>>Hi, everyone. My name is my uncle. My uncle Poor I worked with Geo reminds you in India. We call ourselves Geo Platforms. Now on. We've been recently in the news. You've raised a lot off funding from one of the largest, most of the largest tech companies in the world. And I'm here to talk about Geos Cloud Journey, Onda Mantis Partnership. I've titled it the story often, Underdog becoming the largest telecom company in India within four years, which is really special. And we're, of course, held by the cloud. So quick disclaimer. Right. The content shared here is only for informational purposes. Um, it's only for this event. And if you want to share it outside, especially on social media platforms, we need permission from Geo Platforms limited. Okay, quick intro about myself. I am a VP of engineering a geo. I lead the Cloud Services and Platforms team with NGO Andi. I mean the geo since the beginning, since it started, and I've seen our cloud footprint grow from a handful of their models to now eight large application data centers across three regions in India. And we'll talk about how we went here. All right, Let's give you an introduction on Geo, right? Giorgio is on how we became the largest telecom campaign, India within four years from 0 to 400 million subscribers. And I think there are There are a lot of events that defined Geo and that will give you an understanding off. How do you things and what you did to overcome massive problems in India. So the slide that I want to talkto is this one and, uh, I The headline I've given is, It's the Geo is the fastest growing tech company in the world, which is not a new understatement. It's eggs, actually, quite literally true, because very few companies in the world have grown from zero to 400 million subscribers within four years paying subscribers. And I consider Geo Geos growth in three phases, which I have shown on top. The first phase we'll talk about is how geo grew in the smartphone market in India, right? And what we did to, um to really disrupt the telecom space in India in that market. Then we'll talk about the feature phone phase in India and how Geo grew there in the future for market in India. and then we'll talk about what we're doing now, which we call the Geo Platforms phase. Right. So Geo is a default four g lt. Network. Right. So there's no to geo three g networks that Joe has, Um it's a state of the art four g lt voiceover lt Network and because it was designed fresh right without any two D and three G um, legacy technologies, there were also a lot of challenges Lawn geo when we were starting up. One of the main challenges waas that all the smart phones being sold in India NGOs launching right in 2000 and 16. They did not have the voice or lt chip set embedded in the smartphone because the chips it's far costlier to embed in smartphones and India is a very price and central market. So none of the manufacturers were embedding the four g will teach upset in the smartphones. But geos are on Lee a volte in network, right for the all the network. So we faced a massive problem where we said, Look there no smartphones that can support geo. So how will we grow Geo? So in order to solve that problem, we launched our own brand of smartphones called the Life um, smartphones. And those phones were really high value devices. So there were $50 and for $50 you get you You At that time, you got a four g B storage space. A nice big display for inch display. Dual cameras, Andi. Most importantly, they had volte chip sets embedded in them. Right? And that got us our initial customers the initial for the launch customers when we launched. But more importantly, what that enabled other oh, EMS. What that forced the audience to do is that they also had to launch similar smartphones competing smartphones with voltage upset embedded in the same price range. Right. So within a few months, 3 to 4 months, um, all the other way EMS, all the other smartphone manufacturers, the Samsung's the Micromax is Micromax in India, they all had volte smartphones out in the market, right? And I think that was one key step We took off, launching our own brand of smartphone life that helped us to overcome this problem that no smartphone had. We'll teach upsets in India and then in order. So when when we were launching there were about 13 telecom companies in India. It was a very crowded space on demand. In order to gain a foothold in that market, we really made a few decisions. Ah, phew. Key product announcement that really disrupted this entire industry. Right? So, um, Geo is a default for GLT network itself. All I p network Internet protocol in everything. All data. It's an all data network and everything from voice to data to Internet traffic. Everything goes over this. I'll goes over Internet protocol, and the cost to carry voice on our smartphone network is very low, right? The bandwidth voice consumes is very low in the entire Lt band. Right? So what we did Waas In order to gain a foothold in the market, we made voice completely free, right? He said you will not pay anything for boys and across India, we will not charge any roaming charges across India. Right? So we made voice free completely and we offer the lowest data rates in the world. We could do that because we had the largest capacity or to carry data in India off all the other telecom operators. And these data rates were unheard off in the world, right? So when we launched, we offered a $2 per month or $3 per month plan with unlimited data, you could consume 10 gigabytes of data all day if you wanted to, and some of our subscriber day. Right? So that's the first phase off the overgrowth and smartphones and that really disorders. We hit 100 million subscribers in 170 days, which was very, very fast. And then after the smartphone faith, we found that India still has 500 million feature phones. And in order to grow in that market, we launched our own phone, the geo phone, and we made it free. Right? So if you take if you took a geo subscription and you carried you stayed with us for three years, we would make this phone tree for your refund. The initial deposit that you paid for this phone and this phone had also had quite a few innovations tailored for the Indian market. It had all of our digital services for free, which I will talk about soon. And for example, you could plug in. You could use a cable right on RCR HDMI cable plug into the geo phone and you could watch TV on your big screen TV from the geophones. You didn't need a separate cable subscription toe watch TV, right? So that really helped us grow. And Geo Phone is now the largest selling feature phone in India on it. 100 million feature phones in India now. So now now we're in what I call the geo platforms phase. We're growing of a geo fiber fiber to the home fiber toe the office, um, space. And we've also launched our new commerce initiatives over e commerce initiatives and were steadily building platforms that other companies can leverage other companies can use in the Jeon o'clock. Right? So this is how a small startup not a small start, but a start of nonetheless least 400 million subscribers within four years the fastest growing tech company in the world. Next, Geo also helped a systemic change in India, and this is massive. A lot of startups are building on this India stack, as people call it, and I consider this India stack has made up off three things, and the acronym I use is jam. Trinity, right. So, um, in India, systemic change happened recently because the Indian government made bank accounts free for all one billion Indians. There were no service charges to store money in bank accounts. This is called the Jonathan. The J. GenDyn Bank accounts. The J out off the jam, then India is one of the few countries in the world toe have a digital biometric identity, which can be used to verify anyone online, which is huge. So you can simply go online and say, I am my ankle poor on duh. I verify that this is indeed me who's doing this transaction. This is the A in the jam and the last M stands for Mobil's, which which were held by Geo Mobile Internet in a plus. It is also it is. It also stands for something called the U. P I. The United Unified Payments Interface. This was launched by the Indian government, where you can carry digital transactions for free. You can transfer money from one person to the to another, essentially for free for no fee, right so I can transfer one group, even Indian rupee to my friend without paying any charges. That is huge, right? So you have a country now, which, with a with a billion people who are bank accounts, money in the bank, who you can verify online, right and who can pay online without any problems through their mobile connections held by G right. So suddenly our market, our Internet market, exploded from a few million users to now 506 106 100 million mobile Internet users. So that that I think, was a massive such a systemic change that happened in India. There are some really large hail, um, numbers for this India stack, right? In one month. There were 1.6 billion nuclear transactions in the last month, which is phenomenal. So next What is the impact of geo in India before you started, we were 155th in the world in terms off mobile in terms of broadband data consumption. Right. But after geo, India went from one 55th to the first in the world in terms of broadband data, largely consumed on mobile devices were a mobile first country, right? We have a habit off skipping technology generation, so we skip fixed line broadband and basically consuming Internet on our mobile phones. On average, Geo subscribers consumed 12 gigabytes of data per month, which is one of the highest rates in the world. So Geo has a huge role to play in making India the number one country in terms off broad banded consumption and geo responsible for quite a few industry first in the telecom space and in fact, in the India space, I would say so before Geo. To get a SIM card, you had to fill a form off the physical paper form. It used to go toe Ah, local distributor. And that local distributor is to check the farm that you feel incorrectly for your SIM card and then that used to go to the head office and everything took about 48 hours or so, um, to get your SIM card. And sometimes there were problems there also with a hard biometric authentication. We enable something, uh, India enable something called E K Y C Elektronik. Know your customer? We took a fingerprint scan at our point of Sale Reliance Digital stores, and within 15 minutes we could verify within a few minutes. Within a few seconds we could verify that person is indeed my hunk, right, buying the same car, Elektronik Lee on we activated the SIM card in 15 minutes. That was a massive deal for our growth. Initially right toe onboard 100 million customers. Within our and 70 days. We couldn't have done it without be K. I see that was a massive deal for us and that is huge for any company starting a business or start up in India. We also made voice free, no roaming charges and the lowest data rates in the world. Plus, we gave a full suite of cloud services for free toe all geo customers. For example, we give goTV essentially for free. We give GOTV it'll law for free, which people, when we have a launching, told us that no one would see no one would use because the Indians like watching TV in the living rooms, um, with the family on a big screen television. But when we actually launched, they found that GOTV is one off our most used app. It's like 70,000,080 million monthly active users, and now we've basically been changing culture in India where culture is on demand. You can watch TV on the goal and you can pause it and you can resume whenever you have some free time. So really changed culture in India, India on we help people liver, digital life online. Right, So that was massive. So >>I'm now I'd like to talk about our cloud >>journey on board Animal Minorities Partnership. We've been partners that since 2014 since the beginning. So Geo has been using open stack since 2014 when we started with 14 note luster. I'll be one production environment One right? And that was I call it the first wave off our cloud where we're just understanding open stack, understanding the capabilities, understanding what it could do. Now we're in our second wave. Where were about 4000 bare metal servers in our open stack cloud multiple regions, Um, on that around 100,000 CPU cores, right. So it's a which is one of the bigger clouds in the world, I would say on almost all teams, with Ngor leveraging the cloud and soon I think we're going to hit about 10,000 Bama tools in our cloud, which is massive and just to give you a scale off our network, our in French, our data center footprint. Our network introduction is about 30 network data centers that carry just network traffic across there are there across India and we're about eight application data centers across three regions. Data Center is like a five story building filled with servers. So we're talking really significant scale in India. And we had to do this because when we were launching, there are the government regulation and try it. They've gotten regulatory authority of India, mandates that any telecom company they have to store customer data inside India and none of the other cloud providers were big enough to host our clothes. Right. So we we made all this intellectual for ourselves, and we're still growing next. I love to show you how we grown with together with Moran says we started in 2014 with the fuel deployment pipelines, right? And then we went on to the NK deployment. Pipelines are cloud started growing. We started understanding the clouds and we picked up M C p, which has really been a game changer for us in automation, right on DNA. Now we are in the latest release, ofem CPM CPI $2019 to on open stack queens, which on we've just upgraded all of our clouds or the last few months. Couple of months, 2 to 3 months. So we've done about nine production clouds and there are about 50 internal, um, teams consuming cloud. We call as our tenants, right. We have open stack clouds and we have communities clusters running on top of open stack. There are several production grade will close that run on this cloud. The Geo phone, for example, runs on our cloud private cloud Geo Cloud, which is a backup service like Google Drive and collaboration service. It runs out of a cloud. Geo adds G o g S t, which is a tax filing system for small and medium enterprises, our retail post service. There are all these production services running on our private clouds. We're also empaneled with the government off India to provide cloud services to the government to any State Department that needs cloud services. So we were empaneled by Maiti right in their ego initiative. And our clouds are also Easter. 20,000 certified 20,000 Colin one certified for software processes on 27,001 and said 27,017 slash 18 certified for security processes. Our clouds are also P our data centers Alsop a 942 be certified. So significant effort and investment have gone toe These data centers next. So this is where I think we've really valued the partnership with Morantes. Morantes has has trained us on using the concepts of get offs and in fries cold, right, an automated deployments and the tool change that come with the M C P Morantes product. Right? So, um, one of the key things that has happened from a couple of years ago to today is that the deployment time to deploy a new 100 north production cloud has decreased for us from about 55 days to do it in 2015 to now, we're down to about five days to deploy a cloud after the bear metals a racked and stacked. And the network is also the physical network is also configured, right? So after that, our automated pipelines can deploy 100 0 clock in five days flight, which is a massive deal for someone for a company that there's adding bear metals to their infrastructure so fast, right? It helps us utilize our investment, our assets really well. By the time it takes to deploy a cloud control plane for us is about 19 hours. It takes us two hours to deploy a compu track and it takes us three hours to deploy a storage rack. Right? And we really leverage the re class model off M C. P. We've configured re class model to suit almost every type of cloud that we have, right, and we've kept it fairly generous. It can be, um, Taylor to deploy any type of cloud, any type of story, nor any type of compute north. Andi. It just helps us automate our deployments by putting every configuration everything that we have in to get into using infra introduction at school, right plus M. C. P also comes with pipelines that help us run automated tests, automated validation pipelines on our cloud. We also have tempest pipelines running every few hours every three hours. If I recall correctly which run integration test on our clouds to make sure the clouds are running properly right, that that is also automated. The re class model and the pipelines helpers automate day to operations and changes as well. There are very few seventh now, compared toa a few years ago. It very rare. It's actually the exception and that may be because off mainly some user letter as opposed to a cloud problem. We also have contributed auto healing, Prometheus and Manager, and we integrate parameters and manager with our even driven automation framework. Currently, we're using Stack Storm, but you could use anyone or any event driven automation framework out there so that it indicates really well. So it helps us step away from constantly monitoring our cloud control control planes and clothes. So this has been very fruitful for us and it has actually apps killed our engineers also to use these best in class practices like get off like in France cord. So just to give you a flavor on what stacks our internal teams are running on these clouds, Um, we have a multi data center open stack cloud, and on >>top of that, >>teams use automation tools like terra form to create the environments. They also create their own Cuba these clusters and you'll see you'll see in the next slide also that we have our own community that the service platform that we built on top of open stack to give developers development teams NGO um, easy to create an easy to destroy Cuban. It is environment and sometimes leverage the Murano application catalog to deploy using heats templates to deploy their own stacks. Geo is largely a micro services driven, Um um company. So all of our applications are micro services, multiple micro services talking to each other, and the leverage develops. Two sets, like danceable Prometheus, Stack stone from for Otto Healing and driven, not commission. Big Data's tax are already there Kafka, Patches, Park Cassandra and other other tools as well. We're also now using service meshes. Almost everything now uses service mesh, sometimes use link. Erred sometimes are experimenting. This is Theo. So So this is where we are and we have multiple clients with NGO, so our products and services are available on Android IOS, our own Geo phone, Windows Macs, Web, Mobile Web based off them. So any client you can use our services and there's no lock in. It's always often with geo, so our sources have to be really good to compete in the open Internet. And last but not least, I think I love toe talk to you about our container journey. So a couple of years ago, almost every team started experimenting with containers and communities and they were demand for as a platform team. They were demanding community that the service from us a manage service. Right? So we built for us, it was much more comfortable, much more easier toe build on top of open stack with cloud FBI s as opposed to doing this on bare metal. So we built a fully managed community that a service which was, ah, self service portal, where you could click a button and get a community cluster deployed in your own tenant on Do the >>things that we did are quite interesting. We also handle some geo specific use cases. So we have because it was a >>manage service. We deployed the city notes in our own management tenant, right? We didn't give access to the customer to the city. Notes. We deployed the master control plane notes in the tenant's tenant and our customers tenant, but we didn't give them access to the Masters. We didn't give them the ssh key the workers that the our customers had full access to. And because people in Genova learning and experimenting, we gave them full admin rights to communities customers as well. So that way that really helped on board communities with NGO. And now we have, like 15 different teams running multiple communities clusters on top, off our open stack clouds. We even handle the fact that there are non profiting. I people separate non profiting I peoples and separate production 49 p pools NGO. So you could create these clusters in whatever environment that non prod environment with more open access or a prod environment with more limited access. So we had to handle these geo specific cases as well in this communities as a service. So on the whole, I think open stack because of the isolation it provides. I think it made a lot of sense for us to do communities our service on top off open stack. We even did it on bare metal, but that not many people use the Cuban, indeed a service environmental, because it is just so much easier to work with. Cloud FBI STO provision much of machines and covering these clusters. That's it from me. I think I've said a mouthful, and now I love for you toe. I'd love to have your questions. If you want to reach out to me. My email is mine dot capulet r l dot com. I'm also you can also message me on Twitter at my uncouple. So thank you. And it was a pleasure talking to you, Andre. Let let me hear your questions.

>>live from Boston, Massachusetts. It's the Q covering I f s World Conference 2019. Brought to you by I >>f. S, I say, What a minute. I didn't cash it. Everybody welcome to I f s World 2019. You watching the Cube? The leader in live tech coverage on day Volante with my co host, Paul Galen. Marty Martin is here. She is the president of the service management division of I F s and C e o of work wave. Marty, good to see you. >>Yeah, it's great to be here. I'm so excited. >>A lot of action going on. You guys. Service management, Field Service management particular. You guys had an acquisition today. We're gonna talk about Let's start with your role you came in and 2017 with the >>pretty acting. Actually, >>2018 finalized the acquisition. I think they announce it in 2017. So tell us about how you came in and where you're at today with >>Certainly. So work wave the company. I lied. Join the effects family in 2017. Darren Ruess, who joined I f s in April 2018 recruited me into form a global business unit around service in August of 2018 and the reason why we did this is service isn't only a part of our economies all over the world, but it's a super great growth area that almost every business can go after in in progress both revenue and margins. So we had a lot of great software products, and we really wanted to improve our go to market around this. >>So why, why all of a sudden today, this talk about service management? Why's it becoming so hard? I mean, everybody's always been focused on customer service, but why this service management generally and field service management while the buzz. >>So first off, you've had the evolution of a number of line of business applications and service certainly has been a part of maintenance organizations or break fix where you're going out in repairing thing. What we're realizing now when you talk about service ization, how o E EMS air building what's called aftermarket revenue? There is literally $100 billion of revenue that you can get from that you look, we had Melissa did a nano from Souza. If you think about open source software, they make money from sirve ties, ing, open source software and the products. You look at apple how they're doing APs. So people are starting to realize that service is an engine for brand loyalty, customer experience, not just a cost center. How it used to be, what the >>customers do. Ah, companies do wrong with service one of the areas where they tend to have the greatest inefficiencies where you can help him. >>So first off, I'd say that often in the C suite, unless they're pure place service companies. They don't understand how transformative service is and how important it is to their brand. Many times now, if you have digital enablement of a new customer, the first time they see a face of your brand might be your service technician. So getting the awareness of the C suite is Step one, because we want to start talking about outcomes that grow revenue and profits and getting them to invest in service. So you know, many times will say, Oh, I want to do a C. R M project. I want to do an E r P project. That's certainly things were good at it. Here I a fest, but we can coach them through how you take the market opportunity for your company and service enabled by our technology and transform. Tomorrow I'll be with Accenture, one of our many great partners, and we're talking about adapting the business, the service transformation, sometimes digitally, sometimes with workflow transformation. But that opportunity and service is huge and almost never. There's no company I know of that's taking 100% of their service market share. That's the difference, especially in slower growth. Asset manufacturing are more mature verticals. >>So I was here last night walking the floor, and I went to the extent you Booth, you know, anytime you see, except you're in a show like this. Okay, Censure. You think Large company Global. I was actually quite impressed a little bit surprised to see you know, their presence here because they they go where the money is, right? And so my specific question is, think, except you think big companies. But you guys obviously focused on what range of companies smaller midsize company. So what's the landscape? Looked like? What's the difference is between sort of smaller and larger companies, >>so that's a great question. I'll take it in part So if you think about a neck censure definitely they looked a large. I also have had meetings with the Lloyd McKinsey Cap gem and I dxc etcetera Also tcs Tech Mahindra which a little bit or more telco focused. So if you think about at the very large and you have telco utilities, large manufacturing O e ems that our customers and definitely the customers I'm pursuing Maur with this focus But we also with work with go down to the S and B We had panels also of, for example, female owners of franchises and also males as well that are creating new service businesses and they're starting maybe with one truck in out providing service. So the fact that we can handle not only the breath and depth of complex service needs, but through work wave we also can encourage the small service businesses to reach their full potential is fantastic. And you know that makes me excited every day. And part of why I focused on service specifically is you are delighting customers. You are the face of a brand and you're making a difference. It's not something that s 02 is esoteric. This is about really value that we're delivering, >>always interested in the dynamics of serving the SNB market >>because one of >>these small companies don't really have that. Maybe family owned there found her own. They don't really put a lot of value on technology. How >>do you >>get in the door? How do you convince them that automating the service function is actually worth the investment? >>Well, first off, I'd say that even the big companies are struggling to go paperless. Okay, so, you know, I think some of the challenges we see survive, if you will, big to small, especially when you look globally in different countries. What have you. But the approach we take in the S and B is that we want to be a software as a service provider, and we were to really handle everything they need in their business. So everything from how they grow leads how they have c r m type functionality. How, then they're delivering service, how they're cross selling service, how they're billing service. So at the at the S M B level, we're putting that kind of all in one technology and there's really not that much integration or I T Service is around that right. We want it to be easy and fast, etcetera, as you go more into the mid market and then definitely into the enterprise. Then you start getting more complexity. You get more I t service's integrations, more configurable ity, sometimes even some customized software. So there is a definitely a difference in the complexity. But the fundamentals of what a service business needs really isn't that much different to your >>customers that you mentioned customize and you guys were SAS space. That's one of the text that we'd like to sort of explore a little bit. A lot >>of >>times SAS companies want to avoid, you know, custom mods. But at the same time, you guys are trying to offer a choice. So help us square that circle. How do you What's the conversation like with customers in terms of how you advise them, You guys obviously do a lot of deep functionality, you know? How do you sort of advise them whether or not to go heavily custom or try to go out of the box? >>Certainly. So in the true, I'd say the small business of a medium you start getting some crossover, but in the small business, Absolutely avoid customization because you won't be able to stay evergreen. It's going to be too hard to maintain. You don't have the subject matter experts, et cetera, so that's really a truce. Ask that from a community. A product engagement. We need to be driving the partnership with the customers that they can use a software out of the box in ways that matter to them. As you start getting into the mid market and especially the enterprise, then it becomes more of a choice, right? How much money do you have to spend? How robust is your organization and set trek? And in general, I advise customers if they care about evergreen software, et cetera. If they care about ease of upgrades, don't customize that Being said, we recognize sometimes in the field with your brand experience Custom mobile. You may need to customize a little bit, so it's Ah, say, a chicken and an egg. You have to weigh the benefits of the costs, and that's what we work through with our >>customers. Specifically morning. What's the upgrade cycle like? There's a customer having the choice Thio upgrade at a particular time, Or do they have a window? >>So it varies primarily, there's a few exceptions, but in general, with the work way, Family of products is true SAS. So it's almost like you're Apple Phone. We pushed the upgrade and you have to take it. Okay, And that's the true SAS model at I. F. S. And this is something Darren talked about in his keynote. We pride ourselves on offering choice. So even though we do have regular release cycles, we encourage customers to upgrade regularly. They have the choice on when they take upgrades and also how they deploy. We have some markets with things like data, privacy and what have you that they may, for that reason or for other reasons, go on premise even still today. So we give them the choice on how they upgrade as well as where they host. >>I'm fascinated by your product line. You have products for pest control. H V. A. C. Plumbing cleaning service is long and landscape. How different are these industries really in terms of their their automation needs? >>Well, I'll tell you one of the personal factors that Darren wanted to make sure I was comfortable with was multitasking. And that definitely is the case, because an I f s, we serve five key industries. So if you think about manufacturing utilities, telco service providers and Andy Okay, that's more at the enterprise level. If you think then when you go toe work wave. Those verticals that you mentioned are all the ones we service at work wave, and they are different. So you know what? Work wave. It's primarily service industries where you're going into ah, home and a little bit The commercial aspect and I effects were also doing more some heavy industries, some very large asset base, things like that. So I like to think about it as a product I service consumer based service. And then you can also differentiate across verticals with what are called high value assets versus, you know, Mork consumer size assets. >>So what >>are >>the one of the key technology enablers that are driving service management today? I mean, obviously, cloud, we talked about sas a lot of push on you X and customer experience, but what other key ones? >>So all the three that you mentioned mobile is huge. You know, Pete and even today, like I run. I work mainly from my phone, and that's really what people want. They want efficient work flows that are configurable on mobile, tied to the customer, the asset, the business. And that's an area that we're continuing to make investment. We also try to prioritize how we bring in the new technology trends into service. Because every technology trend that you see has applicable ity and service supply chain and how you run spare parts specially globally, you can see applications for Blockchain augmented emerged Reality how you can connect the field tech with an expert resource or remote resource to the consumer. That is obvious, right? So you talked about the enabling technologies like Cloud, how we're thinking about data platforms and Data's the currency. Of all of that, we need to d'oh. His service is really about a an execution engine, right? Because to deliver a customer experience that makes people come back to your brand. To purchase Maur, you need great service, so any time somebody talks about customer experience, but they don't talk about service. I want to say you're really naive because you can just get the customer. You have to delight the customer. >>Uh, the, uh, there's a lot of interesting technology going on now in the area. Fleet Management making fleets more efficient How does that figure into the service is? You offer. >>So Fleet management is an important part, and it's one that you have a very tangible return on investment when you deploy route management route optimization, fleet management. So you have the aspects that are very tangible, relate to how do you get the person or the truck where it needs to be when it needs to be okay, and that's pretty well understood. Then how do you get the most efficient schedule that minimizes miles driven gas, used et cetera? And then, of course, you also are thinking about health and safety. There's some cool things now that you can partner that if you have these fleet technologies installed in a way that is integrated in your service business, you can actually get lower insurance premiums, right? So it's not just the conventional use. Cases were starting to think in this kind of gig economy, how you can also be thinking about bringing in Maura what's called a contingent workforce. So if you have surge capacity in a certain period or you want to just do more third party service, probably your appliances. You know they're not the employees, if you will, of a g e or a world polar and LG right there Probably a contingent workforce. And that's a model that's also evolving. But to do Fleet Management across say, contractors, not just employees is an area that were thinking more and more led by some of the uber ization, if you will, of the of the marketplace >>right up against the clock, Marty. But to last questions You made an acquisition today, Vashti Uh, yeah, uh, I thought of it as a tuck in acquisitions, although Darren essentially sort of said, it's gonna make you the leader now in service management. Um And then I want to understand how you guys differentiate from some of the big whales. >>So, you know, overall, we're on track to be about 700 revenue this year in service management. We're working to get to 200 million, right? So this year will probably be around maybe 1/5 50 ish per se. Don't quote me on that check with our coms team, but the point being is that we have the ability to use these tuck in acquisitions and service to accelerate our lead, not just from a revenue perspective, which is what we were just talking about. But from a product perspective, you might have followed Salesforce acquiring Click. That means we are the only independent. Aye, aye. Optimization engine that is field tested. Battle ready. So that's great. This s t a is how we consolidate our dominance and complex service. So what darren was speaking to is not on Lee the service management segment of our revenue and how we continue to accelerate over the oracles in the S a. P s and the service maxes et cetera of the world. But how we take what we're already dominant in and really put the hammer down. Honesty is part of that. >>Your differentiation then if I infers, is focus. Um, you're you're deep customer customs agent deep >>domain expertise. Yeah, So really, when you think about a i optimization, which drives a ton of business value and the ability to handle the complex service cases that then drive business outcomes and outcomes based service models, we are number one and s dea tucks into that, even though it is very strategic on how we position ourselves with leadership and service. >>All right, Challenger becomes number one, Marty. Thanks very much. All right, Keep it right, everybody. Dave A lot with Paul Galen. You're watching the Cube from Boston Mass. I f s world 2019 right back.

>> live from San Francisco, celebrating 10 years of high tech coverage. It's the Cube covering Veum World 2019 brought to you by IBM Wear and its ecosystem partners. >> Welcome back, I'm stew minimum like co host for this segment is Justin War, and this is the 10th year of the Cube here at VM World 2019 when the lobby of Mosconi North and happened. Welcome to the program first, a first time guest on the program. June Yang, who is the vice president of product management and engineering at VM. Where. Thank you so much for joining us. >> Thank you for having me. >> And welcoming back to the program is Marin Cabra, who's the vice president. Product marketing of Cloud at Delhi emcee for in Great to See You, thanks to All right, June so many different pieces talking about Cloud Way. Think back 10 years ago, you know, Pomerance was talking about it like it's the software mainframe. What we're talking because, you know, even back then, you know, Cloud isn't really it's not a destination or a place. You know, there is no cloud is just somebody else's computer. It's more of an operating model, so of course, the VM work cloud on various solutions. Of course. Sitting here with Del, I'm sure we'll be talking about the V. MacLeod, a deli emcee. But just give us over a little bit about you know, you're in a lot of customer meetings. You know what's resonating with your customers. What are they coming to you tow? Discuss when it comes to their overall cloud strategy? >> Yeah, I think for a lot of customers, they're really looking for both the hybrid cloud story as well as a multi call story. I mean, this is something that Pat spend quite a bit of time talking to you on the Mondays keynote. We see customers clearly. Many of them have very large existing footprints on premises and edges again as a growing segment off their infrastructure. It's also getting very significant, making very significant investment over there. And of course, the public cloud itself. So we see many customer really trying to straddle the combination off the private cloud, the public cloud and the edge side, and our strategy is really we want to have a consistent infrastructure that's running everywhere, so therefore we have a consistent operational model that enables the customer and their advance to be to do that. >> Yeah, In some ways, it reminds me back. You know, in the early days when I worked with VM where every group had some application they'd built and you know which server they bought, you know, you know, they would run VM. We're underneath that because it would help with the efficiency in there. So in some ways, is multi cloud similar to what we had in multi vendor back in the day, >> I mean, we think of, you know, you think about the first it oration. Of'em were right. We're really thinking about We're taking the hype, the hyper visor, and making all the hardware underneath that to be really invisible right you're using, You're dealing with a high. You're doing the hyper visor and really hide it a head virginity off. What's underneath that? And then we talk about our STD Sierra, which is really focusing software defined data center were virtualized not only compute, but also storage and network as well and really hide in the head Virginity for that. And so the third iteration flies really looking at the cloud as the next level off you know, different instructor comes from money again. We want to go to hide that and offer consistent operational model there. >> So from the customer perspective, back in the day when Vienna, where was new It was new and scary for a lot of customers. And we had we saw that with cloud as well. So 10 years ago, Cloud was evil and wrong, and we should never use it. Customers have moved on in both of those cases Have we have We reached the point now where cloud is just Yes, it's accepted and we're going to be doing it. Are we? Are we going to have another battle about whether hybrid or multi cloud or customers just moved past that and are now looking at? We know what we want to use this for, so we know that we need to choose it. We're not gonna be moving everything to the cloud, but we're not gonna be putting everything in V EMS either. We're going to choose what is the right solution for the for the different views. Guys, >> I think over the last court, a couple of years that has become sort of the defective standard people comfortable with the cloud people comfortable with on premises. They know that it's gonna be hybrid cloud world. It's gonna be a multi cloud world. >> So Varun, we talked about the VM War cloud on Delhi M C. We had a number of conversations back. Adelle Technologies World. You know, earlier this year when you look out in the general market place, they're like, Oh, I look at the family. Well, Della's the hardware Veum. Where's the software? There are a lot of announcements this week that we're the cross pollination of pieces, and a lot of those are software pieces from the Dell family that tie into what's happening on VCF and the like. So bring us the update. >> Mr Was, as June said, both Daddy M. C and V M were incredibly customer driven companies, right? So what we've been hearing from customers is one. They're really excited about being able to try out the Ember cloud and a GMC, so we're very, very happy to be working with the hammer to bring this to market first. So that's something that that our customers have been asking us for. But then, along with that, as customers start understanding the model of the fully manage data. So you know the fully manage infrastructure you can. The next question that customers have is okay. I can now focus on higher value added service is And one of the things that immediately comes up next is okay. What about my data out? We're protected, right? I'm gonna be running applications on this. And we've already spoken on this show many times before. Data is increasingly one off our organization's most valuable assets. It's a competitive differentiator. Bc news, Every day, if it falls in the wrong hands, what happens? Right? So what we've been doing now, in addition to the three amazing amount of work that we've been doing the June's team to bring this to market, they've also been working on the data protection side. So now the deli emcee data protection is now validated to be working on Williams of you, MacLeod and DMC as the data protection solution. So this means that customers can not only take advantage of the the integration that we have on the infrastructure earlier. You can also take advantage of just have the peace of mind that our industry leading data protection solutions Will will be there to help them manage the data and protect their data. >> So it sounds like it's something that you don't have to think about it as an afterthought, which is often the challenge with data protection. If you if you wait to think about it, it never happens. So this pretty much just comes. We know it's gonna work. Turn it on Day one. Just have it. Start with your data being protected and just have that baked into the way that you run your operations so that it no longer becomes spinning up a specific backup project. Because those things that they always expensive, there's no there's no perceived value to the business of doing this, whereas if it's just now part off, this is how you run your infrastructure. So this is how you stand up via MacLeod on Delhi emcee, and this is just how you should do business. >> You know, it's absolutely like that way. What would we find? That's really exciting. What the Hammer Claw Run DMC is. Customers are asking us to deliver the cloud model right to their data centers do their edge locations, so that's how they want to consume software solutions as well. So what's amazing about the solution is you're you're doing everything to the browser. So that's how you're gonna cause you Data protection becomes an ad on service that you want to add on that. And I'm sure over time we're gonna enter the capabilities as well. But it's really that's the key part here. The ease of consumption it Sorry, The ease of use and basically being able to consume things through the browser is a game changer for for infrastructure, on data in the data center on the edge. >> So June 1 of the things that definitely has caught our attention and one of the bigger announcements this week is Tom Zoo in the con to Mission Control. That's what they call it because from going to have multiple locations, we've been looking for my entire career in I t o. You know, we're gonna have some tool that's going to manage across these environments and made a VM wear cloud, you know, on Delhi emcee. But I probably of'em were cloud on some of the public clouds, and I you might also be doing some kubernetes. That's not even with the V a more pieces, so help paint a picture is kind of where we are today and where we're going when it comes to you know that management consumption and maybe even some of the finances in getting to that cloud operating model across all my environments. >> Yeah, tonsil Vincenzo is a kind of follow. Your name for a number of products was in that tons of mission control, of course, is one part of that. The way we view Content Zoo is that this is really a multi called platform. We understand that customers of developers in particular, wanted to use consume, consume carbon eighties cluster and the often they want to choose communities. Cluster based on different cloud for variety reasons, sometimes cause something's resiliency, sometimes just geographical availability. And then there needs the way to be able to see this in the consolidated fashion. And that's what tons of mission control does. And that's when I showcase yesterday the keynote to really show that you can now have a single pane glass to be able to see all of these clusters across multiple clouds and and then be able to, you know, do some troubleshooting and so forth making things much easier that, of course, buildup Holly policies on top of these clusters and then welcome propagated changes and making sure those in force. So those are some really, really, I think, really good operational capabilities that really simplifies the data. The operational cut, you know, kind of the task that operator has to do its part of the >> driver for this, that that enterprises who got this investment in v sphere. So they've spent 10 years of 10 more years investing in envy sphere. And then all of a sudden, you've got these cloud people who want to come and do things in a completely different way. So now, as a business, I either I have to make a choice of what do I invest a lot of money in both of these things? Do I move everything to one model? It sounds like you're actually trying to provide customers with away. That's a look. You've already made these investments and you don't have to throw them all away. You can still operate things here, but you can also have these cloud things without having to move everything off into a completely different operating model. Is that fairly >> accurate. So I think we're very customer driven by We want to deliver what customer wants to. It wants to be able to consume S o. You know, That's why you know, part of the reason we're so excited about a Project Pacific on top of the V sphere side is really customer has made a huge investment on the visa for platform. And we've got 500,000 customers out there and tons of customers does. He becomes their standard in the data center and that you now have a kubernetes coming in and containers coming in and we don't want a customer. Have to do a siloed platform for it. And by embedding communities directly into V's for yourself, we have now made V's fear The platform for containers and for VMC Sport was well, so that investment customer has made on the on the VCR side. Now kind of moves out to people to cover the communities and containers as well. And because our std see and our hybrid cloud story we're taking the same V sphere across to be a mark on the deli Emcee the Mark child on aws mbm were cloud, you know on edge and so forth. That means all this benefits that fracture. Pacific greens is now going everywhere. >> Having spoken to some clients about the experience of even managed community service is it's really, really painful for them. So being about having these of use of these fear, if you could bring that to group in a visa and have that is a manage service, I'm sure you'll make a lot of people very happy. >> That's that's why we're so excited about it. >> Do you want to click one level further on the product Pacific stuff? Because the thing that struck me at first it's like, Wait, you know, containers and communities That's gonna be the cloud and being, you know, feast fear. We want to modernize it. But you know, that's not what I want to put in the public cloud. But Product Pacific. Is this primarily a data center offering? If I'm doing via more cloud in a public cloud to expect to be leveraging the native public cloud and then tan to helps me manage across them? Is that how we think of them? Or am I not getting the full story? >> So I think a little bit about you think about. There's 111 track is you can do is all these fear based clouds, right? These fear based on premise the sphere based on dahlia MSI ve sphere based on top of you know, public cloud right, That's one track if you follow that track than Project Pacific essentially allows you to be able to run both kubernetes and virtual machines on a single platform. Now, if customers also wanted to be able to run a native cloud, then this is what kind of bring tons of mission control in, because that's a multi called story. So that was kind of what paddle trying explain at the keynote in terms of hybrid cloud versus the versus the multi cloud. >> Okay, so you don't actually have to make a choice of one way of saying things, the tyranny of the single glass of pain. I have to make choices and you can't have a lot of things. And if there's one thing enterprises, height is that that's dedicating themselves to just one way of doing things, they like to have choice. >> We want to give them choices. Well, >> s O. B. Having that ability to be able to make those choices and have it be an end decision instead of war. I think that's >> so one of the questions we've gotten from customers this week is you know, your partners he had VM wear have just made a lot of acquisitions. It's a lot of integration work that needs to get it done. Their bills got strong experience in these things. That sit on top of the stack gives a little bit of what we should see going forward on your planet. >> I mean, I think if there's anything that's that's apparent this week, is that being there and L Technologies are just getting started. I mean, even as a having having known a little bit about some of these announcements, it was just so exciting to see all that stuff come Rio. And we're very, very excited to continue to work with the, um, where to bring. You know, Tan Xue. The various components attends a more Cooper container stuff as well, as well as other other capabilities that we saw in you realize orchestrator and automation. We want to bring that to our customers in an integrated fashion so that it's easy for them to deploy just easy for them to use. And so I think what you're seeing here is just the start. >> That sounds fantastic. Yeah. So all of this investment that women there were saying from from the M wear and from Delhi and see like our customers going to see the payoff immediately, like tomorrow. Or we're going to have to wait. Another wait for some of these investments and integration is to pay off. How long are we going away? >> You think a lot of this is coming to fruition already? We announced availability. Of'em were called on Dahlia emcee at B M World. So it's ready for customer to purchase today, right? If a customer wanted Thio, you know much like what I demolition at the keynote. If a customer has a data center, they want to stood up wherever they need to be taken, literally place, order and be able to get that right. So that's the benefit they can have immediately. And of course, a lot of the longer term things have been talking about by layering additional capabilities. When Project Pacific comes into for a shin, this becomes available, you know, across the veer mark Wild and tell'em see products as well. I mean, these things will all kind of continuous snowballing as we go forward. But there's immediate benefit today and they'll be ongoing benefit as we go forward, making additional investment. >> Excellent. I don't have to wait forever. >> Yes, yes, it's about instant gratification. That's the trick. Now >> what? Wonder if you could speak to kind of changing application portfolio. His customers are modernizing, Going cloud native on that, what's the impact on your platforms and what are you seeing and hearing from customers? >> You know, uh, there is obviously a lot of interest in containers, and customers are either already trying it out or having some sort of applications that her back is there or they have or they're looking at it and saying, This seems really interesting. In some ways, it seems very, very similar to what What I saw from customers five years ago when people were saying, I'm gonna move everything to the public club and, you know, sometimes you hear a little bit of I'm gonna move everything to containers. I think what we will likely see over the next few years is a little bit of rationalization, just like we saw with public and private, is that it's both. I think we will continue to see sort of traditional applications and new applications live in more off of'em centric model. And I think there will be as their new applications being built or as I squeeze package of their applications to be more container friendly. We'll see some go that way. I you know, if anything, I've learned it is One thing I've learned in the I T industry in all these years is there really isn't a one size fits all solution. We get very excited about things, >> and we're like, Oh, >> everybody's going to do this But the reality is, things balanced themselves out and into June's point as a vendor. What we want to do is we want to give our customers choice. But we know that there's no one size fits all, and we want them to choose what's right for their business and help them achieved their goals. >> So, June last question I have for you. Congratulations on the keynote yesterday way Heard way. No, a lot of the inside work and, you know, heard like the guy that swim across the English Channel like that got added to the agenda, you know, like days beforehand flew way. Understand? What happened with demos and last minute gives a little bit is to kind of the making of the team that helped put that together. You know anything that you know, you were super excited. That actually made the final stage that you might not have thought would've gotten there, >> you know, we started out was we were very ambitious, right? And we put in 15 or 16 demos into it. And as we started putting things together, time was our biggest enemy, you know? You know our friend Joe, who is, you know, running the day to show he was telling me you are 30 seconds over on this particular done, though you are 45 seconds on the other day. You give yourself credit here. I'm trying to tell the story here. So, unfortunately, we actually had to cut some demos out just because he couldn't fit into the scope of time. We want to make sure the story really comes out and the customer really understood what we're trying to show. I mean, I'm just so excited as part of the, you know, me doing the key day to keynote. I actually learned about a bunch of products I wasn't that familiar with. And so I was like, Wow, I didn't even know were doing that. And so just to see the amount of capabilities that we're bringing to bear, it's pretty astonishing and it's it's exciting. >> June, I'll say It reminds me of other cloud shows where there's so much going on so much new products getting launched that no single person can keep up with that. But thank you, June and Vern for helping our audience learn a little bit more about the areas that you're doing with >> my pleasure. >> Thank you for having us. >> Justin Warren. I'm still Minuteman back with more coverage at VM World 2019. Thank you for watching the Cube

>> live from San Francisco, celebrating 10 years of high tech coverage. It's the Cube covering Veum, World 2019 brought to you by IBM Wear and its ecosystem partners. >> Welcome back. This is The Cube. Live at VM World, 2019 times. Too many men with my co host Justin Warren, David Dante, John Ferrier. John Wall's John Troyer. Like a certain founding fonder, Alexander Hamilton, the Cube is going non stop coverage for the three days Habito. Welcome back to our program. Two of our Cube alumni's Lynn Lucas, who is the chief marketing officer of Cohee City. And she's brought along John White, who is the chief innovation officer at Expedient. Thank you both for joining us. >> Happy to be here. Happy 10 year anniversary to the cute >> Well, thank you so much. And you know, so many people we've known over the years. Actually, the first time I met John wait was I believe in this whole, you know, at VM World, you know, talk about what's going on. Eso You know, I always love talking to the service riders because it's been going through just a massive transformation, you know, all along on you, John, you've got a different title Since the last time I interviewed you, You been involved in the strategy You and I have gone toe cloud shows together and some of the other things they're so bring us up to speed as to, you know, expedient here at the show. And, uh, what brings you here with cohesive? >> Yes. Oh, yeah, thanks to your right. But I think it's probably five or six years ago. Maybe I asked too. You said, Hey, what do you know about the service provider community? Cause I wanted to kind of educate you because it was something that's been fairly new and expedience been in that industry for a long time. We were mainly in infrastructure of the service provider, man. The service providers are rounding on all that I t. Stuff that people need and ah, this VM world is a huge one for us. Last year we launched Enterprise Cloud, which is a product based on VM. Where's full softer to find stack And that was something we wanted to go to market with to give an alternative people, When you say Hey, I need to go to the cloud and you realize that okay. I really can't just take my APS and lift and shift and go there. There's another place for you that's a little a little more familiar. And as we see 20,000 people know VM were obviously that air here. So that's usually what what's usually happening in the Enterprise. So we're talking with those folks, and so we would launch that platform. We thought about everything differently. We were running virtualization since, 06 of seven, and we wanted to change everything back up platforms as well as needing things like scale out now, as were necessity at that point. So this VM worlds are coming out because we had, ah, release that last year. And now we have a lot of good customers to talk about on that platform. 12 months later. >> Yeah, well, Lynn, first of all, congratulations because, you know, I know John sits on customer counsels for some of these events. I've dug into a bunch of the networking pieces with him and actually was, you know, we spent a bunch of years. We went to a bunch of shows together and he was looking at the some of the various vendors and a bunch of the new startups and cohesive E is the one that you know really stepped up provided the solution that he was looking for. So it's been interesting to hear service fighters. You were usually the first ones that companies were talking to. But bring brings the cohesive story there. >> Yeah, and so were a super pleased and honored to have expedient working with Cohee City. And John has been instrumental in really providing a lot of direction to us on what his needs are and how to make the product even better for for him and the service provider community, it's a huge part of our go to market strategy. We believe that with the massive growth in the interest in hybrid and Justus John was saying, There's so many customers that really aren't equipped to deal with How do I move to ah hybrid cloud strategy, whether that before compliance reasons, whether that be geographical reasons under you've seen them all. And so this is something where we feel really thrilled to have the, um, where's cloud partner of the Year working with us and to help serve customers with the expedient enterprise Cloud platform. >> Congratulations on that team. And right when we first met five years ago Public cloud for VM wear And for most of the service bodies, it was the enemy, all right. It's like, Oh, my gosh. There, you know, you went toe Amazon reinvent and create a little bit of partnership. So give us the update on hybrid. What that means and how solutions like, Oh, he city, you know, help you provide services to your customer. >> Yeah, it's funny you mentioned. I mean, that's you would ask me, What are you doing here? What are you doing here? Because it was going out doing this research, seeing where the market was on containers on adoption of Claude practices. So we wanted to make sure that we were very open with all the different solutions that are out there. And that's been our strategy from the from the start. So building enterprise cloud was one thing we need to do to come to market with a platform like everybody else. But multi cloud is really where we have focused. And it's funny. I mean, when I when I first started coming to the M world, it was very product centric, you know, you had this product, you could do X with it. And here's the return that you would get at it. And when you're coming to the emerald now it's more about platforms. And that's really what I found most interesting with Cohee City when I first met Mohit, probably two and 1/2 3 years ago, was that he was focusing on the platform of data management. And that's really what the problem was. It wasn't now, specifically, it wasn't data protection. Specifically, it was What all can you do with that with that data management? And we're You know, we're spending a ton of time with Cohee City on. We were building multi Tennessee with them to them, be able to support that. And that's what we're delivering on now. So it's it's it's the scale out now's it's ah, data protection. And then we're taking those service is and then putting him in eight of us in azure or wherever it might be because it doesn't matter to us, because long term we want to care about the long term I t care and feeding and focus on that as our value prop instead of just actually which silo >> it lives in. Yeah, and right from the very beginning, I remember speaking to Kohei City very, very early on when it just sort of come out of stealth. And it was baked into into the product the idea of data management that it was going to be much more, much more than just data protection. So, what are you seeing now that we have a lot of years of product development has clearly gone into it since we first looked at it then. But what are you seeing? Customers using the platform for here in 2019? >> Well, we started a little bit more unique than most other customers. I think we talked about this, you know, throughout CO e city. And we actually started on a scale out now's platform s. So we have one of our clients homes dot com who? They're with us this week because they have a really interesting you. No need for this type of enterprise. Cloud there with us and they're talking about all the different benefits they received out. And they started actually with on the file side of things homes dot com, real estate, online real estate. So I think you know about how many images and how many fouls you have out there. We have 2.6 billion images right now running on the cohesive platform. That was 2.6 billion and a 30% annual growth rate. Yes. So the numbers are crazy. You can't put those on any other traditional now, as that's out there. Uh, so we used a he city first to get started there, and then the backups really were the icing on the cake. So last October, we built We started going out the Nats platform to handle those images. And if you actually go to homes dot com right now, it's being served fully out Enterprise cloud from a container and virtual machine layer and then on the back end from Cohee City. And they were using that to protect it as well. >> And I think that if I add on to that is really a testament to the, you know, the foundation that mo it built, which is a true distributed file system, Google like, in that sense. And I think correct me if I'm wrong, John. But you know, you then also saw while that benefit of a platform approach and not another silo for the backup and having co he city help solve the challenges for both files as well as data protection and then maybe one day in the future. Looking at some of the things that we're doing now that we're doing more security on running APS and things like that on the platform as that may be an extension for you, >> Yeah, that's that's definitely a big focus of our effort, the global d duplication that you get with CO he city. When you add all those files in all the different customers, we have all the different virtue machines. Ah, the ratios were hitting or just insane. And it's something we decided as a service provider that we we said, OK, this technology, we actually want to give that benefit back to the customer. And so when somebody buys data stores from us on the data production, they buy what they're actually consuming on the disk. So you could have 100 terabytes in all of your V EMS. If you only need one terabyte, that's all you're buying from us. And that's a lot of the power of that platform that we get with cohesive. >> Yeah. So, John, wanna help? They want you to help us understand the nuance of something. We're platform? Yeah. Has a little bit of new Monsanto. Little bit, a little loaded thing. GM was the platform. Cohesive is a platform. You use both of them. So just help us understand how cohesive Ian Veum wear and all those things that they go together. They're not, you know, competing against each other in as your architectural Or are they? They're >> not competing there two layers, In my opinion, where you have your primary stores really living in and the M R and secondary storage is everything else on Cohee City. Ah, what? The nice thing is, they did a lot of cool things to kind of marry the two together. Um, one of the one of the tools that we're using Aesthetic ahi city is called Instant on or instant Restore a Virtue machines so we can actually spin up a virtual machine almost instantaneously. It lives on the Coast City platform. Once it's rehydrated, then does a storage the emotion automatically into the V, m or environment. So we're able to do migration or if we had, You know, we have a bad ransomware attack and we need to restore 100 V EMS within a few minutes. We can instantly bring those back up in the cohesive platform and then move them to a production virtual environment once it's done. And that's something that we weren't able to do with our existing vendor. And that was something we needed to actually go and focus on because being in the healthcare space being in the compliance space, that's that's a big problem for us. >> Yeah, just add, I think that, um Vienna, where is clearly one of our most important partners. The very first area that mo it developed was data protection, for I am where, I would say, well north of 70 75% of our customers are protecting their Veum, where environments We have a very large customer that's protecting over 18,000 V EMS on Cohee City. So with the certifications that we have with V. C. D. And with the integrations, as you've mentioned with of you realize it's it's really it's a partnership. Andi think we're adding a lot of value to the customers that are building on V. M. where is >> very complimentary for sure. >> Yeah, it's been interesting that to see how customers choosing to go with a platform like like expedient because, as you mentioned earlier, stewed like five years ago, Cloud was the enemy. And but we're being told that on a public card is gonna take everything, and it's just gonna own all of the environment where is now? In 2019 we found that the story is actually much more complicated than that. Some of us probably believe that at the time I put my hand up is one of those that customers actually needed to live in multiple places. It's not a story of or it's a story of end, so you do need to be ableto have something which can work well with others on the same way we've got. We've got co, he's ity and V M. Where is it? Well, they're not really competing with each other. They work better together and particularly as customers scale, we find my any any kind of enterprise customer is header a genius, so you have to have solutions that give them options and that work together well with you have to play nicely with others. >> I think that's exactly right. And part of what we've done is built a software to find solution and to also give John expedient flexibility. How do you want to deploy for your customers? The solution. Is it in the, uh, the hyper scaler? Is it Hello, somewhere? Is that your own cloud? And so that's part of the advantage. I think all in one solution that then you can give your customers some flexibility as well as to how they want to consume the service as well. >> Absolutely meaning the flexibility And you mentioned software only, and are, you know, software or suffer to find that was something that was big for us. When we're looking for partnerships, we have a standardized hardware build that we want to use. And that was all built on Del. And it was something that, you know, we were able to work with obesity to get that standardized so we can continue to roll out. Excuse that we were most comfortable with. And they could just have the software layer on top. >> Yeah. So you've managed to do this successfully. You're going really well. Yeah. What's next? >> Well, um you know we have, you know, So in we ordered in October of last year. Right now we have six petabytes online enrolling. So that's that's great. You know, that's that's good to see. That's going to continue to grow at a pretty rapid rate. Data is something that obviously, we all know is never gonna shrink on. We're gonna continue to grow that with new customer acquisitions, and that's everything where we want to continue to go with this, Uh, this product specifically is on the data management side. The things that they're doing in Helios to start to get understanding and awareness in value out of that data that's sitting there is really, really important and exciting for us in the future. We deal what tonic compliance PC idea says hip. And we want to make sure that the data that we're storing inside of there will be compliant by those. So being able to write an application to see if the credit card numbers in a file or in a database by using the cozy platform that we brought us value. Same thing goes with a lot of the ransomware protection they're doing. So if you see a foul that gets encrypted, then I know. Okay, I have a problem. I better go look at that and give me a time stamped, Actually. Go on, restore from instead of actually trying toe, you know, pick around. And hopefully I find it when it before it was encrypted. So we're really excited about those opportunities is the future and seeing what data management can just bring to it. >> Well, Lynn, always a pleasure to catch up with you. Thank you so much for joining us again. And John, my friend, this is your six time on the program, actually gonna have a celebration in New England in a little over unveil for, ah, six s o right in New England. So for Justin Warren, I'm stupid him in. We love talking about sports here, and, uh, yeah, the Cuban way have the Niners and the Patriots for the team there. But as always, Thank you for watching the cue

>> live from San Francisco, celebrating 10 years of high tech coverage. It's the Cube covering Veum World 2019. Brought to you by VM Wear and its ecosystem partners. >> Welcome back to two cubes. Live coverage in San Francisco, California for VM World 2019. I'm John Ferrier, Postal Cuba David Lattin, My Coast, Dave. 10 years covering the BM World Paul Maritz laid out the stack early on. We saw that and watch it go through Its motions now >> remain from the marketing people got a hold of >> that mainframe turned into cloud Now hybrid cloud seven years after we first started about 2012 has been great Our next guest, Paul Falsone, S V. P and general manager of the Cloud Native APS. This is a business unit within VM where that is going to the next level. This is the Act three is Jerry Chen said any of you I talked earlier for VM wears a company. I won't say moving up the staff because there is no stack. It's cloud, right? So its applications on top of operating infrastructure Dev ops going enterprise scale is about developers building APS operating them in scale. This is a big focus of what you're doing. >> It is a dead end of the day. One of my close friend of mine, who's in front of customers all the time, reminds our team constantly that our customers applications matter of the most cause. That's what they used to get in front of their customers with the Dillman teams and the tools they're building the user. Japs come second cause that's what supports the abs. And then the infrastructure comes third zone away. There is that stacks it, but never forget you were at the bottom of the pecking order, if you will, when it comes to ultimately bringing full customer value to our company, our customers, businesses. >> And it's one of the things we've been looking back at our 10 years covering VM where I think you're 13 15 of'em world is that the virtual ization of all very quickly around really optimizing server virtualization really kind of change. The game of one kind of knows that our knows the history there, but it did it without any code changes, too, APs and I think that was a very innovative thing. Now we looking containers and what Kubernetes is bringing to the table. You're starting to get some clear visibility into what's happening and what's possible. Could >> you >> share your vision on what that visibility is that you guys are eyeing for the marketplace in four of'em, where, >> sure, the APP development methodologies are changing, changing more today than they have in the last 20 years. We're seeing ah lot of new concepts and approaches that right now really only accessible to a small percentage of application developers worldwide. We want to try to bring those application development methodologies, practices tools to the mainstream so we can. We can touch the 13 or $14 million.1,000,000 enterprise developers around the world and help the CEOs in their line of business counterparts at our customers get a CZ much productivity out of their development teams as possible. At the end of the day, those APS we're gonna power the next decade of those organizations success or failures with their customers, and so that's becoming a real competitive asset. I've had a number of customer discussions here this week where the primary theme is how me help my developers move faster at enterprise scale, but in a regulated environment in an environment where compliance is is front center >> to big things going on in your world that we covered extensively, honestly, pretty impactful to the Vienna, where portfolio one as open source and hefty oh, acquisition half a billion dollars almost a year ago, about a year left in less than a year, probably was that we close in December last year. So yes, ovary. Just recently we know those guys all people. I mean, I've been covering that for a while, and then I'll see the pivotal acquisition. Just announced a drink from the fire hose. There be doing tons of press briefings, those to impact points, kind of leaving a mark. >> So we've been we've been building up to this. I joined AA Drink them were in 2012 through the Sierra acquisition, but I moved into this role about just about three years ago, and one of the things that we identified early on was, ah, close partnership with Pivotal was going to be essential inside of the Del Technologies umbrella for us to exist in thrive together. And so that's where the idea for P Cass was born. So the combination of V. M. R. R and D with pivotal RND focused on delivering our first community service to our enterprise. Customers we brought helped you in last year. Once they saw what we were doing and thought about the possibility of what would happen if we actually took some of the concepts of communities and p ks and embed them into V sphere, That was, I think, the real ah ha moment for for us and the happier team coming together in the power of what that could enable. But all along the way, we always believed that that was just covering the infrastructure side of the equation. You still needed to get through the making the APP developers productive and efficient in this new infrastructure world and so on to be able to do so on any cloud. And that's where the pivotal piece finally came together last just last month. July Pivotal put out a lot of information in the market around how they're evolving their portfolio to be very cool, bernetti centric, moving forward. And that was a big part about getting all the pieces lined up so that the M word could deliver what we announced this week. The in the town's a portfolio with the component tree for building running in managing modern applications on any club, >> we've kind of come full circle here, predates, and I Sarah, But you guys talking about the stack? Yeah. Paul Moretz. I used to have the whole stack. Ed actually applications up here with Simba. Spring sources around. Exactly. And then you had these when I used to call the misfit toys. Have you had some assets in the M. C as coming in Vienna, where Paul Maritz, Joe Tucci decided, create pivotal as the The platform developed next generation applications. Now it's all come full circle there. So my question is related to that stack and particularly the death part of that stack. This audience is not Deb's not, but increasingly, you've gotta attract that audience. So what's what's your thoughts there? And so >> I think pivotals done a very nice job over the years through the Con Foundry Foundation. The work they've done there through the spring community Spring is at this stage is is arguably the most popular modern Java development environment on the planet. So, you know, we're seeing a tremendous amount of leverage of that of that framework and so between the events of pimples is actively involved in Leeds and their ability to help customers, um teach their enterprise developers how to get the most out of this modern tool kit. We think that there is some wonderful ingredients to a recipe to really scale this thing up in a big way. We way. I also believe that Veum we're still has a lot to learn about what it means to best support enterprise developers and their organizations. And so we are quite a bit in learning mode right now. We're gonna take a lot of lessons from the pivotal team as we as we move forward towards the close and learn a lot more about the team in the culture and their customer engagements. But one of the things I think is is front and center to what pivotal has for customers today is their transformation Service's customers. You've got different groups inside a customer summer looking to build the newest applications. Some of them are just trying to get more operational efficiency out of what they have today. Some of these customers have 12,000 applications in their environments. Um, pivotal has ah set of service is that come in and they help them take their existing monolithic applications and just modernize key components of them so they can operate them more efficiently and reclaim a lot of resources to go do other things. That, I think is probably the lowest hanging fruit for enterprise organizations today. And I'm very, very excited about the service is that pimple has to make available the customers on that front. >> Assad and Jerry Chen, earlier than the other set I was mentioning earlier is a VC now, Greylock, big time to your one. We see former VM Where, uh, guy from 22,003. He also worked on cloud foundries in sight. We ask about the white spaces where starts to thrive in one of the transit is kind of pointing to was have some cummings going public. Some are being bought at sizable numbers, but we rift on. The idea of monitoring was a boring category right now. Observe ability, which is just be monitoring 2.0, you got I pose. You got acquisitions. I mean, major action happening in this observe ability space. I bring this up because that's an area you think, Oh, it's a white space Data opportunities for companies to build service is really points to this cloud. 2.0 application Renaissance And I want to get your thoughts on that environment. What needs to be in place to make that happen? Honestly, pivotals keep for you guys. I get that on Vienna. Where side, but for the ecosystem and for the marketplace, people trying to make careers and or do things What is that cloud 2.0, complexity that need to be abstracted away or >> so The Pepto team had a great Craig and Joe had this great, uh, one liner on kubernetes is all about where the people structure meets the infrastructure. When you think about that, our enterprise organizations have thousands if not tens of thousands of developers all trying to do similar. But a lot of cases different things at the same time, across lots of different cloud infrastructures. On the infrastructure team side, you've got private cloud, you've got hybrid cloud. You've got public cloud environments that you have to get your arms around, monitor, manage, secure and get visibility into. We believe that Carini sits at that perfect layer between the two domains on. This is a big part of why we developed Tom's a mission control. It's just that that perfect layer between the two domains, too, access the company's later and give you full visibility into what all of your developers were doing on every piece of your infrastructure. And we also think that's gonna be a very interesting place for third parties to plug into to gain access to all of the community's clusters that we're helping. Our customers managed across their app landscape to do very interesting things. And so we're really excited about the ecosystem that that project will open up. >> You think this opportunity to start ups in there? >> I do. I do. I think there's a ton of other I mean, think about it just really basic math. Ah, VM based application. When it gets containerized, it has just on the compute side alone. Never mind the networking in the storage site. There are 10 times as many moving parts. A typical containerized EPA's 10 times as many moving parts as avian bay Step. If you think about that applied to the networking layer, you think about that applied to the storage layer, the security layer. You've got 10 times as many points to secure. Now, how do you get your head around that level of complexity As a an operations person, you can't do it. Humans can't do it anywhere. You can't write down your actions. Control this on a pad of paper and know what's what's accessing what anymore, >> Dave. One more question, if I may, on the on the VM container thing, there's a debate or are architectural kind of conversation, and customers are having around when to do containers in three days on bare metal or with V EMS. How do you guys talk to that house? The >> steam going because that was my question. So there was a snarky tweets yesterday. I want to get your reaction to it. And the tweet was during yesterday's keynote. I thought we we launched pivotal so that we didn't have to run containers on V EMS. Now the reality to your point is that people are running containers on bare metal. They're running him on vehement the EMS. I don't have any data, but I wonder if you could comment on that >> so way Probably have a couple of snarky comments of our own on this three share one of the things that put up on stage. Yes, I'll start at the kind of a little little. And I worked my way up at the base layer. The testing we're doing with Project Pacific, which is something we announced this week, which is effectively bringing kubernetes into the heart of the sphere. We're actually using combinations to make the sphere better. We're also going to expose communities to our customers through V sphere, just like we exposed the EMS today. This is a pretty exciting project for the for the company in our early testing of this project, based on the advanced scheduling capabilities of the SX hyper visor take advantage of modern hardware. We're seeing an 8% better performance in a certain test sweet versus what you'd see on bare metal so are ready at the early stages. We're seeing some benefits now take that a step further. The big public college for writers out there if you look at service is like G K on Google. If you look at a ks, uh, recast on Amazon, a cast on his door, every single one of their community service is is run against a virtualized environment, not on a bare metal environment. Why is that? Well, because their customers are using containers in VM, side by side, the flexibility you get out of that virtualization layer. Whether you're a big public cloud provider or your ah smaller enterprise shop running your own data centers, the benefits are proportionate, rather equal on dso >> the narratives off a little bit. What you're saying. What I hear you saying is people use virtualization for a lot of efficiency and scale reasons that's independent of what happens with bearnaise decisions. So if you decide you want to run Cubans on bare metal, go >> to go to town. We think >> if you want to do that, >> you want to do that. But we don't. We actually see a lot of customers who have started down that path. When they go to get to that operational stage, they're realizing they're now dealing with firm where again, they're dealing with Nick drivers again. They're dealing with stuff, and they can easily take that and turn it over to their ops team that's already managing a huge virtualized state and operated with the same tool. >> That's a really a layer thing around round scale. You do the virtual ization for Ryan reasons, and then cos sits on top of it for a whole another reason. >> And the I'd say its operations scale these operations teams need to, you know, just look at the number of announcements we made this week. For an ops team to get their head around all of these new technologies simultaneously is impossible to bring them in one new capability of time into the thing that they're already operating for. That organization is very >> positive. If I understood yesterday, you're claiming better before 8% better performance relative to bare metal. I know that's apples to apples. Or what kind of juicing you're doing on the benchmark >> sex schedule that it chooses it right there. >> I want to ask you about integration and look at it as a quasi. His story of the the industry. You go back to see A with all the acquisitions, right? Historical force it with fusion. Different layer of the stack. I know. Certainly Del did a lot of acquisitions. Some of them work. Some of them didn t m c. Same thing pretty successful. Actually. VM were great engineering. Um, very strong. Go to market on really good acquisitions. My question is on integration with the nice Sarah background, I wonder. I mean, nice. Sarah seems to be very well integrated into the VM. Where platform How is integration The state of integration today within V. M. Where is it a lot easier today because we're living in this AP I economy. What about VM? Wears sort of integration ethos. One of the challenges. I wonder if you could comment and that long. So >> I've been through, uh, to significant integrations of'em where the 1st 1 was with this nice era on. I was on the I was on the incoming side, not the receiving side. The next was with hep Theo. I was on the receiving side, not the incoming side. And so, as coming into this year, back in 2012 Pat was extremely supportive and asked his entire team to be very supportive of getting us integrated quickly and productive. A CZ fastest possible. We were on campus on the via more campus from the next era office within days of the deal closing. That's how efficient Veum work. That's like that's the mindset hammerhead coming into. We were in a building. We were co located with the other networking engineers and product managers. Within the first week on, we were off to the races. That was about 100 20 person company. Hep Ko is about 100% company, Um, about the same efficiency we were consolidating. Offices were bringing them over again, mostly distributed team, but they had a center of gravity. In Seattle. We had a center of gravity in Bellevue. We brought the team's over within within a couple of months in about three months. In three and 1/2 months in, we had the team fully integrated. The organizational design done all the tools in a greater we're all in the same systems. So what happens very quickly now, an organization that's much bigger like like pivotal 3000 employees. Public company takes a little bit longer to get from Deal announced the deal close because it's too public entities. It'll take a little bit longer to do all the integration, but we're already thinking thinking about we know them so well and they know us so well. We already know where the potential landmines are, where the potential rough spots are. Pat prides himself and, uh, this pushes down into the rest of them were on well, welcoming new team members in new groups into the company. And so we try to do that really were very culturally sensitive way optimized for the right tool kit s O that we take, we take some learning like cloud health. When they came in, they had a lot of expertise around. SAS drooling and support of customers were adopting all of that, right. Were jettisoned some of our older tools in favor of some of the things that >> we're gonna win the modernization. So I want to get your thoughts on the last question for the second congratulations, your your your area. We love what you're doing. We think it's super important. Would be covering it like a blanket this year and going forward. But Pakistan came on was wrapped. Talking about 10 years and doing the riffing on the Cube are 10 years covering it. We have some 10 years forward, which waves to be on. They highlighted on the past 10 years in this ear acquisition as a critical moment to bring VM. We're into the S T D C kind of concept started networking up, so we know the history they're sti n and then going forward, he says. If you're not a networking and security in the next wave and Kubernetes is Number one, you're really gonna be missing out. So we highlighted networking, security and kubernetes. But networking. It's nice here on both sides of that 10 year spectrum. You're part of that. >> Why is that? Why is that wise >> watching people know that networking is the most important piece of the wave here? What's the relevance of what he's saying? Share their thoughts on >> Think about the increasing complexity of what at modernization drives into the infrastructure. You're getting smaller and smaller moving parts that that need to operate together at scale in a comprehensive, logical way. But at any point in time, if you're if you're an enterprise organization, if you've got if you've got compliance requirements, audit ability, requirements. If you want to protect, you hear about the number of of small towns that get blackmailed on a daily basis because someone's secured an encrypted There, there, there count taxpayer data and they're there, their victims. All right, this is this >> is some say, cyber warfare. >> It is something. So if you think about in orderto help, our customers get the most out of their developers, these tools that open up I think the potential of a lot more avenues of attack get a lot more complex. And so we think that these two have to progress hand in hand. One. We do want to help developers go as fast as possible. We won't help enterprises get the most out of those developers. That's a big part of why we brought them were into into the damn warfare. We're bringing a pivotal into the VM. We're family, but at the same time, we recognize that the infrastructure has to progress. Every bit is fast, and the network is the thing that ties all these parts together. Whether it's a layer three year layer for networking today or level layer several networking layer seven AP I based networking in the future >> all. I mean, I'm not gonna bring up I ot or industrial i ot to takeovers of physical devices, whether it's a self driving bus off a cliff or taking over towns and cities warfare, I mean the service areas of enormous networks, Internet connectivity applications over the cloud native. Anyway, we know that, right? So a lot to talk about. Thanks for coming on. The Cube Sharing your insight. Senior Vice President, General manager, The Cloud Native APS Group. This is really the key instrument with envy em where to take kubernetes and the advancement of cloud to 0.0 to the next level. I'm John for a day. Volante, be back after this short break.

>> lie from San Francisco celebrating 10 years of high tech coverage. It's the Cube covering Veum World 2019. Brought to you by VM Wear and its ecosystem partners. >> Welcome back to the cubes. Live coverage here in San Francisco, California, for VM World 2019. I'm Jeff Davis Davis, our 10th year, 10 years covering the M world. Quite a run. Got a great stories. More stories coming, Emma days. A lot of organic growth. A lot of typos in the startup scene. Our next two guests Mike Adams, CIA Director bm wear and Ziv Kalman. Oh, vich product line manager here. Welcome to the Cube. Great to see you. Yes, Curtsy to you guys. Got a lot of activity happening around bit fusion. A lot of news to share. Exciting. I mean, in the M. And a story has been high on VM. Where we talking back? Elsie earlier. Continue to fill in on the strategy. >> Yeah, absolutely. Give us the update. Yeah, I think the key thing for us is we really want to become a key player in the A. I am l space and say that those workloads should come on visa. And with this acquisition we think, provides a great framework for a lot of the hardware accelerator devices. The best of you known of those his GP use. But we think there's four coming market with PG A's and also custom a six. So we're super excited about that. >> For the folks that don't know much about the acquisition, what was the motivation? What was the company's core product? What was the interest? Yeah, the >> company had a product called Flex Direct, and that particular product was really focused on taking, ah, similar concept that a lot of V m writes No, which was, Hey, we knew that computes space. We were trying to take these isolated islands and pull them together. Same type of thing. Here you had these expensive devices that people were buying and they were isolated. And now if we could take a single server, it's got a bunch of GP use on it. Why don't we share it? You see all these papers that come out around machine learning at the very end. It says she's I'm amazed that thes GP user so underutilized even when we're actually using them. It's kind of like buying a car and then using the radio only right? Doesn't. It just doesn't make sense. I >> got this trend of alternative processors just sort of exploding all over the place. I mean, obviously in video, sort of people know what's going on there, but but you've got arm. Now you've got the edge coming in, you know, Intel. Still dominant in the server space. But even even storage devices today use different type, not in the not Intel processors in there. It's a combination of our mo are Sometimes you know, G. P uses you say F g a Z, even though they're sort of a narrow use case. You're seeing a six make a comeback. So you got all this additional processing power, you know, going. So that's a tailwind. Absolutely, guys, and it's sort of the intersection of those to maybe talk about some of the trends you see in that regard and how you're taking advantage of them. >> Yeah, it reminds me of many moons ago when we had new chips that were coming out. We said, Jesus, hardware, flurry here, right? And now we're in a really similar spot. Ziv and I see a lot of different types of devices and acceleration devices, whether it's computer network or storage. And in this particular case, right, we just see a hotbed of all these customers that air seeing the same problem, right? And we've got great partnerships with Intel you mentioned in video and and many others. And we just want to really leverage those for these devices because you look at V sphere and say, OK, your traditional workloads. We've done those very, very well. But as we get into containers, KUBERNETES, machine Learning and I, we want these newer cloud native and newer workloads to come our way. And taking advantage of these new capabilities really helps accelerate that in a big way. >> Could you >> explain Maur on the the sphere impact? Because, you know, first of all, of'em, where community you get the feedback right away on Twitter and a lot of things. But sometimes you gotta dig in and find out what people are thinking and where there might. I think that could be future up opportunities or because it meets skepticism. Well, the the sphere native having a eye on the sphere, that's just mind blowing to me. But I mean, I can see I can see a data processor kind of vibe going on here where data needs to be processed. That seems to be a trend. What is it going on with the sphere with this? Is there what's the what's to customers? No. >> Well, I think the first thing to clarify here is that, you know, some often there is this question. Why would Iran m Ellery I work? Look specifically envy. Sphere is a platform. But then customers do run Emily and workers and public clouds. And those layers are not that different than the spirits virtualization layer, and they're running it in virtual machines. So the whole idea would be fusion specifically, is it? Actually, we can make it even more efficient to run these workloads on top of the sphere because the underlying infrastructure that you two actually, you have to accelerate these workloads there. Today they are mostly GP use, obviously, but in the futures, Michael so mentioned you a six are coming in and effigies are coming in. We are going to make those as well. That's the plan using the B fusion framework. Be more efficient to use. A lot >> of people are skeptical around running machine learning on these are not skeptical because, I mean, it's great for any time you have the opportunity to automate something or used software to make something go away. That's not the difference. You're undifferentiated, so it makes sense. But I just can't figure out where, specifically, within these fears of being targeted to use >> where envy sphere as in, Well, >> if I'm operating the sphere on top operator, I got Debs kicking around the corner. I got a cloud Mom reclaiming. Where's this fit in? Where >> this fits into essentially any place for a visa is running. It doesn't matter if it would run on via MacLeod and for any other for cloud partnerships or on the the edge of our Vesey runs. This is a core capability of the sphere, so it doesn't matter. You know where physically or infrastructure is, we would be able to expose this technology. The idea is also that you mentioned the trends in the A six as they're coming into the enterprise. There's an architectural changes also coming in, and in the server perspective, it's just it's the servers are actually getting more dense there, in there, in there in the accelerator infrastructure that they have in them. So you're seeing four to a GP using a single server. Those are very powerful machines. You can just move oil, represent a single machine again. That brings us back to be fusion and descend. The segregated model affects territory used, which is very similar by the way to centralize stories use. >> You guys are on something really big here. I think that hardware assists off load anything. Hardware system, harbor off load is gonna be a more of a bigger trend. And we saw it happen big time and hyper converge just for storage and everything. But I think as you want to stack where kubernetes gonna flourish? Yeah. I mean, imagine all the service is that he turned on Turned off. I mean, that's not I mean, men even know when it gets turned on or off. >> Absolutely offload for awhile with things like a raise, right, trying to push processing off to a bigger ray that you've got there. And then one other thing you said that I think was really important is the audience, right? If you look at a i n m l, we have traditionally haven't talked to the data, scientists of the machine learning folks. And we need to get to the I t. Folks that air supporting those workloads saying similar to some other workloads that were new and saying these were gonna come your way. And so we need to be prepared and you need to be able to leverage. So >> what's the What's the pitch to those folks? What's that? What's what you guys saying to them? Because it is a benefit for Debs and Dev Ops is to have an ops right. You got the ops down. Okay, see that and this change happening. But a dev, What's the pitch? But how do you get their attention? What's the value proposition? >> The the Actually, that's the beauty of it. It's exactly the same bottle proposition that the sphere in Vienna, where the Vienna state provides the developers and the only thing is that now we are letting the the office people to actually provide this doing this infrastructure as well in the same efficient manner. So it's your transformation. Basically, it's giving the exact same value proposition. >> Talk about the multi cloud tie in here. We've heard a lot about multi cloud and I think multi cloud in part anyway, is being able to run any application and workload anywhere. And one of things about your technology is the ability to not have to rewrite the application to take advantage of acceleration. Does it fit into multi cloud? And if so, how? >> Yeah, when we made the bet Fusion acquisition, if you look at their story, they had the any any any story as well, just like we do. And so, you know, we made announcement this week within video and eight of us and VM, where it's definitely possible of the technology that we have to extend that even further. And so, you know, the only thing I know with users going forward is they're gonna have more than one cloud, and so we just need to prepare for that and make sure that it works. And it works well across the board and the common layer. When you look at our multi cloud strategy is vey sphere is going to be at each of those layers. So if it's ties in disease here, it should be pretty easy to make it work in each of those environments. >> What was that What was the announcement you made you share? The big >> one was being able to use in video in the context of cloud in AWS. So's GPU capabilities and bring it to the service as we do on Prem. And so that was a big piece. And then we also obviously, in making that announcement talking about Hey, you know, this is a critical area for us because not only are we doing this, but we're also saying that your bit fusion will help enhance this because we think in video and bit fusion work very well together as well. >> And is that a product of service? Ah, go to market initiative. >> In the case of the coordinated us, it would be offered as part of the service. So when you can consume the compute, you know you want a GPU, it'll be there for you to help run that workload in the cloud. >> And that's available. When >> that's an nvidia in AWS kind of question. When they are making that infrastructure available, it's essentially going to be a nun. In another instance, type that the ember cloud in AWS will offer okay, I >> mean, it's a tech preview. >> What if some of the things that people should know about because again, in the pattern I'm seeing here of'em world is as in love to stack with kubernetes being that abstraction layer that guessing eyes promoting heavily on rightfully so. We're big fans communes with that for the beginning is that you're gonna have this this purpose built, um, native capability so that when you guys got this native vibe going on native to hype the sphere native TSX native, what does that actually mean? Native like Cooper, naked native on I. But what does it native mean? Explain to the audience what that actually means. >> I'll start up. Sure. You could >> elaborate 30 minutes if you want. But what is that >> true native native? The idea >> for us was used kubernetes really two ways. You know, most of the time when we were talking about Cooper Naser Containers, it's running that on top of these Fair right? What happens if you could take the DNA of that and put it actually inside of east here? Right, so not only you could run these clusters and native pods, but you could also leverage some of the value and one of the things that Cubans does really well is it handles workloads really well. So if we take an example where we have 145 e ems and they make up your app, right, normally you'd have to go to each one of those and figure out OK, let's make some changes in tweaks. And now what I can do is I can treat all of those is one workload and I can move them. I could do really interesting things with that. And that's the power one of the powers that you have with Kubernetes. >> And that's where the differentiation. Then you don't think that there's a >> Yeah, exactly. I mean you are essentially getting There are a lot of benefits our customers, our values value that the customer is getting today from V Sphere, generically speaking, and our longtime customers are familiar with the value propositions. And what we are saying is that when you're getting something as a native capability is that essentially ties into all the other capabilities that you already were know very well and you will be able to get those. But with on top on, sometimes on top orbit in conjunction with what >> is that gonna enable? Now let's talk about the enablement. >> So let's go back all the way. If you go all the way back to be fusion, for example, if you enable it is a native technology, then if you're running containers or viens on the sphere natively they can consume to be fusion technology. If you have cool, it is. It can orchestrate natively, the PM's and containers that are using the confusion to collision. Excited. Oh, so this is the whole thing, >> more efficient platform standpoint, >> and it's easier to manage as well, because you don't have to install a bunch of stuff on top of each other because it's needed. It's part of the first. >> A lot of hassle go away that people might >> take it in and you're gonna have to guess tomorrow they're going to go deep into it with >> you. Great, we're excited. So we're hearing a lot, obviously, but kubernetes at this event and and but most of the audience, they're not developers. So how can you use the sort of bit Fusion mojo to attract developers for some of these new workloads, that air come into the marketplace? >> Yeah, I mean it's all about acquiring new audiences in a case of infusions. More the data scientists. In the case of the communities, it's more around the developer. But I think let's use the kubernetes examples as a good one and what we announced with Project Pacific. Basically, the way it looks, the technology looks to them. It'll look like the kubernetes, a p I with a little bit of east for goodness from the operator perspective, the people that we know the 20,000 that are here, it looks to them like the sphere was from kubernetes Goodness. So that's the right mix is you've got to get it. So it looks exactly the smells and feels just like what they're used to. And I think that's a that's a key aspect. And then for the data Scientists with fusion, we really need to say Okay, you know you want to run these workloads, but she's you're paying really a lot of money for these expensive, isolated devices, and you could get more value by kind of grouping them up and making sure that they're used kind of in aggregate, right? >> So there's more leverage on the data science side So if I'm say hiring someone I know I'm or more to work with with >> exactly, essentially, it's it's the same story. They don't need to change their applications, their framework. Their models use the same could interface, which is the GPU interface for for the GPS computer. >> So So let's talk about that. So data scientist, you know, they always complain that most their time is spent wrangling data That's their, you know, bugaboo. And then there's a collaboration between data scientists and developers, which probably doesn't happen enough. What are you seeing in terms of the trends from the data science role? And can you help solve some of those problems? >> Well, what we are about to solve is really access access to infrastructure for them. Easy access to the infrastructure in their software stack. And the way to get there is to make the data engineers that serve these data scientists and the application administrators that surges data scientist to get easy access to the infrastructure Dany to provide the software, and that's where the sphere eventually comes in. So it's not the Celia direct relationship with the end users. It's more enabling the entire organization that actually served these end users and let them use as much infrastructure as your partners. And >> that and that and user organization. The buffer >> guys last question share what the plans are. What's next? What's your goals for the next 6 to 12 months? I'll see. Get the acquisition under your belt. Native in these fear, a lot of other cool things. I mean that I could talk about >> customers and maybe you can talk about product from a customer perspective. You know, we want engage in proof of concepts. So we want to bring them in, let them test out the software. It already works with the beast here, so I'll be running with multiple proof of concepts across the globe. We >> use cases in the U. S. Case or what? >> Yeah, I mean, it's it's pretty simple at the moment. It seems to be most people that are using GP use around ml. We have a great demo down the floor that shows people trying to run inception, three year resident 50 And how can we actually help those v EMs that are running that? So that's gonna be my focus. The next six >> years you want get some use cases come over here, bring him up to Mike. >> And from that perspective, I mean, obviously, we acquired occasion in an early stage. The technology works well. It works well enough to be product eyes. However, Veum, wherein the sphere has very high enterprise software stone standards in terms of security and management and governance. All this capabilities so that's going to be are focused on the next, you know, even almost a year to make sure that we bring it up to a level where we can confidently provide it and sell. It is a product >> you gotta engineering hye bar there absolutely thanks to Russia coming on keeping the update, the end world coverage Breaking it down. 2019. It's the Cuba job for David. Thanks for watching Be back with more after this short break.

>> live from San Francisco, celebrating 10 years of high tech coverage. It's the Cube covering Veum World 2019. Brought to you by IBM Wear and its ecosystem partners. >> Welcome to our live coverage here in Mosconi North Lobby, Of'em World 2019. I'm John for a Student and a Volante celebrating our 10th VM World or 10 years of covering the M world. Dave's stew. What a run been Go back across Mosconi South 10 years ago with the green set. This is 10 years later. 10:10 p.m. World BMC Rule No longer the show, so that kind of folds in the Dell Technologies Man, The world's changed. Pat Nelson had just delivered his keynote as CEO Sanjay Poon and a CEO came on talk to customers stew. A lot of acquisitions, a lot of cloud native, a lot of cloud. 2.0, this is turning into VM. Wear 2.0, where vm zehr kind of only one part of the equation. So let's jump into the analysis, Dave. I mean, you put out some killer research on silken angle dot com, and we keep on dot com around customer spend still, we put out a lot of analysis on all the key trends that Vienna was playing into. Cloud two point. Oh, is what we're calling it. It's enterprise Cloud of fresh scale Day. What? What? What? What do you want? Your analysis, Latino >> John, when you go back. 10 VM Worlds ago, it was all about virtualization, completely changing the deployment dynamics. When when I first saw a VM deployed, I went, Oh, my God, This is gonna change everything. And it did. But while compared to now what's happening with cloud and a I we heard so much about five g. It was also the big, big difference in the ecosystem. Back when e. M. C owned VM wearing 2010 there was that sort of Chinese wall stew. You were working there, you know, just before that. And there wasn't a lot of, you know, swapping of I P, if you will. They were sort of treating them as unequal player to net app and everybody else out there. Tod Nielsen used to say, for every dollar spent on of'em were licensed, 15 spent an ecosystem. You don't hear that kind of narrative anymore, you hear we're crushing the HC. I vendor where number one basically a sort of backhand to Nutanix We heard on the on the keynote Very tight integration VX rail project Dimension So much, much tighter integration since Pat Tell Singer joined VM. Where from the emcee lots has changed >> will be a lot of research on reporting leading up to the show around Cloud two point. Oh, I'll see Dev. Ops is willing to home of the dimension on enterprise scale, the number of acquisitions of'em wears made and then, boom. They dropped two monsters on the table or the 11th hour pivotal for 2.7 billion carbon black for 2.1 billion. Lot of stories in those AK was other acquisitions, your analysis and how that played out today on the >> Kino. As Dave said when we started coming to this event back in 2010 you know, the virtual machine was the center of the universe. What were these servers that it lived on, how to storage and network and get fixed to be ableto live in that environment And the keynote. It was a lot of cloud, you know, John, we brought in a lot of the Cloud camp people that first year and some people were like, Why are we talking about Cloud? This is VM World, and we're like, Well, this is the future. And today we're not talking about V EMS at the center we're talking about containers were talking about cloud native applications, that multi cloud world absolutely something that pack l singer did. Front center actually felt it almost glossed over a little bit of the H C, I and NSX and all these wonderful things. Sure, there was some big del pieces in there. The M word cloud on Delhi emcee the Del Di are, you know, data protection, power protect, you know, into the VM where peace something that you definitely would not have seen under the old emcee Federation model. So Michael Dell, absolutely having his strong footprint here. Dave's done a lot of analysis talking about things like Pivotal getting pulled in and like so many different acquisitions, Pivotal came out of'em wear and, you know, carbon black Boston based companies so many different pieces here to get them talking about applications and where Veum, where the company sits in this multi cloud world where they're trying to be, you know, maintain their relationship with us. >> Let's get into the analysis on the whole ecosystems. I really want to dig into the work. Dave, you didn't and the team did. But let's go through the keynote first. So my personal opinion was it felt like, um, I'll give him a C plus Pat because it just didn't have a lot of meat. In my opinion, it felt like it was too much tech for good, although super important to have that mission driven stuff I think is really valuable as the market tends to look >> at tech >> as bad actors. I thought that was addressing. That was a positive thing, but it felt too much. I didn't see a lot of specifics. It felt do is and David, if they were hiding something, they were putting a lot of it didn't seem like there's a lot of substance coming out specifically around how Kubernetes was going to be impacted. Specifically, how Cooper is going to sit within the VM where ecosystem products specifically I just didn't feel like the product side was there. >> Well, you know what? I'll say it, John and General, I agree with you because Day one usually is here is the company vision. And if the vision is kubernetes, well, we've been hearing kubernetes for a bunch of years. Kubernetes is not the answer. Kubernetes is an enable ionizing technology job. Ada, who we up on stage? You know, we had him on the Cuban. He's like, look committed. This is not a magic layer. It's this thin layer that's gonna help us go between clouds. Getting into some of their future projects is something I usually would expect on Day two, the vision of V. M. Whereas a company, it feels like we're in that transition from who do you want a big tech for? Good? That that's great stuff. You know, Pat has a long history of talking about, you know, that moral compass that he has and wants the company to live. That which is a good change from many of the Silicon Valley companies. But, you know, I didn't get a strong feel for their vision and it was not >> a conservative. They didn't want to actually put a position down there because I think everyone in the hallway that I talked to wants to know how Cooper is gonna impact the sphere for instance, is gonna change the makeup of the sphere. And what's the impact on the product side the head that stat about bare metal being 8%. I was like, a little bit biased. Maybe there, So are they. They tiptoeing. Dave, you think? I mean, the spend numbers show that if you could just hold the line for 24 months and the new trends won't take away from that license, I mean, is it a tactical thing? Or do you think that here's the >> thing? I want to go back? I do want to give'em where? Props on one thing and you've used this term to If you go back to 8 4009 Paul Maritz talked about. We're building the software mainframe and passed them pretty consistent about that they used, they said, Any workload, any app? What's different today than back then is, he said, any workload, any up any cloud. Really. Cloud wasn't as much of a factor back then, but that vision has been fairly consistent it to you. Answer your question, Veum. We're spending remains strong, you know they're spending data that we shared with the GT R on silicon angle yesterday and today is that 41% of the VM were installed. Base is going to spend Maurine the second half of 2019 and only 7% are going to spend less. Okay, that's a real positive. But at the same time, the data clearly shows that cloud is negatively impacting VM wear spend and so that's a real threat. So multi club Pat said today technologists who Master Master Multi Cloud will own the next decade. He's talking to his audience. I'm not sure I agree with that. How much you're mastering Multi Cloud is what's gonna be the determining factor to own the next decade. >> Well, I'm stumped. Stick with my position. That multi cloud is not a reality. I think it's really more overhyped, and our actually just started to be hyped and probably will be then over hypes. And then seven years from now we'll start seeing multiple clouds truly interoperable. But I think multi cloud is we find on the Cuba simply enterprises have multiple vendors and multiple environments that happen to be those vendors have cloud, so I don't think it actually is an operating model yet. But again, just like on the Cube 2012 stew. We talked about hybrid Cloud. I called. I asked, yes. When was it a halfway house of the weigh station? He had a connection. >> So gassy. So, John, here's what I say. Number one is customers today absolutely have multiple clouds. But for multi cloud, to be a reality multi cloud must be greater than the sum of just the piece is that it's made up today and absolutely were not there. Today. VM wear has a strong reason why it should be at the center of that discussion. But they're gonna be right at loggerheads with Red Hat and Microsoft and Google and Cisco in that kind of debate at the multi cloud >> and we had, we had a story on our special report on silicon angle dot com. Check it out. It's called Coping With Multi Cloud. Were coping was by design. Coping as a mechanism used to deal with uncertainty. Coping strategies is what CEOs are going to deal with. But read that post. But in it I kind of see. I mean, I kind of agree and disagree. We have two perspectives, Dave developing. You want to get your thoughts butts do on this C I ose that come from a traditional I t background tend to like multi vendor things because they know they don't want lock. And they're afraid if you then swing to the progressive side si SOS, for instance, who are have a gun to their head in terms of security, they're all saying no, we're betting on one cloud and we'll have backup clouds, but our development staff is gonna build stacks. Have AP eyes, and we'll share those AP ice to our suppliers. Cloud vendors are saying Support our specs. So to spectrums the old school I t. Guys saying Multi vendor equals multi cloud. And then then, on the other end, See says to say, I'm gonna build technology and build a stack, exposed FBI's and let the clouds support my my tooling that not the other way around your thoughts. I >> pulled a quote in my piece That's on Silicon angle as well. From David. If lawyer and he was defining a hybrid multi cloud, he said, any application of application service can run on any note of the hybrid cloud without rewriting re compiling a re testing. My argument would be you're never gonna have that North Star without a high degree of homogeneity. And there's three examples of high degrees of homogeneity in hybrid Cloud. Today it's azure stack. It's clouded customer, and it's outposts. You're so this idea that we're gonna have this diverse set of clouds and yet they're all gonna run is one to me. I ask, Is it technically feasible? And is it Is it practical? >> Well, Steve, Steve Harry was on his Hey had announced the signal. FX has come. Portfolio can be sold on a big deal to split when he was on The Cube with me last week and he said one of them looking back on the 10 years that 1 may be M where great was virtual ization allowed for massive efficiencies and improvements without rewriting the apse. The question today's point is, is that a reality? Can what's next? So that that next gain that's not gonna require people to rewrite their APs >> well and that actually not rewriting the axes where VM or has its strength. Because, you know, I I made a joke during the keynote. It was like you have a V M insert magic. Congratulations. You now have a cloud workload because I just did. VM were cloud and it's the same app. But on the other hand, that's actually been my biggest dig on V M. Where is the long pole? In the tent and modernization is modernizing wraps. And that is that Tom Zoo that Veum were announced. They're taking bit Nami and pivotal because we do need to modernize the application. If you have an application, you've been running long enough that your users are complaining about it. We need to modernize that. VM wear has not been much of enabler of that pivotal. Yes, absolutely. That's what the cloud Foundry Labs, the pivotal Labs has been doing for years. It is a tough thing to do. That's what the developers we hear it Amazon. They're building new abs. I don't hear modern building new app at VM where, but they are moving in that >> direct question for you guys and John you in particular, but also used to as well followed AWS probably more closely than any two people I know, Pat said. Strength, lies and differences, not similarities. I've noted many differences in philosophy between A. W S and V M. where they're both winning in the market place. We know a divorce is growing much faster, but a divorce doesn't believe in multi cloud. A Devil's doesn't believe security is broken. That's that's VM wears narrative VM where says it wants to be the best infrastructure and develop our software company. That's kind of like eight of us is the platform for that. They both want to be the security cloud, and and VM were said today they have 10,000 cloud data centers, and I'm guessing that Andy Jassy wouldn't think that many of those data centers are cloud data centers. Your thoughts on the differences between between A. W S s philosophy and VM wears narrative. And can they both? Is there enough market for them both to win? >> Well, it's strikingly different. I mean, AWS is just in a breed of its own. VM wears hedging and playing there their bets. They're kind of putting, you know, bets on each horse, right? Interesting enough in the cloud thing. There was no mention of Google Cloud. I didn't see that mentioned there. Andi was speculation. Wouldn't Oracle be great partnering with Google? That's not a rumor. I'm just kind of put it out there. That would be a good combination partnership, given the Oracle's cloud is failing miserably, I think v M. Where because of the operating leverage in the enterprise, has that operational layer down to me, Amazon is the model, the future, because they are clearly born with a dev ops mindset. They have an environment where developers can build applications and they could operate. It scale with all the efficiencies of operations. So I think cloud to foreigners were calling. It is all about having developers and operational excellence without a lot of disruption or re platforming. So I think that's where the differences are. You have company that have toe have to work with this world of legacy applications, and that requires first lift and shift, which doesn't become attractive. Then you add containers on the game changes. So I think container ization really was, I think, the seminal moment in the shift where where you got kubernetes and containers. So let the enterprise cloud. Native guys get in and have an operational framework that takes advantage of the horsepower of public cloud, which is computing storage, which is why we think networking and security will be the absolute focus areas for Cloud two point. Oh, and Amazon is just dominating the depth and the ops. And I don't think anyone is coming close. >> I'd love to hear your thoughts, too, but I just got caught. I don't think Oracles Cloud is failing miserably. I think it's I wouldn't say it that way. I think their infrastructures of service is irrelevant and the cloud is all about SAS. But just, you know, that's what I think. Waken debate that somebody >> has been great for the Oracle customers. But in terms of all metrics in terms of public and enterprise, cloud with multiple environments nonstarter. >> So there's a bit of a schism out there if you talk to customers. There are many customers when they deploy in Public Cloud, although uses, you know, compute storage and, like the identity management and that's it. And they'll stop and I talkto you con many customers that are using kubernetes so that if they want to hit the eject button, but they're all on Amazon today, so it's not like they're all fleeing Amazon or doing it. But we talked to lots of developers that are deep in aws they're using those service is they're using Lambda and they're building it. So how deep will they go? And that's where I look at this VM we're offering. And it's if I'm gonna take the sphere and extend that with kubernetes. I saw Cuba. Well, um, actually in the Twitter stream said it is, you know, cloud lock in to Dato is what we get if we do that. Because the whole reason VM were originally created called Foundry. So they didn't have to take that entire V's fear colonel and put it everywhere. So it's a nice bridge. That van, where has the partnership they have with AWS is a great strategy. But I still think it is a bridge to an ultimate solution where they'll still use the M where the embers not going anyway. But that shift of where my application live in what service is I do is going to change a lot over the next 3 to 5. >> Let's not lose sight, Dave, of where we are in the industry. I mean, we're at VM World 2019. We go to reinvents coming up. We kind of live in a tech bubble in the sense that all this stuff is all kind of great skating to where the puck is gonna be. But the reality is in most I tea shops, and again, I use ceases as a proxy in my mind, because they're in the cutting edge of all the real critical nature of security, of the impact that harm that could happen to a company. So I look at sea. So she's more of a canary in the coal mine for trends than the nutritional CEO. At this point, most enterprises are just trying to rationalize kubernetes, generally speaking like never mind, like making a centerpiece of their entire architecture. They're looking at their existing environment saying, Hey, I got V EMS that did great for me. Serve a consolidation enabled more efficiency, not rewriting code. Now what? I gotta do kubernetes and do all this other stuff. How do I suspect my VM with kubernetes? Is it on bare metal? So I think we're way ahead right now. In the narrative, I think the reality is that people catch up. That's where the proof is gonna come into. That's why the customer survey numbers are interesting. >> Keep keep. Townsend is set on the Cube VM, where moves at the speed of the CEO, so they're not moving too far ahead of them, but they are key heating up with them. >> Let me share some data to share some data so you could go to Silicon Angle. Look at the V M World 2019 90 spending survey containers, Cloud NSX and pivotal its data from Enterprise Technology Research that we analyzed. There's no evidence right now that Container's air hurting VM wear. But then that was the narrative that containers are gonna kill the M where but long term. There's real threats there. So that's what the pivotal acquisition, at least in part was about. I want to address the pivotal acquisition cause we haven't dug into it a little bit a cz, Much as I'd like to see. There's really three things there. One pivotal was struggling. You look at the stock price, you look at their buying patterns, you know the stock was down that not even close to their original AIPO price, so they wanted to get out of the public eye right now would not be on that 30 day shot clock. The second is it's a hedge on containers. And the third is it's a financial scheme. I mean, I'll call it that VM wears paying $800 million in cash for an asset that's worth $4 billion. How can that be? Well, they already owned 15% of pivotal there. Give. They're exchanging stock. So their trade trading paper to Adele in exchange for Dell's 70% ownership in Pivotal. So they pick up this asset, and it's basically a forced migration by Michael Del, who controls 96% of the voting shares. So there's all kinds of inside nuance going on there that nobody's really talked about it a >> great deal for Of'em. Where and Michael Dell? It's >> a very good deal for VM wear and Michael Dell. >> Let's unpack that are rapidly. >> Just did the one piece on that, right, because kubernetes it was the elephant, the room that was damaging what Pivotal was doing. VM were made a couple of acquisitions VM where needs to react at, so it made sense to pull out back in. Even if it does go against some of the original mission, that Cloud Foundry and Pivotal had to be able to be that cloud native without that full strong time, >> it's all about building apse, right? It's all about enabling developers. >> Let's on that note. Let's go around the horn and talk about what we expect from the emerald this year. And then we'll kick off three days of wall to wall coverage. I'll start, I expect. And I'm not looking for is how VM wear and its ecosystem and who's really deep in the ecosystem, who's kind of independent and neutral, what they're doing with their containers and kubernetes play. Because I think the container revolution that was started with Dr Absolutely is very relevant to the C i o and the Sea. So so and then how they're using data in that in their applications. So you know how VM Way wants to position themselves on the control plane, how that fits in the NSX. I think containers in the container ization is going to change. I think bare metal is gonna be a super important topic in the next couple of years. Dio I'm kind of swinging back to the my feeling that you know, hyper convergence what it did for server storage networking back when you were calling those those moves. I think that kind of hyper convergence mentality is coming up the stack, and I think Containers and the Kubernetes Chess Board will will play out. >> I think if you my feelings, if you don't own a public cloud, you better convince your customers in your ecosystem that the future is in our definition of cloud, which is multi cloud. And that's what this VM world to me is all about. >> Yeah, you know, Veum wears taking their software state and trying to live in all of those cloud world. So you know, V. Amar has 600,000 customers and they want to be the ones to educate them on the kubernetes containers. You know you're at modernization, but there's a lot of other places customers can learn about this. No one understand where VM wear really adds value beyond all of those pieces, because all the cloud platforms have their kubernetes. >> A lot of other places, like the public cloud. That's where all the action >> exactly comes back down the cloud 2.0 Dev and ops developers and operations all come together with software. Thank you. Breaking it down here for three days. Wall to wall coverage here in Moscow north to set celebrating our 10th year covering VM World. Thanks for watching stay with us from or action after this short break.

>> live from San Francisco, celebrating 10 years of high tech coverage. It's the Cube covering Veum World 2019 brought to you by the M Wear and its ecosystem partners. >> I am Stew Minimum and my co host, Justin Warren. And you're watching The Cube live from VM World 2019 here in Moscow North. Actually, the 10th year that we've had the cubit this event joining me on the program, I have Brad Anderson and Keith Norby, both with Netapp. Brad is an executive vice president, and Keith is director of strategic alliances. Gentlemen, thanks so much for joining us. >> Thank you. So, Brad, I've had >> the pleasure of working with the, um where since 2002 it's one of the highlights of my career in Tech has been watching that growth of virtual ization a company that, you know. It was about 100 people when I first started watching them. And that wave, a virtualization that had ripples throughout the industry, was really impressive. But >> I didn't actually >> get to come to this show until 2010 Asai said. Our 10th year of the show, you were one of the few that were at the inaugural event that it's the 16th year of it. So >> just give us a >> little bit of ah ah, look back in. You know what you've seen changing Netapp, of course. You know, long longtime partner of ah of Via Mers. >> Absolutely. He was like 3 4000 for it was at a hotel in San Diego. And there's probably about 1000 people there, but I don't think they were planning 1000. So is the longest kind of room. And we had people that were just kind of a mile down. And finally, uh uh, the comment was, Hey, could we knock down a wall and kind of get people a little bit closer? So, no, that was a long time ago. And in fact, it was Diane Mendel. I had an opportunity of Aquino, and I think there was another key note from IBM. >> Yeah, well, you know, I'm sorry they didn't invite you back on stage this morning, but, you know, >> a little big, bigger show today. >> A little bigger. I think we're somewhere the ballpark. 20 thousands. What? This show's been for about the last five years. Conversations very different today. As I made commentary were in the post VM era. Today, V EMS are no longer the center of the conversation. And you know, multi cloud is something that they put out there, which is the story I've been hearing from net out for many years software company, living in all of these cloud environment. So talk to us a little bit about how that relationship with VM wear and what we're not upsets in the ecosystem is >> changing. I mean, you know, Veum, where has never happened, then where has been a great partner for a long, long time? And, uh, and net have strategies Clearly hybrid multi cloud. When you think about private clouds today, VM where has a huge footprint in that space, So they continue be super important. We probably have a more expansive definition of hybrid to us. Hybrid is private cloud and public cloud in all kinds of combinations. And but we also so strongly believe the multi cloud and so we are. You know, we're driving very hard for the hybrid multi cloud, letting customers basically start anywhere they want to with any cloud provider on Prem in the cloud, and have that you know that control of data irrespective of and move at their own pace. >> Yes, sir. Vienna, Where has long been one of those places where everybody can meet? So you mentioned knocking down walls. VM. Where is one of the few companies that actually succeeded in doing that and having people be able to work with partners in other eras? There was often a lot of fighting between different vendors, or it's here. It's whatever you as a customer wants to do, we will be there to do that with you. And that's another one of those companies. All right, if you have some data, we will help you manage it, no matter where it is. So what tell it tells about something that what are you doing right now in this Is New World, where a stew mentions it's a post of'em world. So in this post of'em world, how do you manage your data in that post VM world? >> Well, it's it's it's Ah, it's managing first of all, I mean, we really strongly believe place, and so we're gonna manage, you know, you know the data and start where the customer starts. I mean, we're not advocating that they have to start in cloud. They have to be on prim. There's an orderly path because depending on the customer, they're all going to take a very different path. And and so what we want to do is give him control. Their data, irrespective of the path, allow them to move on that path. But we're seeing at Netapp that it's it's the but the data is beyond the data that's increasingly about applications. And so, you know, you heard a little bit about Ah Kubernetes. That's That's something we've strongly feel as well on providing a set of tools to provide choice where, you know, you know, independent the cloud, you know, same kubernetes service, same different tools, same tool set. Same service is on prim or in the cloud. >> Yeah, Ned has a strong cloud. President's summer things like cloud volumes. Some of the other acquisitions that you've made that help you with the cloud journey, like some of them have sufferings, are really strong, >> know very much so. And and we think we can provide Ah ah, the superior customer experience. But then, if the customer wants to use, you know, a variety interesting set of tools we support that as well. We are supporting the customer on his journey with the tools as they ah determined. >> So, Keith, tell us about some of the strategic partnerships that helped net up. To be able to partner with these different customers and to bring different vendors together to help themselves. Customer problems? >> Yeah, well takes a lot of them. Thio, meet the customer needs, as you saw today in the landscape folks that are on the solutions exchange floor. It takes not just a partnership between net up and VM wear, but net up in Vienna, where plus v m net up in Vienna, where plus ah ton of other folks, Cisco has an example longtime partner of ours and flex pot. Then you know the fact that we're doing memory accelerator flex pod takes, you know, something that has had a long tradition of the, um where excellence with Cisco and is now the order of magnitude faster than anything you want for APS that need scale, performance, all the service capabilities of on tap for things like Metro Cluster and beyond. >> So you remember back years ago it was you know, you know who has the most integrations and with the M wear. And you know, if you know all the A I and Viv balls and all of those pieces and netapp always, you know, was right at the top of the list. You know, working in those environments may be brought if you want to enter this. But, you know, today, how do you give us some examples That kind of that joint engineering work that goes on between Netapp and VM, where obviously there's bundle solutions like flex pod, that's, you know, the sphere plus netapp in there. But you know that engineering level, you know, where does rubber with road? >> Yeah, it's funny because I've been at every vehicle except to, And so I've been with you. In the sense I've seen the landscape of these innovations where Steve Haired and some others would talk about the movie previews of things like the aye aye and bossy providers all coming. And that was the big thing you'd focus on. Now it's less about that, and I think it's more about what Brad is kind of brought to net happened in the focus on simplicity. Now the funny part about simplicity is that to deliver simplicity, much like the engineering detail to deliver Tesla or an iPhone is extraordinary, so the work isn't less. In fact, the work is Maur and you pre configuring or pre what you were wearing as much as possible. The work we started to do over a year ago between George Curry in our CEO and Sanjay Poon got together. We started planning on some multi cloud plans, and, uh, that's where you see a lot of our persistence and cloud volumes on VMC. You see us having a view more vow, didn't design Aneta Page C. I for your Private Cloud VD I solutions. And these air meant to draw NSX a kn and when his net I've ever had in NSX immigration all said, Now we have had a sex and integrations to make that easier to bring on board. We have the realized integration so you could build a self serve portal catalog just like it talked about today, and the list goes on and on, so it's funny how it's less. The features are important. But what's more important is trying to make this a simple it's possible for you to consume and then for the folks that need things like scale of maps and service is or they need the same cloud volumes in this data fabric on any one of the hyper scale er's. We have really the only end in story on that, and that's what makes the via More plus net up thing worked really well. >> So how do you balance the flexibility of being able to solve multiple customer problems? And they all have different needs. How do you balance the simplicity with that? With that complexity? And it was mentioned by Pat, make a note as well that you've got this kind of tension between. I need to be able to do everything flexibly, but that can sometimes lead the complexity. So how do you change that? To become simple for customers to use? >> I mean, I think the biggest thing it Z it's a design input. I mean, if if you start out with just trying to make the technology all it can be with a end of you know, one particular cloud or one particular partner, then it becomes very difficult. As he tried to expand it to multiple partners and because it's about choice. We're kind of think about that right up front. And so if it's a design input, it puts, it puts, as he said, to put some burden on the technical team. But it is a much more powerful solution if we if you can pull it off, and that's been a big part, and I think it kind of starts with this mentality that you know, it's about choice, and we gotta make simplicity. And now part of the value proposition, rather than after for thought as it has, may be historically has been. What if >> we could talk a little bit about customers? Because, you know the message I hear this morning is you know, you talk multi cloud, a cloud native. There's a lot of change in the industry, you know, I'm participating in couple of career advice events because remember back 10 years ago, it was Oh, my gosh, if I'm a server admin, I need to learn to be virtualization than it was cloud. You know, architects, but way know that change in the industry is constant. So, you know, what are some of the key drivers when you're talking to customers in general and specifically when you talk about in engaging in part with the M where, >> Yeah, I mean, I I think it starts with people just recognizing. Even if people haven't moved the cloud today, that tends to be their primary strategy. In a recent survey, I think we found 98% of the customers, said Cloud is her strategy. However, 53% said still on Prem is their primary compute centers. So you know they're not there yet. And so But because that's their strategy, then you know we have to respect that. And so So, uh, you know, increasingly you're seeing at Netapp Waleed with clout, even though we know customers aren't quite ready there. But we align to that long term vision. But then our strange made up helping the modernize What they have currently on prim helping build private clouds for the same service is they have him public cloud, and then let them have the complete absolute choice. What public cloud or multiple public clouds they want and designed with with, you know, that full spectrum in mind, knowing they could start anywhere on that on that scale. >> Yeah, the customers ultimately are gonna dictate to the market What Israel and I think over time, Pios sort of vet who is right on this stuff. And so history's a great lesson teacher of all those things, you know, for me, it seems less less about how many different things you can offer. And as you see whether we're at Veum World or at Red Hat Summit were made obvious. Reinvent or, um, coup con every every every vector, turn of the customers. Prism on this will say something different. But I think in general, categorically, if you look at it, you could start to just, you know, glean what you think are the real requirements. And by the way, the rule carpets are not all technical. You know, I think what what gets lost on folks is that there is a lot of operational political factors, probably political factors, a lot more than what a lot of people think. You know, they're just talking about what the what The speed is to re factor APs or to migrate APS. Frankly, there's just a lot of politics that goes with that. There's a lot of just stuff to work through, >> and that's where I think simplicity is so important because of those non technical reason. Simplicity resonates across the board. >> But I would say you have to have simplicity with capabilities. >> I mean, just one of the things you talk about, right? If I modernize some application, well, the people that were using that application, they were probably complaining about that old one. But at least they do have to relearn >> that. Have that that new one. So we're gonna have some exciting announcements tomorrow. So I'm kind of check out tomorrow's stuff that will announce with VM, where with Netapp tomorrow We're here at the show floor will be showcasing some of those things. We can't give away too much of that today. But, you know, we think the future is bright and together with with Veum Or, you know, this partnership, I think, has a lot of upside. Like you said, we've had We've had a 17 year history with, you know, hundreds of thousands of customers together and installed base that goes back to like you said to be very beginning. Um, I remember back to the very beginning of the ecosystem. Net up was one of the strongest players in that market on dhe Since then, it's evolved beyond just NFS. >> Well, hopefully bread. We can get you on a keynote for in another 10 years. Waken Knock that wall down Exactly. Exactly. >> All right, great. Want to give you both the final word? You know, so so many big themes going on, you know, takeaways that you want people to have from the emerald 2019 bread >> I think the biggest takeaway is that just like the show today you didn't hear a whole lot about virtualization. It's moving to contain her eyes and and we had netapp view that, you know, we support all virtualized environments on from across the cloud, moving to supporting all containerized application environments on premises and cloud. And it's about choices in combinations of both, but keeping data control. >> Yeah, I'd say for me, it's it's really the power of the of of the better together, you know, to me, it's nobody's great apart. It takes really an ecosystem of players to kind of work together for the customer benefit and the one that we've demonstrated of'em. Where with that plus Veum, where has been a powerful one for well, well over 17 years and the person that putting in terms of joint customers that have a ton of loyalty to both of us, and they want us just to work it out. So you know, whether you're whether your allegiance on one side of the Cooper natty criminals battle or another or you're on one side of anyone's stores. Choice or another. I think customers want Netapp on via mortar work. It's out and come up with solutions that we've done that. And now what? We wait for the second act of this to come out. We'll start that tomorrow. Teeth and >> Brad, thank you so much if you couldn't tell by the sirens on the street. We are live here at San Francisco at Mosconi, north of lots more coverage. Three days wall to wall coverage for Justin Warren. I'm stew. Minimum is always thank you for watching the cue

>> live from Las Vegas. It's the queue covering Dell Technologies. World twenty nineteen. Brought to you by Dell Technologies and its ecosystem partners. >> The one Welcome to the Special Cube Live coverage here in Las Vegas with Dell Technologies World 2019. I'm John Furrier with Dave Vellante breaking down day one of three days of wall the wall Coverage - 2 Cube sets. Uh, big news today and dropping here. Dell Technology World's series of announcements Cloud ability, unified work spaces and then multi cloud with, uh, watershed announced with Microsoft support for VMware with Azure are guests here theCUBE alumni that Seo, senior leader of'Em Where Sanjay *** and such a great to see you, >> John and Dave always a pleasure to be on your show. >> So before we get into the hard core news around Microsoft because you and Satya have a relationship, you also know Andy Jassy very well. You've been following the Clouds game in a big way, but also as a senior leader in the industry and leading BM where, um, the evolution of the end user computing kind of genre,  that whole area is just completely transformed with mobility and cloud kind of coming together with data and all this new kinds of applications. The modern applications are different. It's changing the game on how end users, employees, normal people use computing because some announcement here on their What's your take on the ever changing role of cloud and user software? >> Yeah, John, I think that our vision , as  you know, it was the first job I came to do at VMware almost six years ago, to run and use a computing. And the vision we had at that time was that you should be able to work at the speed of life, right? You and I happen to be on a plane at the same time  yesterday coming here, we should be able to pick our amps up on our devices. You often have Internet now even up at thirty thousand feet. In the consumer world, you don't lug around your CDs, your music, your movies come to you. So the vision of any app on any device was what we articulated with the digital workspace We. had Apple and Google very well figured out. IOS later on Mac,  Android,  later on chrome . The Microsoft relationship in end use the computing was contentious because we overlapped. They had a product, PMS and in tune. But we always dreamed of a day. I tweeted out this morning that for five and a half years I competed with these guys. It was always my dream to partner with the With Microsoft. Um, you know, a wonderful person, whom I respect there, Brad Anderson. He's a friend, but we were like LeBron and Steph Curry. We were competing against each other. Today everything changed. We are now partners. Uh, Brad and I we're friends, we'll still be friends were actually partners  now why? Because we want to bring the best of the digital workspace solution VMware brings workspace one to the best of what Microsoft brings in Microsoft 365 , active directory, E3 capabilities around E. M. S and into it and combined those together to help customers get the best for any device. Apple, Google and Microsoft that's a game changer. >> Tell about the impact of the real issue of Microsoft on this one point, because is there overlap is their gaps, as Joe Tucci used to say, You can't have any. There's no there's no overlap if you have overlapped. That's not a >> better to have overlapped and seems right. A gaps. >> So where's the gaps? Where this words the overlapping cloud. Next, in the end user world, >> there is a little bit of overlap. But the much bigger picture is the complementarity. We are, for example, not trying to be a directory in the Cloud That's azure active directory, which is the sequel to Active Directory. So if we have an identity access solution that connect to active directory, we're gonna compliment that we've done that already. With Octo. Why not do that? Also inactive Directory Boom that's clear. Ignored. You overlap. Look at the much bigger picture. There's a little bit of overlap between in tune and air Watch capabilities, but that's not the big picture. The big picture is combining workspace one with E. M s. to allow Office 365 customers to get conditional access. That's a game, so I think in any partnership you have to look past, I call it sort of these Berlin Wall moments. If the U. S and Soviet Union will fighting over like East Germany, vs West Germany, you wouldn't have had that Berlin wall moment. You have to look past the overlaps. Look at the much bigger picture and I find the way by which the customer wins. When the customer wins, both sides are happy. >> Tearing down the access wall, letting you get seamless. Access the data. All right, Cloud computing housely Multi cloud announcement was azure something to tell on stage, which was a surprise no one knew was coming. No one was briefed on this. It was kind of the hush hush, the big news Michael Delll, Pat Girl singer and it's nothing to tell up there. Um, Safia did a great job and really shows the commitment of Microsoft with the M wear and Dell Technologies. What is this announcement? First, give us your take an analysis of what they announced. And what does it mean? Impact the customers? >> Yeah, listen, you know, for us, it's a further That's what, like the chess pieces lining up of'Em wars vision that we laid up many years for a hybrid cloud world where it's not all public cloud, it isn't all on premise. It's a mixture. We coined that Tom hybrid loud, and we're beginning to see that realize So we had four thousand cloud providers starting to build a stack on VM, where we announced IBM Cloud and eight of us. And they're very special relationships. But customers, some customers of azure, some of the retailers, for example, like Wal Mart was quoted in the press, released Kroger's and some others so they would ask us, Listen, we're gonna have a way by which we can host BMO Workloads in there. So, through a partnership now with Virtue Stream that's owned by Dell on DH er, we will be able to allow we, um, where were close to run in Virtue Stream. Microsoft will sell that solution as what's called Azure V M, where solutions and customers now get the benefit of GMO workloads being able to migrate there if they want to. Or my great back on the on premise. We want to be the best cloud infrastructure for that multi cloud world. >> So you've got IBM eight of us Google last month, you know, knock down now Azure Ali Baba and trying you. Last November, you announced Ali Baba, but not a solution. Right >> now, it's a very similar solutions of easy solution. There's similar what's announced with IBM and Nash >> So is it like your kids where you loved them all equally or what? You just mentioned it that Microsoft will sell the VM wear on Azure. You actually sell the eight of us, >> so there is a distinction. So let me make that clear because everything on the surface might look similar. We have built a solution that is first and preferred for us. Called were MacLeod on a W s. It's a V m er manage solution where the Cloud Foundation stack compute storage networking runs on a ws bare metal, and V. Ember manages that our reps sell that often lead with that. And that's a solution that's, you know, we announced you were three years ago. It's a very special relationship. We have now customer attraction. We announce some big deals in queue, for that's going great, and we want it even grow faster and listen. Eight of us is number one in the market, but there are the customers who have azure and for customers, one azure very similar. You should think of this A similar to the IBM ah cloud relationship where the V C P. V Partners host VM where, and they sell a solution and we get a subscription revenue result out of that, that's exactly what Microsoft is doing. Our reps will get compensated when they sell at a particular customer, but it's not a solution that's managed by BM. Where >> am I correct? You've announced that I think a twenty million dollars deal last quarter via MacLeod and A W. And that's that's an entire deal. Or is that the video >> was Oh, that was an entirely with a customer who was making a big shift to the cloud. When I talked to that customer about the types of workloads, they said that they're going to move hundreds off their APs okay on premise onto via MacLeod. And it appears, so that's, you know, that's the type of cloud transformation were doing. And now with this announcement, there will be other customers. We gave an example of few that Well, then you're seeing certain verticals that are picking as yours. We want those two also be happy. Our goal is to be the undisputed cloud infrastructure for any cloud, any cloud, any AP any device. >> I want to get your thoughts. I was just in the analysts presentation with Dell technology CFO and looking at the numbers, the performance numbers on the revenue side Don Gabin gap our earnings as well as market share. Dell. That scales because Michael Delll, when we interviewed many years ago when it was all going down, hinted that look at this benefits that scale and not everyone's seeing the obvious that we now know what the Amazon scale winds so scale is a huge advantage. Um, bm Where has scale Amazon's got scale as your Microsoft have scales scales Now the new table stakes just as an industry executive and leader as you look at the mark landscape, it's a having have not world you'd have scale. You don't If you don't have scale, you're either ecosystem partner. You're in a white space. How do companies compete in this market? Sanjay, what's your thoughts on I thinkit's >> Jonah's? You said there is a benefit to scale Dell, now at about ninety billion in revenue, has gone public on their stock prices. Done where Dellvin, since the ideal thing, the leader >> and sir, is that point >> leader in storage leader inclined computing peces with Vienna and many other assets like pivotal leaders and others. So that scale VM, Where about a ten billion dollar company, fifth largest software company doing verywell leader in the softer to find infrastructure leader, then use a computing leader and softer, defined networking. I think you need the combination of scale and speed, uh, just scale on its own. You could become a dinosaur, right? And what's the fear that every big company should have that you become ossified? And I think what we've been able to show the world is that V M wear and L can move with scale and speed. It's like having the combination of an elephant and a cheetah and won and that to me special. And for companies like us that do have scaled, we've to constantly ask ourselves, How do we disrupt ourselves? How do we move faster? How do we partner together? How do we look past these blind spots? How do we pardon with big companies, small companies and the winner is the customer. That's the way we think. And we could keep doing that, you'll say so. For example, five, six years ago, nobody thought of VMware--this is going before Dell or EMC--in the world of networking, quietly with ten thousand customers, a two million dollar run rate, NSX has become the undisputed leader and software-defined networking. So now we've got a combination of server, storage and a networking story and Dell VMware, where that's very strong And that's because we moved with speed and with scale. >> So of course, that came to an acquisition with Nice Sarah. Give us updates on the recent acquisitions. Hep C e o of Vela Cloud. What's happening there? >> Yeah, we've done three. That, I think very exciting to kind of walk through them in chronological order about eighteen months ago was Velo Cloud. We're really excited about that. It's sort of like the name, velocity and cloud fast. Simple Cloud based. It is the best solution. Ston. How do we come to deciding that we went to talk to our partners like t other service providers? They were telling us this is the best solution in town. It connects to the data center story to the cloud story and allows our virtual cloud network to be the best softer. To find out what you can, you have your existing Mpls you might have your land infrastructure but there's nobody who does softer to find when, like Philip, they're excited about that cloud health. We're very excited about that because that brings a multi cloud management like, sort of think of it like an e r P system on top of a w eso azure to allow you to manage your costs and resource What ASAP do it allows you to manage? Resource is for materials world manufacturing world. In this world, you've got resources that are sitting on a ws or azure. Uh, cloud held does it better than anybody else. Hefty. Oh, now takes a Cuban eighty story that we'd already begun with pivotal and with Google is you remember at at PM world two years ago. And that's that because the founders of Cuban eighties left Google and started FTO. So we're bringing that DNA we've become now one of the top two three contributors to communities, and we want to continue to become the de facto platform for containers. If you go to some of the airports in San Francisco, New York, I think Keilani and Heathrow to you'LL see these ads that are called container where okay, where do you think the Ware comes from Vienna, where, OK, and our goal is to make containers as container where you know, come to you from the company that made vmc possible of'Em where So if we popularized PM's, why not also popularised the best enterprise contain a platform? That's what helped you will help us do >> talk about Coburn at ease for a minute because you have an interesting bridge between end user computing and their cloud. The service is micro. Services that are coming on are going to be powering all these APS with either data and or these dynamic services. Cooper, Nettie sees me the heart of that. We've been covering it like a blanket. Um, I'm gonna get your take on how important that is. Because back Nelson, you're setting the keynote at the Emerald last year. Who burn it eases the dial tone. Is Cooper Netease at odds with having a virtual machine or they complimentary? How does that evolving? Is it a hedge? What's the thoughts there? >> Yeah, First off, Listen, I think the world has begun to realize it is a world of containers and V ems. If you looked at the company that's done the most with containers. Google. They run their containers in V EMS in their cloud platform, so it's not one or the other. It's vote. There may be a world where some parts of containers run a bare metal, but the bulk of containers today run and Beyonce And then I would say, Secondly, you know, five. Six years ago, people all thought that Doctor was going to obliterate VM where, But what happened was doctors become a very good container format, but the orchestration layer from that has not become daugher. In fact, Cuban Eddie's is kind of taking a little of the head and steam off Dr Swarm and Dr Enterprise, and it is Cooper Navy took the steam completely away. So Senses Way waited for the right time to embrace containers because the obvious choice initially would have been some part of the doctor stack. We waited as Borg became communities. You know, the story of how that came on Google. We've embraced that big time, and we've stated a very important ball hefty on All these moves are all part of our goal to become the undisputed enterprise container platform, and we think in a multi cloud world that's ours to lose. Who else can do multi cloud better than VM? Where may be the only company that could have done that was Red Hat. Not so much now, inside IBM, I think we have the best chance of doing that relative. Anybody else >> Sanjay was talking about on our intro this morning? Keynote analysis. Talking about the stock price of Dell Technologies, comparing the stock price of'Em where clearly the analysis shows that the end was a big part of the Dell technologies value. How would you summarize what v m where is today? Because on the Kino there was a Bank of America customers. She said she was the CTO ran, she says, Never mind. How we got here is how we go floors the end wars in a similar situation where you've got so much success, you always fighting for that edge. But as you go forward as a company, there's all these new opportunities you outlined some of them. What should people know about the VM? We're going forward. What is the vision in your words? What if what is VM where >> I think packed myself and all of the key people among the twenty five thousand employees of'Em are trying to create the best infrastructure company of all time for twenty one years. Young. OK, and I think we have an opportunity to create an incredible brand. We just have to his use point on the begins show create platforms. The V's fear was a platform. Innocent is a platform workspace. One is a platform V san, and the hyper convert stack of weeks right becomes a platform that we keep doing. That Carbonetti stuff will become a platform. Then you get platforms upon platforms. One platforms you create that foundation. Stone now is released. ADelle. I think it's a better together message. You take VX rail. We should be together. The best option relative to smaller companies like Nutanix If you take, you know Veum Where together with workspace one and laptops now put Microsoft in the next. There's nobody else. They're small companies like Citrix Mobile. I'm trying to do it. We should be better than them in a multi cloud world. They maybe got the companies like Red Hat. We should have bet on them. That said, the end. Where needs toe also have a focus when customers don't have Dale infrastructure. Some people may have HP servers and emcee storage or Dell Silvers and netapp storage or neither. Dellery emcee in that case, usually via where, And that's the way we roll. We want to be relevant to a multi cloud, multi server, multi storage, any hardware, any cloud. Any AP any device >> I got. I gotta go back to the red hat. Calm in a couple of go. I could see you like this side of IBM, right? So So it looks like a two horse race here. I mean, you guys going hard after multi cloud coming at it from infrastructure, IBM coming at it with red hat from a pass layer. I mean, if I were IBM, I had learned from VM where leave it alone, Let it blossom. I mean, we have >> a very good partisan baby. Let me first say that IBM Global Services GTS is one about top sai partners. We do a ton of really good work with them. Uh, I'm software re partner number different areas. Yeah, we do compete with red hat with the part of their portfolios. Relate to contain us. Not with Lennox. Eighty percent plus of their businesses. Lennox, They've got parts of J Boss and Open Stack that I kind of, you know, not doing so well. But we do compete with open ship. That's okay, but we don't know when we can walk and chew gum so we can compete with Red Hat. And yet partner with IBM. That's okay. Way just need to be the best at doing containing platform is better than open shifter. Anybody, anything that red hat has were still partner with IBM. We have to be able to look at a world that's not black and white. And this partnership with Microsoft is a good example. >> It's not a zero sum game, and it's a huge market in its early days. Talk >> about what's up for you now. What's next? What's your main focus? What's your priorities? >> Listen, we're getting ready for VM World now. You know in August we want to continue to build momentum on make many of these solutions platforms. So I tell our sales reps, take the number of customers you have and add a zero behind that. OK, so if you've got ten thousand customers of NSX, how do we get one hundred thousand customers of insects. You have nineteen thousand customers of Visa, which, by the way, significantly head of Nutanix. How do we have make one hundred ninety thousand customers? And we have that base? Because we have V sphere and we have the Delll base. We have other partners. We have, I think, eighty thousand customers off and use of computing tens of millions of devices. How do we make sure that we are workspace? One is on billion. Device is very much possible. That's the vision. >> I think that I think what's resonating for me when I hear you guys, when you hear you talk when we have conversations also in Pat on stage talks about it, the simplification message is a good one and the consistency of operating across multiple environments because it sounds great that if you can achieve that, that's a good thing. How you guys get into how you making it simple to run I T. And consistent operating environment. It's all about keeping the customer in the middle of this. And when we listen to customs, all of these announcements the partnership's when there was eight of us, Microsoft, anything that we've done, it's about keeping the customer first, and the customer is basically guiding up out there. And often when I sit down with customers, I had the privilege of talking hundreds of thousands of them. Many of these CEOs the S and P five hundred I've known for years from S athe of'Em were they'LL Call me or text me. They want us to be a trusted advisor to help them understand where and how they should move in their digital transformation and compared their journey to somebody else's. So when we can bring the best off, for example, of developer and operations infrastructure together, what's called DEV Ops customers are wrestling threw that in there cloud journey when we can bring a multi device world with additional workspace. Customers are wrestling that without journey there, trying to figure out how much they keep on premise how much they move in the cloud. They're thinking about vertical specific applications. All of these places where if there's one lesson I've learned in my last ten twenty years of it has become a trusted advisor to your customers. Lean on them and they will lean on you on when you do that. I mean the beautiful world of technology is there's always stuff to innovate. >> Well, they have to lean on you because they can't mess around with all this infrastructure. They'LL never get their digital transformation game and act together, right? Actually, >>= it's great to see you. We'Ll see you at PM, >> Rollo. Well, well, come on, we gotta talk hoops. All right, All right, All right, big. You're a big warriors fan, right? We're Celtics fan. Would be our dream, for both of you are also Manny's themselves have a privileged to go up against the great Warriors. But what's your prediction this year? I mean, I don't know, and I >> really listen. I love the warriors. It's ah, so in some senses, a little bit of a tougher one. Now the DeMarcus cousins is out for, I don't know, maybe all the playoffs, but I love stuff. I love Katie. I love Clay, you know, and many of those guys is gonna be a couple of guys going free agents, so I want to do >> it again. Joy. Well, last because I don't see anybody stopping a Celtics may be a good final. That would be fun if they don't make it through the rafters, though. That's right. Well, I Leonard, it's tough to make it all right. That sounds great. >> Come on. Sanjay Putin, CEO of BM Wear Inside the Cube, Breaking down his commentary of you on the landscape of the industry and the big news with Microsoft there. Other partner's bringing you all the action here Day one of three days of coverage here in the Cubicle two sets a canon of cube coverage out there. We're back with more after this short break.

>> fly from San Francisco. It's the Cube covering Google Cloud next nineteen, brought to you by Google Cloud and its ecosystem partners. >> Welcome back. This is Day three of Google Cloud. Next, you're watching the Cube, the leader in live tech coverage. The cube goes out to the events. We extract the signal from the noise. My name is Dave Volante. I'm here with my co host to minimum. John Farrier has been here >> all week. Wall to wall >> coverage, three days. Check out cube dot net for all the videos. Silicon angle dot com For all the news, Eric Brewer is here is the vice president of Infrastructure and a Google fellow. Dr Breuer, Thanks for coming on The Cube. >> Happy to be here to see >> you. So tell us the story of sort of infrastructure and the evolution at Google. And then we'll talk about how you're you're taking what you've learned inside a googol and helping customers apply it. >> Yeah, one or two things about Google is it essentially makes no use of virtual machines internally. That's because Google started in nineteen ninety eight, which is the same year that VM where started it was kind of brought the modern virtual machine to bear. And so good infrastructure tends to be built really on kind of classic Unix processes on communication. And so scaling that up, you get a system that works a lot with just prophecies and containers. So kind of when I saw containers come along with Doctor who said, Well, that's a good model for us and we could take what we know internally, which was called Boring a big scheduler and we could turn that into Cooper Netease and we'LL open source it. And suddenly we have kind of a a cloud version of Google that works the way we would like it to work a bit more about the containers and AP eyes and services rather than kind of the low level infrastructure. >> Would you refer from from that comment that you essentially had a cleaner sheet of paper when when containers started to ascend, I >> kind of feel like it's not an accident. But Google influenced Lena Lennox's use of containers right, which influenced doctors use of containers, and we kind of merged the two concepts on. It became a good way to deploy applications that separates the application from the underlying machine instead of playing a machine and OS and application together, we'd actually like to separate those and say we'LL manage the Western machine and let's just deploy applications independent of machines. Now we can have lots of applications for machine improved realization. Improve your productivity. That's kind of way we're already doing internally what was not common in the traditional cloud. But it's actually a more productive way to work, >> Eric. My backgrounds and infrastructure. And, you know, I was actually at the first doctor. Calm back in twenty fourteen, only a few hundred of us, you know, right across the street from where we were here. And I saw the Google presentation. I was like, Oh, my gosh, I lived through that wave of virtual ization, and the nirvana we want is I want to just be able to build my application, not worry about all of those underlying pieces of infrastructure we're making progress for. We're not there. How are we doing as an industry as a whole? And, you know, get Teo, say it's where are we? And what Google looking that Cooper, Netease and all these other pieces to improve that. What do you still see is the the the room for growth. >> Well, it's pretty clear that you Burnett is one in the sense that if you're building new applications for enterprise, that's currently the way you would build them now. But it doesn't help you move your legacy stuff on it for, say, help you move to the cloud. It may be that you have worth loads on Crim that you would like to modernize their on V EMS or bare metal, their traditional kind of eighties APS in Java or whatever. And how does Cooper Netease affect those? That's that's actually still place where I think things are evolving. The good news now is much easier to mix kind of additional services and new services using SDO and other things on GC people contain arising workloads. But actually it would say most people are actually just do the new stuff in Cooper Netease and and wrapped the old stuff to make it look like a service that gets you pretty far. And then over time you khun containerized workloads that you really care about. You want to invest in and what's new with an so so you can kind of make some of those transitions on fram. Ifyou'd like separate from moving to the cloud and then you can decide. Oh, this workload goes in the cloud. This work load. I need to keep on priming for awhile, but I still want to modernize it of a lot more flexibility. >> Can you just parts that a little bit for us? You're talking about the migration service that that's that's coming out? Or is it part of >> the way the Val Estrada work, which is kind of can take a V M A. Converted to a container? It's a newer version of that which really kind of gives you a A manifest, essentially for the container. So you know what's inside it. You can actually use it as in the modern way. That's migration tool, and it's super useful. But I kind of feel like even just being able to run high call the Communities on Crim is a pretty useful step because you get to developer velocity, you get released frequency. You get more the coupling of operations and development, so you get a lot of benefits on treme. But also, when you move to cloud, you could go too geeky and get a you know, a great community experience whenever you're ready to make that transition. >> So it sounds like that what you described with Santos is particularly on from pieces like an elixir to help people you know more easily get to a cloud native environment and then, ultimately, Brigitte to the >> class. That's kind of like we're helping people get cloud native benefits where they are right now. On a day on their own time. Khun decide. You know not only when to move a workload, but even frankly, which cloud to move it to right. We prefer, obviously moved to Google Cloud, and we'LL take our chances because I think these cattle native applications were particularly good at. But it's more important that they are moving to this kind of modern platform but helps them, and it increases our impact on the Indus. Sory to have this happen. >> Help us understand the nuance there because there's obvious benefits of being in the public cloud. You know, being able to rent infrastructure op X versus cap packs and manage services, etcetera. But to the extent that you could bring that cloud experience, Tio, you're on premises to your data. That's what many people want to have that hybrid experience for sure. But but other than that, the obvious benefits that I get from a public cloud, what are the other nuances of actually moving into the public cloud from experience standpoint in the business value perspective? >> Well, one question is, how much rewriting do you have to do because it's a big transition? Moved a cloud that's also big transition to rewrite some of your applications. So in this model, we're actually separating those two steps, and you can do them in either order. You can lift and shift to move to cloud and then modernize it, but it's also perfectly fine. I'm gonna modernize on Graham, read my do my rewrites in a safe controlled environment that I understand this low risk for me. And then I'm going to move it to the cloud because now I have something that's really ready for the cloud and has been thought through carefully that way on that having those two options is actually an important change. With Anthony >> Wavered some stats. I think Thomas mentioned them that eighty percent of the workloads are still on prams way here. That all the time. And some portion of those workloads are mission critical workloads with a lot of custom code that people really don't want to necessarily freeze. Ah, and a lot of times, if you gonna migrate, you have to free. So my question is, can I bring some of those Antos on other Google benefits to on Prem and not have to freeze the code, not have to rewrite just kind of permanently essentially, uh, leave those there and it take my other stuff and move it into the cloud? Is that what people are doing? And can I >> work? Things mix. But I would say the beachhead is having well managed Cooper and his clusters on Prem. Okay, you can use for new development or a place to do your read rights or partial read writes. You convicts V EMS and mainframes and Cooper Netease. They're all mix herbal. It's not a big problem, especially this to where it could make him look like they're part of the same service >> on framework, Right? >> S o. I think it's more about having the ability to execute modern development on prim and feel like you're really being able to change those acts the way you want and on a good timeline. >> Okay, so I've heard several times this week that Santos is a game changer. That's how Google I think is looking at this. You guys are super excited about it. So one would presume then that that eighty percent on Prem is gonna just gonna really start to move. What your thoughts on that? >> I think the way to think about it is all the customs you talked to actually do want to move there were close to cloud. That's not really the discussion point anymore. It's more about reasons they can't, which could be. They already have a data center. They fully paid for two. There's regulatory issues they have to get resolved to. This workload is too messy. They don't want to touch it at all. The people that wrote it are here anymore. There's all kinds of reasons and so it's gone. I feel like the essence of it is let's just interacted the customer right now before they make a decision about their cloud on DH, help them and in exchange for that, I believe we have a much better chance to be their future clown, right? Right, Because we're helping them. But also, they're starting to use frameworks that were really good at all. Right, if they're betting on coordinates containers, I like our chances for winning their business down the road. >> You're earning their trust by providing those those capabilities. >> That's really the difference. We can interact with those eighty percent of workloads right now and make them better. >> Alright. So, Eric, with you, the term we've heard a bunch this meat, we because we're listening customers where we're meeting them where they are now. David Iran analyst. So we could tell customers they suck out a lot stuff. You should listen to Google. They're really smart, and they know how to do these things, right? Hopes up. Tell us some of those gaps there is to the learnings you've had. And we understand. You know, migrations and modernization is a really challenging thing, you know? What are some of those things that customers can do toe >> that's on the the basic issues. I would say one thing you get you noticed when using geeky, is that huh? The os has been passed for me magically. All right, We had these huge security issues in the past year, and no one on G had to do anything right. They didn't restart their servers. We didn't tell them. Oh, you get down time because we have to deal with these massive security tax All that was magically handled. Uh, then you say, Oh, I want to upgrade Cooper Netease. Well, you could do that yourself. Guess what? It's not that easy to do. Who Burnett is is a beast, and it's changing quickly every quarter. That's good in terms of velocity and trajectory, and it's the reason that so many people can participate at the same time. If you're a group trying to run communities on Prem, it's not that easy to do right, So there's a lot of benefit Justin saying We update Custer's all the time. Wear experts at this way will update your clusters, including the S and the Cuban A's version, and we can give you modern ing data and tell you how your clusters doing. Just stuff. It honestly is not core to these customers, right? They want to focus on there advertising campaign or their Their oil and gas were close. They don't want to focus on cluster management. So that's really the second thing >> they got that operating model. If I do Antos in my own data center of the same kind of environment, how do we deal with things like, Well, I need to worry about change management testing at all my other pieces Most of the >> way. The general answer to that is, you use many clusters. You could have a thousand clusters on time. If you want that, there's good reason to do that. But one reason is, well, upgrade the clusters individually so you could say, Let's make this cluster a test cluster We'LL upgrade it first and we'LL tell you what broke. If anything, if you give us tests we can run the test on then once we're comfortable that the upgrade is working, we'LL roll it out to all your clusters. Automatic thing with policy changes. You want to change your quota management or access control. We can roll up that change in a progressive way so that we do it first on clusters that are not so critical. >> So I gotta ask a question. You software guy, Uh and you're approaching this problem from a real software perspective. There are no box. I don't see a box on DH there. Three examples in the marketplace as your stack er, Oracle Clouded customer and Amazon Outpost Where there's a box. A box from Google. Pure software. Why no box? Do you need a box? The box Guys say you gotta have that. You have a box? Yes, you don't have a box, >> There's it's more like I would say, You don't have to have a box >> that's ever box. Okay, that's >> because again all these customers sorting the data center because they already have the hardware, right. If they're going to buy new hardware, they might as well move to cloud the police for some of the customers. And it turns out we can run on. Most of their hardware were leveraging VM wear for that with the partnership we announced here. So that's generally works. But that being said, we also now partnerships with Dell and others about if you want a box Cisco, Dell, HP. You can Actually, we'LL have offerings that way as well, and there's certainly good reason to do that. You can get up that infrastructure will know it works well. It's been tested, but the bottom line is, uh, we're going to do both models. >> Yeah, okay. So I could get a full stack from hardware through software. Yet through the partnerships on there's Your stack, >> Right And it'll always come from Partners were really working with a partner model for a lot of these things because we honestly don't have enough people to do all the things we would like to do with these customers. >> And how important is it that that on Prem Stack is identical from homogeneous with what's in the public cloud? Is it really? It sounds like you're cooking growing, but their philosophies well, the software components have to be >> really at least the core pieces to be the same, like Uber Netease studio on a policy management. If youse open source things like my sequel or Kafka or elastic, those auto operate the same way as well, right? So that when you're in different environments, you really kind of get the feeling of one environment one stroll plane used. Now that being said, if you want to use a special feature like I want to use big query that's only available on Google Cloud right, you can call it but that stuff won't be portable. Likewise is something you want to use on Amazon. You can use it, and that part will be portable. But at least you'LL get the most. Your infrastructure will be consistent across the platforms. >> How should we think about the future? You guys, I mean, just without giving away, you know, confidential information, obviously not going to do that, but just philosophically, Were you going when you talk to customers? What should their mindset be? How should they repeat preparing for the future? >> Well, I think it's a few bets were making. So you know, we're happy to work on kind of traditional cloud things with Bush machines and discs and lots of classic stuff that's still important. It's still needed. But I would say a few things that are interesting that we're pushing on pretty hard won in general. This move to a higher level stack about containers and AP eyes and services, and that's Cuba nowadays and SDO and its genre. But then the other thing I think interesting is we're making a pretty fundamental bit on open source, and it's a it's a deeper bad, then others air making right with partnerships with open source companies where they're helping us build the manage version of there of their product on. So I think that's that's really going to lead to the best experience for each of those packages, because the people that developed that package are working on it right, and we will share revenue with them. So it's it's, uh, Cooper. What is open source? Tension flows open. Source. This is kind of the way we're going to approach this thing, especially for a hybrid and mostly cloud where they're really in my mind is no other way to do multi cloud other than open source because it's the space is too fast moving. You're not going to say, Oh, here's a standard FBI for multi cloud because whatever a pair you define is going to be obsolete in a quarter or two, right? What we're saying is, the standard is not particular standard per se. It's the collection of open source software that evolves together, and that's how you get consistency across the environment is because the code is the same and in fact there is a standard. But we don't even know what it is exactly right. It's it's implicit in the code, >> Okay, but so any other competitors say, Okay, we love open source, too, will embrace open stores. What's different about Google's philosophy? >> Well, first of all, you could just look at a very high level of contribution back into the open source packages, not just the ones that were doing. You can see we've contributed things like the community's trademark so that that means it's actually not a Google thing anymore. Belonged to the proud Native Reading Foundation. But also, the way we're trying to partner with open source projects is really to give them a path to revenue. All right, give them a long term future on DH. Expectation is, that makes the products better. And it also means that, uh, we're implicitly preferred partner because we're the ones helping them. All >> right, Eric, One of things caught our attention this week really kind of extending containers with things like cloud code and cloud run. You speak a little bit to that and you know directionally where that's going, >> Yeah, crowd runs one of my favorite releases of this week. Both the one God code is great, also, especially, it's V s code integration which is really nice for developers. But I would say the cloud run kind of says we can take you know, any container that has a kind of a stateless thing inside and http interface and make it something we can run for you in a very clean way. What I mean by that is you pay per call and in particular Well, listen twenty four seven and case it call comes But if no call comes, we're going to charge you zero, right? So we'll eat the cost of listening for your package to arrive. But if a packet arrives for you, we will magically make sure you're there in time to execute it on. If you get a ton of connections, we'll scale you up. We could have a thousand servers running your cloud run containers. And so what you get is a very easy deployment model That is a generalization. Frankly, of functions, you can run a function, but you also run not only a container with kind of a managed run time ap engine style, but also any arbitrary container with your own custom python and image processing libraries. Whatever you want, >> here are our last guest at Google Cloud next twenty nineteen. So thank you. And so put a bow on the show this year. Obviously got the bigger, better shiny er Mosconi Center. It's awesome. Definitely bigger crowd. You see the growth here, but but tie a bow. Tell us what you think. Take us home. >> I have to say it's been really gratifying to see the reception that anthrax is getting. I do think it is a big shift for Google and a big shift for the industry. And, uh, you know, we actually have people using it, so I kind of feel like we're at the starting line of this change. But I feel like it's it's really resonated well this week, and it's been great to watch the reaction. >> Everybody wants their infrastructure to be like Google's. This is one of the people who made it happen. Eric, Thanks very much for coming in the Cube. Appreciate. Pleasure. All right, keep right, everybody. We'Ll be back to wrap up Google Cloud next twenty nineteen. My name is David. Dante. Student meant John Furry will be back on set. You're watching. The cube will be right back

>> live from the Mandalay Bay Convention Center in Las Vegas. It's the cues covering via World 2016 brought to you by IBM Wear and its ecosystem sponsors. Now here you're Hope's Stool Minimum and John Walls. And welcome back to Las Vegas. Here on the cubicle, tear our coverage. Of'em world here. Mandalay Bay along with minimum. I'm John Woes. Thanks for joining us here for our coverage throughout the next three days. All that's happened in Vienna World. Almost 25,000 attendees to pretty good crowd. Well, I hadn't heard the number, so that would be the largest bm world ever. If we believe the numbers, so no reason not to With John Gill Martin, Who is the vice president? General manager of the integrated assistant business at VM. Where, John. Thanks for being with us once again. It's always a pleasure. Thanks for having me. You know, like you bet I am at this point. Yeah. Tell us about the vibe of the show. First off, day one things underway. A lot of excitement, I would think. Yeah, it's fantastic. You know, I think this is my 11 PM world in a row s so I've got to see a huge evolution in this program is amazing to see how much has changed over the years. Going back, you know, it used to be a server virtualization. What is this thing and where we are today? It's so different. There's a lot of excitement. People trying to figure out how to manage and deal with all the change happen in the industry right now. So, John, one of the things we're all coming into this week looking at is kind of the the cloud management suite, which is right in your area. Can you help us unpack? We looked at kind of V cloud sweet, and then there was some STD see stuff, and now it's cloud foundations. How did these things relate? Is it rebranding, Renaming, repackaging? Help us understand, Actually. So with that foundation, that's one of the key announcements we made today. The objective. There is what I think. How do we take what we have been talking about? Whats offered by Data Center and just make it easy? I don't make it easy for our customers to deploy easy for them to architect easy that even offer as a service from public cloud. That's kind of a key concept. So we are taking and integrating together the key components of softer, defined compute storage and network. There are wrapping some new capabilities to automate deployment autumn E provisioning. And so some ways is an extension, but also in evolution of what we've been doing previously. Okay, but this is still a software offering. Correct is what >> one of the components inside of that >> s O. There's four key components inside of my foundation. There's peace here, virtual sand NSX that gives you that software defined across all three domains and >> then a new component >> that we call STD. See, Manager. So what the SEC Manager does is sort of the glue that brings it all together to bring that integrated experience. It takes all the work that our customers do around you. How do I think about design? How does architect how to deploy? How'd I manage patches and upgrades over time and just automates all that inside of software so they can go from air medal systems deployed cloud infrastructure very, very quickly. So So what was the gap? You know what? What do you dress in here in terms of improvement in terms of change. You're talking about doing something a little bit differently for customers. Use a visa. What have you, But we're trying to get done it. So the key thing, just like the two key new things in this that are really different one is that just making it really easy on the private cloud side. But then we also take exactly that same sort of technologies and also work with our partners to offer it as a service. That's also the really new thing that we're doing today. So we had an announcement today with IBM as part of their IBM cloud. They're offering Cloud Foundation as a service, which >> means customers and go to a >> portal and provisioned out capacity based upon 100% consistent infrastructure. >> That means, you know, if I need some more capacity, as you have it inside my data center provisioned it out inside IBM Cloud. And now I have seen management tools, the same operations, everything I do in my data center. I can now do inside of this cloud environment. We'll extend that after other partners in the future. We'll send that out into the crowd air next quarter. This is really a great way for customers to start extending our migrating into the cloud. But do it based upon without having the architect. The applications are fundamentally change how they operate. >> Eso We've been arguing. We've been trying to figure out this hybrid cloud thing to the last few years, and there's many companies that are saying Okay, here's the software sack. You can put it in your own data center, or you can put it in some kind of public cloud environment. We see IBM does that sum. We see Oracle do that. Microsoft, of course, has azure and azure stacks coming some diamond next year. Is this The em wears answer to say OK in the data center where you know and love these fear, this is a full set, and then you can put it in IBM Soft Layer or a bunch of other writers. >> Yes, it is that concept of a consistent stack, yet a seem stacked inside the day's center, exactly the same stack outside the data center. So it is 100% consistent, right? That's part of what's really attractive about that. And then his customers think about well, what are the management tools or the cloud management platform, but I won't run on top of that. That can extend very seamlessly now across multiple environments. >> Okay, what about the interconnection between different locations? How does that >> work? So interconnections. You can take advantage of NSX and what it does around stretching, stretching, networking across environments like it's a very powerful capability to really think about it, really, as it's seamless extension of the data center. That's one of the unique capabilities and obviously with IBM has a first partner. They have almost having 50 data centers around the world, so it becomes very easy to collate. Locate your applications close to your private data center, which >> is important. So IBM is the first partner. How does this fit into, like the V Cloud their network, then, where you have thousands of >> partners already? Yeah, so they're the first Qatar network partner to offer a service, and then we expect that are working with other because our network partners to do the same offer Cloud Foundation as a service and, you know, kind of underlying that technology is this s CDC manager, which makes it easy for them as well. They go provision out these infrastructures very quickly and easily. >> Yeah, when you're about customers, what are the pain points that you were hearing from them that you were dressing? Because we take about the sophistication of technology, these of use efficiencies, high performance, all this stuff. It couldn't be any better, but obviously could have been better. So what we're hearing from them that led you to develop the new product. >> Well, the big thing is his customers were trying to think about how to the leverage public cloud is part of their architectures. You can kind of, It's pretty clear, that kind of result they want. They want to able to have an environment where their application owners and the developers sort of don't even know where things are running. They wanted to be a little bit transparent, kind of seamless. At the same time, they want to be able to have the ability to maintain control, maintain security policies, maintain operational control over the environment, have good insight into it. And so I sort of challenge that we're walking into, and your traditional infrastructure still very much stands in the way people trying to support the developers, people enterprise has spent too much time hugging components together trying to make things work together. And that's just not value added activity. It's not differentiating. It doesn't help them compete in the marketplace. And so we saw is what happened. We help them get out of that business and focus more on the things they want to do above the infrastructure layer. That's sort of the whole rationale for building a foundation was, Just take everything that they do today That's on value, out of activity. Put that in software, automated public empire the cloud and they can focus on what there is value out of business on. >> One of the challenges we've been facing in this transformation is kind of the go to market. If I think about traditionally the sphere, you know Veum. He's got a great channel partnership Lotto, EMS in the early days, and now, I mean just a huge amount of channel parts that know how to sell it, know how to make money. Cloud is a big shift for them. There's only a small percent of the channel that kind of understands this with IBM, kind of as a first partner. How do you see this playing out with kind of official panic Channel partners, service providers and the whole go to market. >> As you point out, it's clearly an evolving story. Right and different partners were kind of thinking about it in different ways. You know, there's still, you know, definitely in on premise opportunity that they're going after. But clearly having a good crowd strategy is going to be important for every reseller out there in every partner. And some of that is gonna be thinking about what are the kind of service is that you can offer your customers to help them make that transition. Yeah, if you think about you know, if I want to extend my data center, I need to migrate workloads or re architect workloads. Those types of service is I think they're going to be critical to become experts in and help customers. We think about their long term strategy. The fact is, the customers are gonna move warm or the workloads into clouds of some type over the next few years, and they're gonna need help in your advice and guidance and migration surfaces to get there. So there's a real business to go be built around those kinds of opportunities. >> Okay. Can you give us a little bit of what should we be looking for? Going forward, You know, if their customers that are running this stack already before it was called this And how do we How could we benchmark to say whether or not you're successful by the time we come back next year? >> Yeah, that's a good question. >> Tough questions, >> A challenge. So now it's a great question. So this software is gonna be available later this week, so it's actually generally available on September 1st. So it's just coming in the marketplace now. And so we've been working with Summerlee Beta customers on this over the last couple a couple of months, get great feedback and really help this steer perfectly towards this public cloud opportunity S O. I would expect as we come back in a few months, we'd be able to talk about our kind of initial lighthouse customers and how they're doing. But we see just huge interest in this right now, right? Customers want to move, and companies want to move away from kind of plugging things together. They want away from individuals, components. They really are looking to buy Seymour integrated ways. This is kind of a key enabling technology to help him do that. And we could do that also with our partners. >> Yeah, Um, one of the big challenges we've had is everybody is always like, okay, but my needs are a little bit different. So we understand that if we can eliminate diversity of the environments in the homogeneity is good, I can repeat it. I understand it. But everybody, all that you know, that's the problem with ideas. They always want to tweak it. So what do you do when they say, Oh, you know, the sand's great. But, you know, you've got all these ecosystem part partners in storage. I kind of want this storage. And it's ex. I understand some pieces. Maybe I want over. Yes, but I wanted till some other pieces. What do you do for customers that want to kind of go outside of this initial package? What kind of choice and options that they have? >> Yeah. Yeah, it's, uh so just like this year, you know, these here is sort of been the universal platform for running virtual machines and has a lot of those connections into different things, so foundation fundamentally is based on the sphere. So for the take storage, for example, no keys here can connect to external storage. We can connect national storage and on a road map for the automation software inside. We'll look at how we can take advantage of external storage and some of these things as well, so as new as we talk to customers. And we, as we learned those areas that are consistent across many, we can start to bring some of those things in tow the equation as well. This gives us a very powerful starting point, and we can look at what are the right connections out system? >> And do you still have folks who are trying to hang on to say I understand what you're doing understands the new service of a new opportunity here, But I'm not ready to cut the Courtauld away. And how do you bring them along to showing them? There are new efficiencies here and there is a better bottom line benefit to you. >> I think you know the history of I t is a history of things remaining right. So you still have a I actually feel mainframes. Eso this transition will take time. This is not gonna be on overnight time type of changes. We moved to these types of architectures that are fully suffered a find, but we made a huge amount of progress thus far. We have over 5000 customers on virtual sand. Your NSX is going incredibly fast. Both of these approved points that these are the architecture's customers are trying to move to the end of the same time. Though we have to find the right the right starting points. What is the right project to start with? This doesn't have to be a wholesale change. The data center it could be. Let's take a virtual desktop project and run now on top of that foundation must take a new invite. New server applications, unemployed run that on foundation. And just like the sphere kind of started with these use cases that expanded over time. Same thing of foundation. We could start with a project and then and that shows success to move into other projects. >> John, you've been with the, um where for quite a few years you've done two stints of the company as you hear the outside world talking about, you know, cloud and where things were going. What do you think people don't understand about bm Worse position in the cloud marketplace going forward. >> You know the one thing you know, I've talked a lot right now about Cloud Foundation, which was one of our announcements. I think the other thing that is really unique that we talked about this week is, uh, something called across Cloud Architecture and said across Cloud service Is that in addition foundation and what we're recognizing is just like with server virtualization, we were able to abstract multiple types of servers and provide consistent layer we're going to do the same. Thing is we were across multiple clouds. Even non GM were based clouds, right, working with Amazon Azure Google. And I think that's one thing that is maybe even surprising, folks. And it's very different than kind of the company strategy going back 10 years ago. So we are fully embracing that these will be part of our customer strategy in the future. We do expect to see them, but we see a unique opportunity for us to go help them when it comes to managing applications across the networking security where we have really unique assets we can help with. And also data management. Government. >> Well, John, I know you said it takes time. Transition state time. >> Still gave you a year. >> Yeah. So next year at the world will come back and the update you on the progress that we've made, >> we look forward to it. Thank you for joining us and the best left down the road. We'll see a year from now. >> Fantastic. Thank you very much. >> You bet John Gill Martin from VM where we'll be back with more from Veum World here in Vegas. Right after this, You're watching the Cube.