote, we're gonna tell you exactly what we think and we're always welcome for debate. For people to come back, push on what we're saying and help bring us more data because at the end of the day, data and what's actually happening in the world will help shape our opinions and help us move in the direction where we think things should go. - I think the other thing is too, is a lot of folks ask us to come in and talk to them about what we've learned over the past year, the past six months. This is a great way for us to just hit the podcast and just go through, and this is what I do, just go through some of the shows that I wasn't able to attend and see what the other hosts were saying. So, how do you find these things? - Yeah, so first of all, great. theCube insights is the branding we have on it. We're on iTunes, We're on Spotify, We're on Google Play, Buzzsprout's what we use to be able to get it out there. It's an RSS on wikibon.com. I will embed them every once in a while or link to them. We plan to put them out, on average, it's once a week. We wanna have that regular cadence Typically on Thursday from a show that we've been out the spring season is really busy, so we've often been doing two a week at this point, but regular cadence, just podcasts are often a little tough to Google for so if you go into your favorite player and look at thecube insights and if you can't find it just hit you, me, somebody on the team up. - So you just searched thecube insights in one of those players? - Yeah absolutely, I've been sitting with a lot of people and right now it's been word of mouth, this is the first time we're actually really explaining what we're doing but thecube one word, insights is the second word I found it real quick in iTunes I find it in Google Play, Spotify is great for that and or your favorite podcast player Let us know if we're not there. - So maybe talk about some of the things we're seeing. - Yeah absolutely - The last few months. - So, right when we're here, what are our key learning? So for the last year or two Dave, I've really been helping look at the companies that are in this space, How are they dealing with multi cloud? And the refinement I've had in 2018 right now is that multi cloud or hybrid cloud seems to be, where everyone's Landing up and part of it is that everything in IT is heterogeneous but when I talk about a software company, really, where is their strength? are they an infrastructure company that really is trying to modernize what's happening in the data center are they born with cloud are they helping there? or are they really a software that can live in SAAS, in private cloud and public cloud? I kinda picture a company and where's their center of gravity? Do they lean very heavily towards private cloud, and they say public cloud it's too expensive and it's hard and You're gonna lose your job over it or are they somebody that's in the public cloud saying: there's nothing that should live in the data center and you should be a 100% public cloud, go adopt severless and it's great and the reality is that customers use a lot of these tools, lots of SAAS, multiple public Cloud for what they're doing and absolutely their stuff that's living in the data center And will continue for a long time. what do you see in it Dave? - My sort of takeaway in the last several months, half a year, a year is we used to talk about cloud big data, mobile and social as the forward drivers. I feel like it's kinda been there done that, That's getting a little bit long in the tooth and I think there's like the 3DS now, it's digital transformation, it's data first, is sort of the second D and disruption is the 3rd D And I think if you check on one of the podcast we did on scene digital, with David Michella. I think he did a really of laying out how the industry is changing there's a whole new set of words coming in, we're moving beyond that cloud big data, social mobile era into an era that's really defined by this matrix that he talks about. So check that out I won't go into it in detail here but at the top of that matrix is machine intelligence or what people call AI. And it's powering virtually everything and it's been embedded in all types of different applications and you clearly see that to the extent that organizations are able to Leverage the services, those digital services in that matrix, which are all about data, they're driving change. So it's digital transformation actually is real, data first really means You gotta put data at the core of your enterprise and if you look at the top five companies in terms of market cap the Googles, the Facebooks, the Amazons, the Microsofts Etc. Those top five companies are really data first. But People sometimes call data-driven, and then disruption everywhere, one of my favorite disruptions scenarios is of course crypto and blockchain And of course I have my book "The Enigma war" which is all about crypto, cryptography and we're seeing just massive Innovation going on as a result of both blockchain and crypto economics, so we've been really excited to cover, I think we've done eight or nine shows this year on crypto and blockchain. - Yeah it's an interesting one Dave because absolutely when you mention cryptocurrency and Bitcoin, there's still a lot of people in the room that look at you, Come on, there's crazy folks and it's money, it's speculation and it's ridiculous. What does that have to do with technology? But we've been covering for a couple of years now, the hyper ledger and some of these underlying pieces. You and I both watch Silicon Valley and I thought they actually did a really good job this year talking about the new distributed internet and how we're gonna build these things and that's really underneath one of the things that these technologies are building towards. - Well the internet was originally conceived as this decentralized network and well it physically is a decentralized network, it's owned essentially controlled by an oligopoly of behemoths and so what I've learned about cryptocurrency is that internet was built on protocols that were funded by the government and university collaboration so for instance SMTP Gmail's built on SMTP (mumbles) TCPIP, DNS Etc. Are all protocols that were funded essentially by the government, Linux itself came out of universities early developers didn't get paid for developing the technologies there and what happened after the big giants co-opted those protocols and basically now run the internet, development in those protocol stopped. Well Bitcoin and Ethereum and all these other protocols that are been developed around tokens, are driving innovation and building out really a new decentralized internet. So there's tons of innovation and funding going on, that I think people overlook the mainstream media talks all about fraud and these ICO's that are BS Etc. And there's certainly a lot of that it's the Wild West right now. But there's really a lot of high quality innovation going on, hard to tell what's gonna last and what's gonna fizzle but I guarantee there's some tech that's being developed that will stay the course. - Yeah I love....I believe you've read the Nick Carr book "The Shallows", Dave. He really talked about when we built the internet, there's two things one is like a push information, And that easy but building community and being able to share is really tough. I actually saw at an innovation conference I went to, the guy that created the pop-up ad like comes and he apologizes greatly, he said "I did a horrible horrible thing to the internet". - Yeah he did - Because I helped make it easier to have ads be how we monetize things, and the idea around the internet originally was how do I do micropayments? how do I really incent people to share? and that's one of the things we're looking at. - Ad base business models have an inherent incentive for large organizations that are centralized to basically co-opt our data and do onerous things with them And that's clearly what's happened. users wanna take back control of their data and so you're seeing this, they call it a Matrix. Silicon Valley I think you're right did a good job of laying that out, the show was actually sometimes half amazingly accurate and so a lot of development going on there. Anywhere you see a centralized, so called trusted third-party where they're a gatekeeper and they're adjudicating essentially. That's where crypto and token economics is really attacking, it's the confluence of software engineering, Cryptography and game theory. This is the other beautiful thing about crypto is that there is alignment of incentives between the investor, the entrepreneur, the customer and the product community. and so right now everybody is winning, maybe it's a bubble but usually when these bubbles burst something lives on, i got some beautiful tulips in my front yard. - Yeah so I love getting Insight into the things that you've been thinking of, John Furrier, the team, Peter Borus, our whole analyst team. Let's bring it back to thecube for a second Dave, we've done a ton of interviews I'm almost up to 200 views this year we did 1600 as a team last year. I'll mention two because one, I was absolutely giddy and you helped me get this interview, Walter isaacson at The Dell Show, One of my favorite authors I'm working through his DaVinci book right now which is amazing he talks about how a humanities and technology, the Marrying of that. Of course a lot of people read the Steve Jobs interview, I love the Einstein book that he did, the innovators. But if you listen to the Michael Dell interview that I did and then the Walter isaacson I think he might be working on a biography of Michael Dell, which i've talk to a lot of people, and they're like i'd love to read that. He's brilliant, amazing guy I can't tell you how many people have stopped me and said I listened to that Michael Dell interview. The other one, Customers. Love talking about customers especially people that they're chewing glass, they're breaking down new barriers. Key Toms and I interviewed It was Vijay Luthra from Northern trust. Kissed a chicago guy And he's like "this is one of the oldest and most conservative financial institutions out there". And they're actually gonna be on the stage at DockerCon talking about containers they're playing with severless technology, how the financial institutions get involved in the data economy, Leverage this kind of environment while still maintaining security so it was one that I really enjoyed. How about...... what's jumped out of you in all your years? - (Mumbles) reminds me of the quote (mumbles) software is eating the world, well data is eating software so every company is.... it reminds me of the NASDAQ interview that I did Recently and all we talked about, we didn't talk about their IT, we talked about how they're pointing their technology to help other exchanges get launched around the world and so it's a classic case of procurer of technology now becoming a seller of technology, and we've seen that everywhere. I think what's gonna be interesting Stu is AI, I think that more AI is gonna be bought, than built by these companies and that's how they will close the gap, I don't think the average everyday global 2000 company is gonna be an AI innovator in terms of what they develop, I think how they apply it is where the Innovation is gonna be. - Yeah Dave we had this discussion when it was (mumbles) It was the practitioners that will Leverage this will make a whole lot more money than the people that made it. - We're certainly seeing that. - Yeah I saw.....I said like Linux became pervasive, it took RedHat a long time to become a billion dollar company, because the open stack go along way there. Any final thoughts you wanna go on Dave? - Well so yeah, check out thecube.net, check out thecube insights, find that on whatever your favorite podcast player is, we're gonna be all over the place thecube.net will tell you where we're gonna be obviously, siliconangle.com, wikibon.com for all the research. - Alright and be sure to hit us up on Twitter if you have questions. He's D Villante on twitter, Angus stu S-T-U, Furrier is @Furrier, Peter Borus is PL Borus on twitter, Our whole team. wikibon.com for the research, siliconangle.com for the news and of course thecube.net for all the video. - And @ TheCube - And @TheCube of course on Twitter for our main feed And we're also up on Instagram now, so check out thecube signal on one word, give you a little bit of behind the scenes fun our phenomenal production team help to bring the buzz and the energy for all the things we do so for Dave Vellante, I'm Stu Miniman, thanks so much for listening to this special episode of thecube insights. 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