Image Title

Search Results for Domino:

Bhaskar Gorti, Platform9 | Cloud Native at Scale


 

>>Hey, welcome back everyone to Super Cloud 22. I'm John Fur, host of the Cuba here all day talking about the future of cloud. Where's all going? Making it super multi-Cloud is around the corner and public cloud is winning at the private cloud on premise and edge. Got a great guest here, Vascar go, D CEO of Platform nine. Just on the panel on Kubernetes. An enabler blocker. Welcome back. Great to have you on. >>Good to see you again. >>So Kubernetes is a blocker enabler by, with a question mark. I put on on that panel was really to discuss the role of Kubernetes. Now great conversation operations is impacted. What's thing about what you guys are doing a platform nine Is your role there as CEO and the company's position, kind of like the world spun into the direction of Platform nine while you're at the helm, >>Right? Absolutely. In fact, things are moving very well and since they came to us it was an insight to call ourselves the platform company eight years ago, right? So absolutely whether you are doing it in public clouds or private clouds, you know the application world is moving very fast in trying to become digital and cloud native. There are many options for you to run the infrastructure. The biggest blocking factor now is having a unified platform. And that's what where we come into >>Patrick, we were talking before we came on stage here about your background and we were kind of talking about the glory days in 2000, 2001 when the first ASPs application service providers came out. Kind of a SaaS vibe, but that was kind of all kind of cloud-like >>It wasn't, >>And and web services started then too. So you saw that whole growth. Now fast forward 20 years later, 22 years later, where we are now, when you look back then to here and all the different cycles, >>In fact, you know, as we were talking offline, I was in one of those asbs in the year 2000 where it was a novel concept of saying we are providing a software and a capability as a service, right? You sign up and start using it. I think a lot has changed since then. The tooling, the tools, the technology has really skyrocketed. The app development environment has really taken off exceptionally well. There are many, many choices of infrastructure now, right? So I think things are in a way the same but also extremely different. But more importantly now for any company, regardless of size, to be a digital native, to become a digital company is extremely mission critical. It's no longer a nice to have everybody's in the journey somewhere. >>Everyone is going digital transformation here. Even on a so-called downturn recession that's upcoming inflation's here. It's interesting. This is the first downturn in the history of the world where the hyperscale clouds have, have been pumping on all cylinders as an economic input. And if you look at the tech trends, GDPs down, but not tech. Nope. Because pandemic showed everyone digital transformation is here and more spend and more growth is coming even in, in tech. So this is a unique factor which proves that that digital transformation's happening and company, every company will need a super cloud >>E Everyone, every company, regardless of size, regardless of location, has to become modernize their infrastructure. And modernizing infrastructure is not just some, you know, new servers and new application tools. It's your approach, how you're serving your customers, how you're bringing agility in your organization. I think that is becoming a necessity for every enterprise to >>Survive. I wanna get your thoughts on Super Cloud because one of the things Dave, Alan and I want to do with Super Cloud and calling at that was we, I I personally, and I know Dave as well, he can, I'll speak from, he can speak for himself. We didn't like multi-cloud. I mean not because Amazon said don't call things multi-cloud, it just didn't feel right. I mean everyone has multiple clouds by default. If you're running productivity software, you have Azure and Office 365. But it wasn't truly distributed. It wasn't truly decentralized, it wasn't truly cloud enabled. It didn't, it felt like the not ready for a market yet. Yet public clouds booming on premise. Private cloud and Edge is much more on, you know, more, more dynamic, more real. >>I, yeah, I think the reason why we think super cloud is a better term than multi-cloud. Multi-cloud are more than one cloud, but they're disconnected. Okay, you have a productivity cloud, you have a Salesforce cloud, you may have, everyone has an internal cloud, right? But they're not connected. So you can say okay, it's more than one cloud. So it's you know, multi-cloud. But Supercloud is where you are actually trying to look at this holistically. Whether it is on-prem, whether it is public, whether it's at the edge, it's a store at the branch, you are looking at this as one unit. And that's where we see the, the term super cloud is more applicable because what are the qualities that you require if you're in a super cloud, right? You need choice of infrastructure, you need, but at the same time you need a single pane, a single platform for you to build your innovations on regardless of which cloud you're doing it on, right? So I think Super Cloud is actually a more tightly integrated orchestrated management philosophy we think. >>So let's get into some of the super cloud type trends that we've been reporting on. Again, the purpose of this event is to, as a pilots, to get the conversations flowing with with the influencers like yourselves who are running companies and building products and the builders, Amazon and Azure are doing extremely well. Google's coming up in third cloudworks in public cloud. We see the use cases on-premises use cases. Kubernetes has been an interesting phenomenon because it's become from the developer side a little bit, but a lot of ops people love Kubernetes. It's really more of an ops thing. You mentioned OpenStack earlier. Kubernetes kind of came out of that open stack. We need an orchestration and then containers had a good shot with, with Docker, they re pivoted the company. Now they're all in an open source. So you got containers booming and Kubernetes as a new layer there. What's, what's the take on that? What does that really mean? Is that a new defacto enabler? It >>Is here. It's for here for sure. Every enterprise somewhere in the journey is going on and you know, most companies are, 70 plus percent of them have 1, 2, 3 container based, Kubernetes based applications now being rolled out. So it's very much here, it is in production at scale by many customers and it, the beauty of it is yes, open source, but the biggest gating factor is the skillset. And that's where we have a phenomenal engineering team, right? So it's, it's one thing to buy a tool and >>Just be clear, you're a managed service for Kubernetes. >>We provide, provide a software platform for cloud acceleration as a service and it can run anywhere. It can run in public private. We have customers who do it in truly multi-cloud environments. It runs on the edge, it runs at this in stores. There are thousands of stores in a retailer. So we provide that and also for specific segments where data sovereignty and data residency are key regulatory reasons. We also on-prem as an air gap version. >>Can you give an example on how you guys are deploying your platform to enable a super cloud experience for your customer? >>Right. So I'll give you two different examples. One is a very large networking company, public networking company. They have hundreds of products, hundreds of r and d teams that are building different different products. And if you look at few years back, each one was doing it on a different platforms but they really needed to bring the agility and they worked with us now over three years where we are their build test dev pro platform where all their products are built on, right? And it has dramatically increased their agility to release new products. Number two, it actually is a light out operation. In fact the customer says like, like the Maytag service person cuz we provide it as a service and it barely takes one or two people to maintain it for them. So >>It's kinda like an SRE vibe. One person managing a >>Large 4,000 engineers building infrastructure >>On their tools, whatever >>They want on their tools. They're using whatever app development tools they use, but they use our platform. >>And what benefits are they seeing? Are they seeing speed? >>Speed, definitely. Okay. Definitely their speeding speed uniformity because now they're building able to build, so their customers who are using product A and product B are seeing a similar set of tools that are being used. >>So a big problem that's coming outta this super cloud event that we're, we're seeing and we heard it all here, ops and security teams. Cause they're kind of two part of one thing, but ops and great specifically need to catch up. Speedwise, are you delivering that value to ops and security? >>Right? So we, we work with ops and security teams and infrastructure teams and we layer on top of that. We have like a platform team. If you think about it, depending on where you have data centers, where you have infrastructure, you have multiple teams, okay, but you need a unified platform. Who's your buyer? Our buyer is usually, you know, the product divisions of companies that are looking at or the CTO would be a buyer for us functionally cio definitely. So it it's, it's somewhere in the DevOps to infrastructure. But the ideal one we are beginning to see now many large corporations are really looking at it as a platform and saying we have a platform group on which any app can be developed and it is run on any infrastructure. So the platform engineering teams, >>So you were just two sides to that coin. You've got the dev side and then >>And the infrastructure >>Side. Okay, >>Another customer, I give you an example which I would say is kind of the edge of the store. So they have thousands of stores. Retail, retail, you know food retailer, right? They have thousands of stores are on the globe, 50,000, 60,000. And they really want to enhance the customer experience that happens when you either order the product or go into the store and pick up your product or buy or browse or sit there. They have applications that were written in the nineties and then they have very modern AIML applications today. They want something that will not have to send an IT person to install rack in the store or they can't move everything to the cloud because the store operations have to be local. The menu changes based on it's classic edge. >>It's >>Classic edge, yeah. Right? They can't send it people to go install rack of servers then they can't sell software people to go install the software and any change you wanna put through that, you know, truck roll. So they've been working with us where all they do is they ship, depending on the size of the store, one or two or three little servers with instructions that >>You say little service, like how big one like a box, like a small little >>Box, right? And all the person in the store has to do like what you and I do at home and we get a, you know, a router is connect the power, connect the internet and turn the switch on. And from there we pick it up. Yeah, we provide the operating system, everything and then the applications are put on it. And so that dramatically brings the velocity for them. They manage thousands >>Of them. True plugin >>Play two plugin play thousands of stores. They manage it centrally. We do it for them, right? So, so that's another example where on the edge then we have some customers who have both a large private presence and one of the public clouds. Okay. But they want to have the same platform layer of orchestration and management that they can use regardless of the >>Location. So you guys got some success. Congratulations. Got some traction there. It's awesome. The question I want to ask you is that's come up is what is truly cloud native? Cuz there's lift and shift of the cloud >>That's not cloud >>Native. Then there's cloud native. Cloud native seems to be the driver for the super cloud. How do you talk to customers? How do you explain when someone says what's cloud native, what isn't cloud native? >>Right. Look, I think first of all, the best place to look at what is the definition and what are the attributes and characteristics of what is truly a cloud native, is CNC foundation. And I think it's very well documented where >>Youcar, of course Detroit's >>Coming in, so, so it's already there, right? So we follow that very closely, right? I think just lifting and shifting your 20 year old application onto a data center somewhere is not cloud native. Okay? You can't put to cloud, not you have to rewrite and redevelop your application and business logic using modern tools. Hopefully more open source and, and I think that's what Cloudnative is and we are seeing lot of our customers in that journey. Now everybody wants to be cloud native, but it's not that easy, okay? Because it's, I think it's first of all, skill set is very important. Uniformity of tools that there's so many tools there. Thousands and thousands of tools you could spend your time figuring out which tool to you use. Okay? So, so I think the complexities there, but the business benefits of agility and uniformity and customer experience are truly being done. >>And I'll give you an example, I don't know how clear native they are, right? And they're not a customer of ours, but you order pizzas, you do, right? If you just watch the pizza industry, how Domino's actually increase their share and mind share and wallet share was not because they were making better pizzas or not, I don't know anything about that, but the whole experience of how you order, how you watch what's happening, how it's delivered, they were the pioneer in it. To me, those are the kinds of customer experiences that cloud native can provide. >>Being agility and having that flow through the application changes what the expectations >>Are >>For the customer. >>Customer, the customer's expectations change, right? Once you get used to a better customer experience, you will not, >>Thats got to wrap it up. I wanna just get your perspective again. One of the benefits of chatting with you here and having you part of the Super Cloud 22 is you've seen many cycles, you have in a lot of insights. I want to ask you, given your career where you've been and what you've done and now the CEO of Platform nine, how would you compare what's happening now with other inflection points in the industry? And you've been, again, you've been an entrepreneur, you sold your company to Oracle, you've been seeing the, the big companies, you've seen the different waves. What's going on right now put into context this moment in time around Super Cloud. >>Sure. I think as you said, a lot of battles. Cars being, being at an asb, being in a realtime software company, being in large enterprise software houses and a transformation. I've been on the app side, I did the infrastructure right and then tried to build our own platforms. I've gone through all of this myself with lot of lessons learned in there. I think this is an event which is happening now for companies to go through to become cloud native and digitalize. If I were to look back and look at some parallels of the tsunami that's going on is, couple of parallels come to me. One is, think of it, which was forced to on us, like y2k, everybody around the world had to have a plan, a strategy, and an execution for y2k. I would say the next big thing was e-commerce. I think e-commerce has been pervasive right across all industries. >>And disruptive. And >>Disruptive, extremely disruptive. If you did not adapt and adapt and accelerate your e-commerce initiative, you were, it was an existence question. Yeah. I think we are at that pivotal moment now in companies trying to become digital and cloud native. You know, that is what I see >>Happening there. I think that that e-commerce is interesting and I think just to riff with you on that is that it's disrupting and refactoring the business models. I think that is something that's coming out of this is that it's not just completely changing the game, it's just changing how you operate, >>How you think, and how you operate. See, if you think about the early days of eCommerce, just putting up a shopping cart then made you an e-commerce or e retailer or e e customer, right? Or so. I think it's the same thing now is I think this is a fundamental shift on how you're thinking about your business. How are you gonna operate? How are you gonna service your customers? I think it requires that just lift and shift is not gonna work. >>Nascar, thank you for coming on. Spend the time to come in and share with our community and being part of Super Cloud 22. We really appreciate, We're gonna keep this open. We're gonna keep this conversation going even after the event, to open up and look at the structural changes happening now and continue to look at it in the open in the community. And we're gonna keep this going for, for a long, long time as we get answers to the problems that customers are looking for with cloud cloud computing. I'm Sean Feer with Super Cloud 22 in the Cube. Thanks for >>Watching. Thank you. Thank you, John. >>Hello. Welcome back. This is the end of our program, our special presentation with Platform nine on cloud native at scale, enabling the super cloud. We're continuing the theme here. You heard the interviews Super cloud and its challenges, new opportunities around the solutions around like Platform nine and others with Arlon. This is really about the edge situations on the internet and managing the edge multiple regions, avoiding vendor lock in. This is what this new super cloud is all about. The business consequences we heard and and the wide ranging conversations around what it means for open source and the complexity problem all being solved. I hope you enjoyed this program. There's a lot of moving pieces and things to configure with cloud native install, all making it easier for you here with Super Cloud and of course Platform nine contributing to that. Thank you for watching.

Published Date : Oct 20 2022

SUMMARY :

Great to have you on. What's thing about what you guys are doing a platform nine Is your role there as CEO and So absolutely whether you are doing it in public clouds or private Patrick, we were talking before we came on stage here about your background and we were kind of talking about the glory days So you saw that whole growth. In fact, you know, as we were talking offline, I was in one of those asbs And if you look at the tech trends, GDPs down, but not tech. not just some, you know, new servers and new application tools. you know, more, more dynamic, more real. the branch, you are looking at this as one unit. So you got containers you know, most companies are, 70 plus percent of them have 1, 2, 3 container It runs on the And if you look at few years back, each one was doing It's kinda like an SRE vibe. They want on their tools. to build, so their customers who are using product A and product B are seeing a similar set Speedwise, are you delivering that value to ops and security? So it it's, it's somewhere in the DevOps to infrastructure. So you were just two sides to that coin. that happens when you either order the product or go into the store and pick up your product or buy then they can't sell software people to go install the software and any change you wanna put through And all the person in the store has to do of the public clouds. So you guys got some success. How do you talk to customers? is the definition and what are the attributes and characteristics of what is truly a cloud native, Thousands and thousands of tools you could spend your time figuring out which I don't know anything about that, but the whole experience of how you order, One of the benefits of chatting with you here been on the app side, I did the infrastructure right and then tried to build our And disruptive. If you did not adapt and adapt and accelerate I think that that e-commerce is interesting and I think just to riff with you on that is that it's disrupting How are you gonna service your customers? Spend the time to come in and share with our community and being part of Super Thank you, John. I hope you enjoyed this program.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
AmazonORGANIZATION

0.99+

PatrickPERSON

0.99+

Sean FeerPERSON

0.99+

DavePERSON

0.99+

JohnPERSON

0.99+

OracleORGANIZATION

0.99+

John FurPERSON

0.99+

2000DATE

0.99+

AlanPERSON

0.99+

oneQUANTITY

0.99+

NascarPERSON

0.99+

twoQUANTITY

0.99+

ThousandsQUANTITY

0.99+

2001DATE

0.99+

Bhaskar GortiPERSON

0.99+

thousandsQUANTITY

0.99+

OneQUANTITY

0.99+

two sidesQUANTITY

0.99+

eight years agoDATE

0.99+

Office 365TITLE

0.99+

more than one cloudQUANTITY

0.99+

two peopleQUANTITY

0.99+

GoogleORGANIZATION

0.99+

22 years laterDATE

0.98+

4,000 engineersQUANTITY

0.98+

over three yearsQUANTITY

0.98+

AzureTITLE

0.98+

Super CloudTITLE

0.98+

one unitQUANTITY

0.98+

DominoORGANIZATION

0.97+

first downturnQUANTITY

0.97+

20 years laterDATE

0.97+

bothQUANTITY

0.97+

2QUANTITY

0.97+

thousands of storesQUANTITY

0.96+

MaytagORGANIZATION

0.96+

todayDATE

0.96+

Vascar goPERSON

0.96+

Platform nineTITLE

0.96+

thousands of storesQUANTITY

0.95+

KubernetesTITLE

0.95+

One personQUANTITY

0.95+

two pluginQUANTITY

0.94+

Platform nineTITLE

0.94+

Platform nineORGANIZATION

0.94+

each oneQUANTITY

0.94+

two different examplesQUANTITY

0.94+

70 plus percentQUANTITY

0.93+

1QUANTITY

0.93+

DPERSON

0.93+

AzureORGANIZATION

0.93+

pandemicEVENT

0.93+

firstQUANTITY

0.92+

three little serversQUANTITY

0.92+

one thingQUANTITY

0.92+

hundreds of productsQUANTITY

0.92+

single platformQUANTITY

0.91+

ArlonORGANIZATION

0.91+

Super Cloud 22ORGANIZATION

0.87+

SupercloudORGANIZATION

0.87+

single paneQUANTITY

0.86+

OpenStackTITLE

0.86+

DetroitLOCATION

0.86+

50,000, 60,000QUANTITY

0.85+

CubaLOCATION

0.84+

Super Cloud 22ORGANIZATION

0.84+

Number twoQUANTITY

0.84+

YoucarORGANIZATION

0.8+

20 year oldQUANTITY

0.79+

3 containerQUANTITY

0.78+

Cloud NativeTITLE

0.77+

few years backDATE

0.77+

thousands ofQUANTITY

0.73+

storesQUANTITY

0.72+

SalesforceORGANIZATION

0.69+

platform nineTITLE

0.68+

third cloudworksQUANTITY

0.67+

hundreds of rQUANTITY

0.66+

Bhaskar Gorti, Platform9 | Cloud Native at Scale


 

>>Hey, welcome back everyone to Super Cloud 22. I'm John Fur, host of the Cuba here all day talking about the future of cloud. Where's it all going? Making it super multi-Cloud is around the corner and public cloud is winning. Got the private cloud on premise and Edge. Got a great guest here, Bacar, go deep CEO of Platform nine, just on the panel on Kubernetes. An enabler blocker. Welcome back. Great to have you on. >>Good to see you again. >>So Kubernetes is a blocker enabler by, with a question mark. I put on on that panel was really to discuss the role of Kubernetes. Now, great conversation operations is impacted. What's just thing about what you guys are doing at Platform nine? Is your role there as CEO and the company's position, kind of like the world spun into the direction of Platform nine while you're at the helm, right? >>Absolutely. In fact, things are moving very well and since they came to us, it was an insight to call ourselves the platform company eight years ago, right? So absolutely whether you are doing it in public clouds or private clouds, you know the application world is moving very fast in trying to become digital and cloud native. There are many options for you to run the infrastructure. The biggest blocking factor now is having a unified platform. And that's what where we come into >>Patrick, we were talking before we came on stage here about your background and we were kind of talking about the glory days in 2000, 2001 when the first ASPs application service providers came out. Kind of a SaaS vibe, but that was kind of all kind of cloudlike. >>It wasn't, >>And and web services started then too. So you saw that whole growth. Now, fast forward 20 years later, 22 years later, where we are now, when you look back then to here and all the different cycles, >>In fact, you know, as we were talking offline, I was in one of those asbs in the year 2000 where it was a novel concept of saying we are providing a software and a capability as a service, right? You sign up and start using it. I think a lot has changed since then. The tooling, the tools, the technology has really skyrocketed. The app development environment has really taken off exceptionally well. There are many, many choices of infrastructure now, right? So I think things are in a way the same but also extremely different. But more importantly now for any company, regardless of size, to be a digital native, to become a digital company is extremely mission critical. It's no longer a nice to have everybody's in their journey somewhere. >>Everyone is going digital transformation here, even on a so-called downturn recession that's upcoming inflation's here. It's interesting. This is the first downturn, the history of the world where the hyperscale clouds have been pumping on all cylinders as an economic input. And if you look at the tech trends, GDPs down, but not tech. Nope. Because the pandemic showed everyone digital transformation is here and more spend and more growth is coming even in, in tech. So this is a unique factor which proves that that digital transformation's happening and company, every company will need a super cloud. >>Everyone, every company, regardless of size, regardless of location, has to become modernize their infrastructure. And modernizing infrastructure is not just some, you know, new servers and new application tools. It's your approach, how you're serving your customers, how you're bringing agility in your organization. I think that is becoming a necessity for every enterprise to survive. >>I wanna get your thoughts on Super Cloud because one of the things Dave Alon and I want to do with Super Cloud and calling at that was we, I I personally, and I know Dave as well, he can, I'll speak from, he can speak for himself. We didn't like multi-cloud. I mean not because Amazon said don't call things multi-cloud, it just didn't feel right. I mean everyone has multiple clouds by default. If you're running productivity software, you have Azure and Office 365. But it wasn't truly distributed. It wasn't truly decentralized, it wasn't truly cloud enabled. It didn't, it felt like they're not ready for a market yet. Yet public clouds booming on premise. Private cloud and Edge is much more on, you know, more, more dynamic, more, more >>Real. I, yeah, I think the reason why we think super cloud is a better term than multi-cloud. Multi-cloud are more than one cloud. But they're disconnected to, okay, you have a productivity cloud, you have a Salesforce cloud, you may have, everyone has an internal cloud, right? So, but they're not connected. So you can say okay, it's more than one cloud. So it's you know, multi-cloud. But super cloud is where you are actually trying to look at this holistically. Whether it is on-prem, whether it is public, whether it's at the edge, it's a store at the branch, you are looking at this as one unit. And that's where we see the, the term super cloud is more applicable because what are the qualities that you require if you're in a super cloud, right? You need choice of infrastructure, you need, but at the same time you need a single pan, a single platform for you to build your innovations on regardless of which cloud you're doing it on, right? So I think Super Cloud is actually a more tightly integrated orchestrated management philosophy we think. >>So let's get into some of the super cloud type trends that we've been reporting on. Again, the purpose of this event is to, as a pilots, to get the conversations flowing with with the influencers like yourselves who are running companies and building products and the builders, Amazon and Azure are doing extremely well. Google's coming up in third cloudworks in public cloud. We see the use cases on-premises use cases. Kubernetes has been an interesting phenomenon because it's become from the developer side a little bit, but a lot of ops people love Kubernetes. It's really more of an ops thing. You mentioned OpenStack earlier. Kubernetes kind of came out of that OpenStack, we need an orchestration and then containers had a good shot with, with Docker, they re pivoted the company. Now they're all in an open source. So you got containers booming and Kubernetes as a new layer there. What's the, what's the take on that? What does that really mean? Is that a new defacto enabler? It >>Is here. It's for here for sure. Every enterprise somewhere in the journey is going on and you know, most companies are, 70 plus percent of them have won two, three container based, Kubernetes based applications now being rolled out. So it's very much here, it is in production at scale by many customers and it, the beauty of it is yes, open source, but the biggest gating factor is the skill. And that's where we have a phenomenal engineering team, right? So it's, it's one thing to buy a tool and >>Just be clear, you're a managed service for Kubernetes. >>We provide, provide a software platform for cloud acceleration as a service and it can run anywhere. It can run in public private. We have customers who do it in truly multi-cloud environments. It runs on the edge, it runs at this in stores. There are thousands of stores in a retailer. So we provide that and also for specific segments where data sovereignty and data residency, our key regulatory reasons. We also run OnPrem as an air gap version. >>Can you give an example on how you guys are deploying your platform to enable a super cloud experience for your >>Customer? Right. So I'll give you two different examples. One is a very large networking company, public networking company. They have, I dunno, hundreds of products, hundreds of r and d teams that are building different, different products. And if you look at few years back, each one was doing it on a different platforms but they really needed to bring the agility and they worked with us now over three years where we are their build test dev pro platform where all their products are built on, right? And it has dramatically increased their agility to release new products. Number two, it actually is a light out operation. In fact the customer says like, like the Maytag service person cuz we provide it as a service and it barely takes one or two people to maintain it for them. >>So it's kinda like an SRE vibe. One person managing a >>Large 4,000 engineers building infrastructure >>On their tools, >>Whatever they want their tools, they're using whatever app development tools they use, but they use our platform. >>And what benefits are they seeing? Are they seeing speed? >>Speed, definitely. Okay. Definitely they're speeding. Speed uniformity because now they're building able to build, so their customers who are using product A and product B are seeing a similar set of tools that are being >>Used. So a big problem that's coming outta this super cloud event that we're, we're seeing and we've heard it all here, ops and security teams, cuz they're kind of two part of one thing, but ops and security specifically need to catch up speed-wise. Are you delivering that value to ops and security? >>Right? So we, we work with ops and security teams and infrastructure teams and we layer on top of that. We have like a platform team. If you think about it, depending on where you have data centers, where you have infrastructure, you have multiple teams, okay, but you need a unified platform. Who's your buyer? Our buyer is usually, you know, the product divisions of companies that are looking at or the CTO would be a buyer for us functionally cio definitely. So it it's, it's somewhere in the DevOps to infrastructure. But the ideal one we are beginning to see now many large corporations are really looking at it as a platform and saying we have a platform group on which any app can be developed and it is run on any infrastructure. So the platform engineering >>Teams, So you were just two sides of that coin. You've got the dev side and then and the infrastructure side. Okay, >>Another customer, like give an example, which I would say is kind of the edge of the store. So they have thousands of stores. Retail, retail, you know food retailer, right? They have thousands of stores that are on the globe, 50,000, 60,000. And they really want to enhance the customer experience that happens when you either order the product or go into the store and pick up your product or buy or browse or sit there. They have applications that were written in the nineties and then they have very modern AIML applications today. They want something that will not have to send an IT person to install rack in the store or they can't move everything to the cloud because the store operations have to be local. The menu changes based on it's classic edge if >>Classic >>Edge. Yeah. Right? They can't send it people to go install rack access servers then they can't sell software people to go install the software and any change you wanna put through that, you know, truck roll. So they've been working with us where all they do is they ship, depending on the size of the store, one or two or three little servers with instructions that you >>Say little shares, like how big one like a box, like a small little box, >>Right? And all the person in the store has to do like what you and I do at home and we get a, you know, a router is connect the power, connect the internet and turn the switch on. And from there we pick it up, we provide the operating system, everything and then the applications are put on it. And so that dramatically brings the velocity for them. They manage thousands of >>Them. True plug and play >>Two, plug and play thousands of stores. They manage it centrally. We do it for them, right? So, so that's another example where on the edge then we have some customers who have both a large private presence and one of the public clouds. Okay. But they want to have the same platform layer of orchestration and management that they can use regardless of the location. >>So you guys got some success. Congratulations. Got some traction there. It's awesome. The question I want to ask you is that's come up is what is truly cloud native? Cuz there's lift and shift of the cloud >>That's not cloud >>Native. Then there's cloud native. Cloud native seems to be the driver for the super cloud. How do you talk to customers? How do you explain when someone says what's cloud native, what isn't cloud native? >>Right. Look, I think first of all, the best place to look at what is the definition and what are the attributes and characteristics of what is truly a cloud native is CNC foundation. And I think it's very well documented where you, well >>Tucan of course Detroit's >>Coming here, so, So it's already there, right? So we follow that very closely, right? I think just lifting and shifting your 20 year old application onto a data center somewhere is not cloudnative, okay? You can't port to cloud, not you have to rewrite and redevelop your application and business logic using modern tools. Hopefully more open source and, and I think that's what Cloudnative is and we are seeing lot of our customers in that journey. Now everybody wants to be cloud native, but it's not that easy, okay? Because it's, I think it's first of all, skill set is very important. Uniformity of tools that there's so many tools there. Thousands and thousands of tools you could spend your time figuring out which tool to you use. Okay? So, so I think the complexity is there, but the business benefits of agility and uniformity and customer experience are truly being done. >>And I'll give you an example, I don't know how clear native they are, right? And they're not a customer of ours, but you order pizzas, you do, right? If you just watch the pizza industry, how Domino's actually increase their share and mind share and wallet share was not because they were making better pizzas or not, I don't know anything about that, but the whole experience of how you order, how you watch what's happening, how it's delivered, they were the pioneer in it. To me, those are the kinds of customer experiences that cloud native can provide. >>Being agility and having that flow through the application changes what the expectations of are for the customer. >>Customer, the customer's expectations change, right? Once you get used to a better customer experience, you will not >>Best part. To wrap it up, I wanna just get your perspective again. One of the benefits of chatting with you here and having you part of the Super cloud 22 is you've seen many cycles, you have in a lot of insights. I want to ask you, given your career where you've been and what you've done and now the CEO of Platform nine, how would you compare what's happening now with other inflection points in the industry? And you've been, again, you've been an entrepreneur, you sold your company to Oracle, you've been seeing the, the big companies, you've seen the different waves. What's going on right now Put into context this moment in time. Sure. Around Super >>Cloud. Sure. I think as you said, a lot of battles. Cars being, being in an asb, being in a real time software company, being in large enterprise software houses and a transformation. I've been on the app side, I did the infrastructure right and then tried to build our own platforms. I've gone through all of this myself with lot of lessons learned in there. I think this is an event which is happening now for companies to go through to become cloud native and digitalize. If I were to look back and look at some parallels of the tsunami that's going on is, couple of parallels come to me. One is, think of it, which was forced to on us like y2k, everybody around the world had to have a plan, a strategy and an execution for y2k. I would say the next big thing was e-commerce. I think e-commerce has been pervasive right across all industries. >>And disruptive. And >>Disruptive, extremely disruptive. If you did not adapt and adapt and accelerate your e-commerce initiative, you were, it wasn't existence. Question. Yeah, I think we are at that pivotal moment now in companies trying to become digital and cloud native and that is what I see >>Happening there. I think that that e-commerce is interesting and I think just to riff with you on that is that it's disrupting and refactoring the business models. I think that is something that's coming out of this is that it's not just completely changing the gain, it's just changing how you operate, >>How you think and how you operate. See, if you think about the early days of e-commerce, just putting up a shopping cart then made you an e-commerce or e retailer or e e customer, right? Or so. I think it's the same thing now is I think this is a fundamental shift on how you're thinking about your business. How are you gonna operate? How are you gonna service your customers? I think it requires that just lift and shift is not gonna work. >>Mascar, thank you for coming on, spending the time to come in and share with our community and being part of Super Cloud 22. We really appreciate, we're gonna keep this open. We're gonna keep this conversation going even after the event, to open up and look at the structural changes happening now and continue to look at it in the open in the community. And we're gonna keep this going for, for a long, long time as we get answers to the problems that customers are looking for with cloud cloud computing. I'm Sean for with Super Cloud 22 in the Cube. Thanks for watching. >>Thank you. Thank you John. >>Hello. Welcome back. This is the end of our program, our special presentation with Platform nine on cloud native at scale, enabling the super cloud. We're continuing the theme here. You heard the interviews Super cloud and its challenges, new opportunities around solutions around like Platform nine and others with Arlon. This is really about the edge situations on the internet and managing the edge multiple regions, avoiding vendor lock in. This is what this new super cloud is all about. The business consequences we heard and and the wide ranging conversations around what it means for open source and the complexity problem all being solved. I hope you enjoyed this program. There's a lot of moving pieces and things to configure with cloud native install, all making it easier for you here with Super Cloud and of course Platform nine contributing to that. Thank you for watching.

Published Date : Oct 18 2022

SUMMARY :

Great to have you on. What's just thing about what you guys are doing at Platform nine? So absolutely whether you are doing it in public clouds or private Patrick, we were talking before we came on stage here about your background and we were kind of talking about the glory days So you saw that whole growth. In fact, you know, as we were talking offline, I was in one of those asbs And if you look at the tech trends, GDPs down, but not tech. just some, you know, new servers and new application tools. you know, more, more dynamic, more, more the branch, you are looking at this as one unit. So you got containers booming and Kubernetes as a new layer there. you know, most companies are, 70 plus percent of them have won two, It runs on the And if you look at few years back, each one was doing So it's kinda like an SRE vibe. to build, so their customers who are using product A and product B are seeing a similar set Are you delivering that value to ops and security? So it it's, it's somewhere in the DevOps to infrastructure. Teams, So you were just two sides of that coin. that happens when you either order the product or go into the store and pick up your product or buy then they can't sell software people to go install the software and any change you wanna put through And all the person in the store has to do like of the public clouds. So you guys got some success. How do you talk to customers? is the definition and what are the attributes and characteristics of what is truly a cloud native Thousands and thousands of tools you could spend your time figuring out which I don't know anything about that, but the whole experience of how you order, are for the customer. One of the benefits of chatting with you here been on the app side, I did the infrastructure right and then tried to build our And disruptive. If you did not adapt and adapt and accelerate I think that that e-commerce is interesting and I think just to riff with you on that is that it's disrupting How are you gonna service your customers? after the event, to open up and look at the structural changes happening now and continue to look at it in Thank you John. I hope you enjoyed this program.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
PatrickPERSON

0.99+

AmazonORGANIZATION

0.99+

JohnPERSON

0.99+

SeanPERSON

0.99+

OracleORGANIZATION

0.99+

DavePERSON

0.99+

Dave AlonPERSON

0.99+

John FurPERSON

0.99+

oneQUANTITY

0.99+

BacarPERSON

0.99+

2000DATE

0.99+

twoQUANTITY

0.99+

50,000QUANTITY

0.99+

eight years agoDATE

0.99+

2001DATE

0.99+

Bhaskar GortiPERSON

0.99+

thousandsQUANTITY

0.99+

4,000 engineersQUANTITY

0.99+

OneQUANTITY

0.99+

MascarPERSON

0.99+

TwoQUANTITY

0.99+

GoogleORGANIZATION

0.99+

Office 365TITLE

0.99+

two peopleQUANTITY

0.99+

Super CloudTITLE

0.99+

first downturnQUANTITY

0.99+

thousands of storesQUANTITY

0.99+

DominoORGANIZATION

0.99+

two sidesQUANTITY

0.98+

one unitQUANTITY

0.98+

OpenStackTITLE

0.98+

bothQUANTITY

0.98+

more than one cloudQUANTITY

0.98+

AzureTITLE

0.98+

one thingQUANTITY

0.98+

22 years laterDATE

0.98+

One personQUANTITY

0.98+

20 years laterDATE

0.97+

each oneQUANTITY

0.97+

firstQUANTITY

0.96+

AzureORGANIZATION

0.96+

KubernetesTITLE

0.96+

70 plus percentQUANTITY

0.95+

todayDATE

0.95+

pandemicEVENT

0.95+

single platformQUANTITY

0.94+

threeQUANTITY

0.94+

over three yearsQUANTITY

0.94+

MaytagORGANIZATION

0.94+

ArlonORGANIZATION

0.93+

three little serversQUANTITY

0.93+

Super Cloud 22ORGANIZATION

0.92+

DetroitLOCATION

0.91+

Platform nineTITLE

0.91+

few years backDATE

0.9+

single panQUANTITY

0.89+

hundreds of productsQUANTITY

0.89+

TucanLOCATION

0.89+

Platform9ORGANIZATION

0.85+

CubaLOCATION

0.84+

Thousands and thousands of toolsQUANTITY

0.84+

two different examplesQUANTITY

0.84+

Platform nineORGANIZATION

0.83+

CloudnativeORGANIZATION

0.83+

Number twoQUANTITY

0.82+

Super Cloud 22ORGANIZATION

0.81+

thousands of storesQUANTITY

0.81+

third cloudworksQUANTITY

0.8+

20 year oldQUANTITY

0.8+

Platform nineTITLE

0.76+

SalesforceORGANIZATION

0.76+

DockerORGANIZATION

0.73+

productOTHER

0.73+

super cloudTITLE

0.71+

ScaleTITLE

0.7+

Bhaskar Gorti, Platform9 | Supercloud22


 

(upbeat music) >> Hey, welcome back, everyone, to Supercloud22. I'm John Furrier, host of "theCUBE." We're here all day talking about the future of cloud, where it's all going, making it super. Multicloud's around the corner, and public cloud is winning. Got the private cloud on premise and edge. Got a great guest here, Bhaskar Gorti, CEO of Platform9, just on the panel on Kubernetes, an enabler or blocker. Welcome back. Great to have you on. >> Good to see you again. >> So Kubernetes is a blocker or enabler with a question mark I put on. That panel was really to discuss the role of Kubernetes. Now, great conversation, operations it's impacted. What's interesting about what you guys are doing at Platform9 is your role there as CEO and the company's position, kind of like the world spun into the direction of Platform9 while you were at the helm. >> Right, absolutely. In fact, things are moving very well, and since they came to us. (John chuckling) It was an insight to call ourselves a platform company eight years ago, right, so absolutely, whether you are doing it in public clouds or private clouds, you know, the application world is moving very fast in trying to become digital and cloud native. There are many options for you to run infrastructure. The biggest blocking factor now is having a unified platform, and that's what area we come into. >> Bhaskar, we were talking before we came on stage here about your background, and we were kind of talking about the glory days of 2000, 2001, when the first ASPs, application service providers, came out, kind of a SaaS vibe, but that was kind of all, kind of cloud-like. >> It was! >> And web services started then too, so you saw that whole growth. Now fast-forward 20 years later, 22 years later, where we are now, when you look back then to here and all the different cycles. >> In fact, you know, as we were talking offline, you know, I was in one of those ASPs in the year 2000, where it was a novel concept of saying we are providing a software and a capability as a service, right. You sign up and start using it. I think a lot has changed since then, the tooling, the tools, the technology has really skyrocketed. The app development environment has really taken off exceptionally well. There are many, many choices of infrastructure now, right, so I think things are in a way the same, but also extremely different, but more importantly, now, for any company, regardless of size, to be a digital native, to become a digital company, is extremely mission-critical. It's no longer a nice to have. Everybody's in the journey somewhere. >> Everyone is going digital transformation. Here, even on a so-called downturn, recession that's upcoming, inflation's here, it's interesting. This is the first downturn in the history of the world where the hyperscaled clouds, they're been pumping on all cylinders, as an economic input, and if you look at the tech trends, GDP's down, but not tech. >> Nope. >> 'Cause the pandemic showed everyone, digital transformation is here, and more spend and more growth is coming even in tech. So this is a unique factor, which proves that that digital transformation's happening, and every company will need a supercloud. >> Everyone, every company regardless of size, regardless of location, has to become modernized in infrastructure, and modernizing infrastructure is not just some new servers and new application tools. It's your approach, how you're serving your customers, how you're bringing agility in your organization. I think that is becoming a necessity for every enterprise to survive. >> I want to get your thoughts on supercloud because one of the things Dave Vellante and I wanted to do with supercloud and calling it that was, I personally, and I know Dave as well. He can speak for himself. We didn't like multicloud, I mean, not because Amazon said, "Don't call things multicloud." It just didn't feel right. I mean, everyone has multiple clouds by default. If you're running productivity software, you have Azure and Office 365, but it wasn't truly distributed. It wasn't truly decentralized. It wasn't truly cloud-enabled. It felt like they're not ready for a market yet, yet public cloud's booming. On premise, private cloud and edge is much more, you know, more dynamic, more real. >> Yeah, I think the reason why we think supercloud is a better term than multicloud, multicloud are more than one cloud, but they're disconnected, okay. You have a productivity cloud. You have a Salesforce cloud. Everyone has an internal cloud, right, but they are not connected, so you can say, "Okay, it's more than one cloud, so it's multicloud," but supercloud is where you are actually trying to look at this holistically, whether it is on prem, whether it is public, whether it's at the edge, it's at store, at the branch, you are looking at this as one unit, and that's where we see the term supercloud is more applicable because what are the qualities that you require if you're in a supercloud, right? You need choice of infrastructure, but at the same time, you need a single platform for you to build your innovations on regardless of which cloud you're doing it on, right, so I think supercloud is actually a more tightly integrated, orchestrated management philosophy, we think. >> So let's get into some of the supercloud-type trends that we've been reporting on. Again, the purpose of this event is as the pilots, get the conversations flowing with the influencers like yourselves who are running companies and building products and the builders. Amazon and Azure are doing extremely well. Google's coming up in third. Cloudworks in public cloud, we see the use cases, on premises use cases. (arm thudding) Kubernetes has been an interesting phenomenon because it's been coming from the developer side a little bit, but a lot of ops people love Kubernetes. It's really more of an ops thing. You mentioned OpenStack earlier. Kubernetes kind of came out of that OpenStack. We need an orchestration, and then containers had a good shot with Docker. They repivoted the company. Now, they're all in an open source, so you got containers booming and Kubernetes as a new layer there. What's the take on that? What does that really mean? Is that a new de facto enabler? >> It is here. It's for here for sure. Every enterprise, somewhere in the journey's going on, and you know, most companies, or 70-plus percent of them, have one, two, three container-based, Kubernetes-based applications now being rolled out, so it's very much here. It is in production at scale by many customers, and the beauty of it is yes, open source, but the biggest gating factor is the skillset, and that's where we have a phenomenal engineering team, right, so it's one thing to buy a tool, and another one- >> And just to be clear, you're a managed service for Kubernetes. >> We provide a software platform for cloud acceleration as a service, and it can run anywhere. It can run on public, private. We have customers who do it in truly multicloud environments. It runs on the edge. It runs in stores. There are thousands of stores and retailer. So we provide that, and also for specific segments where data sovereignty and data residency are key regulatory reasons. We also run on prem as an air gap version. >> Can you give an example on how you guys are deploying your platform to enable a supercloud experience for your customer? >> Right. I'll give you two different examples. One is a very large networking company, public networking company. They have, I don't know, hundreds of products, hundreds of foreign lead teams that are building different products, and if you look a few years back, each one was doing it on a different platform, but they really needed to bring the agility, and they worked with us now over three years, where we are their build test dev platform where all their products are built on, right, and it has dramatically increased their agility to release new products. Number two, it actually is a light-sort operation. In fact, the customer says, like the Maytag service person, 'cause we provide it as a service, and it barely takes one or two people to maintain it for them. So it's kind of like an instant revibe, one person managing a large- >> 4,000 engineers building infrastructure. >> On their tools, whatever they want to do. >> On their tools. They're using whatever app development tools they use, but they use our platform as a service. >> And what benefits are they seeing? Are they seeing speed? >> Speed definitely. >> Okay. >> Definitely, they're seeing speed. Uniformity, because now, they're able to build. So their customers, who are using product A and product B, are seeing a similar set of tools that are being used. >> So a big problem that's coming out of this supercloud event that we're seeing, and we've heard it all here, ops and security teams 'cause they're kind of part of one team, but ops and security specifically need to catch up speed-wise. Are you delivering that value to ops and security? >> Right, so we work with ops and security teams and infrastructure teams, and we layer on top of that. We have like a platform team. If you think about it, depending on where you have data centers, where you have infrastructure, you'll have multiple teams, okay, but you need a unified platform. >> Who's your buyer? >> Our buyer is usually, you know, the product divisions of companies that are looking at, or the CTO would be a buyer for us functionally, CIO definitely. So it's somewhere in the DevOps to infrastructure, but the ideal one we are beginning to see now, many large corporations are really looking at it as a platform and saying, "We have a platform group on which any app can be developed, and it is run on any infrastructure," so the platform engineering teams- >> So you work on two sides of that coin. You've got the dev side and then? >> And the infrastructure. >> On the upside, okay. >> Another customer, and I'll give you an example, which I would say is kind of the edge or the store, so they have thousands of stores. >> Retail. >> Retail, you know, food retailer, right. They have thousands of stores around the globe, 50,000; 60,000, and they really want to enhance the customer experience that happens when you either order the product or go into the store and pick up your product or buy or browse or sit there. There are applications that were done in the '90s, and then they have very modern AI/ML applications today. They want something that will not have to send an IT person to install a rack in the store, or they can't move everything to the cloud because the store operations has to be local. They menu changes based on- >> It's the classic edge. >> It's classic edge, right. >> Yeah. >> They can't send IT people to go install racks of servers. Then they can't send software people to go install the software, and any change you want to put through that. There are truckloads, so they've been working with us where all they do is they ship, depending on the size of the store, one or two or three little servers with instructions that- >> You say little servers. Like how big? >> One, you know. >> Like a Netgear box? >> It's a box. >> Like small little light box. >> Yeah, it's a box. >> And all the person in the store has to do, like what you and I do at home, and we get a, you know, a router, is connect the power, connect the internet, and turn the switch on, and from there, we pick it up, we provide the operating system, everything, and then the applications are put on it, and so that dramatically brings the velocity for them. They manage thousands like that. >> True plug and play. >> True plug and play, thousands of stores. They manage it centrally. We do it for them, right, so that's another example where on the edge. Then we have some customers who have both a large private presence and one of the public clouds, okay, but they want to have the same platform layer of orchestration and management that they can use regardless of the location. >> So you guys got some success. Congratulations. Got some traction there. That's awesome. The question I want to ask you that's come up is what is truly cloud native? 'Cause there's lift and shift to the cloud. >> That's not cloud native. >> Then there's cloud native. Cloud native seems to be the driver for the super cloud. How do you talk to customers? How do you explain when someone says, "What's cloud native? What isn't cloud native?" >> Right, look, I think, first of all, the best place to look at what is the definition, and what are the attributes and characteristics of what is truly a cloud native, a CNC foundation. I mean, I think it's very well-documented, very well- >> KubeCon, of course, in Detroit's coming out. >> So it's already there, right. So we follow that very closely, right. I think just lifting and shifting your 20-year-old application onto a data center somewhere is not cloud native, okay. You can't port to cloud native. You have to rewrite and redevelop your application and business logic using modern tools, hopefully more open source, and I think that's what cloud native is, and we are seeing a lot of our customers in that journey. Now, everybody wants to be cloud native, but it's not that easy, okay, because I think it's, first of all, skillset is very important, uniformity of tools. There's so many tools. There are thousands and thousands of tools. You could spend your time figuring out which tool to use. (John laughing) Okay, so I think the complexity's there, but the business benefits of agility and uniformity and customer experience are truly being done, and I'll give you an example. I don't know how cloud native they are, right, and they're not a customer of ours, but you order pizzas. You do, right? If you just watch the pizza industry, how Domino's actually increase their share, and mine share and wallet share was not because they were making better pizzas or not. I don't know anything about that, but the whole experience of how you order, and how you watch what's happening, how it's delivered, they were the pioneer in it. To me, those are the kinds of customer experiences that cloud native can provide. >> Being agility and having that flow to the application changes what the expectations are for the customer. >> Customer, the customer's expectations change, right. Once you get used to a better customer experience, you will not. >> Bhaskar, to wrap it up, I want to just get your perspective again. One of the benefits of chatting with you here and having you a part of the Supercloud22 is you've seen many cycles. You have a lot of insights. I want to ask you, given your career, where you've been, and what you've done, and now, the CEO of Platform9, how would you compare what's happening now with other inflection points in the industry? And you've been, again, you've been an entrepreneur. You sold your company to Oracle. You've been seeing the big companies. You're seeing the different waves. What's going on right now? Put it into context, this moment in time, all right, supercloud. >> Sure. I think, as you said, a lot of battle scars. Being in an ASP, being in a realtime software company, being in large enterprise software houses in a transformation. I've been on the outside. I did the infrastructure, right, and then tried to build our own platforms. I've gone through all of this myself with a lot of lessons learned in there. I think this is an event which is happening now for companies to become cloud native and digitalized, if I were to look back and look at some parallels of the tsunami (chuckles) that's going on, couple of parallels come to me. One is, think of it which is forced on us, like Y2K. Everybody around the world had to have a plan, a strategy, and an execution for Y2K. I would say the next big thing was ecommerce. I think ecommerce has been pervasive, right, across all industries. >> And disruptive. >> And disruptive, extremely disruptive. If you did not adapt and adapt and accelerate your ecommerce initiative, it was an existence question. I think we are at that pivotal moment now in companies trying to become digital and cloud native. That is what I see happening now. >> I think that ecommerce is interesting, and I think, just to riff with you on that, is that it's disrupting and refactoring the business models. I think that is something that's coming out of this is that it's not just completely changing the game. It's just changing how you operate. >> How you think and how you operate, see, if you think about the early days of ecommerce, just putting up a shopping cart didn't make you an ecommerce or an eretailer or an ecustomer, right. So I think it's the same thing now, is I think this is a fundamental shift on how you're thinking about your business, how you would operate, how you want to service your customers. I think it requires that just lift and shift is not going to work. >> Bhaskar, thank you for coming on, spending the time to come in and share with our community and being part of Supercloud22. We really appreciate it. We're going to keep this open. We're going to keep this conversation going even after the event to open up and look at the structural changes happening now and continue to look at it in the open, in the community, and we're going to keep this going for a long, long time as we get answers to the problems that customers are looking for with cloud, cloud computing. I'm John Furrier with Supercloud22 and "theCUBE." Thanks for watching. (upbeat music)

Published Date : Sep 9 2022

SUMMARY :

Great to have you on. and the company's position, and since they came to us. about the glory days of 2000, and all the different cycles. Everybody's in the journey somewhere. and if you look at the 'Cause the pandemic showed everyone, and new application tools. because one of the things but at the same time, you and building products and the builders. and the beauty of it is yes, open source, And just to be clear, It runs on the edge. and if you look a few years back, building infrastructure. On their tools, but they use our platform they're able to build. Are you delivering that on where you have data centers, but the ideal one we are You've got the dev side and then? of the edge or the store, or go into the store of the store, one or two You say little servers. in the store has to do, and one of the public clouds, and shift to the cloud. driver for the super cloud. the best place to look at KubeCon, of course, but the whole experience of how you order, are for the customer. Customer, the customer's and now, the CEO of Platform9, of the tsunami (chuckles) that's going on, If you did not adapt and I think, just to is not going to work. even after the event to open up and look

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
AmazonORGANIZATION

0.99+

DavePERSON

0.99+

Bhaskar GortiPERSON

0.99+

Dave VellantePERSON

0.99+

oneQUANTITY

0.99+

hundredsQUANTITY

0.99+

OracleORGANIZATION

0.99+

twoQUANTITY

0.99+

John FurrierPERSON

0.99+

50,000QUANTITY

0.99+

thousandsQUANTITY

0.99+

GoogleORGANIZATION

0.99+

60,000QUANTITY

0.99+

2001DATE

0.99+

OneQUANTITY

0.99+

2000DATE

0.99+

BhaskarPERSON

0.99+

Office 365TITLE

0.99+

two peopleQUANTITY

0.99+

Y2KORGANIZATION

0.99+

OpenStackTITLE

0.99+

two sidesQUANTITY

0.99+

DetroitLOCATION

0.99+

Platform9ORGANIZATION

0.99+

22 years laterDATE

0.99+

AzureTITLE

0.99+

one unitQUANTITY

0.99+

20 years laterDATE

0.99+

Supercloud22ORGANIZATION

0.99+

supercloudORGANIZATION

0.98+

JohnPERSON

0.98+

eight years agoDATE

0.98+

one personQUANTITY

0.98+

KubernetesTITLE

0.98+

more than one cloudQUANTITY

0.97+

MulticloudORGANIZATION

0.97+

4,000 engineersQUANTITY

0.97+

over three yearsQUANTITY

0.97+

thousands of storesQUANTITY

0.97+

DominoORGANIZATION

0.97+

each oneQUANTITY

0.97+

MaytagORGANIZATION

0.96+

single platformQUANTITY

0.96+

hundreds of productsQUANTITY

0.96+

thousands of storesQUANTITY

0.95+

first downturnQUANTITY

0.95+

bothQUANTITY

0.95+

one teamQUANTITY

0.95+

threeQUANTITY

0.95+

multicloudORGANIZATION

0.94+

one thingQUANTITY

0.93+

two different examplesQUANTITY

0.93+

todayDATE

0.92+

thirdQUANTITY

0.92+

foreign lead teamsQUANTITY

0.91+

AzureORGANIZATION

0.91+

20-year-oldQUANTITY

0.91+

70-plus percentQUANTITY

0.9+

'90sDATE

0.89+

pandemicEVENT

0.89+

SalesforceORGANIZATION

0.87+

three little serversQUANTITY

0.86+

theCUBEORGANIZATION

0.86+

Number twoQUANTITY

0.84+

Rashmi Kumar, HPE | HPE Discover 2021


 

(bright music) >> Welcome back to HPE Discover 2021. My name is Dave Vellante and you're watching theCUBE's virtual coverage of HPE's big customer event. Of course, the virtual edition and we're going to dig into transformations, the role of technology and the role of senior technology leadership. Look, let's face it, HPE has gone through a pretty dramatic transformation itself in the past few years so it makes a great example in case study and with me is Rashmi Kumar who is the senior vice president and CIO at HPE, Rashmi welcome come on inside theCUBE. >> Hi Dave nice to be here. >> Well it's been almost a year since COVID you know changed the world as we know it. How would you say the role of the CIO specifically in generally IT has changed? I mean you got digital, zero trust has gone from buzzword to mandate, digital, everybody was you know complacent about digital in many ways and now it's really accelerated, remote work, hybrid, how do you see it? >> Absolutely, as I said in the last Discover that COVID has been the biggest reason to accelerate digital transformation in the companies. I see CIO's role has changed tremendously in the last 15 months. It's no more just keep the operations running, that's become a table stake. Our roles have become not only to create digital customer experience, engage with our customers in different ways, but also to transform the company operations from inside out to be able to give that digital experience from beginning to end of the customer engagement going forward. We have also become responsible for switching our strategies around the companies as the COVID hit in different parts of the world at different times and how companies structured their operations to go from one region to another, a global company like HPE had to look into its supply chain differently, had to look into strategies to mitigate the risk that was created because of the supply chain disruptions, as well as you go to taking care of our employees. How do you create this digital collaboration experience where teams can still come together and make the work happen for our end customers? How do we think about future employee engagement when people are not coming into these big buildings and offices and working together, but how do you create the same level of collaboration, coordination, as well as delivery of faster, good and services which is enabled by technology going forward. So CIO and IT's role has gone from giving a different level of customer experience to different level of employee experience, as well as enabling day-to-day operations of the companies. CEOs have realized that digital is the way to go forward, it does not matter what industry you are in and now CIOs have their seat at the table to define what the future of every company now which is a technology company irrespective you are in oil and gas, or mining, or a technical product, or a car or a mobility company, end of the day you have to act and behave like a technology company. >> So I want to ask you about that because you've been a CIO at a leading technology provider now for the last three years and you've had previous roles and were, you know non-technical, technology, you know, selling to IT companies and as you point out those worlds are coming together. Everybody's a technology company today. How do you think that changes the role of the CIO because it would always seem to me that there was a difference between a CIO at a tech company you know what I mean by that and a CIO at sort of every other company is, are those two worlds converging? >> Absolutely and it's interesting you pointed out that I have worked in many different industries from healthcare and pharma, to entertainment, to utilities and now at a technology company. End of the day the issues that IT deals with are pretty similar across the organization. What is different here is now my customers are people like me in other industries and I have little bit of an advantage because just having the experience across various ecosystem even that HPE look I was fortunate at HPE because of Antonio's leadership we had top-down mandate to transform how we did business and I talked about my NextGEN IT program in last year's CUBE interview. But at the same time while we were changing our customer, partner's experience from ordering, to order processing, to supply chain, to finance, we decided this pivot of becoming as a service company. And if you think about that pivot, it's pretty common. If it was a technology company or non-technology company. At HPE we were very used to selling a product and coming back three years later at the time of refresh of infrastructure or hardware. That's no more true for us. Now we are becoming an as a service or a subscription company and IT played a major role to enable that quote-to-cash experience which is very different than the traditional experience, around how we stay connected with our customer, how we proactively understand their behavior. I always talk about this term digital exhaust which results into data, which can result into better insight and you can not only upsell, cross-sell because now you have more data about your product usage, but first and foremost give what your customer wants in a much better way because you can proactively understand their needs and wants because you are providing a digital product versus a physical product. So this is the change that most of the companies are now going through. If you look at Domino's transition, they are pizza sellers but they did better because they had better digital experience. If you look at Chipotle, these are food service companies. Ikea which is a furniture manufacturer, across the board we have helped our customers and industries to understand how to become a more digital provider. And remember when HPE says edge to cloud platform as a service, edge is the product, the customers is what we deal with and how do we get that, help them get that data, understand how the product is behaving and then get the information to cloud for further analysis and understanding from the data that comes out of the products that they sell. >> I think you've been at HPE now I think around three years and I've been watching of course for decades, you know HPE, well HP then HPE is, I feel like it's entering now that sort of third phase of its transformation, your phase one was okay we got to figure out how to deal or operate as separate companies, okay, that took some time and then it was okay, now how do we align our resources? And you know what are the waves that we're going to ride? And how do we take our human capital, our investments and what bets do we place? And you're all in on as a service and now it's like okay, you know how do we deliver on all those promises? So pretty massive transformations. You talked about edge to cloud as a service so you've got this huge pivot in your business. What's the technology strategy to support that transformation? >> Yeah, that's a great question. So as I mentioned first, your second phase which was becoming a stand-alone company was the NextGEN IT program where we brought in S4 and 60 related ecosystem application where even in the traditional business there was a realization that we were 120 billion company, we are a 30 billion company, we need different types of technologies as well as more integrated across our product line, across the globe and we, I'm very happy to report that we are the last leg of NextGEN IT transformation. Where we have brought in new customer experience through low-touch or no-touch order processing, a very strong S4 capabilities where we are now able to run all global orders across all our hardware and services business together and I'm happy to report that we have been able to successfully run through the transformation which a typical company of our size would take five or six years to do in around close to three years. But at the same time while we were building this foundation and the capabilities to be able to do order management supply chain and data and analytics platforms, we also made the pivot to go to as a service. Now for as a service and subscription selling, it needs a very different quote-to-cash experience for our customers. And that's where we had bring in platforms like BRIM to do subscription billing, convergent charging and a whole different way to address. But we were lucky to have this transformation completed on which we could bolt on this new capability and we had the data analytics platform built which now these as a service products can also use to drive better insight into our customer behavior as well as how they're using our product real time for our operations teams. >> Well they say follow the money, in theCUBE we love to say follow the data. I mean data is obviously a crucial component of competitive advantage, business value, so talk a little bit more about the role of data, I'm interested in where IT fits. You know a lot of companies they'll have a chief data officer, or a CIO, sometimes they're separate sometimes they work, you know for each other, or CDO works for CIO, how do you guys approach the whole data conversation? >> Yeah that's a great question and has been top of the mind of a lot of CEOs, CIOs, chief digital officers in many different companies. The way we have set it up here is we do have a chief data officer and we do have a head of technology and platform and data lake within IT. Look the way I see is that I call the term data torture. If they have multiple data lakes, if they have multiple data locations and the data is not coming together at one place at the first time that it comes out to the source system, we end up with data swamps and it's very difficult to drive insights, it's very difficult to have single version of truth. So HPE had two-pronged approach. First one was as part of this NextGEN IT transformation we embarked upon the journey first of all to define our customers and products in a very uniform way across the globe. It's called entity master data and product master data program. These were very, very difficult program. We are now happy to report that we can understand the customer from cold stage to servicing stage beginning to end across all our system. It's been a tough journey but it was effort well spent. At the same time while we were building this master data capability we also invested time in our analytics platform. Because we are generating so much data now globally as one footprint, how do we link our data lake to our SAP and Salesforce and all these systems where our customer data flows through and create analytics and insight from it from our customers or our operations team. At the same time we also created a chief data officer role where the responsibility is really to drive business from understanding what decision making and analytics they need around product, around customer, around their usage around their experience to be able to drive better alignment with our customers and products going forward. So this creates efficiencies in the organization. If you have a leader who is taking care of your platforms and data, building single source of truth and you have a leader who is propagating this mature notion of handling data as enterprise data and driving that focus on understanding the metrics and the insight that the businesses need to drive better customer alignment, that's when we gain those efficiencies and behind the scenes the chief data officer and the data leader within my organization work very, very closely to understand each other needs, sometimes art of the possible, where do we need the data processing? Is it at the edge? Is it in the cloud? What's the best way to drive the technology and the platform forward? And they kind of rely on each other's knowledge and intelligence to give us superior results. And I have done data analytics in many different companies, this model works. Where you have focus on insight and analytics without, because data without insight is of no value. But at the same time you need clean data, you need efficient, fast platforms to process that insight at the functional non-functional requirement that our business partners have. And that's how we have established in here and we have seen many successes recently as of now. >> I want to ask you a kind of a harder, maybe it's not a harder question it's a weird question around single version of the truth. 'Cause it's clearly a challenge for organizations and there's many applications, workloads that require that single version of the truth, the operational systems, the transaction systems, the HR, the Salesforce and clearly you have to have a single version of the truth. I feel like, however we're on the cusp of a new era where business lines see an opportunity for whatever, their own truth to work with a partner to create some kind of new data product. And it's early days in that but I wonder, maybe not the right question for HPE but I wonder if you see it with in your ecosystems where it's yes, single version of truth is sort of one class of data and analytics got to have that nailed down, data quality, everything else. But then there's this sort of artistic version of the data where business people need more freedom, they need more latitude to create. Are you seeing that? Maybe you can help me put that into context. >> That's a great question Dave and I'm glad you asked it so. I think Tom Davenport, who is known in the data space talks about the offensive and the defensive use cases of leveraging data. I think the piece that you talked about where it's clean, it's pristine, it's quality, it's all that, most of those offer the offensive use cases where you are improving companies' operations incrementally because you have very clean data, you have very good understanding of how my territories are doing, how my customers are doing, how my products are doing, how am I meeting my SLAs or how my financials are looking, there's no room for failure in that area. The other area is though which works on the same set of data. It's not a different set of data but the need is more around finding needles in the haystack to come up with new needs, new wants in customers or new business models that we go with. The way we have done it is we do take this data, take out what's not allowed for everybody to be seen and then what we call is a private space but that's this entire data available to our business leader not real time, because the need is not as real time because they are doing more, what we call this predictive analytics to be able to leverage the same data set and run their analytics. And we work very closely with business units, we educate them, we tell them how to leverage this data set and use it and gather their feedback to understand what they need in that space to continue to run with their analytics. I think as we talk about hindsight, insight and foresight, hindsight and insight happens more from this clean data lakes where you have authenticity, you have quality and then most of the foresight happens in a different space where the users have more leverage to use data in many different ways to drive analytics and insights which is not readily available. >> Great thank you for that. That's an interesting discussion. You know digital transformation it's a journey and it's going to take you know many years. I know a lot of ways, not a lot of ways, 2020 was a forced march to digital you know. If you weren't a digital business you were out of business and so you really didn't have much time to plan. So now organizations are stepping back saying, okay, let's really lean into our strategy, the journey and along the way, there's going to be blind spots, there's bumps in the road, when you look out what are the potential disruptions that you see maybe in terms of how companies are currently approaching their digital transformations? >> That's a great question Dave and I'm going to take a little bit more longer-term view on this topic, right? And what's top of my mind recently is the whole topic of ESG, environmental, social and governance. Most of the companies have governance in place right? Because they are either public companies, or they're under some kind of scrutiny from different regulatory bodies or whatnot even if you're a startup you need to do things with our customers and whatnot. It has been there for companies, it continues to be there. We the public companies are very good at making sure that we have the right compliance, right privacy, right governance in place. Now we'll talk about cybersecurity I think that creates a whole new challenge in that governance space, however we have the setup within our companies to be able to handle that challenge. Now, when we go to social, what happened last year was really important. And now as each and every company we need to think about what are we doing from our perspective to play our part in that and not only the bigger companies, leaders at our level I would say that between last March and this year I have hired more than 400 people during pandemic which was all virtual, but me and my team have made sure that we are doing the right thing to drive inclusion and diversity which is also very big objective for HPE and Antonio himself has been very active in various round tables in US at the World Economic Forum level and I think it's really important for companies to create that opportunity, remove that disparity that's there for the underserved communities. If we want to continue to be successful in this world to create innovative product and services we need to sell it to the broader cross section of populations and to be able to do that we need to bring them in our fold and enable them to create that equal consumption capabilities across different sets of people. HPE has taken many initiatives and so are many companies. I feel like the momentum that companies have now created around the topic of equality is very important. I'm also very excited to see that a lot of startups are now coming up to serve that 99% versus just the shiny ones as you know in the Bay Area to create better delivery methods of food or products right? But the third piece which is environmental is extremely important as well. As we have seen recently in many companies and where even the dollar or the economic value is flowing are around the companies which are serious about environmental. HPE recently published it's a Living Progress Report, we have been in the forefront of innovation to reduce carbon emissions, we help our customers through those processes. Again, if we don't, if our planet is on fire none of us will exist right? So we all have to do that every little part to be able to do better. And I'm happy to report I myself as a person solar panels, battery, electric cars, whatever I can do. But I think something more needs to happen right? Where as an individual I need to pitch in but maybe utilities will be so green in the future that I don't need to put panels on my roof which again creates a different kind of race going forward. So when you ask me about disruptions, I personally feel that successful company like ours have to have ESG top of their mind and think of product and services from that perspective, which creates equal opportunity for people, which creates better environment sustainability going forward and you know our customers, our investors are very interested in seeing what we are doing to be able to serve that cause for bigger cross section of companies. And I'm most of the time very happy to share with my CIO cohort around how our HPEFS capabilities creates or feeds into the circular economy, how much e-waste we have recycled or kept it off of landfills, our green lake capabilities, how it reduces the e-waste going forward, as well as our sustainability initiatives which can help other CIOs to be more carbon neutral going forward as well. >> You know that's a great answer Rashmi thank you for that 'cause I got to tell you I hear a lot of mumbo jumbo about ESG but that was a very substantive, thoughtful response that I think tech companies in particular are, have to lead and are leading in this area. So I really appreciate that sentiment. I want to end with a very important topic which is cyber it's, obviously you know escalated in the news the last several months, it's always in the news but, you know 10 or 15 years ago there was this mentality of failure equals fire. And now we realize, hey they're going to get in, it's how you handle it. Cyber has become a board-level topic. You know years ago there was a lot of discussion, oh you can't have the SecOps team working for the CIO because that's like the fox watching the hen house that's changed. It's been a real awakening, a kind of a rude awakening so the world is now more virtual, you've got a secure physical assets. I mean any knucklehead can now become a ransomware attacker, they can buy ransomware as a service in the dark web so that's something we've never seen before. You're seeing supply chains get hacked and self-forming malware I mean it's a really scary time. So you've got these intellectual assets it's a top priority for organizations. Are you seeing a convergence of the CISO role, the CIO role, the line of business roles relative to sort of prior years in terms of driving security throughout organizations? >> Yeah this is a great question and this was a big discussion at my public board meeting a couple of days ago. It's, as I talk about many topics, if you think digital, if you think data, if you think ESG, it's no more one organization's business, it's now everybody's responsibility. I saw a Wall Street Journal article a couple of days ago where somebody has compared cyber to 9/11 type scenario that if it happens for a company that's the level of impact you feel on your operations. So, you know all models are going to change where CISO reports to CIO, at HPE we are also into product security and that's why CISO is a peer of mine who I work with very closely, who also worked with product teams where we are saving our customers from lot of pain in this space going forward and HPE itself is investing enormous amount of efforts and time in coming out of products which are secure and are not vulnerable to these types of attacks. The way I see it is CISO role has become extremely critical in every company and a big part of that role is to make people understand that cybersecurity is also everybody's responsibility. That's why an IT we propagate DevSecOps, as we talk about it we are very, very careful about picking the right products and services. This is one area where companies cannot shy away from investing. You have to continuously looking at cybersecurity architecture, you have to continuously look at and understand where the gaps are and how do we switch our product or service that we use from the providers to make sure our companies stay secure. The training not only for individual employees around anti-phishing or what does cybersecurity mean, but also to the executive committee and to the board around what cyber security means, what zero trust means, but at the same time doing drive-ins. We did it for business continuity and disaster recovery before, now it is time we do it for a ransomware attack and stay prepared. As you mentioned and we all say in tech community, it's always if not when. No company can take them their chest and say, "oh we are fully secure," because something can happen going forward. But what is the readiness for something that can happen? It has to be handled at the same risk level as a pandemic, or a earthquake, or a natural disaster and assume that it's going to happen and how as a company we will behave when something like this happens. So I'm huge believer in the framework of protect, detect, govern and respond as these things happen. So we need to have exercises within the company to ensure that everybody's aware of the part that they play day to day but at the same time when some event happen and making sure we do very periodic reviews of IT and cyber practices across the company, there is no more differentiation between IT and OT. That was 10 years ago. I remember working with different industries where OT was totally out of reach of IT and guess what happened? WannaCry and Petya and XP machines were still running your supply chains and they were not protected. So, if it's a technology it needs to be protected. That's the mindset people need to go with. Invest in education, training, awareness of your employees, your management committee, your board and do frequent exercises to understand how to respond when something like this happen. See it's a big responsibility to protect our customer data, our customer's operations and we all need to be responsible and accountable to be able to provide all our product and services to our customers when something unforeseen like this happens. >> Rashmi you're very generous with your time thank you so much for coming back in theCUBE it was great to have you again. >> Thank you Dave, it was really nice chatting with you. >> And thanks for being with us for our ongoing coverage of HPE Discover '21. This is Dave Vellante you're watching the virtual CUBE, the leader in digital tech coverage we'll be right back. (bright music)

Published Date : Jun 23 2021

SUMMARY :

and the role of senior was you know complacent end of the day you have to act and behave and as you point out those and how do we get that, and what bets do we place? and the capabilities to be about the role of data, that the businesses need to and clearly you have to have and the defensive use cases and it's going to take and to be able to do that 'cause I got to tell you I and assume that it's going to it was great to have you again. Thank you Dave, it was the leader in digital tech

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
DavePERSON

0.99+

Alex MarsonPERSON

0.99+

AndyPERSON

0.99+

Andy ThuraiPERSON

0.99+

Dave VellantePERSON

0.99+

AWSORGANIZATION

0.99+

IBMORGANIZATION

0.99+

Ken SchiffmanPERSON

0.99+

Tom DavenportPERSON

0.99+

AMEXORGANIZATION

0.99+

MicrosoftORGANIZATION

0.99+

Cheryl KnightPERSON

0.99+

Rashmi KumarPERSON

0.99+

Rob HoofPERSON

0.99+

GoogleORGANIZATION

0.99+

UberORGANIZATION

0.99+

KenPERSON

0.99+

OracleORGANIZATION

0.99+

OctoberDATE

0.99+

6%QUANTITY

0.99+

$40QUANTITY

0.99+

January 21DATE

0.99+

ChipotleORGANIZATION

0.99+

$15 billionQUANTITY

0.99+

fiveQUANTITY

0.99+

RashmiPERSON

0.99+

$50,000QUANTITY

0.99+

$60QUANTITY

0.99+

USLOCATION

0.99+

JanuaryDATE

0.99+

AntonioPERSON

0.99+

John AkersPERSON

0.99+

Warren BuffetPERSON

0.99+

late 2018DATE

0.99+

IkeaORGANIZATION

0.99+

American ExpressORGANIZATION

0.99+

MITORGANIZATION

0.99+

PWCORGANIZATION

0.99+

99%QUANTITY

0.99+

HPEORGANIZATION

0.99+

DominoORGANIZATION

0.99+

ArvindPERSON

0.99+

Palo AltoLOCATION

0.99+

30 billionQUANTITY

0.99+

last yearDATE

0.99+

Constellation ResearchORGANIZATION

0.99+

GerstnerPERSON

0.99+

120 billionQUANTITY

0.99+

$100,000QUANTITY

0.99+

Rashmi Kumar SVP and CIO at Hewlett Packard Enterprise


 

>>Welcome back to HP discover 2021 My name is Dave Volonte and you're watching the cubes, virtual coverage of H. P. S. Big customer event. Of course, the virtual edition, we're gonna dig into transformations the role of technology in the role of senior technology leadership. Look, let's face it, H P. E. Has gone through a pretty dramatic transformation itself in the past few years. So it makes a great example in case study and with me is rashmi kumari who is the senior vice president and C. I. O. At HP rashmi welcome come on inside the cube. >>Dave Nice to be here. >>Well, it's been almost a year since Covid changed the world as we know it. How would you say the role of the CEO specifically and generally it has changed. I mean you got digital Zero Trust has gone from buzzword to >>mandate >>digital. Everybody was complacent about digital in many ways and now it's really accelerated remote work hybrid. How do you see it? >>Absolutely. As I said in the last discover that Covid has been the biggest reason to accelerate digital transformation in the company's I. C. C. I O. S role has changed tremendously in the last 15 months. It's no more just keep the operations running that's become a table stick. Our roles have become not only to create digital customer experience engaged with our customers in different ways, but also to transform the company operations from inside out to be able to give that digital experience from beginning to end off the customer engagement going forward. We have also become responsible for switching our strategies around the companies as the Covid. Covid hit in different parts of the world at different times and how companies structured their operations to go from one region to another. A global company like H. B had to look into its supply chain differently. Had to look into strategies to mitigate the risk that was created because of the supply chain disruptions as well as you go to taking care of our employees. How do you create this digital collaboration experience where teams can still come together and make the work happen for our end customers? How do we think about future employee engagement when people are not coming into these big buildings and offices and working together, But how to create the same level of collaboration coordination as well as delivery or faster uh goods and services which is enabled by technology going forward. So see I. O. And I. T. S. Role has gone from giving a different level of customer experience to a different level of employee experience as well as enabling day to day operations of the company's. Ceos have realized that digital is the way to go forward. It does not matter what industry you are in and now see a as have their seat at the table to define what the future of every company now, which is a technology company respective you are in oil and gas or mining or a technical product or a card or a mobility company. End of the day you have to act and behave like a technology company. >>So I want to ask you about that because you've you've been a Ceo and uh you know, leading technology provider now for the last three years and you've had previous roles and where you know non technical technology, you know, selling to I. T. Companies and as you point out those worlds are coming together, everybody is a technology company today. How do you think that changes the role of the C. I. O. Because it would always seem to me that there was a difference between A C. I. O. And a tech company. You know what I mean by that? And the C. I. O. It's sort of every other company is those two worlds converging. >>Absolutely. And it's interesting you pointed out that I have worked in many different industries from healthcare and pharma to entertainment to utilities. Um And now at a technology company end of the day um The issues that I. T. Deals with are pretty similar across the organization. What is different here is now my customers are people like me in other industries and I have a little bit of an advantage because just having the experience across various ecosystem. Even at H. B. Look I was fortunate um at H. B. Because of Antonio's leadership, we have topped out mandate to transform how we did business. And I talked about my next gen IT program in last year's cube interview. But at the same time while we were changing our customer partners experience from ordering to order processing to supply chain to finance. Uh We decided this pivot of becoming as a service company. And if you think about that pivot it's pretty common if it was a technology company or non technology company at HP. We were very used to selling a product and coming back three years later at the time of refresh of infrastructure or hardware. That's no more true for us now we are becoming as a service or a subscription company and I. T. Played a major role to enable that quote to cash experience. Which is very different than the traditional experience around how we stay connected with our customer, how we proactively understand their behavior. I always talk about this term. Um Digital exhaust which results into data which can result into better insight and you can not only Upsell cross l because now you have more data about your product usage, but first and the foremost give what your customer wants in a much better way because you can proactively understand their needs and wants because you are providing a digital product versus a physical product. So this is the change that most of the companies are now going through. If you look at Domino's transition, there are pills a sellers but they did better because they had better digital experience. If you look at Chipotle, these are food service companies I. K which is a furniture manufacturer across the board. We have helped our customers and industries to understand how to become a more digital provider. And and remember when uh hp says edge to cloud platform as a service edges the product, the customers who we deal with and how do we get that? Help them get their data to understand how the product is behaving and then get the information to cloud for further analysis. Um and understanding from the data that comes out of the products that gets up, >>I think you've been HP now think around three years and I've been watching of course for decades. Hp. Hp then HP is I feel like it's entering now the sort of third phase of its transformation, your phase one was okay, we gotta figure out how to deal or or operate as a separate companies. Okay. That took some time and then it was okay. Now how do we align our resources and you know, what are the waves that we're gonna ride? And how do we how do we take our human capital, our investments and what bets do we place and and all in on as a service. And now it's like okay how do we deliver on all those promises? So pretty massive transformations. You talked about edge to cloud as a service so you've got this huge pivot in your in your business. What's the technology strategy to support that transformation? >>Yeah that's a that's a great question. So as I mentioned first your second phase which was becoming a stand alone company was the next N. I. T. Program very broad and um S. Four and 60 related ecosystem application. We're even in the traditional business there was a realization that we were 100 20 billion company. We are 30 billion company. We need different types of technologies as well as more integrated across our product line across the globe. And um we I'm very happy to report that we are the last leg of next in I. T. Transformation where we have brought in new customer experience through low touch or not touch order pressing. A very strong as four capabilities. Where we are now able to run all global orders across all our hardware and services business together. And I'm happy to report that we have been able to successfully run through the transformation which a typical company of our size would take five or six years to do in around close to three years. But at the same time while we were building this foundation and the capabilities to be able to do other management, supply chain and data and analytics platforms. We also made the pivot to go to as a service now for as a service and subscription selling. It needs a very different quote to Kazakh cash experience for our customers and that's where we had to bring in um platforms like brim to do um subscription building, convergent charging and a whole different way to address. But we were lucky to have this transformation completed on which we could bolt on this new capability and we had the data and another X platform built which now these as a service products can also use to drive better insight into our customer behavior um as well as how they're using our product a real time for our operations teams. >>Well they say follow the money in the cube. We love to say follow the day to day is obviously a crucial component of competitive advantage business value. So you talk a little bit more about the role of data. I'm interested I'm interested in where I. T. Fits uh you know a lot of companies that have a Chief data officer or Ceo sometimes they're separate. Sometimes they they work you know for each other or Cdo works for C. I. O. How do you guys approach the whole data conversation? >>Yeah that's a that's a great question and has been top of the mind of a lot of C E O C I O S. Chief digital officers in many different companies. The way we have set it up here is do we do have a chief data officer and we do have a head of uh technology and platform and data within I. T. Look. The way I see is that I call the term data torture if we have multiple data lakes, if we have multiple data locations and the data is not coming together at one place at the first time that it comes out of the source system, we end up with data swamps and it's very difficult to drive insights. It's very difficult to have a single version of truth. So HP had two pronged approach. First one was as part of this next gen i. T. Transformation we embarked upon the journey first of all to define our customers and products in a very uniform way across the globe. It's called entity Master Data and Product Master Data Program. These were very very difficult program. We are now happy to report that we can understand the customer from code stage to servicing stage beginning to end across all our system. It's been a tough journey but it was a effort well spent at the same time while we were building this message capability, we also invest the time in our analytics platform because we are generating so much data now globally as one footprint. How do we link our data link to R. S. A. P. And Salesforce and all these systems where our customer data flows through and create analytics and insight from it from our customers or our operations team. At the same time, we also created a chief data officer role where the responsibility is really to drive business from understanding what decision making an analytics they need around product, around customer, around their usage, around their experience to be able to drive better alignment with our customers and products going forward. So this creates efficiencies in the organization. If you have a leader who is taking care of your platforms and data building single source of truth and you have a leader who is propagating this mature notion of handling data as enterprise data and driving that focus on understanding the metrics and the insight that the businesses need to drive better customer alignment. That's when we gain those efficiencies and behind the scenes, the chief data officer and the data leader within my organization worked very, very closely to understand each other needs sometimes out of the possible where do we need the data processing? Is it at the edge? Is it in the cloud? What's the best way to drive the technology and the platform forward? And they kind of rely on each other's knowledge and intelligence to give us give us superior results. And I have done data analytics in many different companies. This model works where you have focused on insight and analytics without because data without insight is of no value, but at the same time you need clean data. You need efficient, fast platforms to process that insight at the functional nonfunctional requirements that are business partners have and that's how we have established in here and we have seen many successes recently. As of now, >>I want to ask you a kind of a harder maybe it's not harder question. It's a weird question around single version of the truth because it's clearly a challenge for organizations and there's many applications workloads that require that single version of the truth. The operational systems, the transaction systems, the HR the salesforce. Clearly you have to have a single version of the truth. I feel like however we're on the cusp of a new era where business lines see an opportunity for whatever their own truth to work with a partner to create some kind of new data product. And it's early days in that. But I want to and maybe not the right question for HP. But I wonder if you see it with in your ecosystems where where it's it's yes, single version of truth is sort of one class of data and analytics gotta have that nail down data quality, everything else. But then there's this sort of artistic version of the data where business people need more freedom. They need more latitude to create. Are you seeing that? And maybe you can help me put that into context. >>Uh, that's a great question. David. I'm glad you asked it. So I think tom Davenport who is known in the data space talks about the offensive and the defensive use cases of leveraging data. I think the piece that you talked about where it's clean, it's pristine, it's quality. It's all that most of those offer the offensive use cases where you are improving company's operations incrementally because you have very clean that I have very good understanding of how my territories are doing, how my customers are doing how my products are doing. How am I meeting my sls or how my financials are looking? There's no room for failure in that area. The other area is though, which works on the same set of data. It's not a different set of data, but the need is more around finding needles in the haystack to come up with new needs, new ones and customers or new business models that we go with. The way we have done it is we do take this data take out what's not allowed for everybody to be seen and then what we call is a private space. But that's this entire data available to our business leader, not real time because the need is not as real time because they're doing more what we call this predictive analytics to be able to leverage the same data set and run their analytics. And we work very closely with business in its we educate them. We tell them how to leverage this data set and use it and gather their feedback to understand what they need in that space to continue to run with their with their analytics. I think as we talk about hindsight insight and foresight hindsight and insight happens more from this clean data lakes where you have authenticity, you have quality and then most of the foresight happens in a different space where the users have more leverage to use data in many different ways to drive analytics and insights which is not readily available. >>Thank you for that. That's interesting discussion. You know digital transformation. It's a journey and it's going to take many years. A lot of ways, not a lot of ways 2020 was a forced March to digital. If you weren't a digital business, you were out of business and you really didn't have much time to plan. So now organizations are stepping back saying, okay let's really lean into our strategy the journey and along the way there's gonna be blind spots, there's bumps in the road when you look out what are the potential disruptions that you see maybe in terms of how companies are currently approaching their digital transformations? That's a great question. >>Dave and I'm going to take a little bit more longer term view on this topic. Right in what's top of my mind um recently is the whole topic of E. S. G. Environmental, social and governance. Most of the companies have governance in place, right? Because they are either public companies or they're under some kind of uh scrutiny from different regulatory bodies or what not. Even if you're a startup, you need to do things with our customers and what not. It has been there for companies. It continues to be there. We the public companies are very good at making sure that we have the right compliance, right privacy, right governance in in in place. Now we'll talk about cyber security. I think that creates a whole new challenge in that governance space. However, we have the set up within our companies to be able to handle that challenge. Now, when we go to social, what happened last year was really important. And now as each and every company, we need to think about what are we doing from our perspective to play our part in that. And not only the bigger companies leaders at our level, I would say that Between last March and this year, I have hired more than 400 people during pandemic, which was all virtual, but me and my team have made sure that we are doing the right thing to drive inclusion and diversity, which is also very big objective for h P E. And Antonio himself has been very active in various round tables in us at the world Economic forum level and I think it's really important for companies to create that opportunity, remove that disparity that's there for the underserved communities. If we want to continue to be successful in this world too, create innovative products and services, we need to sell it to the broader cross section of populations and to be able to do that, we need to bring them in our fold and enable them to create that um, equal consumption capabilities across different sets of people. Hp has taken many initiatives and so are many companies. I feel like uh, The momentum that companies have now created around the topic of equality is very important. I'm also very excited to see that a lot of startups are now coming up to serve that 99% versus just the shiny ones, as you know, in the bay area to create better delivery methods of food or products. Right. The third piece, which is environmental, is extremely important as well as we have seen recently in many companies and where even the dollar or the economic value is flowing are around the companies which are serious about environmental HP recently published its living Progress report. We have been in the forefront of innovation to reduce carbon emissions, we help our customers, um, through those processes. Again, if we do, if our planet is on fire, none of us will exist, right. So we all have to do that every little part to be able to do better. And I'm happy to report, I myself as a person, solar panels, battery electric cars, whatever I can do, but I think something more needs to happen right where as an individual I need to pitch in, but maybe utilities will be so green in the future that I don't need to put panels on my roof, which again creates a different kind of uh waste going forward. So when you ask me about disruptions, I personally feel that successful company like ours have to have E. S. G. Top of their mind and think of products and services from that perspective, which creates equal opportunity for people, which creates better environment sustainability going forward. And, you know, our customers are investors are very interested in seeing what we are doing to be able to serve that cause uh for for bigger cross section of companies, and I'm most of the time very happy to share with my C I. O cohort around how are H. P E F s capabilities creates or feeds into the circular economy, how much e waste we have recycled or kept it off of landfills are green capabilities, How it reduces the evils going forward as well as our sustainability initiatives, which can help other, see IOS to be more um carbon neutral going forward as well. >>You know, that's a great answer, rashmi, thank you for that because I gotta tell you hear a lot of mumbo jumbo about E S G. But that was a very substantive, thoughtful response that I think, I think tech companies in particular are have to lead in our leading in this area. So I really appreciate that sentiment. I want to end with a very important topic which is cyber. It's obviously, you know, escalated in, in the news the last several months. It's always in the news, but You know, 10 or 15 years ago there was this mentality of failure equals fire. Now we realize, hey, they're gonna get in, it's how you handle it. Cyber has become a board level topic, you know? Years ago there was a lot of discussion, oh, you can't have the sec ops team working for the C. I. O. Because that's like the Fox watching the Henhouse, that's changed. Uh it's been a real awakening, a kind of a rude awakening. So the world is now more virtual, you've gotta secure physical uh assets. I mean, any knucklehead can now become a ransomware attack, er they can, they can, they can buy ransomware as a services in the dark, dark web. So that's something we've never seen before. You're seeing supply chains get hacked and self forming malware. I mean, it's a really scary time. So you've got these intellectual assets, it's a top priority for organizations. Are you seeing a convergence of the sea? So roll the C. I. O. Roll the line of business roles relative to sort of prior years in terms of driving security throughout organizations. >>This is a great question. And this was a big discussion at my public board meeting a couple of days ago. It's as as I talk about many topics, if you think digital, if you think data, if you think is you, it's no more one organizations, business, it's now everybody's responsibility. I saw a Wall Street Journal article a couple of days ago where Somebody has compared cyber to 9-11-type scenario that if it happens for a company, that's the level of impact you feel on your on your operations. So, you know, all models are going to change where C so reports to see IO at H P E. We are also into products or security and that's why I see. So is a peer of mine who I worked with very closely who also worked with product teams where we are saving our customers from a lot of pain in this space going forward. And H. B. E. Itself is investing enormous amount of efforts in time in coming out of products which are which are secured and are not vulnerable to these types of attacks. The way I see it is see So role has become extremely critical in every company and the big part of that role is to make people understand that cybersecurity is also everybody's responsibility. That's why in I. T. V. Propagate def sec ups. Um As we talk about it, we are very very careful about picking the right products and services. This is one area where companies cannot shy away from investing. You have to continuously looking at cyber security architecture, you have to continuously look at and understand where the gaps are and how do we switch our product or service that we use from the providers to make sure our companies stay secure The training, not only for individual employees around anti phishing or what does cybersecurity mean, but also to the executive committee and to the board around what cybersecurity means, what zero trust means, but at the same time doing drive ins, we did it for business continuity and disaster recovery. Before now at this time we do it for a ransomware attack and stay prepared as you mentioned. And we all say in tech community, it's always if not when no company can them their chest and say, oh, we are fully secured because something can happen going forward. But what is the readiness for something that can happen? It has to be handled at the same risk level as a pandemic or earthquake or a natural disaster. And assume that it's going to happen and how as a company we will behave when when something like this happen. So I'm here's believer in the framework of uh protect, detect, govern and respond um as these things happen. So we need to have exercises within the company to ensure that everybody is aware of the part that they play day today but at the same time when some event happen and making sure we do very periodic reviews of I. T. And cyber practices across the company. There is no more differentiation between I. T. And O. T. That was 10 years ago. I remember working with different industries where OT was totally out of reach of I. T. And guess what happened? Wanna cry and Petra and XP machines were still running your supply chains and they were not protected. So if it's a technology it needs to be protected. That's the mindset. People need to go with invest in education, training, um awareness of your employees, your management committee, your board and do frequent exercises to understand how to respond when something like this happen. See it's a big responsibility to protect our customer data, our customers operations and we all need to be responsible and accountable to be able to provide all our products and services to our customers when something unforeseen like this happens, >>Russian, very generous with your time. Thank you so much for coming back in the CUBA is great to have you again. >>Thank you. Dave was really nice chatting with you. Thanks >>for being with us for our ongoing coverage of HP discover 21 This is Dave Volonte, you're watching the virtual cube, the leader in digital tech coverage. Be right back. >>Mm hmm, mm.

Published Date : Jun 6 2021

SUMMARY :

in the role of senior technology leadership. I mean you got digital Zero Trust has gone from buzzword to How do you see it? End of the day you have to act and behave like a technology company. So I want to ask you about that because you've you've been a Ceo and uh you get the information to cloud for further analysis. What's the technology strategy to support that transformation? And I'm happy to report that we have been able to successfully run through We love to say follow the day to day is obviously a crucial component of I call the term data torture if we have multiple data lakes, if we have multiple data locations But I wonder if you see it with in your in that space to continue to run with their with their analytics. our strategy the journey and along the way there's gonna be blind We have been in the forefront of innovation to reduce carbon emissions, So roll the C. I. O. Roll the line of business roles relative to sort scenario that if it happens for a company, that's the level of impact you feel on Thank you so much for coming back in the CUBA is great to have you again. Dave was really nice chatting with you. cube, the leader in digital tech coverage.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
DavidPERSON

0.99+

Dave VolontePERSON

0.99+

DavePERSON

0.99+

ChipotleORGANIZATION

0.99+

tom DavenportPERSON

0.99+

fiveQUANTITY

0.99+

rashmi kumariPERSON

0.99+

this yearDATE

0.99+

99%QUANTITY

0.99+

last yearDATE

0.99+

AntonioPERSON

0.99+

six yearsQUANTITY

0.99+

HPORGANIZATION

0.99+

30 billionQUANTITY

0.99+

second phaseQUANTITY

0.99+

IOSTITLE

0.99+

last MarchDATE

0.99+

third pieceQUANTITY

0.99+

DominoORGANIZATION

0.99+

10DATE

0.99+

Rashmi KumarPERSON

0.99+

10 years agoDATE

0.99+

firstQUANTITY

0.99+

FoxORGANIZATION

0.99+

more than 400 peopleQUANTITY

0.98+

Hewlett Packard EnterpriseORGANIZATION

0.98+

2020DATE

0.98+

First oneQUANTITY

0.98+

pandemicEVENT

0.98+

one footprintQUANTITY

0.98+

todayDATE

0.98+

three years laterDATE

0.98+

twoQUANTITY

0.98+

eachQUANTITY

0.97+

CUBALOCATION

0.97+

15 years agoDATE

0.97+

third phaseQUANTITY

0.96+

H P. E.ORGANIZATION

0.96+

CeosORGANIZATION

0.96+

single versionQUANTITY

0.95+

one placeQUANTITY

0.95+

2021DATE

0.95+

first timeQUANTITY

0.95+

oneQUANTITY

0.94+

single versionQUANTITY

0.94+

one areaQUANTITY

0.94+

HpORGANIZATION

0.94+

H. B.PERSON

0.94+

decadesQUANTITY

0.94+

MarchDATE

0.93+

HenhouseTITLE

0.93+

hpORGANIZATION

0.93+

I. T. FitsPERSON

0.92+

one regionQUANTITY

0.92+

CovidPERSON

0.92+

around three yearsQUANTITY

0.92+

zero trustQUANTITY

0.92+

last 15 monthsDATE

0.89+

KazakhLOCATION

0.88+

I. T.PERSON

0.88+

I. KORGANIZATION

0.86+

Years agoDATE

0.85+

Wall Street JournalTITLE

0.84+

100 20 billionQUANTITY

0.84+

two pronged approachQUANTITY

0.84+

C. I. O.PERSON

0.84+

three yearsQUANTITY

0.84+

S. FourTITLE

0.82+

couple of days agoDATE

0.82+

couple of days agoDATE

0.81+

phase oneQUANTITY

0.8+

H. B.PERSON

0.79+

H. P. S. BigEVENT

0.78+

Wanna cryORGANIZATION

0.78+

SVPPERSON

0.77+

almost a yearQUANTITY

0.76+

CovidORGANIZATION

0.74+

last three yearsDATE

0.74+

single sourceQUANTITY

0.72+

past few yearsDATE

0.71+

Domino's Pizza Enterprises Limited's Journey to the Data Cloud


 

>> Well, quick introductions for everybody kind of out there watching in the Data Summit. I'm Ali Tierney. I am the GVP. I run EMEA Sales for Snowflake, and I'm joined today with Michael Gillespie. Quick, just to introduce himself, what he does, and the DPE come structure as it goes. Go ahead, Micheal. >> Thanks, Ali. So as you said, I'm CDTO at Domino's Pizza Enterprises. So the company that I work for, we have the franchise rights and run Australia and New Zealand, France, Belgium, Netherlands, Germany, Japan, Luxembourg, and Denmark. And that's obviously Domino's Pizza for those markets. I look after four different verticals within the business. IT for the group, Strategy and Insights where our BI team resides and has a lot to do with Snowflake. Our Store Innovations Team, our Store Innovation Operations team which look at everything from robotics in store, how to use data better in store to be working at optimum level, and our digital team which is where I started in, actually, 13 years ago. And they're guiding our digital platform at a global level and how we localize it with the local marketing teams. >> Brilliant, I'm American and I grew up with Domino's Pizza, so help me understand, kind of, from a high structure. You've been there 13 years. My growing up experience was picking up a phone and pushing buttons and calling Domino's, and clearly a ton of modernization has come in the last 20 years, and you've been with the company for 13. What have you seen as you've grown into the DPE digital kind of space and you're driving that market? How are you guys using data? What have you seen happen over the last 13 years? >> Domino is itself, or at least DPE as well, has always been a data-driven business. What we've seen, though, as we've become more of a business that utilizes digital and technology to enhance, whether the customer experience or our store operations or our enterprise team. Is the availability of data to make decisions or to actually find insights. And if I look back, I've been lucky to go on a journey of 13 years with DPE. The power of analytics and data was apparent in a digital space. And it gave us a level of insight over a purchase that we never had before. So a great example of our first use of real data in a customer experience outside callbacks people are late, where we could give real-time feedback to a customer around their progression of their order through something called Pizza Tracker, which is shared across all and used across most Domino's in the world. And they're most common for most purchasing processes. Since then, we've gone from, I could count, very easily in between this call, how many orders would make in a day online, to now over 70% of our businesses online. We have a huge amount of data coming in from different, different areas of business. And now the challenge for myself and my team is how do we make this data readily available? To the local marketing teams, local operations teams. To really get better insights on the local market. So we've just gone from having a small pool of data to a tremendous quantum of data. >> So as you look to kind of localize your markets, right? I think you just mentioned seven or eight different markets that you're in. And I would assume then you have some data sharing that goes on within DPE, right? So Belgium wants something that's different than the Netherlands that was different than Japan, right? So how are you right now democratizing that data and giving it to your customers so that your end users can see how to use that, right? In local marketing in local, kind of, business uses. >> Correct. So, we have, we have nine markets now within DPE and all those markets, every market has unique needs and wants and challenges that they're trying to solve for. So our goal is to really try to simplify the access. And that's what we talk about democratizing data. We have a series of reports so we can build customized reports so that we don't have to do as many ad hoc requests. Then when giving those dashboards having the ability to customize and benchmark where you need to. And then when it comes down to a unique customer experience that's obviously going to be a localized marketing on them because different customers bought certain, certain volumes of pizza or sides and different market that's different. So we need to make the tools that each of them and or allow our marketing teams around the world to get access to the data that they can really help them make the most informed decisions to support their franchisees and stores. >> How much of your technology has moved in general to the cloud? And then secondarily to that question, as you've moved there, and I assume significant multi-clouds because you've got so many different regions and locations, how are using Snowflake to help move data into the cloud? >> I would say from a cloud perspective we're well advanced in being clouded for a majority of our platforms or at least moving in that direction. And we're being cloud friendly economic solution and some of that data solutions for quite a while. We still have some on-premise data, like most companies, and we're in the process of migrating. And we have to be aware that we operate within markets like Europe, where GDPR is there. And we have to, we have to be well across requirements from that ability that perspective. But regardless of GDPR or not with any form of customer data or employee data or any personal data we have, we know it's a privilege to hold. So anytime we are working with data we always want to make sure that we're storing it and accessing it in the most secure way. And then beyond that, we want to make sure that, as I talked about, we want to democratize data and make it more accessible. So, you know, I'm really looking forward to seeing as we build out and continue to build out our data strategy, how we continue to work with the likes of Snowflake to just bring faster and more insightful, you know, visibility into each particular market and at a global level as well. So that our global leaders can understand how the business is performing but also get micro where they need to. >> How, as you go through your cloud journey and then and with Snowflake specifically, how did you guys look to governance and how did you look to ensure your security around data? >> Yeah. So know for us, it's all about making sure we've got the right governance and controls and processes. So working with our security team, working with the right architects on data flow and processes, working with our legal team and representatives in each market and that's vital. You know, having policies and governance around any form of activity whether it be data or around changes on the website or changes even in any operational processes is important. So. >> Yeah >> And the greatest thing is if he can, you know, through, if you're making dashboards that are unquantifiable non-personal data, you know that's a lot easier to manage, as well. Because that's giving you a representation of groups not actually down to the particular customer. >> That makes perfect sense. How have you found migrating to Snowflake? Talk through that journey a little bit and I know you're relatively early in the journeys but talk at your experience has its been so far. >> You know, the BI team, my BI team and Strategy and Insights Team have definitely been huge fans of Snowflake and the support from the team there and and the partners we're using for integration. You know, one thing that I know that, that excites me from a strategic level, it's Snowflake's ability to be cloud agnostic and for us everything we build in the future we have chosen partners that we work with in the cloud space. We shouldn't be, we should always be having that ability to be flexible or we're always going to have some fragmented data sets and the ability to utilize a solution that can stretch out into those is very important. So you know, from a strategic level that's a great level of flexibility and from a micro level, and to look at how the team operate when they're coming with stories around greater efficiency, greater flexibility, reduced processing time, reduce, reduce time, reduction in costs and certain activities. That's a great story to be told. That's what I like about this story is that they were all wins. You know, I'm getting from the team that I can run more intensive workloads now. You know, that they can they can do more immediate action. You know, they are cutting down time, as I said, something down from hours to minutes down getting some early results and that's so important. >> So, tell me what kind of business insights you're delivering back to your stakeholders when you get through this process? The quick wins. >> Yeah, well I guess it's just us being able to get reports out faster. Get information out faster, Get access to any acts, build, build bespoke things quicker. It's all about Domino's as a business that's quite an entrepreneurial fast moving. So if you can find efficiencies that, like any business, that's, that's the point. But if we can find efficiencies within our team what it means is we've got a quantum of work the team can do or a service can do, or a bucket of costs can do. If we can reduce that quantum of whether it be cost or time and human effort, that means we can output more. One thing that we're also looking at is we talked about democratizing data earlier, but how can we empower, empower teams to get insights faster? Or to go, I always think there should be no one key holder. There should be key holders of obviously the security of the data and the, and the safety and the and the rules around it. But, in regards to broad insight data or in visibility of results, we should be trying to make that as accessible as possible so that teams can find the reading sites. You've got then thousands or hundreds of people that are looking. Whether it be franchisees at store or team members that had offices in different departments. If they can get greater visibility at a top level data and drill in micro and performance, imagine the insights you continue to do or if you can get reports in their hands faster. Time in a fast moving business a day or two of lost opportunity is huge. So how do you get to make those decisions faster? And how do you stay ahead of your game? >> So as you think of data cloud and as you think of how you're going to build out a DPE specific data cloud, where do you see that going? How, where do you get where's your nirvana and end goal from your data club? >> How do we make better use of that data? So, how do we win? We know that our data repositories are only going to continue to grow. You know, we're a business that was growing at a relatively strong rate. If you look at our previous results, we have a multitude of countries. We have 2,600 stores around the world pumping out pieces every night. And that's creating different forms of data. We have 70% of our customers online. When you're capturing a continuous amount of data. One thing that we want to do is not only manage it efficiently We know that capturing data is a privilege as well, so that we're capturing the right data. And then when you're capturing the right data we still know that the quantum of that will increase. So then how we are storing it and making sure that as we add more data to our repositories we are not actually making its harder to access or it's slower to access. So it's bringing down our reports that we're continuing to optimize and what we're seeing and I touched on when you're bringing time down from hours to minutes with a tool. We're doing that. We're bringing down those solutions. So being able to manage the increasing volume of data we're getting in a more efficient way. Being able to democratize the access of it in a safe, secure, but insightful way. But, you know, having the backing of a service like Snowflake in the background, supporting access and functioning about data. Hopefully, this just means that it will give us more ability to be nimble and do more in the future. >> As you've broken down data silos with using Snowflake and started to democratize data and put it all in one spot your ML becomes richer and more able to make better decisions because you got it all out of silos at this point. >> Yeah.We've got a better floral collection about data. And we can make those data repositories more accessible or no more efficient in accessing them. It's only going to enrich our models and it's going to challenge us. I can challenge and the business can challenge the strategy and insights and BI team to look at a multitude of ways as part of supporting the business. Because they've always got a backlog of reports or solutions they want to deliver. So, we had started a journey of being a data driven company. We have started the journey of a digital company many, many years ago. >> So as we leave today Michael and we wrap up. Last question I have for you is, as you know, everybody's coming and saying do the next bread is coolest next thing. What would you recommend the users of our conference? What would you say? Like how would you, how would you say to go to market and do it the right way? >> Yeah. Let's say the main thing is for those people to reflect upon their own business and understand the challenges at hand. it's very easy to be asked, why aren't we doing AI? Why aren't we doing machine learning? Why aren't we? But those are just solutions. You should be trying to take time to say okay, but what are some of that challenges? And then can we apply those technologies to it? or could a rudimentary approach, approach of just a simple report or a very basic algorithm solve for that. But if you could take your system to the next level with ML, don't do it for ML's sake or if you could take it with a complex data extract. Make sure you've got an angle inside of what you want to deliver. And then know, once you go down the path of anything more complicated, especially with things like machine learning, that it's a never-ending story. And you're probably not going to get the result you like in the first couple of weeks or month because that's what it is. It's a learning solution. It's a ever evolving beast and you can't just throw it out there and say, "Oh, everyone will be happy." So make sure you've got a fair commitment to getting into that game. And that you've got an envision in hand, and that envision will, I can tell you, usually move once you achieve it. Because you're only going to unlock more realities or more alternative solutions that'll grow from it. >> Absolutely. >> So be strong and want the challenges. >> I love that, and it's how we like to think about the data cloud in general, right? Is we are delivering to the business. At the end of the day, data is useless if you're not giving insights and ability for your business to make decisions and move forward. So I completely agree and I really appreciate the time you took today to sit down with me and educate me on Domino's and educate the world on how you're using data to make better decisions in the business. Thanks, Michael. >> Thanks for your time.

Published Date : Nov 21 2020

SUMMARY :

and the DPE come structure as it goes. and has a lot to do with Snowflake. in the last 20 years, and my team is how do we make that data and giving it to your customers the ability to customize and and accessing it in the most secure way. or around changes on the website or And the greatest thing is early in the journeys and the ability to utilize a solution to your stakeholders and the safety and the and making sure that as we add more data and more able to make better decisions and it's going to challenge us. and do it the right way? the result you like in and educate the world

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
MichaelPERSON

0.99+

Domino's PizzaORGANIZATION

0.99+

MichealPERSON

0.99+

Ali TierneyPERSON

0.99+

Domino's PizzaORGANIZATION

0.99+

Michael GillespiePERSON

0.99+

thousandsQUANTITY

0.99+

70%QUANTITY

0.99+

AliPERSON

0.99+

sevenQUANTITY

0.99+

DominoORGANIZATION

0.99+

todayDATE

0.99+

Domino's Pizza EnterprisesORGANIZATION

0.99+

2,600 storesQUANTITY

0.99+

GDPRTITLE

0.99+

Domino's Pizza Enterprises LimitedORGANIZATION

0.99+

eightQUANTITY

0.99+

NetherlandsLOCATION

0.99+

twoQUANTITY

0.99+

EuropeLOCATION

0.99+

13 yearsQUANTITY

0.99+

FranceLOCATION

0.99+

DenmarkLOCATION

0.99+

13 years agoDATE

0.99+

GermanyLOCATION

0.99+

nine marketsQUANTITY

0.99+

SnowflakeORGANIZATION

0.99+

13QUANTITY

0.99+

New ZealandLOCATION

0.98+

Domino'sORGANIZATION

0.98+

DPEORGANIZATION

0.98+

a dayQUANTITY

0.98+

each marketQUANTITY

0.98+

BelgiumLOCATION

0.98+

JapanLOCATION

0.98+

over 70%QUANTITY

0.98+

LuxembourgLOCATION

0.98+

One thingQUANTITY

0.98+

AustraliaLOCATION

0.98+

eachQUANTITY

0.97+

one thingQUANTITY

0.91+

EMEAORGANIZATION

0.91+

SnowflakeLOCATION

0.87+

oneQUANTITY

0.87+

SnowflakeTITLE

0.85+

hundreds of peopleQUANTITY

0.84+

first useQUANTITY

0.84+

last 20 yearsDATE

0.81+

many yearsDATE

0.8+

first couple of weeksQUANTITY

0.8+

each particular marketQUANTITY

0.75+

Data SummitEVENT

0.75+

last 13 yearsDATE

0.7+

AmericanLOCATION

0.66+

Store InnovationsORGANIZATION

0.61+

BelgiumORGANIZATION

0.51+

PizzaORGANIZATION

0.43+

TrackerTITLE

0.41+

John F Thompson V1


 

from around the globe it's thecube covering space and cyber security symposium 2020 hosted by cal poly hello everyone welcome to the space and cyber security symposium 2020 hosted by cal poly where the intersection of space and security are coming together i'm john furrier your host with thecube here in california i want to welcome our featured guest lieutenant general john f thompson with the united states space force approach to cyber security that's the topic of this session and of course he's the commander of the space and missile system center in los angeles air force base also heading up space force general thank you for coming on really appreciate you kicking this off welcome to the symposium hey so uh thank you very much john for that very kind introduction also uh very much thank you to cal poly uh for this opportunity to speak to this audience today also a special shout out to one of the organizers uh dustin brun for all of his work uh helping uh get us uh to this point uh ladies and gentlemen as uh as uh john mentioned uh i'm jt thompson uh i lead the 6 000 men and women of the united states space forces space and missile system center which is headquartered here at los angeles air force base in el segundo if you're not quite sure where that's at it's about a mile and a half from lax this is our main operating location but we do have a number of other operating locations around the country with about 500 people at kirtland air force base in albuquerque new mexico uh and about another 500 people on the front range of the rockies uh between colorado springs and uh and denver plus a smattering of other much smaller operating locations nationwide uh we're responsible for uh acquiring developing and sustaining the united states space force's critical space assets that includes the satellites in the space layer and also on the ground layer our ground segments to operate those satellites and we also are in charge of procuring launch services for the u.s space force and a number of our critical mission partners across the uh department of defense and the intelligence community um just as a couple of examples of some of the things we do if you're unfamiliar with our work we developed and currently sustained the 31 satellite gps constellation that satellite constellation while originally intended to help with global navigation those gps signals have provided trillions of dollars in unanticipated value to the global economy uh over the past three decades i mean gps is everywhere i think everybody realizes that agriculture banking the stock market the airline industry uh separate and distinct navigation systems it's really pervasive across both the capabilities for our department of defense and capabilities for our economy and and individuals billions of individuals across our country and the planet some of the other work we do for instance in the communications sector uh secure communications satellites that we design and build that link america's sons and daughters serving in the military around the world and really enable real-time support and comms for our deployed forces and those of our allies we also acquire uh infrared missile warning satellites uh that monitor the planet for missile launches and provide advanced warning uh to the u.s homeland and to our allies uh in case some of those missile launches are uh nefarious um on a note that's probably a lot closer to home maybe a lot closer to home than many of us want to think about here in the state of california in 2018 smc jumped through a bunch of red tape and bureaucracy uh to partner with the u.s forest service during the two of the largest wildfires in the state's history the camp and woolsey fires in northern california as those fires spread out of control we created processes on the fly to share data from our missile warning satellites those are satellites that are systems that are purpose built to see heat sources from thousands of miles above the planet and we collaborated with the us forest service so that firefighters on the ground uh could track those fires more in real time and better forecast fires and where they were spreading thereby saving lives and and property by identifying hot spots and flare-ups for firefighters that data that we were able to working with our contractors pass to the u.s forest service and authorities here in california was passed in less than an hour as it was collected to get it into the hands of the emergency responders the first responders as quickly as possible and doing that in an hour greatly surpassed what was available from some of the other assets in the airborne and ground-based fire spotters it was really instrumental in fighting those fires and stopping their spread we've continued uh that involvement in recent years using multiple systems to support firefighters across the western u.s this fall as they battled numerous wildfires that unfortunately continue working together with the u.s forest service and with other partners uh we like to make uh we like to think that we made a difference here but there's still a lot more work to go and i think that we should always be asking ourselves uh what else can space data be used for and how can we more rapidly get that space data to uh stakeholders so that they can use it for for purposes of good if you will how else can we protect our nation how else can we protect our friends and allies um i think a major component of the of the discussion that we will have throughout this conference is that the space landscape has changed rapidly and continues to change rapidly um just over the past few years uh john and i were talking before we went live here and 80 nations now have uh space programs 80 nearly 80 space faring nations on the planet um if you just look at one mission area that uh the department of defense is interested in and that's small launch there are currently over a hundred different small launch companies uh within the u.s industrial base vying for commercial dod and civil uh payload capabilities uh mostly to low earth orbit it's it's just truly a remarkable time if you factor in those things like artificial intelligence and machine learning um where we're revolutionary revolutionizing really uh the ways that we generate process and use data i mean it's really remarkable in 2016 so if you think about this four years ago uh nasa estimated that there were 28 terabytes of information transiting their space network each day and that was four years ago um uh obviously we've got a lot of desire to work with a lot of the people in the audience of this congress or in this conference uh we need to work with big thinkers like many of you to answer questions on how best we apply data analytics to extract value and meaning from that data we need new generations of thinkers to help apply cutting edge edge theories of data mining cyber behaviorism and internet of things 2.0 it's just truly a remarkable time uh to be in the space business and the cyber aspects of the states of the space business are truly truly daunting and important to uh to all of us um integrating cyber security into our space systems both commercial and government is a mandate um it's no longer just a nice to have as the us space force and department of the air force leadership has said many times over the past couple of years space is becoming congested and contested and that contested aspect means that we've got to focus on cyber security uh in the same way that the banking industry and cyber commerce focus on uh cyber security day in and day out the value of the data and services provided is really directly tied to the integrity and availability of that data and services from the space layer from the ground control segments associated with it and this value is not just military it's also economic and it's not just american it's also a value for the entire world particularly particularly our allies as we all depend upon space and space systems your neighbors and friends here in california that are employed at the space and missile system center uh work with network defenders we work with our commercial contractors and our systems developers um our international allies and partners to try and build as secure and resilient systems as we can from the ground up that keep the global commons of space free and open for exploration and for commerce um as john and i were talking earlier before we came online there's an aspect of cyber security for space systems especially for some of our legacy systems that's more how do we bolt this on because we fielded those space systems a number of years ago and the the challenges of cyber security in the space domain have grown so we have a part that we have to worry about bolting it on but then we have to worry about building it in as we as we field new systems and build in a flexibility that that realizes that the cyber threat or the cyber security landscape will evolve over time it's not just going to be stagnant there will always be new vulnerabilities and new threat vectors that we always have to look at look uh as secretary barrett who is our secretary of the air force likes to say most americans use space before they have their first cup of coffee in the morning the american way of life really depends on space and as part of the united states space force we work with defense leaders our congress joint and international military teammates and industry to ensure american leadership in space i really thank you for this opportunity to address the audience today john and thanks so much to cal poly for letting me be one of the speakers at this event i really look forward to this for uh several months and so with that i look forward to your questions as we kind of move along here general thank you very much for the awesome uh introductory statement uh for the folks watching on the stream brigadier general carthan is going to be in the chat answering any questions feel free to chat away he's the vice commander of space and missile systems center he'll be available um a couple comments from your keynote before i get to my questions because it just jumped in my head you mentioned the benefits of say space but the fires in california we're living that here that's really real time that's a benefit you also mentioned the ability for more people launching payloads into space and i only imagine moore's law smaller faster cheaper applies to rockets too so i'm imagining you have the benefits of space and you have now more potential objects flying out sanctioned and maybe unsanctioned so you know is it going to be more rules around that i mean this is an interesting question because it's exciting space force but for all the good there is potentially bad out there yeah so i i john i think the uh i think the basics of your question is as space becomes more congested and contested is there a need for more international norms of how satellites fly in space what kind of basic features satellites have to perhaps deorbit themselves what kind of basic protections does do all satellites should all satellites be afforded as part of a peaceful global commons of space i think those are all fantastic questions and i know that u.s and many uh allied policy makers are looking very very hard at those kinds of questions in terms of what are the norms of behavior and how we uh you know how how we field and field is the military term but you know how we uh populate uh using civil or uh commercial terms uh that space layer at different altitudes uh low earth orbit mid mid-earth orbit geosynchronous earth orbit different kinds of orbits uh what the kind of mission areas we accomplish from space that's all things that need to be definitely taken into account as uh as the place gets a little bit not a little bit as the place gets increasingly more popular day in and day out well i'm super excited for space force i know that a new generation of young folks are really interested in it's an emerging changing great space the focus here at this conference is space and cyber security intersection i'd like to get your thoughts on the approach that space force is taking to cyber security and how it impacts our national goals here in the united states yeah yeah so that's a that's a great question john let me let me talk about in two uh two basic ways but number one is and and i know um some people in the audience this might make them a little bit uncomfortable but i have to talk about the threat right um and then relative to that threat i really have to talk about the importance of uh of cyber and specifically cyber security as it relates to that threat um the threats that we face um really represent a new era of warfare and that new era of warfare involves both space and cyber uh we've seen a lot of action in recent months uh from certain countries notably china and russia uh that have threatened what i referred to earlier as the peaceful global commons of space for example uh it through many unclassified sources and media sources everybody should understand that um uh the russians have been testing on orbit uh anti-satellite capabilities it's been very clear if you were following just the week before last the department of defense released its uh 2020 military and security developments involving the people's republic of china um uh and uh it was very clear that china is developing asats electronic jammers directed energy weapons and most relevant to today's discussion offensive cyber uh capabilities there are kinetic threats uh that are very very easy to see but a cyber attack against a critical uh command and control site or against a particular spacecraft could be just as devastating to the system and our war fighters in the case of gps and important to note that that gps system also impacts many civilians who are dependent upon those systems from a first response perspective and emergency services a cyber attack against a ground control site could cause operators to lose control of a spacecraft or an attacker could feed spoofed data to a system to mislead operators so that they send emergency services personnel to the to the wrong address right attacks on spacecraft on orbit whether directly via a network of intrusion or enabled through malware introduced during the systems production uh while we're building the satellite can [ __ ] or corrupt the data denial of service type attacks on our global networks obviously would disrupt our data flow and interfere with ongoing operations and satellite control i mean if gps went down i you know i hesitate to say it this way because we might elicit some screams from the audience but if gps went down a starbucks wouldn't be able to handle your mobile order uber drivers wouldn't be able to find you and domino's certainly certainly wouldn't be able to get there in 30 minutes or less right so with a little bit of tongue-in-cheek there from a military operations perspective it's dead serious um uh we have become accustomed in the commercial world to threats like lance ransomware and malware and those things have unfortunately become commonplace in commercial terrestrial networks and computer systems however what we're seeing is that our adversaries with the increased competition in space these same techniques are being retooled if you will to use against our national security space systems uh day in and day out um as i said during my opening remarks on the importance of cyber the value of these systems is directly tied to their integrity if commanders in the field uh firefighters in california or baristas in in starbucks can't trust the data they see they're receiving then that really harms their decision-making capabilities one of the big trends we've recently seen is the mood move towards proliferated leo uh uh constellations obviously uh spacex's uh starlink uh on the commercial side and on the military side the work that darpa and my organization smc are doing on blackjack and casino as well as some space transport layer constellation work that the space development agency is designing are all really really important types of mesh network systems that will revolutionize how we plan and field warfighting systems and commercial communications and internet providing systems but they're also heavily reliant on cyber security uh we've got to make sure that they are secured to avoid an accident or international damage uh loss of control of these constellations really could be catastrophic from both a mission perspective or from uh you know satellites tumbling out of low earth orbit perspective another trend is introductions in artificial intelligence and machine learning on board spacecraft or at the edge our satellites are really not so much hardware systems with a little software anymore in the commercial sector and in the defense sector they're basically flying boxes full of software right and we need to ensure the data that we're getting out of those flying boxes full of software are helping us base our decisions on accurate data and algorithms govern governing the right actions and that those uh that those systems are impervious to the extent possible uh to nefarious uh modifications so in summation a cyber security is vital element of everything in our national security space goals and i would argue for our national uh goals uh writ large including uh economic and information uh uh dimensions uh the space force leadership at all levels uh from uh some of the brand new second lieutenants that general raymond uh swore into the space force this morning uh ceremonially from the uh air force association's air space and cyberspace conference uh to the various highest levels general raymond uh general d t thompson myself and a number of other senior leaders in this enterprise we've got to make sure that we're all working together to keep cyber security at the forefront of our space systems because it they absolutely depend on it you know you mentioned uh hardware software threats opportunities challenges i want to ask you because you you got me thinking of the minute there around infrastructure i mean we've heard critical infrastructure you know grids here on on earth you're talking about critical infrastructure a redefinition of what critical infrastructure is an extension of what we have so i'd love to get your thoughts about space force's view of that critical infrastructure vis-a-vis the threat vectors because you know the term threat vectors has been kicked around in the cyber space oh yeah threat vectors they're always increasing the surface area well if the surface area is from space it's an unlimited surface area so you got different vectors so you got new critical infrastructure developing real time really fast and you got an expanded threat vector landscape putting that in perspective for the folks that aren't really inside the ropes on these critical issues how would you explain this and how would you talk about those two things well so i tell you um i just like um uh just like uh i'm sure people in the security side or the cyber security side of the business in the banking industry feel they feel like it's uh all possible threat vectors represent a dramatic and protect potentially existential threat to all of the dollars that they have in the banking system to the financial sector on the department of defense side we've got to have sort of the same mindset um that threat vector from to and through space against critical space systems ground segments the launch enterprise or transportation uh to orbit and the various different uh domains within uh within space itself like i mentioned before uh leo mio and geo-based satellites with different orbits all of the different mission areas that are accomplished from space that i mentioned earlier some that i didn't mention like weather tactical or wide band communications uh various new features of space control all of those are things that we have to worry about from a cyber security uh threat perspective and it's a it's a daunting challenge right now right yeah it's awesome and one of the things we've been following on the hardware side here in the on the ground is the supply chain we've seen you know malware being you know really put into really obscure hardware who manufactures it as being outsourced obviously government has restrictions but with the private sector uh you mentioned china and and the us kind of working together across these these peaceful areas but you got to look at the supply chain how does the supply chain the security aspect impact the mission of the u.s space force yeah yeah so so um how about another um just in terms of an example another kind of california-based historical example right um the very first u.s satellite uh explorer one was built by uh the jet propulsion uh laboratory folks uh not far from here in el segundo up in uh up in pasadena um that satellite when it was first built in the late 50s uh weighed a little bit over 30 pounds and i'm sure that each and every part was custom made and definitely made by u.s companies fast forward to today the global supply chain is so tightly coupled and frankly many industries are so specialized almost specialized regionally around the planet we focus every day to guarantee the integrity of every component that we put in our space systems is absolutely critical to the operations of those satellites and we're dependent upon them but it becomes more difficult and more difficult to understand the the heritage if you will of some of the parts that are used the thousands of parts that are used in some of our satellites that are literally school bus sized right the space industry especially uh national security space sector um uh is relatively small compared to other commercial industries and we're moving to towards using more and more parts uh from non-us companies uh cyber security and cyber awareness have to be baked in from the beginning if we're going to be using parts that maybe we don't necessarily um understand 100 percent like an explorer one uh the the lineage of that particular part the environmental difficulties in space are well known the radiation environment the temperature extremes the vacuum those require specialized component and the us military is not the only uh customer in that space in fact we're definitely not the dominant customer uh in space anymore all those factors require us along with our other government partners and many different commercial space organizations to keep a very close eye on our supply chains from a quality perspective a security perspective and availability um there's open source reporting on supply training intrusions from um many different breaches of commercial retailers to the infectious spread of uh you know compromised patches if you will and our adversaries are aware of these techniques as i mentioned earlier with other forms of attack considering our supply chains and development networks really becomes fair game for our adversaries so we have to uh take that threat seriously um between the government and industry sectors here in the u.s we're also working with our industry partners to enact stronger defenses and assess our own vulnerabilities last fall we completed an extensive review of all of our major contracts here at space and missile system center to determine the levels of cyber security requirements we've implemented across our portfolio and it sounds really kind of you know businessy geeky if you will you know hey we looked at our contracts to make sure that we had the right clauses in our contracts to address cyber security as dynamically as we possibly could and so we found ourselves having to add new language to our contracts to require system developers to implement some more advanced uh protective measures in this evolving cyber security environment so that data handling and supply chain perspective uh protections um from contract inception to launch and operations were taken into account uh cyber security really is a key performance parameter for us now it's as important as the the mission performance of the system it's as important as cost it's as important as schedule because if we deliver the perfect system on time and on cost uh it can perform that missile warning or that communications mis mission perfectly but it's not cyber secure if it doesn't have cyber protections built into it or the ability to implement mitigations against cyber uh threats then we've essentially fielded a shoe box in space that doesn't do the k the the war fighter or the nation uh any good um supply chain risk management is a is a major challenge for us uh we're doing a lot to coordinate with our industry partners uh we're all facing it head on uh to try and build secure and trusted components uh that keep our confidence as leaders firefighters and baristas uh as the case may be uh but it is a challenge and we're trying to rise to that challenge you know this so exciting this new area because it really touches everything you know talk about geeking out on on the tech the hardware the systems but also you put your kind of mba hat on you go what's the roi of the extra development and how you how things get built because the always the exciting thing for space geeks is like you're building cool stuff people love it's it's exciting but you still have to build and cyber security has proven that security has to be baked in from the beginning and be thought as a system architecture so you're still building things which means you've got to acquire things you got to acquire parts you got to acquire build software and and sustain it how is security impacting the acquisition and the sustainment of these systems for space yeah from initial development uh through planning for the acquisition design development fielding or production fielding and sustainment it impacts all aspects of of the life cycle john uh we simply especially from the concept of baking in cyber security uh we can't wait until something is built and then try and figure out how to make it cyber secure so we've moved way further uh towards working side by side with our system developers to strengthen cyber security from the very beginning of a system's development cyber security and the resilience associated with it really have to be treated as a key system attribute as i mentioned earlier equivalent with data rates or other metrics of performance we like to talk in uh in the space world about uh mission assurance and mission assurance has always you know sort of taken us as we as we technically geek out right mission assurance has always taken us to the will this system work in space right can it work in a vacuum can it work in you know as it as it uh you know transfers through uh the van allen radiation belt or through the the um the southern hemisphere's electromagnetic anomaly right will it work out in space and now from a resiliency perspective yeah it has to work in space it's got to be functional in space but it's also got to be resistant to these cyber security threats it's it's not just i think uh general dt thompson quoted this term it's not just widget assurance anymore it's mission assurance um uh how does that satellite uh operator that ground control segment operate while under attack so let me break your question a little bit uh just for purposes of discussion into into really two parts uh cyber uh for cyber security for systems that are new and cyber security uh for systems that are in sustainment or kind of old and legacy um obviously there's cyber vulnerabilities that threaten both and we really have to employ different strategies for for defense of of each one for new systems uh we're desperately trying to implement across the department of defense in particular in the space world a kind of a devsecops methodology and practice to delivering software faster and with greater security for our space systems here at smc we have a program called enterprise ground services which is a tool kit basically a collection of tools for common command and control of different satellite systems egs as we call it has an integrated suite for defensive cyber capabilities network operators can use these tools to gain unprecedented insight to data flows and to monitor space network traffic for anomalies or other potential indicators of of bad behavior malicious behavior if you will um uh it's rudimentary at this point but because we're using devsecops and that incremental development approach as we scale it it just becomes more and more capable you know every every product increment that we field here at uh at uh la air force base uh uh we have the united space space forces west coast software factory which we've dubbed kobayashi maru they're using those agile devops uh software development practices uh to deliver uh space awareness software uh to the combined space operations center uh affectionately called the csp that c-spock is just down the road uh from cal poly uh there in san luis obispo at vandenberg air force base they've securely linked the c-spock with other space operation centers around the planet our allies australia canada and the uk uh we're partnering with all of them to enable secure and enhanced combined space operations so lots of new stuff going on as we bake in new development uh capabilities for our our space systems but as i mentioned earlier we've got large constellations on satellite of satellites on orbit right now some of them are well in excess of a decade or more old on orbit and so the design aspects of those satellites are several decades old and so but we still have to worry about them because they're critical to our space capabilities um we've been working with an air force materiel command organization uh called crows which stands for the cyber resiliency office for uh weapon systems to assess all of those legacy platforms from a cyber security perspective and develop defensive strategies and potential hardware and software upgrades to those systems to better enable them to to live through this increasingly cyber security uh concerned era that we currently live in our industry partners have been critical to to both of those different avenues both new systems and legacy systems we're working closely with them to defend and upgrade uh national assets and develop the capabilities to do similar with uh with new national assets coming online the vulnerabilities of our space systems really kind of threaten the way we've done business in the past both militarily and in the case of gps economically the impacts of that cyber security risk are clear in our acquisition and sustainment processes but i've got to tell you it that as the threat vectors change as the vulnerabilities change we've got to be nimble enough agile enough to be able to bounce back and forth we can't just say uh many people in the audience are probably familiar with the rmf or the risk management framework approach to um to reviewing uh the cyber security of a system we can't have program managers and engineers just accomplish an rmf on a system and then hey high five we're all good uh it's a journey not a destination that's cyber security and it's a constant battle rhythm throughout a weapon systems life cycle not just a single event i want to get to this commercial business needs and your needs on the next question but before i go there you mentioned the agile and i see that clearly because when you have accelerated innovation cycles you've got to be faster and we saw this in the computer industry mainframes mini computers and then when you started getting beyond me when the internet hit and pcs came out you saw the big enterprises the banks and and government start to work with startups it used to be a joke in the entrepreneurial circles is that you know there's no way if you're a startup you're ever going to get a contract with a big business enterprise now that used to be for public sector and certainly uh for you guys so as you see startups out there and there's acquisition involved i'm sure would love to love to have a contract with space force there's an roi calculation where if it's in space and you have a sustainment view edit software you might have a new kind of business model that could be attractive to startups could you share your thoughts on the folks who want to be a supplier to you uh whether they're a startup or an existing business that wants to be agile but they might not be that big company we are john that's a fantastic question we are desperately trying to reach out to to those new space advocates to those startups to those um what we sometimes refer to within the department of defense those non-traditional uh defense contractors a couple of things just for uh thinking purposes on some of the things that we're trying to highlight um uh three years ago we created here at uh space and missile system center uh the space enterprise consortium uh to provide a platform uh a contractual vehicle really to enable us to rapidly prototype uh development of space systems and to collaborate uh between the u.s space force uh traditional defense contractors non-traditional vendors like startups and even some academic institutions uh spec as we call it space enterprise consortium uses a specialized contracting tool to get contracts uh awarded quickly many in the audience may be familiar with other transaction agreements and that's what spec is based on and so far in just three years spec has awarded 75 different uh prototyping contracts worth over 800 million dollars with a 36 reduction in time to award and because it's a consortium based competition for um for these kinds of prototyping efforts the barrier to entry for small and non-traditional for startups even for academic institutions to be able to compete for these kinds of prototypings is really lowered right um uh these types of partnerships uh that we've been working through on spec uh have really helped us work with smaller companies who might not have the background or expertise in dealing with the government or in working with cyber security uh for their systems both their developmental systems and the systems that they're designing and trying to build we want to provide ways for companies large and small to partner together and support um uh kind of mutually beneficial uh relationships between all um recently uh at the annual air force association uh conference that i mentioned earlier i moderated a panel with several space industry leaders uh all from big traditional defense contractors by the way and they all stressed the importance of building bridges and partnerships uh between major contractors in the defense industry and new entrants uh and that helps us capture the benefits of speed and agility that come with small companies and startups as well as the expertise and specialized skill sets of some of those uh larger contractors uh that we rely on day in and day out advanced cyber security protections and utilization of secure facilities are just a couple of things that i think we could be prioritizing more so in those collaborations as i mentioned earlier the spec has been very successful in awarding a number of different prototyping contracts and large dollar values and it's just going to get better right there's over 400 members of the space enterprise consortium 80 of them are non-traditional kinds of vendors and we just love working with them another thing that many people in the audience may be familiar with in terms of our outreach to innovators uh if you will and innovators that include uh cyber security experts is our space pitch day events right so we held our first event last november in san francisco uh where we awarded over a two-day period about 46 million dollars to 30 different companies um that had potentially game-changing ideas these were phase two small business innovative research efforts uh that we awarded with cash on the spot uh we're planning on holding our second space pitch day in the spring of 2021. uh we're planning on doing it right here in los angeles uh covent 19 environment permitting um and we think that these are you know fantastic uh uh venues for identifying and working with high-speed startups startups and small businesses who are interested in uh really truly partnering with the us air force it's a as i said before it's a really exciting time to be a part of this business uh and working with the innovation economy uh is something that the department of defense uh really needs to do in that um the innovation that we used to think was ours you know that 80 percent of the industrial-based innovation that came from the department of defense uh the the script has been flipped there and so now more than 70 percent uh particularly in space innovation uh comes from the commercial sector not from uh not from the defense business itself and so um that's a tsunami of uh investment and a tsunami of uh capability and i need to figure out how to get my surfboard out and ride it you know what i mean yeah i mean it's one of those things where the flip the script has been flipped but it's exciting because it's impacting everything are you talking about systems architecture you're talking about software you're talking about a business model you talk about devsecops from a technical perspective but now you have a business model innovation all the theaters of uh are exploding in innovation technical business personnel this brings up the workforce challenge you've got the cyber needs for the u.s space force there's probably a great roi model for new kinds of software development that could be priced into contracts that's a entrepreneurial innovation you got the the business model theater you've got the personnel how does the industry adopt and change you guys are clearly driving this how does the industry adjust to you yeah so um i think a great way to answer that question is to just talk about the kind of people that we're trying to prioritize in the u.s space force from a from an acquisition perspective and in this particular case from a from a cyber security perspective as i mentioned earlier it's the most exciting time to be in space programs uh really since the days of apollo um uh you know just to put it in terms that you know maybe have an impact with the audience uh from 1957 until today approximately 9 000 satellites uh have been launched from the various space faring countries around the planet uh less than two thousand of those nine thousand are still up on orbit and operational and yet in the new space regime um players like spacex have plans to launch you know 12 000 satellites for some of their constellations alone it really is a remarkable time in terms of innovation and fielding of space capabilities and all of those space capabilities whether they're commercial civil or defense are going to require appropriate cyber security uh protections it's just a really exciting time uh to be working in stuff like this and so uh folks like the folks in this audience who have a passion about space and a passion about cyber security are just the kind of people that we want to work with because we need to make sure our systems are are secure and resilient we need folks that have technical and computing expertise engineering skills to be able to design cybersecure systems that can detect and mitigate attacks uh but we also as you alluded to we need people that have that business and um you know business acumen human networking background so that we can launch the startups and work with the non-traditional businesses uh help to bring them on board help to secure both their data and our data and uh and and make sure our processes and systems are are free as much as possible from uh uh from attack um for preparation for for audience members who are young and maybe thinking about getting into this uh trade space um you gotta be smart on digital networking uh you gotta understand basic internet protocols concepts uh programming languages uh database design uh learn what you can from penetration or vulnerability testing and and uh risk assessment i will tell you this and i don't think he will i know he will not mind me telling you this but you've got to be a lifelong learner and so two years ago i'm at home one evening and i get a phone call on my cell phone and it's my boss the commander of air force space command uh general j raymond who is now currently the chief of space operations and he is on temporary duty flying overseas he lands where he's going and he first thing he does when he lands is he calls me and he goes jt um while i was traveling um i noticed that there were e-books available on the commercial airliner i was traveling on and there was an e-book on something called scrumming and agile devsecops and i read it have you read it um and i said no sir but if you tell me what the title of the book is i will read it and so i got to go to my staff meeting um you know the very next week the next time we had a staff meeting and tell everybody in the stab meeting hey if the four star and the three star can read the book about scrumming then i'm pretty sure all of you around this table and all our lieutenants and our captains our gs13s all of our government employees can get smart on uh the scrumming development process and interestingly as another side i had a telephone call with him last year during the holidays where he was trying to take some leave and i said sir what are you up to today are you are you you know making eggnog for the event tonight or whatever and the chief of space operations told me no i'm trying to teach myself python i'm at lesson two and it's not going so well but i'm i'm gonna figure this out and so that kind of thing if the chief of staff or the you know the the the chief of space operations can prioritize scrumming and python language and innovation in his daily schedule then we're definitely looking for other people who can do that and we'll just say lower levels of rank uh throughout our entire space force enterprise um look i i we don't need to need people that can code a satellite from scratch but we need to know we need to have people that have a basic grasp of the programming basics and cyber security requirements and that can turn those things into into meaningful actions obviously in the space domain things like basic physics and orbital mechanics are also important uh space is not an intuitive uh domain so under understanding how things survive uh on orbit is really critical to making the right design and operational decisions and you know i know there's probably a lot because of this conference i know there's a probably a whole lot of high-speed cyber security experts out in the audience and i need those people in the u.s space force the the country is counting on it but i wouldn't discount having people that are just cyber aware or cyber savvy right i have contracting officers and logisticians and program managers and they don't have to be high-end cyber security experts but they have to be aware enough about it to be able to implement cyber security protections um into our space system so the skill set is is really really broad um our adversaries are pouring billions of dollars into uh define designing uh and fielding offensive and destructive space cyber security weapons right they've repeatedly shown really a blatant disregard of safety and international norms for good behavior on orbit and the cyber security aspects of our space systems is really a key battleground going forward so that we can maintain that as i mentioned before peaceful uh global commons of space we really need all hands on deck if you're interested in helping in uniform if you're interested in helping uh not in uniform uh but as a government employee a commercial or civil employee to help us make cyber security more important uh or more cape more able to be developed for our space systems then we'd really love to uh to work with you or have you on the team to build that safe and secure future for our space systems lieutenant general john thompson great insight thank you for sharing all that awesome stories too and motivation for the young next generation the united states space force approach of cyber security really amazing talk thank you for your time final parting question is as you look out and you had your magic wand what's your view for the next few years in terms of things that we could accomplish it's a super exciting time what do you hope for so um um first of all john thanks to you and and thanks to cal poly uh for the invitation and and thanks to everybody for uh for their interest in cyber security especially as it relates to space systems that's here at the conference um uh there's a quote and i'll read it here uh from uh bernard schriever who was the uh the founder if you will uh a legend in uh dod space the founder of the western development division which was a predecessor organization to space and missile systems center general shrever i think captures the essence of what how we see the next couple of years the world has an ample supply of people who can always come up with a dozen good reasons why new ideas will not work and should not be tried but the people who produce progress are breed apart they have the imagination the courage and the persistence to find solutions and so i think if you're hoping that the next few years of space innovation and cyber security innovation are going to be a pony ride at the county fair then perhaps you should look for another line of work because i think the next few years in space and cyber security innovation are going to be more like a rodeo um and a very dynamic rodeo as it goes it is a an awesome privilege to be part of this ecosystem it's really an honor for me to um to be able to play some small role uh in the space ecosystem and trying to improve it uh while i'm trying to improve the chances of uh of the united states of america in a uh in a space war fighting uh uh environment um and so i thank all of you for uh participating today and for this little bit of time that you've allowed me to share with you thank you sir thank you for your leadership and thank you for the for the time for this awesome event space and cyber security symposium 2020 i'm john furrier on behalf of cal poly thanks for watching [Music]

Published Date : Oct 1 2020

SUMMARY :

to the infectious spread of uh you know

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
2016DATE

0.99+

californiaLOCATION

0.99+

san franciscoLOCATION

0.99+

thousands of milesQUANTITY

0.99+

80 percentQUANTITY

0.99+

last yearDATE

0.99+

johnPERSON

0.99+

pythonTITLE

0.99+

three starQUANTITY

0.99+

last novemberDATE

0.99+

congressORGANIZATION

0.99+

albuquerqueLOCATION

0.99+

starbucksORGANIZATION

0.99+

john furrierPERSON

0.99+

John F ThompsonPERSON

0.99+

four starQUANTITY

0.99+

less than two thousandQUANTITY

0.99+

100 percentQUANTITY

0.99+

36QUANTITY

0.99+

el segundoLOCATION

0.99+

los angelesLOCATION

0.99+

trillions of dollarsQUANTITY

0.99+

less than an hourQUANTITY

0.99+

billions of dollarsQUANTITY

0.99+

1957DATE

0.99+

australiaLOCATION

0.99+

four years agoDATE

0.99+

more than 70 percentQUANTITY

0.99+

two years agoDATE

0.99+

twoQUANTITY

0.99+

cal polyORGANIZATION

0.99+

three years agoDATE

0.99+

first eventQUANTITY

0.98+

todayDATE

0.98+

john f thompsonPERSON

0.98+

approximately 9 000 satellitesQUANTITY

0.98+

12 000 satellitesQUANTITY

0.98+

tonightDATE

0.98+

three yearsQUANTITY

0.98+

over 800 million dollarsQUANTITY

0.98+

80QUANTITY

0.98+

los angelesLOCATION

0.98+

northern californiaLOCATION

0.98+

30 minutesQUANTITY

0.98+

about 500 peopleQUANTITY

0.98+

thousands of partsQUANTITY

0.98+

united statesLOCATION

0.98+

each dayQUANTITY

0.98+

2018DATE

0.98+

generalPERSON

0.98+

bernard schrieverPERSON

0.98+

over 400 membersQUANTITY

0.98+

bothQUANTITY

0.98+

next weekDATE

0.98+

two partsQUANTITY

0.98+

pasadenaLOCATION

0.97+

late 50sDATE

0.97+

2020DATE

0.97+

about a mile and a halfQUANTITY

0.97+

over 30 poundsQUANTITY

0.97+

j raymondPERSON

0.97+

two thingsQUANTITY

0.97+

darpaORGANIZATION

0.97+

department of defenseORGANIZATION

0.97+

denverLOCATION

0.97+

chinaLOCATION

0.97+

about 46 million dollarsQUANTITY

0.97+

barrettPERSON

0.96+

kirtlandLOCATION

0.96+

carthanPERSON

0.96+

spring of 2021DATE

0.96+

uberORGANIZATION

0.96+

over a hundred different small launchQUANTITY

0.96+

billions of individualsQUANTITY

0.96+

uh air force associationORGANIZATION

0.96+

raymondPERSON

0.96+

united space space forcesORGANIZATION

0.96+

500 peopleQUANTITY

0.95+

Christal Bemont, Talend | CUBE Conversation, July 2020


 

>> Announcer: From theCUBE studios in Palo Alto in Boston, connecting with thought leaders all around the world, this is a CUBE conversation. >> Everyone, welcome to this CUBE conversation here in theCUBE studios in Palo Alto. We're here for remote interview. We're continuing with the COVID coverage, the quarantine crew. I'm John Furrier, host of theCUBE. Got a great guest, Christal Bemont. The CEO of Talend, just joined the club in the middle of the pandemic. Christal, thanks for joining us and nice seeing you. >> It's a pleasure to be here. Thank you for having me. Well, I think it's a really great conversation to have a couple of threads that are interesting to me. One is, Talend's... We've been covering for a long time, obviously. Their position in the marketplace, we've been following their trajectory. You're new to the company, but you joined right in the middle of, as COVID was going down. And we're still in this mode and it looks like it's going to be for some time. I'd love to get your thoughts as we're in this mode. First, what attracted you to Talend, your new? And, what's it been like there since you've been there, you can't meet people face to face. So you must be doing a lot of remote interviews, then remote conversations. >> Well, you're right about that, I had a very short window that I could get out on the road. And I'm so grateful that I did because visiting our offices, our customers and our partners is critical to, really surrounding ourselves with amazing people that we have Talend. But you know, I'll just go back to why I joined Talend and it really goes to the customers, our customer stories just captured my attention right away. The way that Talend shows up to drive outcomes for customers that are tangible, that are quantifiable, and that are game changing was something that interested me. And it really is that at the heart of every conversation is data. So it was a simple decision for me to say, those are the types of things I want to be involved in. And so Talend was definitely something that became very attractive. >> It's interesting, we've watched the progression of the big data market and now 10 years in, and the explosion of cloud, obviously, everyone's talking about data as a key ingredient for application development. And you're still seeing kind of the challenges of how do you manage the data. And then how do you put that into action for insights, because now you have these connected experiences. And even more highlighted with the COVID pandemic, you still got to run the business, you still need the data. The workforce is remote. The future of work, work force, workplace, workloads and workflows all have data. This is a real. >> That's right >> Challenge with now the connected experience being the number one problem and making that good, and making that valuable. What's your take on? >> That's right. I couldn't agree more. You know, we talked a lot about digital transformation for years, quite frankly. And I would say, you know, we've been in a digital transformation evolution. And I think what has happened now is COVID is an accelerant and it's a, now it's a digital revolution and at the heart or maybe the cornerstone, if you will, of the any digital transformation is data transformation. You think about digital transformation is about mindset. It's about changing your entire way that you operate as a company. It's not just about systems and technology, that's a really critical part. But everything that fuels the ability to get outcomes out of a digital transformation is data. And so the ability to leverage. Like you said, there's connected data, there's more data than we've ever had. And that's a massive opportunity. But having a lot of data is not always the answer. Sometimes that becomes a big responsibility with regulations, and also something that if not carefully governed, not really something you can leverage properly to run your business. So data is at the heart of all the things going on at this moment. >> It's interesting to, you know, a lot of the main trends outside of kind of the inside the industry discussions around data and the role of data. The consumer side of it, is seeing it with fake news. You're seeing it with the data around COVID. Anyone can make data tell a story. There's always you know, >> Right. causation versus correlation, that discussion. But when you start thinking people being exposed to the data problems, there's an opportunity in there and one of the big things is trust. What data can I trust? What's authentic? And then, how do I make sure that it's not just supporting a story? There's all kinds of things going on around it. It makes it seem like a broader challenge. Trust seems to be at the heart of it. What do you trust? Who's the source? It's just all life now as data infiltrated all of our lives. It's certainly now exposed. >> You couldn't be more right on that one. And you can see it play out, in the media, you can see it play out again. This accelerating set of circumstances that are playing out every single day, as people are staying so closely, watchful of data informing decisions that everyone's making around the world in a lot of different ways. And you've seen a lot of times where there's a question about the quality of the data, the accuracy of the data, who's providing the data. And, that's the environment that Talend, really supports and lives in, even prior to COVID. But it just underscores the importance of not just having a complete set of data. And I would say, even taking it further than just having what we would traditionally call quality of data. And really taking it down to something, you used really important word is, trust. How can you make sure that the data that you're making decisions on is something you can trust, and when it comes to health and well being that's certainly something that you can't afford not to have? And it's an area that is underserved right now that we've spent a lot of time thinking about and how we're starting to show up to provide those solutions to our customers. >> I want to get into the customer conversation. I think there's a lot of use cases I want to unpack with you. But I want to first get your vision on how you guys see the future. What is the vision of Talend? And how do you see it? What's the plan? What's the big story there? >> You know, there's a couple of things. I look at this and say, right now in the industry and in our customers, which we cover all different segments, all different sizes of customers all around the globe. They have a variety of use cases, if you will. A variety of needs, everything from the most simple ingestion to some of the more complex transformation and governance projects that they're running. And first and foremost, we show up uniquely as a platform, a platform that allows people to activate and utilize different parts of our services that we can provide to an entire organization. And that's something that is really important to us. And we also look at how do we make the process in which they're using Talend and the skills that are required, you know, really push the envelope on making those as simple as possible. The ability to get to time to value as quickly as possible is our ultimate goal. And then looking, you know, finally, the third lane is to make sure that we can provide not just, as I said, the completeness of data, but that it's really data that they can boil down to something that has intrinsic and quantifiable trust. Because all the time we spend, all the money that's spent on collecting the data is really only as good as the, ability to say I can emphatically trust it, and I can tell you why. And I can show you the footprint of that data. And that's something really important right now more than ever. >> I was talking to my family, I've four kids, and they're all kind of growing up now. And, we're having these conversations on COVID and the question of AI comes up all the time and AI is very, cool for kids, but they don't really know how to talk about machine learning. So I got to ask you around how you see the machine learning piece come in because data feeds AI, I mean you got, it's a real... And that's how I described my kids, data is the fuel for AI and you got to feed that in there. But it's not that easy. What's your reaction to that? Because I think a lot of companies are saying, I have to automate things, the DevOps world and agility come into the mainstream operations of businesses. And there's a agility piece, there's a value of the data is being recognized. But now I got to put it to practice. What's the playbook? What's your reaction to all that? >> Yeah, I think you're right. I mean, first of all, AI and machine learning have a really important role in the simplification, the ability to move at speed and to, perform functions that quite frankly are going to move us into an entirely new realm of possibility. I still will contend, whether you're feeding that with, anything that you feed data into with data has to be really good quality data. AI machine learning is only as good as the information that you're feeding it with. And so, it is really, really critical that we leverage these technologies to their fullest extent, but that we make sure that we feed it in the right way. So I think it's a really big part of our future. I think it's something that's going to be important. But we have to have the certainty that we're using them in a way that's coming to, a place of the right outcome. And that starts with what you feed it to use to go use to improve the processes. >> Christal, one of the patterns we're seeing is that decision makers and CXOs are looking at the COVID pandemic and saying, okay, I did my thing with triage. Now, I got to reset and get the foundation set again and look at the projects that are going to be important. And I got to figure out the holistic architecture 'cause I need a growth strategy, and I got a reset maybe some of the team members projects and whatnot. What's your view on this? Because now new decisions have to be made, roles that might change as well. So this is going to change, how come he's going to make decisions? What's your reaction to that with the customers? They are trying to figure this out, what's your advice? >> Yeah, that's absolutely right. And this is about re-instrumenting a business, reinventing it in many cases, a great example is Domino's, who is maybe surprisingly, for some a pioneer in, digital transformation that's been a number of years in the making, that really has shown that with being in a state of being able to adapt quickly to circumstances and to be forward looking, how critical it is. And so I think this has been a wake up call for organizations across the globe to say we have have to be on the ready, we have to be able to be instrumented in a way that we can make quick decisions and Domino's case it became, originally the ability to you know, they were the first pizza delivery to try out drones for pizza delivery and, you know, to... And have gaming devices where you can order pizza because that's where their customers read and when COVID hit contact list became a criteria and so you can really see how they are able to separate themselves. You see people being leaders that have been further along in their transformation. So I think what this has done is expose some vulnerabilities, quite frankly. And this is a wake up call for companies around the globe that can no longer afford to be in a state where they can't pivot quickly. And looking backwards is no longer the thing that informs people in a state of something like COVID, because there really aren't examples or patterns to look at. So re-instrumenting the business is really critical, data has to be transformed to perform better for companies. >> It's interesting you bring that, a point about the pivot and the companies resetting and reinventing for that growth strategy is that, you're seeing brand impacts and also financial results are directly related to it. So if you're not ready, this has, it could have a real detrimental impact on the brand value, and ultimately financial results. And this is kind of forcing people to say, it's not just an IT problem. It's a business model change and data is shown now to be the key ingredient, because that's where the agility is going to come from, that's where the value is there. And this is all been talked about in the industry before. But now it's kind of our mainstream. This is now the new reality that my brand opportunity and the financial results, my company are at stake. Can you comment on your thinking around that? Because this is a top line, high order bit, if you will conversation among the top boardrooms. >> Yeah, it is. And I agree with you, many of these conversations have been going on for a while now, right. And I think this just exposes the criticality of what happens when you're not in a state of being able to really reinvent yourself or like I said, re-instrument, and if you're already in that state, how much better off you are. Brands are taking a hit in terms of their ability to show up and it goes beyond just their ability to perform, as a business, but to really show up differently for their customers, support people in a different way. And really make sure that they can respond also from a social perspective, how are they going to help and contribute to what the world is facing. And so, it really is asking companies to really fire on all cylinders, quite frankly. >> I want to give you a thoughts on two thought tracks and they're kind of connected, so bear with me. One is, we've heard a lot from the marketplace that with the pandemic, the reality of the IT teams that collect the data and the business teams that have to make the decisions are changing, obviously with the work at home and all the different dynamics around the re-architecting. And then you have the competitive advantage now which people are pointing to as speed and scale. So you've got your internal kind of organizations that are managing wrangling data, ingesting data, the business teams with the customers, and that's kind of was the slow rolling way it was before. Now you got that changing. And now you got pressure to be faster and more scalable. So scale is a competitive advantage, speeds that competitive advantage. These are important kind of flywheel elements of the new models that people are being successful, what is your reaction to that? >> I couldn't agree more. It is a competitive weapon, quite frankly. It is an operational accelerant. And it is an innovation catalyst. And, you know, time is no one's friend, quite frankly, it's one of those odd things right now where for all of us that are working from home and time has this odd sense of reality to it. But it's... You know, really quite frankly you cannot act fast enough. But what's interesting about enabling companies to act fast, that has to come down to the ability for them to be able to, spend the time in the right places. So for example, when I think about the number one thing that we can do is it takes a lot for organization sometimes to put the information in the hands of the right people at the right time. So that the time that's being spent by an overall company, not just an individual within a company but the entire company. You have to be able to decrease that, so that the time that they're spending is actually on helping drive outcomes. And so some of this and you just struck a chord on in everything I think about is, how quickly we can get the right data in the hands of the right people because, in AstraZeneca's case for example, the difference of being able to do that, their highest cost in their business is clinical trials. Being able to get information you can use and reduce a month of, how fast they can bring those clinical trials to bear is saving them hundreds of millions of dollars. But that right now AstraZeneca is an important player in helping us solve for this. So you think about how important it is to get information to the right people, and time is of critical essence right now. >> Yeah, it's interesting (indistinct) that business model advantage, but also you got a lot of... That's an opportunity not for many, but there's also a lot of, I won't say heavy lifting, but maybe a drag, some might call it compliance. You know, GDPR, whatnot. Balancing that kind of, I won't say drag. I mean, I think it's a drag personally, but I think we have to have those things in place. You want to maintain the compliance, rigidity that's out there, but also have room to innovate. That balance is very difficult. And it's really mostly highlighted in the data bases because that's where the action is around data privacy and those compliance things. But if you got an innovation formula there that you're talking about, and you got compliance, if you get one wrong and right, you got to balance it. What's your take on that? Because that's a huge challenge. It's one of those things that's kind of not talked about much, but pretty much there. >> You're right, indeed it is a complete balance but you can't have one without the other. In highly regulated industries, especially with companies like AstraZeneca. But really, if you think about any company the ironic thing right now is that when you're looking at, even a single report, but certainly across an entire company or line of business, right now you can see that there's quality measures and governance that, we put into play. But the ability to actually, quantifiably say on a single piece of data that you can track, where that data has been, who's touched it? How complete is it? And really kind of put a measurable trust score against it, there's work to be done there. But, with GDPR, with HIPAA, and interestingly enough, we're looking to, kind of challenge some of the norms with COVID that says, we now want to collect data that is formally considered privacy, and maybe something that would be regulated. And now we want to share it for the greater good of, making sure that we can track and trace where people are at that maybe are infected and so forth. And so you're starting to see this interesting conversion of challenging the fact that we've got at least be able to support people in their governance of data, but take that a step further, really. >> Awesome, final question. You had Talend Connect, which is your big kind of confab. What best practices are emerging out of Talend these days for customers? If you had to kind of highlight the top use cases or best practices that customers and your potential customers could leverage right now with data, what are you guys putting out there? What are the key best practices? 'Cause everyone has a new reality sets of knowledge, we talk deeply about it, but what's the best practices? What are you guys offering? >> Well, I think, one of the things that I alluded to before is really making sure that we show up as a strategic business partner. And this is really important to us, you know, there all this these things that we've been talking about, they're heavy lifting for organizations to really look at how they bring the digital revolution to the forefront. There's a lot to consider. And so our part in that is to say, we believe that when you power your business on Talend, and you're able to solve for a number for different problems across platform, then that's really important that we show up in the way that we can meet our customers where they're at, so that's one. Making it simple, you know, really pushing the boundaries on the level of expertise, the specialization, the time to value of making sure that they can leverage. Again, spending their time on the things that are important, which are making sure that they're spending it in quality data and data they trust. And then really making sure that final lane is covered up saying, we want to make sure that data is accessible when you need it, where you need it. Things like IoT and edge devices, this proliferation of data is just becoming immense. And so, taking the data, giving it to people, but in a way that they can have confidence. It's the same thing you just said before, there's a lot to consider. And there's in a way a burden of people not knowing maybe all the data they have and how it's being used. We feel responsibility to make sure that we're part of helping that become easy and identifiable and really taking it to the next step beyond quality, so it's really across all of it just simply putting people in a position to be able to make good decisions and not have to do so much of the heavy lifting. And making sure that they know for a fact that it's something that they've made a good decision around because of the data has been trusted, and they can have the confidence in that. >> Awesome, we think data is added advantage. It's just getting more important then ever as the days go on. So great, great insight. Christal, thank you for that insight. Before we end, take a minute to put the plug in for Talend. What do you up to? You guys are hiring, you looking for folks? What's the business plan? Why you guys winning? What's the hot product? Take a minute to give up a quick update on Talend. >> Sure, we're in a great situation where, this is a point in time at Talend where (indistinct) a great trajectory in front of us, we see speed and scale of our organization that has an opportunity in front of it to really help solve problems for every part of the market, whether it's the, smaller businesses who are certainly in it at a point where they're, having a big impact to the largest organizations. And we feel that there's a set of solutions that we can really work to drive as a partner, to each of those customers to solve for the problems that put them in a position to really be able to re-instrument and to reinvent their business. And when we partner like we have with the companies that I mentioned, Domino's and AstraZeneca, and many others, it comes back to why I join Talend, we have the ability to change the outcome of really separating organizations from the pack and data is the competitive advantage. It is the thing that will put people on a different trajectory. And I'm excited about what we bring to the table and I'm really excited about what's to come and how we'll continue to push the envelope for how we help our customers. >> That's awesome, congratulations. Congrats on the new role of Talend to CEO, Christal Bemont. >> Thank you. >> Big up Talend, data is at the heart of the value proposition. We've been saying that for 10 years now more than ever, it's exposed that the value is there, speed and scales the new table stakes for competitiveness and business models for the applications. Again, great CUBE captures, great insight. Christal thank you for joining me today. I'm John Furrier, host of theCUBE. It's been a CUBE conversation. Thanks for watching. (upbeat music)

Published Date : Jul 9 2020

SUMMARY :

leaders all around the world, the middle of the pandemic. in the middle of, as COVID was going down. And it really is that at the heart and the explosion of cloud, and making that good, And so the ability to leverage. and the role of data. and one of the big things is trust. that the data that you're What is the vision of Talend? finally, the third lane is to So I got to ask you around the ability to move at speed and to, and look at the projects that for organizations across the globe to say and data is shown now to And really make sure that they can respond teams that collect the data the difference of being able to do that, and you got compliance, But the ability to What are the key best practices? And so our part in that is to say, What's the business plan? and data is the competitive advantage. Congrats on the new role of Talend to CEO, it's exposed that the value is there,

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
ChristalPERSON

0.99+

AstraZenecaORGANIZATION

0.99+

John FurrierPERSON

0.99+

DominoORGANIZATION

0.99+

Christal BemontPERSON

0.99+

TalendORGANIZATION

0.99+

July 2020DATE

0.99+

Palo AltoLOCATION

0.99+

10 yearsQUANTITY

0.99+

BostonLOCATION

0.99+

FirstQUANTITY

0.99+

four kidsQUANTITY

0.99+

GDPRTITLE

0.99+

OneQUANTITY

0.99+

HIPAATITLE

0.98+

firstQUANTITY

0.98+

theCUBEORGANIZATION

0.98+

oneQUANTITY

0.98+

pandemicEVENT

0.98+

todayDATE

0.97+

eachQUANTITY

0.97+

CUBEORGANIZATION

0.96+

hundreds of millions of dollarsQUANTITY

0.95+

single reportQUANTITY

0.95+

two thought tracksQUANTITY

0.94+

single pieceQUANTITY

0.94+

COVID pandemicEVENT

0.93+

a monthQUANTITY

0.91+

third laneQUANTITY

0.87+

single dayQUANTITY

0.87+

first pizza deliveryQUANTITY

0.84+

COVIDORGANIZATION

0.84+

COVIDEVENT

0.82+

a minuteQUANTITY

0.8+

COVIDOTHER

0.75+

yearsQUANTITY

0.66+

Talend ConnectORGANIZATION

0.63+

COVIDTITLE

0.63+

minuteQUANTITY

0.56+

Sizzle Reel | Splunk .conf19


 

so it definitely fits into basic being able to automate the redundant main mundane types of tasks that anyone can do right so you if you think about it if you have a security operations center with five or ten analysts it might take one analyst to do a task make two comes two or three hours and where you can leverage a tool like Sansom any type of sort platform to actually create a playbook to do that tasks within 30 seconds so not only are you minimizing the amount of you know headcount to do that you're also you know using your consistent tool to make that folks should make the function of you know more I want to say enhanced so you can build playbooks around it you can basically use that on a daily basis whether it's for security monitoring or network operations reporting all that becomes and the impact of mine thank you so what we do is we are a data analytics and intelligence nonprofit dedicated to countering all forms of human trafficking whether it's labor trafficking sex King or any of the subtypes men women and children all over the world so when you think about that what that really means is that we interact with thousands of state across law enforcement government nonprofits academia and then the private sector as well and all of those essentially act as data silos for human trafficking data and when you think about that as trafficking as a data problem or you tackle it as a data problem what that really means is that you have to have a technology and data led solution in order to solve the problem so that's really our mission here is to bring together all of those stakeholders give them easy access to tools that can help improve their counterpose yeah so like a day to day or like kind of what our team does is we focus on like what's going on previously what are we seeing in the wild like what campaigns are happening and then my role within my team is focused on what's coming so what are what are red team's working on what are pen testers looking into take that information begin testing it begin building proof of concepts put that back into our product so that whether it's two weeks six months two years we have coverage for it no matter what so a lot of us a lot of our time is generating proof of concepts on what may be coming so there's a lot of you know very unique things that maybe in the wild today and then there's some things that we may never see that are just very novel and kind of once one Center once a time kind of thing I joined nine months ago and when I was interviewing for the role I remember Doug Merritt saying to me hey you know we might be the only two billion dollar enterprise software company that nobody's ever heard of he said I want to go solve for that right like the folks you know Splunk and our customers they love us our product is awesome and our culture is awesome but the world doesn't know about us yet and we haven't invested there so I want to go take the brand to the next level and I want the world to understand what data use cases are out there that are so broad and so vast leave that every problem ultimately can be solved through data are almost every problem and we wanted to set the stage for that with this new brand campaign about the product were you guys ad using Splunk and you putting data sensors out there you leveraging an existing data bulb take us through some of that you know the nuts and bolts of what's going on the price so part of it is building out some data sets so there are some data sets that don't exist but the government and the counties and the private sector have built out a huge ball of corpus of data around where the buildings are where the people are where the cell phones are where the traffic is so we're able to leverage that information as we have it today the technology we're using the Amazon stack it's easy for us to spin up databases it's easy for us to build out and expand as we grow and the response we're able to have a place for all this real-time data to land and for us to be able to build API is to pull it out very very simple when we say dated everything we really mean it it's really you know it's a personal story for me I am on the government affairs team here is blog so I manage our relationships with governor's and mayors and these are the issues that they care about right when the city is burning down the mayor cares about that the governor this is you know one of the governor and California's and major initiatives is trying to find solutions on wildfires you know I met charlie my hometown Orinda California art fire chief in that town was one of sort of the outside advisors working with Charlie on this idea and we ran I met him at a house party where the fire chief was telling me that trim my trees back and shrubs back and then I was at a conference three days later that same fire chief Dave Winokur was on a panel with like folks from a super computer lab and NASA and MIT I was like you know my fire chief's still the smartest guy in that panel I got to meet this guy a few weeks later we were literally in the field doing these proof of concepts with sensors and data super savvy folks some of the other folks from Cal Fire there you know dropping Cox was with us today here it's what my and you know we've we've just been collaborating the whole time and seeing you know that that Splunk can really put some firepower the power behind these guys and we just see like look they've got the trust of these customers and we need to make sure this idea happens it's a great idea and it's going to save lives yeah the little small nuance data to everything data time and the reason behind that was we believe you can bring and we can enable our customers to bring data to every question every decision and every action to create meaningful outcomes and the use cases are vast and enormous we talked about some of them before the show started but helping look global law enforcement get ahead of human trafficking fierce Punk and spelunking what's going on across all sorts of data sources right helping zone Haven which is our first investment from Splunk ventures which startup that's actually helping firefighters figure out burn burn patterns with pilot wildfires but also when temperatures and humidity change we're sensors are they can alert firefighters 30 to 45 minutes earlier than they would usually do that and then they can also help influence evacuation patterns I mean it's it's remarkable what folks are doing with data today and it's really at the core of solving some of the world's biggest issues so I'm glad you mentioned data right we're a data company and we're very proud that we actually pull star diversity inclusion number so we moved the needle 1.8% on gender last year year-on-year pride but not satisfied we understand that there's much more to diversity inclusion than just gender but our strategy is threefold for diversity inclusion so its workforce workplace marketplace the farces arranged is where I talk about is improving our representation so that these women are no longer the only czar in the minority they were much more represented and we're lucky we have three women on our board we have four women in our C suite so we're making good good progress but there's a lot more to do and as I say it's not just about gender we want to do we know that innovation is fueled by diversity so we want to attract you know folks of different race different ethnicity books who are military veterans people with disability one its plans to be successful the important thing thing is you know the things you mentioned the the vulnerability scanning the intrusion detection these are all still important in the cloud I think the key thing that the cloud offers is the fact that you have the ability to now automate and integrate your security teams more tightly with the things that you're doing and you can actually we always talk about the move fast and stay secure customers choose AWS for the self-service the elasticity of the price and you can't take advantage of those unless you're secure you can actually keep up with you so the fact that everything isn't based on an API you can define infrastructure as code you can actually enforce standards now whether they be before you write a line of code in your DevOps pipeline we're actually being able to detect and >> those things all through code and in a consistent way really allows you to be able to look in your security in a different way and take the kind of philosophy and mindset you've always had around security but actually do something with it and be able to maybe do the things you've always wanted to do that have never had a chance to do it so I think I think security can actually keep up with you and actually help you different you're different to your business the acquisition is really extremely you know exciting for us you know after meeting Marcus I've known of Marcus he's a very positive influence in the community but having worked with him the vision for threat care and the vision for alike rests really closely aligned so where we want to take the future of security testing testing controls making sure upstream controls are working where threat care wanted to go for that was very much with what we aligned war so it made sense to partner up so very excited about that and I think we will roll that in our gray matter platform as another capability we really see the product involving the same way that you see a lot of the portfolio overall so Doug has talked a lot about investigate monitoring and analyzing and right and so those same concepts apply to how you think about a process as well so right now we're really helping the investigation and monitoring but will also continue to extend across that spectrum lifetime a lot of cloud services and micro services observability a big part of all this yeah definitely and how we've built the product but also I think you can sit alongside some of the other things that you're also seeing in that so I think the thing to understand is correct we're not just a security company but we are number one in the security magic quadrant we're number one in both IDC and Gartner and so that's important but what happens is all of the data that you collect first security can also be used for all these other use cases so generally speaking whatever you're collecting for security is also valuable for IT operations and it's also valuable for many other use cases so I'll give you an example Domino's which is a great customer of ours there they've gone 65% of their orders now come in digitally ok and so they monitor the entire end-to-end customer experience what they monitor not only from an IT operations perspective that same data that they use for IT operations also tells them you know what's being ordered what special orders are being made and they use that data for promotions based upon volume in traffic and timing they actually create promotions so now you're talking about the same data that you collected for a security night operations you can actually use for promotions which is marketing it's a great intro on data is awesome but we all have data to get to decisions first and actions second what that in action there's no point in gathering data and so many companies been working their tails off to digitize her landscapes why well you want a more flexible landscape but why the flexibility because there's so much data being generated there you can get effective decisions and then actions that landscape can adapt very very rapidly which goes back to machine learning and eventual AI opportunity set so that is absolutely squarely where we've been focused is translating that data into value and into actual outcomes which is why our orchestration automation piece is so so important one big 18 factors that we felt as existed is for this plunk index it's only for this blank index the pricing mechanism mechanism has been data volume and that's a little bit contrary to the promise which is you don't know where the values could be within data and whether it's a gigabyte or whether it's a petabyte why shouldn't be able to put whatever day do you want in to experiment you

Published Date : Feb 25 2020

SUMMARY :

the amount of you know headcount to do

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Susan WojcickiPERSON

0.99+

Dave VellantePERSON

0.99+

Lisa MartinPERSON

0.99+

JimPERSON

0.99+

JasonPERSON

0.99+

Tara HernandezPERSON

0.99+

David FloyerPERSON

0.99+

DavePERSON

0.99+

Lena SmartPERSON

0.99+

John TroyerPERSON

0.99+

Mark PorterPERSON

0.99+

MellanoxORGANIZATION

0.99+

Kevin DeierlingPERSON

0.99+

Marty LansPERSON

0.99+

TaraPERSON

0.99+

JohnPERSON

0.99+

AWSORGANIZATION

0.99+

Jim JacksonPERSON

0.99+

Jason NewtonPERSON

0.99+

IBMORGANIZATION

0.99+

Daniel HernandezPERSON

0.99+

Dave WinokurPERSON

0.99+

DanielPERSON

0.99+

LenaPERSON

0.99+

Meg WhitmanPERSON

0.99+

TelcoORGANIZATION

0.99+

Julie SweetPERSON

0.99+

MartyPERSON

0.99+

Yaron HavivPERSON

0.99+

AmazonORGANIZATION

0.99+

Western DigitalORGANIZATION

0.99+

Kayla NelsonPERSON

0.99+

Mike PiechPERSON

0.99+

JeffPERSON

0.99+

Dave VolantePERSON

0.99+

John WallsPERSON

0.99+

Keith TownsendPERSON

0.99+

fiveQUANTITY

0.99+

IrelandLOCATION

0.99+

AntonioPERSON

0.99+

Daniel LauryPERSON

0.99+

Jeff FrickPERSON

0.99+

MicrosoftORGANIZATION

0.99+

sixQUANTITY

0.99+

Todd KerryPERSON

0.99+

John FurrierPERSON

0.99+

$20QUANTITY

0.99+

MikePERSON

0.99+

January 30thDATE

0.99+

MegPERSON

0.99+

Mark LittlePERSON

0.99+

Luke CerneyPERSON

0.99+

PeterPERSON

0.99+

Jeff BasilPERSON

0.99+

Stu MinimanPERSON

0.99+

DanPERSON

0.99+

10QUANTITY

0.99+

AllanPERSON

0.99+

40 gigQUANTITY

0.99+

Matt Carroll, Immuta | CUBEConversation, November 2019


 

>> From the Silicon Angle Media office, in Boston Massachusetts, it's the Cube. Now, here's your host, Dave Vellante. >> Hi everybody, welcome to this Cube Conversation here in our studios, outside of Boston. My name is Dave Vellante. I'm here with Matt Carroll, who's the CEO of Immuta. Matt, good to see ya. >> Good, nice to have me on. >> So we're going to talk about governance, how to automate governance, data privacy, but let me start with Immuta. What is Immuta, why did you guys start this company? >> Yeah, Immuta is an automated data governance platform. We started this company back in 2014 because we saw a gap in the market to be able to control data. What's happened in the market as changes is that every enterprise wants to leverage their data. Data's the new app. But, governments want to regulate it and consumers want to protect it. These were at odds with one another, so we saw a need of creating a platform that could meet the needs of everyone. To democratize access to data and in the enterprise, but at the same time, provide the necessary controls on the data to enforce any regulation, and ensure that there was transparency as to who is using it and why. >> So let's unpack that a little bit. Just try to dig into the problem here. So we all know about the data explosion, of course, and I often say data used to be a liability, now it's turned into an asset. People used to say get rid of the data, now everybody wants to mine it, and they want to take advantage of it, but that causes privacy concerns for individuals. We've seen this with Facebook and many others. Regulations now come into play, GDPR, different states applying different regulations, so you have all these competing forces. The business guys just want to go and get out to the market, but then the lawyers and the compliance officers and others. So are you attacking that problem? Maybe you could describe that problem a little further and talk about how you guys... >> Yeah, absolutely. As you described, there's over 150 privacy regulations being proposed over 25 states, just in 2019 alone. GDPR has created or opened the flood gates if you will, for people to start thinking about how do we want to insert our values into data? How should people use it? And so, the challenge now is, you're right, your most sensitive data in an enterprise is most likely going to give you the most insight into driving your business forward, creating new revenue channels, and be able to optimize your operational expenses. But the challenge is that consumers have awoken to, we're not exactly sure we're okay with that, right? We signed a YULU with you to just use our data for marketing, but now you're using it for other revenue channels? Why? And so, where Immuta is trying to play in there is how do we give the line of business the ability to access that instantaneously? But also give the CISO, the Chief Information Security Officer, and the governance seems the ability to take control back. So it's a delicate balance between speed and safety. And I think what's really happening in the market is we used to think about security from building firewalls, we invested in physical security controls around managing external adversaries from stealing our data. But now it's not necessarily someone trying to steal it, it's just potentially misusing it by accident in the enterprise. And the CISO is having to step in and provide that level of control. And it's also the collision of the cloud and these privacy regulations. Cause now, we have data everywhere, it's not just in our firewalls. And that's the big challenge. That's the opportunity at hand, democratization of data in the enterprise. The problem is data's not all in the enterprise. Data's in the cloud, data's in SaaS, data's in the infrastructure. >> It's distributed by it's very nature. All right, so there's a lot of things I want to follow up on. So first, there's GDPR. When GDPR came out of course, it was May of 2018 I think. It went into effect. It actually came out in 2017, but the penalties didn't take effect till '18. And I thought, okay, maybe this can be a framework for governments around the world and states. It sounds like yeah sort of, but not really. Maybe there's elements of GDPR that people are adopting, but then it sounds like they're putting in their own twists, which is going to be a nightmare for companies. So, are you not seeing a sort of, GDPR becoming this global standard? It sounds like, no. >> I don't think it's going to be necessarily global standard, but I do think the spirit of the GDPR, and at the core of it is, why are you using my data? What was the purpose? So traditionally, when we think about using data, we think about all right, who's the user, and what authorizations do they have, right? But now, there's a third question. Sure, you're authorized to see this data, depending on your role or organization right? But why are you using it? Are you using it for certain business use? Are you using it for personal use? Why are you using this? That's the spirit of GDPR that everyone is adopting across the board. And then of course, each state, or each federal organization is thinking about their unique lens on it, right? And so you're right. This is going to be incredibly complex. And the amount of policies being enforced at query time. I'm in my favorite, let's just say I'm in Tableau or Looker right? I'm just some simple analyst, I'm a young kid, I'm 22, my first job right? And I'm running these queries, I don't know where the data is, right? I don't know what I'm combining. And what we found is on average in these large enterprises, any query at any moment in time, might have over 500 thousand policies that need to be enforced in real time. >> Wow. >> And it's only getting worse. We have to automate it. No human can handle all those edge cases. We have to automate. >> So, I want to get into how you guys actually do that. Before I do, there seems to be... There's a lot of confusion in the marketplace. Take the word data management, data protection. All the backup guys are using that term, the database guys use that term, GOC folks use that term, so there's a lot of confusion there. You have all these adjacent markets coming together. You've got the whole governance risk and compliance space, you've got cyber security, there's privacy concerns, which is kind of two sides of the same coin. How do you see these adjacencies coming together? It seems like you sit in the middle of all that. >> Yeah, welcome to why my marketing budget is getting bigger and bigger. The challenge we're facing now is I think, who owns the problem right? The Chief Data Officer is taking on a much larger role in these organizations, the CISO is taking a much more larger role in reporting up to the board. You have the line of business who now is almost self-sustaining, they don't have to depend on IT as much any longer because of the cloud and because of the new compute layers to make it easier. So who owns it? At the end of the day, where we see it is we think there's a next generation of cyber tools that are coming out. We think that the CISO has to own this. And the reason is that the CISO's job is to protect the enterprise from cyber risk. And at the core of cyber risk is data. And they must own the data problem. The CDO must find the data, and explain what that data is, and make sure it's quality, but it is the CISO that must protect the enterprise from these threats. And so, I see us as part of this next wave of cyber tools that are coming out. There's other companies that are equally in our stratosphere, like BigID, we're seeing AWS with Macy doing sensitive data discovery, Google has their data loss prevention service. So the cloud players are starting to see, hey, we've got to identify sensitive data. There's other startups that are saying hey, we got to identify and catalog sensitive data. And for us, we're saying hey, we need to be able to consume all that cataloging, understand what's sensitive, and automatically apply policies to ensure that any regulation in that environment is met. >> I want to ask you about the cloud too. So much to talk to you about here, Matt. So, I also wanted to get your perspective on variances within industries. So you mentioned Chief Data Officers. The ascendancy of the Chief Data Officers started in financial services, healthcare, and government where we had highly regulation industries. And now it's sort of seeped into more commercial. But it terms of those regulated industries, take healthcare for example. There are specific nuances. Can you talk about what you're seeing in terms of industry variance. >> Yeah, it's a great point. Starting with like, healthcare. What does it mean to be HIPPA compliant anymore? There are different types of devices now where I can point it at your heartbeat from a distance away and I can have 99 percent accuracy of identifying you, right? It takes three data points in any data set to identify 87 percent of US citizens. If I have your age, sex, location, I can identify you. So, what does it mean anymore to be HIPPA compliant? So the challenge is how do we build guarantees of trust that we've de-identified these DESA's, cause we have to use it, right? No one's going to go into a hospital and say, "You know what, I don't want you to say my life. "Cause I want my data protected," right? No one's ever going to say that. So the challenges we face now across these regulated industries is the most sensitive data sets are critical for those businesses to operate. So there has to be a compromise. So, what we're trying to do in these organizations is help them leverage their data and build levels of proportionality, to access that right? So, the key isn't to stop people from using data. The key is to build the controls necessary to leverage a small bit of the data. Let's just say, we've made it indistinguishable. You can only ask Agriculture and Statistics the question. Well, you know what, we actually found some really interesting things there, we need to be a little bit more useful, it's this trade-off between privacy and utility. It's a pendulum that swings back and forth. As someone proves I need more of this, you can swing it, or just mask it. I need more of it? All right, we'll just redact some of the certain things. Nope, this is really important, it's going to save someone's life. Okay, completely unmasked, you have the raw data. But it's that control that's necessary in these environments, that's what's missing. You know, we came out of the US Intelligence community. We understood this better than anyone. Because highly regulated, very sensitive data, but we knew we needed the ability to rapidly control. Well is this just a hunch, or is this a 9-11 event? And you need the ability to switch like that. That's the difference and so, healthcare is going through a change of, we have all these new algorithms. Like Facebook the other day said, hey, we have machine learning algorithms that can look at MRI scans, and we're going to be better than anyone in the world at identifying these. Do you feel good about giving your data to Facebook? I don't know, but we can maybe provide guaranteed anonymization to them, to prove to the world they're going to do right. That's where we have to get to. >> Well, this is huge, especially for the consumer, cause you just gave several examples. Facebook's going to know a lot about me, a mobile device, a Fit Bit, and yet, if I want to get access to my own medical records, it's like Fort Knox to try to get, please, give this to my insurance company. You know, you got to go through all these forms. So, you've got those diverging objectives and so, as a consumer, I want to be able to trust that when I say yes you can use it, go, and I can get access to it, and other can get access to it. I want to understand exactly what it is that you guys do, what you sell. Is it software, is it SAS, and then let's get into how it works. So what is it? >> Yeah, so we're a software platform. We deploy into any infrastructure, but it is not multi-tenant so, we can deploy on any cloud, or on premises for any customer, and we do that with customers across the world. But if you think about at the core of what is Immuta, think of Immuta as a system of record for the CISO or the line of business where I can connect to any data, on any infrastructure, on any compute layer, and we connect into over 61 different storage platforms. We then have built a UI where lawyers... We actually have three lawyers as employees that act as product managers to help any lawyer of any stature take what's on paper, these regulations, these rules and policies, and they digitize it essentially, in active code. So they can build any policy they want on any data in the ecosystem, in the enterprise, and enforce it globally without having to write any code. And then because we're this plane where you can connect any tool to this data, and enforce any regulation because we're the man in the middle, we can audit who is using what data and why. In every action, in any change in policy. So, if you think about it, it's connect any tool to any data, control it, any regulation, and prove compliance in a court of law. >> So you can set the policy at the data set level? >> Correct. >> And so, how does one do that? Can you automate that on the creation of that data set? I mean you've got you know, dependencies. How does that all work? >> Yeah, what's a really interesting part of our secret sauce is that one, we could do that at the column level, we can do it at the row level, we can do it at the cell level. >> So very granular. >> Very, very granular. This is something again, we learned from the US Intelligence community, that we have to have very fine grained access to every little bit of the data. The reason is that, especially in the age of data, is people are going to combine many data sets together. The challenge isn't enforcing the policy on a static data set, the challenge is enforcing the policy across three data sets where you merge three pieces of data together, who have conflicting policies. What do you do then? That's the beauty of our system. We deal with that policy inheritance, we manage that lineage of the policy, and can tell you here's what the policy will be. >> In other words, you can manage to the highest common denominator as an example. >> Or we can automate it to the lowest common denominator, where you can work in projects together recognizing hey, we're going to bring someone into the project that's not going to have the level of access. Everyone else will automatically change it to the lowest common denominator. But then you share that work with another team and it'll automatically be brought to the highest common denominator. And we've built all these work flows in. That was what was missing and that's why I call it a system of record. It's really a symbiotic relationship between IT, the data owner, governance, the CISO, who are trying to protect the data, and the consumer, and all they want to do is access the data as fast as possible to make better, more informed decisions. >> So the other mega-trend you have is obviously, the super power of machine intelligence, or artificial intelligence, and then you've got edge devices and machine to machine communication, where it's just an explosion of IP addresses and data, and so, it sounds like you guys can attack that problem as well. >> Any of this data coming in on any system, the idea is that eventually it's going to land somewhere, right? And you got to protect it. We call that like rogue data, right? This is why I said earlier, when we talk about data, we have to start thinking about it as it's not in some building anymore. Data's everywhere. It's going to be on a cloud infrastructure, it's going to be on premises, and it's likely, in the future, going to be on many distributed data centers around the world cause business is global. And so, what's interesting to us is no matter where the data's sitting, we can protect it, we can connect to it, and we allow people to access it. And that's the key thing is not worrying about how to lock down your physical infrastructure, it's about logically separating it. And that's why what differentiates us from other people is one, we don't copy the data, right? That's the always the barrier for these types of platforms. We leave the data where it is. The second is we take all those regulations and we can actually, at query time, push it down to where that data is. So rather than bring it to us, we push the policy to the data. And what that does is that's what allows us, what differentiates us from everyone else is, it allows us to guarantee that protection, no matter where the data's living. >> So you're essentially virtualizing the data? >> Yeah, yeah. It's virtual views of data, but it's not all the data. What people have to realize is in the day of apps, we cared about storage. We put all the data into a database, we built some services on top of it and a UI, and it was controlled that way, right? You had all the nice business logic to control it. In the age of data, right? Data is the new app, right? We have all these automation tools, Data Robot, and H20, and Domino, and Tableau's building all these automation work flows. >> The robotic process automation. >> Yeah, RPA, UI Path, the Work Fusion, right? They're making it easier and easier for any user to connect to any data and then automate the process around it. They don't need an app to build a unique work flows, these new tools do that for them. The key is getting to the data. And the challenge with the supply chain of data is time to data is the most critical aspect of that. Cause, the time to insight is perishable. And so, what I always tell people, a little story, I came from the government, I worked in Baghdad, we had 42 minutes to know whether or not a bad guy in the environment, we could go after him. After that, that data was perishable, right? We didn't know where he was. It's the same thing in the real world. It's like imagine if Google told you, well, in 42 minutes it might be a good time to go 495. (laughter) It's not very useful, I need to know the information now. That's the key. What we see is policy enforcement and regulations are the key barrier of entry. So our ability to rapidly, with no latency, be able to connect anyone to that data and enforce those policies where the data lives, that's the critical nature. >> Okay, so you can apply the policies and you do it quickly, and so now you can help solve the problem. You mentioned a cloud before, or on prem. What is the strategy there with regard to various clouds and how do you approach multi-clouds? >> I think cloud is what used to be an infrastructure as a service game, is now becoming a compute game. I think large, regulated enterprises, government, healthcare, financial services, insurance, are all moving to cloud now in a different way. >> What do you mean by that? Cause people think infrastructure as service, they'll say oh that's compute storage and some networking. What do you mean by that? >> I think there's a whole new age of software that's being laid on top of the availability of compute and the availability of storage. That's companies like Databricks, companies like Snowflake, and what they're doing is dramatically changing how people interact with data. The availability zones, the different types of features, the ability to rip and replace legacy warehouses and main frames. It's changing the ability to not just access, but also the types of users that could even come on to leverage this data. And so these enterprises are now thinking through, "How do I move my entire infrastructure of data to them? "And what are these new capabilities "that I could get out of that?" Which, that is just happening now. A lot of people have been thinking, "Oh, this has been happening over the past five years," no, the compute game is now the new war. I used to think of like, Big Data, right? Big Data created, everyone started to understand, "Ah, if we've got our data assets together, "we can get value." Now they're thinking, "All right, let's move beyond that." The new cloud at our currents works is Snowflake and Databricks. What they're thinking about is, "How do I take all your meta-data "and allow anyone to connect any BI tool, "any data science tool, and provide highly performance, "and highly dependable compute services "to process petabytes of data?" It's pretty fantastic. >> And very cost efficient and being able to scale, compute independent of storage, from an architectural perspective. A lot of people claim they can do that, but it doesn't scale the same way. >> Yeah, when you're talking about... Cause that's the thing is you got to remember, these financial systems especially, they depend on these transactions. They cannot go down and they're processing petabytes of data. That's what the new war is over, is that data in the compute layer. >> And the opportunity for you is that data that can come from anywhere, it's not sitting in a God box, where you can enforce policies on that corpus. You don't know where it's coming from. >> We want to be invisible to that right? You're using Snowflake, it's just automatically enforced. You're using Databricks, it's automatically enforced. All these policies are enforced in flight. No one should even truly care about us. We just want to allow you to use the data the way you're used to using it. >> And you do this, this secret sauce you talked about is math, it's artificial intelligence? >> It's math. I wish I could say it was like super fancy, unsupervised neural nets or what not, it's 15 years of working in the most regulated, sticky environments. We learned about very simple novel ways of pushing it down. Great engineering's always simple. But what we've done is... At query time, what's really neat is we figured a way to take user attributes from identity management system and combine that with a purpose, and then what we do is we've built all these libraries to connect into all these dispert storage and compute systems, to push it in there. The nice thing about that is prior to this what people were doing, was making copies. They'd go to the data engineering team and they'd say hey, "I need to ETL this "and get a copy and it'll be anatomized." Think about that for a second. One, the load on your production systems, of all these copies, all the time, right? The second is CISO, the surface area. Now you've got all this data that in a snapshot in time, is legal and ethical, might change tomorrow. And so, now you've got an increase surface area of risk. Like that no-copy aspect. So the pushing it down and then the no-copy aspect really changed the game for enterprises. >> And you've got providence issues, like you say. You've got governance and compliance. >> And imagine trying, if someone said to you, imagine Congress said hey, "Any data source that you've processed "over the past five years, I want to know if "there was these three people in any of these data sources "and if there were, who touched that data "and why did they touch it?" >> Yeah and storage is cheap, but there's unintended consequences. People are, management isn't. >> We just don't have a unified way to look at all of the logs cross listed. >> So we started to talk about cloud and then I took you down a different path. But you offer your software on any cloud, is that right? >> Yeah, so right now, we are in production on Immuta's Marketplace. And that is a managed service, so you can go deploy in there, it'll go into your VPC, and we can manage the updates for you, we have no insight into your infrastructure, but we can push those updates, it'll automatically update, so you're getting our quarterly releases, we release every season. But yeah, we started with AWBS, and then we will grow out. We see cloud is just too ubiquitous. Currently, we still support though, Bigquery, Data Praq, we support Azure, Data Light Storage version two, as well as Azure Databricks. But you can get us through Immuta's Marketplace. We're also investing in ReInvent, we'll be out there in Vegas in a couple weeks. It's a big event for us just because obviously, the government has a very big stake in AWBS, but also commercial customers. It's been a massive endeavor to move. We've seen lots of infrastructure. Most of our deals now are on cloud infrastructure. >> Great, so tell us about the company. You've raised, I think in a Series B, about 28 million to date. Maybe you could give us the head count, and whatever you can share about momentum, maybe customer examples. >> Yeah, so we've raised 32 million to date. >> 32 million. >> From some great investors. The company's about 70 people now. So not too big, but not small anymore. Just this year, at this point, I haven't closed my fiscal year, so I don't want to give too much, but we've doubled our ARR and we've tripled our LOGO count this year alone and we've still got one more quarter here. We just started our fourth quarter. And some customer cases, the way I think about our business is I love healthcare, I love government, I love finance. To give you some examples is like, COGNO is a really great example. COGNO and what they're trying to solve is can they predict where a child is on the autism spectrum? And they're trying to use machine learning to be able to narrow these children down so that they can see patterns as to how a provider, a therapist is helping these families give these kids the skills to operate in the real world. And so it's like this symbiotic relationship utilizing software, surveys and video and what not, to help connect these kids that are in similar areas of the spectrum, to help say hey, this is a successful treatment, right? The problem with that is we need lots of training data. And this is children, one, two, this is healthcare, and so, how do you guarantee HIPPA compliance? How do you get through FDA trials, through third party, blind testing? And still continue to validate and retrain your models, while protecting the identity of these children? So we provide a platform where we can anonymize all the data for them, we can guarantee that there's blind studies, where the company doesn't have access to certain subsets of the data. We can also then connect providers to gain access to the HIPPA data as needed. We can automate the whole thing for them. And they're a startup too, there are 100 people. But imagine if you were a startup in this health-tech industry and you had to invest in the backend infrastructure to handle all of that. It's too expensive. What we're unlocking for them, I mean yes, it's great that they're HIPPA compliant and all that, that's what we want right? But the more important thing is like, we're providing a value add to innovate in areas utilizing machine learning, that regulations would've stymied, right? We're allowing startups in that ecosystem to really push us forward and help those families. >> Cause HIPPA compliance is table stay compulsory. But now you're talking about enabling new business models. >> Yeah, yeah exactly. >> How did you get into all this? You're CEO, you're business savvy, but it sounds like you're pretty technical as well. What's your background? >> Yeah I mean, so I worked in the intelligence community before this. And most of my focus was on how do we take data and be able to leverage it, either for counter-terrorism missions, to different non-kinetic operations. And so, where I kind of grew up in is in this age of, think about billions of dollars in Baghdad. Where I learned is that through the computing infrastructure there, everything changed. 2006 Baghdad created this boom of technology. We had drones, right? We had all these devices on our trucks that were collecting information in real time and telling us things. And then we started building computing infrastructure and it burst Hadoop. So, I kind of grew up in this era of Big Data. We were collecting it all, we had no idea what to do with it. We had nowhere to process it. And so, I kind of saw like, there's a problem here. If we can find the unique little, you know, nuggets of information out of that, we can make some really smart decisions and save lives. So once I left that community, I kind of dedicated myself to that. The birth of this company again, was spun out of the US Intelligence community and it was really a simple problem. It was, they had a bunch of data scientists that couldn't access data fast enough. So they couldn't solve problems at the speed they needed to. It took four to six months to get to data, the mission said they needed it in less than 72 hours. So it was orthogonal to one another, and so it was very clear we had to solve that problem fast. So that weird world of very secure, really sensitive, but also the success that we saw of using data. It was so obvious that we need to democratize access to data, but we need to do it securely and we need to be able to prove it. We work with more lawyers in the intelligence community than you could ever imagine, so the goal was always, how do we make a lawyer happy? If you figure that problem out, you have some success and I think we've done it. >> Well that's awesome in applying that example to the commercial business world. Scott McNeely's famous for saying there is no privacy in the internet, get over it. Well guess what, people aren't going to get over it. It's the individuals that are much more concerned with it after the whole Facebook and fake news debacle. And as well, organizations putting data in the cloud. They need to govern their data, they need that privacy. So Matt, thanks very much for sharing with us your perspectives on the market, and the best of luck with Immuta. >> Thanks so much, I appreciate it. Thanks for having me out. >> All right, you're welcome. All right and thank you everybody for watching this Cube Conversation. This is Dave Vellante, we'll see ya next time. (digital music)

Published Date : Nov 7 2019

SUMMARY :

in Boston Massachusetts, it's the Cube. Matt, good to see ya. What is Immuta, why did you guys start this company? on the data to enforce any regulation, and get out to the market, but then the lawyers and the governance seems the ability to take control back. but the penalties didn't take effect till '18. and at the core of it is, why are you using my data? We have to automate it. There's a lot of confusion in the marketplace. So the cloud players are starting to see, So much to talk to you about here, Matt. So, the key isn't to stop people from using data. and I can get access to it, and other can get access to it. and we do that with customers across the world. Can you automate that on the creation of that data set? we can do it at the row level, The reason is that, especially in the age of data, to the highest common denominator as an example. and the consumer, and all they want to do So the other mega-trend you have is obviously, and it's likely, in the future, You had all the nice business logic to control it. Cause, the time to insight is perishable. What is the strategy there with regard to are all moving to cloud now in a different way. What do you mean by that? It's changing the ability to not just access, but it doesn't scale the same way. Cause that's the thing is you got to remember, And the opportunity for you is that data We just want to allow you to use the data and they'd say hey, "I need to ETL this And you've got providence issues, like you say. Yeah and storage is cheap, to look at all of the logs cross listed. and then I took you down a different path. and we can manage the updates for you, and whatever you can share about momentum, in the backend infrastructure to handle all of that. But now you're talking about enabling new business models. How did you get into all this? so the goal was always, how do we make a lawyer happy? and the best of luck with Immuta. Thanks so much, I appreciate it. All right and thank you everybody

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Dave VellantePERSON

0.99+

Matt CarrollPERSON

0.99+

BostonLOCATION

0.99+

ImmutaORGANIZATION

0.99+

MattPERSON

0.99+

2014DATE

0.99+

GoogleORGANIZATION

0.99+

2017DATE

0.99+

15 yearsQUANTITY

0.99+

32 millionQUANTITY

0.99+

FacebookORGANIZATION

0.99+

2019DATE

0.99+

November 2019DATE

0.99+

VegasLOCATION

0.99+

99 percentQUANTITY

0.99+

CongressORGANIZATION

0.99+

BaghdadLOCATION

0.99+

SnowflakeORGANIZATION

0.99+

42 minutesQUANTITY

0.99+

GDPRTITLE

0.99+

fourQUANTITY

0.99+

third questionQUANTITY

0.99+

AWSORGANIZATION

0.99+

six monthsQUANTITY

0.99+

22QUANTITY

0.99+

three peopleQUANTITY

0.99+

Boston MassachusettsLOCATION

0.99+

May of 2018DATE

0.99+

BigqueryORGANIZATION

0.99+

three piecesQUANTITY

0.99+

87 percentQUANTITY

0.99+

two sidesQUANTITY

0.99+

Data PraqORGANIZATION

0.99+

Scott McNeelyPERSON

0.99+

DatabricksORGANIZATION

0.99+

less than 72 hoursQUANTITY

0.99+

twoQUANTITY

0.99+

100 peopleQUANTITY

0.99+

firstQUANTITY

0.99+

tomorrowDATE

0.99+

first jobQUANTITY

0.98+

secondQUANTITY

0.98+

2006DATE

0.98+

ReInventORGANIZATION

0.98+

each stateQUANTITY

0.98+

USLOCATION

0.98+

this yearDATE

0.98+

AWBSORGANIZATION

0.98+

over 500 thousand policiesQUANTITY

0.98+

over 25 statesQUANTITY

0.98+

oneQUANTITY

0.98+

over 150 privacy regulationsQUANTITY

0.98+

'18DATE

0.98+

495QUANTITY

0.98+

fourth quarterDATE

0.98+

OneQUANTITY

0.97+

about 70 peopleQUANTITY

0.96+

three data setsQUANTITY

0.96+

billions of dollarsQUANTITY

0.95+

Series BOTHER

0.95+

one more quarterQUANTITY

0.95+

YULUORGANIZATION

0.95+

CISOORGANIZATION

0.95+

LookerORGANIZATION

0.94+

over 61 different storage platformsQUANTITY

0.93+

Fort KnoxORGANIZATION

0.92+

about 28 millionQUANTITY

0.92+

ImmutaTITLE

0.92+

TableauORGANIZATION

0.88+

Preston Smalley, Comcast | Comcast CX Innovation Day 2019


 

>> Of Silicon Valley. It's the Cube, covering Comcast innovation day brought to you by Comcast. >> Hey, welcome back everybody, Jeff Frick here with the cube. We're at the Comcast Silicon Valley Innovation Center. It's a really cool space right off of Buffet. And they're doing a lot of new technologies here. It's not the only Innovation Center in the country but it's one here in our backyard. And we're excited to be here. Comcast is having a special event talking about really CX, customer experience. They brought together a bunch of super smart people invited us to stop by and we're going to share some of that with you. And we're excited for our very first guest he's Preston Smalley, the VP of product management of Comcast, Preston great to meet you. >> Good to meet you too, Jeff. >> So really cool event today. We talked about a lot of different things about customer experience and really all the applications that are on the front edge that define that customer experience. And you guys are doing a ton of innovation there. >> No, we are I mean I think it's, we were talking just this morning about all the different ways that we're trying to meet customers, where they're at and building products really around those needs, right? >> Yes, so I think the one of the ones that doesn't get enough credit not enough conversation is the voice. And I've got the voice remote at home. And it's really fascinating, especially in the context of there's so many places that what I'm looking for might be and I don't really know what the licensing and arrangements are that you guys have set up with Hulu or with Netflix or with HBO or if it's on HBO on demand or HBO live. So to be able to have kind of a single point of reference to just push that button and say, "Stanford football," and have it show up, it's amazing. >> No, it really is and I think you know, the voice remote has been one of those big hits where you know, people always love their TV remote but, you know, a number years back we started exploring, could we put a voice you know, search capability directly into that remote. And I think what's great is people they're really leaning into it. So we're seeing a billion voice commands happening a month, >> Billion? >> A billion, one b. Through the remote and I think it's just become a part of their life. Right? And I think it's everything from the simple to saying NBC into the remote to the more complicated things like Notre Dame football or what's my WiFi password? or whatever the things they might be asking out of their device. >> So curious on the development side was like about features, but what were some of the real hurdles that you guys knew you had to overcome? And what were some of the surprise hurdles that you didn't necessarily anticipate? >> Sure. I mean, I think the ones you knew about were we've got to be able to translate speech to text and you know, there's there's existing infrastructure that allows for that and doing that with high accuracy. But the good news is we actually had a head start in organizing the content. And so we already had dealt with text based searching of all the different TV shows and movies and such. And so we had all that base of knowledge that we could then tap into. We're now at a stage where that kind of covers the basics but we're trying to understand how do you both increase the breadth and depth of the kinds of commands that you will do through the voice remote. And so you mentioned some at the beginning things like being able to search, not just the content that we bring but things like Netflix or Amazon Prime or soon Hulu. And so partnering with those companies, you get all that information in a way that works very well with the voice remote. >> Right and then you even have it bilingual, right? You even have Spanish and English. >> That's right. >> And it can flip it can switch back and forth on the fly. >> That's right, yeah, so we support both those languages, including a combo a mixed mode where in households where you're seeing both Spanish and English be interwoven, it'll actually even work in those contexts. And then recently, we've also introduced Canadian French and so we license our technology to Rogers and video Tron up in Canada. And so we've now introduced that capability as well. >> That's great, So a long time ago we interviewed Domino's and it's when they first introduced app ordering. And at first you think well app ordering but there was all this like second order benefits that Domino's replied in terms of accuracy of the orders and supply chain impact. So I'm curious if there's some, you know, kind of second order benefits that you guys are realizing with voice that maybe you didn't think, you know, what are some of the surprises that have come out of that? >> Well, that's a good, good question. I think in terms of surprises, it's the types of things that people are looking for you now have, you now have the ability to figure out what kinds of things people are interested in which you wouldn't have been able to know in a typical browse setting. So for example, we support now over 150 apps on X1 as far as third party streaming apps but we know the ones that we don't support because people are saying and into the remote, whereas we wouldn't have got that information prior. >> Right. >> And so now we can actually go and try and meet those needs. >> Now ,it's interesting. You talk about meeting people where they are and you know, one of the things that's happening today is people have all these options, right? They can get it through their Comcast service if they're doing that but you know they may want to have a direct relationship with Hulu is one that you picked out or with Netflix or this historical ones, you guys now are enabling an option for those people that choose to directly engage with those content providers and just use Comcast, as an internet provider. Tell us a little bit about what you guys are doing there. >> Yeah, sure. So obviously, we've had strength in the, in the TV space, and being able to organize and aggregate all that streaming content with your traditional television content. What we've done now is take that investment in X1 and pivot it into a new product this year, we call Xfinity flex. And what that product does is it's a streaming device that should be comfortable for an internet only subscriber that they hook up to their TV. It's 4K, HDR, wireless. And through that device, they're able to aggregate all of that streaming content in one place. So whether it's app content that they may already have an existing subscription from or it's ad supported internet content or maybe they want to buy some more content from us right? And so we'll bundle and sell those subscriptions directly and include that as well. And we've actually been pretty surprised, you know, you take something like Netflix which is highly penetrated in the United States we're pretty surprised how many people are still signing up new as a Netflix subscriber in our service and so by just making it easy and just one click away we found that people are they're opting to do that. >> Right, I'm sure they're happy to hear that in Los Gatos just down the road >> Exactly. No, they're a great partner and either way we're helping them >> Right, right >> They're trying to reach what they call kind of the Netflix nevers people that maybe just hadn't gotten Netflix prior, right? And so we're helping them with that. >> Well, it's really interesting, you know, kind of the you know, kind of TV versus computer you speeding the TV's kind of your passive experience, you're sitting on the couch and you just kind of watching where the computer was more two way and then there was dual screen kind of activity, but you guys are bringing a lot of the stuff that was only available on your pc or your phone now directly into the Comcast experience, you know whether it's YouTube or whatever. So it really it's kind of blurring those lines. But I want to shift gears a little bit about, you know, kind of the role of the internet in homes today, has now expanded beyond entertainment. It's expanded beyond information and IoT now is entering the home probably the biggest one is nested, connected thermostats and connected door bells and ring and you know, we're seeing videos from people's rings all over the place. You guys are sitting again, right in the middle of that ecosystem. So how does IoT and connected devices and thermostats and refrigerators and doorbells impacted the way you guys think about delivering internet into the home? >> Well, I think it's really been a watershed moment for the company, moving from, if you go years back to bringing internet to the wall and making it available in the home to saying look, we've got to actually really control the coverage of that WiFi in the home and make sure that it reaches all the corners of the home but then also providing the control that people want of the devices in there we know that for power users we're seeing today, 20 connected devices on the home network. And I know my house, I'm up to 50, right? And I think what customers don't have and don't want is an IT person directly in their home. They want it to just work naturally and easily. >> Right. >> And so one measurement of success that I know is how often my mother in law gives me a call saying, "Hey, Preston, yeah, this thing's not working in my house." It's got to be really easy and straightforward. >> Right and then just in terms of just being a backhauler and the internet traffic that you guys are hearing because all those connected device or your kids devices, they all want 4k streaming, they're watching movies, you know, come down and watch TV on the big screen, no, no, no, you know, I'm watching it in the room. How does that kind of change the way you guys think about delivering bandwidth cause 4K is a lot more, go to NAB, you're just going to soon be 8K's and 12K's and all kinds of crazy stuff. So your role in actually just delivering bandwidth has changed significantly over the last over a year. >> Absolutely, I mean, there was a stat on bandwidth that surprised me even just to look at it, which is in, in the last 18 years, Comcast has increased bandwidth 17 times. And it's just every, you know, we just keep increasing that because the demand is there, you know, 4K takes, you know, more than your 1080p then did your SD and the more streaming that's happening, it's just, it's requiring more bandwidth, so we're happy to provide that. You know, we now offer one gig internet across all of our homes, we reached 56 million homes, I think it's the most in the United States as far as one gig availability. And so regardless of how much bandwidth you want to take, we're going to bring that to you. And I think recognizing that we also need that coverage in the home and out of the home through Xfinity WiFi hotspots, just trying to bring that there. But you mentioned kids too, I wanted to build on that which is, you know, I'm a parent and being able to control how and where my kids go in the internet is important. And so, you know, being able to put limits, whether it's bed time limits on their devices or we've recently introduced in our testing app base limits. So you could say they can't use Instagram or they can only use it 30 minutes a day. And so being able to have that kind of control puts you in the driver's seat as the parent of kids in the home. >> Preston, I think you're going to be busy for a little while here at the innovations center. >> We are for sure. >> All right, well, thanks for spending a few minutes we could talk all day but we'll have to leave it there. >> All right, thanks Jeff. >> Thanks a lot. He's Preston, I'm Jeff. You're watching the cube. We're at the Comcast Silicon Valley Innovation Center in Sunnyvale. Thanks for watching, we'll see you next time. (distinct music)

Published Date : Nov 4 2019

SUMMARY :

brought to you by Comcast. and we're going to share some of that with you. And you guys are doing a ton of innovation there. and arrangements are that you guys have set up No, it really is and I think you know, And I think it's everything from the simple and you know, there's there's existing infrastructure Right and then you even have it bilingual, right? and so we license our technology to Rogers that you guys are realizing you now have the ability to figure out And so now we can actually go and you know, one of the things that's happening today you know, you take something like Netflix and either way we're helping them And so we're helping them with that. impacted the way you guys think about delivering and make sure that it reaches all the corners of the home And so one measurement of success that I know and the internet traffic that you guys are hearing because the demand is there, you know, Preston, I think you're going to be busy we could talk all day Thanks for watching, we'll see you next time.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
ComcastORGANIZATION

0.99+

JeffPERSON

0.99+

Jeff FrickPERSON

0.99+

CanadaLOCATION

0.99+

Preston SmalleyPERSON

0.99+

PrestonPERSON

0.99+

17 timesQUANTITY

0.99+

Silicon ValleyLOCATION

0.99+

HuluORGANIZATION

0.99+

one gigQUANTITY

0.99+

DominoORGANIZATION

0.99+

NBCORGANIZATION

0.99+

United StatesLOCATION

0.99+

20 connected devicesQUANTITY

0.99+

Los GatosLOCATION

0.99+

EnglishOTHER

0.99+

NetflixORGANIZATION

0.99+

firstQUANTITY

0.99+

second orderQUANTITY

0.99+

over 150 appsQUANTITY

0.99+

SpanishOTHER

0.99+

SunnyvaleLOCATION

0.99+

56 million homesQUANTITY

0.99+

YouTubeORGANIZATION

0.99+

bothQUANTITY

0.99+

this yearDATE

0.98+

30 minutes a dayQUANTITY

0.98+

1080pQUANTITY

0.98+

one placeQUANTITY

0.98+

A billionQUANTITY

0.97+

HBOORGANIZATION

0.97+

oneQUANTITY

0.97+

todayDATE

0.97+

two wayQUANTITY

0.96+

first guestQUANTITY

0.96+

this morningDATE

0.96+

Xfinity flexORGANIZATION

0.95+

a monthQUANTITY

0.95+

AmazonORGANIZATION

0.95+

InstagramORGANIZATION

0.93+

Silicon Valley Innovation CenterLOCATION

0.93+

a billion voice commandsQUANTITY

0.93+

CX Innovation Day 2019EVENT

0.93+

single pointQUANTITY

0.93+

Notre DameORGANIZATION

0.92+

one clickQUANTITY

0.91+

4KQUANTITY

0.91+

up to 50QUANTITY

0.91+

CanadianOTHER

0.9+

Stanford footballTITLE

0.89+

BillionQUANTITY

0.89+

last 18 yearsDATE

0.87+

8KQUANTITY

0.8+

12KQUANTITY

0.77+

XfinityORGANIZATION

0.77+

PrimeCOMMERCIAL_ITEM

0.74+

NABORGANIZATION

0.72+

CXORGANIZATION

0.71+

lastDATE

0.71+

Susan St. Ledger, Splunk | Splunk .conf19


 

>>live from Las Vegas. It's the Cube covering Splunk dot com. 19. Brought to You by spunk. >>Hey, welcome back. Everyone's live Cube coverage in Las Vegas. That's plunks dot com. 2019 thistles their annual customer conference, where they unleash all the new technologies, announce all the new things. Everyone's here. It's the 10th anniversary of Splunk dot com cubes. Seventh year we've been covering slung been quite the journey from scrappy, startup going public growth phase. Now market leader on Outside has to come to success from the products and the engineering. And, of course, the people in the field that that served customers. And we're here with Susan St Leger, who's the president of worldwide field operations. Thanks for coming back to see you. >>Thank you, John. It's exciting to be here. >>So in the keynote, bringing data to every outcome is really the theme. Um, you seem to got a spring to your step here. You excited this year? What an amazing successful show because you got a platform. But the proof is out there. You got that ecosystem. You got people building APS on top of it. It's kind of all coming together this year, >>It sure is experience. It's it's it's just it's a huge leap forward, and I think so. Much of it is a vision of data to everything. And if you think about it, we talk about. We want to bring data to every question, every problem in every action. And the biggest thing you're going to see that you did see in the show is it's no longer just about the Splunk index. We're going to help you get you get value out of data wherever it lives. >>You had some big news on acquisition front Signal FX. Big chunk of change for that company. Private hot category. Observe ability, which really taste is out. That next 20 mile stare in the marketplace, which is cloud native. >>That's a >>cloud Service is, which comes together in the platform with logging coming together. >>Yeah, so exciting Way looked hard at that entire market, and signal FX was definitely the right answer. They operated a scale similar to us. They know how to how to operate it that scale, and so they're gonna be able to serve our customers well. And our view of the world is it's going to be hybrid for a very long time. But they serve that new cloud native world better than anybody else. It's It's when you do monitoring the cloud native world. It's really interesting to think about it. It's all made up of Micro service is right. So thousands of Micro Service's hundreds, thousands of Micro Service's and so in traditional monitoring, it's always you're tryingto monitor things you know could go wrong. In a microt service landscape, you don't know everything that could possibly go wrong. And so it's a level of complexity that's just very different. And so it's all about instrument ing, so that when something does go wrong, you can solve it. >>You guys have a very loyal based customer base, and that's again testament success. But the product has changed, and the value problems is emerging even further with data. That's a big theme. Data to everywhere, everything and security has come up on the radar a few years ago, here, the show. But this almost is a full blown security show at this point, because security center of everything you can't ignore it's become a centerpiece of everything data, the access to the diversity, How is that impacting the field because you're not. I mean, I guess you're a security company enabler and solve security problems. Date is a big part of it. Sure, I was at shaping your operations, >>So I think the thing to understand is correct. We're not just a security company, but we are number one in the security Magic quadrant. We're number one in both I. D. C and Gardner, and so that's important. But what happens is all the data the equal act for security can also be used for all these other use cases. So, generally speaking, whatever you're collecting for security is also valuable for I t operations, and it's also valuable for many other use cases. So I'll give you an example. Dominoes, which is a great customer of ours. They're gone 65% of their orders now come in digitally, okay? And so they monitor the entire intend customer experience. But they monitor it not only from a nightie operations perspective. That same data that they used righty operations also tells them you know what's being ordered, what special orders are being made and they use that data for promotions based upon volume and traffic and timing. they actually create promotion. So now you're talking about the same data that he collected for security night operations you can actually use for promotions, which is marketing is >>not a lot of operating leverage in data. You're getting out this. The old model was is a database. Make a queer. You get a report. Little time problem there. But now you have. Well, that other date is over there in another database. Who runs that data? So the world has certainly changes now, data needs to be addressable. This seems to be a big theme here on undercurrent. I know data to everywhere is kind of global theme, but don't diverse data feeds a I cracked and address ability allows for application access. >>Correct. So we look at the entire data landscape and say, we want to help you get data value out of your data wherever it lives. And it's right now, we've changed to the point where we are operating on data in motion, which is with data stream processor, which is hugely beneficial. You mentioned you know, a I m l way actually do something so unique from an ML perspective because we're actually doing the ml on the live streaming so, so much more valuable than doing it in batch mode. And so the ability to create those ML models by working on live data is super powerful. >>Good announcement. So you guys had the data processor. You have the search fabric, >>data fabric search, >>real time and acceleration our themes there. I want to get your thoughts on your new pricing options. Yes. Why now? What's that mean for customers? >>So if we want to bring data to everything, we have to allow them to actually get all the data right? So we needed to give them more flexible models and more alternative models. So for some people and just motto is very comfortable. But what they want it was more flexibility. So if you look at our new traunch pricing are predictable pricing, there's a couple of things that we've done with it. Number one is from 125 gig all the way up to unlimited. We'll show your predictable pricing so you don't have to guess. Well, if I move from 20 terabytes 2 50 what's that gonna cost me? We're gonna tell you, and you're gonna know and so That's one. The second thing is you don't have to land on the exact ingest. So before, if you bought a terabyte, you got a terabyte. Right now there's a traunch from 1 to 2 terabytes. There's a trunk from 2 to 5 terabytes. And so it gives the customers flexibility so that they don't have to worry about it coming back to buy more right away. >>So that's kind of cloud by as you go variable pricing. Exactly. I want your thoughts on some of the sales motions and position and you guys have out in the field. Visa VI. The industry has seen a lot of success and say Observe ability. For instance, Southern to Rick and Kartik About this. Yes, you guys are an enterprise software cloud and on premises provider you Enterprise sales motion. >>Yes, >>there's a lot of other competition up there that sells for the SNB. They're like tools. What's the difference between an offering that might look like Splunk but may be targeting the SNB? Small means business and one that needs to be full blown enterprise. >>Yeah, so I think the first and foremost most of the offerings that we see land in S and B. They have scale issues over time, I and so what we look at it and say is and they're mostly point products, right? So you can you can clutter up your environment with a bunch of point products, doing all these different things and try and stitch them together. Or you can go with this fun clock for him. So which allows you thio perform all of the same operations, whether B I t Security or Data Analytics in general. But it really isn't. It's about having the platform. >>You guys, what reduced the steps it takes to implement our What's the value? I guess. Here's Here's the thing. What's the pitch? So I'm on Enterprise. I'm like, Okay, I kept Dad. I got a lot of potential things going on platform. I need to make my data work for me any day to be everywhere. I au g Enterprise Cloud. What's the Splunk pitch? >>So our pitches were bringing dated everything, and first and foremost it's important. Understand why? Because we believe at the heart of every problem is a data problem. And we're not just talking t and security. As you know, you saw so many examples. I think you talk to his own haven earlier this week. Right? Wildfires is a data problem New York Presbyterian is using using us for opioid crisis. Right? That's a data problem. So everything's a data problem. What you want is a platform that can operate against that data and remove the barriers between data and action. And that's really what we're focused on. >>He mentions own haven that was part of Splunk Ventures Fund. You have a social impact fund? Yes, what's the motivation line that is just for social good? Is there a business reason behind it or both? >>What's this? So we actually have to social focuses. One is long for good, and that is non profit. What we announced this, what we announced a couple weeks ago that we reiterated yesterday was the spunk, social impact funds, a splint venture social impact fund, and this is to invest in for profit companies using data for social good. And the whole reason is that we look at it and so we say we're a platform. If you're a platform, you want to build out the ecosystem, right? And so the Splunk Innovation Fund splint Ventures Innovation Fund is to invest in new technology focused on that that brings value out of data. And on the other side, it's the spunk. Social impact. Thio get data companies that are taking data and creating such a >>Splunk for good as Splunk employees or a separate nonprofit. And >>it's not a separate nonprofit entity, but it is what we what we invest in. Okay. >>Oh, investing in >>investing in non for profit. Exactly like when we talked about the Global Emancipation Network right, which uses Splunk to fight human trafficking. That's on the nonprofit side. >>So take me through. This is a really hot area we've been covering for good because all roads I want now is for bad. Mark Zuckerberg's testifying from the Congress this morning kind of weird to watch that, actually, but there's a lot of good use cases. Tech tech can be shaped for good. A lot of companies are starting and getting off the ground for good things, but they're kind of like SMB, but they want the Splunk benefit. How do they engage with spunk if I'm gonna do ah social impact thing say cube for good? I got all this Tech. How do I engage punk? I wanted, but I don't know what to do. Have access to tools? How do I buy or engage with Splunk? >>Yes, start parties. Fund managers is making sure it's not just money, right? It's money, its access to talent. It's access to our product. And it's, you know, help with actually thinking through what they're trying to achieve, so it really is the entire focus. It's not just about the tech, Thea. Other thing I would say is you saw that we put out a Splunk investigate, and you also saw us talking about spunk, business slow and mission control. Those air now all built on a native SAS platform. And so the ability for our ecosystem now to go build on a native son platform is going to be incredibly powerful. >>So you expect more accelerated opportunities that all right, what's your favorite customer success stories? I know it's hard to pick your favorites, like picking a favorite child may be filled with the categories. Most ambitious class clown class favorite me. What's the ones you would call a really strong, >>so hit on a couple of my lover Domino story and the other one that I love, that I touched on. But I want to expand on because I think it's an amazing story. Is New York Presbyterian on using the Yes See you sprung for traditional security for private patient privacy. They also use it for medical devices. But here's the thing they use it for to help the opioid crisis. And you're like, How is opioid crisis a data problem? What they do is they actually correlate all the data that so doctors are prescribing the opioids who they're prescribing them to a number of prescriptions being building their pharmacy and then the inventory of opioids. Because they actually have sensors on all the cabinets where they get the opioids, they correlate all the data, and they make sure that if they understand if opioids being stolen from the hospital, because what people don't understand is that the opioid a lot of big part of the opioid crisis starts with hospitals to say of such a big volume of opioids. And so that, to me, is just I guess I love it because it's a great customer success story. But it's also again, it's so much fun doing good problem. >>A lot of deaths. I gotta ask you around your favorite moments here dot com, and you're a lot of conversations in your customer conversations this year. Let's do a little Splunk of the Cube right now can take the patterns, all the data, your meetings. What's the top patterns that are emerging? What are some of the top conversation themes that just keep popping up with customer? Specifically, >>I think the biggest thing is that they have seen more innovation unleash this year than they have ever seen in one year from Splunk. The other thing is that we've gone far outside of our traditional spunk index right and that the portfolio has grown so much and that we're allowing them to operate and get value out of the data wherever it lives. So data in motion and then you saw in data fabric search. We'll let you query not only the Splunk indices, but also H D. F s and s three buckets and more buckets to come. So more sinks if you will. So, really, what we're trying to do is say, we're just going to be your date a platform to help you get value >>Susan, you're a great leader and slung. Congratulations on your success again. They continue to grow every year. Splunk defies the critics. Now you're a market leader. Culture is a big part of this. What is your plans this year To take it to the next level? You're president of field worldwide, field operations, global business landscape. What are some of your goals and objectives on culture >>and the culture? So thank you, Jon. First of all, for your comments and were so committed to our culture, I think you know, as you grow so quickly, it takes a real effort to stay focused on culture way, have an incredible diversity and inclusion program. Onda We do way. It's a business imperative for us. Every single leader has diversity, diversity, inclusion, focuses and targets. And so I think that's a huge part of our culture. And the reason I say that, John, I don't know if you've ever heard about a 1,000,000 data points. Did anybody ever way Always talk about, you know in different different settings will share a couple of our 1,000,000 data points. What we want to make sure is a culture is that way. >>We >>have our employees showing up with their authentic self and because you do your best work when you can show up is your authentic self. And so we have people share a handful of their 1,000,000 data points at all different times throughout the year to get to know each other as individuals, as human beings and really understand what matters to each other. And I love that 1,000,000 data points culture, and I got that. We truly live it. And again it's It's about authenticity. And so I think that's what makes us incredibly special. >>And inclusion helps that trust >>fund elaboration, yes, and also just add to that. We're very proud of the fact that we made the fortune list this year for best places to work for women. So it shows that our focus, you know, we started. We started revealing our metrics just about two years ago, and we've had significant improvement way. Believe that what you focus on what you measure is what you improve. So we started measuring and improving it, and this year we made the list for a fortune that's called walking. It is Congratulations. Thank you. We're very excited about >>awesome on global expansion. I'm assuming is on the radar. Well, >>always, especially at this point. We're ready to double down and some of the tier one mark. It's a lovely for sure >>wasn't saying. Legend. President of worldwide field operations here inside the Cube. Where day to slung dot com 10th anniversary of their customer conference Our seventh year covering Splunk Amazing Ride They continue to ride the big wave. Thats a Q bring you all the data on insights here. I'm John Ferrier. Thanks for watching.

Published Date : Oct 23 2019

SUMMARY :

It's the Cube covering And, of course, the people in the field that that served customers. So in the keynote, bringing data to every outcome is really the theme. We're going to help you get you get value out of data wherever it lives. That next 20 mile stare in the marketplace, which is cloud native. And so it's all about instrument ing, so that when something does go wrong, of everything data, the access to the diversity, How is that impacting the field So I think the thing to understand is correct. So the world has certainly changes now, And so the ability to So you guys had the data processor. I want to get your thoughts on your new pricing options. And so it gives the customers flexibility so of the sales motions and position and you guys have out in the field. between an offering that might look like Splunk but may be targeting the SNB? So you can you can clutter up your environment with a bunch of point What's the Splunk pitch? I think you talk to his own haven He mentions own haven that was part of Splunk Ventures Fund. And so the Splunk Innovation Fund splint And it's not a separate nonprofit entity, but it is what we what we invest in. That's on the nonprofit side. A lot of companies are starting and getting off the ground for good things, but they're kind of like SMB, And so the ability for our ecosystem What's the ones you would call a really strong, the Yes See you sprung for traditional security for private patient privacy. I gotta ask you around your favorite moments here dot So data in motion and then you saw in data fabric search. Splunk defies the critics. so committed to our culture, I think you know, as you grow so quickly, it takes a real effort to have our employees showing up with their authentic self and because you do your best work when you can show up Believe that what you focus on what you measure I'm assuming is on the radar. We're ready to double down and some of the tier one mark. Thats a Q bring you all

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
JonPERSON

0.99+

Susan St LegerPERSON

0.99+

JohnPERSON

0.99+

SusanPERSON

0.99+

John FerrierPERSON

0.99+

1QUANTITY

0.99+

65%QUANTITY

0.99+

2QUANTITY

0.99+

hundredsQUANTITY

0.99+

Las VegasLOCATION

0.99+

Global Emancipation NetworkORGANIZATION

0.99+

yesterdayDATE

0.99+

SplunkORGANIZATION

0.99+

20 terabytesQUANTITY

0.99+

Susan St. LedgerPERSON

0.99+

125 gigQUANTITY

0.99+

Mark ZuckerbergPERSON

0.99+

2 terabytesQUANTITY

0.99+

thousandsQUANTITY

0.99+

bothQUANTITY

0.99+

5 terabytesQUANTITY

0.99+

one yearQUANTITY

0.99+

second thingQUANTITY

0.99+

firstQUANTITY

0.98+

1,000,000 data pointsQUANTITY

0.98+

this yearDATE

0.98+

seventh yearQUANTITY

0.98+

10th anniversaryQUANTITY

0.98+

FirstQUANTITY

0.98+

CongressORGANIZATION

0.97+

Ventures Innovation FundORGANIZATION

0.97+

Seventh yearQUANTITY

0.96+

Splunk Innovation FundORGANIZATION

0.95+

2019DATE

0.95+

OneQUANTITY

0.95+

earlier this weekDATE

0.95+

this morningDATE

0.94+

about two years agoDATE

0.91+

Splunk Ventures FundORGANIZATION

0.91+

few years agoDATE

0.9+

three bucketsQUANTITY

0.9+

20 mileQUANTITY

0.89+

Micro ServiceQUANTITY

0.87+

couple weeks agoDATE

0.86+

1,000,000 data pointsQUANTITY

0.85+

signal FXORGANIZATION

0.85+

New York PresbyterianORGANIZATION

0.84+

GardnerORGANIZATION

0.81+

SouthernORGANIZATION

0.8+

singleQUANTITY

0.76+

I. D. CORGANIZATION

0.74+

CubeLOCATION

0.74+

2 50QUANTITY

0.74+

oneQUANTITY

0.74+

RickPERSON

0.73+

KartikPERSON

0.73+

RideTITLE

0.71+

SNBORGANIZATION

0.7+

SASORGANIZATION

0.68+

spunkORGANIZATION

0.67+

terabyteQUANTITY

0.67+

Number oneQUANTITY

0.65+

Signal FXORGANIZATION

0.64+

CubeCOMMERCIAL_ITEM

0.64+

dot comORGANIZATION

0.63+

bigEVENT

0.63+

CloudORGANIZATION

0.61+

DominoesORGANIZATION

0.56+

EnterpriseTITLE

0.55+

SMBORGANIZATION

0.55+

ServiceQUANTITY

0.54+

Joe Beda, Heptio | KubeCon 2018


 

>> From Seattle, Washington, it's theCUBE covering KubeCon and CloudNativeCon North America 2018. Brought to you by Red Hat, the Cloud-Native computing foundation and its ecoystem partners. >> Everyone welcome back to theCUBE's exclusive coverage here live in Seattle for KubeCon and CloudNativeCon 2018. I'm John Furrier with Stu Miniman, breaking down all the content and the analysis, opinion, getting all the data, sharing that with you, three days of wall-to-wall coverage, we're in day three winding down, great event. Our next guest is one of the stars of the show here, original Kubernetes, a pioneer, Joe Beda, also the Kube founder at Heptio, recently sold to VMware in acquisition. Startup only what, two years old? >> Yeah, about two years. >> About two years. Welcome back to theCUBE, great to see you. >> Thanks for having me. >> Google. Great work you've done with Craig and with pioneering Kubernetes, Heptio startup. >> Yep, yep. >> Got taken off the table as you were ramping up. Congratulations! >> Thank you so much! It's been a little bit of a wild ride, I can tell you that. >> So first question for you is, I don't want to get into the whole VMware thing, we're going to hit that up in VMworld next year. But as you look at the ecosystem of Kubernetes, I mean, you've got to be looking at this sayin, "Hey, we knew this was going to be big." You guys have been running it with Borg and where that came from in the DNA. The magic wand almost was kind of passed out. Hey, this happened! It's kind of happening in a big way. What's your reaction? How do you feel at an emotional level? What's the vibe going on in your mind right now? >> I mean, I look at this and it blows my mind. I think we knew that we had a possibility with Kubernetes to do something big, we could feel it. I don't think we ever expected this, to be honest. The thing, though, that I think surprises me, and it was both about building startup and building a company, but also seeing the community grow, is that every time you hire a new person to do a startup, every time you have somebody join the community and start contributing, it's like it's another cylinder in the engine. And it really starts taking it in directions that you had no idea it was going to to go into. And so, I look around here and this is a product of a community. This is not a product of any single company, any single set of folks. I mean, you start things snowballing and interesting things happen, but it really is a group effort. >> It's so hard to do a startup. You know, I've done a lot of startups. We've done a lot of interviews with startups. It's hard. You got to start a company, you got to do all that legal work, then you've got to get the momentum, and it's capped off by the validation, certainly by VMware, who announced heavily at the VMworld, Pat Gelsinger said that Kubernetes is the dial tone. (laughs) And I'm like, okay, I guess. We were talking earlier, it's the ethernet. I've called it the TCP/IP. So, all the analogies come to this enabling kind of capability. And that's where we see a lot of the value. Where do you see the opportunities for the ecosystem to innovate. I mean, getting some clear visibility around the stability. But now value is starting to get created. What's your thoughts on value creation? Where are some areas that are ripe? >> Yeah, well, I think a couple of things. I think we're at the point now where it's about how do we bring these technologies to new people, to new audiences, to folks who might not have heard about it, don't quite get it. How do we make this stuff more relevant to them? So we're moving out of this technology-focus phase, into this phase that's focused on solution and value that's delivered. And this isn't always about innovation and building on top. Some of it is about different ways to do it, and also just, you know, having these ideas just permeate, right? And as technologists, we build on incredibly complicated technology. We look at, say, something like AWS. If you were to approach that brand new without any idea of the history there, it would be incredibly intimidating. But it's been around long enough, it's grown organically, that everyone's like, "Oh yeah, I totally understand all that stuff." It just takes time sometimes for these technologies to become understood, to become part of the fabric of what people assume the technical skill set is. And I think that's a big part of what we're seeing starting to happen now, too. >> Joe, I want to get your viewpoint. When I think about the last ten, fifteen years, the whole discussion of hybrid cloud, multicloud, portability, even thinking about things from a VMware context, or from a cloud-computing context, it seems like we have a lot of false starts and false expectations about, you know, we've listed Pat Gelsinger and Andy Jassy and others who talk about the three laws of the cloud. We're not changing physics. And Kubernetes is super-important for multicloud, but portability was kind of thrown out there. I want to get you to help us tease out what it is, what it isn't, and how do you see multicloud today? >> Yeah, so I mean, first, on the topic of false starts, there's this popular narrative that, oh, it's going to be this, now this is the hot thing, now it's this. And the reality is that main frames are still around. Technologies don't disappear, it's an additive type of thing. So it's not like, say for example, Kubernetes or Serverless or machine learning, right? It's all of those things working together and I think, if you look at it in that way, it doesn't feel like a false start. It just seems like we're adding more different techniques, more technologies onto the pile. In terms of where I see this stuff going, I think multicloud and compatibility do go hand-in-hand. From the very start, we never wanted to pretend that Kubernetes was going to be this magic layer that was going to make differences between different environments disappear. What we did want to do, though, was actually find the commonalities and minimize the extra differences that didn't need to be there. And so a lot of times, when I talked to customers, I don't say, "Hey, don't use this special service in this cloud." I don't tell them that. What I do say, though, is, "If you are going to start using those things, "do it in an eyes-open type of way. "Understand the trade-offs, "understand why you're doing it" versus just willy-nilly adopting technologies cuz they look nice and shiny, and that's what you want to do, right? So I think, whether you're adopting Kubernetes, whether you're adopting a specific cloud technology, whether you're moving to cloud versus actually building automatable infrastructure on prem, make sure that you're thoughtful about how you enter those types of decisions. >> The way the feedback we hear from people here on theCUBE this week and other places as well, is, pick a problem to solve. Don't boil all of the ocean, get in there, use Kubernetes for what you think you can nail a problem on, iterate from there. That's the common theme. Now as you guys pivot over to VMware, they've been investing a lot in their strategy also with AWS, RDS is now on VMware, they'd look at Kubernetes as a great opportunity to bridge on-premises and cloud. So it's clear to see why they like it. Explain for the folks watching who are fans of you and Craig and Heptio, what's next for you guys? You joined VMware, you just closed the deal, you're principal engineer at VM where you're in the business unit side, share some of the specifics that you can on what's going to happen next. >> Yeah, I think it's too early for me to speak on sort of a grand strategy across VMware. I think I'm still mapping things out and understanding things. What I can talk about is the way that we were thinking about the market from Heptio's point of view. And every indication that I've seen that this is actually very, very compatible for VMware. A lot of the keynotes that you saw here at KubeCon Show, that adoption curve, where we're in the early phase versus the early majority, that type of thing, and I think there's some truth to that. But I also think that there's an axis to that, that actually isn't shown up there, around the different personas that you see adopt different technologies inside of the enterprise organization. And so the strength of somebody like VMware, and I think the early adopters for things like Kubernetes, are that operator persona. And we're seeing an evolution of that persona as it starts to come to grips with the world of the cloud. We're moving from a place where things are ticket-based, human intensive, to how do we move to API-driven, policy-drive types of things, right? And so that's obviously where the cloud is. But how do we take those learnings, how do we take those lessons and actually apply those things on problems? And so our goal from Heptio's point of view, and I think it's incredibly well-aligned with VMware, and an enormous opportunity, is taking the VMware-faithful, the folks who do go to VMworld, that have built careers on that solution, how do we help them move their career forward, move their positioning forward in a way that doesn't eliminate their jobs, but actually helps them be smart in a modern world where cloud is actually part of the landscape. >> We had Aparna on from Google, and you know Aparna from your Google days, and she was making a comment about these new personas, new opportunities, new jobs that are opening up based on Kube. Okay, great, we see some of that. And then we've done rift on the idea that Kubernetes also is a uplift for existing roles: system architect, Network Guy, Server Guy, and then the VMware operator that had been wearing virtual machines, this is a lift for them. Talk about what specifically is going to get them jazzed up, is it the policy knobs on Kubernetes, what's going to really appeal to people below Kubernetes and what's really going to appeal to the developers above Kubernetes? >> Well, for centralized IT within an organization, cloud has been a challenge, right? If, I'm not thinking of a specific customer, but it's not insane to think about something like a developer who wants to write an app, they have to file a ticket, it can take anywhere from two weeks to three months to get stuff provisioned, right? And they're sitting there twiddling their thumbs waiting to actually get that stuff ready. Meanwhile, they take their credit card, go to a cloud, get a machine up and running within 30 seconds, and get their app shipped. So while they're waiting on that ticket, they can get that app shipped, and then they dare their manager to deny the credit card charge when it comes due. That is a challenge for centralized IT which oftentimes has not had any competition. Now, all of a sudden, they find themselves in a situation where they're competing with cloud for the hearts and minds of their own customers, for their developers. And different organizations have reacted to this in different ways. Some of them had said, we're just going to explode out IT and actually say to different business units, "You own your own destiny." But, depending on the enterprise, depending on the goals, depending on their requirements around regulatory needs, around policy, around cost controls, around mobility of developer skills across the organization, that may or may not work for them. And so, for me, the bridge forward for that centralized IT, is really one of giving them the power tools so they can actually serve their customers better in a world where cloud exists. >> Yeah. Their jobs! That's their job to serve the business. >> Well, I mean, the bar has been raised, right? And so we want to help them meet that challenge. >> Awesome. >> Joe, I want to get your thoughts on this growing ecosystem. I said in our open this morning, we've been looking for the last five years or so. Where is that independent, cloud-computing show? And sitting here with 8 thousand people, and another 2 thousand people are in the hallways or on the wait list and things like that. It's here, and there's all of these projects into multiple communities come together. How does it feel that Kubernetes, was it kind of the first domino to help tip something broader with CloudNative? >> I mean it feels really good, to be honest. I think one of the things that we saw Heptio as, and I think VMware is actually in a great position also, is to be a neutral party that really is on the side of customers as they enter this complex world where they're dancing with elephants that are the big cloud providers. And I think that there is an enormous appetite for customers to actually have trusted partners in that world. Now, with respect to the conference, I think, what I love doing is I love being on the floor here, I love talking to people, I love going to the session tracks. That's where I think the heart of this conference is. Some of the contributor community days that happened on Monday that don't get a lot of coverage, the big headlines are one thing but there really is an undercurrent of community that's happening in this conference that is really something pretty special. >> I think that's a great point, and, at least what I've seen that's contributed, you know, the Envoy Group, tomorrow there's the Operators Group, this is not a monolithic community, it's not like, look, I've been at VMworld for years. It was about virtualization and primarily a single product from a single company and everything that wrapped around it. This is not a vendor doing it, there's all of these. I talked to the people that all they care about is Helm, we talked about all these different pieces, and many of them tie into what was going on at Kubernetes, but there's just so much diversity, and it's a common ground for everybody to work together. >> And I think, this is one of the things that I think has been interesting about the CNCF is that there is no, there is an idea that we want to create a set of projects that work well together, but there also is the realization that there is no one way to skin the cat, there is no one way to solve a problem. So there is room for projects to disagree, there's room for projects to experiment, there is room for folks to try and find their audience and be successful. >> That's the modern upgrade in my mind, to, not going against the open source ethos but also innovating with it, You're balancing commercial so you just, I think they've got to apply this upstream concept called CNCF where the downstream benefits for commercialization, you can still do the open source community thing while having an impact downstream to IT and just regular developers. This is the trend we see at Enterprise when we talk to the customers, we talk to other people, IT has been outsourced for decades. Now there has to be a competitive advantage, and we have the competition thing that you pointed out. And the smart CIO CX's are bringing developers in to create a competitive advantage, and it's a new reset. And, not throwing away networks, they're not throwing away compute and storage. They're going to change it. And I think this is where the real tailwind is. Do you agree with that or what's your thoughts? >> The way I like to think about it is that, and I'm using company names here as an example, but I think there is this race between Tesla learning how to become a car company versus, say, Ford or GM learning how to become a software company, right? And that dynamic is playing itself out across every single industry. And I think there is not a CEO or CIO or board out there that doesn't realize that the way for us to be relevant in the future is to turn software into, not just a cost-center and something we deal with, but something that becomes a fundamental advantage and driver of our business. >> Every industry: media, software! We're a software company that happens to do media, with theCUBE. You're totally right, it's just like-- >> Any industry. This is why Amazon's getting into grocery stores. >> It's integration. This is a completely new horizontal dynamic with a little bit of special machine learning at the outlay. >> We're moving into a software-defined world, for sure. >> Joe, been great to have your commentary here on theCUBE. Thanks for sharing. Congratulations on the acquisition. Super outcome, the numbers floating out there. It's pretty large, good deal. We have no comment. (laughs) >> Open source! >> Read DCSE C file. >> Open source business models are changing, but the value is still the same. Those who create the value can extract it. That's the ethos of open source, of course theCUBE as well. Thanks for watching. Stay with us for more coverage after this short break.

Published Date : Dec 13 2018

SUMMARY :

Brought to you by Red Hat, and the analysis, opinion, Welcome back to theCUBE, great to see you. and with pioneering Kubernetes, Got taken off the table I can tell you that. What's the vibe going on is that every time you hire for the ecosystem to innovate. and also just, you know, having and how do you see multicloud today? and minimize the extra differences share some of the specifics that you can around the different personas that you see is it the policy knobs on Kubernetes, and then they dare their manager to deny That's their job to serve the business. Well, I mean, the bar or on the wait list and things like that. that are the big cloud providers. I talked to the people that And I think, this is one of the things And I think this is where that doesn't realize that the way that happens to do media, This is why Amazon's machine learning at the outlay. We're moving into a Congratulations on the acquisition. but the value is still the same.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
FordORGANIZATION

0.99+

John FurrierPERSON

0.99+

Andy JassyPERSON

0.99+

Joe BedaPERSON

0.99+

Pat GelsingerPERSON

0.99+

AmazonORGANIZATION

0.99+

JoePERSON

0.99+

Stu MinimanPERSON

0.99+

two weeksQUANTITY

0.99+

GMORGANIZATION

0.99+

MondayDATE

0.99+

VMwareORGANIZATION

0.99+

Red HatORGANIZATION

0.99+

Envoy GroupORGANIZATION

0.99+

VMworldORGANIZATION

0.99+

AWSORGANIZATION

0.99+

SeattleLOCATION

0.99+

KubeConEVENT

0.99+

three monthsQUANTITY

0.99+

2 thousand peopleQUANTITY

0.99+

first questionQUANTITY

0.99+

tomorrowDATE

0.99+

next yearDATE

0.99+

CraigPERSON

0.99+

8 thousand peopleQUANTITY

0.99+

Seattle, WashingtonLOCATION

0.99+

oneQUANTITY

0.99+

three lawsQUANTITY

0.99+

TeslaORGANIZATION

0.99+

HeptioORGANIZATION

0.98+

KubernetesTITLE

0.98+

KubeCon ShowEVENT

0.98+

this weekDATE

0.98+

HeptioPERSON

0.98+

firstQUANTITY

0.98+

theCUBEORGANIZATION

0.98+

three daysQUANTITY

0.97+

GoogleORGANIZATION

0.97+

fifteen yearsQUANTITY

0.97+

about two yearsQUANTITY

0.97+

Cloud-NativeORGANIZATION

0.97+

CloudNativeCon North America 2018EVENT

0.96+

Operators GroupORGANIZATION

0.96+

AparnaPERSON

0.96+

bothQUANTITY

0.96+

single productQUANTITY

0.96+

BorgPERSON

0.96+

KubernetesPERSON

0.96+

CloudNativeCon 2018EVENT

0.96+

About two yearsQUANTITY

0.95+

first dominoQUANTITY

0.93+

single companyQUANTITY

0.93+

KubeORGANIZATION

0.92+

KubernetesORGANIZATION

0.92+

todayDATE

0.91+

single setQUANTITY

0.91+

decadesQUANTITY

0.89+

last five yearsDATE

0.87+

CNCFORGANIZATION

0.86+

DCSE CTITLE

0.85+

two years oldQUANTITY

0.82+

KubeCon 2018EVENT

0.82+

tenQUANTITY

0.81+

this morningDATE

0.81+

thingsQUANTITY

0.81+

one thingQUANTITY

0.8+

day threeQUANTITY

0.8+

single industryQUANTITY

0.78+

Siva Sivakumar, Cisco and Rajiev Rajavasireddy, Pure Storage | Pure Storage Accelerate 2018


 

>> Announcer: Live from the Bill Graham Auditorium in San Francisco, it's The Cube, covering Pure Storage Accelerate 2018. Brought to you by Pure Storage. (upbeat techno music) >> Welcome back to The Cube, we are live at Pure Accelerate 2018 at the Bill Graham Civic Auditorium in San Francisco. I'm Lisa Martin, moonlighting as Prince today, joined by Dave Vellante, moonlighting as The Who. Should we call you Roger? >> Yeah, Roger. Keith. (all chuckling) I have a moon bat. (laughing) >> It's a very cool concert venue, in case you don't know that. We are joined by a couple of guests, Cube alumnae, welcoming them back to The Cube. Rajiev Rajavasireddy, the VP of Product Management and Solutions at Pure Storage and Siva Sivakumar, the Senior Director of Data Center Solutions at Cisco. Gentlemen, welcome back. >> Thank you. >> Thank you. >> Rajiev: Happy to be here. >> So talk to us about, you know, lots of announcements this morning, Cisco and Pure have been partners for a long time. What's the current status of the Cisco-Pure partnership? What are some of the things that excite you about where you are in this partnership today? >> You want to take that, Siva, or you want me to take it? >> Sure, sure. I think if you look back at what brought us together, obviously both of us are looking at the market transitions and some of the ways that customers were adopting technologies from our site. The converged infrastructure is truly how the partnership started. We literally saw that the customers wanted simplification, wanted much more of a cloud-like experience. They wanted to see infrastructure come together in a much more easier fashion. That we bring the IT, make it easier for them, and we started, and of course, the best of breed technology on both sides, being a Flash leader from their side, networking and computer leader on our side, we truly felt the partnership brought the best value out of both of us. So it's a journey that started that way and we look back now and we say that this is absolutely going great and the best is yet to come. >> So from my side, basically Pure had started what we now call FlashStack, a converged infrastructure offering, roughly about four years ago. And about two and a half years ago, Cisco started investing a lot in this partnership. We're very thankful to them, because they kind of believed in us. We were growing, obviously. But we were not quite as big as we are right now. But they saw the potential early. So about roughly two-and-a-half years ago, I talked about them investing in us. I'm not sure how many people know about what a Cisco validated design is. It's a pretty exhaustive document. It takes a lot of work on Cisco's site to come up with one of those. And usually, a single CVD takes about two or three of their TMEs, highly technical resources and about roughly three to six months to build those. >> Per CVD? >> Per CVD. >> Wow. >> Like I said, it's very exhaustive, I mean you get your building materials, your versions, your interoperability, your, you can actually, your commands that you actually use to stand up that infrastructure and the applications, so on and so forth. So in a nine-month span, they kind of did seven CVDs for us. That was phenomenal. We were very, very thankful that they did that. And over time, that investment paid off. There was a lot of good market investment that Cisco and Pure jointly made, all those investments paid off really well in terms of the customer adoption, the acquisition. And essentially we are at a really good point right now. When we came out with our FlashArray X70 last April, Cisco was about the same time, they were coming out with the M5 servers. And so they invested again, and gave us five more CVDs. And just recently they've added FlashBlade to that portfolio. As you know, FlashBlade is a new product offering. Well not so new, but relatively new, product offering from PR, so we have a new CV that just got released that includes FlashArray and Flash Blade for Oracle. So FlashArray does the online transaction processing, FlashBlade does data warehousing, obviously Cisco networking and Cisco servers do everything OLTB and data warehouse, it's an end to an architecture. So that was what Matt Burr had talked about on stage today. We are also excited to announce that we had that we had introduced AIRI AI-ready infrastructure along with Nvidia at their expo recently. We are excited to say that Cisco is now part of that AIRI infrastructure that Matt Burr had talked about on stage as well. So as you can tell, in a two and half year period we've come a really long way. We have a lot of customer adoption every quarter. We keep adding a ton of customers and we are mutually benefiting from this partnership. >> So I want to ask you about, follow up on the Oracle solution. Oracle would obviously say, "Okay, you buy our database, "buy our SAS, buy the Red Stack, "single throat to choke, "You're going to run better, "take advantage of all the hooks we have." You've heard it before. And it's an industry discussion. >> Rajiev: Of course. >> Customer have it, Oracle comes in hard. So what's the advantage of working with you guys, versus going with an all-Red Stack? Let's talk about that a little bit. >> Sure. Do you want to do it? >> I think if you look at the Oracle databases being deployed, this is a, this really powers many companies. This is really the IT platform. And one of the things that customers, or major customers standardize on this. Again, if they have a standardization from an Oracle perspective, they have a standardization from an infrastructure perspective. Just a database alone is not necessarily easy to put on a different infrastructure, manage them, operate them, go through lifecycle. So they look for a architecture. They look for something that's a overall platform for IT. "I want to do some virtualization. "I want to run desktop virtualization. "I want to do Oracle. "I want to do SAP." So the typical IT operates as more of "I want to manage my infrastructure as a whole. "I want to manage my database and data as its own. "I want its own way of looking." So while there are way to make very appliancey behaviors, that actually operates one better, the approach we took is truly delivering a architecture for data center. The fact that the network as well as the computer is so programmable it makes it easy to expand. Really brings a value from a complete perspective. But if you look at Pure again, their FlashArrays truly have world-class performance. So the customer also looks at, "Well I can get everything from one vendor. "Am I getting the best of breed? "Am I getting the world-class technology from "every one of those aspects and perspectives?" So we certainly think there are a good class of customers who value what we bring to the table and who certainly choose us for what we are. >> And to add to what Siva has just said, right? So if you looked at pre-Flash, you're mostly right in the sense that, hey, if you built an application, especially if it was mission-vertical application, you wanted it siloed, you didn't want another application jumping in and kind of messing up the performance and response times and all that good stuff, right? So in those kind of cases, yeah, appliances made sense. But now, when you have all Flash, and then you have servers and networking that can actually elaborates the performance of Flash, you don't really have to worry about mixing different applications and messing up performance for one at the expense of the other. That's basically, it's a win-win for the customers to have much more of a consolidated platform for multiple applications as opposed to silos. 'Cause silos are always hard to manage, right? >> Siva, I want to ask you, you know, Pure has been very bullish, really, for many years now. Obviously Cisco works with a lot of other vendors. What was it a couple years ago? 'Cause you talked about the significant resource investment that Cisco has been making for a couple of years now in Pure Storage. What is it that makes this so, maybe this Flash tech, I'm kind of thinking of the three-legged stool that Charlie talked about this morning. But what were some of the things that you guys saw a few years ago, even before Pure was a public company, that really drove Cisco to make such a big investment in this? >> I think they, when you look at how Cisco has evolved our data center portfolio, I mean, we are a very significant part of the enterprise today powered by Cisco, Cisco networking, and then we grew into the computer business. But when you looked at the way we walked into this computer business, the traditional storage as we know today is something we actually led through a variety of partnerships in the industry. And our approach to the partnership is, first of all, technology. Technology choice was very very critical, that we bring the best of breed for the customers. But also, again, the customer themself, speaking to us, and then our channel partners, who are very critical for our enablement of the business, is very very critical. So the way we, and when Pure really launched and forayed into all Flash, and they created this whole notion that storage means Flash and that was never the patterning before. That was a game-changing, sort of a model of offering storage, not just capacity but also Flash as my capacity as well as the performance point. We really realized that was going to be a good set of customers will absorb that. Some select workloads will absorb that. But as Flash in itself evolved to be much more mainstream, every day's data storage can be in a Flash medium. They realize, customers realized, this technology, this partner, has something very unique. They've thought about a future that was coming, which we realized was very critical for us. When we evolved network from 10-gig fabric to 40-gig to 100-gig, the workloads that are the slowest part of any system is the data movement. So when Flash became faster and easier for data to be moved, the fabric became a very critical element for the eventual success of our customer. We realized a partnership with Pure, with all Flash and the faster network, and faster compute, we realized there is something unique that we can bring to bear for the customer. So our partnership minds had really said, "This is the next big one that we are going to "invest time and energy." And so we clearly did that and we continue to do that. I mean we continue to see huge success in the customer base with the joint solutions. >> This issue of "best of breed" versus a kind of integrated stacks, it's been around forever, it's not going to go away. I mean obviously Cisco, in the early days of converged infrastructure, put a lot of emphasis on integrating, and obviously partnerships. Since that time, I dunno what it was, 2009 or whatever it was, things have changed a lot. Y'know, cloud was barely a thought back then. And the cloud has pushed this sort of API economy. Pure talks about platforms and integrating through APIs. How has that changed your ability to integrate "best of breed" more seamlessly? >> Actually, you know, I've been working with UCS since it started, right? And it's perhaps, it was a first server system that was built on an API-first philosophy. So everything in the Cisco UCS system can be basically, anything you can do to it GUI or the command line, you can do it their XML API, right? It's an open API that they provide. And they kind of emphasized the openness of it. When they built the initial converged infrastructure stacks, right, the challenge was the legacy storage arrays didn't really have the same API-first programmability mentality, right? If you had to do an operation, you had a bunch of, a ton of CLI commands that you had to go through to get to one operation, right? So Pure, having the advantage of being built from scratch, when APIs are what people want to work with, does everything through rest APIs. All function features, right? So the huge advantage we have is with both Pure, Pure actually unlocks the potential that UCS always had. To actually be a programmable infrastructure. That was somewhat held back, I don't know if Siva agrees or not, but I will say it. That kind of was held back by legacy hardware that didn't have rest space APIs or XML or whatever. So for example, they have Python, and PowerShell-based toolkits, based on their XML APIs that they built around that. We have Python PowerShell toolkits that we built around our own rest APIs. We have puppet integration installed, and all the other stuff that you saw on the stage today. And they have the same things. So if you're a customer, and you've standardized, you've built your automation around any of these things, right, If you have the Intuit infrastructure that is completely programmable, that cloud paradigms that you're talking about is mainly because of programmability, right, that people like that stuff. So we offer something very similar, the joint-value proposition. >> You're being that dev-ops kind of infrastructure-as-code mentality to systems design and architecture. >> Rajiev: Yeah. >> And it does allow you to bring the cloud operating model to your business. >> An aspect of the cloud operating model, right. There's multiple different things that people, >> Yeah maybe not every single feature, >> Rajiev: Right. >> But the ones that are necessary to be cloud-like. >> Yeah, absolutely. >> Dave: That's kind of what the goal is. >> Let's talk about some customer examples. I think Domino's was on stage last year. >> Right. >> And they were mentioned again this morning about how they're leveraging AI. Are they a customer of Flash tech? Is that maybe something you can kind of dig into? Let's see how the companies that are using this are really benefiting at the business level with this technology. >> I think, absolutely, Domino's is one of our top examples of a Flash tech customer. They obviously took a journey to actually modernize, consolidate many applications. In fact, interestingly, if you look at many of the customer journeys, the place where we find it much much more valuable in this space is the customer has got a variety of workloads and he's also looking to say, "I need to be cloud ready. "I need to have a cloud-like concept, "that I have a hybrid cloud strategy today "or it'll be tomorrow. "I need to be ready to catch him and put him on cloud." And the customer also has the mindset that "While I certainly will keep my traditional applications, "such as Oracle and others, "I also have a very strong interest in the new "and modern workloads." Whether it is analytics, or whether it is even things like containers micro-services, things like that which brings agility. So while they think, "I need to have a variety "of things going." Then they start asking the question, "How can I standardize on a platform, "on an architecture, on something that I can "reuse, repeat, and simplify IT." That's, by far, it may sound like, you know, you got everything kind of thing, but that is by far the single biggest strength of the architecture. That we are versatile, we are multi-workload, and when you really build and deploy and manage, everything from an architecture, from a platform perspective looks the same. So they only worry about the applications they are bringing onboard and worry about managing the lifecycle of the apps. And so a variety of customers, so what has happened because of that is, we started with commercial or mid-size customers, to larger commercial. But now we are much more in enterprise. Large, many large IT shops are starting to standardize on Flash tech, and many of our customers are really measured by the number of repeat purchases they will come back and buy. Because once they like and they bought, they really love it and they come back and buy a lot more. And this is the place where it gets very exciting for all of us that these customers come back and tell us what they want. Whether we build automation or build management architecture, our customer speaks to us and says, "You guys better get together and do this." That's where we want to see our partners come to us and say, "We love this architecture but we want these features in there." So our feedback and our evolution really continues to be a journey driven by the demand and the market. Driven by the customers who we have. And that's hugely successful. When you are building and launching something into the marketplace, your best reward is when customer treats you like that. >> So to basically dovetail into what Siva was talking about, in terms of customers, so he brought up a very valid point. So what customers are really looking for is an entire stack, an infrastructure, that is near invisible. It's programmable, right? And it's, you can kind of cookie-cutter that as you scale. So we have an example of that. I'm not going to use the name of the customer, 'cause I'm sure they're going to be okay with it, but I just don't want to do it without asking their permission. It's a healthcare service provider that has basically, literally dozens of these Flash techs that they've standardized on. Basically, they have vertical applications but they also offer VM as a service. So they have cookie-cuttered this with full automation, integration, they roll these out in a very standard way because of a lot of automation that they've done. And they love the Flash tech just because of the programmability and everything else that Siva was talking about. >> With new workloads coming on, do you see any, you know, architectural limitations? When I say new workloads, data-driven, machine intelligence, AI workloads, do we see any architectural limitations to scale, and how do you see that being addressed in the near future? >> Rajiev: Yeah, that's actually a really good question. So basically, let's start with the, so if you look at Bare Metal VMs and containers, that is one factor. In that factor, we're good because, you know, we support Bare Metal and so does the entire stack, and when I say we, I'm talking about the entire Flash tech servers and storage and network, right. VMs and then also containers. Because you know, most of the containers in the early days were ephemeral, right? >> Yeah. >> Rajiev: Then persistent storage started happening. And a lot of the containers would deploy in the public cloud. Now we are getting to a point where customers are kind of, basically experimenting with large enterprises with containers on prem. And so, the persistent storage that connects to containers is kind of nascent but it's picking up. So there's Kubernetes and Docker are the primary components in there, right? And Docker, we already have Docker native volume plug-ins and Cisco has done a lot of work with Docker for the networking and server pieces. And Kubernetes has flex volumes and we have Kubernetes flex volume integration and Cisco works really well with Kubernetes. So there are no issues in that factor. Now if you're talking about machine learning and Artificial Intelligence, right? So it depends. So for example, Cisco's servers today are primarily driven by Intel-based CPUs, right? And if you look at the Nvidia DGXs, these are mostly GPUs. Cisco has a great relationship with Nvidia. And I will let Siva speak to the machine learning and artificial intelligence pieces of it, but the networking piece for sure, we've already announced today that we are working with Cisco in our AIRI stack, right? >> Dave: Right. >> Yeah, no, I think that the next generation workloads, or any newer workloads, always comes with a different set of, some are just software-level workloads. See typically, software-type of innovation, given the platform architecture is more built with programmability and flexibility, adopting our platforms to a newer software paradigm, such as container micro-services, we certainly can extend the architecture to be able to do that and we have done that several times. So that's a good area that covers. But when there are new hardware innovations that comes with, that is interconnect technologies, or that is new types of Flash models, or machine-learning GPU-style models, what we look at from a platform perspective is what can we bring from an integrated perspective. That, of course, allows IT to take advantage of the new technology, but maintain the operational and IT costs of doing business to be the same. That's where our biggest strength is. Of course Nvidia innovates on the GPU factor, but IT doesn't just do GPUs. They have to integrate into a data center, flow the data into the GPU, run compute along that, and applications to really get most out of this information. And then, of course, processing for any kind of real-time, or any decision making for that matter, now you're really talking about bringing it in-house and integrating into the data center. >> Dave: Right. >> Any time you start in that conversation, that's really where we are. I mean, that's our, we welcome more innovation, but we know when you get into that space, we certainly shine quite well. >> Yeah, it's secured, it's protected, it's move it, it's all kind of things. >> So we love these innovations but then our charter and what we are doing is all in making this experience of whatever the new be, as seamless as possible for IT to take advantage of that. >> Wow, guys, you shared a wealth of information with us. We thank you so much for talking about these Cisco-Pure partnership, what you guys have done with FlashStack, you're helping customers from pizza delivery with Domino's to healthcare services to really modernize their infrastructures. Thanks for you time. >> Thank you. >> Thank you very much. >> For Dave Vellante and Lisa Martin, you're watching the Cube live from Pure Accelerate 2018. Stick around, we'll be right back.

Published Date : May 23 2018

SUMMARY :

Brought to you by Pure Storage. Should we call you Roger? I have a moon bat. and Siva Sivakumar, the Senior Director So talk to us about, you know, We literally saw that the customers wanted simplification, and about roughly three to six months to build those. So that was what Matt Burr had talked about on stage today. "take advantage of all the hooks we have." So what's the advantage of working with you guys, Do you want to do it? The fact that the network as well as the computer that can actually elaborates the performance of Flash, of the three-legged stool "This is the next big one that we are going to And the cloud has pushed this sort of API economy. and all the other stuff that you saw on the stage today. You're being that dev-ops kind of And it does allow you to bring the cloud operating model An aspect of the cloud operating model, right. I think Domino's was on stage last year. Is that maybe something you can kind of dig into? but that is by far the single biggest strength So to basically dovetail into what Siva was talking about, and so does the entire stack, And a lot of the containers would deploy and integrating into the data center. but we know when you get into that space, it's move it, it's all kind of things. So we love these innovations but then what you guys have done with FlashStack, For Dave Vellante and Lisa Martin,

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Dave VellantePERSON

0.99+

Lisa MartinPERSON

0.99+

Rajiev RajavasireddyPERSON

0.99+

CiscoORGANIZATION

0.99+

RogerPERSON

0.99+

DavePERSON

0.99+

RajievPERSON

0.99+

Matt BurrPERSON

0.99+

10-gigQUANTITY

0.99+

NvidiaORGANIZATION

0.99+

Siva SivakumarPERSON

0.99+

100-gigQUANTITY

0.99+

Pure StorageORGANIZATION

0.99+

40-gigQUANTITY

0.99+

OracleORGANIZATION

0.99+

last yearDATE

0.99+

DominoORGANIZATION

0.99+

KeithPERSON

0.99+

2009DATE

0.99+

six monthsQUANTITY

0.99+

nine-monthQUANTITY

0.99+

PureORGANIZATION

0.99+

CharliePERSON

0.99+

bothQUANTITY

0.99+

Bill Graham Civic AuditoriumLOCATION

0.99+

one factorQUANTITY

0.99+

PythonTITLE

0.99+

SivaPERSON

0.99+

Domino'sORGANIZATION

0.99+

dozensQUANTITY

0.99+

last AprilDATE

0.99+

threeQUANTITY

0.98+

PowerShellTITLE

0.98+

three-leggedQUANTITY

0.98+

tomorrowDATE

0.98+

todayDATE

0.98+

both sidesQUANTITY

0.98+

oneQUANTITY

0.98+

FlashTITLE

0.98+

Bill Graham AuditoriumLOCATION

0.97+

about two and a half years agoDATE

0.97+

first serverQUANTITY

0.97+

Kickoff | Pure Storage Accelerate 2018


 

>> Announcer: Live from the Bill Graham Auditorium in San Francisco, it's theCUBE covering Pure Storage Accelerate 2018, brought to you by Pure Storage. (bright music) >> Welcome to theCUBE. We are live at Pure Storage Accelerate 2018. I'm Lisa Martin also known as Prince for today with Dave Vellante. We're at the Bill Graham Civic Auditorium, really cool, unique venue. Dave, you've been following Pure for a long time. Today's May 23rd, they just announced FY19 Q1 earnings a couple days ago. Revenue up 40% year over year, added 300 new customers this last quarter including the Department of Energy, Paige.ai, bringing their customer tally now up to about 4800. We just came from the keynote. What are some of the things that you've observed over the last few years of following Pure that excite you about today? >> Well Lisa, Pure's always been a company that is trying to differentiate itself from the pack, the pack largely being EMC at the time. And what Pure talked about today, Matt Kixmoeller talked about, that in 2009, if you go back there, Fusion-io was all the rage, and they were going after the tip of the pyramid, and everybody saw flash, as he said, his words, as the tip of the pyramid. Now of course back then David Floyer in 2008 called that flash was going to change the world, that is was going to dominate. He'd forecast that flash was going to be cheaper than disk over the long term, and that is playing out in many market segments. So he was one of the few that didn't fall into that trap. But the point is that Pure has always said, "We're going to make flash cheaper than "or as cheap as spinning disk, "and we're going to drive performance, "and we're going to differentiate from the market, "and we're going to be first." And you heard that today with this company. This company is accelerated to a billion dollars, the first company to hit a billion dollars since NetApp. Eight years ago I questioned if any company would do that. If you look at the companies that exited the storage market, that entered and exited the storage market that supposedly hit escape velocity, 10 years ago it was 3PAR hit $250 million. Isilon, Data Domain, Compellent, these companies sold for between $1 and $2.5 billion. None of them hit a billion dollars. Pure is the first to do that. Nutanix, which is really not a storage company, they're hyper-converged infrastructure, they got networking and compute, sort of, hit a billion, but Pure is the the first pure play, no pun intended, storage company to do that. They've got a $5 billion evaluation. They're growing, as you said, at 40% a year. They just announced their earnings they beat. But the street reacted poorly because it interpreted their guidance as lower. Now Pure will say that we know we raised (laughs) our guidance, but they're lowering the guidance in terms of growth rates. So that freaks the street out. I personally think it's pure conservativism and I think that they'll continue to beat those expectations so the stock's going to take a hit. They say, "Okay, if you want to guide lower growth, "you're going to take the hit," and I think that's smart play by Pure because if and when they beat they'll get that updraft. But so that's what you saw today. They're finally free cash flow positive. They've got about a billion dollars in cash on the balance sheet. Now half a billion of that was from a convertible note that they just did, so it's really not coming from a ton of free cash flow, but they've hit that milestone. Now the last point I want to make, Lisa, and we talked about this, is Pure Storage at growing at 40% a year, it's like Amazon can grow even though they make small profit. The stock price keeps going up. Pure has experienced that. You're certainly seeing that with companies like Workday, certainly Salesforce and its ascendancy, ServiceNow and its ascendancy. These companies are all about growth. The street is rewarding growth. Very hard for a company like IBM or HPE or EMC when it was public, when they're not growing to actually have the stock price continue to rise even though they're throwing off way more cash than a company like Pure. >> Also today we saw for the first time the new CEO's been Charlie Giancarlo, been the CEO since August of 2017, sort of did a little introduction to himself, and they talked about going all in on shared accelerated storage, this category that Gartner's created. Big, big focus there. >> Yeah, so it's interesting. When I look at so-called shared accelerated storage it's 2018, Gartner finally came up with a new category. Again, I got to give credit to the Wikibon guys. I think David Floyer in 2009 created the category. He called it Server SAN. You don't know if that's David, but I think maybe shared accelerated storage's a better name. Maybe Gartner has a better V.P. of Naming than they do at Wikibon, but he forecast this notion of Server SAN which really it's not DAS, it's not SAN, it's this new class of accelerated storage that's flash-based, that's NVMe-based, eliminates the horrible storage stack. It's exactly what Pure was talking about. Again, Floyer forecast that in 2009, and if you look at the charts that he produced back then it looks like you see the market like this going shoom, the existing market and the new market just exploding. So Pure, I think, is right on. They're targeting that wide market. Now what they announced today is this notion of their flash array for all workloads, bringing NVMe to virtually their entire portfolio. So they're aiming their platform at the big market. Remember, Pure's ascendancy to a billion really came at the expense of EMC's VMAX and VNX business. They aimed at that and they hit it hard. They positioned flash relative to EMC's either spinning disk or flash-based systems as better, easier, cheaper, et cetera, et cetera, and they won that battle even though they were small. Pure's a billion, EMC at the time was $23, $24 billion, but they gained share very rapidly when you see the numbers. So what they're doing is basically staking a claim, Lisa, saying, "We can point our platform "at the entire $30, $40, $50 billion storage TAM," and their intention, we're going to ask Charlie Giancarlo and company, their aspiration is to really continue to gain share in that marketplace and grow significantly faster than the overall market. >> So they also talked about the data-centric architecture today and gave some great examples of customers. I loved the Domino's Pizza example that they talked about, I think he was here last year, and how they're actually using AI at Domino's to analyze the phone calls using this AI engine to identify accurate order information and get you your pizza as quickly as you want. So not only do we have pizza but we were showered with confetti. Lot of momentum there. What is your opinion of Pure, what they're doing to enable companies to utilize and maximize AI-based applications with this data-centric architecture? >> So Pure started in the what's called block storage, really going after the high-volume, the transaction OLTP business. In the early days of Pure you'd see them at Oracle OpenWorld. That's where the high-volume transactions are taking place. They were the first really, by my recollection, to do file-based flash storage. Back in the day it was you would buy EMC for a block, you'd buy NetApp for file. What Pure did is said, "Okay, let's go after "the biggest market player, EMC, "which we'll gain share there in block, "and then now let's go after NetApp space and file." They were again the first to do that. And now they're extending that to AI. Now AI is a small but growing market, so they want to be the infrastructure for artificial intelligence and machine intelligence. They've struck a partnership with Nvidia, they're using the example of Domino's. It's clearly not a majority of their business today, but they're doing some clever things in marketing, getting ahead of the game. This is Pure's game. Be first, get out in the lead, market it hard, and then let everybody else look like they're following which essentially they are and then claim leadership position. So they are able to punch above their weight class by doing that, and that's what you're seeing with the Domino's example. >> You think they're setting the bar? >> Do I think they're setting the bar? Yeah, in many respects they are because they are forcing these larger incumbents to respond and react because they're in virtually all accounts now. The IT practitioners, they look at the Gartner Magic Quadrant, who's in the upper right, I got to call them in for the RFP. They get a seat at that table. I would say it was interesting hearing Charlie speak today and the rest of the executives. These guys are hardcore storage geeks, and I mean that with all due respect. They love storage. It kind of reminds me of the early days of EMC. They are into this stuff. Their messaging is really toward that storage practitioner, that administrator. They're below the line but those are the guys that are actually making the decisions and affecting transactions. They're touching above the line with AI messages and data growth and things like that, but it's really not a hardcore CIO, CFO, CEO message yet. I think that will come later. They see a big enough market selling to those IT practitioners. So I think they are setting the bar in that IT space, I do. >> One of the things I thought that they did well is kind of position the power of data where, you know people talk about data as fuel. Data's really a business catalyst that needs to be analyzed across multiple areas of a business simultaneously to really be able to extract value. They talked about the gold rush, oh gee, of 1849 and now kind of in this new gold rush enabling IT with the tools. And interestingly they also talked about a survey that they did with the SEE Suite who really believe that analyzing data is going to be key to driving businesses forward, identifying new business models, new products, new services. Conversely, IT concern do we have the right tools to actually be able to evaluate all of these data to extract the value from it? Because if you can't extract the value from the data, is it, it's not useful. >> Yeah, and I think again, I mean to, we give Pure great marketing, and a lot of what they're doing, (laughs) it's technology, it's off-the-shelf technology, it's open source components. So what's their differentiation? Their differentiation is clearly their software. Pure has done a great job of simplifying the experience for the customer, no question, much in the same way that 3PAR did 10 or 15 years ago. They've clearly set the bar on simplicity, so check. The other piece that they've done really well is marketing, and marketing is how companies differentiate (laughs) today. There's no question about it that they've done a great job of that. Now having said that I don't think, Lisa, that storage, I think storage is going to be table stakes for AI. Storage infrastructure for AI is going to have to be there, and they talked about the gold rush of 1849. The guys who made all the money were the guys with the picks and the axes and the shovels supplying them, and that's really what Pure Storage is. They're a infrastructure company. They're providing the pickaxes and the shovels and the basic tools to build on top of that AI infrastructure. But the real challenges of AI are where do I apply and how do I infuse it into applications, how do I get ROI, and then how do I actually have a data model where I can apply machine intelligence and how do I get the skillsets applied to that data? So is Pure playing a fundamental catalyst to that? Yes, in the sense that I need good, fast, reliable, simple-to-use storage so that I don't have to waste a bunch of time provisioning LUNs and doing all kinds of heavy lifting that's nondifferentiated. But I do see that as table stakes in the AI game, but that's the game that Pure has to play. They are an infrastructure company. They're not shy about it, and it's a great business for them because it's a huge market where they're gaining share. >> Partners are also key for them. There's a global partner summit going on. We're going to be speaking, you mentioned Nvidia. We're going to be talking with them. They also announced the AIRI Mini today. I got to get a look at that box. It looks pretty blinged out. (laughing) So we're going to be having conversations with partners from Nvidia, from Cisco as well, and they have a really diverse customer base. We've got Mercedes-AMG Petronas Motorsport Formula One, we've got UCLA on the CIO of UCLA Medicine. So that diversity is really interesting to see how data is being, value, rather, from data is being extracted and applied to solve so many different challenges whether it's hitting a race car around a track at 200 kilometers an hour to being able to extract value out of data to advance health care. They talked about Paige.ai, a new customer that they added in Q1 of FY19 who was able to take analog cancer pathology looking at slides and digitize that to advance cancer research. So a really cool kind of variety of use cases we're going to see on this show today. >> Yeah, I think, so a couple thoughts there. One is this, again I keep coming back to Pure's marketing. When you talk to customers, they cite, as I said before, the simplicity. Pure's also done a really clever thing and not a trivial thing with regard to their Evergreen model. So what that means is you can add capacity and upgrade your software and move to the next generation nondisruptively. Why is this a big deal? For decades you would have to actually shut down the storage array, have planned downtime to do an upgrade. It was a disaster for the business. Oftentimes it turned into a disaster because you couldn't really test or if you didn't test properly and then you tried to go live you would actually lose application availability or worse, you'd lose data. So Pure solved that problem with its Evergreen model and its software capability. So its simplicity, the Evergreen model. Now the reality is typically you don't have to bring in new controllers but you probably should to upgrade the power, so there are some nuances there. If you're mixing and matching different types of devices in terms of protocols there's not really tiering, so there's some nuances there. But again it's both great marketing and it simplifies the customer experience to know that I can go back to serial number 00001 and actually have an Evergreen upgrade is very compelling for customers. And again Pure was one of the first if not the first to put that stake in the ground. Here's how I know it's working, because their competitors all complain about it. When the competitors are complaining, "Wow, Pure Storage, they're just doing X, Y, and Z, "and we can do that too," and it's like, "Hey, look at me, look at me! "I do that too!" And Pure tends to get out in front so that they can point and say, "That's everybody following us, we're the leader." And that resonates with customers. >> It does, in fact. And before we wrap things up here a lot of the customer use cases that I read in prepping for this show all talked about this simplicity, how it simplified the portability, the Evergreen model, to make things much easier to eliminate downtime so that the business can keep running as expected. So we have a variety of use cases, a variety of Puritans on the program today as well as partners who are going to be probably articulating that value. >> You know what, I really didn't address the partner issue. Again, having a platform that's API-friendly, that's simple makes it easier to bring in partners, to integrate into new environments. We heard today about integration with Red Hat. I think they took AIRI. I think Cisco's a part of that partnership. Obviously the Nvidia stuff which was kind of rushed together at the last minute and had got it in before the big Nvidia customer show, but they, again, they were the first. Really made competitors mad. "Oh, we can do that too, it's no big deal." Well, it is a big deal from the standpoint of Pure was first, right? There's value in being first and from a standpoint of brand and mindshare. And if it's easier for you to integrate with partners like Cisco and other go-to-market partners like the backup guys you see, Cohesity and Veeam and guys like Catalogic are here. If it's easier to integrate you're going to have more integration partners and the go-to-market is going to be more facile, and that's where a lot of the friction is today, especially in the channel. >> The last thing I'll end with is we got a rain of confetti on us during the main general session today. The culture of Pure is one that is pervasive. You feel it when you walk into a Pure event. The Puritans are very proud of what they've done, of how they're enabling so many, 4800+ customers globally, to really transform their businesses. And that's one of the things that I think is cool about this event, is not just the plethora of orange everywhere but the value and the pride in the value of what they're delivering to their customers. >> Yeah, I think you're right. It is orange everywhere, they're fun. It's a fun company, and as I say they're alpha geeks when it comes to storage. And they love to be first. They're in your face. The confetti came down and the big firecracker boom when they announced that NVMe was going to be available across the board for zero incremental cost. Normally you would expect it to be a 15 to 20% premium. Again, a first that Pure Storage is laying down the gauntlet. They're setting the bar and saying hey guys, we're going to "give" this value away. You're going to have to respond. Everybody will respond. Again, this is great marketing by Pure because they're >> Shock and awe. going to do it and everybody's going to follow suit and they're going to say, "See, we were first. "Everybody's following, we're the leader. "Buy from us," very smart. >> There's that buy. Another first, this is the first time I have actually been given an outfit to wear by a vendor. I'm the symbol of Prince today. I won't reveal who you are underneath that Superman... >> Okay. >> Exterior. Stick around, you won't want to miss the reveal of the concert tee that Dave is wearing. >> Dave: Very apropos of course for Bill Graham auditorium. >> Exactly, we both said it was very hard to choose which we got a list of to pick from and it was very hard to choose, but I'm happy to represent Prince today. So stick around, Dave and I are going to be here all day talking with Puritans from Charlie Giancarlo, David Hatfield. We've also got partners from Cisco, from Nvidia, and a whole bunch of great customer stories. We're going to be right back with our first guest from the Mercedes-AMG Petronas Motorsport F1 team. I'm Lisa "Prince" Martin, Dave Vellante. We'll be here all day, Pure Storage Accelerate. (bright music)

Published Date : May 23 2018

SUMMARY :

brought to you by Pure Storage. What are some of the things that you've observed Pure is the first to do that. been the CEO since August of 2017, Pure's a billion, EMC at the time was $23, $24 billion, I loved the Domino's Pizza example that they talked about, Back in the day it was you would buy EMC for a block, that are actually making the decisions is kind of position the power of data where, and how do I get the skillsets applied to that data? We're going to be speaking, you mentioned Nvidia. if not the first to put that stake in the ground. so that the business can keep running as expected. and the go-to-market is going to be more facile, is not just the plethora of orange everywhere And they love to be first. and they're going to say, "See, we were first. I'm the symbol of Prince today. the reveal of the concert tee that Dave is wearing. We're going to be right back with our first guest

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Charlie GiancarloPERSON

0.99+

Dave VellantePERSON

0.99+

IBMORGANIZATION

0.99+

CharliePERSON

0.99+

2009DATE

0.99+

CiscoORGANIZATION

0.99+

LisaPERSON

0.99+

2008DATE

0.99+

Lisa MartinPERSON

0.99+

Matt KixmoellerPERSON

0.99+

AmazonORGANIZATION

0.99+

$30QUANTITY

0.99+

DavePERSON

0.99+

NvidiaORGANIZATION

0.99+

David HatfieldPERSON

0.99+

EMCORGANIZATION

0.99+

15QUANTITY

0.99+

David FloyerPERSON

0.99+

$40QUANTITY

0.99+

Department of EnergyORGANIZATION

0.99+

$5 billionQUANTITY

0.99+

$23QUANTITY

0.99+

$50 billionQUANTITY

0.99+

FloyerPERSON

0.99+

HPEORGANIZATION

0.99+

DominoORGANIZATION

0.99+

DavidPERSON

0.99+

firstQUANTITY

0.99+

GartnerORGANIZATION

0.99+

Domino's PizzaORGANIZATION

0.99+

$24 billionQUANTITY

0.99+

NutanixORGANIZATION

0.99+

$2.5 billionQUANTITY

0.99+

2018DATE

0.99+

last yearDATE

0.99+

Lisa "Prince" MartinPERSON

0.99+

PureORGANIZATION

0.99+

August of 2017DATE

0.99+

1849DATE

0.99+

WikibonORGANIZATION

0.99+

IsilonORGANIZATION

0.99+

EvePERSON

0.99+

VMAXORGANIZATION

0.99+

half a billionQUANTITY

0.99+

UCLAORGANIZATION

0.99+

Data DomainORGANIZATION

0.99+

Pure StorageORGANIZATION

0.99+

$250 millionQUANTITY

0.99+

todayDATE

0.99+

20%QUANTITY

0.99+

PrincePERSON

0.99+

3PARORGANIZATION

0.99+

TodayDATE

0.99+

Bill Graham Civic AuditoriumLOCATION

0.99+

first timeQUANTITY

0.99+

FY19COMMERCIAL_ITEM

0.98+

OneQUANTITY

0.98+

EvergreenORGANIZATION

0.98+

Nutanix .Next | NOLA | Day 1 | AM Keynote


 

>> PA Announcer: Off the plastic tab, and we'll turn on the colors. Welcome to New Orleans. ♪ This is it ♪ ♪ The part when I say I don't want ya ♪ ♪ I'm stronger than I've been before ♪ ♪ This is the part when I set your free ♪ (New Orleans jazz music) ("When the Saints Go Marching In") (rock music) >> PA Announcer: Ladies and gentleman, would you please welcome state of Louisiana chief design officer Matthew Vince and Choice Hotels director of infrastructure services Stacy Nigh. (rock music) >> Well good morning New Orleans, and welcome to my home state. My name is Matt Vince. I'm the chief design office for state of Louisiana. And it's my pleasure to welcome you all to .Next 2018. State of Louisiana is currently re-architecting our cloud infrastructure and Nutanix is the first domino to fall in our strategy to deliver better services to our citizens. >> And I'd like to second that warm welcome. I'm Stacy Nigh director of infrastructure services for Choice Hotels International. Now you may think you know Choice, but we don't own hotels. We're a technology company. And Nutanix is helping us innovate the way we operate to support our franchisees. This is my first visit to New Orleans and my first .Next. >> Well Stacy, you're in for a treat. New Orleans is known for its fabulous food and its marvelous music, but most importantly the free spirit. >> Well I can't wait, and speaking of free, it's my pleasure to introduce the Nutanix Freedom video, enjoy. ♪ I lose everything, so I can sing ♪ ♪ Hallelujah I'm free ♪ ♪ Ah, ah, ♪ ♪ Ah, ah, ♪ ♪ I lose everything, so I can sing ♪ ♪ Hallelujah I'm free ♪ ♪ I lose everything, so I can sing ♪ ♪ Hallelujah I'm free ♪ ♪ I'm free, I'm free, I'm free, I'm free ♪ ♪ Gritting your teeth, you hold onto me ♪ ♪ It's never enough, I'm never complete ♪ ♪ Tell me to prove, expect me to lose ♪ ♪ I push it away, I'm trying to move ♪ ♪ I'm desperate to run, I'm desperate to leave ♪ ♪ If I lose it all, at least I'll be free ♪ ♪ Ah, ah ♪ ♪ Ah, ah ♪ ♪ Hallelujah, I'm free ♪ >> PA Announcer: Ladies and gentlemen, please welcome chief marketing officer Ben Gibson ♪ Ah, ah ♪ ♪ Ah, ah ♪ ♪ Hallelujah, I'm free ♪ >> Welcome, good morning. >> Audience: Good morning. >> And welcome to .Next 2018. There's no better way to open up a .Next conference than by hearing from two of our great customers. And Matthew, thank you for welcoming us to this beautiful, your beautiful state and city. And Stacy, this is your first .Next, and I know she's not alone because guess what It's my first .Next too. And I come properly attired. In the front row, you can see my Nutanix socks, and I think my Nutanix blue suit. And I know I'm not alone. I think over 5,000 people in attendance here today are also first timers at .Next. And if you are here for the first time, it's in the morning, let's get moving. I want you to stand up, so we can officially welcome you into the fold. Everyone stand up, first time. All right, welcome. (audience clapping) So you are all joining not just a conference here. This is truly a community. This is a community of the best and brightest in our industry I will humbly say that are coming together to share best ideas, to learn what's happening next, and in particular it's about forwarding not only your projects and your priorities but your careers. There's so much change happening in this industry. It's an opportunity to learn what's coming down the road and learn how you can best position yourself for this whole new world that's happening around cloud computing and modernizing data center environments. And this is not just a community, this is a movement. And it's a movement that started quite awhile ago, but the first .Next conference was in the quiet little town of Miami, and there was about 800 of you in attendance or so. So who in this hall here were at that first .Next conference in Miami? Let me hear from you. (audience members cheering) Yep, well to all of you grizzled veterans of the .Next experience, welcome back. You have started a movement that has grown and this year across many different .Next conferences all over the world, over 20,000 of your community members have come together. And we like to do it in distributed architecture fashion just like here in Nutanix. And so we've spread this movement all over the world with .Next conferences. And this is surging. We're also seeing just today the current count 61,000 certifications and climbing. Our Next community, close to 70,000 active members of our online community because .Next is about this big moment, and it's about every other day and every other week of the year, how we come together and explore. And my favorite stat of all. Here today in this hall amongst the record 5,500 registrations to .Next 2018 representing 71 countries in whole. So it's a global movement. Everyone, welcome. And you know when I got in Sunday night, I was looking at the tweets and the excitement was starting to build and started to see people like Adile coming from Casablanca. Adile wherever you are, welcome buddy. That's a long trip. Thank you so much for coming and being here with us today. I saw other folks coming from Geneva, from Denmark, from Japan, all over the world coming together for this moment. And we are accomplishing phenomenal things together. Because of your trust in us, and because of some early risk candidly that we have all taken together, we've created a movement in the market around modernizing data center environments, radically simplifying how we operate in the services we deliver to our businesses everyday. And this is a movement that we don't just know about this, but the industry is really taking notice. I love this chart. This is Gartner's inaugural hyperconvergence infrastructure magic quadrant chart. And I think if you see where Nutanix is positioned on there, I think you can agree that's a rout, that's a homerun, that's a mic drop so to speak. What do you guys think? (audience clapping) But here's the thing. It says Nutanix up there. We can honestly say this is a win for this hall here. Because, again, without your trust in us and what we've accomplished together and your partnership with us, we're not there. But we are there, and it is thanks to everyone in this hall. Together we have created, expanded, and truly made this market. Congratulations. And you know what, I think we're just getting started. The same innovation, the same catalyst that we drove into the market to converge storage network compute, the next horizon is around multi-cloud. The next horizon is around whether by accident or on purpose the strong move with different workloads moving into public cloud, some into private cloud moving back and forth, the promise of application mobility, the right workload on the right cloud platform with the right economics. Economics is key here. If any of you have a teenager out there, and they have a hold of your credit card, and they're doing something online or the like. You get some surprises at the end of the month. And that surprise comes in the form of spiraling public cloud costs. And this isn't to say we're not going to see a lot of workloads born and running in public cloud, but the opportunity is for us to take a path that regains control over infrastructure, regain control over workloads and where they're run. And the way I look at it for everyone in this hall, it's a journey we're on. It starts with modernizing those data center environments, continues with embracing the full cloud stack and the compelling opportunity to deliver that consumer experience to rapidly offer up enterprise compute services to your internal clients, lines of businesses and then out into the market. It's then about how you standardize across an enterprise cloud environment, that you're not just the infrastructure but the management, the automation, the control, and running any tier one application. I hear this everyday, and I've heard this a lot already this week about customers who are all in with this approach and running those tier one applications on Nutanix. And then it's the promise of not only hyperconverging infrastructure but hyperconverging multiple clouds. And if we do that, this journey the way we see it what we are doing is building your enterprise cloud. And your enterprise cloud is about the private cloud. It's about expanding and managing and taking back control of how you determine what workload to run where, and to make sure there's strong governance and control. And you're radically simplifying what could be an awfully complicated scenario if you don't reclaim and put your arms around that opportunity. Now how do we do this different than anyone else? And this is going to be a big theme that you're going to see from my good friend Sunil and his good friends on the product team. What are we doing together? We're taking all of that legacy complexity, that friction, that inability to be able to move fast because you're chained to old legacy environments. I'm talking to folks that have applications that are 40 years old, and they are concerned to touch them because they're not sure if they can react if their infrastructure can meet the demands of a new, modernized workload. We're making all that complexity invisible. And if all of that is invisible, it allows you to focus on what's next. And that indeed is the spirit of this conference. So if the what is enterprise cloud, and the how we do it different is by making infrastructure invisible, data centers, clouds, then why are we all here today? What is the binding principle that spiritually, that emotionally brings us all together? And we think it's a very simple, powerful word, and that word is freedom. And when we think about freedom, we think about as we work together the freedom to build the data center that you've always wanted to build. It's about freedom to run the applications where you choose based on the information and the context that wasn't available before. It's about the freedom of choice to choose the right cloud platform for the right application, and again to avoid a lot of these spiraling costs in unanticipated surprises whether it be around security, whether it be around economics or governance that come to the forefront. It's about the freedom to invent. It's why we got into this industry in the first place. We want to create. We want to build things not keep the lights on, not be chained to mundane tasks day by day. And it's about the freedom to play. And I hear this time and time again. My favorite tweet from a Nutanix customer to this day is just updated a lot of nodes at 38,000 feed on United Wifi, on my way to spend vacation with my family. Freedom to play. This to me is emotionally what brings us all together and what you saw with the Freedom video earlier, and what you see here is this new story because we want to go out and spread the word and not only talk about the enterprise cloud, not only talk about how we do it better, but talk about why it's so compelling to be a part of this hall here today. Now just one note of housekeeping for everyone out there in case I don't want anyone to take a wrong turn as they come to this beautiful convention center here today. A lot of freedom going on in this convention center. As luck may have it, there's another conference going on a little bit down that way based on another high growth, disruptive industry. Now MJBizCon Next, and by coincidence it's also called next. And I have to admire the creativity. I have to admire that we do share a, hey, high growth business model here. And in case you're not quite sure what this conference is about. I'm the head of marketing here. I have to show the tagline of this. And I read the tagline from license to launch and beyond, the future of the, now if I can replace that blank with our industry, I don't know, to me it sounds like a new, cool Sunil product launch. Maybe launching a new subscription service or the like. Stay tuned, you never know. I think they're going to have a good time over there. I know we're going to have a wonderful week here both to learn as well as have a lot of fun particularly in our customer appreciation event tonight. I want to spend a very few important moments on .Heart. .Heart is Nutanix's initiative to promote diversity in the technology arena. In particular, we have a focus on advancing the careers of women and young girls that we want to encourage to move into STEM and high tech careers. You have the opportunity to engage this week with this important initiative. Please role the video, and let's learn more about how you can do so. >> Video Plays (electronic music) >> So all of you have received these .Heart tokens. You have the freedom to go and choose which of the four deserving charities can receive donations to really advance our cause. So I thank you for your engagement there. And this community is behind .Heart. And it's a very important one. So thank you for that. .Next is not the community, the moment it is without our wonderful partners. These are our amazing sponsors. Yes, it's about sponsorship. It's also about how we integrate together, how we innovate together, and we're about an open community. And so I want to thank all of these names up here for your wonderful sponsorship of this event. I encourage everyone here in this room to spend time, get acquainted, get reacquainted, learn how we can make wonderful music happen together, wonderful music here in New Orleans happen together. .Next isn't .Next with a few cool surprises. Surprise number one, we have a contest. This is a still shot from the Freedom video you saw right before I came on. We have strategically placed a lucky seven Nutanix Easter eggs in this video. And if you go to Nutanix.com/freedom, watch the video. You may have to use the little scrubbing feature to slow down 'cause some of these happen quickly. You're going to find some fun, clever Easter eggs. List all seven, tweet that out, or as many as you can, tweet that out with hashtag nextconf, C, O, N, F, and we'll have a random drawing for an all expenses paid free trip to .Next 2019. And just to make sure everyone understands Easter egg concept. There's an eighth one here that's actually someone that's quite famous in our circles. If you see on this still shot, there's someone in the back there with a red jacket on. That's not just anyone. We're targeting in here. That is our very own Julie O'Brien, our senior vice president of corporate marketing. And you're going to hear from Julie later on here at .Next. But Julie and her team are the engine and the creativity behind not only our new Freedom campaign but more importantly everything that you experience here this week. Julie and her team are amazing, and we can't wait for you to experience what they've pulled together for you. Another surprise, if you go and visit our Freedom booths and share your stories. So they're like video booths, you share your success stories, your partnerships, your journey that I talked about, you will be entered to win a beautiful Nutanix brand compliant, look at those beautiful colors, bicycle. And it's not just any bicycle. It's a beautiful bicycle made by our beautiful customer Trek. I actually have a Trek bike. I love cycling. Unfortunately, I'm not eligible, but all of you are. So please share your stories in the Freedom Nutanix's booths and put yourself in the running, or in the cycling to get this prize. One more thing I wanted to share here. Yesterday we had a great time. We had our inaugural Nutanix hackathon. This hackathon brought together folks that were in devops practices, many of you that are in this room. We sold out. We thought maybe we'd get four or five teams. We had to shutdown at 14 teams that were paired together with a Nutanix mentor, and you coded. You used our REST APIs. You built new apps that integrated in with Prism and Clam. And it was wonderful to see this. Everyone I talked to had a great time on this. We had three winners. In third place, we had team Copper or team bronze, but team Copper. Silver, Not That Special, they're very humble kind of like one of our key mission statements. And the grand prize winner was We Did It All for the Cookies. And you saw them coming in on our Mardi Gras float here. We Did It All for Cookies, they did this very creative job. They leveraged an Apple Watch. They were lighting up VMs at a moments notice utilizing a lot of their coding skills. Congratulations to all three, first, second, and third all receive $2,500. And then each of them, then were able to choose a charity to deliver another $2,500 including Ronald McDonald House for the winner, we did it all for the McDonald Land cookies, I suppose, to move forward. So look for us to do more of these kinds of events because we want to bring together infrastructure and application development, and this is a great, I think, start for us in this community to be able to do so. With that, who's ready to hear form Dheeraj? You ready to hear from Dheeraj? (audience clapping) I'm ready to hear from Dheeraj, and not just 'cause I work for him. It is my distinct pleasure to welcome on the stage our CEO, cofounder and chairman Dheeraj Pandey. ("Free" by Broods) ♪ Hallelujah, I'm free ♪ >> Thank you Ben and good morning everyone. >> Audience: Good morning. >> Thank you so much for being here. It's just such an elation when I'm thinking about the Mardi Gras crowd that came here, the partners, the customers, the NTCs. I mean there's some great NTCs up there I could relate to because they're on Slack as well. How many of you are in Slack Nutanix internal Slack channel? Probably 5%, would love to actually see this community grow from here 'cause this is not the only even we would love to meet you. We would love to actually do this in a real time bite size communication on our own internal Slack channel itself. Now today, we're going to talk about a lot of things, but a lot of hard things, a lot of things that take time to build and have evolved as the industry itself has evolved. And one of the hard things that I want to talk about is multi-cloud. Multi-cloud is a really hard problem 'cause it's full of paradoxes. It's really about doing things that you believe are opposites of each other. It's about frictionless, but it's also about governance. It's about being simple, and it's also about being secure at the same time. It's about delight, it's about reducing waste, it's about owning, and renting, and finally it's also about core and edge. How do you really make this big at a core data center whether it's public or private? Or how do you really shrink it down to one or two nodes at the edge because that's where your machines are, that's where your people are? So this is a really hard problem. And as you hear from Sunil and the gang there, you'll realize how we've actually evolved our solutions to really cater to some of these. One of the approaches that we have used to really solve some of these hard problems is to have machines do more, and I said a lot of things in those four words, have machines do more. Because if you double-click on that sentence, it really means we're letting design be at the core of this. And how do you really design data centers, how do you really design products for the data center that hush all the escalations, the details, the complexities, use machine-learning and AI and you know figure our anomaly detection and correlations and patter matching? There's a ton of things that you need to do to really have machines do more. But along the way, the important lesson is to make machines invisible because when machines become invisible, it actually makes something else visible. It makes you visible. It makes governance visible. It makes applications visible, and it makes services visible. A lot of things, it makes teams visible, careers visible. So while we're really talking about invisibility of machines, we're talking about visibility of people. And that's how we really brought all of you together in this conference as well because it makes all of us shine including our products, and your careers, and your teams as well. And I try to define the word customer success. You know it's one of the favorite words that I'm actually using. We've just hired a great leader in customer success recently who's really going to focus on this relatively hard problem, yet another hard problem of customer success. We think that customer success, true customer success is possible when we have machines tend towards invisibility. But along the way when we do that, make humans tend towards freedom. So that's the real connection, the yin-yang of machines and humans that Nutanix is really all about. And that's why design is at the core of this company. And when I say design, I mean reducing friction. And it's really about reducing friction. And everything we do, the most mundane of things which could be about migrating applications, spinning up VMs, self-service portals, automatic upgrades, and automatic scale out, and all the things we do is about reducing friction which really makes machines become invisible and humans gain freedom. Now one of the other convictions we have is how all of us are really tied at the hip. You know our success is tied to your success. If we make you successful, and when I say you, I really mean Main Street. Main Street being customers, and partners, and employees. If we make all of you successful, then we automatically become successful. And very coincidentally, Main Street and Wall Street are also tied in that very same relation as well. If we do a great job at Main Street, I think the Wall Street customer, i.e. the investor, will take care of itself. You'll have you know taken care of their success if we took care of Main Street success itself. And that's the narrative that our CFO Dustin Williams actually went and painted to our Wall Street investors two months ago at our investor day conference. We talked about a $3 billion number. We said look as a company, as a software company, we can go and achieve $3 billion in billings three years from now. And it was a telling moment for the company. It was really about talking about where we could be three years from now. But it was not based on a hunch. It was based on what we thought was customer success. Now realize that $3 billion in pure software. There's only 10 to 15 companies in the world that actually have that kind of software billings number itself. But at the core of this confidence was customer success, was the fact that we were doing a really good job of not over promising and under delivering but under promising starting with small systems and growing the trust of the customers over time. And this is one of the statistics we actually talk about is repeat business. The first dollar that a Global 2000 customer spends in Nutanix, and if we go and increase their trust 15 times by year six, and we hope to actually get 17 1/2 and 19 times more trust in the years seven and eight. It's very similar numbers for non Global 2000 as well. Again, we go and really hustle for customer success, start small, have you not worry about paying millions of dollars upfront. You know start with systems that pay as they grow, you pay as they grow, and that's the way we gain trust. We have the same non Global 2000 pay $6 1/2 for the first dollar they've actually spent on us. And with this, I think the most telling moment was when Dustin concluded. And this is key to this audience here as well. Is how the current cohorts which is this audience here and many of them were not here will actually carry the weight of $3 billion, more than 50% of it if we did a great job of customer success. If we were humble and honest and we really figured out what it meant to take care of you, and if we really understood what starting small was and having to gain the trust with you over time, we think that more than 50% of that billings will actually come from this audience here without even looking at new logos outside. So that's the trust of customer success for us, and it takes care of pretty much every customer not just the Main Street customer. It takes care of Wall Street customer. It takes care of employees. It takes care of partners as well. Now before I talk about technology and products, I want to take a step back 'cause many of you are new in this audience. And I think that it behooves us to really talk about the history of this company. Like we've done a lot of things that started out as science projects. In fact, I see some tweets out there and people actually laugh at Nutanix cloud. And this is where we were in 2012. So if you take a step back and think about where the company was almost seven, eight years ago, we were up against giants. There was a $30 billion industry around network attached storage, and storage area networks and blade servers, and hypervisors, and systems management software and so on. So what did we start out with? Very simple premise that we will collapse the architecture of the data center because three tier is wasteful and three tier is not delightful. It was a very simple hunch, we said we'll take rack mount servers, we'll put a layer of software on top of it, and that layer of software back then only did storage. It didn't do networks and security, and it ran on top of a well known hypervisor from VMware. And we said there's one non negotiable thing. The fact that the design must change. The control plane for this data center cannot be the old control plane. It has to be rethought through, and that's why Prism came about. Now we went and hustled hard to add more things to it. We said we need to make this diverse because it can't just be for one application. We need to make it CPU heavy, and memory heavy, and storage heavy, and flash heavy and so on. And we built a highly configurable HCI. Now all of them are actually configurable as you know of today. And this was not just innovation in technologies, it was innovation in business and sizing, capacity planning, quote to cash business processes. A lot of stuff that we had to do to make this highly configurable, so you can really scale capacity and performance independent of each other. Then in 2014, we did something that was very counterintuitive, but we've done this on, and on, and on again. People said why are you disrupting yourself? You know you've been doing a good job of shipping appliances, but we also had the conviction that HCI was not about hardware. It was about a form factor, but it was really about an operating system. And we started to compete with ourselves when we said you know what we'll do arm's length distribution, we'll do arm's length delivery of products when we give our software to our Dell partner, to Dell as a partner, a loyal partner. But at the same time, it was actually seen with a lot of skepticism. You know these guys are wondering how to really make themselves vanish because they're competing with themselves. But we also knew that if we didn't compete with ourselves someone else will. Now one of the most controversial decisions was really going and doing yet another hypervisor. In the year 2015, it was really preposterous to build yet another hypervisor. It was a very mature market. This was coming probably 15 years too late to the market, or at least 10 years too late to market. And most people said it shouldn't be done because hypervisor is a commodity. And that's the word we latched on to. That this commodity should not have to be paid for. It shouldn't have a team of people managing it. It should actually be part of your overall stack, but it should be invisible. Just like storage needs to be invisible, virtualization needs to be invisible. But it was a bold step, and I think you know at least when we look at our current numbers, 1/3rd of our customers are actually using AHV. At least every quarter that we look at it, our new deployments, at least 35% of it is actually being used on AHV itself. And again, a very preposterous thing to have said five years ago, four years ago to where we've actually come. Thank you so much for all of you who've believed in the fact that virtualization software must be invisible and therefore we should actually try out something that is called AHV today. Now we went and added Lenovo to our OEM mix, started to become even more of a software company in the year 2016. Went and added HP and Cisco in some of very large deals that we talk about in earnings call, our HP deals and Cisco deals. And some very large customers who have procured ELAs from us, enterprise license agreements from us where they want to mix and match hardware. They want to mix Dell hardware with HP hardware but have common standard Nutanix entitlements. And finally, I think this was another one of those moments where we say why should HCI be only limited to X86. You know this operating systems deserves to run on a non X86 architecture as well. And that gave birth to this idea of HCI and Power Systems from IBM. And we've done a great job of really innovating with them in the last three, four quarters. Some amazing innovation that has come out where you can now run AIX 7.x on Nutanix. And for the first time in the history of data center, you can actually have a single software not just a data plane but a control plane where you can manage an IBM farm, an Power farm, and open Power farm and an X86 farm from the same control plane and have you know the IBM farm feed storage to an Intel compute farm and vice versa. So really good things that we've actually done. Now along the way, something else was going on while we were really busy building the private cloud, we knew there was a new consumption model on computing itself. People were renting computing using credit cards. This is the era of the millennials. They were like really want to bypass people because at the end of the day, you know why can't computing be consumed the way like eCommerce is? And that devops movement made us realize that we need to add to our stack. That stack will now have other computing clouds that is AWS and Azure and GCP now. So similar to the way we did Prism. You know Prism was really about going and making hypervisors invisible. You know we went ahead and said we'll add Calm to our portfolio because Calm is now going to be what Prism was to us back when we were really dealing with multi hypervisor world. Now it's going to be multi-cloud world. You know it's one of those things we had a gut around, and we really come to expect a lot of feedback and real innovation. I mean yesterday when we had the hackathon. The center, the epicenter of the discussion was Calm, was how do you automate on multiple clouds without having to write a single line of code? So we've come a long way since the acquisition of Calm two years ago. I think it's going to be a strong pillar in our overall product portfolio itself. Now the word multi-cloud is going to be used and over used. In fact, it's going to be blurring its lines with the idea of hyperconvergence of clouds, you know what does it mean. We just hope that hyperconvergence, the way it's called today will morph to become hyperconverged clouds not just hyperconverged boxes which is a software defined infrastructure definition itself. But let's focus on the why of multi-cloud. Why do we think it can't all go into a public cloud itself? The one big reason is just laws of the land. There's data sovereignty and computing sovereignty, regulations and compliance because of which you need to be in where the government with the regulations where the compliance rules want you to be. And by the way, that's just one reason why the cloud will have to disperse itself. It can't just be 10, 20 large data centers around the world itself because you have 200 plus countries and half of computing actually gets done outside the US itself. So it's a really important, very relevant point about the why of multi-cloud. The second one is just simple laws of physics. You know if there're machines at the edge, and they're producing so much data, you can't bring all the data to the compute. You have to take the compute which is stateless, it's an app. You take the app to where the data is because the network is the enemy. The network has always been the enemy. And when we thought we've made fatter networks, you've just produced more data as well. So this just goes without saying that you take something that's stateless that's without gravity, that's lightweight which is compute and the application and push it close to where the data itself is. And the third one which is related is just latency reasons you know? And it's not just about machine latency and electrons transferring over the speed light, and you can't defy the speed of light. It's also about human latency. It's also about multiple teams saying we need to federate and delegate, and we need to push things down to where the teams are as opposed to having to expect everybody to come to a very large computing power itself. So all the ways, the way they are, there will be at least three different ways of looking at multi-cloud itself. There's a centralized core cloud. We all go and relate to this because we've seen large data centers and so on. And that's the back office workhorse. It will crunch numbers. It will do processing. It will do a ton of things that will go and produce results for you know how we run our businesses, but there's also the dispersal of the cloud, so ROBO cloud. And this is the front office server that's really serving. It's a cloud that's going to serve people. It's going to be closer to people, and that's what a ROBO cloud is. We have a ton of customers out here who actually use Nutanix and the ROBO environments themselves as one node, two node, three node, five node servers, and it just collapses the entire server closet room in these ROBOs into something really, really small and minuscule. And finally, there's going to be another dispersed edge cloud because that's where the machines are, that's where the data is. And there's going to be an IOT machine fog because we need to miniaturize computing to something even smaller, maybe something that can really land in the palm in a mini server which is a PC like server, but you need to run everything that's enterprise grade. You should be able to go and upgrade them and monitor them and analyze them. You know do enough computing up there, maybe event-based processing that can actually happen. In fact, there's some great innovation that we've done at the edge with IOTs that I'd love for all of you to actually attend some sessions around as well. So with that being said, we have a hole in the stack. And that hole is probably one of the hardest problems that we've been trying to solve for the last two years. And Sunil will talk a lot about that. This idea of hybrid. The hybrid of multi-cloud is one of the hardest problems. Why? Because we're talking about really blurring the lines with owning and renting where you have a single-tenant environment which is your data center, and a multi-tenant environment which is the service providers data center, and the two must look like the same. And the two must look like the same is that hard a problem not just for burst out capacity, not just for security, not just for identity but also for networks. Like how do you blur the lines between networks? How do you blur the lines for storage? How do you really blur the lines for a single pane of glass where you can think of availability zones that look highly symmetric even though they're not because one of 'em is owned by you, and it's single-tenant. The other one is not owned by you, that's multi-tenant itself. So there's some really hard problems in hybrid that you'll hear Sunil talk about and the team. And some great strides that we've actually made in the last 12 months of really working on Xi itself. And that completes the picture now in terms of how we believe the state of computing will be going forward. So what are the must haves of a multi-cloud operating system? We talked about marketplace which is catalogs and automation. There's a ton of orchestration that needs to be done for multi-cloud to come together because now you have a self-service portal which is providing an eCommerce view. It's really about you know getting to do a lot of requests and workflows without having people come in the way, without even having tickets. There's no need for tickets if you can really start to think like a self-service portal as if you're just transacting eCommerce with machines and portals themselves. Obviously the next one is networking security. You need to blur the lines between on-prem and off-prem itself. These two play a huge role. And there's going to be a ton of details that you'll see Sunil talk about. But finally, what I want to focus on the rest of the talk itself here is what governance and compliance. This is a hard problem, and it's a hard problem because things have evolved. So I'm going to take a step back. Last 30 years of computing, how have consumption models changed? So think about it. 30 years ago, we were making decisions for 10 plus years, you know? Mainframe, at least 10 years, probably 20 plus years worth of decisions. These were decisions that were extremely waterfall-ish. Make 10s of millions of dollars worth of investment for a device that we'd buy for at least 10 to 20 years. Now as we moved to client-server, that thing actually shrunk. Now you're talking about five years worth of decisions, and these things were smaller. So there's a little bit more velocity in our decisions. We were not making as waterfall-ish decision as we used to with mainframes. But still five years, talk about virtualized, three tier, maybe three to five year decisions. You know they're still relatively big decisions that we were making with computer and storage and SAN fabrics and virtualization software and systems management software and so on. And here comes Nutanix, and we said no, no. We need to make it smaller. It has to become smaller because you know we need to make more agile decisions. We need to add machines every week, every month as opposed to adding you know machines every three to five years. And we need to be able to upgrade them, you know any point in time. You can do the upgrades every month if you had to, every week if you had to and so on. So really about more agility. And yet, we were not complete because there's another evolution going on, off-prem in the public cloud where people are going and doing reserved instances. But more than that, they were doing on demand stuff which no the decision was days to weeks. Some of these things that unitive compute was being rented for days to weeks, not years. And if you needed something more, you'd shift a little to the left and use reserved instances. And then spot pricing, you could do spot pricing for hours and finally lambda functions. Now you could to function as a service where things could actually be running only for minutes not even hours. So as you can see, there's a wide spectrum where when you move to the right, you get more elasticity, and when you move to the left, you're talking about predictable decision making. And in fact, it goes from minutes on one side to 10s of years on the other itself. And we hope to actually go and blur the lines between where NTNX is today where you see Nutanix right now to where we really want to be with reserved instances and on demand. And that's the real ask of Nutanix. How do you take care of this discontinuity? Because when you're owning things, you actually end up here, and when you're renting things, you end up here. What does it mean to really blur the lines between these two because people do want to make decisions that are better than reserved instance in the public cloud. We'll talk about why reserved instances which looks like a proxy for Nutanix it's still very, very wasteful even though you might think it's delightful, it's very, very wasteful. So what does it mean for on-prem and off-prem? You know you talk about cost governance, there's security compliance. These high velocity decisions we're actually making you know where sometimes you could be right with cost but wrong on security, but sometimes you could be right in security but wrong on cost. We need to really figure out how machines make some of these decisions for us, how software helps us decide do we have the right balance between cost, governance, and security compliance itself? And to get it right, we have introduced our first SAS service called Beam. And to talk more about Beam, I want to introduce Vijay Rayapati who's the general manager of Beam engineering to come up on stage and talk about Beam itself. Thank you Vijay. (rock music) So you've been here a couple of months now? >> Yes. >> At the same time, you spent the last seven, eight years really handling AWS. Tell us more about it. >> Yeah so we spent a lot of time trying to understand the last five years at Minjar you know how customers are really consuming in this new world for their workloads. So essentially what we tried to do is understand the consumption models, workload patterns, and also build algorithms and apply intelligence to say how can we lower this cost and you know improve compliance of their workloads.? And now with Nutanix what we're trying to do is how can we converge this consumption, right? Because what happens here is most customers start with on demand kind of consumption thinking it's really easy, but the total cost of ownership is so high as the workload elasticity increases, people go towards spot or a scaling, but then you need a lot more automation that something like Calm can help them. But predictability of the workload increases, then you need to move towards reserved instances, right to lower costs. >> And those are some of the things that you go and advise with some of the software that you folks have actually written. >> But there's a lot of waste even in the reserved instances because what happens it while customers make these commitments for a year or three years, what we see across, like we track a billion dollars in public cloud consumption you know as a Beam, and customers use 20%, 25% of utilization of their commitments, right? So how can you really apply, take the data of consumption you know apply intelligence to essentially reduce their you know overall cost of ownership. >> You said something that's very telling. You said reserved instances even though they're supposed to save are still only 20%, 25% utilized. >> Yes, because the workloads are very dynamic. And the next thing is you can't do hot add CPU or hot add memory because you're buying them for peak capacity. There is no convergence of scaling that apart from the scaling as another node. >> So you actually sized it for peak, but then using 20%, 30%, you're still paying for the peak. >> That's right. >> Dheeraj: That can actually add up. >> That's what we're trying to say. How can we deliver visibility across clouds? You know how can we deliver optimization across clouds and consumption models and bring the control while retaining that agility and demand elasticity? >> That's great. So you want to show us something? >> Yeah absolutely. So this is Beam as just Dheeraj outlined, our first SAS service. And this is my first .Next. And you know glad to be here. So what you see here is a global consumption you know for a business across different clouds. Whether that's in a public cloud like Amazon, or Azure, or Nutanix. We kind of bring the consumption together for the month, the recent month across your accounts and services and apply intelligence to say you know what is your spent efficiency across these clouds? Essentially there's a lot of intelligence that goes in to detect your workloads and consumption model to say if you're spending $100, how efficiently are you spending? How can you increase that? >> So you have a centralized view where you're looking at multiple clouds, and you know you talk about maybe you can take an example of an account and start looking at it? >> Yes, let's go into a cloud provider like you know for this business, let's go and take a loot at what's happening inside an Amazon cloud. Here we get into the deeper details of what's happening with the consumption of a specific services as well as the utilization of both on demand and RI. You know what can you do to lower your cost and detect your spend efficiency of a dollar to see you know are there resources that are provisioned by teams for applications that are not being used, or are there resources that we should go and rightsize because you know we have all this monitoring data, configuration data that we crunch through to basically detect this? >> You think there's billions of events that you look at everyday. You're already looking at a billon dollars worth of AWS spend. >> Right, right. >> So billions of events, billing, metering events every year to really figure out and optimize for them. >> So what we have here is a very popular international government organization. >> Dheeraj: Wow, so it looks like Russians are everywhere, the cloud is everywhere actually. >> Yes, it's quite popular. So when you bring your master account into Beam, we kind of detect all the linked accounts you know under that. Then you can go and take a look at not just at the organization level within it an account level. >> So these are child objects, you know. >> That's right. >> You can think of them as ephemeral accounts that you create because you don't want to be on the record when you're doing spams on Facebook for example. >> Right, let's go and take a look at what's happening inside a Facebook ad spend account. So we have you know consumption of the services. Let's go deeper into compute consumption, and you kind of see a trendline. You can do a lot of computing. As you see, looks like one campaign has ended. They started another campaign. >> Dheeraj: It looks like they're not stopping yet, man. There's a lot of money being made in Facebook right now. (Vijay laughing) >> So not only just get visibility at you know compute as a service inside a cloud provider, you can go deeper inside compute and say you know what is a service that I'm really consuming inside compute along with the CPUs n'stuff, right? What is my data transfer? You know what is my network? What is my load blancers? So essentially you get a very deeper visibility you know as a service right. Because we have three goals for Beam. How can we deliver visibility across clouds? How can we deliver visibility across services? And how can we deliver, then optimization? >> Well I think one thing that I just want to point out is how this SAS application was an extremely teachable moment for me to learn about the different resources that people could use about the public cloud. So all of you who actually have not gone deep enough into the idea of public cloud. This could be a great app for you to learn about things, the resources, you know things that you could do to save and security and things of that nature. >> Yeah. And we really believe in creating the single pane view you know to mange your optimization of a public cloud. You know as Ben spoke about as a business, you need to have freedom to use any cloud. And that's what Beam delivers. How can you make the right decision for the right workload to use any of the cloud of your choice? >> Dheeraj: How 'about databases? You talked about compute as well but are there other things we could look at? >> Vijay: Yes, let's go and take a look at database consumption. What you see here is they're using inside Facebook ad spending, they're using all databases except Oracle. >> Dheeraj: Wow, looks like Oracle sales folks have been active in Russia as well. (Vijay laughing) >> So what we're seeing here is a global view of you know what is your spend efficiency and which is kind of a scorecard for your business for the dollars that you're spending. And the great thing is Beam kind of brings together you know through its intelligence and algorithms to detect you know how can you rightsize resources and how can you eliminate things that you're not using? And we deliver and one click fix, right? Let's go and take a look at resources that are maybe provisioned for storage and not being used. We deliver the seamless one-click philosophy that Nutanix has to eliminate it. >> So one click, you can actually just pick some of these wasteful things that might be looking delightful because using public cloud, using credit cards, you can go in and just say click fix, and it takes care of things. >> Yeah, and not only remove the resources that are unused, but it can go and rightsize resources across your compute databases, load balancers, even past services, right? And this is where the power of it kind of comes for a business whether you're using on-prem and off-prem. You know how can you really converge that consumption across both? >> Dheeraj: So do you have something for Nutanix too? >> Vijay: Yes, so we have basically been working on Nutanix with something that we're going to deliver you know later this year. As you can see here, we're bringing together the consumption for the Nutanix, you know the services that you're using, the licensing and capacity that is available. And how can you also go and optimize within Nutanix environments >> That's great. >> for the next workload. Now let me quickly show you what we have on the compliance side. This is an extremely powerful thing that we've been working on for many years. What we deliver here just like in cost governance, a global view of your compliance across cloud providers. And the most powerful thing is you can go into a cloud provider, get the next level of visibility across cloud regimes for hundreds of policies. Not just policies but those policies across different regulatory compliances like HIPA, PCI, CAS. And that's very powerful because-- >> So you're saying a lot of what you folks have done is codified these compliance checks in software to make sure that people can sleep better at night knowing that it's PCI, and HIPA, and all that compliance actually comes together? >> And you can build this not just by cloud accounts, you can build them across cloud accounts which is what we call security centers. Essentially you can go and take a deeper look at you know the things. We do a whole full body scan for your cloud infrastructure whether it's AWS Amazon or Azure, and you can go and now, again, click to fix things. You know that had been probably provisioned that are violating the security compliance rules that should be there. Again, we have the same one-click philosophy to say how can you really remove things. >> So again, similar to save, you're saying you can go and fix some of these security issues by just doing one click. >> Absolutely. So the idea is how can we give our people the freedom to get visibility and use the right cloud and take the decisions instantly through one click. That's what Beam delivers you know today. And you know get really excited, and it's available at beam.nutanix.com. >> Our first SAS service, ladies and gentleman. Thank you so much for doing this, Vijay. It looks like there's going to be a talk here at 10:30. You'll talk more about the midterm elections there probably? >> Yes, so you can go and write your own security compliances as well. You know within Beam, and a lot of powerful things you can do. >> Awesome, thank you so much, Vijay. I really appreciate it. (audience clapping) So as you see, there's a lot of work that we're doing to really make multi-cloud which is a hard problem. You know think about working the whole body of it and what about cost governance? What about security compliance? Obviously what about hybrid networks, and security, and storage, you know compute, many of the things that you've actually heard from us, but we're taking it to a level where the business users can now understand the implications. A CFO's office can understand the implications of waste and delight. So what does customer success mean to us? You know again, my favorite word in a long, long time is really go and figure out how do you make you, the customer, become operationally efficient. You know there's a lot of stuff that we deliver through software that's completely uncovered. It's so latent, you don't even know you have it, but you've paid for it. So you've got to figure out what does it mean for you to really become operationally efficient, organizationally proficient. And it's really important for training, education, stuff that you know you're people might think it's so awkward to do in Nutanix, but it could've been way simpler if you just told you a place where you can go and read about it. Of course, I can just use one click here as opposed to doing things the old way. But most importantly to make it financially accountable. So the end in all this is, again, one of the things that I think about all the time in building this company because obviously there's a lot of stuff that we want to do to create orphans, you know things above the line and top line and everything else. There's also a bottom line. Delight and waste are two sides of the same coin. You know when we're talking about developers who seek delight with public cloud at the same time you're looking at IT folks who're trying to figure out governance. They're like look you know the CFOs office, the CIOs office, they're trying to figure out how to curb waste. These two things have to go hand in hand in this era of multi-cloud where we're talking about frictionless consumption but also governance that looks invisible. So I think, at the end of the day, this company will do a lot of stuff around one-click delight but also go and figure out how do you reduce waste because there's so much waste including folks there who actually own Nutanix. There's so much software entitlement. There's so much waste in the public cloud itself that if we don't go and put our arms around, it will not lead to customer success. So to talk more about this, the idea of delight and the idea of waste, I'd like to bring on board a person who I think you know many of you actually have talked about it have delightful hair but probably wasted jokes. But I think has wasted hair and delightful jokes. So ladies and gentlemen, you make the call. You're the jury. Sunil R.M.J. Potti. ("Free" by Broods) >> So that was the first time I came out from the bottom of a screen on a stage. I actually now know what it feels to be like a gopher. Who's that laughing loudly at the back? Okay, do we have the... Let's see. Okay, great. We're about 15 minutes late, so that means we're running right on time. That's normally how we roll at this conference. And we have about three customers and four demos. Like I think there's about three plus six, about nine folks coming onstage. So we'll have our own version of the parade as well on the main stage for the next 70 minutes. So let's just jump right into it. I think we've been pretty consistent in terms of our longterm plans since we started the company. And it's become a lot more clearer over the last few years about our plans to essentially make computing invisible as Dheeraj mentioned. We're doing this across multiple acts. We started with HCI. We call it making infrastructure invisible. We extended that to making data centers invisible. And then now we're in this mode of essentially extending it to converging clouds so that you can actually converge your consumption models. And so today's conference and essentially the theme that you're going to be seeing throughout the breakout sessions is about a journey towards invisible clouds, but make sure that you internalize the fact that we're investing heavily in each of the three phases. It's just not about the hybrid cloud with Nutanix, it's about actually finishing the job about making infrastructure invisible, expanding that to kind of go after the full data center, and then of course embark on some real meaningful things around invisible clouds, okay? And to start the session, I think you know the part that I wanted to make sure that we are all on the same page because most of us in the room are still probably in this phase of the journey which is about invisible infrastructure. And there the three key products and especially two of them that most of you guys know are Acropolis and Prism. And they're sort of like the bedrock of our company. You know especially Acropolis which is about the web scale architecture. Prism is about consumer grade design. And with Acropolis now being really mature. It's in the seventh year of innovation. We still have more than half of our company in terms of R and D spend still on Acropolis and Prism. So our core product is still sort of where we think we have a significant differentiation on. We're not going to let our foot off the peddle there. You know every time somebody comes to me and says look there's a new HCI render popping out or an existing HCI render out there, I ask a simple question to our customers saying show me 100 customers with 100 node deployments, and it will be very hard to find any other render out there that does the same thing. And that's the power of Acropolis the code platform. And then it's you know the fact that the velocity associated with Acropolis continues to be on a fast pace. We came out with various new capabilities in 5.5 and 5.6, and one of the most complicated things to get right was the fact to shrink our three node cluster to a one node, two node deployment. Most of you actually had requirements on remote office, branch office, or the edge that actually allowed us to kind of give us you know sort of like the impetus to kind of go design some new capabilities into our core OS to get this out. And associated with Acropolis and expanding into Prism, as you will see, the first couple of years of Prism was all about refactoring the user interface, doing a good job with automation. But more and more of the investments around Prism is going to be based on machine learning. And you've seen some variants of that over the last 12 months, and I can tell you that in the next 12 to 24 months, most of our investments around infrastructure operations are going to be driven by AI techniques starting with most of our R and D spend also going into machine-learning algorithms. So when you talk about all the enhancements that have come on with Prism whether it be formed by you know the management console changing to become much more automated, whether now we give you automatic rightsizing, anomaly detection, or a series of functionality that have gone into it, the real core sort of capabilities that we're putting into Prism and Acropolis are probably best served by looking at the quality of the product. You probably have seen this slide before. We started showing the number of nodes shipped by Nutanix two years ago at this conference. It was about 35,000 plus nodes at that time. And since then, obviously we've you know continued to grow. And we would draw this line which was about enterprise class quality. That for the number of bugs found as a percentage of nodes shipped, there's a certain line that's drawn. World class companies do about probably 2% to 3%, number of CFDs per node shipped. And we were just broken that number two years ago. And to give you guys an idea of how that curve has shown up, it's now currently at .95%. And so along with velocity, you know this focus on being true to our roots of reliability and stability continues to be, you know it's an internal challenge, but it's also some of the things that we keep a real focus on. And so between Acropolis and Prism, that's sort of like our core focus areas to sort of give us the confidence that look we have this really high bar that we're sort of keeping ourselves accountable to which is about being the most advanced enterprise cloud OS on the planet. And we will keep it this way for the next 10 years. And to complement that, over a period of time of course, we've added a series of services. So these are services not just for VMs but also for files, blocks, containers, but all being delivered in that single one-click operations fashion. And to really talk more about it, and actually probably to show you the real deal there it's my great pleasure to call our own version of Moses inside the company, most of you guys know him as Steve Poitras. Come on up, Steve. (audience clapping) (rock music) >> Thanks Sunil. >> You barely fit in that door, man. Okay, so what are we going to talk about today, Steve? >> Absolutely. So when we think about when Nutanix first got started, it was really focused around VDI deployments, smaller workloads. However over time as we've evolved the product, added additional capabilities and features, that's grown from VDI to business critical applications as well as cloud native apps. So let's go ahead and take a look. >> Sunil: And we'll start with like Oracle? >> Yeah, that's one of the key ones. So here we can see our Prism central user interface, and we can see our Thor cluster obviously speaking to the Avengers theme here. We can see this is doing right around 400,000 IOPs at around 360 microseconds latency. Now obviously Prism central allows you to mange all of your Nutanix deployments, but this is just running on one single Nutanix cluster. So if we hop over here to our explore tab, we can see we have a few categories. We have some Kubernetes, some AFS, some Xen desktop as well as Oracle RAC. Now if we hope over to Oracle RAC, we're running a SLOB workload here. So obviously with Oracle enterprise applications performance, consistency, and extremely low latency are very critical. So with this SLOB workload, we're running right around 300 microseconds of latency. >> Sunil: So this is what, how many node Oracle RAC cluster is this? >> Steve: This is a six node Oracle RAC deployment. >> Sunil: Got it. And so what has gone into the product in recent releases to kind of make this happen? >> Yeah so obviously on the hardware front, there's been a lot of evolutions in storage mediums. So with the introduction of NVME, persistent memory technologies like 3D XPoint, that's meant storage media has become a lot faster. Now to allow you to full take advantage of that, that's where we've had to do a lot of optimizations within the storage stack. So with AHV, we have what we call AHV turbo mode which allows you to full take advantage of those faster storage mediums at that much lower latency. And then obviously on the networking front, technologies such as RDMA can be leveraged to optimize that network stack. >> Got it. So that was Oracle RAC running on a you know Nutanix cluster. It used to be a big deal a couple of years ago. Now we've got many customers doing that. On the same environment though, we're going to show you is the advent of actually putting file services in the same scale out environment. And you know many of you in the audience probably know about AFS. We released it about 12 to 14 months ago. It's been one of our most popular new products of all time within Nutanix's history. And we had SMB support was for user file shares, VDI deployments, and it took awhile to bake, to get to scale and reliability. And then in the last release, in the recent release that we just shipped, we now added NFS for support so that we can no go after the full scale file server consolidation. So let's take a look at some of that stuff. >> Yep, let's do it. So hopping back over to Prism, we can see our four cluster here. Overall cluster-wide latency right around 360 microseconds. Now we'll hop down to our file server section. So here we can see we have our Next A File Server hosting right about 16.2 million files. Now if you look at our shares and exports, we can see we have a mix of different shares. So one of the shares that you see there is home directories. This is an SMB share which is actually mapped and being leveraged by our VDI desktops for home folders, user profiles, things of that nature. We can also see this Oracle backup share here which is exposed to our rack host via NFS. So RMAN is actually leveraging this to provide native database backups. >> Got it. So Oracle VMs, backup using files, or for any other file share requirements with AFS. Do we have the cluster also showing, I know, so I saw some Kubernetes as well on it. Let's talk about what we're thinking of doing there. >> Yep, let's do it. So if we think about cloud, cloud's obviously a big buzz word, so is containers in Kubernetes. So with ACS 1.0 what we did is we introduced native support for Docker integration. >> And pause there. And we screwed up. (laughing) So just like the market took a left turn on Kubernetes, obviously we realized that, and now we're working on ACS 2.0 which is what we're going to talk about, right? >> Exactly. So with ACS 2.0, we've introduced native Kubernetes support. Now when I think about Kubernetes, there's really two core areas that come to mind. The first one is around native integration. So with that, we have our Kubernetes volume integration, we're obviously doing a lot of work on the networking front, and we'll continue to push there from an integration point of view. Now the other piece is around the actual deployment of Kubernetes. When we think about a lot of Nutanix administrators or IT admins, they may have never deployed Kubernetes before, so this could be a very daunting task. And true to the Nutanix nature, we not only want to make our platform simple and intuitive, we also want to do this for any ecosystem products. So with ACS 2.0, we've simplified the full Kubernetes deployment and switching over to our ACS two interface, we can see this create cluster button. Now this actually pops up a full wizard. This wizard will actually walk you through the full deployment process, gather the necessary inputs for you, and in a matter of a few clicks and a few minutes, we have a full Kubernetes deployment fully provisioned, the masters, the workers, all the networking fully done for you, very simple and intuitive. Now if we hop back over to Prism, we can see we have this ACS2 Kubernetes category. Clicking on that, we can see we have eight instances of virtual machines. And here are Kubernetes virtual machines which have actually been deployed as part of this ACS2 installer. Now one of the nice things is it makes the IT administrator's job very simple and easy to do. The deployment straightforward monitoring and management very straightforward and simple. Now for the developer, the application architect, or engineers, they interface and interact with Kubernetes just like they would traditionally on any platform. >> Got it. So the goal of ACS is to ensure that the developer ecosystem still uses whatever tools that they are you know preferring while at that same time allowing this consolidation of containers along with VMs all on that same, single runtime, right? So that's ACS. And then if you think about where the OS is going, there's still some open space at the end. And open space has always been look if you just look at a public cloud, you look at blocks, files, containers, the most obvious sort of storage function that's left is objects. And that's the last horizon for us in completing the storage stack. And we're going to show you for the first time a preview of an upcoming product called the Acropolis Object Storage Services Stack. So let's talk a little bit about it and then maybe show the demo. >> Yeah, so just like we provided file services with AFS, block services with ABS, with OSS or Object Storage Services, we provide native object storage, compatibility and capability within the Nutanix platform. Now this provides a very simply common S3 API. So any integrations you've done with S3 especially Kubernetes, you can actually leverage that out of the box when you've deployed this. Now if we hop back over to Prism, I'll go here to my object stores menu. And here we can see we have two existing object storage instances which are running. So you can deploy however many of these as you wanted to. Now just like the Kubernetes deployment, deploying a new object instance is very simple and easy to do. So here I'll actually name this instance Thor's Hammer. >> You do know he loses it, right? He hasn't seen the movies yet. >> Yeah, I don't want any spoilers yet. So once we specified the name, we can choose our capacity. So here we'll just specify a large instance or type. Obviously this could be any amount or storage. So if you have a 200 node Nutanix cluster with petabytes worth of data, you could do that as well. Once we've selected that, we'll select our expected performance. And this is going to be the number of concurrent gets and puts. So essentially how many operations per second we want this instance to be able to facilitate. Once we've done that, the platform will actually automatically determine how many virtual machines it needs to deploy as well as the resources and specs for those. And once we've done that, we'll go ahead and click save. Now here we can see it's actually going through doing the deployment of the virtual machines, applying any necessary configuration, and in the matter of a few clicks and a few seconds, we actually have this Thor's Hammer object storage instance which is up and running. Now if we hop over to one of our existing object storage instances, we can see this has three buckets. So one for Kafka-queue, I'm actually using this for my Kafka cluster where I have right around 62 million objects all storing ProtoBus. The second one there is Spark. So I actually have a Spark cluster running on our Kubernetes deployed instance via ACS 2.0. Now this is doing analytics on top of this data using S3 as a storage backend. Now for these objects, we support native versioning, native object encryption as well as worm compliancy. So if you want to have expiry periods, retention intervals, that sort of thing, we can do all that. >> Got it. So essentially what we've just shown you is with upcoming objects as well that the same OS can now support VMs, files, objects, containers, all on the same one click operational fabric. And so that's in some way the real power of Nutanix is to still keep that consistency, scalability in place as we're covering each and every workload inside the enterprise. So before Steve gets off stage though, I wanted to talk to you guys a little bit about something that you know how many of you been to our Nutanix headquarters in San Jose, California? A few. I know there's like, I don't know, 4,000 or 5,000 people here. If you do come to the office, you know when you land in San Jose Airport on the way to longterm parking, you'll pass our office. It's that close. And if you come to the fourth floor, you know one of the cubes that's where I sit. In the cube beside me is Steve. Steve sits in the cube beside me. And when I first joined the company, three or four years ago, and Steve's if you go to his cube, it no longer looks like this, but it used to have a lot of this stuff. It was like big containers of this. I remember the first time. Since I started joking about it, he started reducing it. And then Steve eventually got married much to our surprise. (audience laughing) Much to his wife's surprise. And then he also had a baby as a bigger surprise. And if you come over to our office, and we welcome you, and you come to the fourth floor, find my cube or you'll find Steve's Cube, it now looks like this. Okay, so thanks a lot, my man. >> Cool, thank you. >> Thanks so much. (audience clapping) >> So single OS, any workload. And like Steve who's been with us for awhile, it's my great pleasure to invite one of our favorite customers, CSC Karen who's also been with us for three to four years. And I'll share some fond memories about how she's been with the company for awhile, how as partners we've really done a lot together. So without any further ado, let me bring up Karen. Come on up, Karen. (rock music) >> Thank you for having me. >> Yeah, thank you. So I remember, so how many of you guys were with Nutanix first .Next in Miami? I know there was a question like that asked last time. Not too many. You missed it. We wished we could go back to that. We wouldn't fit 3/4s of this crowd. But Karen was our first customer in the keynote in 2015. And we had just talked about that story at that time where you're just become a customer. Do you want to give us some recap of that? >> Sure. So when we made the decision to move to hyperconverged infrastructure and chose Nutanix as our partner, we rapidly started to deploy. And what I mean by that is Sunil and some of the Nutanix executives had come out to visit with us and talk about their product on a Tuesday. And on a Wednesday after making the decision, I picked up the phone and said you know what I've got to deploy for my VDI cluster. So four nodes showed up on Thursday. And from the time it was plugged in to moving over 300 VDIs and 50 terabytes of storage and turning it over for the business for use was less than three days. So it was really excellent testament to how simple it is to start, and deploy, and utilize the Nutanix infrastructure. Now part of that was the delight that we experienced from our customers after that deployment. So we got phone calls where people were saying this report it used to take so long that I'd got out and get a cup of coffee and come back, and read an article, and do some email, and then finally it would finish. Those reports are running in milliseconds now. It's one click. It's very, very simple, and we've delighted our customers. Now across that journey, we have gone from the simple workloads like VDIs to the much more complex workloads around Splunk and Hadoop. And what's really interesting about our Splunk deployment is we're handling over a billion events being logged everyday. And the deployment is smaller than what we had with a three tiered infrastructure. So when you hear people talk about waste and getting that out and getting to an invisible environment where you're just able to run it, that's what we were able to achieve both with everything that we're running from our public facing websites to the back office operations that we're using which include Splunk and even most recently our Cloudera and Hadoop infrastructure. What it does is it's got 30 crawlers that go out on the internet and start bringing data back. So it comes back with over two terabytes of data everyday. And then that environment, ingests that data, does work against it, and responds to the business. And that again is something that's smaller than what we had on traditional infrastructure, and it's faster and more stable. >> Got it. And it covers a lot of use cases as well. You want to speak a few words on that? >> So the use cases, we're 90%, 95% deployed on Nutanix, and we're covering all of our use cases. So whether that's a customer facing app or a back office application. And what are business is doing is it's handling large portfolios of data for fortune 500 companies and law firms. And these applications are all running with improved stability, reliability, and performance on the Nutanix infrastructure. >> And the plan going forward? >> So the plan going forward, you actually asked me that in Miami, and it's go global. So when we started in Miami and that first deployment, we had four nodes. We now have 283 nodes around the world, and we started with about 50 terabytes of data. We've now got 3.8 petabytes of data. And we're deployed across four data centers and six remote offices. And people ask me often what is the value that we achieved? So simplification. It's all just easier, and it's all less expensive. Being able to scale with the business. So our Cloudera environment ended up with one day where it spiked to 1,000 times more load, 1,000 times, and it just responded. We had rally cries around improved productivity by six times. So 600% improved productivity, and we were able to actually achieve that. The numbers you just saw on the slide that was very, very fast was we calculated a 40% reduction in total cost of ownership. We've exceeded that. And when we talk about waste, that other number on the board there is when I saved the company one hour of maintenance activity or unplanned downtime in a month which we're now able to do the majority of our maintenance activities without disrupting any of our business solutions, I'm saving $750,000 each time I save that one hour. >> Wow. All right, Karen from CSE. Thank you so much. That was great. Thank you. I mean you know some of these data points frankly as I started talking to Karen as well as some other customers are pretty amazing in terms of the genuine value beyond financial value. Kind of like the emotional sort of benefits that good products deliver to some of our customers. And I think that's one of the core things that we take back into engineering is to keep ourselves honest on either velocity or quality even hiring people and so forth. Is to actually the more we touch customers lives, the more we touch our partner's lives, the more it allows us to ensure that we can put ourselves in their shoes to kind of make sure that we're doing the right thing in terms of the product. So that was the first part, invisible infrastructure. And our goal, as we've always talked about, our true North is to make sure that this single OS can be an exact replica, a truly modern, thoughtful but original design that brings the power of public cloud this AWS or GCP like architectures into your mainstream enterprises. And so when we take that to the next level which is about expanding the scope to go beyond invisible infrastructure to invisible data centers, it starts with a few things. Obviously, it starts with virtualization and a level of intelligent management, extends to automation, and then as we'll talk about, we have to embark on encompassing the network. And that's what we'll talk about with Flow. But to start this, let me again go back to one of our core products which is the bedrock of our you know opinionated design inside this company which is Prism and Acropolis. And Prism provides, I mentioned, comes with a ton of machine-learning based intelligence built into the product in 5.6 we've done a ton of work. In fact, a lot of features are coming out now because now that PC, Prism Central that you know has been decoupled from our mainstream release strain and will continue to release on its own cadence. And the same thing when you actually flip it to AHV on its own train. Now AHV, two years ago it was all about can I use AHV for VDI? Can I use AHV for ROBO? Now I'm pretty clear about where you cannot use AHV. If you need memory overcome it, stay with VMware or something. If you need, you know Metro, stay with another technology, else it's game on, right? And if you really look at the adoption of AHV in the mainstream enterprise, the customers now speak for themselves. These are all examples of large global enterprises with multimillion dollar ELAs in play that have now been switched over. Like I'll give you a simple example here, and there's lots of these that I'm sure many of you who are in the audience that are in this camp, but when you look at the breakout sessions in the pods, you'll get a sense of this. But I'll give you one simple example. If you look at the online payment company. I'm pretty sure everybody's used this at one time or the other. They had the world's largest private cloud on open stack, 21,000 nodes. And they were actually public about it three or four years ago. And in the last year and a half, they put us through a rigorous VOC testing scale, hardening, and it's a full blown AHV only stack. And they've started cutting over. Obviously they're not there yet completely, but they're now literally in hundreds of nodes of deployment of Nutanix with AHV as their primary operating system. So it is primetime from a deployment perspective. And with that as the base, no cloud is complete without actually having self-service provisioning that truly drives one-click automation, and can you do that in this consumer grade design? And Calm was acquired, as you guys know, in 2016. We had a choice of taking Calm. It was reasonably feature complete. It supported multiple clouds. It supported ESX, it supported Brownfield, It supported AHV. I mean they'd already done the integration with Nutanix even before the acquisition. And we had a choice. The choice was go down the path of dynamic ops or some other products where you took it for revenue or for acceleration, you plopped it into the ecosystem and sold it at this power sucking alien on top of our stack, right? Or we took a step back, re-engineered the product, kept some of the core essence like the workflow engine which was good, the automation, the object model and all, but refactored it to make it look like a natural extension of our operating system. And that's what we did with Calm. And we just launched it in December, and it's been one of our most popular new products now that's flying off the shelves. If you saw the number of registrants, I got a notification of this for the breakout sessions, the number one session that has been preregistered with over 500 people, the first two sessions are around Calm. And justifiably so because it just as it lives up to its promise, and it'll take its time to kind of get to all the bells and whistles, all the capabilities that have come through with AHV or Acropolis in the past. But the feature functionality, the product market fit associated with Calm is dead on from what the feedback that we can receive. And so Calm itself is on its own rapid cadence. We had AWS and AHV in the first release. Three or four months later, we now added ESX support. We added GCP support and a whole bunch of other capabilities, and I think the essence of Calm is if you can combine Calm and along with private cloud automation but also extend it to multi-cloud automation, it really sets Nutanix on its first genuine path towards multi-cloud. But then, as I said, if you really fixate on a software defined data center message, we're not complete as a full blown AWS or GCP like IA stack until we do the last horizon of networking. And you probably heard me say this before. You heard Dheeraj and others talk about it before is our problem in networking isn't the same in storage. Because the data plane in networking works. Good L2 switches from Cisco, Arista, and so forth, but the real problem networking is in the control plane. When something goes wrong at a VM level in Nutanix, you're able to identify whether it's a storage problem or a compute problem, but we don't know whether it's a VLAN that's mis-configured, or there've been some packets dropped at the top of the rack. Well that all ends now with Flow. And with Flow, essentially what we've now done is take the work that we've been working on to create built-in visibility, put some network automation so that you can actually provision VLANs when you provision VMs. And then augment it with micro segmentation policies all built in this easy to use, consume fashion. But we didn't stop there because we've been talking about Flow, at least the capabilities, over the last year. We spent significant resources building it. But we realized that we needed an additional thing to augment its value because the world of applications especially discovering application topologies is a heady problem. And if we didn't address that, we wouldn't be fulfilling on this ambition of providing one-click network segmentation. And so that's where Netsil comes in. Netsil might seem on the surface yet another next generation application performance management tool. But the innovations that came from Netsil started off at the research project at the University of Pennsylvania. And in fact, most of the team right now that's at Nutanix is from the U Penn research group. And they took a really original, fresh look at how do you sit in a network in a scale out fashion but still reverse engineer the packets, the flow through you, and then recreate this application topology. And recreate this not just on Nutanix, but do it seamlessly across multiple clouds. And to talk about the power of Flow augmented with Netsil, let's bring Rajiv back on stage, Rajiv. >> How you doing? >> Okay so we're going to start with some Netsil stuff, right? >> Yeah, let's talk about Netsil and some of the amazing capabilities this acquisition's bringing to Nutanix. First of all as you mentioned, Netsil's completely non invasive. So it installs on the network, it does all its magic from there. There're no host agents, non of the complexity and compatibility issues that entails. It's also monitoring the network at layer seven. So it's actually doing a deep packet inspection on all your application data, and can give you insights into services and APIs which is very important for modern applications and the way they behave. To do all this of course performance is key. So Netsil's built around a completely distributed architecture scaled to really large workloads. Very exciting technology. We're going to use it in many different ways at Nutanix. And to give you a flavor of that, let me show you how we're thinking of integrating Flow and Nestil together, so micro segmentation and Netsil. So to do that, we install Netsil in one of our Google accounts. And that's what's up here now. It went out there. It discovered all the VMs we're running on that account. It created a map essentially of all their interactions, and you can see it's like a Google Maps view. I can zoom into it. I can look at various things running. I can see lots of HTTP servers over here, some databases. >> Sunil: And it also has stats, right? You can go, it actually-- >> It does. We can take a look at that for a second. There are some stats you can look at right away here. Things like transactions per second and latencies and so on. But if I wanted to micro segment this application, it's not really clear how to do so. There's no real pattern over here. Taking the Google Maps analogy a little further, this kind of looks like the backstreets of Cairo or something. So let's do this step by step. Let me first filter down to one application. Right now I'm looking at about three or four different applications. And Netsil integrates with the metadata. So this is that the clouds provide. So I can search all the tags that I have. So by doing that, I can zoom in on just the financial application. And when I do this, the view gets a little bit simpler, but there's still no real pattern. It's not clear how to micro segment this, right? And this is where the power of Netsil comes in. This is a fairly naive view. This is what tool operating at layer four just looking at ports and TCP traffic would give you. But by doing deep packet inspection, Netsil can get into the services layer. So instead of grouping these interactions by hostname, let's group them by service. So you go service tier. And now you can see this is a much simpler picture. Now I have some patterns. I have a couple of load balancers, an HA proxy and an Nginx. I have a web application front end. I have some application servers running authentication services, search services, et cetera, a database, and a database replica. I could go ahead and micro segment at this point. It's quite possible to do it at this point. But this is almost too granular a view. We actually don't usually want to micro segment at individual service level. You think more in terms of application tiers, the tiers that different services belong to. So let me go ahead and group this differently. Let me group this by app tier. And when I do that, a really simple picture emerges. I have a load balancing tier talking to a web application front end tier, an API tier, and a database tier. Four tiers in my application. And this is something I can work with. This is something that I can micro segment fairly easily. So let's switch over to-- >> Before we dot that though, do you guys see how he gave himself the pseudonym called Dom Toretto? >> Focus Sunil, focus. >> Yeah, for those guys, you know that's not the Avengers theme, man, that's the Fast and Furious theme. >> Rajiv: I think a year ahead. This is next years theme. >> Got it, okay. So before we cut over from Netsil to Flow, do we want to talk a few words about the power of Flow, and what's available in 5.6? >> Sure so Flow's been around since the 5.6 release. Actually some of the functionality came in before that. So it's got invisibility into the network. It helps you debug problems with WLANs and so on. We had a lot of orchestration with other third party vendors with load balancers, with switches to make publishing much simpler. And then of course with our most recent release, we GA'ed our micro segmentation capabilities. And that of course is the most important feature we have in Flow right now. And if you look at how Flow policy is set up, it looks very similar to what we just saw with Netsil. So we have load blancer talking to a web app, API, database. It's almost identical to what we saw just a moment ago. So while this policy was created manually, it is something that we can automate. And it is something that we will do in future releases. Right now, it's of course not been integrated at that level yet. So this was created manually. So one thing you'll notice over here is that the database tier doesn't get any direct traffic from the internet. All internet traffic goes to the load balancer, only specific services then talk to the database. So this policy right now is in monitoring mode. It's not actually being enforced. So let's see what happens if I try to attack the database, I start a hack against the database. And I have my trusty brute force password script over here. It's trying the most common passwords against the database. And if I happen to choose a dictionary word or left the default passwords on, eventually it will log into the database. And when I go back over here in Flow what happens is it actually detects there's now an ongoing a flow, a flow that's outside of policy that's shown up. And it shows this in yellow. So right alongside the policy, I can visualize all the noncompliant flows. This makes it really easy for me now to make decisions, does this flow should it be part of the policy, should it not? In this particular case, obviously it should not be part of the policy. So let me just switch from monitoring mode to enforcement mode. I'll apply the policy, give it a second to propagate. The flow goes away. And if I go back to my script, you can see now the socket's timing out. I can no longer connect to the database. >> Sunil: Got it. So that's like one click segmentation and play right now? >> Absolutely. It's really, really simple. You can compare it to other products in the space. You can't get simpler than this. >> Got it. Why don't we got back and talk a little bit more about, so that's Flow. It's shipping now in 5.6 obviously. It'll come integrated with Netsil functionality as well as a variety of other enhancements in that next few releases. But Netsil does more than just simple topology discovery, right? >> Absolutely. So Netsil's actually gathering a lot of metrics from your network, from your host, all this goes through a data pipeline. It gets processed over there and then gets captured in a time series database. And then we can slice and dice that in various different ways. It can be used for all kinds of insights. So let's see how our application's behaving. So let me say I want to go into the API layer over here. And I instantly get a variety of metrics on how the application's behaving. I get the most requested endpoints. I get the average latency. It looks reasonably good. I get the average latency of the slowest endpoints. If I was having a performance problem, I would know exactly where to go focus on. Right now, things look very good, so we won't focus on that. But scrolling back up, I notice that we have a fairly high error rate happening. We have like 11.35% of our HTTP requests are generating errors, and that deserves some attention. And if I scroll down again, and I see the top five status codes I'm getting, almost 10% of my requests are generating 500 errors, HTTP 500 errors which are internal server errors. So there's something going on that's wrong with this application. So let's dig a little bit deeper into that. Let me go into my analytics workbench over here. And what I've plotted over here is how my HTTP requests are behaving over time. Let me filter down to just the 500 ones. That will make it easier. And I want the 500s. And I'll also group this by the service tier so that I can see which services are causing the problem. And the better view for this would be a bar graph. Yes, so once I do this, you can see that all the errors, all the 500 errors that we're seeing have been caused by the authentication service. So something's obviously wrong with that part of my application. I can go look at whether Active Directory is misbehaving and so on. So very quickly from a broad problem that I was getting a high HTTP error rate. In fact, usually you will discover there's this customer complaining about a lot of errors happening in your application. You can quickly narrow down to exactly what the cause was. >> Got it. This is what we mean by hyperconvergence of the network which is if you can truly isolate network related problems and associate them with the rest of the hyperconvergence infrastructure, then we've essentially started making real progress towards the next level of hyperconvergence. Anyway, thanks a lot, man. Great job. >> Thanks, man. (audience clapping) >> So to talk about this evolution from invisible infrastructure to invisible data centers is another customer of ours that has embarked on this journey. And you know it's not just using Nutanix but a variety of other tools to actually fulfill sort of like the ambition of a full blown cloud stack within a financial organization. And to talk more about that, let me call Vijay onstage. Come on up, Vijay. (rock music) >> Hey. >> Thank you, sir. So Vijay looks way better in real life than in a picture by the way. >> Except a little bit of gray. >> Unlike me. So tell me a little bit about this cloud initiative. >> Yeah. So we've won the best cloud initiative twice now hosted by Incisive media a large magazine. It's basically they host a bunch of you know various buy side, sell side, and you can submit projects in various categories. So we've won the best cloud twice now, 2015 and 2017. The 2017 award is when you know as part of our private cloud journey we were laying the foundation for our private cloud which is 100% based on hyperconverged infrastructure. So that was that award. And then 2017, we've kind of built on that foundation and built more developer-centric next gen app services like PAS, CAS, SDN, SDS, CICD, et cetera. So we've built a lot of those services on, and the second award was really related to that. >> Got it. And a lot of this was obviously based on an infrastructure strategy with some guiding principles that you guys had about three or four years ago if I remember. >> Yeah, this is a great slide. I use it very often. At the core of our infrastructure strategy is how do we run IT as a business? I talk about this with my teams, they were very familiar with this. That's the mindset that I instill within the teams. The mission, the challenge is the same which is how do we scale infrastructure while reducing total cost of ownership, improving time to market, improving client experience and while we're doing that not lose sight of reliability, stability, and security? That's the mission. Those are some of our guiding principles. Whenever we take on some large technology investments, we take 'em through those lenses. Obviously Nutanix went through those lenses when we invested in you guys many, many years ago. And you guys checked all the boxes. And you know initiatives change year on year, the mission remains the same. And more recently, the last few years, we've been focused on converged platforms, converged teams. We've actually reorganized our teams and aligned them closer to the platforms moving closer to an SRE like concept. >> And then you've built out a full stack now across computer storage, networking, all the way with various use cases in play? >> Yeah, and we're aggressively moving towards PAS, CAS as our method of either developing brand new cloud native applications or even containerizing existing applications. So the stack you know obviously built on Nutanix, SDS for software fine storage, compute and networking we've got SDN turned on. We've got, again, PAS and CAS built on this platform. And then finally, we've hooked our CICD tooling onto this. And again, the big picture was always frictionless infrastructure which we're very close to now. You know 100% of our code deployments into this environment are automated. >> Got it. And so what's the net, net in terms of obviously the business takeaway here? >> Yeah so at Northern we don't do tech for tech. It has to be some business benefits, client benefits. There has to be some outcomes that we measure ourselves against, and these are some great metrics or great ways to look at if we're getting the outcomes from the investments we're making. So for example, infrastructure scale while reducing total cost of ownership. We're very focused on total cost of ownership. We, for example, there was a build team that was very focus on building servers, deploying applications. That team's gone down from I think 40, 45 people to about 15 people as one example, one metric. Another metric for reducing TCO is we've been able to absorb additional capacity without increasing operating expenses. So you're actually building capacity in scale within your operating model. So that's another example. Another example, right here you see on the screen. Faster time to market. We've got various types of applications at any given point that we're deploying. There's a next gen cloud native which go directly on PAS. But then a majority of the applications still need the traditional IS components. The time to market to deploy a complex multi environment, multi data center application, we've taken that down by 60%. So we can deliver server same day, but we can deliver entire environments, you know add it to backup, add it to DNS, and fully compliant within a couple of weeks which is you know something we measure very closely. >> Great job, man. I mean that's a compelling I think results. And in the journey obviously you got promoted a few times. >> Yep. >> All right, congratulations again. >> Thank you. >> Thanks Vijay. >> Hey Vijay, come back here. Actually we forgot our joke. So razzled by his data points there. So you're supposed to wear some shoes, right? >> I know my inner glitch. I was going to wear those sneakers, but I forgot them at the office maybe for the right reasons. But the story behind those florescent sneakers, I see they're focused on my shoes. But I picked those up two years ago at a Next event, and not my style. I took 'em to my office. They've been sitting in my office for the last couple years. >> Who's received shoes like these by the way? I'm sure you guys have received shoes like these. There's some real fans there. >> So again, I'm sure many of you liked them. I had 'em in my office. I've offered it to so many of my engineers. Are you size 11? Do you want these? And they're unclaimed? >> So that's the only feature of Nutanix that you-- >> That's the only thing that hasn't worked, other than that things are going extremely well. >> Good job, man. Thanks a lot. >> Thanks. >> Thanks Vijay. So as we get to the final phase which is obviously as we embark on this multi-cloud journey and the complexity that comes with it which Dheeraj hinted towards in his session. You know we have to take a cautious, thoughtful approach here because we don't want to over set expectations because this will take us five, 10 years to really do a good job like we've done in the first act. And the good news is that the market is also really, really early here. It's just a fact. And so we've taken a tiered approach to it as we'll start the discussion with multi-cloud operations, and we've talked about the stack in the prior session which is about look across new clouds. So it's no longer Nutanix, Dell, Lenova, HP, Cisco as the new quote, unquote platforms. It's Nutanix, Xi, GCP, AWS, Azure as the new platforms. That's how we're designing the fabric going forward. On top of that, you obviously have the hybrid OS both on the data plane side and control plane side. Then what you're seeing with the advent of Calm doing a marketplace and automation as well as Beam doing governance and compliance is the fact that you'll see more and more such capabilities of multi-cloud operations burnt into the platform. And example of that is Calm with the new 5.7 release that they had. Launch supports multiple clouds both inside and outside, but the fundamental premise of Calm in the multi-cloud use case is to enable you to choose the right cloud for the right workload. That's the automation part. On the governance part, and this we kind of went through in the last half an hour with Dheeraj and Vijay on stage is something that's even more, if I can call it, you know first order because you get the provisioning and operations second. The first order is to say look whatever my developers have consumed off public cloud, I just need to first get our arm around to make sure that you know what am I spending, am I secure, and then when I get comfortable, then I am able to actually expand on it. And that's the power of Beam. And both Beam and Calm will be the yin and yang for us in our multi-cloud portfolio. And we'll have new products to complement that down the road, right? But along the way, that's the whole private cloud, public cloud. They're the two ends of the barbell, and over time, and we've been working on Xi for awhile, is this conviction that we've built talking to many customers that there needs to be another type of cloud. And this type of a cloud has to feel like a public cloud. It has to be architected like a public cloud, be consumed like a public cloud, but it needs to be an extension of my data center. It should not require any changes to my tooling. It should not require and changes to my operational infrastructure, and it should not require lift and shift, and that's a super hard problem. And this problem is something that a chunk of our R and D team has been burning the midnight wick on for the last year and a half. Because look this is not about taking our current OS which does a good job of scaling and plopping it into a Equinix or a third party data center and calling it a hybrid cloud. This is about rebuilding things in the OS so that we can deliver a true hybrid cloud, but at the same time, give those functionality back on premises so that even if you don't have a hybrid cloud, if you just have your own data centers, you'll still need new services like DR. And if you think about it, what are we doing? We're building a full blown multi-tenant virtual network designed in a modern way. Think about this SDN 2.0 because we have 10 years worth of looking backwards on how GCP has done it, or how Amazon has done it, and now sort of embodying some of that so that we can actually give it as part of this cloud, but do it in a way that's a seamless extension of the data center, and then at the same time, provide new services that have never been delivered before. Everyone obviously does failover and failback in DR it just takes months to do it. Our goal is to do it in hours or minutes. But even things such as test. Imagine doing a DR test on demand for you business needs in the middle of the day. And that's the real bar that we've set for Xi that we are working towards in early access later this summer with GA later in the year. And to talk more about this, let me invite some of our core architects working on it, Melina and Rajiv. (rock music) Good to see you guys. >> You're messing up the names again. >> Oh Rajiv, Vinny, same thing, man. >> You need to back up your memory from Xi. >> Yeah, we should. Okay, so what are we going to talk about, Vinny? >> Yeah, exactly. So today we're going to talk about how Xi is pushing the envelope and beyond the state of the art as you were saying in the industry. As part of that, there's a whole bunch of things that we have done starting with taking a private cloud, seamlessly extending it to the public cloud, and then creating a hybrid cloud experience with one-click delight. We're going to show that. We've done a whole bunch of engineering work on making sure the operations and the tooling is identical on both sides. When you graduate from a private cloud to a hybrid cloud environment, you don't want the environments to be different. So we've copied the environment for you with zero manual intervention. And finally, building on top of that, we are delivering DR as a service with unprecedented simplicity with one-click failover, one-click failback. We're going to show you one click test today. So Melina, why don't we start with showing how you go from a private cloud, seamlessly extend it to consume Xi. >> Sounds good, thanks Vinny. Right now, you're looking at my Prism interface for my on premises cluster. In one-click, I'm going to be able to extend that to my Xi cloud services account. I'm doing this using my my Nutanix credential and a password manager. >> Vinny: So here as you notice all the Nutanix customers we have today, we have created an account for them in Xi by default. So you don't have to log in somewhere and create an account. It's there by default. >> Melina: And just like that we've gone ahead and extended my data center. But let's go take a look at the Xi side and log in again with my my Nutanix credentials. We'll see what we have over here. We're going to be able to see two availability zones, one for on premises and one for Xi right here. >> Vinny: Yeah as you see, using a log in account that you already knew mynutanix.com and 30 seconds in, you can see that you have a hybrid cloud view already. You have a private cloud availability zone that's your own Prism central data center view, and then a Xi availability zone. >> Sunil: Got it. >> Melina: Exactly. But of course we want to extend my network connection from on premises to my Xi networks as well. So let's take a look at our options there. We have two ways of doing this. Both are one-click experience. With direct connect, you can create a dedicated network connection between both environments, or VPN you can use a public internet and a VPN service. Let's go ahead and enable VPN in this environment. Here we have two options for how we want to enable our VPN. We can bring our own VPN and connect it, or we will deploy a VPN for you on premises. We'll do the option where we deploy the VPN in one-click. >> And this is another small sign or feature that we're building net new as part of Xi, but will be burned into our core Acropolis OS so that we can also be delivering this as a stand alone product for on premises deployment as well, right? So that's one of the other things to note as you guys look at the Xi functionality. The goal is to keep the OS capabilities the same on both sides. So even if I'm building a quote, unquote multi data center cloud, but it's just a private cloud, you'll still get all the benefits of Xi but in house. >> Exactly. And on this second step of the wizard, there's a few inputs around how you want the gateway configured, your VLAN information and routing and protocol configuration details. Let's go ahead and save it. >> Vinny: So right now, you know what's happening is we're taking the private network that our customers have on premises and extending it to a multi-tenant public cloud such that our customers can use their IP addresses, the subnets, and bring their own IP. And that is another step towards making sure the operation and tooling is kept consistent on both sides. >> Melina: Exactly. And just while you guys were talking, the VPN was successfully created on premises. And we can see the details right here. You can track details like the status of the connection, the gateway, as well as bandwidth information right in the same UI. >> Vinny: And networking is just tip of the iceberg of what we've had to work on to make sure that you get a consistent experience on both sides. So Melina, why don't we show some of the other things we've done? >> Melina: Sure, to talk about how we preserve entities from my on-premises to Xi, it's better to use my production environment. And first thing you might notice is the log in screen's a little bit different. But that's because I'm logging in using my ADFS credentials. The first thing we preserved was our users. In production, I'm running AD obviously on-prem. And now we can log in here with the same set of credentials. Let me just refresh this. >> And this is the Active Directory credential that our customers would have. They use it on-premises. And we allow the setting to be set on the Xi cloud services as well, so it's the same set of users that can access both sides. >> Got it. There's always going to be some networking problem onstage. It's meant to happen. >> There you go. >> Just launching it again here. I think it maybe timed out. This is a good sign that we're running on time with this presentation. >> Yeah, yeah, we're running ahead of time. >> Move the demos quicker, then we'll time out. So essentially when you log into Xi, you'll be able to see what are the environment capabilities that we have copied to the Xi environment. So for example, you just saw that the same user is being used to log in. But after the use logs in, you'll be able to see their images, for example, copied to the Xi side. You'll be able to see their policies and categories. You know when you define these policies on premises, you spend a lot of effort and create them. And now when you're extending to the public cloud, you don't want to do it again, right? So we've done a whole lot of syncing mechanisms making sure that the two sides are consistent. >> Got it. And on top of these policies, the next step is to also show capabilities to actually do failover and failback, but also do integrated testing as part of this compatibility. >> So one is you know just the basic job of making the environments consistent on two sides, but then it's also now talking about the data part, and that's what DR is about. So if you have a workload running on premises, we can take the data and replicate it using your policies that we've already synced. Once the data is available on the Xi side, at that point, you have to define a run book. And the run book essentially it's a recovery plan. And that says okay I already have the backups of my VMs in case of disaster. I can take my recovery plan and hit you know either failover or maybe a test. And then my application comes up. First of all, you'll talk about the boot order for your VMs to come up. You'll talk about networking mapping. Like when I'm running on-prem, you're using a particular subnet. You have an option of using the same subnet on the Xi side. >> Melina: There you go. >> What happened? >> Sunil: It's finally working.? >> Melina: Yeah. >> Vinny, you can stop talking. (audience clapping) By the way, this is logging into a live Xi data center. We have two regions West Coat, two data centers East Coast, two data centers. So everything that you're seeing is essentially coming off the mainstream Xi profile. >> Vinny: Melina, why don't we show the recovery plan. That's the most interesting piece here. >> Sure. The recovery plan is set up to help you specify how you want to recover your applications in the event of a failover or a test failover. And it specifies all sorts of details like the boot sequence for the VMs as well as network mappings. Some of the network mappings are things like the production network I have running on premises and how it maps to my production network on Xi or the test network to the test network. What's really cool here though is we're actually automatically creating your subnets on Xi from your on premises subnets. All that's part of the recovery plan. While we're on the screen, take a note of the .100 IP address. That's a floating IP address that I have set up to ensure that I'm going to be able to access my three tier web app that I have protected with this plan after a failover. So I'll be able to access it from the public internet really easily from my phone or check that it's all running. >> Right, so given how we make the environment consistent on both sides, now we're able to create a very simple DR experience including failover in one-click, failback. But we're going to show you test now. So Melina, let's talk about test because that's one of the most common operations you would do. Like some of our customers do it every month. But usually it's very hard. So let's see how the experience looks like in what we built. >> Sure. Test and failover are both one-click experiences as you know and come to expect from Nutanix. You can see it's failing over from my primary location to my recovery location. Now what we're doing right now is we're running a series of validation checks because we want to make sure that you have your network configured properly, and there's other configuration details in place for the test to be successful. Looks like the failover was initiated successfully. Now while that failover's happening though, let's make sure that I'm going to be able to access my three tier web app once it fails over. We'll do that by looking at my network policies that I've configured on my test network. Because I want to access the application from the public internet but only port 80. And if we look here under our policies, you can see I have port 80 open to permit. So that's good. And if I needed to create a new one, I could in one click. But it looks like we're good to go. Let's go back and check the status of my recovery plan. We click in, and what's really cool here is you can actually see the individual tasks as they're being completed from that initial validation test to individual VMs being powered on as part of the recovery plan. >> And to give you guys an idea behind the scenes, the entire recovery plan is actually a set of workflows that are built on Calm's automation engine. So this is an example of where we're taking some of power of workflow and automation that Clam has come to be really strong at and burning that into how we actually operationalize many of these workflows for Xi. >> And so great, while you were explaining that, my three tier web app has restarted here on Xi right in front of you. And you can see here there's a floating IP that I mentioned early that .100 IP address. But let's go ahead and launch the console and make sure the application started up correctly. >> Vinny: Yeah, so that .100 IP address is a floating IP that's a publicly visible IP. So it's listed here, 206.80.146.100. And that's essentially anybody in the audience here can go use your laptop or your cell phone and hit that and start to work. >> Yeah so by the way, just to give you guys an idea while you guys maybe use the IP to kind of hit it, is a real set of VMs that we've just failed over from Nutanix's corporate data center into our West region. >> And this is running live on the Xi cloud. >> Yeah, you guys should all go and vote. I'm a little biased towards Xi, so vote for Xi. But all of them are really good features. >> Scroll up a little bit. Let's see where Xi is. >> Oh Xi's here. I'll scroll down a little bit, but keep the... >> Vinny: Yes. >> Sunil: You guys written a block or something? >> Melina: Oh good, it looks like Xi's winning. >> Sunil: Okay, great job, Melina. Thank you so much. >> Thank you, Melina. >> Melina: Thanks. >> Thank you, great job. Cool and calm under pressure. That's good. So that was Xi. What's something that you know we've been doing around you know in addition to taking say our own extended enterprise public cloud with Xi. You know we do recognize that there are a ton of workloads that are going to be residing on AWS, GCP, Azure. And to sort of really assist in the try and call it transformation of enterprises to choose the right cloud for the right workload. If you guys remember, we actually invested in a tool over last year which became actually quite like one of those products that took off based on you know groundswell movement. Most of you guys started using it. It's essentially extract for VMs. And it was this product that's obviously free. It's a tool. But it enables customers to really save tons of time to actually migrate from legacy environments to Nutanix. So we took that same framework, obviously re-platformed it for the multi-cloud world to kind of solve the problem of migrating from AWS or GCP to Nutanix or vice versa. >> Right, so you know, Sunil as you said, moving from a private cloud to the public cloud is a lift and shift, and it's a hard you know operation. But moving back is not only expensive, it's a very hard problem. None of the cloud vendors provide change block tracking capability. And what that means is when you have to move back from the cloud, you have an extended period of downtime because there's now way of figuring out what's changing while you're moving. So you have to keep it down. So what we've done with our app mobility product is we have made sure that, one, it's extremely simple to move back. Two, that the downtime that you'll have is as small as possible. So let me show you what we've done. >> Got it. >> So here is our app mobility capability. As you can see, on the left hand side we have a source environment and target environment. So I'm calling my AWS environment Asgard. And I can add more environments. It's very simple. I can select AWS and then put in my credentials for AWS. It essentially goes and discovers all the VMs that are running and all the regions that they're running. Target environment, this is my Nutanix environment. I call it Earth. And I can add target environment similarly, IP address and credentials, and we do the rest. Right, okay. Now migration plans. I have Bifrost one as my migration plan, and this is how migration works. First you create a plan and then say start seeding. And what it does is takes a snapshot of what's running in the cloud and starts migrating it to on-prem. Once it is an on-prem and the difference between the two sides is minimal, it says I'm ready to cutover. At that time, you move it. But let me show you how you'd create a new migration plan. So let me name it, Bifrost 2. Okay so what I have to do is select a region, so US West 1, and target Earth as my cluster. This is my storage container there. And very quickly you can see these are the VMs that are running in US West 1 in AWS. I can select SQL server one and two, go to next. Right now it's looking at the target Nutanix environment and seeing it had enough space or not. Once that's good, it gives me an option. And this is the step where it enables the Nutanix service of change block tracking overlaid on top of the cloud. There are two options one is automatic where you'll give us the credentials for your VMs, and we'll inject our capability there. Or manually you could do. You could copy the command either in a windows VM or Linux VM and run it once on the VM. And change block tracking since then in enabled. Everything is seamless after that. Hit next. >> And while Vinny's setting it up, he said a few things there. I don't know if you guys caught it. One of the hardest problems in enabling seamless migration from public cloud to on-prem which makes it harder than the other way around is the fact that public cloud doesn't have things like change block tracking. You can't get delta copies. So one of the core innovations being built in this app mobility product is to provide that overlay capability across multiple clouds. >> Yeah, and the last step here was to select the target network where the VMs will come up on the Nutanix environment, and this is a summary of the migration plan. You can start it or just save it. I'm saving it because it takes time to do the seeding. I have the other plan which I'll actually show the cutover with. Okay so now this is Bifrost 1. It's ready to cutover. We started it four hours ago. And here you can see there's a SQL server 003. Okay, now I would like to show the AWS environment. As you can see, SQL server 003. This VM is actually running in AWS right now. And if you go to the Prism environment, and if my login works, right? So we can go into the virtual machine view, tables, and you see the VM is not there. Okay, so we go back to this, and we can hit cutover. So this is essentially telling our system, okay now it the time. Quiesce the VM running in AWS, take the last bit of changes that you have to the database, ship it to on-prem, and in on-prem now start you know configure the target VM and start bringing it up. So let's go and look at AWS and refresh that screen. And you should see, okay so the SQL server is now stopping. So that means it has quiesced and stopping the VM there. If you go back and look at the migration plan that we had, it says it's completed. So it has actually migrated all the data to the on-prem side. Go here on-prem, you see the production SQL server is running already. I can click launch console, and let's see. The Windows VM is already booting up. >> So essentially what Vinny just showed was a live cutover of an AWS VM to Nutanix on-premises. >> Yeah, and what we have done. (audience clapping) So essentially, this is about making two things possible, making it simple to migrate from cloud to on-prem, and making it painless so that the downtime you have is very minimal. >> Got it, great job, Vinny. I won't forget your name again. So last step. So to really talk about this, one of our favorite partners and customers has been in the cloud environment for a long time. And you know Jason who's the CTO of Cyxtera. And he'll introduce who Cyxtera is. Most of you guys are probably either using their assets or not without knowing their you know the new name. But is someone that was in the cloud before it was called cloud as one of the original founders and technologists behind Terremark, and then later as one of the chief architects of VMware's cloud. And then they started this new company about a year or so ago which I'll let Jason talk about. This journey that he's going to talk about is how a partner, slash customer is working with us to deliver net new transformations around the traditional industry of colo. Okay, to talk more about it, Jason, why don't you come up on stage, man? (rock music) Thank you, sir. All right so Cyxtera obviously a lot of people don't know the name. Maybe just give a 10 second summary of why you're so big already. >> Sure, so Cyxtera was formed, as you said, about a year ago through the acquisition of the CenturyLink data centers. >> Sunil: Which includes Savvis and a whole bunch of other assets. >> Yeah, there's a long history of those data centers, but we have all of them now as well as the software companies owned by Medina capital. So we're like the world's biggest startup now. So we have over 50 data centers around the world, about 3,500 customers, and a portfolio of security and analytics software. >> Sunil: Got it, and so you have this strategy of what we're calling revolutionizing colo deliver a cloud based-- >> Yeah so, colo hasn't really changed a lot in the last 20 years. And to be fair, a lot of what happens in data centers has to have a person physically go and do it. But there are some things that we can simplify and automate. So we want to make things more software driven, so that's what we're doing with the Cyxtera extensible data center or CXD. And to do that, we're deploying software defined networks in our facilities and developing automations so customers can go and provision data center services and the network connectivity through a portal or through REST APIs. >> Got it, and what's different now? I know there's a whole bunch of benefits with the integrated platform that one would not get in the traditional kind of on demand data center environment. >> Sure. So one of the first services we're launching on CXD is compute on demand, and it's powered by Nutanix. And we had to pick an HCI partner to launch with. And we looked at players in the space. And as you mentioned, there's actually a lot of them, more than I thought. And we had a lot of conversations, did a lot of testing in the lab, and Nutanix really stood out as the best choice. You know Nutanix has a lot of focus on things like ease of deployment. So it's very simple for us to automate deploying compute for customers. So we can use foundation APIs to go configure the servers, and then we turn those over to the customer which they can then manage through Prism. And something important to keep in mind here is that you know this isn't a manged service. This isn't infrastructure as a service. The customer has complete control over the Nutanix platform. So we're turning that over to them. It's connected to their network. They're using their IP addresses, you know their tools and processes to operate this. So it was really important for the platform we picked to have a really good self-service story for things like you know lifecycle management. So with one-click upgrade, customers have total control over patches and upgrades. They don't have to call us to do it. You know they can drive that themselves. >> Got it. Any other final words around like what do you see of the partnership going forward? >> Well you know I think this would be a great platform for Xi, so I think we should probably talk about that. >> Yeah, yeah, we should talk about that separately. Thanks a lot, Jason. >> Thanks. >> All right, man. (audience clapping) So as we look at the full journey now between obviously from invisible infrastructure to invisible clouds, you know there is one thing though to take away beyond many updates that we've had so far. And the fact is that everything that I've talked about so far is about completing a full blown true IA stack from all the way from compute to storage, to vitualization, containers to network services, and so forth. But every public cloud, a true cloud in that sense, has a full blown layer of services that's set on top either for traditional workloads or for new workloads, whether it be machine-learning, whether it be big data, you know name it, right? And in the enterprise, if you think about it, many of these services are being provisioned or provided through a bunch of our partners. Like we have partnerships with Cloudera for big data and so forth. But then based on some customer feedback and a lot of attention from what we've seen in the industry go out, just like AWS, and GCP, and Azure, it's time for Nutanix to have an opinionated view of the past stack. It's time for us to kind of move up the stack with our own offering that obviously adds value but provides some of our core competencies in data and takes it to the next level. And it's in that sense that we're actually launching Nutanix Era to simplify one of the hardest problems in enterprise IT and short of saving you from true Oracle licensing, it solves various other Oracle problems which is about truly simplifying databases much like what RDS did on AWS, imagine enterprise RDS on demand where you can provision, lifecycle manage your database with one-click. And to talk about this powerful new functionality, let me invite Bala and John on stage to give you one final demo. (rock music) Good to see you guys. >> Yep, thank you. >> All right, so we've got lots of folks here. They're all anxious to get to the next level. So this demo, really rock it. So what are we going to talk about? We're going to start with say maybe some database provisioning? Do you want to set it up? >> We have one dream, Sunil, one single dream to pass you off, that is what Nutanix is today for IT apps, we want to recreate that magic for devops and get back those weekends and freedom to DBAs. >> Got it. Let's start with, what, provisioning? >> Bala: Yep, John. >> Yeah, we're going to get in provisioning. So provisioning databases inside the enterprise is a significant undertaking that usually involves a myriad of resources and could take days. It doesn't get any easier after that for the longterm maintence with things like upgrades and environment refreshes and so on. Bala and team have been working on this challenge for quite awhile now. So we've architected Nutanix Era to cater to these enterprise use cases and make it one-click like you said. And Bala and I are so excited to finally show this to the world. We think it's actually Nutanix's best kept secrets. >> Got it, all right man, let's take a look at it. >> So we're going to be provisioning a sales database today. It's a four-step workflow. The first part is choosing our database engine. And since it's our sales database, we want it to be highly available. So we'll do a two node rack configuration. From there, it asks us where we want to land this service. We can either land it on an existing service that's already been provisioned, or if we're starting net new or for whatever reason, we can create a new service for it. The key thing here is we're not asking anybody how to do the work, we're asking what work you want done. And the other key thing here is we've architected this concept called profiles. So you tell us how much resources you need as well as what network type you want and what software revision you want. This is actually controlled by the DBAs. So DBAs, and compute administrators, and network administrators, so they can set their standards without having a DBA. >> Sunil: Got it, okay, let's take a look. >> John: So if we go to the next piece here, it's going to personalize their database. The key thing here, again, is that we're not asking you how many data files you want or anything in that regard. So we're going to be provisioning this to Nutanix's best practices. And the key thing there is just like these past services you don't have to read dozens of pages of best practice guides, it just does what's best for the platform. >> Sunil: Got it. And so these are a multitude of provisioning steps that normally one would take I guess hours if not days to provision and Oracle RAC data. >> John: Yeah, across multiple teams too. So if you think about the lifecycle especially if you have onshore and offshore resources, I mean this might even be longer than days. >> Sunil: Got it. And then there are a few steps here, and we'll lead into potentially the Time Machine construct too? >> John: Yeah, so since this is a critical database, we want data protection. So we're going to be delivering that through a feature called Time Machines. We'll leave this at the defaults for now, but the key thing to not here is we've got SLAs that deliver both continuous data protection as well as telescoping checkpoints for historical recovery. >> Sunil: Got it. So that's provisioning. We've kicked off Oracle, what, two node database and so forth? >> John: Yep, two node database. So we've got a handful of tasks that this is going to automate. We'll check back in in a few minutes. >> Got it. Why don't we talk about the other aspects then, Bala, maybe around, one of the things that, you know and I know many of you guys have seen this, is the fact that if you look at database especially Oracle but in general even SQL and so forth is the fact that look if you really simplified it to a developer, it should be as simple as I copy my production database, and I paste it to create my own dev instance. And whenever I need it, I need to obviously do it the opposite way, right? So that was the goal that we set ahead for us to actually deliver this new past service around Era for our customers. So you want to talk a little bit more about it? >> Sure Sunil. If you look at most of the data management functionality, they're pretty much like flavors of copy paste operations on database entities. But the trouble is the seemingly simple, innocuous operations of our daily lives becomes the most dreaded, complex, long running, error prone operations in data center. So we actually planned to tame this complexity and bring consumer grade simplicity to these operations, also make these clones extremely efficient without compromising the quality of service. And the best part is, the customers can enjoy these services not only for databases running on Nutanix, but also for databases running on third party systems. >> Got it. So let's take a look at this functionality of I guess snapshoting, clone and recovery that you've now built into the product. >> Right. So now if you see the core feature of this whole product is something we call Time Machine. Time Machine lets the database administrators actually capture the database tape to the granularity of seconds and also lets them create clones, refresh them to any point in time, and also recover the databases if the databases are running on the same Nutanix platform. Let's take a look at the demo with the Time Machine. So here is our customer relationship database management database which is about 2.3 terabytes. If you see, the Time Machine has been active about four months, and SLA has been set for continuously code revision of 30 days and then slowly tapers off 30 days of daily backup and weekly backups and so on, so forth. On the right hand side, you will see different colors. The green color is pretty much your continuously code revision, what we call them. That lets you to go back to any point in time to the granularity of seconds within those 30 days. And then the discreet code revision lets you go back to any snapshot of the backup that is maintained there kind of stuff. In a way, you see this Time Machine is pretty much like your modern day car with self driving ability. All you need to do is set the goals, and the Time Machine will do whatever is needed to reach up to the goal kind of stuff. >> Sunil: So why don't we quickly do a snapshot? >> Bala: Yeah, some of these times you need to create a snapshot for backup purposes, Time Machine has manual controls. All you need to do is give it a snapshot name. And then you have the ability to actually persist this snapshot data into a third party or object store so that your durability and that global data access requirements are met kind of stuff. So we kick off a snapshot operation. Let's look at what it is doing. If you see what is the snapshot operation that this is going through, there is a step called quiescing the databases. Basically, we're using application-centric APIs, and here it's actually RMAN of Oracle. We are using the RMan of Oracle to quiesce the database and performing application consistent storage snapshots with Nutanix technology. Basically we are fusing application-centric and then Nutanix platform and quiescing it. Just for a data point, if you have to use traditional technology and create a backup for this kind of size, it takes over four to six hours, whereas on Nutanix it's going to be a matter of seconds. So it almost looks like snapshot is done. This is full sensitive backup. You can pretty much use it for database restore kind of stuff. Maybe we'll do a clone demo and see how it goes. >> John: Yeah, let's go check it out. >> Bala: So for clone, again through the simplicity of command Z command, all you need to do is pick the time of your choice maybe around three o'clock in the morning today. >> John: Yeah, let's go with 3:02. >> Bala: 3:02, okay. >> John: Yeah, why not? >> Bala: You select the time, all you need to do is click on the clone. And most of the inputs that are needed for the clone process will be defaulted intelligently by us, right? And you have to make two choices that is where do you want this clone to be created with a brand new VM database server, or do you want to place that in your existing server? So we'll go with a brand new server, and then all you need to do is just give the password for you new clone database, and then clone it kind of stuff. >> Sunil: And this is an example of personalizing the database so a developer can do that. >> Bala: Right. So here is the clone kicking in. And what this is trying to do is actually it's creating a database VM and then registering the database, restoring the snapshot, and then recoding the logs up to three o'clock in the morning like what we just saw that, and then actually giving back the database to the requester kind of stuff. >> Maybe one finally thing, John. Do you want to show us the provision database that we kicked off? >> Yeah, it looks like it just finished a few seconds ago. So you can see all the tasks that we were talking about here before from creating the virtual infrastructure, and provisioning the database infrastructure, and configuring data protection. So I can go access this database now. >> Again, just to highlight this, guys. What we just showed you is an Oracle two node instance provisioned live in a few minutes on Nutanix. And this is something that even in a public cloud when you go to RDS on AWS or anything like that, you still can't provision Oracle RAC by the way, right? But that's what you've seen now, and that's what the power of Nutanix Era is. Okay, all right? >> Thank you. >> Thanks. (audience clapping) >> And one final thing around, obviously when we're building this, it's built as a past service. It's not meant just for operational benefits. And so one of the core design principles has been around being API first. You want to show that a little bit? >> Absolutely, Sunil, this whole product is built on API fist architecture. Pretty much what we have seen today and all the functionality that we've been able to show today, everything is built on Rest APIs, and you can pretty much integrate with service now architecture and give you your devops experience for your customers. We do have a plan for full fledged self-service portal eventually, and then make it as a proper service. >> Got it, great job, Bala. >> Thank you. >> Thanks, John. Good stuff, man. >> Thanks. >> All right. (audience clapping) So with Nutanix Era being this one-click provisioning, lifecycle management powered by APIs, I think what we're going to see is the fact that a lot of the products that we've talked about so far while you know I've talked about things like Calm, Flow, AHV functionality that have all been released in 5.5, 5.6, a bunch of the other stuff are also coming shortly. So I would strongly encourage you guys to kind of space 'em, you know most of these products that we've talked about, in fact, all of the products that we've talked about are going to be in the breakout sessions. We're going to go deep into them in the demos as well as in the pods. So spend some quality time not just on the stuff that's been shipping but also stuff that's coming out. And so one thing to keep in mind to sort of takeaway is that we're doing this all obviously with freedom as the goal. But from the products side, it has to be driven by choice whether the choice is based on platforms, it's based on hypervisors, whether it's based on consumption models and eventually even though we're starting with the management plane, eventually we'll go with the data plane of how do I actually provide a multi-cloud choice as well. And so when we wrap things up, and we look at the five freedoms that Ben talked about. Don't forget the sixth freedom especially after six to seven p.m. where the whole goal as a Nutanix family and extended family make sure we mix it up. Okay, thank you so much, and we'll see you around. (audience clapping) >> PA Announcer: Ladies and gentlemen, this concludes our morning keynote session. Breakouts will begin in 15 minutes. ♪ To do what I want ♪

Published Date : May 9 2018

SUMMARY :

PA Announcer: Off the plastic tab, would you please welcome state of Louisiana And it's my pleasure to welcome you all to And I'd like to second that warm welcome. the free spirit. the Nutanix Freedom video, enjoy. And I read the tagline from license to launch You have the freedom to go and choose and having to gain the trust with you over time, At the same time, you spent the last seven, eight years and apply intelligence to say how can we lower that you go and advise with some of the software to essentially reduce their you know they're supposed to save are still only 20%, 25% utilized. And the next thing is you can't do So you actually sized it for peak, and bring the control while retaining that agility So you want to show us something? And you know glad to be here. to see you know are there resources that you look at everyday. So billions of events, billing, metering events So what we have here is a very popular are everywhere, the cloud is everywhere actually. So when you bring your master account that you create because you don't want So we have you know consumption of the services. There's a lot of money being made So not only just get visibility at you know compute So all of you who actually have not gone the single pane view you know to mange What you see here is they're using have been active in Russia as well. to detect you know how can you rightsize So one click, you can actually just pick Yeah, and not only remove the resources the consumption for the Nutanix, you know the services And the most powerful thing is you can go to say how can you really remove things. So again, similar to save, you're saying So the idea is how can we give our people It looks like there's going to be a talk here at 10:30. Yes, so you can go and write your own security So the end in all this is, again, one of the things And to start the session, I think you know the part You barely fit in that door, man. that's grown from VDI to business critical So if we hop over here to our explore tab, in recent releases to kind of make this happen? Now to allow you to full take advantage of that, On the same environment though, we're going to show you So one of the shares that you see there is home directories. Do we have the cluster also showing, So if we think about cloud, cloud's obviously a big So just like the market took a left turn on Kubernetes, Now for the developer, the application architect, So the goal of ACS is to ensure So you can deploy however many of these He hasn't seen the movies yet. And this is going to be the number And if you come over to our office, and we welcome you, Thanks so much. And like Steve who's been with us for awhile, So I remember, so how many of you guys And the deployment is smaller than what we had And it covers a lot of use cases as well. So the use cases, we're 90%, 95% deployed on Nutanix, So the plan going forward, you actually asked And the same thing when you actually flip it to AHV And to give you a flavor of that, let me show you And now you can see this is a much simpler picture. Yeah, for those guys, you know that's not the Avengers This is next years theme. So before we cut over from Netsil to Flow, And that of course is the most important So that's like one click segmentation and play right now? You can compare it to other products in the space. in that next few releases. And if I scroll down again, and I see the top five of the network which is if you can truly isolate (audience clapping) And you know it's not just using Nutanix than in a picture by the way. So tell me a little bit about this cloud initiative. and the second award was really related to that. And a lot of this was obviously based on an infrastructure And you know initiatives change year on year, So the stack you know obviously built on Nutanix, of obviously the business takeaway here? There has to be some outcomes that we measure And in the journey obviously you got So you're supposed to wear some shoes, right? for the last couple years. I'm sure you guys have received shoes like these. So again, I'm sure many of you liked them. That's the only thing that hasn't worked, Thanks a lot. is to enable you to choose the right cloud Yeah, we should. of the art as you were saying in the industry. that to my Xi cloud services account. So you don't have to log in somewhere and create an account. But let's go take a look at the Xi side that you already knew mynutanix.com and 30 seconds in, or we will deploy a VPN for you on premises. So that's one of the other things to note the gateway configured, your VLAN information Vinny: So right now, you know what's happening is And just while you guys were talking, of the other things we've done? And first thing you might notice is And we allow the setting to be set on the Xi cloud services There's always going to be some networking problem onstage. This is a good sign that we're running So for example, you just saw that the same user is to also show capabilities to actually do failover And that says okay I already have the backups is essentially coming off the mainstream Xi profile. That's the most interesting piece here. or the test network to the test network. So let's see how the experience looks like details in place for the test to be successful. And to give you guys an idea behind the scenes, And so great, while you were explaining that, And that's essentially anybody in the audience here Yeah so by the way, just to give you guys Yeah, you guys should all go and vote. Let's see where Xi is. I'll scroll down a little bit, but keep the... Thank you so much. What's something that you know we've been doing And what that means is when you have And very quickly you can see these are the VMs So one of the core innovations being built So that means it has quiesced and stopping the VM there. So essentially what Vinny just showed and making it painless so that the downtime you have And you know Jason who's the CTO of Cyxtera. of the CenturyLink data centers. bunch of other assets. So we have over 50 data centers around the world, And to be fair, a lot of what happens in data centers in the traditional kind of on demand is that you know this isn't a manged service. of the partnership going forward? Well you know I think this would be Thanks a lot, Jason. And in the enterprise, if you think about it, We're going to start with say maybe some to pass you off, that is what Nutanix is Got it. And Bala and I are so excited to finally show this And the other key thing here is we've architected And the key thing there is just like these past services if not days to provision and Oracle RAC data. So if you think about the lifecycle And then there are a few steps here, but the key thing to not here is we've got So that's provisioning. that this is going to automate. is the fact that if you look at database And the best part is, the customers So let's take a look at this functionality On the right hand side, you will see different colors. And then you have the ability to actually persist of command Z command, all you need to do Bala: You select the time, all you need the database so a developer can do that. back the database to the requester kind of stuff. Do you want to show us the provision database So you can see all the tasks that we were talking about here What we just showed you is an Oracle two node instance (audience clapping) And so one of the core design principles and all the functionality that we've been able Good stuff, man. But from the products side, it has to be driven by choice PA Announcer: Ladies and gentlemen,

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
KarenPERSON

0.99+

JuliePERSON

0.99+

MelinaPERSON

0.99+

StevePERSON

0.99+

MatthewPERSON

0.99+

Julie O'BrienPERSON

0.99+

VinnyPERSON

0.99+

CiscoORGANIZATION

0.99+

DellORGANIZATION

0.99+

NutanixORGANIZATION

0.99+

DheerajPERSON

0.99+

RussiaLOCATION

0.99+

LenovoORGANIZATION

0.99+

MiamiLOCATION

0.99+

AmazonORGANIZATION

0.99+

HPORGANIZATION

0.99+

2012DATE

0.99+

AcropolisORGANIZATION

0.99+

Stacy NighPERSON

0.99+

Vijay RayapatiPERSON

0.99+

StacyPERSON

0.99+

PrismORGANIZATION

0.99+

IBMORGANIZATION

0.99+

RajivPERSON

0.99+

$3 billionQUANTITY

0.99+

2016DATE

0.99+

Matt VincePERSON

0.99+

GenevaLOCATION

0.99+

twoQUANTITY

0.99+

ThursdayDATE

0.99+

VijayPERSON

0.99+

one hourQUANTITY

0.99+

100%QUANTITY

0.99+

$100QUANTITY

0.99+

Steve PoitrasPERSON

0.99+

15 timesQUANTITY

0.99+

CasablancaLOCATION

0.99+

2014DATE

0.99+

Choice Hotels InternationalORGANIZATION

0.99+

Dheeraj PandeyPERSON

0.99+

DenmarkLOCATION

0.99+

4,000QUANTITY

0.99+

2015DATE

0.99+

DecemberDATE

0.99+

threeQUANTITY

0.99+

3.8 petabytesQUANTITY

0.99+

six timesQUANTITY

0.99+

40QUANTITY

0.99+

New OrleansLOCATION

0.99+

LenovaORGANIZATION

0.99+

NetsilORGANIZATION

0.99+

two sidesQUANTITY

0.99+

100 customersQUANTITY

0.99+

20%QUANTITY

0.99+

Misha Govshteyn, Alert Logic | RSA North America 2018


 

(upbeat music) >> Announcer: From downtown San Francisco, it's theCUBE covering RSA North America 2018. Hey welcome back everybody, Jeff Frick here with theCUBE. We're at RSA's North American Conference 2018 at downtown San Francisco. 40,000 plus people talking about security. Security continues to be an important topic, an increasingly important topic, and a lot more complex with the, having a public cloud, hybrid cloud, all these API's and connected data sources. So, it's really an interesting topic, it continues to get complex. There is no right answer, but there's a lot of little answers to help you get kind of closer to nirvana. And we're excited to have Misha Govshteyn. He's the co-founder and SVP of Alert Logic, CUBE alumni, it's been a couple years since we've seen you, Misha, great to see you again. >> That's right, I'm glad to be back, thank you. >> Yeah, so since we've seen you last, nothing has happened more than the dominance of public cloud and they continue to eat up-- >> I think I predicted it on my past visits. >> Did you predict it? Wow that's good. >> But I think it happened. >> But it's certainly happening, right. Amazon's AWS' run rate is 20 billion last reported. Google's making moves. >> Their conference is bigger than ours right now. >> Is it? >> That's 45,000 people. >> Yeah, it's 45,000, re:Invent, it's nuts, it's crazy. and then obviously Microsoft's making big moves, as is Google cloud. So, what do you see from the client's perspective as the dominance of public cloud continues to grow, yet they still have stuff they have to keep inside? We have our GDPR regs are going to hit in about a month. >> Well one thing's for sure is, it's not getting any easier, right? Because I think cloud is turning things upside down and it's making things disruptive, right, so there's a lot of people that are sitting there and looking at their security programs, and asking themselves, "Does this stuff still work? "When more and more of my workloads "are going to cloud environments? "Does security have to change?" And the answer is obviously, it does but it always has to change because the adversaries are getting better as well, right. >> Right. >> There's no shortage of things for people to worry about. You know when I talk to security practitioners, the big thing I always hear is, "I'm having a good year if I don't get fired." >> Well it almost feels like it's inevitable, right? It's almost like you're going to, it seems like you're going to get hit. At some way, shape, or form you're going to get hit. So it's almost, you know how fast can you catch it? How do you react? >> That's a huge change from five years ago, right? Five years ago we were still kind of living in denial thinking that we can stop this stuff. Now it's all about detection and response and how does your answer to the response process works? That's the reason why, you know last year, I think we saw a whole bunch of noise about, you know machine learning and anomaly detection, and AI everywhere and a whole lot of next-generation antivirus products. This year, it seems like a lot of it is, a lot of the conversation is, "What do I do with all this stuff? "How do I make use of it?" >> Well then how do you leverage the massive investment that the public cloud people are making? So, you know, love James Hamilton's Tuesday night show and he talks about just the massive investments Amazon is making in networking, in security, and you know, he's got so many resources that he can bring to bear, to the benefit of people on that cloud. So where does the line? How do I take advantage of that as a customer? And then where are the holes that I need to augment with other types of solutions? >> You know here's the way I think about it. We had to go through this process at Alert Logic internally as well. Because we obviously are a fairly large IT organization, so we have 20 petabytes of data that we manage. So at some point we had to sit down and say, "Are we're going to keep managing things the way we have been "or are we going to overhaul the whole thing?" So, I think what I would do is I would watch where my infrastructure goes, right. If my infrastructure is still on-prem, keep investing in what you've been doing before, get it better, right? But if you're seeing more and more of your infrastructure move to the cloud, I think it's a good time to think about blowing it up and starting over again, right? Because when you rebuild it, you can build it right, and you can build it using some of the native platform offerings that AWS and Azure and GCP offer. You can work with somebody like Alert Logic. There's others as well right, to harness those abilities. I'll go out on a limb and say I can build a more secure environment now in a cloud than I ever could on-prem, right. But that requires rethinking a bunch of stuff, right. >> And then the other really important thing is you said the top, the conversation has changed. It's not necessarily about being 100% you know locked down. It's really incident response, and really, it's a business risk trade-off decision. Ultimately it's an investment, and it's kind of like insurance. You can't invest infinite resources in security, and you don't want to just stay at home and not go outside. Now that's not going to get it done. So ultimately, it's trade-offs. It's making very significant trade-off decisions as to where's the investment? How much investment? When is the investment then hit a plateau where the ROI is not there anymore? So how do people think through that? Because, the end of the day there's one person saying, "God, we need more, more, more." You know, anything is bad. At the other hand, you just can't use every nickel you have on security. >> So I'll give you two ends of the spectrum right, and on one end are those companies that are moving a lot of their infrastructure to the cloud and they're rethinking how they're going to do security. For them, the real answer becomes it's not just the investment in technology, and investing into better getting information from my cloud providers, getting a better security layer in place. Some of it is architecture right, and some of the basics right, there's thousands of applications running in most enterprises. Each one of those applications on the cloud, could be in its own virtual private cloud, right. So if it gets broken into, only one domino falls down. You don't have this scenario where the entire network falls down, because you can easily move laterally. If you're doing things right in the cloud, you're solving that problem architecturally, right. Now, aside from the cloud, I think the biggest shift we're seeing now, is towards kind of focusing on outcomes, right. You have your technology stack, but really it's all about people, analytics, data. What do you, how do you make sense of all this stuff? And this is classic I think, with the Target breach and some of the classic breaches we've seen, all the technology in the world, right? They had all the tools they needed. The real thing that broke down is analytics and people. >> Right, and people. And we hear time and time again where people had, like you said, had the architecture in place, had the systems in the place, and somebody mis-configured a switch. Or I interviewed a gal who did a live social hack at Black Hat, just using some Instagram pictures and some information on your browser. No technology, just went in through the front door, said, you know, hey, "I'm trying to get the company picnic "site up, can you please test this URL?" She's got a 100% hit rate! But I think it's really important, because as you said, you guys offer not only software solutions, but also services to help people actually be successful in implementing security. >> And the big question is, if somebody does that to you, can you really block it? And the answer a lot of times is, you can't. So the next battlefront is all about can you identify that kind of breach happening, right? Can you identify abnormal activity that starts to happen? You know, going back to the Equifax breach, right, one of the abnormal things that happened that they should've seen and for some reason didn't, you know, 30 web shells were stood up. Which is the telltale sign of, maybe you don't know how you got broken into, but because there's a web shell in your environment you know somebody's controlling your servers remotely, that should be one of those indicators that, I don't know how it happened, I don't know maybe I missed it and I didn't see the initial attack, but there's definitely somebody on a network poking around. There's still time, right? There's, you know for most companies, it takes about a hundred days on average, to steal the data. I think the latest research is if you can find the breach in less than a day, you eliminate 96% of the impact. That's a pretty big number right? That means that if you, the faster you respond, the better off you are. And most people, I think when you ask 'em, and you ask 'em, "Honestly assess your ability to quickly detect, respond, eradicate the threat." A lot of them will say, "It depends" But really the answer is "Not really." >> Right, 'cause the other, the sad stat that's similar to that one, is usually it takes many, many days, months, weeks, to even know that you've been breached, to figure out the pattern, that you can even start, you know, the investigation and the fixing. >> Somewhat not surprising, right? I don't think there's that many Security Operation Centers out there, right? There's not, you know, not every company has a SOC right? Not every company can afford a SOC. I think the latest number is, for enterprises, right, this is Fortune 2000, right, 15% of them have a SOC. What are the other 85% doing? You know, are they buying a slice of a SOC somewhere else? That's the service that we offer, but I think, suffice to say, there's not enough security people watching all this data to make sense of it right. That's the biggest battle I think going forward. We can't make enough people doing that, that requires a lot of analytics, right. >> Which really then begs, for the standalone single enterprise, that they really need help, right? They're not going to be able to hire the best of the best for their individual company. They're not going to be able to leverage you know best-in-breed, Which I think is kind of an interesting part of the whole open-source ethos, knowing that the smartest brains aren't necessarily in your four walls. That you need to leverage people outside those four walls. So, as it continues to morph, what do you see changing now? What are you looking forward to here at RSA 2018? >> So I made some big predictions five years ago, so I'll say you know, five years from now, I think we're going to see a lot more companies outsource major parts of their security right, and that's just because you can't do it all in-house right. There's got to be a lot more specialization. There's still people today buying AI products right, and having machine learning models they invest in to, there's no company I'm aware of, unless they're, you know, maybe the top five financial firms out there, that should have a, you know, security focused data scientist on staff, right? And if you have somebody like that in your environment, you're probably not spending money the right way, right. So, I think security is going to get outsourced in a pretty big way. We're going to focus on outcomes more and more. I think the question is not going to be, "What algorithm are you using to identify this breach?" The question is going to be, "How good are your identifying breaches?" Period. And some of the companies that offer those outcomes are going to grow very rapidly. And some of the companies that offer just, you know, picks and shovels, are going to probably not do nearly as well. >> Right. >> So five years from now, I'll come back and we'll talk about it then. >> Well, the other big thing, that's going to be happening in a big way five years from now, is IoT and IIoT and 5G. So, the size of the attacked surface, the opportunities to breach-- >> The data volume. >> The data volume, and the impact. You know it's not necessarily stealing credit cards, it's taking control of somebody's vehicle, moving down the freeway. So, you know, the implications are only going to get higher. >> We collect a lot of logs from our customers. Usually, the log footprint, grows at three times the rate of our revenue and customers, right. So, you know, thank god-- >> The log, the log-- >> The log volume grows-- >> volume that you're tracking for a customer, grows at three times your revenue for that customer? >> That's right. I mean, they're not growing at three times that rate, annually right, but annually, you know, we've clocked anywhere between 200% to 300% growth in data that we collect from them, IoT makes that absolutely explode, right. You know, if every device out there, if you actually are watching it, and if you have any chance of stopping the breaches on IoT networks, you got to collect a lot of that data, that's the fuel for a lot of the machine learning models, because you can't put human eyes on small RTUs and you know, in factories. That means even more data. >> Right, well and you know the model that we've seen in financial services and ad-tech, in terms of, you know, an increasing amount of the transactions are going to happen automatically, with no human intervention, right, it's hardwired stuff. >> So I think it's that balance between data size and data volume, analytics, but most important, what do you feed the humans that are sitting on top of it? Can you feed them just the right signal to know what's a breach and what's just noise? That's the hardest part. >> Right, and can you get enough good ones? >> That's right. >> Underneath your own, underneath your own shell, which is probably, "No", well, hopefully. >> I think building this from scratch for every company is madness, right. There's a handful of companies out there that can pull it off, but I think ultimately everybody will realize, you know, I'm a big audio nerd so I Looked it up, right, you used to build all of your own speakers, right. You'd buy a cabinet and you'd buy some tools, and you would build all the stuff. Now you go to the store and you buy an audio system, right? >> Right, yeah, well at least audio, you had, speakers are interesting 'cause there's a lot of mechanical interpretations about how to take that signal and to make sound, but if you're making CDs you know you got to go, with the standard right? You buy Sonos now, and Sonos is a fully integrated system. What is Sonos for security, right? It doesn't exist yet. And that's, I think that's where Security as a Service is going. Security as a Service should be something you subscribe to that gives you a set of outcomes for your business, and I think that's the only way to consume this stuff. It's too complex for somebody to integrate from best-of-breed products and assemble it just the right way. I think the parallels are going to be exactly the same. I'm not building my car either, right? I'm going to buy one. Alright Misha, well, thanks for the update, and hopefully we'll see you before five years, maybe in a couple and get an update. >> We'll do some checkpoints along the way. >> Alright. Alright, he's Misha, I'm Jeff. You're watching theCUBE from RSA North America 2018 in downtown, San Francisco. Thanks for watching. (techno music)

Published Date : Apr 18 2018

SUMMARY :

of little answers to help you get kind of closer to nirvana. Did you predict it? But it's certainly happening, right. as the dominance of public cloud continues to grow, And the answer is obviously, it does There's no shortage of things for people to worry about. So it's almost, you know how fast can you catch it? That's the reason why, you know last year, and you know, he's got so many resources and you can build it using some of At the other hand, you just can't use and some of the classic breaches we've seen, But I think it's really important, because as you said, And the answer a lot of times is, you can't. to figure out the pattern, that you can even start, There's not, you know, not every company has a SOC right? So, as it continues to morph, what do you see changing now? And some of the companies that offer just, you know, So five years from now, the opportunities to breach-- So, you know, the implications are only going to get higher. So, you know, thank god-- and you know, in factories. Right, well and you know the model what do you feed the humans that are sitting on top of it? Underneath your own, underneath your own shell, and you would build all the stuff. I think the parallels are going to be exactly the same. RSA North America 2018 in downtown, San Francisco.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
MishaPERSON

0.99+

AmazonORGANIZATION

0.99+

Jeff FrickPERSON

0.99+

JeffPERSON

0.99+

Misha GovshteynPERSON

0.99+

100%QUANTITY

0.99+

96%QUANTITY

0.99+

last yearDATE

0.99+

James HamiltonPERSON

0.99+

30 web shellsQUANTITY

0.99+

20 billionQUANTITY

0.99+

20 petabytesQUANTITY

0.99+

SonosORGANIZATION

0.99+

15%QUANTITY

0.99+

MicrosoftORGANIZATION

0.99+

Alert LogicORGANIZATION

0.99+

85%QUANTITY

0.99+

less than a dayQUANTITY

0.99+

GoogleORGANIZATION

0.99+

45,000 peopleQUANTITY

0.99+

45,000QUANTITY

0.99+

five years agoDATE

0.99+

This yearDATE

0.99+

Five years agoDATE

0.99+

AWS'ORGANIZATION

0.99+

two endsQUANTITY

0.99+

one endQUANTITY

0.99+

thousandsQUANTITY

0.99+

200%QUANTITY

0.99+

AWSORGANIZATION

0.99+

CUBEORGANIZATION

0.98+

oneQUANTITY

0.98+

GDPRTITLE

0.98+

one personQUANTITY

0.98+

Tuesday nightDATE

0.97+

300%QUANTITY

0.97+

singleQUANTITY

0.97+

three timesQUANTITY

0.97+

EquifaxORGANIZATION

0.96+

theCUBEORGANIZATION

0.95+

Black HatORGANIZATION

0.94+

five financial firmsQUANTITY

0.94+

one thingQUANTITY

0.93+

RSA 2018EVENT

0.93+

one dominoQUANTITY

0.93+

about a hundred daysQUANTITY

0.93+

40,000 plus peopleQUANTITY

0.92+

Each oneQUANTITY

0.89+

North American Conference 2018EVENT

0.86+

todayDATE

0.85+

downtown San FranciscoLOCATION

0.83+

InstagramORGANIZATION

0.82+

Fortune 2000ORGANIZATION

0.8+

applicationsQUANTITY

0.79+

about a monthQUANTITY

0.79+

San FranciscoLOCATION

0.77+

GodPERSON

0.7+

five yearsQUANTITY

0.7+

five yearsDATE

0.69+

2018DATE

0.68+

North America 2018EVENT

0.65+

RSA North AmericaTITLE

0.63+

coupleQUANTITY

0.62+

RSAORGANIZATION

0.6+

GCPTITLE

0.6+

SecurityTITLE

0.58+

RSAEVENT

0.51+

annuallyQUANTITY

0.51+

AzureORGANIZATION

0.5+

nickelQUANTITY

0.48+

TargetORGANIZATION

0.45+

RSA North America 2018EVENT

0.43+

Peter Burris Big Data Research Presentation


 

(upbeat music) >> Announcer: Live from San Jose, it's theCUBE presenting Big Data Silicon Valley brought to you by SiliconANGLE Media and its ecosystem partner. >> What am I going to spend time, next 15, 20 minutes or so, talking about. I'm going to answer three things. Our research has gone deep into where are we now in the big data community. I'm sorry, where is the big data community going, number one. Number two is how are we going to get there and number three, what do the numbers say about where we are? So those are the three things. Now, since when we want to get out of here, I'm going to fly through some of these slides but again there's a lot of opportunity for additional conversation because we're all about having conversations with the community. So let's start here. The first thing to know, when we think about where this is all going is it has to be bound. It's inextricably bound up with digital transformation. Well, what is digital transformation? We've done a lot of research on this. This is Peter Drucker who famously said many years ago, that the purpose of a business is to create and keep a customer. That's what a business is. Now what's the difference between a business and a digital business? What's the business between Sears Roebuck, or what's the difference between Sears Roebuck and Amazon? It's data. A digital business uses data as an asset to create and keep customers. It infuses data and operations differently to create more automation. It infuses data and engagement differently to catalyze superior customer experiences. It reformats and restructures its concept of value proposition and product to move from a product to a services orientation. The role of data is the centerpiece of digital business transformation and in many respects that is where we're going, is an understanding and appreciation of that. Now, we think there's going to be a number of strategic capabilities that will have to be built out to make that possible. First off, we have to start thinking about what it means to put data to work. The whole notion of an asset is an asset is something that can be applied to a productive activity. Data can be applied to a productive activity. Now, there's a lot of very interesting implications that we won't get into now, but essentially if we're going to treat data as an asset and think about how we could put more data to work, we're going to focus on three core strategic capabilities about how to make that possible. One, we need to build a capability for collecting and capturing data. That's a lot of what IoT is about. It's a lot of what mobile computing is about. There's going to be a lot of implications around how to ethically and properly do some of those things but a lot of that investment is about finding better and superior ways to capture data. Two, once we are able to capture that data, we have to turn it into value. That in many respects is the essence of big data. How we turn data into data assets, in the form of models, in the form of insights, in the form of any number of other approaches to thinking about how we're going to appropriate value out of data. But it's not just enough to create value out of it and have it sit there as potential value. We have to turn it into kinetic value, to actually do the work with it and that is the last piece. We have to build new capabilities for how we're going to apply data to perform work better, to enact based on data. Now, we've got a concept we're researching now that we call systems of agency, which is the idea that there's going to be a lot of new approaches, new systems with a lot of intelligence and a lot of data that act on behalf of the brand. I'm not going to spend a lot of time going into this but remember that word because I will come back to it. Systems of agency is about how you're going to apply data to perform work with automation, augmentation, and actuation on behalf of your brand. Now, all this is going to happen against the backdrop of cloud optimization. I'll explain what we mean by that right now. Very importantly, increasingly how you create value out of data, how you create future options on the value of your data is going to drive your technology choices. For the first 10 years of the cloud, the presumption is all data was going to go to the cloud. We think that a better way of thinking about it is how is the cloud experience going to come to the data. We've done a lot of research on the cost of data movement and both in terms of the actual out-of-pocket costs but also the potential uncertainty, the transaction costs, etc, associated with data movement. And that's going to be one of the fundamental pieces or elements of how we think about the future of big data and how digital business works, is what we think about data movement. I'll come to that in a bit. But our proposition is increasingly, we're going to see architectural approaches that focus on how we're going to move the cloud experience to the data. We've got this notion of true private cloud which is effectively the idea of the cloud experience on or near premise. That doesn't diminish the role that the cloud's going to play on industry or doesn't say that Amazon and AWS and Microsoft Azure and all the other options are not important. They're crucially important but it means we have to start thinking architecturally about how we're going to create value of data out of data and recognize that means that it, we have to start envisioning how our organization and infrastructure is going to be set up so that we can use data where it needs to be or where it's most valuable and often that's close to the action. So if we think then about that very quickly because it's a backdrop for everything, increasingly we're going to start talking about the idea of where's the workload going to go? Where's workload the dog going to be against this kind of backdrop of the divorce of infrastructure? We believe that and our research pretty strongly shows that a lot of workloads are going to go to true private cloud but a lot of big data is moving into the cloud. This is a prediction we made a few years ago and it's clearly happening and it's underway and we'll get into what some of the implications are. So again, when we say that a lot of the big data elements, a lot of the process of creating value out of data is going to move into the cloud. That doesn't mean that all the systems of agency that build or rely on that data, the inference engines, etc, are also in a public cloud. A lot of them are going to be distributed out to the edge, out to where the action needs to be because of latency and other types of issues. This is a fundamental proposition and I know I'm going fast but hopefully I'm being clear. All right, so let's now get to the second part. This is kind of where the industry's going. Data is an asset. Invest in strategic business capabilities to appreciate, to create those data assets and appreciate the value of those assets and utilize the cloud intelligently to generate and ensure increasing returns. So the next question is well, how will we get there? Now. Right now, not too far from here, Neil Raden for example, was on the show floor yesterday. Neil made the observation that, as he wandered around, he only heard the word big data two or three times. The concept of big data is not dead. Whether the term is or is not is somebody else's decision. Our perspective, very simply, is that the notion is bifurcating. And it's bifurcating because we see different strategic imperatives happening at two different levels. On the one hand, we see infrastructure convergence. The idea that increasingly we have to think about how we're going to bring and federated data together, both from a systems and a data management standpoint. And on the other hand, we're going to see infrastructure or application specialization. That's going to have an enormous implication over next few years, if only because there just aren't enough people in the world that understand how to create value out of data. And there's going to be a lot of effort made over the next few years to find new ways to go from that one expertise group to billions of people, billions of devices, and those are the two dominant considerations in the industry right now. How can we converge data physically, logically, and on the other hand, how can we liberate more of the smarts associated with this very, very powerful approach so that more people get access to the capacities and the capabilities and the assets that are being generated by that process. Now, we've done at Wikibon, probably I don't know, 18, 20, 23 predictions overall on the role that or on the changes being wrought by digital business. Here I'm going to focus on four of them that are central to our big data research. We have many more but I'm just going to focus on four. The first one, when we think about infrastructure convergence we worry about hardware. Here's a prediction about what we think is going to happen with hardware and our observation is we believe pretty strongly that future systems are going to be built on the concept of how do you increase the value of data assets. The technologies are all in place. Simpler parts that it more successfully bind specifically through all its storage and network are going to play together. Why, because increasingly that's the fundamental constraint. How do I make data available to other machines, actors, sources of change, sources of process within the business. Now, we envision or we are watching before our very eyes, new technologies that allow us to take these simple piece parts and weave them together in very powerful fabrics or grids, what we call UniGrid. So that there is almost no latency between data that exists within one of these, call it a molecule, and anywhere else in that grid or lattice. Now again, these are not systems that are going to be here in five years. All the piece parts are here today and there are companies that are actually delivering them. So if you take a look at what Micron has done with Mellanox and other players, that's an example of one of these true private cloud oriented machines in place. The bottom line though is that there is a lot of room left in hardware. A lot of room. This is what cloud suppliers are building and are going to build but increasingly as we think about true private cloud, enterprises are going to look at this as well. So future systems for improving data assets. The capacity of this type of a system with low latency amongst any source of data means that we can now think about data not as... Not as a set of sources that have to be each individually, each having some control over its own data and sinks woven together by middleware and applications but literally as networks of data. As we start to think about distributing data and distributing control and authority associated with that data more broadly across systems, we now have to think about what does it mean to create networks of data? Because that, in many respects, is how these assets are going to be forged. I haven't even mentioned the role that security is going to play in all of this by the way but fundamentally that's how it's likely to play out. We'll have a lot of different sources but from a business standpoint, we're going to think about how those sources come together into a persistent network that can be acted upon by the business. One of the primary drivers of this is what's going on at the edge. Marc Andreessen famously said that software is eating the world, well our observation is great but if software's eating the world, it's eating it at the edge. That's where it's happening. Secondly, that this notion of agency zones. I said I'm going to bring that word up again, how systems act on behalf of a brand or act on behalf of an institution or business is very, very crucial because the time necessary to do the analysis, perform the intelligence, and then take action is a real constraint on how we do things. And our expectation is that we're going to see what we call an agency zone or a hub zone or cloud zone defined by latency and how we architect data to get the data that's necessary to perform that piece of work into the zone where it's required. Now, the implications of this is none of this is going to happen if we don't use AI and related technologies to increasingly automate how we handle infrastructure. And technologies like blockchain have the potential to provide a interesting way of imagining how these networks of data actually get structured. It's not going to solve everything. There's some people that think the blockchain is kind of everything that's necessary but it will be a way of describing a network of data. So we see those technologies on the ascension. But what does it mean for DBMS? In the old way, in the old world, the old way of thinking, the database manager was the control point for data. In the new world these networks of data are going to exist beyond a single DBMS and in fact, over time, that concept of federated data actually has a potential to become real. When we have these networks of data, we're going to need people to act upon them and that's essentially a lot of what the data scientist is going to be doing. Identifying the outcome, identifying the data that's required, and weaving that data through the construction and management, manipulation of pipelines, to ensure that the data as an asset can persist for the purposes of solving a near-term problem or over whatever duration is required to solve a longer term problem. Data scientists remain very important but we're going to see, as a consequence of improvements in tooling capable of doing these things, an increasing recognition that there's a difference between a data scientist and a data scientist. There's going to be a lot of folks that participate in the process of manipulating, maintaining, managing these networks of data to create these business outcomes but we're going to see specialization in those ranks as the tooling is more targeted to specific types of activities. So the data scientist is going to become or will remain an important job, going to lose a little bit of its luster because it's going to become clear what it means. So some data scientists will probably become more, let's call them data network administrators or networks of data administrators. And very importantly as I said earlier, there's just not enough of these people on the planet and so increasingly when we think about again, digital business and the idea of creating data assets. A central challenge is going to be how to create the data or how to turn all the data that can be captured into assets that can be applied to a lot of different uses. There's going to be two fundamental changes to the way we are currently conceiving of the big data world on the horizon. One is well, it's pretty clear that Hadoop can only go so far. Hadoop is a great tool for certain types of activities and certain numbers of individuals. So Hadoop solves problems for an important but relatively limited subset of the world. Some of the new data science platforms that we just talked about, that I just talked about, they're going to help with a degree of specialization that hasn't been available before in the data world, will certainly also help but it also will only take it so far. The real way that we see the work that we're doing, the work that the big data community is performing, turned into sources of value that extend into virtually every single corner of humankind is going to be through these cloud services that are being built and increasingly through packaged applications. A lot of computer science, it still exists between what I just said and when this actually happens. But in many respects, that's the challenge of the vendor ecosystem. How to reconstruct the idea of packaged software, which has historically been built around operations and transaction processing, with a known data model and an unknown or the known process and some technology challenges. How do we reapply that to a world where we now are thinking about, well we don't know exactly what the process is because the data tells us at the moment that the actions going to be taking place. It's a very different way of thinking about application development. A very different way of thinking about what's important in IT and very different way of thinking about how business is going to be constructed and how strategy's going to be established. Packaged applications are going to be crucially important. So in the last few minutes here, what are the numbers? So this is kind of the basis for our analysis. Digital business, role of data is an asset, having an enormous impact in how we think about hardware, how do we think about database management or data management, how we think about the people involved in this, and ultimately how we think about how we're going to deliver all this value out to the world. And the numbers are starting to reflect that. So why don't you think about four numbers as I go through the two or three slides. Hundred and three billion, 68%, 11%, and 2017. So of all the numbers that you will see, those are four of the most important numbers. So let's start by looking at the total market place. This is the growth of the hardware, software, and services pieces of the big data universe. Now we have a fair amount of additional research that breaks all these down into tighter segments, especially in software side. But the key number here is we're talking about big numbers. 103 billion over the course of next 10 years and let's be clear that 103 billion dollars actually has a dramatic amplification on the rest of the computing industry because a lot of the pricing models associated with, especially the software, are tied back to open source which has its own issues. And very importantly, the fact that the services business is going to go through an enormous amount of change over the next five years as service companies better understand how to deliver some of these big data rich applications. The second point to note here is that it was in 2017 that the software market surpassed the hardware market in big data. Again, for first number of years we focused on buying the hardware and the system software associated with that and the software became something that we hope to discover. So I was having a conversation here in theCUBE with the CEO of Transwarp which is a very interesting Chinese big data company and I asked what's the difference between how you do things in China and how we do things in the US? He said well, in the US you guys focus on proof of concept. You spend an enormous amount of time asking, does the hardware work? Does the database software work? Does the data management software work? In China we focus on the outcome. That's what we focus on. Here you have to placate the IT organization to make sure that everybody in IT is comfortable with what's about to happen. In China, were focused on the business people. This is the first year that software is bigger than hardware and it's only going to get bigger and bigger over time. It doesn't mean again, that hardware is dead or hardware is not important. It's going to remain very important but it does mean that the centerpiece of the locus of the industry is moving. Now, when we think about what the market shares look like, it's a very fragmented market. 60%, 68% of the market is still other. This is a highly immature market that's going to go through a number of changes over the next few years. Partly catalyzed by that notion of infrastructure convergence. So in four years our expectation is that, that 68% is going to start going down pretty fast as we see greater consolidation in how some of these numbers come together. Now IBM is the biggest one on the basis of the fact that they operate in all these different segments. They operating the hardware, software, and services segment but especially because they're very strong within the services business. The last one I want to point your attention to is this one. I mentioned earlier on, that our expectation is that the market increasingly is going to move to a packaged application orientation or packaged services orientation as a way of delivering expertise about big data to customers. Splunk is the leading software player right now. Why, because that's the perspective that they've taken. Now, perhaps we're a limited subset. It's perhaps for a limited subset of individuals or markets or of sectors but it takes a packaged application, weaves these technologies together, and applies them to an outcome. And we think this presages more of that kind of activity over the course of the next few years. Oracle, kind of different approach and we'll see how that plays out over the course of the next five years as well. Okay, so that's where the numbers are. Again, a lot more numbers, a lot of people you can talk to. Let me give you some action items. First one, if data was a core asset, how would IT, how would your business be different? Stop and think about that. If it wasn't your buildings that were the asset, it wasn't the machines that were the asset, it wasn't your people by themselves who were the asset, but data was the asset. How would you reinstitutionalize work? That's what every business is starting to ask, even if they don't ask it in the same way. And our advice is, then do it because that's the future of business. Not that data is the only asset but data is a recognized central asset and that's going to have enormous impacts on a lot of things. The second point I want to leave you with, tens of billions of users and I'm including people and devices, are dependent on thousands of data scientists that's an impedance mismatch that cannot be sustained. Packaged apps and these cloud services are going to be the way to bridge that gap. I'd love to tell you that it's all going to be about tools, that we're going to have hundreds of thousands or millions or tens of millions or hundreds of millions of data scientists suddenly emerge out of the woodwork. It's not going to happen. The third thing is we think that big businesses, enterprises, have to master what we call the big inflection. The big tech inflection. The first 50 years were about known process and unknown technology. How do I take an accounting package and do I put on a mainframe or a mini computer a client/server or do I do it on the web? Unknown technology. Well increasingly today, all of us have a pretty good idea what the base technology is going to be. Does anybody doubt it's going to be the cloud? We got a pretty good idea what the base technology is going to be. What we don't know is what are the new problems that we can attack, that we can address with data rich approaches to thinking about how we turn those systems into actors on behalf of our business and customers. So I'm a couple minutes over, I apologize. I want to make sure everybody can get over to the keynotes if you want to. Feel free to stay, theCUBE's going to be live at 9:30. If I got that right. So it's actually pretty exciting if anybody wants to see how it works, feel free to stay. Georgia's here, Neil's here, I'm here. I mentioned Greg Terrio, Dave Volante, John Greco, I think I saw Sam Kahane back in the corner. Any questions, come and ask us, we'll be more than happy. Thank you very much for, oh David Volante. >> David: I have a question. >> Yes. >> David: Do you have time? >> Yep. >> David: So you talk about data as a core asset, that if you look at the top five companies by market cap in the US, Google, Amazon, Facebook, etc. They're data companies, they got data at the core which is kind of what your first bullet here describes. How do you see traditional companies closing that gap where humans, buildings, etc at the core as we enter this machine intelligence era, what's your advice to the traditional companies on how they close that gap? >> All right. So the question was, the most valuable companies in the world are companies that are well down the path of treating data as an asset. How does everybody else get going? Our observation is you go back to what's the value proposition? What actions are most important? what's data is necessary to perform those actions? Can changing the way the data is orchestrated and organized and put together inform or change the cost of performing that work by changing the cost transactions? Can you increase a new service along the same lines and then architect your infrastructure and your business to make sure that the data is near the action in time for the action to be absolute genius to your customer. So it's a relatively simple thought process. That's how Amazon thought, Apple increasingly thinks like that, where they design the experience and they think what data is necessary to deliver that experience. That's a simple approach but it works. Yes, sir. >> Audience Member: With the slide that you had a few slides ago, the market share, the big spenders, and you mentioned that, you asked the question do any of us doubt that cloud is the future? I'm with Snowflake, I don't see many of those large vendors in the cloud and I was wondering if you could speak to what are you seeing in terms of emerging vendors in that space. >> What a great question. So the question was, when you look at the companies that are catalyzing a lot of the change, you don't see a lot of the big companies being at the leadership. And someone from Snowflake just said, well who's going to lead it? That's a big question that has a lot of implications but at this point time it's very clear that the big companies are suffering a bit from the old, from the old, trying to remember what the... RCA syndrome. I think Clay Christensen talked about this. You know, the innovators dilemma. So RCA actually is one of the first creators. They created the transistor and they held a lot of original patents on it. They put that incredible new technology, back in the forties and fifties, under the control of the people who ran the vacuum tube business. When was the last time anybody bought RCA stock? The same problem is existing today. Now, how is that going to play out? Are we going to see a lot of, as we've always seen, a lot of new vendors emerge out of this industry, grow into big vendors with IPO related exits to try to scale their business? Or are we going to see a whole bunch of gobbling up? That's what I'm not clear on but it's pretty clear at this point in time that a lot of the technology, a lot of the science, is being done in smaller places. The moderating feature of that is the services side. Because there's limited groupings of expertise that the companies that today are able to attract that expertise. The Googles, the Facebooks, the AWSs, etc, the Amazons. Are doing so in support of a particular service. IBM and others are trying to attract that talent so they can apply it to customer problems. We'll see over the next few years whether the IBMs and the Accentures and the big service providers are able to attract the kind of talent necessary to diffuse that knowledge into the industry faster. So it's the rate at which that the idea of internet scale computing, the idea of big data being applied to business problems, can diffuse into the marketplace through services. If it can diffuse faster that will have both an accelerating impact for smaller vendors, as it has in the past. But it may also again, have a moderating impact because a lot of that expertise that comes out of IBM, IBM is going to find ways to drive in the product faster than it ever has before. So it's a complicated answer but that's our thinking at this point time. >> Dave: Can I add to that? >> Yeah. (audience member speaking faintly) >> I think that's true now but I think the real question, not to not to argue with Dave but this is part of what we do. The real question is how is that knowledge going to diffuse into the enterprise broadly? Because Airbnb, I doubt is going to get into the business of providing services. (audience member speaking faintly) So I think that the whole concept of community, partnership, ecosystem is going to remain very important as it always has and we'll see how fast those service companies that are dedicated to diffusing knowledge, diffusing knowledge into customer problems actually occurs. Our expectation is that as the tooling gets better, we will see more people be able to present themselves truly as capable of doing this and that will accelerate the process. But the next few years are going to be really turbulent and we'll see which way it actually ends up going. (audience member speaking faintly) >> Audience Member: So I'm with IBM. So I can tell you 100% for sure that we are, I hired literally 50 data scientists in the last three months to go out and do exactly what you're saying. Sit down with clients and help them figure out how to do data science in the enterprise. And so we are in fact scaling it, we're getting people that have done this at Google, Facebook. Not a whole lot of those 'cause we want to do it with people that have actually done it in legacy fortune 500 Companies, right? Because there's a little bit difference there. >> So. >> Audience Member: So we are doing exactly what you said and Microsoft is doing the same thing, Amazon is actually doing the same thing too, Domino Data Lab. >> They don't like they're like talking about it too much but they're doing it. >> Audience Member: But all the big players from the data science platform game are doing this at a different scale. >> Exactly. >> Audience Member: IBM is doing it on a much bigger scale than anyone else. >> And that will have an impact on ultimately how the market gets structured and who the winners end up being. >> Audience Member: To add too, a lot of people thought that, you mentioned the Red Hat of big data, a lot of people thought Cloudera was going to be the Red Hat of big data and if you look at what's happened to their business. (background noise drowns out other sounds) They're getting surrounded by the cloud. We look at like how can we get closer to companies like AWS? That was like a wild card that wasn't expected. >> Yeah but look, at the end of the day Red Hat isn't even the Red Hat of open source. So the bottom line is the thing to focus on is how is this knowledge going to diffuse. That's the thing to focus on. And there's a lot of different ways, some of its going to diffuse through tools. If it diffuses through tools, it increases the likelihood that we'll have more people capable of doing this in IBM and others can hire more. That Citibank can hire more. That's an important participant, that's an important play. So you have something to say about that but it also says we're going to see more of the packaged applications emerge because that facilitates the diffusion. This is not, we haven't figured out, I don't know exactly, nobody knows exactly the exact shape it's going to take. But that's the centerpiece of our big data researches. How is that diffusion process going to happen, accelerate, and what's the resulting structure going to look like? And ultimately how are enterprises going to create value with whatever results. Yes, sir. (audience member asks question faintly) So the recap question is you see more people coming in and promising the moon but being incapable of delivering because they are, partly because the technology is uncertain and for other reasons. So here's our approach. Or here's our observation. We actually did a fair amount of research on this. When you take a look at what we call a approach to doing big data that's optimized for the costs of procurement i.e. let's get the simplest combination of infrastructure, the simplest combination of open-source software, the simplest contracting, to create that proof of concept that you can stand things up very quickly if you have enough expertise but you can create that proof of concept but the process of turning that into actually a production system extends dramatically. And that's one of the reasons why the Clouderas did not take over the universe. There are other reasons. As George Gilbert's research has pointed out, that Cloudera is spending 53, 55 % of their money right now just integrating all the stuff that they bought into the distribution five years ago. Which is a real great recipe for creating customer value. The bottom line though is that if we focus on the time to value in production, we end up taking a different path. We don't focus as much on whether the hardware is going to work and the network is going to work and the storage can be integrated and how it's going to impact the database and what that's going to mean to our Oracle license pool and all the other things that people tend to think about if they're focused on the technology. And so as a consequence, you get better time to value if you focus on bringing the domain expertise, working with the right partner, working with the appropriate approach, to go from what's the value proposition, what actions are associated with a value proposition, what's stated in that area to perform those actions, how can I take transaction costs out of performing those actions, where's the data need to be, what infrastructure do I require? So we have to focus on a time to value not the time to procure. And that's not what a lot of professional IT oriented people are doing because many of them, I hate say it, but many of them still acquire new technology with the promise to helping the business but having a stronger focus on what it's going to mean to their careers. All right, I want to be really respectful to everybody's time. The keynotes start in about five minutes which means you just got time. If you want to stay, feel free to stay. We'll be here, we'll be happy to talk but I think that's pretty much going to close our presentation broadcast. Thank you very much for being an attentive audience and I hope you found this useful. (upbeat music)

Published Date : Mar 9 2018

SUMMARY :

brought to you by SiliconANGLE Media that the actions going to be taking place. by market cap in the US, Google, Amazon, Facebook, etc. or change the cost of performing that work in the cloud and I was wondering if you could speak to the idea of big data being applied to business problems, (audience member speaking faintly) Our expectation is that as the tooling gets better, in the last three months to go out and do and Microsoft is doing the same thing, but they're doing it. Audience Member: But all the big players from Audience Member: IBM is doing it on a much bigger scale how the market gets structured They're getting surrounded by the cloud. and the network is going to work

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Dave VolantePERSON

0.99+

Marc AndreessenPERSON

0.99+

DavePERSON

0.99+

AmazonORGANIZATION

0.99+

IBMORGANIZATION

0.99+

NeilPERSON

0.99+

FacebookORGANIZATION

0.99+

Sam KahanePERSON

0.99+

GoogleORGANIZATION

0.99+

Neil RadenPERSON

0.99+

2017DATE

0.99+

John GrecoPERSON

0.99+

CitibankORGANIZATION

0.99+

Greg TerrioPERSON

0.99+

ChinaLOCATION

0.99+

David VolantePERSON

0.99+

AppleORGANIZATION

0.99+

MicrosoftORGANIZATION

0.99+

Clay ChristensenPERSON

0.99+

DavidPERSON

0.99+

Sears RoebuckORGANIZATION

0.99+

100%QUANTITY

0.99+

Domino Data LabORGANIZATION

0.99+

Peter DruckerPERSON

0.99+

USLOCATION

0.99+

AmazonsORGANIZATION

0.99+

twoQUANTITY

0.99+

11%QUANTITY

0.99+

George GilbertPERSON

0.99+

AWSORGANIZATION

0.99+

San JoseLOCATION

0.99+

68%QUANTITY

0.99+

millionsQUANTITY

0.99+

53, 55 %QUANTITY

0.99+

60%QUANTITY

0.99+

Peter BurrisPERSON

0.99+

FacebooksORGANIZATION

0.99+

103 billionQUANTITY

0.99+

GooglesORGANIZATION

0.99+

second partQUANTITY

0.99+

second pointQUANTITY

0.99+

IBMsORGANIZATION

0.99+

OracleORGANIZATION

0.99+

AWSsORGANIZATION

0.99+

AccenturesORGANIZATION

0.99+

HadoopTITLE

0.99+

OneQUANTITY

0.99+

SiliconANGLE MediaORGANIZATION

0.99+

SnowflakeORGANIZATION

0.99+

fourQUANTITY

0.99+

HundredQUANTITY

0.99+

TranswarpORGANIZATION

0.99+

MellanoxORGANIZATION

0.99+

tens of millionsQUANTITY

0.99+

three thingsQUANTITY

0.99+

MicronORGANIZATION

0.99+

50 data scientistsQUANTITY

0.99+

FirstQUANTITY

0.99+

yesterdayDATE

0.99+

three timesQUANTITY

0.99+

103 billion dollarsQUANTITY

0.99+

Red HatTITLE

0.99+

first bulletQUANTITY

0.99+

TwoQUANTITY

0.99+

AirbnbORGANIZATION

0.99+

SecondlyQUANTITY

0.99+

five yearsQUANTITY

0.98+

oneQUANTITY

0.98+

bothQUANTITY

0.98+

hundreds of millionsQUANTITY

0.98+

firstQUANTITY

0.98+

Action Item | AWS re:Invent 2017 Expectations


 

>> Hi, I'm Peter Burris, and welcome once again to Action Item. (funky electronic music) Every week, Wikibon gathers together the research team to discuss seminal issues that are facing the IT industry. And this week is no different. In the next couple of weeks, somewhere near 100,000 people are gonna be heading to Las Vegas for the Amazon, or AWS re:Invent show from all over the world. And this week, what we wanna do is we wanna provide a preview of what we think folks are gonna be talking about. And I'm joined here in our lovely Palo Alto studio, theCUBE studio, by Rob Hof, who is the editor-in-chief of SiliconANGLE. David Floyer, who's in analyst at Wikibon. George Gilbert, who's an analyst Wikibon. And John Furrier, who's a CUBE host and co-CEO. On the phone we have Neil Raden, an analyst at Wikibon, and also Dave Vellante, who's co-CEO with John Furrier, an analyst at Wikibon as well. So guys, let's jump right into it. David Floyer, I wanna hit you first. AWS has done a masterful job of making the whole concept of infrastructure as a service real. Nobody should downplay how hard that was and how amazing their success has been. But they're moving beyond infrastructure as a service. What do we expect for how far up Amazon is likely to go up the stack this year at re:Invent? >> Well, I can say what I'm hoping for. I agree with your premise that they have to go beyond IAS. The overall market for cloud is much bigger than just IAS, with SaaS and other clouds as well, both on-premise and off-premise. So I would start with what enterprise CIOs are wanting, and they are wanting to see a multi-cloud strategy, both on-premise and multiple clouds. SaaS clouds, other clouds. So I'm looking for AWS to provide additional services to make that easier. in particular, services, I thought of private clouds for enterprises. I'm looking for distributed capabilities, particularly in the storage area so they can link different clouds together. I want to see edge data management capabilities. I'd love to see that because the edge itself, especially the low-latency stuff, the real-time stuff, that needs specialist services, and I'd like to see them integrate that much better than just Snowball. I want to see more details about AI I'd love to see what they're doing in that. There's tremendous potential for AI in operational and to improve security, to improve availability, recovery. That is an area where I think they could be a leader of the IT industry. >> So let me stop you there, and George I wanna turn to you. So AWS in AI how do we anticipate that's gonna play out at re:Invent this year? >> I can see three things in decreasing order of likelihood. The first one is, they have to do a better job of tooling, both for, sort of, developers who want to dabble in, well get their arms around AI, but who aren't real data scientists. And then also hardcore tools for data scientists that have been well served by, recently, Microsoft and IBM, among others. So this is this Iron Man Initiative that we've heard about. For the hardcore tools, something from Domino Data Labs that looks like they're gonna partner with them. It's like a data-science workbench, so for the collaborative data preparation, modeling, deployment. That whole life cycle. And then for the developer-ready tooling, I expect to see they'll be working with a company called DataRobot, which has a really nifty tool where you put in a whole bunch of training data, and it trains, could be a couple dozen models that it thinks that might fit, and it'll show you the best fits. It'll show you the features in the models that are most impactful. In other words, it provides a lot of transparency. >> So it's kind of like models for models. >> Yes, and it provides transparency. Now that's the highest likelihood. And we have names on who we think the likely suspects are. The next step down, I would put applying machine learning to application performance management and IT operations. >> So that's the whole AI for ITOM that David Floyer just mentioned. >> Yeah. >> Now, presumably, this is gonna have to extend beyond just AI for Amazon or AWS-related ITOM. Our expectation's that we're gonna see a greater distribution of, or Amazon take more of a leadership in establishing a framework that cuts across multi-cloud. Have I got that right, David Floyer? >> Absolutely. A massive opportunity for them to provide the basics on their own platform. That's obviously the starting point. They'll have the best instrumentation for all of the components they have there. But they will need to integrate that in with their own databases, with other people's databases. The more that they can link all the units together and get real instrumentation from an application point of view of the whole of the infrastructure, the more value AI can contribute. >> John Foyer, the whole concept of the last few years of AWS is that all roads eventually end up at AWS. However, there's been a real challenge associated with getting this migration momentum to really start to mature. Now we saw some interesting moves that they made with VMware over the last couple of years, and it's been quite successful. And some would argue it might even have given another round of life to VMware. Are there some things we expect to see AWS do this time that are gonna reenergize the ecosystem to start bringing more customers higher up the stack to AWS? >> Yeah, but I think I look at it, quickly, as VMware was a groundbreaking even for both companies, VMware and AWS. We talked about that at that research event we had with them. The issue that is happening is that AWS has had a run in the marketplace. They've been the leader in cloud. Every year, it's been a slew of announcements. This year's no different. They're gonna have more and more announcements. In fact, they had to release some announcements early, before the show, because they have, again, more and more announcements. So they have the under-the-hood stuff going on that David Floyer and George were pointing out. So the classic build strategy is to continue to be competitive by having more services layered on top of each other, upgrading those services. That's a competitive strategy frame that's under the hood. On the business side, you're seeing more competition this year than ever before. Amazon now is highly contested, certainly in the marketplace with competitors. Okay, you're seeing FUD, the uncertainty and doubt from other people, how they're bundling. But it's clear. The cloud visibility is clear to customers. The numbers are coming in, multiple years of financial performance. But now the ecosystem plays, really, the interesting one. I think the VMware move is gonna be a tell sign for other companies that haven't won that top-three position. >> Example? >> I will say SAP. >> Oh really? You think SAP is gonna have a major play this year where we might see some more stuff about AWS and SAP? >> I'm hearing rumblings that SAP is gonna be expanding their relationship. I don't have the facts yet on the ground, but from what I'm sensing, this is consistent with what they've been doing. We've seen them at Google cloud platform. We talked to them specifically about how they're dealing with cloud. And their strategy is clear. They wanna be on Azure, Google, and Amazon. They wanna provide that database functionality and their client base in from HANA, and roll that in. So it's clear that SAP wants to be multi-cloud. >> Well we've seen Oracle over the past couple of years, or our research has suggested, I would say, that there's been kind of two broad strategies. The application-oriented strategy that goes down to IAAS aggressively. That'd be Oracle and Microsoft. And then the IAAS strategy that's trying to move up through an ecosystem play, which is more AWS. David Floyer and I have been writing a lot of that research. So it sounds like AWS is really gonna start doubling down in an ecosystem and making strategic bets on software providers who can bring those large enterprise install bases with them. >> Yeah, and the thing that you pointed out is migration. That's a huge issue. Now you can get technical, and say, what does that mean? But Andy Jassy has been clear, and the whole Amazon Web Services Team has been clear from day one. They're customer centric. They listen to the customers. So if they're doing more migration this year, and we'll see, I think they will be, I think that's a good tell sign and good prediction. That means the customers want to use Amazon more. And VMware was the same way. Their customers were saying, hey, we're ops guys, we want to have a cloud strategy. And it was such a great move for VMware. I think that's gonna lift the fog, if you will, pun intended, between what cloud computing is and other alternatives. And I think companies are gonna be clear that I can party with Amazon Web Services and still run my business in a way that's gonna help customers. I think that's the number one thing that I'm looking for is, what is the customers looking for in multi-cloud? Or if it's server-less or other things. >> Well, or yeah I agree. Lemme run this by you guys. It sounds as though multi-cloud increasingly is going to be associated with an application set. So, for example, it's very difficult to migrate a database manager from one place to another, as a snowflake. The cost to the customer is extremely high. The cost to the migration team is extremely high, lotta risk. But if you can get an application provider to step up and start migrating elements of the database interface, then you dramatically reduce the overall cost of what that migration might look like. Have I got that right, David Floyer? >> Yeah, absolutely. And I think that's what AWS, what I'm expecting them to focus on is more integration with more SaaS vendors, making it a better place-- >> Paul: Or just software vendors. >> Or software vendors. Well, SaaS vendors in particular, but software vendors in particular-- >> Well SAP's not a SaaS player, right? Well, they are a little bit, but most of their installations are still SAP on Oracle and moving them over, then my ass is gonna require a significant amount of SAP help. >> And one of the things I would love to see them have is a proper tier-one database as a service. That's something that's hugely missing at the moment, and using HANA, for example, on SAP, it's a tier-one database in a particular area, but that would be a good move and help a lot of enterprises to move stuff into AWS. >> Is that gonna be sufficient, though, given how dominant Oracle is in that-- >> No, they need something general purpose which can compete with Oracle or come to some agreement with Oracle. Who knows what's gonna happen in the future? >> Yeah, I don't know. >> Yeah we're all kinda ignoring here. It will be interesting to see. But at the end of the day, look, Oracle has an incentive also to render more of what it has, as a service at some level. And it's gonna be very difficult to say, we're gonna render this as a service to a customer, but Amazon can't play. Or AWS can't play. That's gonna be a real challenge for them. >> The Oracle thing is interesting and I bring this up because Oracle has been struggling as a company with cloud native messaging. In other words, they're putting out, they have a lot of open source, we know what they have for tooling. But they own IT. I mean if you dug up Oracle, they got the database as David pointed out, tier one. But they know the IT guys, they've been doing business in IT for years as a legacy vendor. Now they're transforming, and they are trying hard to be the cloud native path, and they're not making it. They're not getting the credit, and I don't know if that's a cultural issue with Oracle. But Amazon has that positioning from a developer cloud DNA. Now winning real enterprise deals. So the question that I'm looking for is, can Amazon continue to knock down these enterprise deals in lieu of these incumbent or legacy players in IT. So if IT continues to transform more towards cloud native, docker containers, or containers in Kubernetes, these kinds of micro services, I would give the advantage to Amazon over Oracle even though that Oracle has the database because ultimately the developers are driving the behavior. >> Oh again I don't think any of us would disagree with that. >> Yeah so the trouble though is the cost of migrating the applications and the data. That is huge. The systems of record are there for a reason. So there are two fundamental strategies for Oracle. If they can get their developers to add the AI, add the systems of intelligence. Make them systems of intelligence, then they can win in that strategy. Or the alternative is that they move it to AWS and do that movement in AWS. That's a much more risky strategy. >> Right but I think our kind of concluding point here is that ultimately if AWS can get big application players to participate and assist and invest in and move customers along with some of these big application migrations, it's good for AWS. And to your point John, it's probably good for the customers too. >> Absolutely. >> Yeah I don't think it's mutually exclusive as David makes a point about migrating for Oracle. I don't see a lot of migration coming off of Oracle. I look at overall database growth is the issue. Right so Oracle will have that position, but it's kind of like when we argued about the internet growth back in 1997. Just internet users growing was so great that rising tide flows. So I believe that the database growth is going to happen so fast that Amazon is not necessarily targeting Oracle's market share, they're going after the overall database market, which might be a smaller tier two kind of configuration or new architectures that are developing. So I think it's interesting dynamic and Oracle certainly could play there and lock in the database, but-- >> Here's what I would say, I would say that they're going after the new workload world, and a lot of that new workload is gonna involve database as it always has. Not like there's anything that the notion that we have solved or that database is 90% penetrated for the applications that are gonna be dominant matter in 2025 is ridiculous. There's a lot of new database that's gonna be sold. I think you're absolutely right. Rob Hof what's the general scuttlebutt that you're hearing. You know you as editor of SiliconANGLE, editor-in-chief of SiliconANGLE. What is the journalist world buzzing about for re:Invent this year? >> Well I guess you know my questions is because of the challenges that we're facing like we just talked about with migrating, the difficulty in migrating some of these applications. We also see very fast growing rivals like Google. Still small, but growing fast. And then there's China. That's a big one where is there a natural limit there that they're gonna have? So you put these things together, and I guess we see Amazon Web Services still growing at 42% a year or whatever it's great. But is it gonna start to go down because of all these challenges? >> 'Cause some of the constraints may start to assert themselves. >> Rob: Exactly, exactly. >> So-- >> Rob: That's what I'm looking at. >> Kind of the journalism world is kinda saying, are there some speed bumps up ahead for AWS? >> Exactly, and we saw one just a couple, well just this week with China for example. They sold off $300 million worth of data centers, equipment and such to their partner in China Beijing Sinnet. And they say this is a way to comply with Chinese law. Now we're going to start expanding, but expanding while you're selling off $300 million worth of equipment, you know, it begs a question. So I'm curious how they're going to get past that. >> That does raise an interesting question, and I think I might go back to some of the AI on ITOM, AI on IT operations management. Is that do you need control of the physical assets in China to nonetheless sell great service. >> Rob: And that's a big question. >> For accessing assets in China. >> Rob: Right. >> And my guess is that if they're successful with AI for ITOM and some of these other initiatives we're talking about. It in fact may be very possible for them to offer a great service in China, but not actually own the physical assets. And that's, it's an interesting question for some of the Chinese law issues. Dave Vellante, anything you want to jump in on, and add to the conversation? For example, if we look at some of the ecosystem and some of the new technologies, and some of the new investments being made around new technologies. What are some of your thoughts about some of the new stuff that we might hear about at AWS this year? >> Dave: Well so, a couple things. Just a comment on some of the things you guys were saying about Oracle and migration. To me it comes down to three things, growth, which is clearly there, you've talked about 40% plus growth. Momentum, you know the flywheel effect that Amazon has been talking about for years. And something that really hasn't been discussed as much which is economics, and this is something that we've talked about a lot and Amazon is bringing a software like marginal economics model to infrastructure services. And as it potentially slows down its growth, it needs to find new areas, and it will expand its tan by gobbling up parts of the ecosystem. So, you know there's so much white space, but partners got to be careful about where they're adding value because ultimately Amazon is gonna target those much in the same way, in my view anyway that Microsoft and Intel have in the past. And so I think you've got to tread very carefully there, and watch where Amazon is going. And they're going into the big areas of AI, trying to do more stuff with the Edge. And anywhere there's automation they are going to grab that piece of value in the value chain. >> So one of the things that we've been, we've talked about two main things. We've talked about a lot of investments, lot of expectations about AI and how AI is gonna show up in a variety of different ways at re:Invent. And we've talked about how they're likely to make some of these migration initiatives even that much more tangible than they have been. So by putting some real operational clarity as to how they intend to bring enterprises into AWS. We haven't talked about IoT. Dave just mentioned it. What's happening with the Edge, how is the Edge going to work? Now historically what we've seen is we've seen a lot of promises that the Edge was all going to end up in the cloud from a data standpoint, and that's where everything was gonna be processed. We started seeing the first indications that that's not necessarily how AWS is gonna move last year with Snowball and server-less computing, and some of those initiatives. We have anticipated a real honest to goodness true private cloud, AWS stack with a partnership. Hasn't happened yet. David Floyer what are we looking for this year? Are we gonna see that this year or are we gonna see more kind of circumnavigating the issue and doing the best that they can? >> Yeah, well my prediction last year was that they would come out with some sort of data service that you could install on your on-premise machine as a starting point for this communication across a multi cloud environment. I'm still expecting that, whether it happens this year or early next year. I think they have to. The pressure from enterprises, and they are a customer driven organization. The pressure from enterprises is going to mandate that they have some sort of solution on-premise. It's a requirement in many countries, especially in Europe. They're gonna have to do that I think without doubt. So they can do it in multiple ways, they can do it as they've done with the US government by putting in particular data centers, whole data centers within the US government. Or they can do it with small services, or they can have a, take the Microsoft approach of having an AWS service on site as well. I think with pressure from Microsoft, the pressure from Europe in particular is going to make this an essential requirement of their whole strategy. >> I remember a number of years going back a couple decades when Dell made big moves because to win the business of a very large manufacturer that had 50,000 work stations. Mainly engineers were turning over every year. To get that business Dell literally put a distribution point right next to that manufacturer. And we expect to see something similar here I would presume when we start talking about this. >> Yeah I mean I would make a comment on the IoT. First of all I agree with what David said, and I like his prediction, but I'm kind of taking a contrarian view on this, and I'm watching a few things at Amazon. Amazon always takes an approach of getting into new markets either with a big idea, and small teams to figure it out or building blocks, and they listen to the customer. So IoT is interesting because IoT's hard, it's important, it's really a fundamental important infrastructure, architecture that's not going away. I mean it has to be nailed down, it's obvious. Just like blockchain kinda is obvious when you talk about decentralization. So it'll be interesting to see what Amazon does on those two fronts. But what's interesting to note is Amazon always becomes their first customer. In their retail business, AWS was powering retail. With Whole Foods, and the stuff they're doing on the physical side, it'll be very interesting to see what their IoT strategy is from a technology standpoint with what they're doing internally. We get food delivered to our house from Amazon Fresh, and they got Whole Foods and all the retail. So it'll be interesting to see that. >> They're buying a lot of real estate. And I thought about this as well John. They're buying a lot of real estate, and how much processing can they put in there. And the only limit is that I don't think Whole Foods would qualify as particularly secure locations (laughing) when we start talking about this. But I think you're absolutely right. >> That only brings the question, how will they roll out IoT. Because he's like okay roll out an appliance that's more of an infrastructure thing. Is that their first move. So the question that I'm looking for is just kind of read the tea leaves and saying, what is really their doing. So they have the tech, and it's gonna be interesting to see, I mean it's more of a high level kind of business conversation, but IoT is a really big challenging area. I mean we're hearing that all over the place from CIOs like what's the architecture, what's the playbook? And it's different per company. So it's challenging. >> Although one of the reasons why it looks different per company is because it is so uncertain as to how it's gonna play out. There's not a lot of knowledge to fuse. My guess is that in 10 years we're gonna look back and see that there was a lot more commonality and patterns of work that were in IoT that many people expected. So I'll tell you one of the things that I saw last year that particularly impressed me at AWS re:Invent. Was the scale at which the network was being built out. And it raised for me an interesting question. If in fact one of the chief challenges of IoT. There are multiple challenges that every company faces with IoT. One is latency, one is intellectual property control, one is legal ramification like GDPR. Which is one of the reasons why the whole Europe play is gonna be so interesting 'cause GDPR is gonna have a major impact on a global basis, it's not just Europe. Bandwidth however is an area that is not necessarily given, it's partly a function of cost. So what happens if AWS blankets the world with network, and customers to get access to at least some degree of Edge no longer have to worry about a telco. What happens to the telco business at least from a data communication standpoint? Anybody wanna jump in on that one? >> Well yeah I mean I've actually talked to a couple folks like Ericson, and I think AT&T. And they're actually talking about taking their central offices and even the base stations, and sort of outfitting them as mini data centers. >> As pops. >> Yeah. But I think we've been hearing now for about 12 months that, oh maybe Edge is going to take over before we actually even finish getting to the cloud. And I think that's about as sort of ill-considered as the notion that PCs were gonna put mainframes out of business. And the reason I use that as an analogy, at one point IBM was going to put all their mainframe based databases and communication protocol on the PC. That was called OS2 extended edition. And it failed spectacularly because-- >> Peter: For a lot of reasons. >> But the idea is you have a separation of concerns. Presentation on one side in that case, and data management communications on the other. Here in this, in what we're doing here, we're definitely gonna have the low latency inferencing on the Edge and then the question is what data goes back up into the cloud for training and retraining and even simulation. And we've already got, having talked to Microsoft's Azure CTO this week, you know they see it the same way. They see the compute intensive modeling work, and even simulation work done in the cloud, and the sort of automated decisioning on the Edge. >> Alright so I'm gonna make one point and then I want to hit the Action Item around here. The one point I wanna make is I have a feeling that over, and I don't know if it's gonna happen at re:Invent this year but I have a feeling that over the course of the next six to nine months, there's going to be a major initiative on the part of Amazon to start bringing down the cost of data communications, and use their power to start hitting the telcos on a global basis. And what's going to be very very interesting is whether Amazon starts selling services to its network independent of its other cloud services. Because that could have global implications for who wins and who loses. >> Well that's a good point, I just wanna add color on that. Just anecdotally from my perspective you asked a question and I went, haven't talked to anyone. But knowing the telco business, I think they're gonna have that VMware moment. Because they've been struggling with over the top for so long. The rapid pace of innovation going on, that I don't think Amazon is gonna go after the telcos, I think it's just an evolutionary steamroller effect. >> It's an inevitability. >> It's an inevitability that the steamroller's coming. >> So users, don't sign longterm data communications deals right now. >> Why wouldn't you do a deal with Amazon if you're a telco, you get relevance, you have stability, lock in your cash flows, cut your deal, and stay alive. >> You know it's an interesting thought. Alright so let's hit the Action Item around here. So really quickly, as a preface for this, the way we wanna do this is guys, is that John Furrier is gonna have a couple hour one on one with Andy Jassy sometime in the next few days. And so if you were to, well tell us a little about that first John. >> Well every re:Invent we've been doing re:Invent for multiple years, I think it's our sixth year, we do all the events, and we cover it as the media partner as you know. And I'm gonna have a one on one sit down every year prior to re:Invent to get his view, exclusive interview, for two hours. Talk about the future. We broke the first Amazon story years ago on the building blocks, and how they overcame, and now they're winning. So it's a time for me to sit down and get his insight and continue to tell the story, and document the growth of this amazing success story. And so I'm gonna ask him specific questions and I wanted, love to know what he's thinking. >> Alright guys so I want each of you to pretend that you are, so representing your community, what would your community, what's the one question your community would like answered by Andy Jassy. George let's start with you. >> So my question would be, are you gonna take IT operations management, machine learn enable it, and then as part of offering a hybrid cloud solution, do you extend that capability on-prem, and maybe to even other vendor clouds. >> Peter: That's a good one, David Floyer. >> I've got two if I may. >> The more the merrier. >> I'll say them very quickly. The first one, John, is you've, the you being AWS, developed a great international network, with fantastic performance. How is AWS going to avoid conflicts with the EU, China, Japan, and particularly about their resistance about using any US based nodes. And from in-country telecommunication vendors. So that's my first, and the second is, again on AI, what's going to be the focus of AWS in applying the value of AI. Where are you gonna focus first and to give value to your customers? >> Rob Hof do you wanna ask a question? >> Yeah I'd like to, one thing I didn't raise in terms of the challenges is, Amazon overall is expanding so fast into all kinds of areas. Whole Foods we saw this. I'd ask Jassy, how do you contend with reality that a lot of these companies that you're now bumping up against as an overall company. Now don't necessarily want to depend on AWS for their critical infrastructure because they're competitors. How do you deal with that? >> Great question, David Vellante. >> David: Yeah my question is would be, as an ecosystem partner, what advice would you give? 'Cause I'm really nervous that as you grow and you use the mantra of, well we do what customers want, that you are gonna eat into my innovation. So what advice would you give to your ecosystem partners about places that they can play, and a framework that they should think about where they should invest and add value without the fear of you consuming their value proposition. >> So it's kind of the ecosystem analog to the customer question that Rob asked. So the one that I would have for you John is, the promise is all about scale, and they've talked a lot about how software at scale has to turn into hardware. What will Amazon be in five years? Are they gonna be a hardware player on a global basis? Following his China question, are they gonna be a software management player on a global basis and are not gonna worry as much about who owns the underlying hardware? Because that opens up a lot of questions about maybe there is going to be a true private cloud option an AWS will just try to run on everything, and really be the multi cloud administrator across the board. The Cisco as opposed to the IBM in the internet transformation. Alright so let me summarize very quickly. Thank you very much all of you guys once again for joining us in our Action Item. So this week we talked about AWS re:Invent. We've done this for a couple of years now. theCUBE has gone up and done 30, 35, 40 interviews. We're really expanding our presence at AWS re:Invent this year. So our expectation is that Amazon has been a major player in the industry for quite some time. They have spearheaded the whole concept of infrastructure as a service in a way that, in many respects nobody ever expected. And they've done it so well and so successfully that they are having an enormous impact way beyond just infrastructure in the market place today. Our expectation is that this year at AWS re:Invent, we're gonna hear a lot about three things. Here's what we're looking for. First, is AWS as a provider of advanced artificial intelligence technologies that then get rendered in services for application developers, but also for infrastructure managers. AI for ITOM being for example a very practical way of envisioning how AI gets instantiated within the enterprise. The second one is AWS has had a significant migration as a service initiative underway for quite some time. But as we've argued in Wikibon research, that's very nice, but the reality is nobody wants to bond the database manager. They don't want to promise that the database manager's gonna come over. It's interesting to conceive of AWS starting to work with application players as a way of facilitating the process of bringing database interfaces over to AWS more successfully as an onboarding roadmap for enterprises that want to move some of their enterprise applications into the AWS domain. And we mentioned one in particular, SAP, that has an interesting potential here. The final one is we don't expect to see the kind of comprehensive Edge answers at this year's re:Invent. Instead our expectation is that we're gonna continue to see AWS provide services and capabilities through server-less, through other partnerships that allow AWS to be, or the cloud to be able to extend out to the Edge without necessarily putting out that comprehensive software stack as an appliance being moved through some technology suppliers. But certainly green grass, certainly server-less, lambda, and other technologies are gonna continue to be important. If we finalize overall what we think, one of the biggest plays is, we are especially intrigued by Amazon's continuing build out of what appears to be one of the world's fastest, most comprehensive networks, and their commitment to continue to do that. We think this is gonna have implications far beyond just how AWS addresses the Edge to overall how the industry ends up getting organized. So with that, once again thank you very much for enjoying Action Item, and participating, and we'll talk next week as we review some of the things that we heard at AWS. And we look forward to those further conversations with you. So from Peter Burris, the Wikibon team, SiliconANGLE, thank you very much and this has been Action Item. (funky electronic music)

Published Date : Nov 17 2017

SUMMARY :

of making the whole concept be a leader of the IT industry. So AWS in AI how do we anticipate For the hardcore tools, Now that's the highest likelihood. So that's the whole AI for ITOM is gonna have to extend for all of the components they have there. the ecosystem to start that AWS has had a run in the marketplace. I don't have the facts yet on that goes down to IAAS aggressively. and the whole Amazon Web Services Team of the database interface, And I think that's what but software vendors in particular-- but most of their installations And one of the things I happen in the future? But at the end of the day, look, So the question that I'm looking for is, of us would disagree with that. that they move it to AWS for the customers too. So I believe that the database that the notion that we have solved because of the challenges 'Cause some of the to comply with Chinese law. the physical assets in China and some of the new technologies, of the things you guys how is the Edge going to work? is going to make this because to win the business and all the retail. And the only limit is that just kind of read the Which is one of the reasons even the base stations, And the reason I use that as an analogy, and the sort of automated of the next six to nine months, But knowing the telco the steamroller's coming. So users, don't sign longterm with Amazon if you're a telco, the way we wanna do this is guys, and document the growth of that you are, so and maybe to even other vendor clouds. So that's my first, and the second is, in terms of the challenges is, and a framework that So it's kind of the

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
DavidPERSON

0.99+

David FloyerPERSON

0.99+

Neil RadenPERSON

0.99+

Dave VellantePERSON

0.99+

IBMORGANIZATION

0.99+

Peter BurrisPERSON

0.99+

John FurrierPERSON

0.99+

JohnPERSON

0.99+

George GilbertPERSON

0.99+

AmazonORGANIZATION

0.99+

MicrosoftORGANIZATION

0.99+

AWSORGANIZATION

0.99+

ChinaLOCATION

0.99+

GoogleORGANIZATION

0.99+

OracleORGANIZATION

0.99+

Andy JassyPERSON

0.99+

GeorgePERSON

0.99+

David VellantePERSON

0.99+

PeterPERSON

0.99+

Domino Data LabsORGANIZATION

0.99+

Rob HofPERSON

0.99+

Whole FoodsORGANIZATION

0.99+

90%QUANTITY

0.99+

PaulPERSON

0.99+

AT&T.ORGANIZATION

0.99+

Las VegasLOCATION

0.99+

Amazon Web ServicesORGANIZATION

0.99+

DavePERSON

0.99+

John FoyerPERSON

0.99+

RobPERSON

0.99+

WikibonORGANIZATION

0.99+

2025DATE

0.99+

EuropeLOCATION

0.99+

Jaspreet Singh, Druva | Future of Cloud Data Protection & Management


 

>> [John} Hello everyone and welcome to Special Cube Presentation here in Paolo Alto, I'm John Furrier at Silicon Angle, a Special Presentation with Druva. The data protection space is being disrupted big time with a lot of venture capital investment, almost 250 million dollars invested this quarter, in data protection, it's certainly disrupting the Cloud game, we had a great line-up of experts, and thought leaders here, to talk about the news from Druva, and the impact to the industry around digital transformation and my first guest is Jaspreet Singh, who's the CEO and Founder of Druva, great to see you again. >> Good morning John, good to see you again. >> Digital transformation is accelerating, data protection is being disrupted, millions of dollars are coming in, you guys are playing a role, what is the role that Druva's playing, in the digital transformation acceleration? >> Absolutely, to think about the world, right, you think of companies like Domino's or Tesla, the thing that software companies, right, they deliver, the server they should deliver via software of, a software approach of the traditional business model, in the heart of this transformation of enterprises becoming softed and digitalized, is data at the core. And data today, will outlive most systems, and the more and more fragmented their approach to data becomes, you store data on prem, in the Cloud, everywhere in between, the data management has to become more and more centralized, so Druva is in the core of this transformation, making it a data transformation, and making sure the data architects of the future, have a better approach of manageability and protection, with the Druva platform. >> You guys had a busy month this month, you got a couple of big news we're going to be talking about today, funding and next generation platform, walk us through that. >> Absolutely, so we have two big news to announce today, the first one being 80 million dollars of capital raised, led by Riverwood Capital followed by most other investors, including Sequoia, excellent Tenaya Capital, and then the number two, being we're announcing a whole new Druva Cloud platform, which wholistically takes our entire product portfolio and puts it together in a nice, simplistic approach to manage an entire information workload in a single platform in the Cloud. >> 80 million is a lot of funding, that brings you up to 200? >> 200 our total capital raised, it's a great validation for the market, it's a great validation for the Druva product portfolio, and great validation for customers who have trusted Druva so far, to put us towards one of the top, I think, no more than 10 Start-ups have raised capital more than 200 million dollars, in our space, so it's a great place to be, to be here today. >> Talk about the data, as a service, the data management as a service that you guys are doing, on the Druva Cloud platform, how does that solve the customer problems, how does that relate to the growth and Cloud and specifically, private Cloud, or true private Cloud, wherever that you want to slice that out, this is a new segment, talk about that. >> Absolutely, so there's a lot of Cloud washing in the market, about the Cloud data management prediction, the whole nine yards, but eventually, for us, the Cloud is not a technology, it's a business model. When you service the customer, as a predictable assailer across the globe, at a predictable price point, it is consistent throughout the world, right, it's how you build your products, how you build security around it, how you think of the customer experience as the central focal point, of everything you do, and how you drive innovation with customers, you know, and then adopting the product going forward. And then also how you build your ecosystem of partners, and your resellers to sort of adopt this whole motion of servicing a customer, managing data, all in the Cloud, and the core of the innovation is the fact that the more and more data gets decentralized, the more and more centralized the data management has to be, and today Cloud solves great a pain point there by offering simplicity of data management, and offering an assailer, a predictable assailer which the world really needs for data management service, and the hardware, software part of the world, is very, very hard to deliver. >> And what do you guys do specifically that solves that problem and helps in that area? >> So today, Druva delivers a end-to-end platform, this platform you know, think of a traditional enterprise which had to buy a, you know data management was a complicated beast, you had to had a backup play, a archival play, a DR play, eDiscovery play, and for each of these technologies, the solution you had to buy a hardware, a software, a tiering solution like a tape or a cloud, or you had to buy services, and then piecemeal them together. You know, as you have more and more regulations, and you have more and more demands on the data, as data is becoming your new oil of economy, you want to put them together in a way that they talk to each other, not disturb the workflows with the department and the people involved, and managing it as the same data, so Druva does is builds a, it offers a very wholistic platform, a scalable, simple platform on the Cloud, which puts together these multiple workloads of back up DR, archival eDiscovery governance, into a single platform, purely deliver a service without any dedicated hardware or software needed to manage an entire data landscape, with end point servers or cloud data. >> 80 million is a lot of financing, congratulations, great validation to you, by the way and you guys had good funding all along the way, because of this new, fresh financing, how does that change or does it change your competitive position and how do you guys compare from the other Cloud data management companies, we hear about, I mean, there's a lot of people out there, trying to attack this area, how do you guys compare and what's the differentiation? >> I think our differentiation still goes back to the same thesis, our core thought process being that, secondary data or your data management has to live purely in the Cloud, not on appliance, not a software, and Cloud is not a graveyard, you know, where you can just dump your data, and call it Cloud, it's a way for you to store data, use it wholistically, not just for protection, but governance and even for the intelligence. This funding helps us establish ourselves even better in the marketplace, proves validates to your point, our position in the market and you know, as I think of my years being an entrepreneur, of capital is critical for growth, it doesn't replace creativity, so we still have to focus on our core innovation of global market, but funding truly helps in building a firm foot forward in the market. >> Take a minute to describe what the Druva Cloud platform is, and how that address some of these next generation challenges, that are out there. >> So think of Druva Cloud as an Amazon marketplace, an Amazon service console for data management, right, when you think of offer tips to five on Amazon, you think of an experienced to manage your productivity, or in general, enterprise IT, or on the Cloud, the build up management was a piecemeal approach of putting together a software and a hardware together and experience was broken because of so many moving parts. We deliver pure social experience on the Cloud, which not only integrates the front end of, you know, being a simple interface to look at back-up or DR for all your workload, we're also a simplistic way of searching for workloads and you'll see a demo today, in the session of how you can interact with data by simple search, to show you not just the workflow, but the documentation behind it and the whole nine yards. But wholistically, behind the you know, there's a great saying, saying that the complexes compete in, but simple is genius, right, so to make it really simple, behind the whole, the Druva console, is a consolidated or a completely integrated data platform, which lets you take a wholistic approach of storing and managing information all in the Cloud, which is wrapped around security or rather paradigms to really make sure that it's a end-to-end delivered servers and experience, versus just a software wrapped around a legacy hardware approach. >> With the Druva Cloud platform, can organizations embrace more data protection? >> Absolutely, so simplicity is still key to it, right, data management is still something which helps you take care of your data risks and which is pretty pertinent to any organization, with a simple and scalable approach, with a predictable assailer, more organizations can trust Cloud with the corporate data, and they will be more pertinent to pay as you go for a data management play than building a hardware and software story, spending all the money upfront, which we believe will increase adoption, increase trust, in their own data and the Cloud. >> When will the Druva Cloud platform be available? >> So, today we're going a technical preview, for our most important customers, they get to play with it, and give us their feedback of how they feel about it, you know, we're integrating multiple parts, and instilling the feedback around how we can involve giving them more and more control and visibility, we expect a general availability for most of our customers by end of the year. >> Congratulations on the financing, it's a great validation, we'll give you the final word on this segment, to just share with the folks that are watching, what they should squint through all the news, and what does it mean to them, what's the impact of this announcement, these announcements? >> I think a couple of years ago, there's a massive transformation on the primary storage, where you know the EMCs of the world, were vulnerable and so came re-tan excel pure, right, now the whole backlash is going to be on the secondary storage, where the bigger, much bigger market on secondary data and storage, is a lot more vulnerable by the big players, still showing a lot of weakness, and Cloud is a great story here where a very complex solution can be delivered, with the wholistic and simplistic approach, so there's a great time in the market for us to innovate, it's a great time when the customers to trust the Cloud and get a great story all from Druva or other players, purely in the Cloud, and great time for entrepreneurs like us to execute and bring a cutting edge solution to the market. >> We have a lot more to drill down on, thanks so much, and congratulations on your success. >> Thank you. >> Thanks for sharing.

Published Date : Aug 22 2017

SUMMARY :

and the impact to the industry around digital transformation everywhere in between, the data management has to become you got a couple of big news in a single platform in the Cloud. for the Druva product portfolio, and great validation on the Druva Cloud platform, how does that solve as the central focal point, of everything you do, and the people involved, and managing it as the same data, our position in the market and you know, as I think of and how that address some of these in the session of how you can interact with data more pertinent to pay as you go for a data management play for most of our customers by end of the year. and so came re-tan excel pure, right, now the whole backlash and congratulations on your success.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Jaspreet SinghPERSON

0.99+

TeslaORGANIZATION

0.99+

JohnPERSON

0.99+

Riverwood CapitalORGANIZATION

0.99+

Tenaya CapitalORGANIZATION

0.99+

SequoiaORGANIZATION

0.99+

DominoORGANIZATION

0.99+

DruvaORGANIZATION

0.99+

John FurrierPERSON

0.99+

AmazonORGANIZATION

0.99+

80 million dollarsQUANTITY

0.99+

millions of dollarsQUANTITY

0.99+

fiveQUANTITY

0.99+

todayDATE

0.99+

first guestQUANTITY

0.99+

Druva CloudTITLE

0.99+

more than 200 million dollarsQUANTITY

0.98+

CloudTITLE

0.98+

DruvaTITLE

0.97+

first oneQUANTITY

0.96+

nine yardsQUANTITY

0.96+

almost 250 million dollarsQUANTITY

0.95+

eachQUANTITY

0.95+

this monthDATE

0.95+

single platformQUANTITY

0.93+

up to 200QUANTITY

0.91+

oneQUANTITY

0.9+

this quarterDATE

0.88+

80 millionQUANTITY

0.87+

a lot of peopleQUANTITY

0.86+

two big newsQUANTITY

0.85+

Paolo AltoLOCATION

0.85+

Silicon AngleLOCATION

0.83+

number twoQUANTITY

0.82+

couple of years agoDATE

0.82+

end of the yearDATE

0.81+

no more than 10 Start-upsQUANTITY

0.74+

> 200QUANTITY

0.68+

CubeORGANIZATION

0.56+

SpecialEVENT

0.55+

Wrap - Google Next 2017 - #GoogleNext17 - #theCUBE


 

>> Narrator: Live from Silicon Valley, it's theCUBE, covering Google Cloud, Next 17. >> Hey, welcome back everyone. We're here live in the Palo Alto Studios, SiliconANGLE Media, is theCUBE's new 4400 square foot studio, here in our studio, this is our sports center. I'm here with Stu Miniman, analyst at Wikibon on the team. I was at the event all day today, drove down to Palo Alto to give us the latest in-person updates, as well as, for the past two days, Stu has been at the Analyst Summit, which is Google's first analyst summit, Google Cloud. And Stu, we're going to break down day one in the books. Certainly, people starting to get onto there. After-meetups, parties, dinners, and festivities. 10,000 people came to the Google Annual Cloud Next Conference. A lot of customer conversations, not a lot of technology announcements, Stu. But we got another day tomorrow. >> John, first of all, congrats on the studio here. I mean, it's really exciting. I remember the first time I met you in Palo Alto, there was the corner in ColoSpace-- >> Cloud Air. >> A couple towards down for fries, at the (mumbles) And look at this space. Gorgeous studio. Excited to be here. Happy to do a couple videos. And I'll be in here all day tomorrow, helping to break down. >> Well, Stu, first allows us to, one, do a lot more coverage. Obviously, Google Next, you saw, was literally a blockbuster, as Diane Greene said. People were around the block, lines to get in, mass hysteria, chaos. They really couldn't scale the event, which is Google's scale, they nailed the scale software, but scaling event, no room for theCUBE. But we're pumping out videos. We did, what? 13 today. We'll do a lot more tomorrow, and get more now. So you're going to be coming in as well. But also, we had on-the-ground, cause we had phone call-ins from Akash Agarwal from SAP. We had an exclusive video with Sam Yen, who was breaking down the SAP strategic announcement with Google Cloud. And of course, we have a post going on siliconangle.com. A lot of videos up on youtube.com/siliconangle. Great commentary. And really the goal was to continue our coverage, at SiliconANGLE, theCUBE, Wikibon, in the Cloud. Obviously, we've been covering the Cloud since it's really been around. I've been covering Google since it was founded. So we have a lot history, a lot of inside baseball, certainly here in Palo Alto, where Larry Page lives in the neighborhood, friends at Google Earth. So the utmost respect for Google. But really, I mean, come on. The story, you can't put lipstick on a pig. Amazon is crushing them. And there's just no debate about that. And people trying to put that out there, wrote a post this morning, to actually try to illustrate that point. You really can't compare Google Cloud to AWS, because it's just two different animals, Stu. And my point was, "Okay, you want to compare them? "Let's compare them." And we're well briefed on the Cloud players, and you guys have the studies coming out of Wikibon. So there it is. And my post pretty much sums up the truth, which is, Google's really serious about the enterprise. Their making steps, there's some holes, there's some potential fatal flaws in how they allow customers to park their data. They have some architectural differences. But Stu, it's really a different animal. I mean, it's apples and oranges in the Cloud. I don't think it's worthy complaining, because certainly Amazon has the lead. But you have Microsoft, you have Google, you have Oracle, IBM, SAP, they're all kind of in the cluster of this, I call "NASCAR Formation", where they're all kind of jocking around, some go ahead. And it really is a race to get the table stake features done. And really, truly be serious contender for the enterprise. So you can be serious about the enterprise, and say, "Hey, I'm serious about the enterprise." But to be serious winner and leader, are two different ball games. >> And a lot to kind of break down here, John. Because first of all, some of the (mumbles) challenges, absolutely, they scaled that event really big. And kudos to them, 10,000 people, a lot of these things came together last minute. They treated the press and analysts really well. We got to sit up front. They had some good sessions. You just tweeted out, Diane Greene, in the analyst session, and in the Q&A after, absolutely nailed it. I mean, she is an icon in the industry. She's brilliant, really impressive. And she's been pulling together a great team of people that understand the enterprise. But who is Google going after, and how do they compete against so of the other guys, is really interesting to parse. Because some people were saying in the keynote, "We heard more about G Suite "than we heard about some of the Cloud features." Some of that is because they're going to do the announcements tomorrow. And you keep hearing all this G Suite stuff, and it makes me think of Microsoft, not Amazon. It makes me think of Office 365. And we've been hearing out of Amazon recently, they're trying to go after some of those business productivity applications. They're trying to go there where Microsoft is embedded. We know everybody wants to go after companies like IBM and Oracle, and their applications. Because Google has some applications, but really, their strength is been on the data. The machine the AI stuff was really interesting. Dr. Fei-Fei Li from Stanford, really good piece in the keynote there, when they hired her not that long ago. The community really perked up, and is really interesting. And everybody seems to think that this could be the secret weapon for Google. I actually asked them like, in some of the one-on-ones, "Is this the entry point? "Are most people coming for this piece, "when it's around these data challenges in the analytics, "and coming to Google." And they're like, "Well, it's part of it. "But no, we have broad play." Everything from devices through G Suite. And last year, when they did the show, it was all the Cloud. And this year, it's kind of the full enterprise suite, that they're pulling in. So there's some of that sorting out the messaging, and how do you pull all of these pieces together? As you know, when you've got a portfolio, it's like, "Oh well, I got to have a customer for G Suite." And then when the customer's up there talking about G Suite for a while, it's like, "Wait, it's--" >> Wait a minute. Is this a software? >> "What's going on?" >> Is this a sash show? Is this a workplace productivity show? Or is this a Cloud show? Again, this is what my issue is. First of all, the insight is very clear. When you start seeing G Suite, that means that they've got something else that they are either hiding or waiting to announce. But the key though, that is the head customers. That was one important thing. I pointed out in my blog post. To me, when I'm looking for it's competitive wins, and I want to parse out the G Suite, because it's easy just to lay that on, Microsoft does it with 365 of Office, Oracle does it with their stuff. And it does kind of make the numbers fuzzy a little bit. But ultimately, where's the beef on infrastructure as a service, and platform as a service? >> And John, good customers out there, Disney, Colgate, SAP as a partner, HSBC, eBay, Home Depot, which was a big announcement with Pivotal, last year, and Verizon were there. So these are companies, we all know them. Dan Greene was joking, "Disney is going to bring their magic onto our magic. "And make that work." So real enterprise use cases. They seem to have some good push-around developers. They just acquired Kaggle, which is working in some of that space. >> Apogee. >> Yeah, Apogee-- >> I think Apogee's an API company, come on. What does that relate to? It has nothing to do with the enterprise. It's an API management solution. Okay, yes. I guess it fits the stack for Cloud-Native, and for developers. I get that. But this show has to nail the enterprise, Stu. >> And John, you remember back four years ago, when we went to the re:Invent show for the first time, and it was like, they're talking to all the developers, and they haven't gotten to the enterprise. And then they over-pivoted to enterprise. And I listen to the customers that were talking and keynote today, and I said, "You know, they're talking digital transformation, "but it's not like GE and Nike getting up on stage, "being like, "'We're going to be a software company, "'and we're hiring lots--'" >> John: Moving our data center over. >> They were pulling all of over stuff, and it's like, "Oh yeah, Google's a good partner. "And we're using them--" >> But to be fair, Stu. Let's be fair, for a second. First of all, let's break down the keynotes. And then we'll get to some of the things about being fair. And I think, one, people should be fair to Diane Greene, because I think that the press and the coverage of it, looking at the media coverage, is weak. And I'll tell you why it's weak. Cause everyone has the same story as, "Oh, Google's finally serious about Cloud. "That's old news. "Diane Greene from day one says "we're serious with the Cloud." That's not the story. The story is, can they be a serious contender? That's number one. On the keynote, one, customer traction, I saw that, the slide up there. Yeah, the G Suite in there, but at least they're talking customers. Number two, the SAP news was strategic for Google. SAP now has Google Cloud platform, I mean, Google Cloud support for HANA, and also the SAP Cloud platform. And three, the Chief Data Science from AIG pointed. To me, those were the three highlights of the keynote. Each one, thematically, represents at least a positive direction for Google, big time, which is, one, customer adoption, the customer focus. Two, partnerships with SAP, and they had Disney up there. And then three, the real game changer, which is, can they change the AI machine learning, TensorFlow has a ton of traction. Intel Xeon chips now are optimized with TensorFlow. This is Google. >> TensorFlow, Kubernetes, it's really interesting. And it's interesting, John, I think if the media listened to Eric Schmidt at the end, he was talking straight to them. He's like, "Look, bullet one. "17 years ago, I told Google that "this is where we need to go. "Bullet two, 30 billion dollars "I'm investing in infrastructure. "And yes, it's real, "cause I had to sign off on all of this money. And we've been all saying for a while, "Is this another beta from Google. "Is it serious? "There's no ad revenue, what is this?" And Diane Greene, in the Q&A afterwards, somebody talked about, "Perpetual beta seems to be Google." And she's like, "Look, I want to differentiate. "We are not the consumer business. "The consumer business might kill something. "They might change something. "We're positioning, "this a Cloud that the enterprise can build on. "We will not deprecate something. "We'll support today. "We'll support the old version. "We will support you going forward." Big push for channel, go-to-market service and support, because they understand that that-- >> Yeah, but that's weak. >> For those of us that used Google for years, understand that-- >> There's no support. >> "Where do I call for Google?" Come on, no. >> Yeah, but they're very weak on that. And we broke that down with Tom Kemp earlier, from Centrify, where Google's play is very weak on the sales and marketing side. Yeah, I get the service piece. But go to Diane Greene for a second, she is an incredible, savvy enterprise executive. She knows Cloud. She moved from server to virtualization. And now she can move virtualization to Cloud. That is her playbook. And I think she's well suited to do that. And I think anyone who rushes to judgment on her keynote, given the fail of the teleprompter, I think is a little bit overstepping their bounds on that. I think it's fair to say that, she knows what she's doing. But she can only go as fast as they can go. And that is, you can't like hope that you're further along. The reality is, it takes time. Security and data are the key points. On your point you just mentioned, that's interesting. Because now the war goes on. Okay, Kubernetes, the microservices, some of the things going on in the applications side, as trends like Serverless come on, Stu, where you're looking at the containerization trend that's now gone to Kubernetes. This is the battleground. This is the ground that we've been at Dockercon, we've been at Linux, CNCF has got huge traction, the Cloud Native Compute Foundation. This is key. Now, that being said. The marketplace never panned out, Stu. And I wanted to get your analysis on this, cause you cover this. Few years ago, the world was like, "Oh, I want to be like Facebook." We've heard, "the Uber of this, and the Airbnb of that." Here's the thing. Name one company that is the Facebook of their company. It's not happening. There is no other Facebook, and there is no other Google. So run like Google, is just a good idea in principle, horizontally scalable, having all the software. But no one is like Google. No one is like Facebook, in the enterprise. So I think that Google's got to downclock their messaging. I won't say dumb down, maybe I'll just say, slow it down a little bit for the enterprise, because they care about different things. They care more about SLA than pricing. They care more about data sovereignty than the most epic architecture for data. What's your analysis? >> John, some really good points there. So there's a lot of technology, where like, "This is really cool." And Google is the biggest of it. Remember that software-defined networking we spent years talking about? Well, the first big company we heard about was Google, and they got up of stage, "We're the largest SDN deployer in the world on that." And it's like, "Great. "So if you're the enterprise, "don't deploy SDN, go to somebody else "that can deliver it for you. "If that's Google, that's great." Dockercon, the first year they had, 2014, Google got up there, talked about how they were using containers, and containers, and they spin up and spin down. Two billion containers in a week. Now, nobody else needs to spin up two billion containers a week, and do that down. But they learned from that. They build Kubernetes-- >> Well, I think that's a good leadership position. But it's leadership position to show that you got the mojo, which again, this is again, what I like about Google's strategy is, they're going to play the technology card. I think that's a good card to play. But there are some just table stakes they got to nail. One is the certifications, the security, the data. But also, the sales motions. Going into the enterprise takes time. And our advice to Diane Greene was, "Don't screw the gold Google culture. "Keep that technology leadership. "And buy somebody, "buy a company that's got a full blown sales force." >> But John, one of the critiques of Google has always been, everything they create, they create like for Google, and it's too Googley. I talked to a couple of friends, that know about AWS for a while, and when they're trying to do Google, they're like, "Boy, this is a lot tougher. "It's not as easy as what we're doing." Google says that they want to do a lot of simplicity. You touched on pricing, it's like, "Oh, we're going to make pricing "so much easier than what Amazon's doing." Amazon Reserved Instances is something that I hear a lot of negative feedback in the community on, and Google's like, "It's much simpler." But when I've talked to some people that have been using it, it's like, "Well, generally it should be cheaper, "and it should be easier. "But it's not as predictable. "And therefore, it's not speaking to what "the CFO needs to have. "I can't be getting a rebate sometime down the road. "Based on some advanced math, "I need to know what I'm going to be getting, "and how I'm going to be using it." >> And that's a good point, Stu. And this comes down to the consumability of the Cloud. I think what Amazon has done well, and this came out of many interviews today, but it was highlighted by Val Bercovici, who pointed out that, Amazon has made their service consumable by the enterprise. I think that's important. Google needs to start thinking about how enterprises want to consume Cloud, and hit those points. The other thing that Val and I teased at, was kind of some new ground, and he coined the term, or used the term, maybe he coined it, I'm not sure, empathy. Enterprise empathy. Google has developer empathy, they understand the developer community. They're rock solid on open source. Obviously, their mojo's phenomenal on technology, AI, et cetera, TensorFlow, all that stuff's great. Empathy for the enterprise, not there. And I think that's something that they're going to have to work on. And again, that's just evolution. You mentioned Amazon, our first event, developer, developer, developer. Me and Pat Gelsinger once called it the developer Cloud. Now they're truly the enterprise Cloud. It took three years for Amazon to do that. So you just can't jump to a trajectory. There's a huge amount of diseconomies of scale, Stu, to try and just be an enterprise player overnight, because, "We're Google." That's just not going to fly. And whether it's sales motions, pricing and support, security, this is hard. >> And sorting out that go-to-market, is going to take years. You see a lot of the big SIs are there. PwC, everywhere at the show. Accenture, big push at the show. We saw that a year or two ago, at the Amazon show. I talked to some friends in the channel, and they're like, "Yeah, Google's still got work to do. "They're not there." Look, Amazon has work to do on the go-to-market, and Google is still a couple-- >> I mean, Amazon's not spring chicken here. They're quietly, slowly, ramming up. But they're not in a good position with their sales force, needs to be where they want to be. Let's talk about technology now. So tomorrow we're expecting to see a bunch of stuff. And one area that I'm super excited about with Google, is if they can have their identity identified, and solidified with the mind of the enterprise, make their product consumable, change or adjust or buy a sales force, that could go out and actually sell to the enterprise, that's going to be key. But you're going to hear some cool trends that I like. And if you look at the TensorFlow, and the relationship, Intel, we're going to see Intel on stage tomorrow, coming out during one of the keynotes. And you're going to start to see the Xeon chip come out. And now you're starting to see now, the silicon piece. And this has been a data center nuisance, Stu. As we talked about with James Hamilton at Amazon, which having a hardware being optimized for software, really is the key. And what Intel's doing with Xeon, and we talked to some other people today about it, is that the Cloud is like an operating system, it's a global computer, if you want look at that. It's a mainframe, the software mainframe, as it's been called. You want a diversity of chipsets, from two cores Atom to 72 cores Xeon. And have them being used in certain cases, whether it's programmable silicon, or whether it's GPUs, having these things in use case scenarios, where the chips can accelerate the software evolution, to me is going to be the key, state of the art innovation. I think if Intel continues to get that right, companies like Google are going to crush it. Now, Amazon, they do their own. So this is going to another interesting dynamic. >> Yeah, it was actually one of the differentiating points Google's saying, is like, "Hey, you can get the Intel Skylake chip, "on Google Cloud, "probably six months before you're going to be able to "just call up your favorite OEM of choice, "and get that in there." And it's an interesting move. Because we've been covering for years, John, Google does a ton of servers. And they don't just do Intel, they've been heavily involved in the openPOWER movement, they're looking at alternatives, they're looking at low power, they're looking at from their device standpoint. They understand how to develop to all these pieces. They actually gave to the influencers, the press, the analysts, just like at Amazon, we all walked home with Echo Dot, everybody's walking home with the Google Homes. >> John: Did you get one? >> I did get one, disclaimer. Yeah, I got one. I'll be playing with it home. I figured I could have Alexa and Google talking to each other. >> Is it an evaluation unit? You have to give it back, or do you get to keep? >> No, I'm pretty sure they just let us keep that. >> John: Tainted. >> But what I'm interested to see, John, is we talk like Serverless, so I saw a ton of companies that were playing with Alexa at re:Invent, and they've been creating tons of skills. Lambda currently has the leadership out there. Google leverages Serverless in a lot of their architecture, it's what drives a lot of their analytics on the inside. Coming into the show, Google Cloud Functions is alpha. So we expect them to move that forward, but we will see with the announcements come tomorrow. But you would think if they're, try to stay that leadership though there, I actually got a statement from one of the guys that work on the Serverless, and Google believes that for functions, that whole Serverless, to really go where it needs to be, it needs to be open. Google isn't open sourcing anything this week, as far as I know. But they want to be able to move forward-- >> And they're doing great at open source. And I think one of the things, that not to rush to judgment on Google, and no one should, by the way. I mean, certainly, we put out our analysis, and we stick by that, because we know the enterprise pretty well, very well actually. So the thing that I like is that there are new use cases coming out. And we had someone who came on theCUBE here, Tarun Thakur, who's with Datos, datos.io. They're reimagining data backup and recovery in the Cloud. And when you factor in IoT, this is a paradigm shift. So I think we're going to see use cases, and this is a Google opportunity, where they can actually move the goal post a bit on the market, by enabling these no-use cases, whether it's something as, what might seem pedestrian, like backup and recovery, reimagining that is huge. That's going to take impact as the data domains of the world, and what not, that (mumbles). These new uses cases are going to evolve. And so I'm excited by that. But the key thing that came out of this, Stu, and this is where I want to get your reaction on is, Multicloud. Clearly the messaging in the industry, over the course of events that we've been covering, and highlighted today on Google Next is, Multicloud is the world we are living in. Now, you can argue that we're all in Amazon's world, but as we start developing, you're starting to see the emergence of Cloud services providers. Cloud services providers are going to have some tiering, certainly the big ones, and then you're going to have secondary partner like service providers. And Google putting G Suite in the mix, and Office 365 from Microsoft, and Oracle put in their apps in their Clouds stuff, highlights that the SaaS market is going to be very relevant. If that's the case, then why aren't we putting Salesforce in there, Adobe? They all got Clouds too. So if you believe that there's going to be specialism around Clouds, that opens up the notion that there'll be a series of Multicloud architectures. So, Stu-- >> Stu: Yeah so, I mean, John, first of all-- >> BS? Real? I mean what's going on? >> Cloud is this big broad term. From Wikibon's research standpoint, SaaS, today, is two-thirds of the public Cloud market. We spend a lot of time talking-- >> In revenue? >> In revenue. Revenue standpoint. So, absolutely, Salesforce, Oracle, Infor, Microsoft, all up there, big dollars. If we look at the much smaller part of the world, that infrastructures a service, that's where we're spending a lot of time-- >> And platforms a service, which Gartner kind of bundles in, that's how Gartner looks at it. >> It's interesting. This year, we're saying PaaS as a category goes away. It's either SaaS plus, I'm sorry, it's SaaS minus, or infrastructure plus. So look at what Salesforce did with Heroku. Look at what company service now are doing. Yes, there are solutions-- >> Why is PaaS going away? What's the thesis? What's the premise of that for Wikibon research? >> If we look at what PaaS, the idea was it tied to languages, things like portability. There are other tools and solutions that are going to be able to help there. Look at, Docker came out of a PaaS company, DockCloud. There's a really good article from one of the Docker guys talking about the history of this, and you and I are going to be at Dockercon. John, from what I hear, we're going to spending a lot of time talking about Kubernetes, at Dockercon. OpenStack Summit is going to be talking a lot about-- >> By the way, Kubernetes originated at Google. Another cool thing from Google. >> All right, so the PaaS as a market, even if you talk to the Cloud Foundry people, the OpenShift people. The term we got, had a year ago was PaaS is Passe, the nice piffy line. So it really feeds into, because, just some of these categorizations are what we, as industry watchers have a put in there, when you talk to Google, it's like, "Well, why are they talking about G Suite, "and Google Cloud, and even some of their pieces?" They're like, "Well, this is our bundle "that we put together." When you talk to Microsoft, and talk about Cloud, it's like, "Oh, well." They're including Skype in that. They're including Office 365. I'm like, "Well, that's our productivity. "That's a part of our overall solutions." Amazon, even when you talk to Amazon, it's not like that there are two separate companies. There's not AWS and Amazon, it's one company-- >> Are we living in a world of alternative facts, Stu? I mean, Larry Ellison coined the term "Fake Cloud", talking about Salesforce. I'm not going to say Google's a fake Cloud, cause certainly it's not. But when you start blending in these numbers, it's kind of shifting the narrative to having alternative facts, certainly skewing the revenue numbers. To your point, if PaaS goes away because the SaaS minuses that lower down the stack. Cause if you have microservices and orchestration, it kind of thins that out. So one, is that the case? And then I saw your tweet with Sam Ramji, he formally ran Cloud Foundry, he's now at Google, knows his stuff, ex-Microsoft guy, very strong dude. What's he take? What's his take on this? Did you get a chance to chat with Sam at all? >> Yeah, I mean, it was interesting, because Sam, right, coming from Cloud Foundry said, what Cloud Foundry was one of the things they were trying to do, was to really standardize across the clouds. And of course, little bias that he works at Google now. But he's like, "We couldn't do that with Google, "cause Google had really cool features. And of course, when you put an abstraction layer on, can I actually do all the stuff? And he's like, "We couldn't do that." Sure, if you talked to Amazon, they'll be like, "Come on. "Thousand features we announced last year, "look at all the things we have. "It's not like you can just take all of our pieces, "and use it there." Yes, at the VM, or container, or application microservices layer, we can sit on a lot of different Clouds, public or private. But as we said today, the Cloud is not a utility. John, you've been in this discussion for years. So we've talked about, "Oh, I'm just going "to have a Cloud broker, "and go out in a service." It's like, this is not, I'm not buying from Domino's and Pizza Hut, and it's pepperoni pizza's a pepperoni pizza. >> Well, Multicloud, and moving workloads across Clouds, is a different challenge. Certainly, I might have to some stuff here, maybe put some data and edge my bets on leveraging other services. But this brings up the total cost of ownership problem. If you look at the trajectory, say OpenStack, just as a random example. OpenStack, at one point, had a great promise. Now it's kind of niched down into infrastructural service. I know you're going to be covering that summit in Boston. And it's going to be interesting to see how that is. But the word in the community is, that OpenStack is struggling because of the employment challenges involved with it. So to me, Google has an opportunity to avoid that OpenStack kind of concept. Because, talking about Sam Ramji, open source is the wildcard in all of this. So if you look at a open source, and you believe that that PaaS layer's thinning down, to infrastructure and SaaS, then you got to look at the open source community, and that's going to be a key area, that we're certainly watching, and we've identified, and we've mentioned it before. But here's my point. If you look at the total cost of ownership. If I'm a customer, Stu, I'm like, "Okay, if I'm just going to move to the Cloud, "I need to rely and lean on my partner, "my vendor, my supplier, "Amazon, or Google, or Microsoft, whoever, "to provide really excellent manageability. "Really excellent security. "Because if I don't, I have to build it myself." So it's becoming the shark fin, the tip of the iceberg, that you don't see the hidden cost, because I would much rather have more confidence in manageability that I can control. But I don't want to have to spend resources building manageability software, if the stuff doesn't work. So there's the issue about Multicloud that I'm watching. Your thoughts? Or is that too nuance? >> No, no. First of all, one of the things is that if I look at what I was doing on premises, before versus public Cloud, yes, there are some hidden costs, but in general I think we understand them a little bit better in public Cloud. And public Cloud gives us a chance to do a do-over for this like security, which most of us understand that security is good in public Cloud. Now, security overall, lots of work to do, challenges, not security isn't the same across all of them. We've talked to plenty of companies that are helping to give security across Clouds. But this Multicloud discussion is still something that is sorting out. Portability is not simple, but it's where we're going. Today, most companies, if I'm not really small, have some on-prem pieces. And they're leveraging at least one Cloud. They're usually using many SaaS providers. And there's this whole giant ecosystem, John, around the Cloud management platforms. Because managing across lots of environment, is definitely a challenge. There's so many companies that are trying to solve them. And there's just dozens and dozens of these companies, attacking everything from licensing, to the data management, to everything else. So there's a lot of challenges there, especially the larger you get as a company, the more things you need to worry about. >> So Stu, just to wrap up our segment. Great day. Wanted to just get some color on the day. And highlighting some parody from the web is always great. Just got a tweet from fake Andy Jassy, which we know really isn't Andy Jassy. But Cloud Opinion was very active to the hashtag, that Twitter handle Cloud Opinion. But he had a medium post, and he said, "Eric Schmidt was boring. "Diane Greene was horrible. "Unfortunately, day one keynote were missed opportunity, "that left several gaps, "failed to portray Google's vision for Google Cloud. "They could've done the following, A, "explain the vision for the Cloud, "where do they see Google Cloud going. "Identify customer use cases that show samples "and customer adoption." They kind of did that. So discount that. My favorite line is this one, "Differentiate from other Cloud providers. "'We're Google damn it,' isn't working so well. "Neither is indirect shots as S3 downtime, "didn't work either as well as either. "Where is the customer's journey going? "And what's the most compelling thing for customers?" This phrase, "We're Google damn it," has kind of speaks to the arrogance of Google. And we've seen this before, and always say, Google doesn't have a bad arrogance. I like the Google mojo. I think the technology, they run hard. But they can sometimes, like, "Customer support, self-service." You can't really get someone on the phone. It's hard to replies from Google. >> "Check out YouTube video. "We own that too, don't you know that?" >> So this is a perception of Google. This could fly in the face, and that arrogance might blow up in the enterprise, cause the enterprises aren't that sophisticated to kind of recognize the mojo from Google. And they, "Hey, I want support. "I want SLAs. "I want security. "I want data flexibility." What's your thoughts? >> So Cloud Opinion wrote, I thought a really thoughtful piece leading up to it, that I didn't think was satire. Some of what he's putting in there, is definitely satire-- >> John: Some of it's kind of true though. >> From the keynote. So I did not get a sense in the meetings I've been in, or watching the keynote, that they were arrogant. They're growing. They're learning. They're working with the community. They're reaching out. They're doing all the things we think they need to do. They're listening really well. So, yes, I think the keynote was a missed opportunity overall. >> John: But we've got to give, point out that was a teleprompter fail. >> That was a piece of it. But even, we felt with a little bit of polish, some of the interactions would've been a little bit smoother. I thought Eric Schmidt's piece was really good at end. As I said before, the AI discussion was enlightening, and really solid. So I don't give it a glowing rating, but I'm not ready to trash it. And tomorrow is when they're going to have the announcements. And overall, there's good buzz going at the show. There's lots going on. >> Give 'em a letter. Letter grade. >> For the keynote? Or the show in general? >> So far, your experience as an analyst, cause you had the, again, to give them credit, I agree with you. First analyst conference. They are listening. And the slideshow, you see what they're doing. They're being humble. They didn't take any real direct shots at its competitors. They were really humble. >> And that is something that I think they could've helped to focus one something that differentiated a little bit. Something we had to pry out of them in some of the one-on-ones, is like, "Come on, what are you doing?" And they're like, "We're winning 50, 60% of our competitive deals." And I'm like, "Explain to us why. "Because we're not hearing it. "You're not articulating it as well." It's not like we expect them, it's like, "Oh wait, they told us we're arrogant. "Maybe we should be super humble now." It's kind of-- >> I don't think they're thinking that way. I think my impression of Google, knowing the companies history, and the people involved there, and Diane Greene in particular, as you know from the Vmware days. She's kind of humble, but she's not. She's tough. And she's good. And she's smart. >> And she's bringing in really good people. And by the way, John, I want to give them kudos, really supported International Women's Day, I love the, Fei-Fei got up, and she talked about her, one of her compatriots, another badass woman up there, that got like one of the big moments of the keynote there. >> John: Did they have a woman in tech panel? >> Not at this event. Because Diane was there, Fei-Fei was there. They had some women just participating in it. I know they had some other events going on throughout the show. >> I agree, and I think it's awesome. I think one of the things that I like about Google, and again, I'll reiterate, is that apples and oranges relative to the other Cloud guys. But remember, just because Amazon's lead is so far ahead, that you still have this jocking of position between the other players. And they're all taking the same pattern. Again, this is the same thing we talked about at our other analysis, is that, certainly at re:Invent, we talked about the same thing. Microsoft, Oracle, IBM, and now Google, are differentiating with their apps. And I think that's smart. I don't think that's a bad move at all. It does telegraph a little bit, that maybe they got, they could add more to show, we'll see tomorrow. But I don't think that's a bad thing. Again, it does make the numbers a little messy, in terms of what's what. But I think it's totally cool for a company to differentiate on their offering. >> Yeah, definitely. And John, as you said, Google is playing their game. They're not trying to play Amazon's game. They're not, Oracle's thing was what? You kind of get a little bit of the lead, and kind of just make sure how you attack and stay ahead of what they're doing, going to the boating analogy there. But Google knows where they're going, moving themselves forward. That they've made some really good progress. The amount of people, the amount of news they have. Are they moving fast enough to really try to close a little bit on the Amazon's world, is something I want to come out of the show with. Where are customers going? >> And it's a turbulent time too. As Peter Burris, our own Peter Buriss at Wikibon, would say, is a turbulent time. And it's going to really put everyone on notice. There's a lot to cover, if you're an analyst. I mean, you have compute, network storage, services. I mean, there's a slew of stuff that's being rolled out, either in table stakes for existing enterprises, plus new stuff. I mean, I didn't hear a lot of IoT today. Did you hear much IoT? Is there IoT coming to you at the briefing? >> Come on. I'm sure there's some service coming out from Google, that'll help us be able to process all this stuff much faster. They'll just replace this with-- >> So you're in the analyst meeting. I know you're under NDA, but is there IoT coming tomorrow? >> IoT was a term that I heard this week, yes. >> So all right, that's a good confirmation. Stu cannot confirm or deny that IoT will be there tomorrow. Okay, well, that's going to end day one of coverage, here in our studio. As you know, we got a new studio. We have folks on the ground. You're going to start to see a new CUBE formula, where we have in-studio coverage, and out in the field, like our normal CUBE, our "game day", as we say. Getting all the signal, extracting it from that noise out there, for you. Again, in-studio allows us to get more content. We bring our friends in. We want to get the content. We're going to get the summaries, and share that with you. I'm John Furrier, Stu Miniman, day one coverage. We'll see you tomorrow for another full day of special coverage, sponsored by Intel, two days of coverage. I want to thank Intel for supporting our editorial mission. We love the enterprise, we love Cloud, we love big data, love Smart Cities, autonomous vehicles, and the changing landscape in tech. We'll be back tomorrow, thanks for watching.

Published Date : Mar 9 2017

SUMMARY :

Silicon Valley, it's theCUBE, analyst at Wikibon on the team. I remember the first time for fries, at the (mumbles) And really the goal was and in the Q&A after, Is this a software? And it does kind of make the "Disney is going to bring I guess it fits the And I listen to the and it's like, "Oh yeah, and also the SAP Cloud platform. And Diane Greene, in the Q&A afterwards, "Where do I call for Google?" Name one company that is the And Google is the biggest of it. But also, the sales motions. one of the critiques of and he coined the term, do on the go-to-market, is that the Cloud is in the openPOWER movement, talking to each other. they just let us keep that. from one of the guys And Google putting G Suite in the mix, of the public Cloud market. smaller part of the world, And platforms a service, So look at what Salesforce the idea was it tied to languages, By the way, Kubernetes All right, so the PaaS as a market, it's kind of shifting the narrative to "look at all the things we have. So it's becoming the shark fin, First of all, one of the things is that I like the Google mojo. "We own that too, don't you know that?" This could fly in the face, that I didn't think was satire. They're doing all the things point out that was a teleprompter fail. the AI discussion was enlightening, Give 'em a letter. And the slideshow, you And I'm like, "Explain to us why. and the people involved there, And by the way, John, I know they had some other events going on Again, it does make the You kind of get a little bit of the lead, And it's going to really to process all this stuff I know you're under NDA, I heard this week, yes. and out in the field,

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Diane GreenePERSON

0.99+

DianePERSON

0.99+

JohnPERSON

0.99+

HSBCORGANIZATION

0.99+

OracleORGANIZATION

0.99+

IBMORGANIZATION

0.99+

GoogleORGANIZATION

0.99+

Larry EllisonPERSON

0.99+

Dan GreenePERSON

0.99+

AmazonORGANIZATION

0.99+

Larry PagePERSON

0.99+

MicrosoftORGANIZATION

0.99+

FacebookORGANIZATION

0.99+

Sam RamjiPERSON

0.99+

Sam YenPERSON

0.99+

Pat GelsingerPERSON

0.99+

Stu MinimanPERSON

0.99+

Tom KempPERSON

0.99+

eBayORGANIZATION

0.99+

Palo AltoLOCATION

0.99+

50QUANTITY

0.99+

Eric SchmidtPERSON

0.99+

NikeORGANIZATION

0.99+

James HamiltonPERSON

0.99+

Peter BurissPERSON

0.99+

AWSORGANIZATION

0.99+

AIGORGANIZATION

0.99+

Home DepotORGANIZATION

0.99+

DisneyORGANIZATION

0.99+

SamPERSON

0.99+

VerizonORGANIZATION

0.99+

Reuven Cohen, Aporeto & Huffington Post - Mobile World Congress 2017 - #MWC17 - #theCUBE


 

(light techno music) >> Hello and welcome to our special Mobile World Congress '1, #MWC17. I'm John Furrier inside theCUBE Studio breaking down all the analysis we're going to be covering at Mobile World Congress. We kind of know some news is coming out, that's Monday and Tuesday all day coverage. We're here with @rUvreuv, Reuv Cohen, an entrepreneur I've known for years. Going back to when we first met in the cloud days back in '08 timeframe, '09, when dev ops was really the beginning of the movement. You've been an entrepreneur, you've sold multiple companies, multi-time successful entrepreneur. But you've been deep in the cloud game. Welcome to theCUBE special coverage of Mobile World Congress. >> Thanks for inviting me, I'm happy to be here. >> The other thing, too, is we just tried to get the Periscope thing working so we have our little Periscopes going here. But this is really the media landscape that's going to be one of the themes at Mobile World Congress that certainly will be front and center. These service providers have to have a business model. And media entertainment has been on their to-do list. Just a lot of the plumbing hasn't gotten done. And the new trend that's going to be really front and center is AI. We were joking about that. But seriously, you're doing a lot of discussions around AI. And then Intel's 5G now, which they pre-announced this week, prior to Mobile World Congress with 5G. Their positioning is a step-up game changer. So you got 5G overlay network, you have real plumbing that's getting done with NFV, Network Functions Virtualization. You have the app market exploding. Will the service providers ever make it? Will the telco's actually figure out a business model? >> Well, you know, they're always the pipes, and you're always going to need pipes. There's an endless amount of opportunities for those people figuring out what to do with those pipes. I don't know, this is the question we've been asked for 20 years. Do they want to be more than dumb pipes, right? >> Well, they've yet to find a business model. I mean, I think one of the things, I was looking at the Intel announcement, was, is 5G a technology looking for a problem, or does it really actually create a step-up function in terms of capability. I mean 4G is just an evolution of 3G, LTE is getting some speeds there. But, I mean, my family hits their caps on all the data we're doing. People are hitting their data caps, we need more data. So the question is, is that going to be ready for prime time? Your thoughts on? >> Well, there's almost like a Moore's law of data, right. The more data you have available to use, the more things you can do with it. You know, Periscope's a prime example. Now they're doing a whole variety of different video-related things, Facebook lives, there's a YouTube lives, everyone wants to do live. And all that requires massive amounts of data, especially if you want to do high definition related things. We were actually trying to set up a Periscope before the broadcast this morning. And one of the first things that became apparent was we had to limit our bit rate to 800 kilobits, which is relatively small when you think about it. >> Yeah, that's the bandwidth issues. I mean, at the end of the day it comes down to the last miles, we always say. But let's get into some of the analysis of Mobile World Congress and let's get down under the hood. Is could truly ready for prime time? And when I say cloud, I mean, obviously, full-stack infrastructure because network virtualization has been one of those kind of shifting sands, if you will. NFV has been one of those things that's been kind of evolving. OpenStack is seen to be much more of a telco use case at some of the OpenStack summits we've covered. Your thoughts on the progress of cloud-ready telcos? >> You know it comes down to, if you're going to build an application, whether you're an enterprise, whether you're an individual developer or something in between, you're probably not going to build it in your own data center. Whether that's a closet in the back of your office, or your own... You're probably going to go and build something that's quick and fast and efficient. And that really is starting to look like things that are server-less, things that are event-driven and that isn't really sitting in your own data center anymore. >> So what's your take on the ecosystem? Do you think that the ecosystem play for the Mobile World Congress is going to shift at all? I mean, I was commenting to Dave Vellante just last week and Jeff Frick, here on theCUBE team that CES, which we don't go to anymore because it's gotten too big. But this year we did cover it here in the studio like we're doing with Mobile World Congress. It just seems that CES is no longer a consumer electronics show, it's more of a car show. Autonomous vehicles are, obviously, front and center, that's the glam, that's the eye candy. Mobile World Congress doesn't seem to be a device show anymore, or it's shifting away. Last year Mark Zuckerberg gave the keynote speech, and you saw that shift. What's Mobile World Congress turning into, in your opinion? >> It's an app show. So, where CES still sort of has this focus on the actual physical things that you can touch and build. The mobile apps of the world are now the things that dominate mobility. Is a phone interesting? Not really. (John laughs) What you do on your phone is definitely interesting. >> It's interesting to look at also, and talking to folks about, Mobile World Congress is one of those shows, it's a biz dev show, too. A lot of people who fly over to Barcelona don't really go for the pure content. There's more business deals going on. All the top executives of the big technology companies go there. Your thoughts on landscape of the vendors out there that are suppliers to this new consumerized market. You see deals happening that you think would be interesting? Where do you see the formation of the industry lining up? Obviously, some things have to get done at a technical level. 5G's great, great hope for that. But some companies are trying to transform look at Cisco, companies like Cisco, companies like Hewlett-Packard Enterprise, VM Ware, AWS, Google, Intel, Qualcomm. I mean there seems to be a feeling of posturing and a reef-set, if you will. >> 2017, so far, is shaping up to be the year of Snapchat, if you ask me. With a pending IPO they're saying that their revenues are going to be increasing 5x. It looks like everything we've been talking about, the app-based world, is sort of culminating in this Snapchat thing. So the question is, is Snapchat going to live up to all the hype that's surrounding them as this sort of, next generation of you know, the next Facebook, the next Google, the next whatever. >> Well it's interesting, Snapchat brings up the conversation of, the people who have their head in the sand versus people who are riding this wave. Facebook was totally pooh-pooh'ed during the IPO. I remember leading up to the IPO, it was like, oh my God, there's no way they can do it. They can never be the next Google, that was kind of the comparison. Google was compared to Microsoft, and then Facebook was compared to Google. And then everyone was like, no frickin' way that's going to happen. Why would anyone want to seed that company? It's a social net for college kids, and now some adults are coming on. And then look what happened, so the world changed. Snapchat's the same way, so it's interesting, it's not what you think. The core competency shifts and the user consumption becomes democratized. So the question is, what does Snapchat mean for telcos? Does that mean that they're just pipes? What do they do? How do they get in front of this? You got Netflix, you got Amazon out there with, now, the video stuff. >> People want content and they want it fast, they want it in high quality and they want it on the go. So, yeah it is the question. I think that the challenge that a lot of these telco's are having is the fact that they still have a bit of a monopoly in many parts of the world and they use that monopoly to inflict quite a bit of pain. So it's, I don't think that's something that they're going to be able to get away with very much longer. >> So what's your take on AI? Since you've been doing a lot of AI. And obviously, AI's been around. In the 80's when I got my CS degree, LISP was out there, neural networks, object-oriented programming was hitting the scene. You know, you had this kind of mind-set, and it was still, AI was this elusive academic mental model and some coding. Now it's all the rage, when you look at autonomous vehicles and you look at IOT, drones, a new landscape is here, connected consumer. Your thoughts on where AI, is it, right now, certainly it's hyped, we all agree on that. >> There's been several iterations of AI over the last 40 years. Every time technology appears you hear about AI. In the 70's you saw things like Space Odyssey and there was this rush to AI-related activities around the first generation of computing. Then that sort of, we realized it wasn't really possible and it disappeared for 25 years. Then it reemerged in your early days of internet, oh, it was still too early. (John laughs) So now 15, 20 years later, again, we are in this, another dawn of AI. But there is some critical differences. Now there are tooling that allows you to do the sorts of things that we had only dreamt of before, whether it's natural language processing, generation of information and other various forms of analytics. So all these things are culminating in these opportunities that were really never possible until now, including things like cloud computing. >> Machine learning certainly is the center of that. I love the machine learning rates. But machine learning's been around for a long time as well. I mean machine learning isn't necessarily new, it's mostly software that has to do with algorithms. But now you have data to compute. This is the new thing, right? Data's available and you got tons to compute. >> Yeah, it was hard >> Yeah. >> It was really, really hard. And anyone that's actually tried to go out and do a machine learning system, neural net, realized quite quickly that you had to be a phD to figure out how to use these tools. So now all these tools are being put together into platforms and end-user applications. So no longer do I have to go and try to put together a Lego, you know, erector set of stuff. I can go, I can get mostly everything I need to solve a problem and I can be off to the races quite quickly. >> So what's your up work you're doing now, Reuv? You've been an entrepreneur, give us the latest update on what's in your world right now. You were, obviously, instrumental in a lot of cloud ventures and, obviously, you've been in the industry, certainly as an influencer as well, you've got the little blue check on Twitter, which I don't have yet. Twitter rejected me twice, I got to get to the... Stu has it, Stu Miniman on our team. In all seriousness, this is a new world and you're on the front lines both as a media producer, you've got a great podcast, but also you're in the industry. Where is cloud going and where's that top of the stack action because that really is, you mentioned apps, that's where the action is right now. What do you see happening and what are you up to these days? >> Well, you know, a couple areas. One of the things they don't tell you is, after you sell your business, you lose a little bit of your purpose. (laughs) Personal problem, for sure, but. >> You make some good cash. >> Yeah, exactly. Put it in the bank there, bank some cash. >> Yeah, so after Anomaly and Virtual Stream exited there was this period where I get to do things that I want to do. And investing in other start ups was, you know, the thing that apparently, you do. I focused heavily on AI-related companies. Actually I just recently did an investment in a company called Zoom.AI, which is really doing some cool stuff around enterprise-focused AI work. Also, I've got a day job as well outside that. I recently joined a company here in San Jose that focuses on security for containerized environments. So, sort of policy-based security, very low level stuff. >> At the orchestration layer, or at the docker layer or where would you...? >> It's at, it's even lower than that. It essentially orchestrates the policy around things like system calls and networking itself. So, rather than having to focus on the complexities of all the various parts of an environment, what we do is we basically say, hey, look at the tags that exist and things like Kubernetes. And then those tags define the policies in which things can communicate with one another. Let's say it's a layer three network, or what has read or write access to the system calls themselves. >> Is that a new company for you, that you guys launched? >> Well, we're in the process of launching. >> So stealth? >> It's stealthy, I'm telling you about it right now. (both laugh) >> What's the name? >> Appareto. >> Appareto, so there it is. We're launching on theCUBE here, on Periscope, pre-recorded for our Mobile World Congress special coverage. Alright so this is, basically, this is the cloud native goes to full scale cloud, for apps. >> Exactly, so containers, we've come full circle. Anyone that's been around for a while knows containers is certainly not a new trend. Solaris, you know, 25 years ago doing containers. The implementation of it around micro-services and the tooling around dev ops and docker and other various Kubernetes-types deployments have made it much more readily attainable, in terms of using it within an enterprise or a run of the mill application. >> We were talking with a lot of folks leading up to Mobile World Congress prep for our special coverage and micro-services comes up heavily, and micro-services as an integration layer. And one of the things that we're seeing, I want to get your thoughts on this, is you see IBM just announced this week here in San Francisco at their IBM Connect event, oh, it's our Lotus Domino and Verved, which is their collaborative software. But the key to all this collaborative software, even to the Oracle's of the world and to Amazon, is integration with third party apps. And micro-services and containers become a critical component of that. So, for entrepreneurs and/or app developers, a new kind of third party developer is emerging and they need to integrate. What is the role micro-services play in all of this? This is a really key point, because this will point right at the telcos. Because whoever can embrace an ecosystem of app developers from an integrations standpoint will win, in my opinion. Your thoughts, do you see it in the same way? And how does micro-services and all this stuff play into that? >> Well, there's two... >> It's the glue layer? >> Yeah, it's the glue. Lego is, again, is kind of the thing that pops in my mind. There are these two, sort of, battling schools of thought. One is micro-services which allows you to easily plug and play these various components. The other is server-less, these things that are very event-driven, they're transient. They allow you to, again, act as a kind of glue that puts everything together. One's based on, predominantly, the idea of containers which is kind of a lightweight OS. And the other is basically saying, I don't need an OS. All I need is the functions that I need, when I need them, and I put them together and I'm off to the races. I think that most applications aren't ready for a whole choice of just doing one or the other, it's kind of a combination. So the exciting thing now, is you can do what used to take weeks or months, in a matter of days with these types of technologies. >> So your final thought on Mobile World Congress. What do you expect to see in the hype cycle noise and where's the signal? Where do you see this event happening, what's your thoughts? >> I think we're going to see a lot more in the focus of things like media and convergence. I think video-related activities is certainly going to remain to be hot. I think the tooling around enabling that type of high definition video focus is going to be a priority for a lot of these companies and the tooling around that will be a priority. >> We're here with Reuv breaking down the Mobile World Congress analysis and preview and all of what's happening in the news. Obviously, Intel, with the 5G, big announcement. I think they raised the curtain early. Obviously, they're competing with Qualcomm which has a different licensing agreement than Intel. Which is, you know, you see Apple as a big customer of Qualcomm and Intel. Interesting because as the price of the hardware goes down the chip guys want more cash, Qualcomm wants more cash than Intel. Very interesting dynamic, I think this ecosystem is going to be something that's going to watch. I think there's going to be a battle. I'm predicting that at Mobile World Congress we'll see a battle of the ecosystem. You're going to see whoever can make the market and shift the game, will be the winner. Reuv, thanks for spending the time, appreciate it. This is SiliconANGLE broadcasting here in Palo Alto for Mobile World Congress '17, special coverage. Thanks for watching. (light techno music)

Published Date : Feb 27 2017

SUMMARY :

the beginning of the movement. Just a lot of the plumbing hasn't gotten done. Well, you know, they're always the pipes, So the question is, is that going the more things you can do with it. I mean, at the end of the day it comes down Whether that's a closet in the back of your office, the Mobile World Congress is going to shift at all? the actual physical things that you can touch and build. I mean there seems to be a feeling So the question is, is Snapchat going to live up So the question is, what does Snapchat mean for telcos? in many parts of the world and they use that monopoly Now it's all the rage, when you look at autonomous vehicles In the 70's you saw things like Space Odyssey I love the machine learning rates. realized quite quickly that you had to be a phD the stack action because that really is, you mentioned apps, One of the things they don't tell you is, Put it in the bank there, bank some cash. you know, the thing that apparently, you do. At the orchestration layer, or at the docker layer of all the various parts of an environment, It's stealthy, I'm telling you about it right now. goes to full scale cloud, for apps. and the tooling around dev ops and docker But the key to all this collaborative software, So the exciting thing now, is you can do what used Where do you see this event happening, what's your thoughts? and the tooling around that will be a priority. and shift the game, will be the winner.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
QualcommORGANIZATION

0.99+

Jeff FrickPERSON

0.99+

Reuv CohenPERSON

0.99+

CiscoORGANIZATION

0.99+

Dave VellantePERSON

0.99+

AWSORGANIZATION

0.99+

MicrosoftORGANIZATION

0.99+

GoogleORGANIZATION

0.99+

AppleORGANIZATION

0.99+

Hewlett-Packard EnterpriseORGANIZATION

0.99+

IBMORGANIZATION

0.99+

San JoseLOCATION

0.99+

@rUvreuvPERSON

0.99+

John FurrierPERSON

0.99+

25 yearsQUANTITY

0.99+

BarcelonaLOCATION

0.99+

IntelORGANIZATION

0.99+

AmazonORGANIZATION

0.99+

Stu MinimanPERSON

0.99+

Mark ZuckerbergPERSON

0.99+

San FranciscoLOCATION

0.99+

20 yearsQUANTITY

0.99+

FacebookORGANIZATION

0.99+

twoQUANTITY

0.99+

last weekDATE

0.99+

ReuvPERSON

0.99+

Palo AltoLOCATION

0.99+

VM WareORGANIZATION

0.99+

OracleORGANIZATION

0.99+

JohnPERSON

0.99+

Last yearDATE

0.99+

YouTubeORGANIZATION

0.99+

CESEVENT

0.99+

Mobile World CongressEVENT

0.99+

this yearDATE

0.99+

twiceQUANTITY

0.99+

5xQUANTITY

0.99+

800 kilobitsQUANTITY

0.99+

TuesdayDATE

0.99+

Zoom.AIORGANIZATION

0.99+

ApparetoTITLE

0.99+

#MWC17EVENT

0.99+

LegoORGANIZATION

0.99+

MondayDATE

0.98+

telcoORGANIZATION

0.98+

oneQUANTITY

0.98+

SnapchatORGANIZATION

0.98+

2017DATE

0.98+

OneQUANTITY

0.98+

this weekDATE

0.98+

NetflixORGANIZATION

0.98+

IBM ConnectEVENT

0.98+

'09DATE

0.98+

bothQUANTITY

0.98+

TwitterORGANIZATION

0.98+

first generationQUANTITY

0.98+

Mobile World Congress '17EVENT

0.98+

Lotus DominoTITLE

0.98+

70'sDATE

0.97+

25 years agoDATE

0.97+

Tom DeClerck - IBM Information on Demand 2013 - theCUBE


 

okay we're back here live at IBM iod this is the cube our flagship program about the advances in there from the noise i'm john furrier the founders look at an angle enjoy my co-host David on to the co-founder Wikibon or go to SiliconANGLE calm for the reference point in tech innovation Kotobuki bun or for free research research analysts they're putting out free content and of course you always come by the Cuban see where we are in the events wouldn't be at Amazon Web Services event with all the events extracted sniffle noise and share that with you our next guest is Tom de Klerk CIO of superior group welcome to the queue thank you Dave you and I'd love to talk about CEOs because you know maybe we get the real scoop on things so first why you here at IBM iod let's get that out of the way to talk about some of the things you doing here and what you're seeing here sure so we something with the company three years we're a staffing organization why I'm here I was actually here last year and we've implemented three major systems in the last three years one was SI p and embrace the ERP system second being IBM connections and the third being IBM cognos and so over the course of the three years you know trying to roll off these projects so I'm here to to learn more about you know the capabilities of cognos and the biggest one for me is that with cognos and SI p SI p when they bought their in iowa city i'm sorry when IBM bought cognos it was 881 they had a report pack specifically for SI p customers so when they went to 10 1 and 10 2 they didn't offer that product so there they just started developing a year ago I sat down with some senior executives if the IBM organization and said you guys are losing an opportunity here customers that have an implementation of SI p and trying to get information out other than using SI piece product business analytics so they over the course of the year have been developing a rapport pack that they can offer the customers so we were part of the beta testing program for IBM and so that's I'm here to actually talk to some other people and understand something listen to you see how they impact on product development that's good well yeah there's there's the continuous improvements even I'm even on the well you look at the report pack now it's still in my mind and I fed this feedback back night there's it's a do list oh absolutely but that's not any type of a rollout of any product you can expect that so tell us a little bit more about superior group you guys your staffing company would yes we're a we're a company that's headquartered in Buffalo New York and we started back in nineteen fifty-seven it's a privately held company we have a total of 400 staff employees and roughly anywhere from seven to nine thousand contract employees so we provide workforce solutions as well as outsourcing and primarily in three areas people process as well as the outsourcing project outsourcing so on the people side it's your traditional recruiting for staff augmentation executive Research recruiting as well as direct placement and then on the process ID we offer managed services program we also offer vendor managed services independent independent contractor compliance and then on the outsourced and we have IT outsourcing HR outsourcing so that's pretty much our companies make up and tell we were talking off-camera about sort of the role the CIO and you'd like to everybody would like to be more strategic if they had time but a lot of the cios especially mid-sized organizations she doesn't don't have as many you know people to to be able to sit back and do some of those more strategic things but so a lot of CIOs talk about transforming their organization you've kind of transformed it with three huge projects in the past what would you say this was two years yes sir yeah the solicitors perspective SI p was started in july of 2010 and then started last year with the IBM connections and the Cognos reporting okay so but still over sure yeah let me that's that's some major disruptions to talk about how you manage that so it was extremely challenging especially given the number of resources that we have were a mid-sized company and when I came from a manufacturing organization spent 15 years working for manufacture Murray so going from that vertical into professional services vertical I was used to used to having a lot of IT resources to be able to support an organization so you highly leveraged the contractors and consultants both with sa fie they're implementing partner as well as an IBM it was critical for us to leverage IBM's knowledge and their skill set in order to be successful in rolling out our products so the SI p rollout was was the most complicated i'm sonia to me by far by far it took yeah we rolled out ECC six-point lead us with the full suite payroll sore we provide pay Rowling's one of our services so HCM which is human capital management the sales and distribution material management so a lot of the fundamental components of sa p we rolled out so it was it was quite a an interesting experience that was that core yes he went capital measurement or success factors no ms core we've looked at successfactors about it about a year ago and it just doesn't fit quite fit at this point in time as they start to develop in the product becomes a little more mature that may be a better fit for our organization and connections what was the driver behind bringing them in and talk about that a little bit sure so for us connections we did some analysis early this year breaking in january went a project strategy where we looked and discussed with some of our internal associates and interviewed about 30 staff employees and one of the only two fundamental things that came back out of that analysis was one we don't communicate properly our business goals throughout our organization so we're headquartered in Buffalo but we have over 50 locations worldwide so we have a lot of connect you know offices remotely and people that aren't sitting at our headquarters and that was another concern of feedback that was brought back to us was that we don't have the ability or the people with the remote offices felt like they weren't part of the the whole process or communicating properly with a corporate headquarters so we felt that this was the perfect platform to allow us to enable them so we did quite a bit of research we have a director of marketing and mobile strategy that went through a complete analysis and we looked at the SharePoint product but what's nice about the this product as opposed to the SharePoint is the the look and feel of you know like a linkedin the Twitter and that social media aspect of it so it really leveraged us leverage for us an opportunity to to collaborate and to reach out to these locations so the objectives were collaboration better communication so how is that being used how widely is it being used how did it change things it's really curious as to the outcome so actually it wasn't very positive outcome in it you know as you roll out of when you take a company you actually do a transformation into a social media type organization it's never in my opinion ever done it's a continuous process so we're still evolving as we go along I think the key is to be a front is that have the right adoption strategy so last year in january i attended the IBM connect down in florida and i actually participated an event with some senior execs with sandy sandy carter from IBM who heads up that part of the organization the social media and so it really it was about adoption strategy it's keith really not only is it just to implement it that's an IT thing and that's pretty straightforward but i've seen in the past it's always the challenge of not only just implementing the technology but then it's it's adopting and getting your users to use that and so because it had that look and feel that a lot of the people are familiar with you and your facebooks and that it's X have been extremely successful in rolling that out now that said we still think there's additional opportunities and we're looking at doing some enhancements social dashboarding looking at executive blogs a big value at four ization it's just when we roll it out not just internally to our staff employees but rolling it out to our contractors so we have anywhere between seven to nine thousand contractors working for superior and so they'll be working in our business there's a high turnover rate yoko and we'll place someone at a company but maybe work there for a month two months a week and that when they leave that now which goes away with them so we're really targeting our value add to be able to roll this out to even to our contract employee so when they go work on site they start to collaborate share information and invent that they do leave we still harvest that information that's bi-directional too I mean they're a representation of your company even though they are transient but so you can communicate to them like you say executive blogs what the what the corporate messaging is policies whatever it is that they can take it to as representing you essentially as an extension of your workforce and as you say you get knowledge back right oh absolutely and so one of the key values that we places that when we did that analysis I said earlier is that we didn't feel like there was a communication so now with the social media platform in place now we have people that are in our bangalore office can communicate and feel like they're in touch with our corporate headquarters and also their co-workers that are saying it on-site facilities that our customers so it really is improved that collaboration and communication it's really brought the organization together did you ever think at one point we just used you know publicly available social tools Facebook or LinkedIn just start a blog yet we and our organization has done that we have the Twitter count the facebook account but this was an opportunity for us to develop it and Taylor more customized it more for hours or specific names you've integrated those public network lots of little works right you if you go to our website you'll see the links and connections right into that yeah so functionally it's obviously a more rich environment connections right so why don't we talk about that a little bit what sort of what additional value did that bring to you is paying for it well sure is you how to justify it what value did you get there several areas that we feel it brought value one is you can it's a platform that can accessed anywhere so you don't have to be on our internal network to be able to access and collaborate and communicate right so that was a huge value add for our organization allows us to connect and stay stay together it empowered our users to be able to contribute openly be able to collaborate to be able to innovate and be able to take calculated risks from IT standpoint we see a reduction in email I don't have the actual numbers to tell you what percentage reduction an email but I'm pushing very strongly that we have an opportunity to use and leverage connections instead of sending emails traditionally you know people send an email check this where with connections you put the hosts the content or you put the files upload the files in there and they'll send a notification so you're not plugging you know plugging up your email system with additional data so yeah there's a Productivity aspect of that absolutely I think oh god I was Christian and the other thing is that you know the time to market for solutions has definitely reduced and even the the increase in efficiency so I know we spent some time looking at like this ed brillz book on opting in and then there's his situation identifies in the book is the traditional product manager they find him in manufacturing is really moving more towards a social product manager leveraging the IBM connections or for superior we took an opportunity to do that so I got to ask you about the social software Dave and I've been tracking jive all these other companies amor the facebook for the enterprise is kind of what they've been calling it but the feedback we've been hearing from CIOs was that I just favorited I signed something is it's in the social media team is running it that other team and so we were talking about the metaphor that the social media teams are a lot like the web teams in the 90s oh yeah we need a website yeah the kids are doing it right like the new guys the young guys are putting a web pages searchable it grew obviously it's relevant the websites grew and became big business e-commerce social media is the same way it's like everyone can see that it's real they know it's gonna be important it's not a lot of budget associating there's not a lot of personnel so the issue is is that they get implemented these say if they get sold these software packages and then they got to implement it kind of like communities yet this other stuff happening twitter facebook linkedin events live streaming so a lot of other social activations going on so so i want to get your take on as a CIO do you look at get involved in levels like that on the app's side is those apps decisions made with that in mind of like the personnel costs and and and the actual to run it and i've got some guys just for the hey i bought that i don't use anymore why it's just too much hassle right so there's a hassle factor what do you take what's your to my taste first of all I'm very big on when i get an asset or acquire an asset as best you realizing that asset you know and i came to this organization i saw several situations where assets were purchased to your point and just sitting idle because maybe it was a head take additional initiative to implement that so in our situation i work very closely with a gentleman that really did most of the work and doing all the research and its name is Franco he handles our he's a director of digital mobile strategy and so he went out and did all the work for us came back and sat down with myself and our president reviewed what makes the most sense I came from a manufacturing facilities it utilized the SharePoint so I was big at SharePoint so I was kind of was pushing in that direction but when I actually sat down with him i we went through really the true value adds what we can gain from that it was really a no-brainer for us do you ever have a situation where you put you put your fist down so hey you know what we just got to abandon that right now let's cut our losses move on in physics for example is another use case where same same situation I won't name the vendor was an IBM it was another one where hey want to do some new things we don't the staff the guys making us drive this engine until we get an roi out of in other words they were like we're going to ride this Pony until either collapses or ROI comes out of it when in reality they just driving down a cul-de-sac yeah so at some point in an emerging market like we're in agile is the option to abandon right you got to know and to cut the cord right oh absolutely and I'm not you know I'm not in a position where I'd say absolutely one band if it made sense it's right it's got to be a business decision well altima tlie position has always been it's got to work with the business and let the business drive and not i.t i.t is there to enable the business so we can provide our input and on the day they let them make the decisions now we didn't talk about the Cognos implementation any kind of depth so tell me tell me what you're doing with with cognos we talked a little bit about the essay p extension but how are you using cognos so primarily we have as i mentioned before part of our businesses and the managed services programs we offer MSPs which we have a tool called work nexus which is our vendor management solution involves our MSP they our customers will use this tool for recruiting for looking at time clocks looking at the proving timesheets invoicing and so forth so we have some pretty strict requirements of pulling that information now in providing reports to our customers we use our platform developed on it's based on abdominal environment so we in order to give them the reports we create what's called ad-hoc reports out of Domino very limited capabilities so that was our first target area was to use cognos to provide more enrich type dashboards active type reports for our customers we're just about completed with that part of the project the next is really to pulp reports out of sa p and so the standard reports that that i have with that IBM has provided is really more in the SD area as well as in the MM area so for our organization we're so heavily on payroll and people we really need to have report start in that area so and the next year i'm trying to work with a partner local partner in our area LPA systems to help develop more reports tailored towards SI p to provide workers compensation but i need to run a report that pulls out the work of compensation to do an essay p is so much more costly than to do it out of out of the Cognos so that's our goal in the next year's really to pull more reports using cognos out of sa p okay um what if we could talk a little bit about cloud which you're sort of stance on that you know some cio say no way others say yes others get you know shadow I t he coming to the cloud what's the state of cloud from an infrastructure standpoint and even a SAS you organization sure so we're currently in the process actually I'm looking at our organization and a traditional IT become a cost center so I'm trying to actually move it into a profit Center by offering services so we're targeting in the Buffalo area anyways small companies we're offering hosting cloud-based service whether it be private or rather be a public cloud services I'm not opposed at all to using a cloud-based solution in fact I'm on my essay p side for my dr site i'm doing just that i have a contract with a where the company is providing me a a cloud-based solution for my dr ok so but so you use it for disaster recovery are you doing any sort of Production apps in the cloud or would you ever consider doing that or no because we would consider i'm not sure if i consider this company because our information is very this very controlled we fall under the ssae 16 because we house that we host data that has in the HIPAA regulations all the different regulations so we have people social security number in that so to offer that in the cloud not to say that's not secure but we have much better control and we have an infrastructure in our organization that has enough bandwidth has enough cooling all the normal environmental that you have for data center so right now for us it makes more sense for us but in three to five years from now maybe even sooner that will probably look at possibly what's the cost differentiation between doing it in house having the resources to a versus offering what about test endeavor you do any tested dev stuff oh yes we have in our SP environment have a traditional three-tier landscape so we've got a dev quality in the production all of which is housed inside the decision actually to have that to have that done was before I joined the company so we the decision was made at say in May of 2010 I joined in July had I been before and I really would have pushed to have that hosted somewhere else because my opinion for an organization mostly like ours we don't have the technical expertise to be able to you know the basis capabilities the architecture the hardware all that type of stuff so I think that's a better fit for most people in do an essay p implementations of looking at that may be the first second or third year if you trust me we don't have that experience if you're new to an essay p type environment no no no no use case for it right no using Bitcoin at all no you have a from Association last night about Bitcoin still look at the next to look crazy were down yeah PayPal's looking at is that in the news it's not mainstream enterprises yeah we loved we loved talking to see iOS housley Wikibon community we have a lot of CIOs with a lot of CEOs in our network and you know this is challenging opportunity but the days the good days are ahead i mean we're seeing huge investment opportunity growth new top line drivers that are changing the business where the CIO is kind of CEO like dealing with all the normal cost side but really drop driving profits so so i got to get the question before we end the segment is cost center versus profit center and you guys mentioned you guys are down pnl profit center right how does that change the game mindset wise and how you execute and what you can adopt and how fast well obviously the owners of the organization love the fact that we're offering that as a as an opportunity to generate some additional revenue i'm assuming you took the facilities equation out of your pnl yeah right what was it so good before i joined the organization write that down at her i keep track of that for sure okay go ahead but before join the our organization i joke jokingly say this we had more bandwidth in some banks I mean we really had the the infrastructure in place I fully redone it and so forth so we had long-term contracts so I've got five-year contracts with services with companies that I have to keep otherwise you can pay the penalty and get out but so we said you know why not leverage and we did a virtualization project when I first joined we recovered over fifty percent of our data center space so I have all this empty space I've all this band was sitting here I've got all the redundancies in the environment to be able to support that why not go after a small company i'm not going to be able to compete you know with the bigger companies and that but we're targeting some of the local companies and we're doing quite successful yeah why not that's great yeah awesome okay we're here live at the iod conference this is the cube we'll be right back with our next guest after this short break stay with us the q

Published Date : Nov 6 2013

SUMMARY :

the option to abandon right you got to

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
May of 2010DATE

0.99+

Tom de KlerkPERSON

0.99+

july of 2010DATE

0.99+

iowaLOCATION

0.99+

DavePERSON

0.99+

IBMORGANIZATION

0.99+

floridaLOCATION

0.99+

last yearDATE

0.99+

DavidPERSON

0.99+

BuffaloLOCATION

0.99+

five-yearQUANTITY

0.99+

JulyDATE

0.99+

15 yearsQUANTITY

0.99+

sevenQUANTITY

0.99+

PayPalORGANIZATION

0.99+

two yearsQUANTITY

0.99+

three yearsQUANTITY

0.99+

HIPAATITLE

0.99+

januaryDATE

0.99+

threeQUANTITY

0.99+

first secondQUANTITY

0.99+

oneQUANTITY

0.99+

FrancoPERSON

0.99+

next yearDATE

0.99+

LinkedInORGANIZATION

0.98+

a year agoDATE

0.98+

Buffalo New YorkLOCATION

0.98+

facebookORGANIZATION

0.98+

SharePointTITLE

0.98+

cognosTITLE

0.98+

nineteen fifty-sevenQUANTITY

0.98+

2013DATE

0.97+

over fifty percentQUANTITY

0.97+

third yearQUANTITY

0.97+

TwitterORGANIZATION

0.97+

thirdQUANTITY

0.97+

a monthQUANTITY

0.97+

early this yearDATE

0.97+

nine thousand contractorsQUANTITY

0.97+

three areasQUANTITY

0.97+

FacebookORGANIZATION

0.97+

twitterORGANIZATION

0.96+

10OTHER

0.96+

last nightDATE

0.96+

five yearsQUANTITY

0.96+

bangaloreLOCATION

0.96+

over 50 locationsQUANTITY

0.96+

400 staff employeesQUANTITY

0.96+

first targetQUANTITY

0.96+

two months a weekQUANTITY

0.95+

two fundamental thingsQUANTITY

0.95+

bothQUANTITY

0.94+

firstQUANTITY

0.94+

work nexusTITLE

0.94+

CognosTITLE

0.94+

a lot of personnelQUANTITY

0.94+

nine thousand contract employeesQUANTITY

0.93+

one pointQUANTITY

0.93+

about 30 staff employeesQUANTITY

0.93+

sandy sandy carterPERSON

0.93+

IBM Information on DemandORGANIZATION

0.92+

TaylorPERSON

0.92+

three major systemsQUANTITY

0.91+

90sDATE

0.9+

three huge projectsQUANTITY

0.9+

three-tierQUANTITY

0.9+

WikibonORGANIZATION

0.9+

secondQUANTITY

0.89+

iod conferenceEVENT

0.89+