Joseph Nelson, Roboflow | Cube Conversation
(gentle music) >> Hello everyone. Welcome to this CUBE conversation here in Palo Alto, California. I'm John Furrier, host of theCUBE. We got a great remote guest coming in. Joseph Nelson, co-founder and CEO of RoboFlow hot startup in AI, computer vision. Really interesting topic in this wave of AI next gen hitting. Joseph, thanks for coming on this CUBE conversation. >> Thanks for having me. >> Yeah, I love the startup tsunami that's happening here in this wave. RoboFlow, you're in the middle of it. Exciting opportunities, you guys are in the cutting edge. I think computer vision's been talked about more as just as much as the large language models and these foundational models are merging. You're in the middle of it. What's it like right now as a startup and growing in this new wave hitting? >> It's kind of funny, it's, you know, I kind of describe it like sometimes you're in a garden of gnomes. It's like we feel like we've got this giant headstart with hundreds of thousands of people building with computer vision, training their own models, but that's a fraction of what it's going to be in six months, 12 months, 24 months. So, as you described it, a wave is a good way to think about it. And the wave is still building before it gets to its full size. So it's a ton of fun. >> Yeah, I think it's one of the most exciting areas in computer science. I wish I was in my twenties again, because I would be all over this. It's the intersection, there's so many disciplines, right? It's not just tech computer science, it's computer science, it's systems, it's software, it's data. There's so much aperture of things going on around your world. So, I mean, you got to be batting all the students away kind of trying to get hired in there, probably. I can only imagine you're hiring regiment. I'll ask that later, but first talk about what the company is that you're doing. How it's positioned, what's the market you're going after, and what's the origination story? How did you guys get here? How did you just say, hey, want to do this? What was the origination story? What do you do and how did you start the company? >> Yeah, yeah. I'll give you the what we do today and then I'll shift into the origin. RoboFlow builds tools for making the world programmable. Like anything that you see should be read write access if you think about it with a programmer's mind or legible. And computer vision is a technology that enables software to be added to these real world objects that we see. And so any sort of interface, any sort of object, any sort of scene, we can interact with it, we can make it more efficient, we can make it more entertaining by adding the ability for the tools that we use and the software that we write to understand those objects. And at RoboFlow, we've empowered a little over a hundred thousand developers, including those in half the Fortune 100 so far in that mission. Whether that's Walmart understanding the retail in their stores, Cardinal Health understanding the ways that they're helping their patients, or even electric vehicle manufacturers ensuring that they're making the right stuff at the right time. As you mentioned, it's early. Like I think maybe computer vision has touched one, maybe 2% of the whole economy and it'll be like everything in a very short period of time. And so we're focused on enabling that transformation. I think it's it, as far as I think about it, I've been fortunate to start companies before, start, sell these sorts of things. This is the last company I ever wanted to start and I think it will be, should we do it right, the world's largest in riding the wave of bringing together the disparate pieces of that technology. >> What was the motivating point of the formation? Was it, you know, you guys were hanging around? Was there some catalyst? What was the moment where it all kind of came together for you? >> You know what's funny is my co-founder, Brad and I, we were making computer vision apps for making board games more fun to play. So in 2017, Apple released AR kit, augmented reality kit for building augmented reality applications. And Brad and I are both sort of like hacker persona types. We feel like we don't really understand the technology until we build something with it and so we decided that we should make an app that if you point your phone at a Sudoku puzzle, it understands the state of the board and then it kind of magically fills in that experience with all the digits in real time, which totally ruins the game of Sudoku to be clear. But it also just creates this like aha moment of like, oh wow, like the ability for our pocket devices to understand and see the world as good or better than we can is possible. And so, you know, we actually did that as I mentioned in 2017, and the app went viral. It was, you know, top of some subreddits, top of Injure, Reddit, the hacker community as well as Product Hunt really liked it. So it actually won Product Hunt AR app of the year, which was the same year that the Tesla model three won the product of the year. So we joked that we share an award with Elon our shared (indistinct) But frankly, so that was 2017. RoboFlow wasn't incorporated as a business until 2019. And so, you know, when we made Magic Sudoku, I was running a different company at the time, Brad was running a different company at the time, and we kind of just put it out there and were excited by how many people liked it. And we assumed that other curious developers would see this inevitable future of, oh wow, you know. This is much more than just a pedestrian point your phone at a board game. This is everything can be seen and understood and rewritten in a different way. Things like, you know, maybe your fridge. Knowing what ingredients you have and suggesting recipes or auto ordering for you, or we were talking about some retail use cases of automated checkout. Like anything can be seen and observed and we presume that that would kick off a Cambrian explosion of applications. It didn't. So you fast forward to 2019, we said, well we might as well be the guys to start to tackle this sort of problem. And because of our success with board games before, we returned to making more board game solving applications. So we made one that solves Boggle, you know, the four by four word game, we made one that solves chess, you point your phone at a chess board and it understands the state of the board and then can make move recommendations. And each additional board game that we added, we realized that the tooling was really immature. The process of collecting images, knowing which images are actually going to be useful for improving model performance, training those models, deploying those models. And if we really wanted to make the world programmable, developers waiting for us to make an app for their thing of interest is a lot less efficient, less impactful than taking our tool chain and releasing that externally. And so, that's what RoboFlow became. RoboFlow became the internal tools that we used to make these game changing applications readily available. And as you know, when you give developers new tools, they create new billion dollar industries, let alone all sorts of fun hobbyist projects along the way. >> I love that story. Curious, inventive, little radical. Let's break the rules, see how we can push the envelope on the board games. That's how companies get started. It's a great story. I got to ask you, okay, what happens next? Now, okay, you realize this new tooling, but this is like how companies get built. Like they solve their own problem that they had 'cause they realized there's one, but then there has to be a market for it. So you actually guys knew that this was coming around the corner. So okay, you got your hacker mentality, you did that thing, you got the award and now you're like, okay, wow. Were you guys conscious of the wave coming? Was it one of those things where you said, look, if we do this, we solve our own problem, this will be big for everybody. Did you have that moment? Was that in 2019 or was that more of like, it kind of was obvious to you guys? >> Absolutely. I mean Brad puts this pretty effectively where he describes how we lived through the initial internet revolution, but we were kind of too young to really recognize and comprehend what was happening at the time. And then mobile happened and we were working on different companies that were not in the mobile space. And computer vision feels like the wave that we've caught. Like, this is a technology and capability that rewrites how we interact with the world, how everyone will interact with the world. And so we feel we've been kind of lucky this time, right place, right time of every enterprise will have the ability to improve their operations with computer vision. And so we've been very cognizant of the fact that computer vision is one of those groundbreaking technologies that every company will have as a part of their products and services and offerings, and we can provide the tooling to accelerate that future. >> Yeah, and the developer angle, by the way, I love that because I think, you know, as we've been saying in theCUBE all the time, developer's the new defacto standard bodies because what they adopt is pure, you know, meritocracy. And they pick the best. If it's sell service and it's good and it's got open source community around it, its all in. And they'll vote. They'll vote with their code and that is clear. Now I got to ask you, as you look at the market, we were just having this conversation on theCUBE in Barcelona at recent Mobile World Congress, now called MWC, around 5G versus wifi. And the debate was specifically computer vision, like facial recognition. We were talking about how the Cleveland Browns were using facial recognition for people coming into the stadium they were using it for ships in international ports. So the question was 5G versus wifi. My question is what infrastructure or what are the areas that need to be in place to make computer vision work? If you have developers building apps, apps got to run on stuff. So how do you sort that out in your mind? What's your reaction to that? >> A lot of the times when we see applications that need to run in real time and on video, they'll actually run at the edge without internet. And so a lot of our users will actually take their models and run it in a fully offline environment. Now to act on that information, you'll often need to have internet signal at some point 'cause you'll need to know how many people were in the stadium or what shipping crates are in my port at this point in time. You'll need to relay that information somewhere else, which will require connectivity. But actually using the model and creating the insights at the edge does not require internet. I mean we have users that deploy models on underwater submarines just as much as in outer space actually. And those are not very friendly environments to internet, let alone 5g. And so what you do is you use an edge device, like an Nvidia Jetson is common, mobile devices are common. Intel has some strong edge devices, the Movidius family of chips for example. And you use that compute that runs completely offline in real time to process those signals. Now again, what you do with those signals may require connectivity and that becomes a question of the problem you're solving of how soon you need to relay that information to another place. >> So, that's an architectural issue on the infrastructure. If you're a tactical edge war fighter for instance, you might want to have highly available and maybe high availability. I mean, these are words that mean something. You got storage, but it's not at the edge in real time. But you can trickle it back and pull it down. That's management. So that's more of a business by business decision or environment, right? >> That's right, that's right. Yeah. So I mean we can talk through some specifics. So for example, the RoboFlow actually powers the broadcaster that does the tennis ball tracking at Wimbledon. That runs completely at the edge in real time in, you know, technically to track the tennis ball and point the camera, you actually don't need internet. Now they do have internet of course to do the broadcasting and relay the signal and feeds and these sorts of things. And so that's a case where you have both edge deployment of running the model and high availability act on that model. We have other instances where customers will run their models on drones and the drone will go and do a flight and it'll say, you know, this many residential homes are in this given area, or this many cargo containers are in this given shipping yard. Or maybe we saw these environmental considerations of soil erosion along this riverbank. The model in that case can run on the drone during flight without internet, but then you only need internet once the drone lands and you're going to act on that information because for example, if you're doing like a study of soil erosion, you don't need to be real time. You just need to be able to process and make use of that information once the drone finishes its flight. >> Well I can imagine a zillion use cases. I heard of a use case interview at a company that does computer vision to help people see if anyone's jumping the fence on their company. Like, they know what a body looks like climbing a fence and they can spot it. Pretty easy use case compared to probably some of the other things, but this is the horizontal use cases, its so many use cases. So how do you guys talk to the marketplace when you say, hey, we have generative AI for commuter vision. You might know language models that's completely different animal because vision's like the world, right? So you got a lot more to do. What's the difference? How do you explain that to customers? What can I build and what's their reaction? >> Because we're such a developer centric company, developers are usually creative and show you the ways that they want to take advantage of new technologies. I mean, we've had people use things for identifying conveyor belt debris, doing gas leak detection, measuring the size of fish, airplane maintenance. We even had someone that like a hobby use case where they did like a specific sushi identifier. I dunno if you know this, but there's a specific type of whitefish that if you grew up in the western hemisphere and you eat it in the eastern hemisphere, you get very sick. And so there was someone that made an app that tells you if you happen to have that fish in the sushi that you're eating. But security camera analysis, transportation flows, plant disease detection, really, you know, smarter cities. We have people that are doing curb management identifying, and a lot of these use cases, the fantastic thing about building tools for developers is they're a creative bunch and they have these ideas that if you and I sat down for 15 minutes and said, let's guess every way computer vision can be used, we would need weeks to list all the example use cases. >> We'd miss everything. >> And we'd miss. And so having the community show us the ways that they're using computer vision is impactful. Now that said, there are of course commercial industries that have discovered the value and been able to be out of the gate. And that's where we have the Fortune 100 customers, like we do. Like the retail customers in the Walmart sector, healthcare providers like Medtronic, or vehicle manufacturers like Rivian who all have very difficult either supply chain, quality assurance, in stock, out of stock, anti-theft protection considerations that require successfully making sense of the real world. >> Let me ask you a question. This is maybe a little bit in the weeds, but it's more developer focused. What are some of the developer profiles that you're seeing right now in terms of low-hanging fruit applications? And can you talk about the academic impact? Because I imagine if I was in school right now, I'd be all over it. Are you seeing Master's thesis' being worked on with some of your stuff? Is the uptake in both areas of younger pre-graduates? And then inside the workforce, What are some of the devs like? Can you share just either what their makeup is, what they work on, give a little insight into the devs you're working with. >> Leading developers that want to be on state-of-the-art technology build with RoboFlow because they know they can use the best in class open source. They know that they can get the most out of their data. They know that they can deploy extremely quickly. That's true among students as you mentioned, just as much as as industries. So we welcome students and I mean, we have research grants that will regularly support for people to publish. I mean we actually have a channel inside our internal slack where every day, more student publications that cite building with RoboFlow pop up. And so, that helps inspire some of the use cases. Now what's interesting is that the use case is relatively, you know, useful or applicable for the business or the student. In other words, if a student does a thesis on how to do, we'll say like shingle damage detection from satellite imagery and they're just doing that as a master's thesis, in fact most insurance businesses would be interested in that sort of application. So, that's kind of how we see uptick and adoption both among researchers who want to be on the cutting edge and publish, both with RoboFlow and making use of open source tools in tandem with the tool that we provide, just as much as industry. And you know, I'm a big believer in the philosophy that kind of like what the hackers are doing nights and weekends, the Fortune 500 are doing in a pretty short order period of time and we're experiencing that transition. Computer vision used to be, you know, kind of like a PhD, multi-year investment endeavor. And now with some of the tooling that we're working on in open source technologies and the compute that's available, these science fiction ideas are possible in an afternoon. And so you have this idea of maybe doing asset management or the aerial observation of your shingles or things like this. You have a few hundred images and you can de-risk whether that's possible for your business today. So there's pretty broad-based adoption among both researchers that want to be on the state of the art, as much as companies that want to reduce the time to value. >> You know, Joseph, you guys and your partner have got a great front row seat, ground floor, presented creation wave here. I'm seeing a pattern emerging from all my conversations on theCUBE with founders that are successful, like yourselves, that there's two kind of real things going on. You got the enterprises grabbing the products and retrofitting into their legacy and rebuilding their business. And then you have startups coming out of the woodwork. Young, seeing greenfield or pick a specific niche or focus and making that the signature lever to move the market. >> That's right. >> So can you share your thoughts on the startup scene, other founders out there and talk about that? And then I have a couple questions for like the enterprises, the old school, the existing legacy. Little slower, but the startups are moving fast. What are some of the things you're seeing as startups are emerging in this field? >> I think you make a great point that independent of RoboFlow, very successful, especially developer focused businesses, kind of have three customer types. You have the startups and maybe like series A, series B startups that you're building a product as fast as you can to keep up with them, and they're really moving just as fast as as you are and pulling the product out at you for things that they need. The second segment that you have might be, call it SMB but not enterprise, who are able to purchase and aren't, you know, as fast of moving, but are stable and getting value and able to get to production. And then the third type is enterprise, and that's where you have typically larger contract value sizes, slower moving in terms of adoption and feedback for your product. And I think what you see is that successful companies balance having those three customer personas because you have the small startups, small fast moving upstarts that are discerning buyers who know the market and elect to build on tooling that is best in class. And so you basically kind of pass the smell test of companies who are quite discerning in their purchases, plus are moving so quick they're pulling their product out of you. Concurrently, you have a product that's enterprise ready to service the scalability, availability, and trust of enterprise buyers. And that's ultimately where a lot of companies will see tremendous commercial success. I mean I remember seeing the Twilio IPO, Uber being like a full 20% of their revenue, right? And so there's this very common pattern where you have the ability to find some of those upstarts that you make bets on, like the next Ubers of the world, the smaller companies that continue to get developed with the product and then the enterprise whom allows you to really fund the commercial success of the business, and validate the size of the opportunity in market that's being creative. >> It's interesting, there's so many things happening there. It's like, in a way it's a new category, but it's not a new category. It becomes a new category because of the capabilities, right? So, it's really interesting, 'cause that's what you're talking about is a category, creating. >> I think developer tools. So people often talk about B to B and B to C businesses. I think developer tools are in some ways a third way. I mean ultimately they're B to B, you're selling to other businesses and that's where your revenue's coming from. However, you look kind of like a B to C company in the ways that you measure product adoption and kind of go to market. In other words, you know, we're often tracking the leading indicators of commercial success in the form of usage, adoption, retention. Really consumer app, traditionally based metrics of how to know you're building the right stuff, and that's what product led growth companies do. And then you ultimately have commercial traction in a B to B way. And I think that that actually kind of looks like a third thing, right? Like you can do these sort of funny zany marketing examples that you might see historically from consumer businesses, but yet you ultimately make your money from the enterprise who has these de-risked high value problems you can solve for them. And I selfishly think that that's the best of both worlds because I don't have to be like Evan Spiegel, guessing the next consumer trend or maybe creating the next consumer trend and catching lightning in a bottle over and over again on the consumer side. But I still get to have fun in our marketing and make sort of fun, like we're launching the world's largest game of rock paper scissors being played with computer vision, right? Like that's sort of like a fun thing you can do, but then you can concurrently have the commercial validation and customers telling you the things that they need to be built for them next to solve commercial pain points for them. So I really do think that you're right by calling this a new category and it really is the best of both worlds. >> It's a great call out, it's a great call out. In fact, I always juggle with the VC. I'm like, it's so easy. Your job is so easy to pick the winners. What are you talking about its so easy? I go, just watch what the developers jump on. And it's not about who started, it could be someone in the dorm room to the boardroom person. You don't know because that B to C, the C, it's B to D you know? You know it's developer 'cause that's a human right? That's a consumer of the tool which influences the business that never was there before. So I think this direct business model evolution, whether it's media going direct or going direct to the developers rather than going to a gatekeeper, this is the reality. >> That's right. >> Well I got to ask you while we got some time left to describe, I want to get into this topic of multi-modality, okay? And can you describe what that means in computer vision? And what's the state of the growth of that portion of this piece? >> Multi modality refers to using multiple traditionally siloed problem types, meaning text, image, video, audio. So you could treat an audio problem as only processing audio signal. That is not multimodal, but you could use the audio signal at the same time as a video feed. Now you're talking about multi modality. In computer vision, multi modality is predominantly happening with images and text. And one of the biggest releases in this space is actually two years old now, was clip, contrastive language image pre-training, which took 400 million image text pairs and basically instead of previously when you do classification, you basically map every single image to a single class, right? Like here's a bunch of images of chairs, here's a bunch of images of dogs. What clip did is used, you can think about it like, the class for an image being the Instagram caption for the image. So it's not one single thing. And by training on understanding the corpora, you basically see which words, which concepts are associated with which pixels. And this opens up the aperture for the types of problems and generalizability of models. So what does this mean? This means that you can get to value more quickly from an existing trained model, or at least validate that what you want to tackle with a computer vision, you can get there more quickly. It also opens up the, I mean. Clip has been the bedrock of some of the generative image techniques that have come to bear, just as much as some of the LLMs. And increasingly we're going to see more and more of multi modality being a theme simply because at its core, you're including more context into what you're trying to understand about the world. I mean, in its most basic sense, you could ask yourself, if I have an image, can I know more about that image with just the pixels? Or if I have the image and the sound of when that image was captured or it had someone describe what they see in that image when the image was captured, which one's going to be able to get you more signal? And so multi modality helps expand the ability for us to understand signal processing. >> Awesome. And can you just real quick, define clip for the folks that don't know what that means? >> Yeah. Clip is a model architecture, it's an acronym for contrastive language image pre-training and like, you know, model architectures that have come before it captures the almost like, models are kind of like brands. So I guess it's a brand of a model where you've done these 400 million image text pairs to match up which visual concepts are associated with which text concepts. And there have been new releases of clip, just at bigger sizes of bigger encoding's, of longer strings of texture, or larger image windows. But it's been a really exciting advancement that OpenAI released in January, 2021. >> All right, well great stuff. We got a couple minutes left. Just I want to get into more of a company-specific question around culture. All startups have, you know, some sort of cultural vibe. You know, Intel has Moore's law doubles every whatever, six months. What's your culture like at RoboFlow? I mean, if you had to describe that culture, obviously love the hacking story, you and your partner with the games going number one on Product Hunt next to Elon and Tesla and then hey, we should start a company two years later. That's kind of like a curious, inventing, building, hard charging, but laid back. That's my take. How would you describe the culture? >> I think that you're right. The culture that we have is one of shipping, making things. So every week each team shares what they did for our customers on a weekly basis. And we have such a strong emphasis on being better week over week that those sorts of things compound. So one big emphasis in our culture is getting things done, shipping, doing things for our customers. The second is we're an incredibly transparent place to work. For example, how we think about giving decisions, where we're progressing against our goals, what problems are biggest and most important for the company is all open information for those that are inside the company to know and progress against. The third thing that I'd use to describe our culture is one that thrives with autonomy. So RoboFlow has a number of individuals who have founded companies before, some of which have sold their businesses for a hundred million plus upon exit. And the way that we've been able to attract talent like that is because the problems that we're tackling are so immense, yet individuals are able to charge at it with the way that they think is best. And this is what pairs well with transparency. If you have a strong sense of what the company's goals are, how we're progressing against it, and you have this ownership mentality of what can I do to change or drive progress against that given outcome, then you create a really healthy pairing of, okay cool, here's where the company's progressing. Here's where things are going really well, here's the places that we most need to improve and work on. And if you're inside that company as someone who has a preponderance to be a self-starter and even a history of building entire functions or companies yourself, then you're going to be a place where you can really thrive. You have the inputs of the things where we need to work on to progress the company's goals. And you have the background of someone that is just necessarily a fast moving and ambitious type of individual. So I think the best way to describe it is a transparent place with autonomy and an emphasis on getting things done. >> Getting shit done as they say. Getting stuff done. Great stuff. Hey, final question. Put a plug out there for the company. What are you going to hire? What's your pipeline look like for people? What jobs are open? I'm sure you got hiring all around. Give a quick plug for the company what you're looking for. >> I appreciate you asking. Basically you're either building the product or helping customers be successful with the product. So in the building product category, we have platform engineering roles, machine learning engineering roles, and we're solving some of the hardest and most impactful problems of bringing such a groundbreaking technology to the masses. And so it's a great place to be where you can kind of be your own user as an engineer. And then if you're enabling people to be successful with the products, I mean you're working in a place where there's already such a strong community around it and you can help shape, foster, cultivate, activate, and drive commercial success in that community. So those are roles that tend themselves to being those that build the product for developer advocacy, those that are account executives that are enabling our customers to realize commercial success, and even hybrid roles like we call it field engineering, where you are a technical resource to drive success within customer accounts. And so all this is listed on roboflow.com/careers. And one thing that I actually kind of want to mention John that's kind of novel about the thing that's working at RoboFlow. So there's been a lot of discussion around remote companies and there's been a lot of discussion around in-person companies and do you need to be in the office? And one thing that we've kind of recognized is you can actually chart a third way. You can create a third way which we call satellite, which basically means people can work from where they most like to work and there's clusters of people, regular onsite's. And at RoboFlow everyone gets, for example, $2,500 a year that they can use to spend on visiting coworkers. And so what's sort of organically happened is team numbers have started to pull together these resources and rent out like, lavish Airbnbs for like a week and then everyone kind of like descends in and works together for a week and makes and creates things. And we call this lighthouses because you know, a lighthouse kind of brings ships into harbor and we have an emphasis on shipping. >> Yeah, quality people that are creative and doers and builders. You give 'em some cash and let the self-governing begin, you know? And like, creativity goes through the roof. It's a great story. I think that sums up the culture right there, Joseph. Thanks for sharing that and thanks for this great conversation. I really appreciate it and it's very inspiring. Thanks for coming on. >> Yeah, thanks for having me, John. >> Joseph Nelson, co-founder and CEO of RoboFlow. Hot company, great culture in the right place in a hot area, computer vision. This is going to explode in value. The edge is exploding. More use cases, more development, and developers are driving the change. Check out RoboFlow. This is theCUBE. I'm John Furrier, your host. Thanks for watching. (gentle music)
SUMMARY :
Welcome to this CUBE conversation You're in the middle of it. And the wave is still building the company is that you're doing. maybe 2% of the whole economy And as you know, when you it kind of was obvious to you guys? cognizant of the fact that I love that because I think, you know, And so what you do is issue on the infrastructure. and the drone will go and the marketplace when you say, in the sushi that you're eating. And so having the And can you talk about the use case is relatively, you know, and making that the signature What are some of the things you're seeing and pulling the product out at you because of the capabilities, right? in the ways that you the C, it's B to D you know? And one of the biggest releases And can you just real quick, and like, you know, I mean, if you had to like that is because the problems Give a quick plug for the place to be where you can the self-governing begin, you know? and developers are driving the change.
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Paul Daugherty & Jim Wilson | AWS Executive Summit 2022
(upbeat music) >> Hello, everyone. Welcome to theCUBE's coverage here at AWS re:Invent 2022. This is the Executive Summit with Accenture. I'm John Furrier, your host of theCUBE with two great guests coming on today, really talking about the future, the role of humans. Radically human is going to be the topic. Paul Daugherty, the group Chief Executive Technology and CTO at Accenture. And Jim Wilson, Global Managing Director of Thought Leadership and Technology Research, Accenture. Gentlemen, thank you for coming on theCUBE for this conversation around your new hit book, "Radically Human." >> Thanks, John. It's great to be with you and great to be present at re:Invent. >> We've been following you guys for many, many years now, over a decade. You always have the finger on the pulse. I mean, and as these waves come in, it's really important to understand impact. And more than ever, we're in this, I call it the systems thinking, revolution is going on now where things have consequences and machines are now accelerating their role. Developers are becoming the front lines of running companies, seeing a massive shift. This new technology is transforming the business and shaping our future as as humans. And so I love the book, very, very strong content, really right on point. What was the motivation for the book? And congratulations, but I noticed you got the structure, part one and part two, this book seems to be packing a big punch. What was the motivation, and what was some of the background in putting the book together? >> That's a great question, John. And I'll start, and then, Jim, my co-author and colleague and partner on the book can join in too. If you step back from the book itself, we'd written a first book called "Human + Machine", which focused a lot on artificial intelligence and talked about the potential and future of artificial intelligence to create a more human future for us with the human plus machine pairing. And then when we started working on the next book, it was the COVID era. COVID came on line as we were writing the book. And that was causing really an interesting time in technology for a lot of companies. I mean, think back to what you were doing. Once COVID hit, every company became more dependent on technology. Technology was the lifeline. And so Jim and I got interested in what the impacts of that were on companies, and what was different from the first research we had done around our first book. And what we found, which was super interesting, is that pre-pandemic, the leading companies, the digital leaders that were applying cloud data, AI, and related technologies faster, we're outperforming others by a factor of 2x. And that was before the pandemic. After the pandemic, we redid the research and the gap widened into 5x. And I think that's played a lot into our book. And we talk about that in the opening of our book. And the message there is exactly what you said is technology is not just the lifeline from the pandemic, but now technology is the heart and soul of how companies are driving innovation, how they're responding to global crises around inflation, energy, supply chain crisis because of the war in Ukraine, et cetera. And companies need the technology more than ever. And that's what we're writing about in "Radically Human." And we're taking a step beyond our previous book to talk about what we believe is next. And it's really cloud, data and AI, and the metaverse that signal out as three trends that are really driving transformative change for companies. In the first part of the book, to your question on the structure, talks about the roadmap to that. We talked about the ideas framework, five areas where you need to change your thinking, flip your assumptions on how to apply technology. And then the second part of the book talks about the differentiators that we believe are going to set companies apart as they look to implement this technology and transform their companies for the future. >> Jim, weigh in on this flipping the script, flipping the assumptions. >> You used a really important word there and that is systems. I think when we think about artificial intelligence, and when Paul and I have now talking to companies, a lot of executives think of AI as a point solution. They don't think about AI in terms of taking a systems approach. So we were trying to address that. All right, if you're going to build a roadmap, a technology roadmap for applying intelligent technologies like artificial intelligence, how do you take a holistic systematic view? And that's really the focus of the first section of the book. And then as Paul mentioned, how do you take those systems and really differentiate it using your talent, focusing on trust, experiences and sustainability? >> I like how it reads. It's almost like a masterclass book because you set the table. It's like, 'cause people right now are like in the mode of what's going on around me? I've been living through three years of COVID. We're coming out the other side. The world looks radically different. Humans are much more important. Automation's great, but people are finding out that the human's key, but people are trying to figure out where am I today. So I think the first part really to me hits home. Like, here's the current situation and then part two is here's how you can get better. And it's not just about machines, machines, machines and automation, automation, automation. We're seeing examples where the role of the human, the person in society, whether it's individually or as part of a group, are really now key assets in that kind of this new workforce or this new production system or society. >> Yeah. And just to take a couple examples from the book and highlight that, I think you're exactly right. And that's where "Radically Human", the title came from. And what's happening with technology is that technology itself is becoming more human like in its capability. When you think about the power of the transformer technologies and other things that we're reading about a lot. And the whole hypothesis or premise of the book I should say, is that the more human like the technology is, the more radically human or the more radical the human potential improvement is, the bigger the opportunity. It's pairing the two together rather than, as you said, just looking at the automation or the machine side of it. That's really the radical leap. And one thing Jim and I talked about in context of the book is companies really often haven't been radical enough in applying technology to really get to dramatic gains that they can get. Just a couple examples from the ideas framework, the I in IDEAS. The ideas framework is the first part of the book. The five areas to flip your assumptions. The I stands for intelligence and we're talking about more human and less artificial in terms of the intelligence techniques. Things like common sense learning and other techniques that allow you to develop more powerful ways of engaging people, engaging humans in the systems that we build using the kind of systems thinking that Jim mentioned. And things like emotional AI, common sense AI, new techniques in addition to machine, the big data driven machine learning techniques, which are essential to vision and solving big problems like that. So that's just an example of how you bring it together and enable that human potential. >> I love the idea, go ahead Jim. >> I was going to say we've been used to adapting to technology, and contorting our fingers to keyboards and so on for a long time. And now we're starting to see that technology is in fact beginning to adapt to us and become more natural in many instances. One point that we make is now in the human technology nexus, in fact, the human is in the ascended. That's one of the big ideas that we try to put out there in this book. >> I love the idea of flipping the script, flipping the assumptions, but ideas framework is interesting. I for intelligence, D for data, E for expertise, A for architecture, S for strategy. Notice the strategies last. Normally in the old school days, it's like, hey, strategy first and execution. Really interesting how you guys put that together. It feels like business is becoming agile and iterative and how it's going to be forming. Can you guys, I mean that's my opinion, but I think observing how developers becoming much more part of the app. I mean, if you take digital transformation to its conclusion, the application is the company, It's not a department serving the business, it is the business, therefore developers are running the business, so to speak. This is really radical. I mean, this is how I'm seeing it. What's your reaction to that? Do you see similar parallels to this transformation if you take it down to a conclusion and strategy is just what you do after you get the outcomes you need? What's your reaction to that? >> Yeah, I think one of the most lasting elements of the book might be that chapter on strategy in my opinion, because you need to think about it differently. The old way of doing strategy is dead. You can't do it the way you used to do it. And that's what we tried to lay out with the S in IDEAS, the strategy. The subtitle that chapter is we're all technology companies now. And if you're a technology driven company, the way you need to think about and every company is becoming, that's what I hear when I talk to these suites and CEOs and boards, is everybody's recognizing the essential role that technology plays and therefore they need to master technology. Well, you need to think about strategy differently then because of the pace of technology innovation. And so you need to throw out the old way of doing it. We suggest three new archetypes of how to do strategy that I think are really important. It's about continuous strategy in all cases. An example is one of the techniques we talk about, forever beta, which is, think about a Tesla or companies that it's never quite done. They're always improving and the product is designed to be connected and improving. So it changes along the product and the strategy along how you deploy it to consumers changes as you go. And that's an example of a very different approach to strategy that we believe is essential to consider as you look at the future. Yeah, those multi-month strategy sessions might play out over two or three quarters of going away. And strategy and execution are becoming almost simultaneous these days as Paul was saying. >> It's interesting because that's the trend you're seeing with more data, more automation, but the human plays a much critical role. And just aside on the Tesla example, is well documented. I think I wrote about in a post just this week that during the model three, Elon wanted full automation and had to actually go off scripts and get to humans back in charge 'cause it wasn't working properly. Now they have a balance. But that brings up to part two, which I like, which is this human piece of it. We always talk about skills gaps, there's not enough people to do this, that and the other thing. And talent was a big part of that second half, trust, talent, experiences. That's more of the person's role, either individually as part of a collective group. Is talent the scarce resource now where that's the goal, that's the key 'cause it all could point to that in a way. Skills gap points to, hey, humans are valuable. In fact the value's going up if it's properly architected. What's your reaction to that, guys? Because I think that's something that is not, kind of nuanced point, but it's a feature, not a bug maybe, I don't know. What's your thoughts? >> Yeah, go ahead Jim. >> I was going to say it, we're dramatically underestimating the amount of focus we need to put on talent. That's why we start off that second part of the book, really zooming in on talent. I think you might think that for every hundred dollars that you put into a technology initiative, you might put 50 or 75 into re-skilling initiatives to really compliment that. But what we're seeing is companies need to be much more revolutionary in their focus on talent. We saw economic analysis recently that pointed out that for every $1 you spend on technology, you are likely going to need to spend about $9 on intangible human capital. That means on talent, on getting the best talent, on re-skilling and on changing processes and work tasks. So there's a lot of work that needs to be done. Really that's human focus. It's not just about adopting the technology. Certainly the technology's critical, but we're underestimating the amount of focus that needs to go into the talent factors. >> That's a huge point. >> And I think some of the elements of talent that become really critical that we talked about in the book are becoming a talent creator. We believe the successful companies of the future are going to be able not just to post a job opening and hire people in because there's not going to be enough. And a lot of the jobs that companies are creating don't exist 'cause the technology changing so fast. So the companies that succeed are going to know how to create talent, bring in people, apprentices and such, and shape to tale as they go. We're doing a significant amount of that in our own company. They're going to be learning based organizations where you'll differentiate, you'll get the best employees if you provide better learning environments because that's what employees want. And then democratizing access to technology. Things like Amazon's Honeycode is an example, low-code/no-code development to spread development to wider pools of people. Those types of things are really critical going forward to really unlock the talent potential. And really what you end up with is, yeah, the human talent's important, but it's magnified and multiplied by the power of people, giving them in essence superpowers in using technology in new ways. >> I think you nailed it, that's super important. That point about the force multiplier when you put things in combination, whether it's group constructs, two pizza teams flexing, leveraging the talent. I mean, this is a new configuration. You guys are nailing it there. I love that piece. And I think groups and collectives you're going to start to see a lot more of that. But again, with talent comes trust when you start to have these ephemeral and or forming groups that are forming production systems or experiences. So trust comes up a lot. You guys see the metaverse as an important part there. Obviously metaverse is a pretext to the virtual world where we're going to start to create these group experiences and create new force multipliers. How does the metaverse play into this new radically human world, and what does it mean for the future of business? >> Yeah, I think the metaverse is radically misunderstood to use the word title when we're not with the title of our book. And we believe that the metaverse does have real big potential, massive potential, and I think it'll transform the way we think about digital more so than we've changed our thinking on digital in the last 10 years. So that's the potential of the metaverse. And it's not just about the consumer things, it's about metaverse and the enterprise. It's about the new products you create using distributed ledger and other technologies. And it's about the industrial metaverse of how you bring digital twins and augmented workers online in different ways. And so I believe that it has tremendous potential. We write about that in the book and it really takes radically human to another level. And one way to think about this is cloud is really becoming the operating system of business. You have to build your enterprise around the cloud as you go forward. That's going to shape the way you do business. AI becomes the insight and intelligence in how you work, infused with the human talent and such as we said. And the metaverse then reshapes the experience layers. So you have cloud, AI building on top of this metaverse providing a new way to generate experiences for employees, citizens, consumers, et cetera. And that's the way it unfolds, but trust becomes more important because just as AI raises new questions around trust, every technology raises new questions around trust. The metaverse raises a whole new set of questions. And in the book we outline a five-part framework or five essential parts of the framework around how you establish trust as you implement these new technologies. >> Yeah, we're seeing that about three quarters of companies are really trying to figure out trust, certainly with issues like the metaverse more broadly across their IT so they're focusing on security and privacy, transparency, especially when you're talking about AI systems, explainability. One of the more surprising things that we learned when doing the book, when we were doing the research is that we saw that increasingly consumers and employees want systems to be informed by a sense of humanity. So one company that we've been looking at that's been developing autonomous vehicles, self-driving car systems, they're actually training the system by emulating human behavior. So turning the cameras on test drivers to see how they learn and then training the AI using that sense of humanity 'cause other drivers on the road find human behavior more trustworthy. And similarly, that system is also using explainable AI to actually show which human behaviors that AI system is learning from. Some really interesting innovations happening in that trust space. John. >> Jim, I think you bring up a great point that's worth talking more about. Because you're talking about how human behaviors are being put into the design of new things like machines or software. And we're living in this era of cloud scale, which is compressing this transformation timeline and we've been calling it supercloud, some call it multi-cloud, but it's really a new thing happening where you're seeing an acceleration of the transformation. We think it's going to happen much faster in the next five to 10 years. And so that means these new things are emerging, not just, hey, I'm running a virtual event with chat and some video. It's group behavior, it's groups convening, talking, getting things done, debating, doing things differently. And so this idea of humans informing design decisions or software with low-code/no-code, this completely changes strategy. I mean this is a big point of the book. >> Yeah, no, I go back to one of the, the E in the IDEAS framework is expertise. And we talk about from machine learning to machine teaching, which is exactly that. Machine learning is maybe humans tag data and stuff and feed into algorithms. Machine teaching is how do you really leverage the human expertise in the systems that you develop with AI. One of the examples we give is one of the large consumer platforms that uses human designers to give the system a sense of aesthetic design and product design. A very difficult thing, especially with changing fashion interest and everything else to encode in algorithms and to even have AI do, even if you have fast amounts of data, but with the right human insight and human expertise injected in, you can create amazing new capability that responds to consumers in a much more powerful way. And that's an example of what you just said, John, bringing the two together. >> Well, yeah, it's interesting. I want to to get your thoughts as we get wrap up here soon. How do you apply all these human-centric technologies to the future of business? As you guys talk to leaders in the enterprise of their businesses, as they look at the horizon, they see the the future. They got to start thinking about things like generative AI and how they can bring some of these technologies to the table. We were talking about if open source continues to grow the way it's going, there might not be any code to write, it just writes itself at some point. So you got supply chain issues with security. These are new things you guys are hitting in the book where these are new dynamics, new power dynamics in how things get built. So if you're a business owner and leader, this is a new opportunity, a challenge certainly that is an opportunity. How do you apply all this stuff for business? >> I'll go first then Jim can add in. But the first thing I think starts with recognizing the role that technology does play and investing accordingly in it. So the right technology talent, rethinking the way you do strategy as we talked about earlier and recognizing how you need to build a foundation. That's why the fact you're at re:Invent is so important because companies are, again, rebuilding that operating system of their business in the cloud. And you need that as the foundation to go forward, to do, to build the other types of capabilities. And then I think it's developing those talent systems as well. Do you have the right talent brand? Are you attracting the right employees? Are you developing them in the right way so that you have the right future talent going forward? And then you marry the two together and that's what gives you the radically human formula. >> Yeah. When we were developing that first part of the book, Paul and I did quite a bit of research, and Paul kind of alluded to that research earlier, but one of the things that we saw in really the first year of the pandemic was that there was a lot of first time adoption of intelligent technologies like artificial intelligence. One statistic is that 70% of companies that had never tried AI before went ahead and tried it during the pandemic. So first time adoption rates were way up, but the thing is companies were not trying to do it themselves and to necessarily build an AI department. They were partnering and it's really important to find a partner, often a cloud partner as a way to get started, start small scale, and then scale up doing experiments. So that was one of the key insights that we had. You don't need to do it all yourself. >> If you see the transformation of just AWS, we're here at re:Invent, since we've been covering the events since 2013, every year there's been a thematic thing. It was startups, enterprise, now builders, and now change your company. This year it's continuing that same thing where you're starting to see new things happen. It's not just lift and shift and running a SaaS application on the cloud. People are are changing and refactoring and replatforming categorical applications in for this new era. And we're calling it supercloud, superservices, superapps, 'cause they're different. They're doing different things in leveraging large scale CapEx, large scale talent pools, or talent pools in certain ways. So this is real, something's happening here and we've been talking about it a lot lately. So I have to ask you guys, how does a company know if they're radical enough? Like what is radical? How can I put a pin in that? It's like take a temperature or we like radical enough, what some tell signs can you guys share for companies that are really leaning into this new next inflection point because there are new things happening? How do you know if you're you're pushing the envelope radical enough to take advantage? >> Yeah, I think one. >> You can go ahead, Paul. >> Yeah, I was going to say one of the tests is the impact on your business. You have to start by looking at all this in the context of your business, and is it really taking you to another level? You said it perfectly, John, it used to be we used to talk about migration and workloads to the cloud and things like that. That's still something you need to do. But now our focus with a lot of our customers is on how do you innovate and grow your business in the cloud? What's the platform that you're using for your new digital products and services you're offering to your consumers. I mean it is the business and I think that's the test whether you're being radical enough is on the one hand, are you really using the technology to drive differentiation and real growth and change in your business? And are you equipping people, your human talent with the capabilities they need to perform in very different ways? And those are the two tests that I would give. >> Totally agree. >> Interesting enough, we love this topic and you guys, again, the book is spot on. Very packs of big punch on content, but very relevant in today. And I think one of the things we're looking at is that people who do things differently take advantage of some of these radical approaches like IDEAS, your framework, and understand where they are and what's available and what's coming around the corner. They stand out in the pack or create new business opportunities because the CapEx is taken care of. Now you got your cloud, I mean you're building clouds on top of clouds or something's happening. I think you see it, look at like companies like Snowflake, it's a data warehouse on the cloud. What does that mean? They didn't build a cloud, they used Amazon. So you're starting to see these new things pop up. >> Yeah and that's a good example. And it sounds like a simple thing, data warehouse in the cloud, but the new business capability that a technology like that allows and the portability of being able to connect and use data across cloud environments and such is tremendously powerful. And I think that's why, you talk about companies doing things differently, that's why it's great, again, that you're at re:Invent. If you look at the index of our book, you'll see AWS mentioned a number of times 'cause we tell a lot of customer company stories about how they're leveraging AWS capabilities in cloud and AI to really do transformative things in their business. And I think that's what it's all about. >> Yeah, and one of the things too in the book, it's great 'cause it has the systems thinking, it's got really relevant information, but you guys have seen the movie before. I think one of the wild cards in this era is global. We're global economy, you've got regions, you've got data sovereignty, you're seeing all kinds of new things emerging. Thoughts on the global impact 'cause you take your book and you overlay that to business, like you got to operate all over the world as a human issue, as a geography issue. What's your guys take on the global impact? >> Well that's why you got to think about cloud as one technology. We talked about in the book and cloud is, I think a lot of people think, well, clouds, it's almost old news. Maybe it's been around for a while. As you said, you've been going to re:Invent since 2013. Cloud is really just getting started. And it's 'cause the reasons you said, when you look at what you need to do around sovereign cloud capability if you're in Europe. For many companies it's about multi-cloud capabilities that you need to deploy differently in different regions. And they need to, in some cases for good reason, they have hybrid cloud capability that they match on their own. And then there's the edge capability which comes into play in different ways. And so the architecture becomes very complex and we talk the A in IDEAS is architecture. We talk about all this and how you need to move from the old conception of architecture, which was more static and just modularity was the key thing you thought about. It's more the idea of a living system, of living architecture that's expanding and is what's much more dynamic. And I think that's the way you need to think about it as you manage in a global environment today with the pace of technology advancement. >> Yeah, the innovation is here. It's not stopping. How do you create some defacto standards while not stunting the innovation is going to be a big discussion as these new flipped assumptions start to generate more activity. It's going to be very interesting to watch. Gentlemen, thank you so much for spending the time here on theCUBE as we break down your new book, "Radically Human" and how business leads can flip the script on their business assumptions and put ideas and access to work. This is a big part of the cloud show at re:Invent. Thanks so much for sharing and congratulations on a great book. >> Thanks, John. And just one point I'd add is that one of the things we do talk about in talent is the need to reskill talent. People who need to be relevant in the rapidly changing future. And that's one area where I think we all as institutions, as communities and individuals need to do more is to help those that need to reskilling. And the final point I mentioned is that we've mentioned at the end of the book that all proceeds from the book are being donated to NGOs and nonprofits that are focused on reskilling those who need a skill refresh in light of the radically human change in technology that's happening. >> Great. Buy the book. Proceeds go to a great cause and it's a very relevant book. If you're in the middle of this big wave that's coming. this is a great book. There's a guidepost and also give you some great ideas to reset, reflip the scripts, refactor, replatform. Guys, thanks for coming on and sharing. I really appreciate it. Again, congratulations. >> Thanks, John. >> Thanks, John. Great discussion. >> You're watching theCUBE here covering the executive forum here at AWS re:Invent '22. I'm John Furrier, you're host with Accenture. Thanks for watching. (gentle music)
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(upbeat music) >> Hello, everyone. Welcome to theCUBE's coverage here at AWS re:Invent 2022. This is the Executive Summit with Accenture. I'm John Furrier, your host of theCUBE with two great guests coming on today, really talking about the future, the role of humans. Radically human is going to be the topic. Paul Daugherty, the group Chief Executive Technology and CTO at Accenture. And Jim Wilson, Global Managing Director of Thought Leadership and Technology Research, Accenture. Gentlemen, thank you for coming on theCUBE for this conversation around your new hit book, "Radically Human." >> Thanks, John. It's great to be with you and great to be present at re:Invent. >> We've been following you guys for many, many years now, over a decade. You always have the finger on the pulse. I mean, and as these waves come in, it's really important to understand impact. And more than ever, we're in this, I call it the systems thinking, revolution is going on now where things have consequences and machines are now accelerating their role. Developers are becoming the front lines of running companies, seeing a massive shift. This new technology is transforming the business and shaping our future as as humans. And so I love the book, very, very strong content, really right on point. What was the motivation for the book? And congratulations, but I noticed you got the structure, part one and part two, this book seems to be packing a big punch. What was the motivation, and what was some of the background in putting the book together? >> That's a great question, John. And I'll start, and then, Jim, my co-author and colleague and partner on the book can join in too. If you step back from the book itself, we'd written a first book called "Human + Machine", which focused a lot on artificial intelligence and talked about the potential and future of artificial intelligence to create a more human future for us with the human plus machine pairing. And then when we started working on the next book, it was the COVID era. COVID came on line as we were writing the book. And that was causing really an interesting time in technology for a lot of companies. I mean, think back to what you were doing. Once COVID hit, every company became more dependent on technology. Technology was the lifeline. And so Jim and I got interested in what the impacts of that were on companies, and what was different from the first research we had done around our first book. And what we found, which was super interesting, is that pre-pandemic, the leading companies, the digital leaders that were applying cloud data, AI, and related technologies faster, we're outperforming others by a factor of 2x. And that was before the pandemic. After the pandemic, we redid the research and the gap widened into 5x. And I think that's played a lot into our book. And we talk about that in the opening of our book. And the message there is exactly what you said is technology is not just the lifeline from the pandemic, but now technology is the heart and soul of how companies are driving innovation, how they're responding to global crises around inflation, energy, supply chain crisis because of the war in Ukraine, et cetera. And companies need the technology more than ever. And that's what we're writing about in "Radically Human." And we're taking a step beyond our previous book to talk about what we believe is next. And it's really cloud, data and AI, and the metaverse that signal out as three trends that are really driving transformative change for companies. In the first part of the book, to your question on the structure, talks about the roadmap to that. We talked about the ideas framework, five areas where you need to change your thinking, flip your assumptions on how to apply technology. And then the second part of the book talks about the differentiators that we believe are going to set companies apart as they look to implement this technology and transform their companies for the future. >> Jim, weigh in on this flipping the script, flipping the assumptions. >> You used a really important word there and that is systems. I think when we think about artificial intelligence, and when Paul and I have now talking to companies, a lot of executives think of AI as a point solution. They don't think about AI in terms of taking a systems approach. So we were trying to address that. All right, if you're going to build a roadmap, a technology roadmap for applying intelligent technologies like artificial intelligence, how do you take a holistic systematic view? And that's really the focus of the first section of the book. And then as Paul mentioned, how do you take those systems and really differentiate it using your talent, focusing on trust, experiences and sustainability? >> I like how it reads. It's almost like a masterclass book because you set the table. It's like, 'cause people right now are like in the mode of what's going on around me? I've been living through three years of COVID. We're coming out the other side. The world looks radically different. Humans are much more important. Automation's great, but people are finding out that the human's key, but people are trying to figure out where am I today. So I think the first part really to me hits home. Like, here's the current situation and then part two is here's how you can get better. And it's not just about machines, machines, machines and automation, automation, automation. We're seeing examples where the role of the human, the person in society, whether it's individually or as part of a group, are really now key assets in that kind of this new workforce or this new production system or society. >> Yeah. And just to take a couple examples from the book and highlight that, I think you're exactly right. And that's where "Radically Human", the title came from. And what's happening with technology is that technology itself is becoming more human like in its capability. When you think about the power of the transformer technologies and other things that we're reading about a lot. And the whole hypothesis or premise of the book I should say, is that the more human like the technology is, the more radically human or the more radical the human potential improvement is, the bigger the opportunity. It's pairing the two together rather than, as you said, just looking at the automation or the machine side of it. That's really the radical leap. And one thing Jim and I talked about in context of the book is companies really often haven't been radical enough in applying technology to really get to dramatic gains that they can get. Just a couple examples from the ideas framework, the I in IDEAS. The ideas framework is the first part of the book. The five areas to flip your assumptions. The I stands for intelligence and we're talking about more human and less artificial in terms of the intelligence techniques. Things like common sense learning and other techniques that allow you to develop more powerful ways of engaging people, engaging humans in the systems that we build using the kind of systems thinking that Jim mentioned. And things like emotional AI, common sense AI, new techniques in addition to machine, the big data driven machine learning techniques, which are essential to vision and solving big problems like that. So that's just an example of how you bring it together and enable that human potential. >> I love the idea, go ahead Jim. >> I was going to say we've been used to adapting to technology, and contorting our fingers to keyboards and so on for a long time. And now we're starting to see that technology is in fact beginning to adapt to us and become more natural in many instances. One point that we make is now in the human technology nexus, in fact, the human is in the ascended. That's one of the big ideas that we try to put out there in this book. >> I love the idea of flipping the script, flipping the assumptions, but ideas framework is interesting. I for intelligence, D for data, E for expertise, A for architecture, S for strategy. Notice the strategies last. Normally in the old school days, it's like, hey, strategy first and execution. Really interesting how you guys put that together. It feels like business is becoming agile and iterative and how it's going to be forming. Can you guys, I mean that's my opinion, but I think observing how developers becoming much more part of the app. I mean, if you take digital transformation to its conclusion, the application is the company, It's not a department serving the business, it is the business, therefore developers are running the business, so to speak. This is really radical. I mean, this is how I'm seeing it. What's your reaction to that? Do you see similar parallels to this transformation if you take it down to a conclusion and strategy is just what you do after you get the outcomes you need? What's your reaction to that? >> Yeah, I think one of the most lasting elements of the book might be that chapter on strategy in my opinion, because you need to think about it differently. The old way of doing strategy is dead. You can't do it the way you used to do it. And that's what we tried to lay out with the S in IDEAS, the strategy. The subtitle that chapter is we're all technology companies now. And if you're a technology driven company, the way you need to think about and every company is becoming, that's what I hear when I talk to these suites and CEOs and boards, is everybody's recognizing the essential role that technology plays and therefore they need to master technology. Well, you need to think about strategy differently then because of the pace of technology innovation. And so you need to throw out the old way of doing it. We suggest three new archetypes of how to do strategy that I think are really important. It's about continuous strategy in all cases. An example is one of the techniques we talk about, forever beta, which is, think about a Tesla or companies that it's never quite done. They're always improving and the product is designed to be connected and improving. So it changes along the product and the strategy along how you deploy it to consumers changes as you go. And that's an example of a very different approach to strategy that we believe is essential to consider as you look at the future. Yeah, those multi-month strategy sessions might play out over two or three quarters of going away. And strategy and execution are becoming almost simultaneous these days as Paul was saying. >> It's interesting because that's the trend you're seeing with more data, more automation, but the human plays a much critical role. And just aside on the Tesla example, is well documented. I think I wrote about in a post just this week that during the model three, Elon wanted full automation and had to actually go off scripts and get to humans back in charge 'cause it wasn't working properly. Now they have a balance. But that brings up to part two, which I like, which is this human piece of it. We always talk about skills gaps, there's not enough people to do this, that and the other thing. And talent was a big part of that second half, trust, talent, experiences. That's more of the person's role, either individually as part of a collective group. Is talent the scarce resource now where that's the goal, that's the key 'cause it all could point to that in a way. Skills gap points to, hey, humans are valuable. In fact the value's going up if it's properly architected. What's your reaction to that, guys? Because I think that's something that is not, kind of nuanced point, but it's a feature, not a bug maybe, I don't know. What's your thoughts? >> Yeah, go ahead Jim. >> I was going to say it, we're dramatically underestimating the amount of focus we need to put on talent. That's why we start off that second part of the book, really zooming in on talent. I think you might think that for every hundred dollars that you put into a technology initiative, you might put 50 or 75 into re-skilling initiatives to really compliment that. But what we're seeing is companies need to be much more revolutionary in their focus on talent. We saw economic analysis recently that pointed out that for every $1 you spend on technology, you are likely going to need to spend about $9 on intangible human capital. That means on talent, on getting the best talent, on re-skilling and on changing processes and work tasks. So there's a lot of work that needs to be done. Really that's human focus. It's not just about adopting the technology. Certainly the technology's critical, but we're underestimating the amount of focus that needs to go into the talent factors. >> That's a huge point. >> And I think some of the elements of talent that become really critical that we talked about in the book are becoming a talent creator. We believe the successful companies of the future are going to be able not just to post a job opening and hire people in because there's not going to be enough. And a lot of the jobs that companies are creating don't exist 'cause the technology changing so fast. So the companies that succeed are going to know how to create talent, bring in people, apprentices and such, and shape to tale as they go. We're doing a significant amount of that in our own company. They're going to be learning based organizations where you'll differentiate, you'll get the best employees if you provide better learning environments because that's what employees want. And then democratizing access to technology. Things like Amazon's Honeycode is an example, low-code/no-code development to spread development to wider pools of people. Those types of things are really critical going forward to really unlock the talent potential. And really what you end up with is, yeah, the human talent's important, but it's magnified and multiplied by the power of people, giving them in essence superpowers in using technology in new ways. >> I think you nailed it, that's super important. That point about the force multiplier when you put things in combination, whether it's group constructs, two pizza teams flexing, leveraging the talent. I mean, this is a new configuration. You guys are nailing it there. I love that piece. And I think groups and collectives you're going to start to see a lot more of that. But again, with talent comes trust when you start to have these ephemeral and or forming groups that are forming production systems or experiences. So trust comes up a lot. You guys see the metaverse as an important part there. Obviously metaverse is a pretext to the virtual world where we're going to start to create these group experiences and create new force multipliers. How does the metaverse play into this new radically human world, and what does it mean for the future of business? >> Yeah, I think the metaverse is radically misunderstood to use the word title when we're not with the title of our book. And we believe that the metaverse does have real big potential, massive potential, and I think it'll transform the way we think about digital more so than we've changed our thinking on digital in the last 10 years. So that's the potential of the metaverse. And it's not just about the consumer things, it's about metaverse and the enterprise. It's about the new products you create using distributed ledger and other technologies. And it's about the industrial metaverse of how you bring digital twins and augmented workers online in different ways. And so I believe that it has tremendous potential. We write about that in the book and it really takes radically human to another level. And one way to think about this is cloud is really becoming the operating system of business. You have to build your enterprise around the cloud as you go forward. That's going to shape the way you do business. AI becomes the insight and intelligence in how you work, infused with the human talent and such as we said. And the metaverse then reshapes the experience layers. So you have cloud, AI building on top of this metaverse providing a new way to generate experiences for employees, citizens, consumers, et cetera. And that's the way it unfolds, but trust becomes more important because just as AI raises new questions around trust, every technology raises new questions around trust. The metaverse raises a whole new set of questions. And in the book we outline a five-part framework or five essential parts of the framework around how you establish trust as you implement these new technologies. >> Yeah, we're seeing that about three quarters of companies are really trying to figure out trust, certainly with issues like the metaverse more broadly across their IT so they're focusing on security and privacy, transparency, especially when you're talking about AI systems, explainability. One of the more surprising things that we learned when doing the book, when we were doing the research is that we saw that increasingly consumers and employees want systems to be informed by a sense of humanity. So one company that we've been looking at that's been developing autonomous vehicles, self-driving car systems, they're actually training the system by emulating human behavior. So turning the cameras on test drivers to see how they learn and then training the AI using that sense of humanity 'cause other drivers on the road find human behavior more trustworthy. And similarly, that system is also using explainable AI to actually show which human behaviors that AI system is learning from. Some really interesting innovations happening in that trust space. John. >> Jim, I think you bring up a great point that's worth talking more about. Because you're talking about how human behaviors are being put into the design of new things like machines or software. And we're living in this era of cloud scale, which is compressing this transformation timeline and we've been calling it supercloud, some call it multi-cloud, but it's really a new thing happening where you're seeing an acceleration of the transformation. We think it's going to happen much faster in the next five to 10 years. And so that means these new things are emerging, not just, hey, I'm running a virtual event with chat and some video. It's group behavior, it's groups convening, talking, getting things done, debating, doing things differently. And so this idea of humans informing design decisions or software with low-code/no-code, this completely changes strategy. I mean this is a big point of the book. >> Yeah, no, I go back to one of the, the E in the IDEAS framework is expertise. And we talk about from machine learning to machine teaching, which is exactly that. Machine learning is maybe humans tag data and stuff and feed into algorithms. Machine teaching is how do you really leverage the human expertise in the systems that you develop with AI. One of the examples we give is one of the large consumer platforms that uses human designers to give the system a sense of aesthetic design and product design. A very difficult thing, especially with changing fashion interest and everything else to encode in algorithms and to even have AI do, even if you have fast amounts of data, but with the right human insight and human expertise injected in, you can create amazing new capability that responds to consumers in a much more powerful way. And that's an example of what you just said, John, bringing the two together. >> Well, yeah, it's interesting. I want to to get your thoughts as we get wrap up here soon. How do you apply all these human-centric technologies to the future of business? As you guys talk to leaders in the enterprise of their businesses, as they look at the horizon, they see the the future. They got to start thinking about things like generative AI and how they can bring some of these technologies to the table. We were talking about if open source continues to grow the way it's going, there might not be any code to write, it just writes itself at some point. So you got supply chain issues with security. These are new things you guys are hitting in the book where these are new dynamics, new power dynamics in how things get built. So if you're a business owner and leader, this is a new opportunity, a challenge certainly that is an opportunity. How do you apply all this stuff for business? >> I'll go first then Jim can add in. But the first thing I think starts with recognizing the role that technology does play and investing accordingly in it. So the right technology talent, rethinking the way you do strategy as we talked about earlier and recognizing how you need to build a foundation. That's why the fact you're at re:Invent is so important because companies are, again, rebuilding that operating system of their business in the cloud. And you need that as the foundation to go forward, to do, to build the other types of capabilities. And then I think it's developing those talent systems as well. Do you have the right talent brand? Are you attracting the right employees? Are you developing them in the right way so that you have the right future talent going forward? And then you marry the two together and that's what gives you the radically human formula. >> Yeah. When we were developing that first part of the book, Paul and I did quite a bit of research, and Paul kind of alluded to that research earlier, but one of the things that we saw in really the first year of the pandemic was that there was a lot of first time adoption of intelligent technologies like artificial intelligence. One statistic is that 70% of companies that had never tried AI before went ahead and tried it during the pandemic. So first time adoption rates were way up, but the thing is companies were not trying to do it themselves and to necessarily build an AI department. They were partnering and it's really important to find a partner, often a cloud partner as a way to get started, start small scale, and then scale up doing experiments. So that was one of the key insights that we had. You don't need to do it all yourself. >> If you see the transformation of just AWS, we're here at re:Invent, since we've been covering the events since 2013, every year there's been a thematic thing. It was startups, enterprise, now builders, and now change your company. This year it's continuing that same thing where you're starting to see new things happen. It's not just lift and shift and running a SaaS application on the cloud. People are are changing and refactoring and replatforming categorical applications in for this new era. And we're calling it supercloud, superservices, superapps, 'cause they're different. They're doing different things in leveraging large scale CapEx, large scale talent pools, or talent pools in certain ways. So this is real, something's happening here and we've been talking about it a lot lately. So I have to ask you guys, how does a company know if they're radical enough? Like what is radical? How can I put a pin in that? It's like take a temperature or we like radical enough, what some tell signs can you guys share for companies that are really leaning into this new next inflection point because there are new things happening? How do you know if you're you're pushing the envelope radical enough to take advantage? >> Yeah, I think one. >> You can go ahead, Paul. >> Yeah, I was going to say one of the tests is the impact on your business. You have to start by looking at all this in the context of your business, and is it really taking you to another level? You said it perfectly, John, it used to be we used to talk about migration and workloads to the cloud and things like that. That's still something you need to do. But now our focus with a lot of our customers is on how do you innovate and grow your business in the cloud? What's the platform that you're using for your new digital products and services you're offering to your consumers. I mean it is the business and I think that's the test whether you're being radical enough is on the one hand, are you really using the technology to drive differentiation and real growth and change in your business? And are you equipping people, your human talent with the capabilities they need to perform in very different ways? And those are the two tests that I would give. >> Totally agree. >> Interesting enough, we love this topic and you guys, again, the book is spot on. Very packs of big punch on content, but very relevant in today. And I think one of the things we're looking at is that people who do things differently take advantage of some of these radical approaches like IDEAS, your framework, and understand where they are and what's available and what's coming around the corner. They stand out in the pack or create new business opportunities because the CapEx is taken care of. Now you got your cloud, I mean you're building clouds on top of clouds or something's happening. I think you see it, look at like companies like Snowflake, it's a data warehouse on the cloud. What does that mean? They didn't build a cloud, they used Amazon. So you're starting to see these new things pop up. >> Yeah and that's a good example. And it sounds like a simple thing, data warehouse in the cloud, but the new business capability that a technology like that allows and the portability of being able to connect and use data across cloud environments and such is tremendously powerful. And I think that's why, you talk about companies doing things differently, that's why it's great, again, that you're at re:Invent. If you look at the index of our book, you'll see AWS mentioned a number of times 'cause we tell a lot of customer company stories about how they're leveraging AWS capabilities in cloud and AI to really do transformative things in their business. And I think that's what it's all about. >> Yeah, and one of the things too in the book, it's great 'cause it has the systems thinking, it's got really relevant information, but you guys have seen the movie before. I think one of the wild cards in this era is global. We're global economy, you've got regions, you've got data sovereignty, you're seeing all kinds of new things emerging. Thoughts on the global impact 'cause you take your book and you overlay that to business, like you got to operate all over the world as a human issue, as a geography issue. What's your guys take on the global impact? >> Well that's why you got to think about cloud as one technology. We talked about in the book and cloud is, I think a lot of people think, well, clouds, it's almost old news. Maybe it's been around for a while. As you said, you've been going to re:Invent since 2013. Cloud is really just getting started. And it's 'cause the reasons you said, when you look at what you need to do around sovereign cloud capability if you're in Europe. For many companies it's about multi-cloud capabilities that you need to deploy differently in different regions. And they need to, in some cases for good reason, they have hybrid cloud capability that they match on their own. And then there's the edge capability which comes into play in different ways. And so the architecture becomes very complex and we talk the A in IDEAS is architecture. We talk about all this and how you need to move from the old conception of architecture, which was more static and just modularity was the key thing you thought about. It's more the idea of a living system, of living architecture that's expanding and is what's much more dynamic. And I think that's the way you need to think about it as you manage in a global environment today with the pace of technology advancement. >> Yeah, the innovation is here. It's not stopping. How do you create some defacto standards while not stunting the innovation is going to be a big discussion as these new flipped assumptions start to generate more activity. It's going to be very interesting to watch. Gentlemen, thank you so much for spending the time here on theCUBE as we break down your new book, "Radically Human" and how business leads can flip the script on their business assumptions and put ideas and access to work. This is a big part of the cloud show at re:Invent. Thanks so much for sharing and congratulations on a great book. >> Thanks, John. And just one point I'd add is that one of the things we do talk about in talent is the need to reskill talent. People who need to be relevant in the rapidly changing future. And that's one area where I think we all as institutions, as communities and individuals need to do more is to help those that need to reskilling. And the final point I mentioned is that we've mentioned at the end of the book that all proceeds from the book are being donated to NGOs and nonprofits that are focused on reskilling those who need a skill refresh in light of the radically human change in technology that's happening. >> Great. Buy the book. Proceeds go to a great cause and it's a very relevant book. If you're in the middle of this big wave that's coming. this is a great book. There's a guidepost and also give you some great ideas to reset, reflip the scripts, refactor, replatform. Guys, thanks for coming on and sharing. I really appreciate it. Again, congratulations. >> Thanks, John. >> Thanks, John. Great discussion. >> You're watching theCUBE here covering the executive forum here at AWS re:Invent '22. I'm John Furrier, you're host with Accenture. Thanks for watching. (gentle music)
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Evan Kaplan, InfluxData | AWS re:invent 2022
>>Hey everyone. Welcome to Las Vegas. The Cube is here, live at the Venetian Expo Center for AWS Reinvent 2022. Amazing attendance. This is day one of our coverage. Lisa Martin here with Day Ante. David is great to see so many people back. We're gonna be talk, we've been having great conversations already. We have a wall to wall coverage for the next three and a half days. When we talk to companies, customers, every company has to be a data company. And one of the things I think we learned in the pandemic is that access to real time data and real time analytics, no longer a nice to have that is a differentiator and a competitive all >>About data. I mean, you know, I love the topic and it's, it's got so many dimensions and such texture, can't get enough of data. >>I know we have a great guest joining us. One of our alumni is back, Evan Kaplan, the CEO of Influx Data. Evan, thank you so much for joining us. Welcome back to the Cube. >>Thanks for having me. It's great to be here. So here >>We are, day one. I was telling you before we went live, we're nice and fresh hosts. Talk to us about what's new at Influxed since the last time we saw you at Reinvent. >>That's great. So first of all, we should acknowledge what's going on here. This is pretty exciting. Yeah, that does really feel like, I know there was a show last year, but this feels like the first post Covid shows a lot of energy, a lot of attention despite a difficult economy. In terms of, you know, you guys were commenting in the lead into Big data. I think, you know, if we were to talk about Big Data five, six years ago, what would we be talking about? We'd been talking about Hadoop, we were talking about Cloudera, we were talking about Hortonworks, we were talking about Big Data Lakes, data stores. I think what's happened is, is this this interesting dynamic of, let's call it if you will, the, the secularization of data in which it breaks into different fields, different, almost a taxonomy. You've got this set of search data, you've got this observability data, you've got graph data, you've got document data and what you're seeing in the market and now you have time series data. >>And what you're seeing in the market is this incredible capability by developers as well and mostly open source dynamic driving this, this incredible capability of developers to assemble data platforms that aren't unicellular, that aren't just built on Hado or Oracle or Postgres or MySQL, but in fact represent different data types. So for us, what we care about his time series, we care about anything that happens in time, where time can be the primary measurement, which if you think about it, is a huge proportion of real data. Cuz when you think about what drives ai, you think about what happened, what happened, what happened, what happened, what's going to happen. That's the functional thing. But what happened is always defined by a period, a measurement, a time. And so what's new for us is we've developed this new open source engine called IOx. And so it's basically a refresh of the whole database, a kilo database that uses Apache Arrow, par K and data fusion and turns it into a super powerful real time analytics platform. It was already pretty real time before, but it's increasingly now and it adds SQL capability and infinite cardinality. And so it handles bigger data sets, but importantly, not just bigger but faster, faster data. So that's primarily what we're talking about to show. >>So how does that affect where you can play in the marketplace? Is it, I mean, how does it affect your total available market? Your great question. Your, your customer opportunities. >>I think it's, it's really an interesting market in that you've got all of these different approaches to database. Whether you take data warehouses from Snowflake or, or arguably data bricks also. And you take these individual database companies like Mongo Influx, Neo Forge, elastic, and people like that. I think the commonality you see across the volume is, is many of 'em, if not all of them, are based on some sort of open source dynamic. So I think that is an in an untractable trend that will continue for on. But in terms of the broader, the broader database market, our total expand, total available tam, lots of these things are coming together in interesting ways. And so the, the, the wave that will ride that we wanna ride, because it's all big data and it's all increasingly fast data and it's all machine learning and AI is really around that measurement issue. That instrumentation the idea that if you're gonna build any sophisticated system, it starts with instrumentation and the journey is defined by instrumentation. So we view ourselves as that instrumentation tooling for understanding complex systems. And how, >>I have to follow quick follow up. Why did you say arguably data bricks? I mean open source ethos? >>Well, I was saying arguably data bricks cuz Spark, I mean it's a great company and it's based on Spark, but there's quite a gap between Spark and what Data Bricks is today. And in some ways data bricks from the outside looking in looks a lot like Snowflake to me looks a lot like a really sophisticated data warehouse with a lot of post-processing capabilities >>And, and with an open source less >>Than a >>Core database. Yeah. Right, right, right. Yeah, I totally agree. Okay, thank you for that >>Part that that was not arguably like they're, they're not a good company or >>No, no. They got great momentum and I'm just curious. Absolutely. You know, so, >>So talk a little bit about IOx and, and what it is enabling you guys to achieve from a competitive advantage perspective. The key differentiators give us that scoop. >>So if you think about, so our old storage engine was called tsm, also open sourced, right? And IOx is open sourced and the old storage engine was really built around this time series measurements, particularly metrics, lots of metrics and handling those at scale and making it super easy for developers to use. But, but our old data engine only supported either a custom graphical UI that you'd build yourself on top of it or a dashboarding tool like Grafana or Chronograph or things like that. With IOCs. Two or three interventions were important. One is we now support, we'll support things like Tableau, Microsoft, bi, and so you're taking that same data that was available for instrumentation and now you're using it for business intelligence also. So that became super important and it kind of answers your question about the expanded market expands the market. The second thing is, when you're dealing with time series data, you're dealing with this concept of cardinality, which is, and I don't know if you're familiar with it, but the idea that that it's a multiplication of measurements in a table. And so the more measurements you want over the more series you have, you have this really expanding exponential set that can choke a database off. And the way we've designed IIS to handle what we call infinite cardinality, where you don't even have to think about that design point of view. And then lastly, it's just query performance is dramatically better. And so it's pretty exciting. >>So the unlimited cardinality, basically you could identify relationships between data and different databases. Is that right? Between >>The same database but different measurements, different tables, yeah. Yeah. Right. Yeah, yeah. So you can handle, so you could say, I wanna look at the way, the way the noise levels are performed in this room according to 400 different locations on 25 different days, over seven months of the year. And that each one is a measurement. Each one adds to cardinality. And you can say, I wanna search on Tuesdays in December, what the noise level is at 2:21 PM and you get a very quick response. That kind of instrumentation is critical to smarter systems. How are >>You able to process that data at at, in a performance level that doesn't bring the database to its knees? What's the secret sauce behind that? >>It's AUM database. It's built on Parque and Apache Arrow. But it's, but to say it's nice to say without a much longer conversation, it's an architecture that's really built for pulling that kind of data. If you know the data is time series and you're looking for a time measurement, you already have the ability to optimize pretty dramatically. >>So it's, it's that purpose built aspect of it. It's the >>Purpose built aspect. You couldn't take Postgres and do the same >>Thing. Right? Because a lot of vendors say, oh yeah, we have time series now. Yeah. Right. So yeah. Yeah. Right. >>And they >>Do. Yeah. But >>It's not, it's not, the founding of the company came because Paul Dicks was working on Wall Street building time series databases on H base, on MyQ, on other platforms and realize every time we do it, we have to rewrite the code. We build a bunch of application logic to handle all these. We're talking about, we have customers that are adding hundreds of millions to billions of points a second. So you're talking about an ingest level. You know, you think about all those data points, you're talking about ingest level that just doesn't, you know, it just databases aren't designed for that. Right? And so it's not just us, our competitors also build good time series databases. And so the category is really emergent. Yeah, >>Sure. Talk about a favorite customer story they think really articulates the value of what Influx is doing, especially with IOx. >>Yeah, sure. And I love this, I love this story because you know, Tesla may not be in favor because of the latest Elon Musker aids, but, but, but so we've had about a four year relationship with Tesla where they built their power wall technology around recording that, seeing your device, seeing the stuff, seeing the charging on your car. It's all captured in influx databases that are reporting from power walls and mega power packs all over the world. And they report to a central place at, at, at Tesla's headquarters and it reports out to your phone and so you can see it. And what's really cool about this to me is I've got two Tesla cars and I've got a Tesla solar roof tiles. So I watch this date all the time. So it's a great customer story. And actually if you go on our website, you can see I did an hour interview with the engineer that designed the system cuz the system is super impressive and I just think it's really cool. Plus it's, you know, it's all the good green stuff that we really appreciate supporting sustainability, right? Yeah. >>Right, right. Talk about from a, what's in it for me as a customer, what you guys have done, the change to IOCs, what, what are some of the key features of it and the key values in it for customers like Tesla, like other industry customers as well? >>Well, so it's relatively new. It just arrived in our cloud product. So Tesla's not using it today. We have a first set of customers starting to use it. We, the, it's in open source. So it's a very popular project in the open source world. But the key issues are, are really the stuff that we've kind of covered here, which is that a broad SQL environment. So accessing all those SQL developers, the same people who code against Snowflake's data warehouse or data bricks or Postgres, can now can code that data against influx, open up the BI market. It's the cardinality, it's the performance. It's really an architecture. It's the next gen. We've been doing this for six years, it's the next generation of everything. We've seen how you make time series be super performing. And that's only relevant because more and more things are becoming real time as we develop smarter and smarter systems. The journey is pretty clear. You instrument the system, you, you let it run, you watch for anomalies, you correct those anomalies, you re instrument the system. You do that 4 billion times, you have a self-driving car, you do that 55 times, you have a better podcast that is, that is handling its audio better, right? So everything is on that journey of getting smarter and smarter. So >>You guys, you guys the big committers to IOCs, right? Yes. And how, talk about how you support the, develop the surrounding developer community, how you get that flywheel effect going >>First. I mean it's actually actually a really kind of, let's call it, it's more art than science. Yeah. First of all, you you, you come up with an architecture that really resonates for developers. And Paul Ds our founder, really is a developer's developer. And so he started talking about this in the community about an architecture that uses Apache Arrow Parque, which is, you know, the standard now becoming for file formats that uses Apache Arrow for directing queries and things like that and uses data fusion and said what this thing needs is a Columbia database that sits behind all of this stuff and integrates it. And he started talking about it two years ago and then he started publishing in IOCs that commits in the, in GitHub commits. And slowly, but over time in Hacker News and other, and other people go, oh yeah, this is fundamentally right. >>It addresses the problems that people have with things like click cows or plain databases or Coast and they go, okay, this is the right architecture at the right time. Not different than original influx, not different than what Elastic hit on, not different than what Confluent with Kafka hit on and their time is you build an audience of people who are committed to understanding this kind of stuff and they become committers and they become the core. Yeah. And you build out from it. And so super. And so we chose to have an MIT open source license. Yeah. It's not some secondary license competitors can use it and, and competitors can use it against us. Yeah. >>One of the things I know that Influx data talks about is the time to awesome, which I love that, but what does that mean? What is the time to Awesome. Yeah. For developer, >>It comes from that original story where, where Paul would have to write six months of application logic and stuff to build a time series based applications. And so Paul's notion was, and this was based on the original Mongo, which was very successful because it was very easy to use relative to most databases. So Paul developed this commitment, this idea that I quickly joined on, which was, hey, it should be relatively quickly for a developer to build something of import to solve a problem, it should be able to happen very quickly. So it's got a schemaless background so you don't have to know the schema beforehand. It does some things that make it really easy to feel powerful as a developer quickly. And if you think about that journey, if you feel powerful with a tool quickly, then you'll go deeper and deeper and deeper and pretty soon you're taking that tool with you wherever you go, it becomes the tool of choice as you go to that next job or you go to that next application. And so that's a fundamental way we think about it. To be honest with you, we haven't always delivered perfectly on that. It's generally in our dna. So we do pretty well, but I always feel like we can do better. >>So if you were to put a bumper sticker on one of your Teslas about influx data, what would it >>Say? By the way, I'm not rich. It just happened to be that we have two Teslas and we have for a while, we just committed to that. The, the, so ask the question again. Sorry. >>Bumper sticker on influx data. What would it say? How, how would I >>Understand it be time to Awesome. It would be that that phrase his time to Awesome. Right. >>Love that. >>Yeah, I'd love it. >>Excellent time to. Awesome. Evan, thank you so much for joining David, the >>Program. It's really fun. Great thing >>On Evan. Great to, you're on. Haven't Well, great to have you back talking about what you guys are doing and helping organizations like Tesla and others really transform their businesses, which is all about business transformation these days. We appreciate your insights. >>That's great. Thank >>You for our guest and Dave Ante. I'm Lisa Martin, you're watching The Cube, the leader in emerging and enterprise tech coverage. We'll be right back with our next guest.
SUMMARY :
And one of the things I think we learned in the pandemic is that access to real time data and real time analytics, I mean, you know, I love the topic and it's, it's got so many dimensions and such Evan, thank you so much for joining us. It's great to be here. Influxed since the last time we saw you at Reinvent. terms of, you know, you guys were commenting in the lead into Big data. And so it's basically a refresh of the whole database, a kilo database that uses So how does that affect where you can play in the marketplace? And you take these individual database companies like Mongo Influx, Why did you say arguably data bricks? And in some ways data bricks from the outside looking in looks a lot like Snowflake to me looks a lot Okay, thank you for that You know, so, So talk a little bit about IOx and, and what it is enabling you guys to achieve from a And the way we've designed IIS to handle what we call infinite cardinality, where you don't even have to So the unlimited cardinality, basically you could identify relationships between data And you can say, time measurement, you already have the ability to optimize pretty dramatically. So it's, it's that purpose built aspect of it. You couldn't take Postgres and do the same So yeah. And so the category is really emergent. especially with IOx. And I love this, I love this story because you know, what you guys have done, the change to IOCs, what, what are some of the key features of it and the key values in it for customers you have a self-driving car, you do that 55 times, you have a better podcast that And how, talk about how you support architecture that uses Apache Arrow Parque, which is, you know, the standard now becoming for file And you build out from it. One of the things I know that Influx data talks about is the time to awesome, which I love that, So it's got a schemaless background so you don't have to know the schema beforehand. It just happened to be that we have two Teslas and we have for a while, What would it say? Understand it be time to Awesome. Evan, thank you so much for joining David, the Great thing Haven't Well, great to have you back talking about what you guys are doing and helping organizations like Tesla and others really That's great. You for our guest and Dave Ante.
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Paul Daugherty & Jim Wilson | AWS Executive Summit 2022
(upbeat music) >> Hello, everyone. Welcome to theCUBE's coverage here at AWS re:Invent 2022. This is the Executive Summit with Accenture. I'm John Furrier, your host of theCUBE with two great guests coming on today, really talking about the future, the role of humans. Radically human is going to be the topic. Paul Daugherty, the group Chief Executive Technology and CTO at Accenture. And Jim Wilson, Global Managing Director of Thought Leadership and Technology Research, Accenture. Gentlemen, thank you for coming on theCUBE for this conversation around your new hit book, "Radically Human." >> Thanks, John. It's great to be with you and great to be present at re:Invent. >> We've been following you guys for many, many years now, over a decade. You always have the finger on the pulse. I mean, and as these waves come in, it's really important to understand impact. And more than ever, we're in this, I call it the systems thinking, revolution is going on now where things have consequences and machines are now accelerating their role. Developers are becoming the front lines of running companies, seeing a massive shift. This new technology is transforming the business and shaping our future as as humans. And so I love the book, very, very strong content, really right on point. What was the motivation for the book? And congratulations, but I noticed you got the structure, part one and part two, this book seems to be packing a big punch. What was the motivation, and what was some of the background in putting the book together? >> That's a great question, John. And I'll start, and then, Jim, my co-author and colleague and partner on the book can join in too. If you step back from the book itself, we'd written a first book called "Human + Machine", which focused a lot on artificial intelligence and talked about the potential and future of artificial intelligence to create a more human future for us with the human plus machine pairing. And then when we started working on the next book, it was the COVID era. COVID came on line as we were writing the book. And that was causing really an interesting time in technology for a lot of companies. I mean, think back to what you were doing. Once COVID hit, every company became more dependent on technology. Technology was the lifeline. And so Jim and I got interested in what the impacts of that were on companies, and what was different from the first research we had done around our first book. And what we found, which was super interesting, is that pre-pandemic, the leading companies, the digital leaders that were applying cloud data, AI, and related technologies faster, we're outperforming others by a factor of 2x. And that was before the pandemic. After the pandemic, we redid the research and the gap widened into 5x. And I think that's played a lot into our book. And we talk about that in the opening of our book. And the message there is exactly what you said is technology is not just the lifeline from the pandemic, but now technology is the heart and soul of how companies are driving innovation, how they're responding to global crises around inflation, energy, supply chain crisis because of the war in Ukraine, et cetera. And companies need the technology more than ever. And that's what we're writing about in "Radically Human." And we're taking a step beyond our previous book to talk about what we believe is next. And it's really cloud, data and AI, and the metaverse that signal out as three trends that are really driving transformative change for companies. In the first part of the book, to your question on the structure, talks about the roadmap to that. We talked about the ideas framework, five areas where you need to change your thinking, flip your assumptions on how to apply technology. And then the second part of the book talks about the differentiators that we believe are going to set companies apart as they look to implement this technology and transform their companies for the future. >> Jim, weigh in on this flipping the script, flipping the assumptions. >> You used a really important word there and that is systems. I think when we think about artificial intelligence, and when Paul and I have now talking to companies, a lot of executives think of AI as a point solution. They don't think about AI in terms of taking a systems approach. So we were trying to address that. All right, if you're going to build a roadmap, a technology roadmap for applying intelligent technologies like artificial intelligence, how do you take a holistic systematic view? And that's really the focus of the first section of the book. And then as Paul mentioned, how do you take those systems and really differentiate it using your talent, focusing on trust, experiences and sustainability? >> I like how it reads. It's almost like a masterclass book because you set the table. It's like, 'cause people right now are like in the mode of what's going on around me? I've been living through three years of COVID. We're coming out the other side. The world looks radically different. Humans are much more important. Automation's great, but people are finding out that the human's key, but people are trying to figure out where am I today. So I think the first part really to me hits home. Like, here's the current situation and then part two is here's how you can get better. And it's not just about machines, machines, machines and automation, automation, automation. We're seeing examples where the role of the human, the person in society, whether it's individually or as part of a group, are really now key assets in that kind of this new workforce or this new production system or society. >> Yeah. And just to take a couple examples from the book and highlight that, I think you're exactly right. And that's where "Radically Human", the title came from. And what's happening with technology is that technology itself is becoming more human like in its capability. When you think about the power of the transformer technologies and other things that we're reading about a lot. And the whole hypothesis or premise of the book I should say, is that the more human like the technology is, the more radically human or the more radical the human potential improvement is, the bigger the opportunity. It's pairing the two together rather than, as you said, just looking at the automation or the machine side of it. That's really the radical leap. And one thing Jim and I talked about in context of the book is companies really often haven't been radical enough in applying technology to really get to dramatic gains that they can get. Just a couple examples from the ideas framework, the I in IDEAS. The ideas framework is the first part of the book. The five areas to flip your assumptions. The I stands for intelligence and we're talking about more human and less artificial in terms of the intelligence techniques. Things like common sense learning and other techniques that allow you to develop more powerful ways of engaging people, engaging humans in the systems that we build using the kind of systems thinking that Jim mentioned. And things like emotional AI, common sense AI, new techniques in addition to machine, the big data driven machine learning techniques, which are essential to vision and solving big problems like that. So that's just an example of how you bring it together and enable that human potential. >> I love the idea, go ahead Jim. >> I was going to say we've been used to adapting to technology, and contorting our fingers to keyboards and so on for a long time. And now we're starting to see that technology is in fact beginning to adapt to us and become more natural in many instances. One point that we make is now in the human technology nexus, in fact, the human is in the ascended. That's one of the big ideas that we try to put out there in this book. >> I love the idea of flipping the script, flipping the assumptions, but ideas framework is interesting. I for intelligence, D for data, E for expertise, A for architecture, S for strategy. Notice the strategies last. Normally in the old school days, it's like, hey, strategy first and execution. Really interesting how you guys put that together. It feels like business is becoming agile and iterative and how it's going to be forming. Can you guys, I mean that's my opinion, but I think observing how developers becoming much more part of the app. I mean, if you take digital transformation to its conclusion, the application is the company, It's not a department serving the business, it is the business, therefore developers are running the business, so to speak. This is really radical. I mean, this is how I'm seeing it. What's your reaction to that? Do you see similar parallels to this transformation if you take it down to a conclusion and strategy is just what you do after you get the outcomes you need? What's your reaction to that? >> Yeah, I think one of the most lasting elements of the book might be that chapter on strategy in my opinion, because you need to think about it differently. The old way of doing strategy is dead. You can't do it the way you used to do it. And that's what we tried to lay out with the S in IDEAS, the strategy. The subtitle that chapter is we're all technology companies now. And if you're a technology driven company, the way you need to think about and every company is becoming, that's what I hear when I talk to these suites and CEOs and boards, is everybody's recognizing the essential role that technology plays and therefore they need to master technology. Well, you need to think about strategy differently then because of the pace of technology innovation. And so you need to throw out the old way of doing it. We suggest three new archetypes of how to do strategy that I think are really important. It's about continuous strategy in all cases. An example is one of the techniques we talk about, forever beta, which is, think about a Tesla or companies that it's never quite done. They're always improving and the product is designed to be connected and improving. So it changes along the product and the strategy along how you deploy it to consumers changes as you go. And that's an example of a very different approach to strategy that we believe is essential to consider as you look at the future. Yeah, those multi-month strategy sessions might play out over two or three quarters of going away. And strategy and execution are becoming almost simultaneous these days as Paul was saying. >> It's interesting because that's the trend you're seeing with more data, more automation, but the human plays a much critical role. And just aside on the Tesla example, is well documented. I think I wrote about in a post just this week that during the model three, Elon wanted full automation and had to actually go off scripts and get to humans back in charge 'cause it wasn't working properly. Now they have a balance. But that brings up to part two, which I like, which is this human piece of it. We always talk about skills gaps, there's not enough people to do this, that and the other thing. And talent was a big part of that second half, trust, talent, experiences. That's more of the person's role, either individually as part of a collective group. Is talent the scarce resource now where that's the goal, that's the key 'cause it all could point to that in a way. Skills gap points to, hey, humans are valuable. In fact the value's going up if it's properly architected. What's your reaction to that, guys? Because I think that's something that is not, kind of nuanced point, but it's a feature, not a bug maybe, I don't know. What's your thoughts? >> Yeah, go ahead Jim. >> I was going to say it, we're dramatically underestimating the amount of focus we need to put on talent. That's why we start off that second part of the book, really zooming in on talent. I think you might think that for every hundred dollars that you put into a technology initiative, you might put 50 or 75 into re-skilling initiatives to really compliment that. But what we're seeing is companies need to be much more revolutionary in their focus on talent. We saw economic analysis recently that pointed out that for every $1 you spend on technology, you are likely going to need to spend about $9 on intangible human capital. That means on talent, on getting the best talent, on re-skilling and on changing processes and work tasks. So there's a lot of work that needs to be done. Really that's human focus. It's not just about adopting the technology. Certainly the technology's critical, but we're underestimating the amount of focus that needs to go into the talent factors. >> That's a huge point. >> And I think some of the elements of talent that become really critical that we talked about in the book are becoming a talent creator. We believe the successful companies of the future are going to be able not just to post a job opening and hire people in because there's not going to be enough. And a lot of the jobs that companies are creating don't exist 'cause the technology changing so fast. So the companies that succeed are going to know how to create talent, bring in people, apprentices and such, and shape to tale as they go. We're doing a significant amount of that in our own company. They're going to be learning based organizations where you'll differentiate, you'll get the best employees if you provide better learning environments because that's what employees want. And then democratizing access to technology. Things like Amazon's Honeycode is an example, low-code/no-code development to spread development to wider pools of people. Those types of things are really critical going forward to really unlock the talent potential. And really what you end up with is, yeah, the human talent's important, but it's magnified and multiplied by the power of people, giving them in essence superpowers in using technology in new ways. >> I think you nailed it, that's super important. That point about the force multiplier when you put things in combination, whether it's group constructs, two pizza teams flexing, leveraging the talent. I mean, this is a new configuration. You guys are nailing it there. I love that piece. And I think groups and collectives you're going to start to see a lot more of that. But again, with talent comes trust when you start to have these ephemeral and or forming groups that are forming production systems or experiences. So trust comes up a lot. You guys see the metaverse as an important part there. Obviously metaverse is a pretext to the virtual world where we're going to start to create these group experiences and create new force multipliers. How does the metaverse play into this new radically human world, and what does it mean for the future of business? >> Yeah, I think the metaverse is radically misunderstood to use the word title when we're not with the title of our book. And we believe that the metaverse does have real big potential, massive potential, and I think it'll transform the way we think about digital more so than we've changed our thinking on digital in the last 10 years. So that's the potential of the metaverse. And it's not just about the consumer things, it's about metaverse and the enterprise. It's about the new products you create using distributed ledger and other technologies. And it's about the industrial metaverse of how you bring digital twins and augmented workers online in different ways. And so I believe that it has tremendous potential. We write about that in the book and it really takes radically human to another level. And one way to think about this is cloud is really becoming the operating system of business. You have to build your enterprise around the cloud as you go forward. That's going to shape the way you do business. AI becomes the insight and intelligence in how you work, infused with the human talent and such as we said. And the metaverse then reshapes the experience layers. So you have cloud, AI building on top of this metaverse providing a new way to generate experiences for employees, citizens, consumers, et cetera. And that's the way it unfolds, but trust becomes more important because just as AI raises new questions around trust, every technology raises new questions around trust. The metaverse raises a whole new set of questions. And in the book we outline a five-part framework or five essential parts of the framework around how you establish trust as you implement these new technologies. >> Yeah, we're seeing that about three quarters of companies are really trying to figure out trust, certainly with issues like the metaverse more broadly across their IT so they're focusing on security and privacy, transparency, especially when you're talking about AI systems, explainability. One of the more surprising things that we learned when doing the book, when we were doing the research is that we saw that increasingly consumers and employees want systems to be informed by a sense of humanity. So one company that we've been looking at that's been developing autonomous vehicles, self-driving car systems, they're actually training the system by emulating human behavior. So turning the cameras on test drivers to see how they learn and then training the AI using that sense of humanity 'cause other drivers on the road find human behavior more trustworthy. And similarly, that system is also using explainable AI to actually show which human behaviors that AI system is learning from. Some really interesting innovations happening in that trust space. John. >> Jim, I think you bring up a great point that's worth talking more about. Because you're talking about how human behaviors are being put into the design of new things like machines or software. And we're living in this era of cloud scale, which is compressing this transformation timeline and we've been calling it supercloud, some call it multi-cloud, but it's really a new thing happening where you're seeing an acceleration of the transformation. We think it's going to happen much faster in the next five to 10 years. And so that means these new things are emerging, not just, hey, I'm running a virtual event with chat and some video. It's group behavior, it's groups convening, talking, getting things done, debating, doing things differently. And so this idea of humans informing design decisions or software with low-code/no-code, this completely changes strategy. I mean this is a big point of the book. >> Yeah, no, I go back to one of the, the E in the IDEAS framework is expertise. And we talk about from machine learning to machine teaching, which is exactly that. Machine learning is maybe humans tag data and stuff and feed into algorithms. Machine teaching is how do you really leverage the human expertise in the systems that you develop with AI. One of the examples we give is one of the large consumer platforms that uses human designers to give the system a sense of aesthetic design and product design. A very difficult thing, especially with changing fashion interest and everything else to encode in algorithms and to even have AI do, even if you have fast amounts of data, but with the right human insight and human expertise injected in, you can create amazing new capability that responds to consumers in a much more powerful way. And that's an example of what you just said, John, bringing the two together. >> Well, yeah, it's interesting. I want to to get your thoughts as we get wrap up here soon. How do you apply all these human-centric technologies to the future of business? As you guys talk to leaders in the enterprise of their businesses, as they look at the horizon, they see the the future. They got to start thinking about things like generative AI and how they can bring some of these technologies to the table. We were talking about if open source continues to grow the way it's going, there might not be any code to write, it just writes itself at some point. So you got supply chain issues with security. These are new things you guys are hitting in the book where these are new dynamics, new power dynamics in how things get built. So if you're a business owner and leader, this is a new opportunity, a challenge certainly that is an opportunity. How do you apply all this stuff for business? >> I'll go first then Jim can add in. But the first thing I think starts with recognizing the role that technology does play and investing accordingly in it. So the right technology talent, rethinking the way you do strategy as we talked about earlier and recognizing how you need to build a foundation. That's why the fact you're at re:Invent is so important because companies are, again, rebuilding that operating system of their business in the cloud. And you need that as the foundation to go forward, to do, to build the other types of capabilities. And then I think it's developing those talent systems as well. Do you have the right talent brand? Are you attracting the right employees? Are you developing them in the right way so that you have the right future talent going forward? And then you marry the two together and that's what gives you the radically human formula. >> Yeah. When we were developing that first part of the book, Paul and I did quite a bit of research, and Paul kind of alluded to that research earlier, but one of the things that we saw in really the first year of the pandemic was that there was a lot of first time adoption of intelligent technologies like artificial intelligence. One statistic is that 70% of companies that had never tried AI before went ahead and tried it during the pandemic. So first time adoption rates were way up, but the thing is companies were not trying to do it themselves and to necessarily build an AI department. They were partnering and it's really important to find a partner, often a cloud partner as a way to get started, start small scale, and then scale up doing experiments. So that was one of the key insights that we had. You don't need to do it all yourself. >> If you see the transformation of just AWS, we're here at re:Invent, since we've been covering the events since 2013, every year there's been a thematic thing. It was startups, enterprise, now builders, and now change your company. This year it's continuing that same thing where you're starting to see new things happen. It's not just lift and shift and running a SaaS application on the cloud. People are are changing and refactoring and replatforming categorical applications in for this new era. And we're calling it supercloud, superservices, superapps, 'cause they're different. They're doing different things in leveraging large scale CapEx, large scale talent pools, or talent pools in certain ways. So this is real, something's happening here and we've been talking about it a lot lately. So I have to ask you guys, how does a company know if they're radical enough? Like what is radical? How can I put a pin in that? It's like take a temperature or we like radical enough, what some tell signs can you guys share for companies that are really leaning into this new next inflection point because there are new things happening? How do you know if you're you're pushing the envelope radical enough to take advantage? >> Yeah, I think one. >> You can go ahead, Paul. >> Yeah, I was going to say one of the tests is the impact on your business. You have to start by looking at all this in the context of your business, and is it really taking you to another level? You said it perfectly, John, it used to be we used to talk about migration and workloads to the cloud and things like that. That's still something you need to do. But now our focus with a lot of our customers is on how do you innovate and grow your business in the cloud? What's the platform that you're using for your new digital products and services you're offering to your consumers. I mean it is the business and I think that's the test whether you're being radical enough is on the one hand, are you really using the technology to drive differentiation and real growth and change in your business? And are you equipping people, your human talent with the capabilities they need to perform in very different ways? And those are the two tests that I would give. >> Totally agree. >> Interesting enough, we love this topic and you guys, again, the book is spot on. Very packs of big punch on content, but very relevant in today. And I think one of the things we're looking at is that people who do things differently take advantage of some of these radical approaches like IDEAS, your framework, and understand where they are and what's available and what's coming around the corner. They stand out in the pack or create new business opportunities because the CapEx is taken care of. Now you got your cloud, I mean you're building clouds on top of clouds or something's happening. I think you see it, look at like companies like Snowflake, it's a data warehouse on the cloud. What does that mean? They didn't build a cloud, they used Amazon. So you're starting to see these new things pop up. >> Yeah and that's a good example. And it sounds like a simple thing, data warehouse in the cloud, but the new business capability that a technology like that allows and the portability of being able to connect and use data across cloud environments and such is tremendously powerful. And I think that's why, you talk about companies doing things differently, that's why it's great, again, that you're at re:Invent. If you look at the index of our book, you'll see AWS mentioned a number of times 'cause we tell a lot of customer company stories about how they're leveraging AWS capabilities in cloud and AI to really do transformative things in their business. And I think that's what it's all about. >> Yeah, and one of the things too in the book, it's great 'cause it has the systems thinking, it's got really relevant information, but you guys have seen the movie before. I think one of the wild cards in this era is global. We're global economy, you've got regions, you've got data sovereignty, you're seeing all kinds of new things emerging. Thoughts on the global impact 'cause you take your book and you overlay that to business, like you got to operate all over the world as a human issue, as a geography issue. What's your guys take on the global impact? >> Well that's why you got to think about cloud as one technology. We talked about in the book and cloud is, I think a lot of people think, well, clouds, it's almost old news. Maybe it's been around for a while. As you said, you've been going to re:Invent since 2013. Cloud is really just getting started. And it's 'cause the reasons you said, when you look at what you need to do around sovereign cloud capability if you're in Europe. For many companies it's about multi-cloud capabilities that you need to deploy differently in different regions. And they need to, in some cases for good reason, they have hybrid cloud capability that they match on their own. And then there's the edge capability which comes into play in different ways. And so the architecture becomes very complex and we talk the A in IDEAS is architecture. We talk about all this and how you need to move from the old conception of architecture, which was more static and just modularity was the key thing you thought about. It's more the idea of a living system, of living architecture that's expanding and is what's much more dynamic. And I think that's the way you need to think about it as you manage in a global environment today with the pace of technology advancement. >> Yeah, the innovation is here. It's not stopping. How do you create some defacto standards while not stunting the innovation is going to be a big discussion as these new flipped assumptions start to generate more activity. It's going to be very interesting to watch. Gentlemen, thank you so much for spending the time here on theCUBE as we break down your new book, "Radically Human" and how business leads can flip the script on their business assumptions and put ideas and access to work. This is a big part of the cloud show at re:Invent. Thanks so much for sharing and congratulations on a great book. >> Thanks, John. And just one point I'd add is that one of the things we do talk about in talent is the need to reskill talent. People who need to be relevant in the rapidly changing future. And that's one area where I think we all as institutions, as communities and individuals need to do more is to help those that need to reskilling. And the final point I mentioned is that we've mentioned at the end of the book that all proceeds from the book are being donated to NGOs and nonprofits that are focused on reskilling those who need a skill refresh in light of the radically human change in technology that's happening. >> Great. Buy the book. Proceeds go to a great cause and it's a very relevant book. If you're in the middle of this big wave that's coming. this is a great book. There's a guidepost and also give you some great ideas to reset, reflip the scripts, refactor, replatform. Guys, thanks for coming on and sharing. I really appreciate it. Again, congratulations. >> Thanks, John. >> Thanks, John. Great discussion. >> You're watching theCUBE here covering the executive forum here at AWS re:Invent '22. I'm John Furrier, you're host with Accenture. Thanks for watching. (gentle music)
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Paul Daugherty & Jim Wilson | AWS Executive Summit 2022
>>Hello and welcome to the Cube's coverage here at AWS Reinvent 2022. This is the Executive Summit with Accenture. I'm John Furry, your host of the Cube at two great guests coming on today, really talking about the future, the role of humans. Radically human is gonna be the topic. Paul Dardy, the group Chief Executive Technology and CTO at Accenture. And Jim Wilson, global managing director of thought Leadership and Technology research. Accenture. Gentlemen, thank you for coming on the cube for this conversation around your new hit book. Radically human. >>Thanks, John. It's great to, great to be with you and great, great to be present at reinvent. >>You know, we've been following you guys for many, many years now, over a decade. You always have the finger on the pulse. I mean, and as these waves come in, it's really important to understand impact. And more than ever, we're kind of in this, I call it the systems thinking, revolutions going on now where things have consequences and, and machines are now accelerating their role. Developers are becoming the front lines of running companies, seeing a massive shift. This new technology is transforming the business and shaping our future as, as humans. And so I love the book. Very, very strong content, really. Right on point. What was the motivation for the book? And congratulations. But, you know, I noticed you got the, the structure part one and part two, This book seems to be packing a big punch. What's, what was the motivation and, and what was some of the background in, in putting the book together? >>That's a great question, John, and I'll start, and then, you know, Jim, my co-author and, and part colleague and partner on this, on the book and join in too. You know, the, if you step back from the book itself, we'd written a first book called, you know, Human Plus Machine, which talked about the, you know, focused a lot on artificial intelligence and talked about the potential and future of artificial intelligence to create a more human future for us with the Human plus machine pairing. And then, you know, when we started, you know, working on the next book, Covid was, you know, it was kinda the Covid era. Covid came online as, as we were writing the book. And, but that was causing really an interesting time in technology for a lot of companies. I mean, think back to what you were doing, you know, once Covid hit, every company became more dependent on technology. >>Technology was the lifeline. And so Jim and I got interested in what the impacts of that were on companies ba, you know, and what was different from the first, you know, research we had done around our first book. And what we found, which was super interesting, is that, is that, you know, pre pandemic, the, the leading companies, the digital leaders that were applying cloud data, AI, and related technologies faster, we're outperforming others by a factor of two x. And that was before the pandemic. After the pandemic. We redid the research and the gap widen into five x. And I think that's, and, and that's kind of played a lot into our book. And we talk about that in the opening of our book. And the message message there is exactly what you said is technology is not just the lifeline, you know, from the pandemic, but now technology is the heart and soul of how companies are driving innovation, how they're responding to global crises around, you know, inflation energy, supply chain crisis because of the war in Ukraine, et cetera. >>And companies need the technology more than ever. And that's what we're writing about in, in Radically Human. And we're taking a step beyond our previous book to talk about what we believe is next. And it's really cloud data and ai and the metaverse that signal out is three trends that are really driving transformative change for companies. And the first part of the book, to your question on the structure, talks about the roadmap to that. We talked about the ideas framework, five areas where you need to change your thinking, flip your assumptions on how to apply technology. And then the second part of the book talks about the differentiators that we believe are gonna set companies apart as they look to, you know, to implement this technology and transform their companies for the future. >>Jim, weigh in on this. Flipping the script, flipping the assumptions. No, >>You, you, you used a really important word there, and that is systems. I think when we think about artificial intelligence, and when Paul and I have now talking to companies, a lot of executives think of AI as kind of a point solution. They don't think of about AI in terms of taking a systems approach. So we were trying to address that, all right, if you're gonna build a roadmap, a technology roadmap for applying intelligent technologies like artificial intelligence, how do you take a holistic systematic view? And that's really the, the focus of the first section of the book. And then as Paul mentioned, how do you take those systems and really differentiate using your talent, focusing on trust, experiences and sustainability. >>You know, I like this, I like how it reads. It's almost like a masterclass book because you kind of set the table. It's like, cuz people right now are like in the mode of, you know, what's going on around me. I'm been living through three years of covid. But coming out the other side, the world looks radically different. Humans are much more important. Automation's great, but people are finding out that the human's key, but people are trying to figure out where I am, where am I today. So I think the first part really to me hits home, like, here's the current situation and then part two is, here's how you can get better. And it's not just about machines, machines, machines and automation, automation, automation. We're seeing examples where the role of the human, the person in society, whether it's individually or as part of a group, are really now key assets in that kind of this new workforce or this new production system or you know, society. >>Yeah. And just to take a couple examples from the book and highlight that, I think you're exactly right. And that's where, you know, radically human, you know, the title came from. And you know, the, what's happening with technology is that technology itself is becoming more human like in its capability. When you think about the power of the transformer technologies and other things that we're reading about a lot and, and that, you know, the whole hypothesis, you know, or premise of the book I should say, is that the more humanlike the technology is, the more radically human or the more radical the, you know, the, the the, the human potential improvement is the more, the bigger the opportunity. It's pairing the two together rather than, as you said, just looking at the automation or the machine side of it. That's really the radical leap. And one thing Jim and I, you know, talk about, you know, talked about, you know, talked about in context of the book is companies really often haven't been radical enough in applying technology to really get to dramatic gains that they can get. >>Just a couple examples from the ideas framework, the eye and ideas is each of the, the ideas framework is the first part of the book, The five areas to flip your Assumptions, The eye stands for intelligence. And we're talking about more, more human and less artificial in terms of the intelligence techniques, things like common sense learning and other techniques that allow you to develop more powerful ways of engaging people, engaging humans in the systems that we build, using the kind of systems thinking that Jim mentioned. And you know, things like emotional ai, common sense ai, new techniques in addition to machine the big data driven machine learning techniques which are essential to vision and solving big problems like that. So that's, that's just an example of, you know, how you bring it together and enable that human potential. >>I love the, we've been, >>We've >>Go ahead Jim. >>I was gonna say we've been used to adapting to technology, you know, and you know, contorting our fingers to keyboards and and so on for a long time. And now we're starting to see that technology is in fact beginning to adapt to us and become more natural in many instances. One point that we make is now in the human technology nexus. In fact, the human is in the ascended. That's one of the, one of the big ideas that we try to put out there in this book. >>You know, I love the idea of flipping the script, flicking assumptions, but, but ideas framework is interesting. I for intelligence, D for data, E for expertise, A for architecture, s for strategy, notice the strategies last. Normally in the old school days, it's like, hey, strategy first and execution really kind of interesting kind of how you guys put that together. It kind of feels like business is becoming agile and iterative and it's how it's gonna be forming. Can you guys, I mean that's my opinion, but I think, you know, observing how developers becoming much more part of, of the app. I mean, if you take digital transformation to its conclusion, the application is the company, It's not a department serving the business, it is the business, therefore developers are running the business, so to speak. This is really radical. I mean, this is kind of how I'm seeing it. What's your reaction to that? Do you see similar parallels to this transformation? If you take it down to a conclusion, strategy is just what you do after you get the outcomes you need. Is that, can you, what's your reaction to that? >>Yeah, yeah, I think, I think one of the most lasting elements of the book might be that chapter on strategy in, in my opinion, because you need to think about it differently. The old, old way of doing strategy is dead. You can't do it the way you used to do it. And that's what we tried to, you know, to lay out with the, the essence ideas, you know, the strategy and the, the, the fun. You know, the, the subtitle that chapter is is we're all technology companies now. And if you're a technology driven company, the way you need to think about and every company is becoming, That's what I hear when I talk to these suites and CEOs and boards, is everybody's recognizing the essential world that technology plays and therefore they need to, to master technology, well, you need to think about strategy differently than because of the pace of technology innovation. >>And so you need to throw out the old way of doing it. We suggest three new archetypes of how to do strategy that I think are really report it's about continuous strategy in all cases. Yet an example is one of the techniques we talk about forever beta, which is, you know, think about a Tesla, you know, companies that, you know, it's never quite done. They're always improving and the product is designed to be connected and improving. So it changes along, you know, the product and the strategy along how you deploy it to consumers changes as you go. And that's an example of a very different approach to strategy that we, we believe is essential to consider as you look at the future. Yeah, those multi-month strategy sessions, you know, might play out over two or three quarters of going away. And strategy and execution are becoming almost simultaneous these days. As Paul was saying, >>It's interesting because that's the kind of the trend you're seeing with more data, more automation. But the human plays a much critical role. And, and just as a side on the Tesla example, you know, is well documented, I think I wrote about in a post just this week that during the model three Elon wanted full automation and had to actually go off script and get to humans back in charge cuz it wasn't working properly. Now they have a balance. But that brings up the, the part two, which I like, which is, you know, this human piece of it, you know, we always talk about skills gaps, there's not enough people to do this, that and the other thing. And talent was a big part of that, that second half, you know, trust, talent experiences, that's the more the person's role, either individually as part of a collective group is talent. The scarce resource now where that's the, that's the goal, that's the, the key because I mean, it all could point to that in a way, you know, skills gap kind of points to, hey, you know, humans are valuable, in fact the value's going up if it's properly architected. What's your reaction to that, guys? Because I think, you know, that's something that is not kind of nuance point, but it's a feature, not a bug maybe, I don't know. What's your thoughts? >>Yeah, it's, go ahead Jim. I was gonna say it, you know, we're, we're dramatically underestimating the amount of focus we need to put on talent. That's why we start off that second part of the book. You know, really zooming in on talent. I think, you know, you might think that for every, you know, a hundred dollars that you put into a technology initiative, you know, you might put 50 or 75 into reskilling initiatives to really compliment that. But what we're seeing is companies need to be much more revolutionary in their focus on talent. We saw a, a economic analysis recently that pointed out that for every $1 you spend on technology, you are likely gonna need to spend about $9 on intangible human capital. That means, you know, on talent, on, on getting the best talent on reskilling and on changing processes and work tasks. So there's a lot of work that needs to be done. Really that's human focus. It's not just about adopting the technology. Certainly the technology's critical, but we're underestimating the amount of focus that needs to go into the talent factors. >>That's a huge point. >>I think some of the elements of talent that become really critical that we, we talked about in the book are, are becoming a talent creator. We believe that the successful companies of the future are gonna be able not, not just to post, you know, post a job opening and hire, hire people in because there's not gonna be enough. And a lot of the jobs that companies are creating don't exist, you know, cause the technology changing so fast. So companies that succeed are gonna know how to create talent, bring in people, apprentices and such and, and, and, you know, shape to tail as they go. We're doing a significant amount of that in our own company. They're gonna be learning based organizations where you'll differentiate, you'll get the best employees if you provide better learning environments because that's what you know, employees want. And then democratizing access to technology, You know, things like, you know, Amazon's honey code is an example, you know, low code, no code development to spread, you know, development to wider pools of people. Those types of things are really critical, you know, going forward to really unlock the talent potential. And really what you end up with is, yeah, the, the human talent's important, but it's magnified to multiplied by the power of people, you know, giving them in essence superpowers in using technology in new >>Ways. I think you nailed it, That's super important. That point about the force multiplier, when you put things in combination with it's group constructs, two pizza teams, flexing, leveraging the talent. I mean, this is kind of a new configuration. You guys are nailing it there. I love that piece. And I think, you know, groups and collectives, you're gonna start to see a lot more of that. But again, with talent comes trust when you start to have these kind of, you know, ephemeral and or forming groups that are forming production systems or, or, or experiences. So trust comes up a lot. You guys see the metaverse as an important part there. Obviously Metaverse is a pretext to the virtual world where we're gonna start to create these group experiences and create new force multipliers. How does the Metaverse play into this new radically human world and and what does it mean for the future of business? >>Yeah, I think the Metaverse is radically, you know, kind of misunderstood to use the word title, word of a, when we're not with the title of our book, you know, and we believe that the metaverse does have real big potential, massive potential, and I think it'll transform the way we think about digital more so than we've changed our thinking on digital in the last 10 years. So, you know, that that's the potential of the metaverse. And it's about, it's not just about the consumer things, it's about metaverse in the enterprise. It's about the new products you create using distributed ledger and other technologies. And it's about the industrial metaverse of how you bring digital twins and augmented workers online in different ways. And so I, I believe you know that it is, has tremendous potential. We write about that in the book and it really takes radically human to another level. >>And one way to think about this is cloud is really becoming the operating system of business. You, you have to build your enterprise around the cloud as you go forward that's gonna shape the way you do business. AI becomes the insight and intelligence in how you work, you know, in infused with, you know, the human talent and such as we said. And the metaverse then reshapes the experience layers. You have cloud AI building on top of this metaverse providing a new way to, to generate experiences for, for employees, citizens, consumers, et cetera. And that's the way it unfolds. But trust becomes more important because the, just as AI raises new questions around trust, you know, every technology raises new questions around trust. The metaverse raises a whole new set of questions. And in the book we outline a five part framework or or five, you know, essential, you know, parts of the framework around how you establish trust as you implement these new technologies. >>Yeah, we're seeing that, you know, about three quarters of companies are really trying to figure out trust, you know, certainly with issues like the metaverse more broadly across their it, so they're, you know, they're focusing on security and privacy transparency, especially when you're talking about AI systems. Explainability. One of the, you know, the more surprising things that we learned when doing the book, when we're doing the research is that we saw that increasingly consumers and employees want systems to be informed by kind of a sense of humanity. So one company that we've been looking at that's been developing autonomous vehicles, self-driving car systems, the, they're, they're actually training the system by emulating human behavior. So kind of turning the cameras on test drivers to see how they learn and then training the AI kind of using that sense of humanity cuz you know, the other drivers on the road find human behavior more trustworthy. And similarly, that system is also using explainable AI to actually show which human behaviors that that AI system is learning from or some really interesting innovations kind of happening in that trust space. John, >>Jim, I think you bring up a great point that's worth talking more about because you know, you're talking about how human behaviors are being put into the, the design of new things like machines or software. And we're living in this era of cloud scale, which is compressing this transformation timeline and you know, we've been calling it super cloud, some call it multicloud, but it's really a new thing happening where you're seeing an acceleration of the transformation. We think it's gonna happen much faster in the next five to 10 years. And so that means these new things are emerging, not just, hey, I'm running a virtual event with Chad and some video, you know, it's, it's group behavior, it's group con groups, convening, talking, getting things done, you know, debating doing things differently. And so this idea of humans informing design decisions or software with low code no code, this completely changes strategy. I mean this is a big point of the book. >>Yeah, no, I go back to, you know, one of the, the, the, the e and the ideas frameworks is expertise. And we talk about, you know, from machine learning to machine teaching, which, which is exactly that, you know, it's, you know, machine learning is, you know, maybe humans tag data and stuff and feed into algorithms. Machine teaching is how do you really leverage the human expertise in the systems that you develop with ai? One of the examples we give is one of the, the large consumer platforms that uses human designers to give the system a sense of aesthetic design and product design. A very difficult thing, especially with changing fashion interest and everything else to code in algorithms and to even have AI do, even if you have fast amounts of data, but with the right human insight and human expertise injected in, you can create, you know, amazing new capability that responds to consumers in a much more powerful way. And that's an example of what you just said, John, bringing the two together. >>Well you, what's interesting is that I wanna to get your thoughts as we can wrap up here soon. How do you apply all these human-centric technologies to the future of business? As you guys talk to leaders in, in the enterprise of their businesses, as they look at the horizon, they see the, the future, they gotta start thinking about things like generative AI and how they can bring some of these technologies to the table where, you know, we were, we were talking about if open source continues to grow the way it's going, there might not be any code to write, it just writes itself at some point. So you got supply chain issues with security. These are, these are new things you guys are hitting on this in the book where these are new dynamics, new power dynamics in how things get built. So if you're a business owner and leader, this is a new opportunity, a challenge, certainly that is an opportunity. How, how do you apply all this stuff for, for business >>Now? I'll go first then Jim Canad. But the, the first thing I think starts with, with recognizing the role that technology does play and investing accordingly in it. So the right, you know, technology, talent, you know, rethinking the way you do strategy as we talked about earlier and recognizing how you need to build a foundation. That's why, you know, the fact you're at reinvent is so important because companies are, you know, again rebuilding that, that operating system of their business in the cloud. And you need that, you know, as the foundation to go forward, to do, you know, to, to build the other, other types of capabilities. And then I think it's developing those talent systems as well. You know, do you, do you have the right the, do you have the right talent brand? Are you attacking the right, attracting the right employees? Are you developing them in the right way so that you have the right future talent going forward and then you marry the two together and that's what, you know, gives you the radically human formula. >>Yeah. When, you know, when we were developing that first part of the book, Paul and I did quite a bit of, of research, and this was ju and Paul kind of alluded to that research earlier, but one of the things that we saw in really the first year of the pandemic was that there was a lot of first time adoption of intelligent technologies like artificial intelligence. You know, one statistic is that 70% of, there was a, there was a of companies that had never tried AI before, went ahead and tried it during the pandemic. So first time adoption rates were way up, but the thing is companies are not, or we're not trying to do it themselves and to, you know, to necessarily, you know, build an it, a AI department. They were partnering and it's really important to, to find a partner, often a cloud partner as a way to get started, start small scale and then scale up doing experiments. So that was one of the, that was one of the key insights that we had. You don't need to do it all yourself. >>If you see the transformation of just aws, we're here at reinvent just since we've been covering the events since 2013, every year there's been kind of a thematic thing. It was, you know, startups, enterprise now builders and now, now change your company this year it's continuing that same thing where you're starting to see new things happen. It's not just lift and shift and, and running a SaaS application on the cloud. People are are changing and refactoring and replatforming, categorical applications in for this new era. And you know, we're calling it super cloud super services, super apps cuz they're different. They're doing different things in leveraging large scale CapEx, large scale talent pools or talent pools in certain ways. So this is real, something's happening here and you know, we've been talking about a lot lately, so I have to ask you guys, how does a company know if they're radical enough? Like when, what is radical? How do, how can I put a pin in that say that could take a temperature or we like radical enough what some tell signs can you guys share for companies that are really leaning into this new next inflection point because there are new things happening. How do you know if you're, you're you're pushing the envelope radical enough to, to take advantage? >>Yeah, I think one, yeah, I was gonna say one of the, one of the tests is is you know, the impact on your business. You have to start by looking at all this in the context of your business and is it really taking you to another level? You said it perfectly, John, it used to be we used to talk about migration and workloads to the cloud and things like that. Yeah. That that's still something you need to do. But now we, our focus, you know, with a lot of our customers is on how do you innovate and grow your business in the cloud? What's, what is, you know, how, how, what's the platform you know, that you're using to, you know, for your, the new digital products and services you're offering to your consumers. I mean it is the business and I think that's the test. Whether being radical, you know, radical enough is on the one hand, is this really, are you really using the technology to drive differentiation and real growth and change in your business? And are you equipping, you know, people, your human talent with the capabilities they need to perform in very different ways? And those are the the two tests that I would give. Totally agree. >>Yeah. You know, interesting enough, we, you know, we, we love this topic and guys, again, the book is spot on. Very packs a big punch on content, but very relevant in today. And I think, you know, one of the things we're looking at is that people who do things differently take advantage of some of these radical approaches like ideas your framework and understand where they are and what's available and what's coming around the corner. They stand out in the, in the pack or create new business opportunities because the CapEx is taken care of. Now you got your cloud, I mean some, you're building clouds on top of clouds or, or something's happening. You can, I think you see it like look at like companies like Snowflake, it's a data warehouse on the cloud. What does that mean? They didn't build a cloud, they used Amazon. So you're starting to see these new things pop up. >>Yeah, and that's a good example and it sounds like a simple thing, data warehouse in the cloud, but the new business capability that a technology like that allows the portability of being able to connect and use data across cloud environments and such is, is, is is tremendously powerful. And I think that's why, you know, you talk about companies doing things differently, that's why it's great again that you're at reinvents. If you look at the index of our book, you'll see, you'll see AWS mentioned a number of times cuz we tell a lot of cus of cus customer and company stories about how they're leveraging aws, AWS capabilities in cloud and AI to really do transformative things in your, in their business. And I, I think that's what it's, that's what it's all about. >>Yeah, and one of the things too in the book, it's great cuz it has kind of a, the systems thinking it's got really relevant information but you know, you guys have seen the, seen the movie before. I think one of the wild cards in this era is global. You know, we're global economy, you've got regions, you've got data sovereignty, you're seeing, you know, all kinds of new things, emerging thoughts on the global impact cuz you, you take your book and you overlay that to business. Like you gotta, you gotta operate all over the world as a human issue. It's a geography issue. What's your guys take on the global impact? >>Well that's, that's why the, the, you gotta think about cloud as as one technology, you know, we talked about in the book and cloud is a lot, I think a lot of people think, well clouds it's almost old news. Maybe it's been around for a while. As you said, you've been going to reinvent since 2013. You know, cloud is really just getting, you know, just getting started. And, and it's cuz the reasons you said, when you look at what you need to do around sovereign cloud capability, if you're in Europe for many companies it's about multi-cloud capabilities. You need to deploy, you know, differently in different, in different regions. And they need to, in some cases for good reason, they have hybrid, hybrid cloud, you know, capability that they, they match on their own. And then there's the edge capability which is comes into play in, in different ways. >>And, and so the architecture becomes very complex and we talk the A in and ideas is architecture. We talk about all this and how you need to move from the old conception of architecture, which was more static and mod and you know, just modularity was kind of the key thing you thought about. It's more the idea of a living system, of living architecture that's, that's expanding and is what's much more dynamic. And I think that's the way you need to think about it as you manage in a global environment today with the, with the pace of technology advancement. >>You know, the innovation is here. It's not stopping. How do you create some defacto standards while not stunting the innovation is gonna be a big discussion as these new flipped assumptions start to generate more activity. It's gonna be very interesting to watch. Gentlemen, thank you so much for spending the time here on the queue as we break down your new book, Radically Human and how it, how business leads can flip the script on their business assumptions and put ideas and access to work. This is a big part of the cloud show at reinvent. Thanks so much for, for sharing and congratulations on a great book. >>You know, Thanks John. And just one point I'd add is that one of the, the things we do talk about in talent is the need to reskill talent. You know, people who need to, you know, be, be relevant to the rapidly changing future. And that's one area where I think we all as institutions, as communities and individuals need to do more is to help those who need to reskilling. And the final point I mentioned is that we mentioned at the end of the book that all proceeds for the book are being donated to not NGOs and nonprofits that are focused on reskilling. Those who need a skill refresh in light of the radically human new, you know, change in technology that's happening >>Great by the book proceeds go to a great cause and it's a very relevant book if you're in the middle of this big way that's coming. This is a great book. There's a guidepost and also give you some great ideas to, to reset re flip the scripts. Refactor, re-platform. Guys, thanks for coming on and sharing, really appreciate it. Again, congratulations. >>Thanks, John. John, great discussion. >>Okay, you're watching the Cube here, covering the executive forum here at AWS Reinvent 22. I'm John Furrier, your host with aen. Thanks for watching.
SUMMARY :
Gentlemen, thank you for coming on the cube for this conversation around your new hit book. But, you know, I noticed you got the, the structure part one and part two, This book seems to be packing And then, you know, when we started, you know, working on the next book, And the message message there is exactly what you said is technology is not just the lifeline, We talked about the ideas framework, five areas where you need Flipping the script, flipping the assumptions. And then as Paul mentioned, how do you take those systems and really It's like, cuz people right now are like in the mode of, you know, what's going on around me. And that's where, you know, radically human, you know, the title came from. And you know, things like emotional ai, common sense ai, new techniques in addition you know, and you know, contorting our fingers to keyboards and and so on for a If you take it down to a conclusion, strategy is just what you do after you get the outcomes And that's what we tried to, you know, to lay out with the, the essence ideas, of the techniques we talk about forever beta, which is, you know, think about a Tesla, which I like, which is, you know, this human piece of it, you know, we always talk about skills gaps, I was gonna say it, you know, we're, we're dramatically underestimating And a lot of the jobs that companies are creating don't exist, you know, cause the technology changing so fast. And I think, you know, And it's about the industrial metaverse of how you bring digital twins and augmented workers online or or five, you know, essential, you know, parts of the framework around how you establish trust as to figure out trust, you know, certainly with issues like the metaverse more broadly across their convening, talking, getting things done, you know, debating doing things differently. And we talk about, you know, from machine learning to machine teaching, the table where, you know, we were, we were talking about if open source continues to grow the way it's going, So the right, you know, technology, talent, you know, rethinking the way you do strategy as we talked about not, or we're not trying to do it themselves and to, you know, to necessarily, And you know, one of the tests is is you know, the impact on your business. And I think, you know, one of the things we're looking at is that people who do things differently take advantage of some of these radical And I think that's why, you know, you talk about companies doing things differently, that's why it's great again the systems thinking it's got really relevant information but you know, the reasons you said, when you look at what you need to do around sovereign cloud capability, And I think that's the way you need to think about it as you manage in a global environment Gentlemen, thank you so much for spending the time here on the queue as we break down your new book, you know, be, be relevant to the rapidly changing future. There's a guidepost and also give you some great ideas I'm John Furrier, your host with aen.
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Show Wrap | KubeCon + CloudNativeCon NA 2022
(bright upbeat music) >> Greetings, brilliant community and thank you so much for tuning in to theCUBE here for the last three days where we've been live from Detroit, Michigan. I've had the pleasure of spending this week with Lisa Martin and John Furrier. Thank you both so much for hanging out, for inviting me into the CUBE family. It's our first show together, it's been wonderful. >> Thank you. >> You nailed it. >> Oh thanks, sweetheart. >> Great job. Great job team, well done. Free wall to wall coverage, it's what we do. We stay till everyone else-- >> Savannah: 100 percent. >> Everyone else leaves, till they pull the plug. >> Lisa: Till they turn the lights out. We're still there. >> Literally. >> Literally last night. >> Still broadcasting. >> Whatever takes to get the stories and get 'em out there at scale. >> Yeah. >> Great time. >> 33. 33 different segments too. Very impressive. John, I'm curious, you're a trend watcher and you've been at every single KubeCon. >> Yep. >> What are the trends this year? Give us the breakdown. >> I think CNCF does this, it's a hard job to balance all the stakeholders. So one, congratulations to the CNCF for another great KubeCon and CloudNativeCon. It is really hard to balance bringing in the experts who, as time goes by, seven years we've been all of, as you said, you get experts, you get seniority, and people who can be mentors, 60% new people. You have vendors who are sponsoring and there's always people complaining and bitching and moaning. They want this, they want that. It's always hard and they always do a good job of balancing it. We're lucky that we get to scale the stories with CUBE and that's been great. We had some great stories here, but it's a great community and again, they're inclusive. As I've said before, we've talked about it. This year though is an inflection point in my opinion, because you're seeing the developer ecosystem growing so fast. It's global. You're seeing events pop up, you're seeing derivative events. CNCF is at the center point and they have to maintain the culture of developer experts, maintainers, while balancing the newbies. And that's going to be >> Savannah: Mm-hmm. really hard. And they've done a great job. We had a great conversation with them. So great job. And I think it's going to continue. I think the attendance metric is a little bit of a false positive. There's a lot of online people who didn't come to Detroit this year. And I think maybe the combination of the venue, the city, or just Covid preferences may not look good on paper, on the numbers 'cause it's not a major step up in attendance. It's still bigger, but the community, I think, is going to continue to grow. I'm bullish on it. >> Yeah, I mean at least we did see double the number of people that we had in Los Angeles. Very curious. I think Amsterdam, where we'll be next with CNCF in the spring, in April. I think that's actually going to be a better pulse check. We'll be in Europe, we'll see what's going on. >> John: Totally. >> I mean, who doesn't like Amsterdam in the springtime? Lisa, what have been some of your observations? >> Oh, so many observations. The evolution of the conference, the hallway track conversations really shifting towards adjusting to the enterprise. The enterprise momentum that we saw here as well. We had on the show, Ford. >> Savannah: Yes. We had MassMutual, we had ING, that was today. Home Depot is here. We are seeing all these big companies that we know and love, become software companies right before our eyes. >> Yeah. Well, and I think we forget that software powers our entire world. And so of course they're going to have to be here. So much running on Kubernetes. It's on-prem, it's at the edge, it's everywhere. It's exciting. Woo, I'm excited. John, what do you think is the number one story? This is your question. I love asking you this question. What is the number one story out KubeCon? >> Well, I think the top story is a combination of two things. One is the evolution of Cloud Native. We're starting to see web assembly. That's a big hyped up area. It got a lot of attention. >> Savannah: Yeah. That's kind of teething out the future. >> Savannah: Rightfully so. The future of this kind of lightweight. You got the heavy duty VMs, you got Kubernetes and containers, and now this web assembly, shows a trajectory of apps, server-like environment. And then the big story is security. Software supply chain is, to me, was the number one consistent theme. At almost all the interviews, in the containers, and the workflows, >> Savannah: Very hot. software supply chain is real. The CD Foundation mentioned >> Savannah: Mm-hmm. >> they had 16,000 vulnerabilities identified in their code base. They were going to automate that. So again, >> Savannah: That was wild. >> That's the top story. The growth of open source exposes potential vulnerabilities with security. So software supply chain gets my vote. >> Did you hear anything that surprised you? You guys did this great preview of what you thought we were going to hear and see and feel and touch at KubeCon, CloudNativeCon 2022. You talked about, for example, the, you know, healthcare financial services being early adopters of this. Anything surprise either one of you in terms of what you predicted versus what we saw? Savannah, let's start with you. >> You know what really surprised me, and this is ironic, so I'm a community gal by trade. But I was really just impressed by the energy that everyone brought here and the desire to help. The thing about the open source community that always strikes me is, I mean 187 different countries participating. You've got, I believe it's something like 175,000 people contributing to the 140 projects plus that CNCF is working on. But that culture of collaboration extends far beyond just the CNCF projects. Everyone here is keen to help each other. We had the conversation just before about the teaching and the learnings that are going on here. They brought in Detroit's students to come and learn, which is just the most heartwarming story out of this entire thing. And I think it's just the authenticity of everyone in this community and their passion. Even though I know it's here, it still surprises me to see it in the flesh. Especially in a place like Detroit. >> It's nice. >> Yeah. >> It's so nice to see it. And you bring up a good point. It's very authentic. >> Savannah: It's super authentic. >> I mean, what surprised me is one, the Wasm, or web assembly. I didn't see that coming at the scale of the conversation. It sucked a lot of options out of the room in my opinion, still hyped up. But this looks like it's got a good trajectory. I like that. The other thing that surprised me that was a learning was my interview with Solo.io, Idit, and Brian Gracely, because he's a CUBE alumni and former host of theCUBE, and analyst at Wikibon, was how their go-to-market was an example of a modern company in Covid with a clean sheet of paper and smart people, they're just doing things different. They're in Slack with their customers. And I walked away with, "Wow that's like a playbook that's not, was never, in the go-to-market VC-backed company playbook." I thought that was, for me, a personal walk away saying that's important. I like how they did that. And there's a lot of companies I think could learn from that. Especially as the recession comes where partnering with customers has always been a top priority. And how they did that was very clever, very effective, very efficient. So I walked away with that saying, "I think that's going to be a standard." So that was a pleasant surprise. >> That was a great surprise. Also, that's a female-founded company, which is obviously not super common. And the growth that they've experienced, to your point, really being catalyzed by Covid, is incredibly impressive. I mean they have some massive brand name customers, Amex, BMW for example. >> Savannah: Yeah. >> Great point. >> And I interviewed her years ago and I remember saying to myself, "Wow, she's impressive." I liked her. She's a player. A player for sure. And she's got confidence. Even on the interview she said, "We're just better, we have better product." And I just like the point of view. Very customer-focused but confident. And I just took, that's again, a great company. And again, I'm not surprised that Brian Gracely left Red Hat to go work there. So yeah, great, great call there. And of course other things that weren't surprising that I predicted, Red Hat continued to invest. They continue to bring people on theCUBE, they support theCUBE but more importantly they have a good strategy. They're in that multicloud positioning. They're going to have an opportunity to get a bite at the apple. And I what I call the supercloud. As enterprises try to go and be mainstream, Cloud Native, they're going to need some help. And Red Hat is always has the large enterprise customers. >> Savannah: What surprised you, Lisa? >> Oh my gosh, so many things. I think some of the memorable conversations that we had. I love talking with some of the enterprises that we mentioned, ING Bank for example. You know, or institutions that have been around for 100 plus years. >> Savannah: Oh, yeah. To see not only how much they've innovated and stayed relevant to meet the demands of the consumer, which are only increasing, but they're doing so while fostering a culture of innovation and a culture that allows these technology leaders to really grow within the organization. That was a really refreshing conversation that I think we had. 'Cause you can kind of >> Savannah: Absolutely. think about these old stodgy companies. Nah, of course they're going to digitize. >> Thinking about working for the bank, I think it's boring. >> Right? >> Yeah. And they were talking about, in fact, those great t-shirts that they had on, >> Yeah, yeah, yeah, yeah. were all about getting more people to understand how fun it is to work in tech for ING Bank in different industries. You don't just have to work for the big tech companies to be doing really cool stuff in technology. >> What I really liked about this show is we had two female hosts. >> Savannah: Yeah. >> How about that? Come on. >> Hey, well done, well done on your recruitment there, champ. >> Yes, thank you boss. (John laughs) >> And not to mention we have a really all-star production team. I do just want to give them a little shout out. To all the wonderful folks behind the lines here. (people clapping) >> John: Brendan. Good job. >> Yeah. Without Brendan, Anderson, Noah, and Andrew, we would be-- >> Of course Frank Faye holding it back there too. >> Yeah, >> Of course, Frank. >> I mean, without the business development wheels on the ship we'd really be in an unfortunate spot. I almost just swore on television. We're not going to do that. >> It's okay. No one's regulating. >> Yeah. (all laugh) >> Elon Musk just took over Twitter. >> It was a close call. >> That's right! >> It's going to be a hellscape. >> Yeah, I mean it's, shit's on fire. So we'll just see what happens next. I do, I really want to talk about this because I think it's really special. It's an ethos and some magic has happened here. Let's talk about Detroit. Let's talk about what it means to be here. We saw so many, and I can't stress this enough, but I think it really matters. There was a commitment to celebrating place here. Lisa, did you notice this too? >> Absolutely. And it surprised me because we just don't see that at conferences. >> Yeah. We're so used to going to the same places. >> Right. >> Vegas. Vegas, Vegas. More Vegas. >> Your tone-- >> San Francisco >> (both laugh) sums up my feelings. Yes. >> Right? >> Yeah. And, well, it's almost robotic but, and the fact that we're like, oh Detroit, really? But there was so much love for this city and recognizing and supporting its residents that we just don't see at conferences. You uncovered a lot of that with your swag-savvy segments, >> Savannah: Yeah. >> And you got more of that to talk about today. >> Don't worry, it's coming. Yeah. (laughs) >> What about you? Have you enjoyed Detroit? I know you hadn't been here in a long time, when we did our intro session. >> I think it's a bold move for the CNCF to come here and celebrate. What they did, from teaching the kids in the city some tech, they had a session. I thought that was good. >> Savannah: Loved that. I think it was a risky move because a lot of people, like, weren't sure if they were going to fly to Detroit. So some say it might impact the attendance. I thought they did a good job. Their theme, Road Ahead. Nice tie in. >> Savannah: Yeah. And so I think I enjoyed Detroit. The weather was great. It didn't rain. Nice breeze outside. >> Yeah. >> The weather was great, the restaurants are phenomenal. So Detroit's a good city. I missed some hockey games. I'd love to see the Red Wings play. Missed that game. But we always come back. >> I think it's really special. I mean, every time I talked to a company about their swag, that had sourced it locally, there was a real reason for this story. I mean even with Kasten in that last segment when I noticed that they had done Carhartt beanies, Carhartt being a Michigan company. They said, "I'm so glad you noticed. That's why we did it." And I think that type of, the community commitment to place, it all comes back to community. One of the bigger themes of the show. But that passion and that support, we need more of that. >> Lisa: Yeah. >> And the thing about the guests we've had this past three days have been phenomenal. We had a diverse set of companies, individuals come on theCUBE, you know, from Scott Johnston at Docker. A really one on one. We had a great intense conversation. >> Savannah: Great way to kick it off. >> We shared a lot of inside baseball, about Docker, super important company. You know, impressed with companies like Platform9 it's been around since the OpenStack days who are now in a relevant position. Rafi Systems, hot startup, they don't have a lot of resources, a lot of guerilla marketing going on. So I love to see the mix of startups really contributing. The big players are here. So it's a real great mix of companies. And I thought the interviews were phenomenal, like you said, Ford. We had, Kubia launched on theCUBE. >> Savannah: Yes. >> That's-- >> We snooped the location for KubeCon North America. >> You did? >> Chicago, everyone. In case you missed it, Bianca was nice enough to share that with us. >> We had Sarbjeet Johal, CUBE analyst came on, Keith Townsend, yesterday with you guys. >> We had like analyst speed dating last night. (all laugh) >> How'd that go? (laughs) >> It was actually great. One of the things that they-- >> Did they hug and kiss at the end? >> Here's the funny thing is that they were debating the size of the CNC app. One thinks it's too big, one thinks it's too small. And I thought, is John Goldilocks? (John laughs) >> Savannah: Yeah. >> What is John going to think about that? >> Well I loved that segment. I thought, 'cause Keith and Sarbjeet argue with each other on Twitter all the time. And I heard Keith say before, he went, "Yeah let's have it out on theCUBE." So that was fun to watch. >> Thank you for creating this forum for us to have that kind of discourse. >> Lisa: Yes, thank you. >> Well, it wouldn't be possible without the sponsors. Want to thank the CNCF. >> Absolutely. >> And all the ecosystem partners and sponsors that make theCUBE possible. We love doing this. We love getting the stories. No story's too small for theCUBE. We'll go with it. Do whatever it takes. And if it wasn't for the sponsors, the community wouldn't get all the great knowledge. So, and thank you guys. >> Hey. Yeah, we're, we're happy to be here. Speaking of sponsors and vendors, should we talk a little swag? >> Yeah. >> What do you guys think? All right. Okay. So now this is becoming a tradition on theCUBE so I'm very delighted, the savvy swag segment. I do think it's interesting though. I mean, it's not, this isn't just me shouting out folks and showing off t-shirts and socks. It's about standing out from the noise. There's a lot of players in this space. We got a lot of CNCF projects and one of the ways to catch the attention of people walking the show floor is to have interesting swag. So we looked for the most unique swag on Wednesday and I hadn't found this yet, but I do just want to bring it up. Oops, I think I might have just dropped it. This is cute. Is, most random swag of the entire show goes to this toothbrush. I don't really have more in terms of the pitch there because this is just random. (Lisa laughs) >> But so, everyone needs that. >> John: So what's their tagline? >> And you forget these. >> Yeah, so the idea was to brush your cloud bills. So I think they're reducing the cost of-- >> Kind of a hygiene angle. >> Yeah, yeah. Very much a hygiene angle, which I found a little ironic in this crowd to be completely honest with you. >> John: Don't leave the lights on theCUBE. That's what they say. >> Yeah. >> I mean we are theCUBE so it would be unjust of me not to show you a Rubik's cube. This is actually one of those speed cubes. I'm not going to be able to solve this for you with one hand on camera, but apparently someone did it in 17 seconds at the booth. Knowing this audience, not surprising to me at all. Today we are, and yesterday, was the t-shirt contest. Best t-shirt contest. Today we really dove into the socks. So this is, I noticed this trend at KubeCon in Los Angeles last year. Lots of different socks, clouds obviously a theme for the cloud. I'm just going to lay these out. Lots of gamers in the house. Not surprising. Here on this one. >> John: Level up. >> Got to level up. I love these 'cause they say, "It's not a bug." And anyone who's coded has obviously had to deal with that. We've got, so Star Wars is a huge theme here. There's Lego sets. >> John: I think it's Star Trek. But. >> That's Star Trek? >> John: That's okay. >> Could be both. (Lisa laughs) >> John: Nevermind, I don't want to. >> You can flex your nerd and geek with us anytime you want, John. I don't mind getting corrected. I'm all about, I'm all about the truth. >> Star Trek. Star Wars. Okay, we're all the same. Okay, go ahead. >> Yeah, no, no, this is great. Slim.ai was nice enough to host us for dinner on Tuesday night. These are their lovely cloud socks. You can see Cloud Native, obviously Cloud Native Foundation, cloud socks, whole theme here. But if we're going to narrow it down to some champions, I love these little bee elephants from Raft. And when I went up to these guys, I actually probably would've called these my personal winner. They said, again, so community focused and humble here at CNCF, they said that Wiz was actually the champion according to the community. These unicorn socks are pretty excellent. And I have to say the branding is flawless. So we'll go ahead and give Wiz the win on the best sock contest. >> John: For the win. >> Yeah, Wiz for the win. However, the thing that I am probably going to use the most is this really dope Detroit snapback from Kasten. So I'm going to be rocking this from now on for the rest of the segment as well. And I feel great about this snapback. >> Looks great. Looks good on you. >> Yeah. >> Thanks John. (John laughs) >> So what are we expecting between now and KubeCon in Amsterdam? >> Well, I think it's going to be great to see how they, the European side, it's a chill show. It's great. Brings in the European audience from the global perspective. I always love the EU shows because one, it's a great destination. Amsterdam's going to be a great location. >> Savannah: I'm pumped. >> The American crowd loves going over there. All the event cities that they choose are always awesome. I missed Valencia cause I got Covid. I'm really bummed about that. But I love the European shows. It's just a little bit, it's high intensity, but it's the European chill. They got a little bit more of that siesta vibe going on. >> Yeah. >> And it's just awesome. >> Yeah, >> And I think that the mojo that carried throughout this week, it's really challenging to not only have a show that's five days, >> but to go through all week, >> Savannah: Seriously. >> to a Friday at 4:00 PM Eastern Time, and still have the people here, the energy and all the collaboration. >> Savannah: Yeah. >> The conversations that are still happening. I think we're going to see a lot more innovation come spring 2023. >> Savannah: Mm-hmm. >> Yeah. >> So should we do a bet, somebody's got to buy dinner? Who, well, I guess the folks who lose this will buy dinner for the other one. How many attendees do you think we'll see in Amsterdam? So we had 4,000, >> Oh, I'm going to lose this one. >> roughly in Los Angeles. Priyanka was nice enough to share with us, there was 8,000 here in Detroit. And I'm talking in person, we're not going to meddle this with the online. >> 6500. >> Lisa: I was going to say six, six K. >> I'm going 12,000. >> Ooh! >> I'm going to go ahead and go big I'm going to go opposite Price Is Right. >> One dollar. >> Yeah. (all laugh) That's exactly where I was driving with it. I'm going, I'm going absolutely all in. I think the momentum here is building. I think if we look at the numbers from-- >> John: You could go Family Feud >> Yeah, yeah, exactly. And they mentioned that they had 11,000 people who have taken their Kubernetes course in that first year. If that's a benchmark and an indicator, we've got the veteran players here. But I do think that, I personally think that the hype of Kubernetes has actually preceded adoption. If you look at the data and now we're finally tipping over. I think the last two years we were on the fringe and right now we're there. It's great. (voice blares loudly on loudspeaker) >> Well, on that note (all laugh) On that note, actually, on that note, as we are talking, so I got to give cred to my cohosts. We deal with a lot of background noise here on theCUBE. It is a live show floor. There's literally someone on an e-scooter behind me. There's been Pong going on in the background. The sound will haunt the three of us for the rest of our lives, as well as the production crew. (Lisa laughs) And, and just as we're sitting here doing this segment last night, they turned the lights off on us, today they're letting everyone know that the event is over. So on that note, I just want to say, Lisa, thank you so much. Such a warm welcome to the team. >> Thank you. >> John, what would we do without you? >> You did an amazing job. First CUBE, three days. It's a big show. You got staying power, I got to say. >> Lisa: Absolutely. >> Look at that. Not bad. >> You said it on camera now. >> Not bad. >> So you all are stuck with me. (all laugh) >> A plus. Great job to the team. Again, we do so much flow here. Brandon, Team, Andrew, Noah, Anderson, Frank. >> They're doing our hair, they're touching up makeup. They're helping me clean my teeth, staying hydrated. >> We look good because of you. >> And the guests. Thanks for coming on and spending time with us. And of course the sponsors, again, we can't do it without the sponsors. If you're watching this and you're a sponsor, support theCUBE, it helps people get what they need. And also we're do a lot more segments around community and a lot more educational stuff. >> Savannah: Yeah. So we're going to do a lot more in the EU and beyond. So thank you. >> Yeah, thank you. And thank you to everyone. Thank you to the community, thank you to theCUBE community and thank you for tuning in, making it possible for us to have somebody to talk to on the other side of the camera. My name is Savannah Peterson for the last time in Detroit, Michigan. Thanks for tuning into theCUBE. >> Okay, we're done. (bright upbeat music)
SUMMARY :
for inviting me into the CUBE family. coverage, it's what we do. Everyone else leaves, Lisa: Till they turn the lights out. Whatever takes to get the stories you're a trend watcher and What are the trends this and they have to maintain the And I think it's going to continue. double the number of people We had on the show, Ford. had ING, that was today. What is the number one story out KubeCon? One is the evolution of Cloud Native. teething out the future. and the workflows, Savannah: Very hot. So again, That's the top story. preview of what you thought and the desire to help. It's so nice to see it. "I think that's going to be a standard." And the growth that they've And I just like the point of view. I think some of the memorable and stayed relevant to meet Nah, of course they're going to digitize. I think it's boring. And they were talking about, You don't just have to work is we had two female hosts. How about that? your recruitment there, champ. Yes, thank you boss. And not to mention we have John: Brendan. Anderson, Noah, and Andrew, holding it back there too. on the ship we'd really It's okay. I do, I really want to talk about this And it surprised going to the same places. (both laugh) sums up my feelings. and the fact that we're that to talk about today. Yeah. I know you hadn't been in the city some tech, they had a session. I think it was a risky move And so I think I enjoyed I'd love to see the Red Wings play. the community commitment to place, And the thing about So I love to see the mix of We snooped the location for to share that with us. Keith Townsend, yesterday with you guys. We had like analyst One of the things that they-- And I thought, is John Goldilocks? on Twitter all the time. to have that kind of discourse. Want to thank the CNCF. And all the ecosystem Speaking of sponsors and vendors, in terms of the pitch there Yeah, so the idea was to be completely honest with you. the lights on theCUBE. Lots of gamers in the obviously had to deal with that. John: I think it's Star Trek. (Lisa laughs) I'm all about, I'm all about the truth. Okay, we're all the same. And I have to say the And I feel great about this snapback. Looks good on you. (John laughs) I always love the EU shows because one, But I love the European shows. and still have the people here, I think we're going to somebody's got to buy dinner? Priyanka was nice enough to share with us, I'm going to go ahead and go big I think if we look at the numbers from-- But I do think that, I know that the event is over. You got staying power, I got to say. Look at that. So you all are stuck with me. Great job to the team. they're touching up makeup. And of course the sponsors, again, more in the EU and beyond. on the other side of the camera. Okay, we're done.
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Iman Bashir, craftly.ai | DigitalBits VIP Dinner
(upbeat music) >> Okay, welcome back everyone. This is theCube's extended hours. Things are starting to settle down. Dinner has started being served. We're here with Prince Alvarez, has an invitation for the VIP gala. Part of Monaco leaning into crypto, we're reporting on it. Not our normal set, more of an after hours vibe. We're here with Iman Bashir, found of Craftly.ai. Thanks for coming on theCube. >> Thanks for having me. >> So I love your story. You're a coder, built some code, started a company. Now you're the CEO. You hired some people to wrap around support you. Now you're running the show. What a great story. How did you get here? Give me the origination story >> Basically, for as long as I can remember, I've been an entrepreneur. My parents have stories of me being too young to babysit, but I would create a babysitting agency and have sent babysitters out or I would sell my lunches. Throughout school, I would always find some kind of entrepreneurship endeavor. And when I came out of school, I kept finding myself lacking the necessary skills to really do a startup. And so that's when I discovered coding. And I took myself through coding boot camps, and I started websites and I'm like, no, I want something more perpetual. I want to make money when I sleep. And then from there I found search engine optimization. So how to get to the top of Google. And I started working really quickly with like really big companies. And immediately I realized my full budget's spent on copywriting. And so that's when I discovered you could have that written by AI. Not going to replace you, but it's there to enhance you. And so built an AI copywriter. >> And so what does it do? >> Basically you type in a couple words. It could be anything, any use case. So product descriptions for eCommerce, blog articles for any company really, web copy, even does songs. Or your next breakup text, which we'll get to that. But it does basically anything. You type in a couple words and it generates text for you. All original and plagiarism free. >> Okay. Can you write our blog post for us? >> Yeah. >> Say, hey, we're covering the crypto-con in Monaco. >> Could even do a summary of this interview, yeah. >> Well, we get that transcribed in the cloud. We'll get that in a second. First. I love the story. Okay. So now you're the CEO. Great application. So imagine you're scraping pages. You looking at summaries, doing any extraction, looking at word combinations. What were some of the tech behind it? >> We use, we leverage a bunch of different models. We use GPT3, which was founded by Sam Altman, Elon Musk, all major players that basically allows you to pull 175 billion parameters of data. Anything before it was 2 billion. So now you're talking, I'm able to pull like basically the whole internet. And from there we added different models to provide learning and to get the best quality AI out there. There's a lot of bad quality. And so from there, we're able to take it, mix and match, and have it formulate the best things. >> So where are you now? So you're in your journey, the CEO, how many people in your staff, what's the status? >> So right now we have eight full time people and a bunch of contractors. Before I was the lead developer. But now as the company's growing, I have to take a backseat and be more in a sales role versus being the one to develop it every single day. And so right now we're hiring more developers as we go. >> So the funding options must be off the charts. Offers coming in left and right. >> So tons, but definitely we're in a different market environment than we were two months ago. So as you may have heard, crypto's down, possibly, but so we were - >> On temporary basis, not truly down. >> But in the beginning, I wanted to hold as much equity as possible by bootstrapping, proving concept, doing it. I have a lot of the background and skillset to have it there. So I hired the best people. And once we prove concept, we were prepared to raise and then the market kind of slowed us down. So right now, luckily our company is self-funded and supporting itself. >> Good. >> So we're making money. We're profitable. >> What you want to do. >> Yeah. >> As much as possible. >> Yeah. And so right now we do, we are looking for growth options, funding options. We're talking to a lot of people. That's why I'm here in Monaco. But it's a good place to not be desperate. It's a good place to not need the money, but. >> You know, I always said when I was running companies and to my team, my a friend gave me great advice. You can't go out of business when you have money in the bank. >> Yeah. >> So don't run out of money. >> Basically. Luckily our product, it's a subscription basis and it's a monthly, so we're making money immediately. >> All right. So I got to ask. What's the biggest challenge you've had and putting this because it's great, great story. You're really impressive. Great vision. You coded your own product. Now you got put the team around you. >> Yeah. >> What's been the challenge. How have you handled the grind? Cuz it's, the joy in the grind can be fun. >> Yeah. >> But then it gets complicated. Start adding people to the mix and you got to get milestones. You're self-funding. Which by the way, self-funding is the hardest part. >> Yeah. >> It is difficult. >> Yeah. >> Most people think like raising a big round is the top of the mountain. No, no, no, no. Self-funding is the A-1 player. That's an A play move, A player move right there. >> Definitely. I would say if I were to go back I would get funded a lot earlier, especially with the market conditions eight months ago. But one of the biggest struggles I would, I feel I have faced was just being a younger founder. Sometimes you're, there's imposter syndrome in your, within yourself. But otherwise, a lot of times people don't take you seriously immediately. Everyone always assumes that I'm someone's girlfriend at an event. Or I, they say that's cute when talking about your business. And so you have to deal with that. Yeah. Or one time I was at a conference and someone asked how I funded the company. And I said, I created ancillary revenue streams to be able to support it. And their response was, oh, I love it when my OnlyFans funds my business. And that, immediately, >> Oh my God, that is... That is total. >> But now I use it as fire to ignite me and kind of prove everyone wrong. But I definitely would say that the journey of falling in love with the journey and realizing that no matter how big you get, your problems only get bigger. So it's choosing the right problems to solve and realizing that every day there's going to be a fire. Just living in the moment. >> Well, you're such an inspiration to me and anyone. I'm going to share your story because what you just talked about, a lot of people, being a startup, you're eating glass, you're falling on your face. You're tripping all the time. Hopefully you don't get hurt. But when people make comments like that to you, given how smart you are, and how brilliant you are, how beautiful you are, that is just unacceptable. And I think that is just a really weird thing. Like that has to change. It's like, its so unacceptable. >> I feel like the world's heading in the right direction and it's up to people to use those setbacks to ignite them and push them forward, which I'm trying to. >> You know, I was, I read a book about trauma and how trauma defines you, right? >> Yeah. >> And trauma is little trauma, family trauma and and trauma's defined >> All perspective. >> Trauma's defined as not like, oh, something dire, like little things could be like little traumas. Oh yeah, I was offended by my brother. This happened there. So experiences define you. >> Yeah. >> And I think one of the things that you just mentioned is you've made it stronger, made you stronger. >> Yeah. >> The comments made you stronger. >> Oh, I definitely see, even everything that I've been through. And this is the same for a lot of first time founders. All my previous companies I've had the blessing of working with like an older mentor that had done it before. This was the first where I kind of was on my own. And when you do that, now, if I look back on the last year and a half, I could probably do the same thing in a week. Once you do it the first time you really do learn. >> I'll just tell you. You're brilliant, beautiful. You're very impressive. >> Thank you. >> Theresa Carlson, who used to run all Amazon's web services, business and public sector. She's a Renaissance woman. She's an amazing friend. Great power. That's she always, she always says to me, and she's like you know, my father was a basketball coach. I can handle with those men. And she would say, but she said it with proud, like leaning in like, hey, that's life. I'll take what life gives me. And I think that's a lesson we're seeing more of. Because you're seeing a lot more women in tech. I did 30 interviews in Europe, the past March 7th. Okay. In three weeks. >> Yeah. >> So a lot of stuff. Well, thanks for coming on. We got the events starting. I'll let you go. Thanks for sharing your story. >> Thanks for having me. >> Well, what's next for you? What's next? >> Next is, I'm going to I'm going to build the word processor of the future and be the future of writing. >> Okay. And thank you for coming out. >> There you go. I appreciate it. All right. This is theCube coverage here at the event. we'll be back with more after this break. (upbeat music)
SUMMARY :
has an invitation for the VIP gala. You hired some people to So how to get to the top of Google. and it generates text for you. our blog post for us? the crypto-con in Monaco. of this interview, yeah. I love the story. and have it formulate the best things. I have to take a backseat So the funding options So as you may have heard, crypto's down, I have a lot of the So we're making money. But it's a good place to not be desperate. and to my team, my a friend and it's a monthly, so we're So I got to ask. What's been the challenge. and you got to get milestones. Self-funding is the A-1 player. And so you have to deal with that. Oh my God, that is... So it's choosing the and how brilliant you are, I feel like the world's So experiences define you. And I think one of the And when you do that, I'll just tell you. And I think that's a lesson So a lot of stuff. and be the future of writing. here at the event.
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David Lucatch, Aftermath Islands Metaverse | Monaco Crypto Summit 2022
[Music] okay welcome back everyone it's thecube's coverage here in monaco i'm john furrier host of thecube monaco crypto summit presented by digital bits uh media partners coin telegraph in the cube a lot of great stuff going on here digital bits and the ecosystem around the world come together to talk about the next generation uh nft environments metaverse uh blockchain all the innovations going up and down the stack of the decentralized world that will be soon a reality for everybody we have a great guest david lutzkach here who's the co-founder of aftermath islands metaverse which i got a little sneak preview of but david thanks for joining me thanks john great to be here uh we had dinner the other night at nobu it's great to know you get to know your background you've got a stellar uh pedigree um you've run public companies you've been involved in tech media across the board again this is a ship we're seeing like we've never before perfect storm technology change cultural change business model transformation all around deep decentralization crypto token economics decentralized applications metaverse i mean come on we haven't digital identity there was identity which you're involved in take us through what are you working on take a minute to explain what you're working on and then we'll get into it so aftermath islands is is really a culmination of three things uh digital identity the ability to prove who you are because we think the internet and i think everyone would agree the internet's broken you know um nefarious actors bad actors can be anywhere um hacks fake spots so by being able to prove that you're a real person not necessarily verifying your identity but prove that you're a real person um can add a lot of benefits to everyone in the ecosync system second thing is we combine that with avatars nfts and credentials because i'd like to represent myself as a little more buff than i am and maybe a little taller and then the third thing is we put it in a unreal engine so real realistic photo realistic game engine metaverse that requires no downloading it's all pixel streaming just like you'd stream netflix you can stream the game i want to ask because this is i know it's a hard problem because i've asked a lot of people the same question the unreal engine is really powerful and the imagery is amazing like gaming we all know what it looks like it's hard it's not everyone's getting it right what makes it so special how are you guys cracking the code well i think it's our experience i mean we've worked for major entertainment companies major technology companies major sports companies so um as i just use your word because it being i want to be humbled by this but we do have a great pedigree we've also brought great people to the table so having a platform isn't enough we've got great creators and uh we've got great storytellers so we've got the anisiasa brothers one mariano is is a illustrator and former special editor uh project center at marvel and his brother fabian is our storyteller who's the co-creator of deadpool so we've got great people and with unreal engine 5 we've really taken it from the ground up we've looked at it and and we've really combined it with new gpu cloud serving and pixel streaming so that you're so the individual that's that's involved engaged immersed is now really playing it without having to download a graphics package yeah and also you drop some names there and some and some brands i know there's a lot more at dinner we've talked a lot about them you you know all the top creators and again i love the creator culture i mean that's the new buzzwords around but ultimately it's artists people building stuff application developers in the software world movies and film art art and code is kind of coming together it's the same kind of thing media and coding it's like the same mindset you know creative exactly crazy good smart in a good way in the blockchain it's harder because you've got all this underlying infrastructure and stuff to provision and build often created say oh man it's like doing chores it's like i just want to build cool stuff i don't want to get in the weeds of all the tech right this is like whoever cracks the code can unleash that heavy lifting so the artist can like feel good about kicking ass well i'm i'm being a slot a little sly here because we've sort of broken it into three areas and we've used blockchain to book and the platform so we still think that that gaming in the interactive platform has to have centralization it has to have decision making we have a great community um between twitter and discord we have over 30 000 people and we have organizations that have already um spawned um themselves up or spun up to manage our landowner ownership and some of our guilds for some of our professions but at the same time they're allowing us to make decisions based on what the community wants i mean i've heard recently um i don't want to say it's a horror story but it's been difficult that consensus-based models for development have to get consensus and not everybody agrees you still need the leadership i mean you still need sort of a captain on a ship to make sure that the dictatorships are work and well and linux um tried that and they've worked for a while but when they moved over to we're going to make some decisions have an opinion right whether it's centralization it's faster yeah consensus systems can be diverse and time-consuming well they can be political as well i mean you can you can it can become problems so at the front end we've got digital identity and that's all blockchain based and at the back end we have over 20 services including dids and did com which is decentralized identifier communication and all our services are blockchain based but in the middle um connected to nft's blockchain and everything else and to our teacher identity we have a game or a game platform or a open world platform that is centralized built in unreal engine so that we can make those decisions that spur on individual development it's an architecture it is i mean this is essentially an operating environment exactly you can have the benefits of the decentralized all your data on your identity okay and then have the middle be the playground and built right now that has to get done faster and you're constantly iterating exactly so you need to have that exactly so what are people saying about this to me i think that makes a lot of sense people are very intrigued um we're getting a lot of traction first of all unreal engine in the middle um brands love it because it provides a realistic view of a brand brands have spent you know hundreds of millions of dollars building brand equity and they don't necessarily want a cartoon representation of their brand so brands love it um uh we showed a video here at the monaco crypto summit of some and our videos available online on youtube but we're showing realistic we can create realistic avatars so people are really excited about what we're doing you know david i think one of the things i've had controversy statements in the past that got all the purists going back to 2018 you know throwing tomatoes at me but other halfs like loving it because at that time there was dogma around block change got to be done you know it was slow and gas so why i can use a database now we use the blockchain for smart contracts right which you that's what you want to do you want to have that locked in you want immutability so again this opportunity is to advance faster and not have to get stuck in the dogma but maybe get it back to it later database is a great example i agreed i think i think over time the community will take over the entire platform but i think at the beginning you have to have again you have to have a rudder on a ship to make it go somewhere it's called product market fit exactly you got to get to the market exactly with a product you've got that i want that exactly i mean unreal engine is hard i know what are some of the people you worked with because i think i think what i like about what you're working on is that you are and i think a great poster child of in terms of the organization of a group of people that are pros that want to do great work in a new world with the kind of experience and tools that they had in their old world right faster cheaper better more control when we were there at web one we're there at web two and now with web three we have the ability to fix some of the things that we thought were wrong with web one and two so and move into the ownership economy and and really um for us we've got a great team of people you know around the world that we work with and we're starting to bring in larger organizations to support us i mean our digital identity we're really working with the backbone at ibm and digital identity is very different in blockchain than is crypto and we're working with great people in crypto now we announced today that we're minting our native token dubs with digital bits so we're really excited about that yeah yeah let me ask you a question because i love the fact that you brought multiple ways of innovation again i've mentioned on that with shared experience there different different ride for different waves what have you learned and shared to folks who are going to dip their toe and get on their surfboard so to speak use the california metaphor for both californians what is web3 wave like how's it different from two what's the learnings can you share scar tissue experience observation anything around what you're doing now so they can get insight into this wave well you know web 1 and web 2 were broken i mean you could never go in i think we had this discussion you could never go into an electronic store in the real world write your information down on a piece of paper and expect that you'd walk out of the store with the purchase but we can type in information that is non-verified until i could take my friend's credit card know where they live and use it by using digital identity at a front end we create one user one account that user can have thousands of verifiable credentials around them and hundreds of avatars so i think what we've really learned is the ability to progress in a way that that really puts data back in the hands of consumers and makes them the owner of their identity by starting there we have a world in front of us that is valuable to marketers valuable to brands and valuables to individuals and whether it's education whether it's government services whether it's retail everything can be built on that simple premise that i am myself it's interesting there's a constant technology we're called presence you know you're present at an event you're present at a store you're present and some reality physically and you have credentials around that presence contextually exactly you're saying you can have one nft one digital identity or identity and have multiple identities that have contacts all stored i'll store it in an avatar it's like changing your suit hey i'm going into the apple store i'm now my apple john and and think of it this way um brands can now connect with you and give you promos give you product based on the information that you're willing to share with them about your real person and your avatar becomes your intermediary so your payment information stored within your digital identity and your avatar not at the retail level so this is a concept we've been working on for a long time i think we're talking about dinner but i want to bring this up for you for you to come and get a reaction to is that if what you just said is true that means if i'm the user and i have power to control my data the script flips now i'm brokering my data to the brand exactly not the other way around exactly or some intermediary i'm in control exactly and i could demand based on what my contextual relevance is to the brand and the brand is willing to pay for that because if you think about it today um social media unfortunately is plagued by fake accounts you know and issues and and so brands are spending all this money and they're getting slippage and breakage and that's spent if they know your real person they're more likely to want to give you an incentive to engage with them because it's a one-to-one transaction that creates value that's a great point you mentioned twitter earlier look at elon musk uncovered all the bots on twitter um and if they ever did the facebook i'm sure there's a ton of different accounts on facebook but you know it's out there these walled gardens have nefarious bad actors man it's not truth isn't what's the truth i mean gaming has this right now it's like you're anonymous you can go down or you got to go real name so we've got a hybrid you can do anonymously verified so because we use biometrics to verify that you're a real person so you can stay anonymous but we know you're a real person because your biometrics belong to you well david great to have you on thecube you got a great insight and experience thanks for sharing thank you john uh what's next for you guys you want to put a plug in for what you're working on you're looking for people funding more action what are you guys doing right well we've we've self-funded to date and we're we're finally going to be releasing um opportunities for people to engage with us in tokenomics and that's why we've we're working with digital bits but we're also looking for great people and great partners we're creating an interoperable open um uh world where we want to bring partners to the table so anyone who's interested reach out to us all right david guys thanks for going on thecube all right more coverage here on thecube we're all over this area going back to 2018 we brought thecube to all the events been covered on siliconangle.com since 2010 and watching this wave just get better the reality is here it's a metaverse world it is a decentralized world happening to everyone monaco crypto summit here in monaco thanks for watching we'll be right back with more after this short break you
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Alan May, HPE | HPE Discover 2022
>>The cube presents HPE discover 2022 brought to you by HPE. >>Welcome back to the cube. Lisa Martin and Dave ante here covering day one of HPE discover 22 live from Las Vegas. We've been having some great conversations today. So far. We've got three full days coming at you. This is close to the end of day one. We're gonna have an interesting conversation next with a may the executive vice president and chief people officer at HPE. Alan. Welcome to the cube. >>Thanks Lisa. Great to be here. Thanks Dave. >>It's great to be back in person. The keynote this morning, standing room, only people are ready. People are ready to be back to hear what HPE has been doing the last couple of years since the last conference, but I've heard you and Antonio talk about the human side of change. It's challenging humans. Humans are uncomfortable with change, right? Unfortunately we are, but it is a big challenge. How, what are some of the things that you're seeing as organizations are really looking and have to transform digitally? They gotta bring the humans along >>Well. You know, our folks as anybody is just bombarded with data these days bombarded with issues and, and it's really down to share of mind when it comes down to it. If, if you're asking someone to change first, you gotta break through the clutter. There's so many things going on in their world and in their life as individuals. But to me, the foundation is you really have to define what is the mission and purpose of the organization, and then make sure that individual feels safe and comfortable participating at work. I know those sound like soft things, but at the end of the day, you're not gonna have the gumption or the desire to change unless you care about something bigger than yourself and that you feel safe bringing your authentic self to work. >>So you have to be kind of, yeah. Have to be good at sales, I guess, because you have to sell the mission. Well, what do you do if somebody's not comfortable? If they, how do you get them to align? I mean, you, you, it's always a challenge. And that's like, I think what makes the people side of the equation so hard? What's your sort of secret sauce there? >>Well, I wouldn't say it's secret sauce, but you know, we define our mission is improving the way people work and live. Now that sounds so general. But the good thing about that is I think about every one of our 60,000 associates around the world can write theirselves into that mission. Sign >>Up >>For that. Yeah. It's not so specific that you think am I opting in, I am opting out. The other piece is you've gotta give employee voice. You have to give your team members an opportunity, not just to, you know, follow blindly, whatever you're saying, you don't want that. You actually want them to challenge it. You want 'em to say, Hey, what does that really mean, Alan? What does that mean, Antonio? When you say we're improving the way, you know, people work and live, what does it mean when we say commit and go or force for good, these are not just pithy phrases. They're ways to engage dialogue. That's how you get people to think and to create and innovate and to change >>And creating that employee experience and changing that and, and transforming that as obviously the world change, especially the last couple of years, but the employee experience and what they think. And are they, are we part of the vision? Are we, part of the mission is directly relates to the customer experience. Those two things to me are inextricably linked well >>In, in our company, it's all about innovation, but not innovation just for the sake of designing things, but to meet customer needs. So you've actually gotta inculcate in your workforce. A couple of things. One obviously is that freedom to be creative, but the other piece is actually actively listening to our customers and recognizing and understanding what they need and how we can satisfy those needs. When you can bring both of those things together, I tell you, you can do all kinds of things with your workforce. >>So, I mean, I'm hearing you obviously look for common ground, but sometimes there's, there's the dissonance, right? The, you know, creating that great human condition might not necessarily be advantageous for short-term profits. You're a public company. So, so how what's that discussion like, and, and, and I presume there's gotta be a long-term vision, but still how, how do you handle those types of >>Things? Well, that, that's what I call dynamic tension. Good, great organizations, encourage dynamic tension. They don't simply ask people to blindly adhere to whatever they're saying. They actually ask their employees to think and to create and to debate and to argue respectfully, of course, that's how you really get to that virtuous circle of innovation and people moving forward. Now, look, I, I'm not naive. We don't have 60,000 team members totally aligned on every point every day. But I think we've got the vast majority knowing ultimately where we're going. And frankly, some of the fun is figuring out how to get there. And that means that you've gotta have those open discussions to get there. >>Well, you talk about dynamic tension and at the first sort of thought of it, it sounds like it can be a challenging thing, but it also sounds like it can really be an accelerant to the culture and the ability for the company to move forward and obviously meet those customer demands. >>Well, if you're defining what's new in the world, that's the only way you get there because nobody has, you know, basically a lock on innovation or what's the best next thing. When you have the power of bringing a diverse set of individuals together and really create forms for them to explore debate, argue, as I mentioned, that's where you really move forward. >>How do you think about how, how, how has your thinking changed? The company's thinking changed post pandemic with regard to hybrid work, you have something Elon Musk, you gotta come to work at least 40 hours, or you're gone. We, we, we heard someone on wall street have similar things, say similar things and others have said, Hey, we have no headquarters anymore. You know, we're moving to, you know, someplace remote what's H HP's point of view on >>That. Well, thanks for that question in particular. And Dave, what you outlined is we seem to have a world of two extremes out there. Yeah. Where either companies say it's back to the old days pre COVID and you're not working unless I see the sweat on your brow and you're there at eight o'clock on Monday morning, then we have other companies say, Hey, it doesn't matter. Mail it in wherever you are around the world. You know, we're in between that, we think it's important that people do get together face to face. And in fact, we've asked our team members to come back a couple of three days a week in the office, but to do it in a purposeful, thoughtful way, it doesn't mean just coming in, swiping your bad shame that you were there. It means coming in to collaborate, to meet with customers, to celebrate, to innovate, to work with groups. >>So what we're trying to do now is orchestrate those moments that matter for our team members, for a reason, for them to be together. Now, there's no reason for them to come in the office. If they're on zoom or team meetings all day, we know that. But the fact is we believe that our culture thrives when people get together at least a bit during the week. So we're looking for that happy medium. I can't say we've got it all figured out, but I can tell you right now, we're not on those two extremes. We're absolutely center the plate. >>So you encouraged that. That was a great description. If somebody says, Hey, but I, I really want to go move to Bozeman, you know, and hang out there and I'll work remote and I'll, I'll be productive. You, you enable that as well. Or would you discourage that? Yeah. We've >>Hired people all over the world and we actually have people based upon their job classified. If they're so-called hybrid employees, the, the, the situation I mentioned, which is you're not required to come to the office, but we encourage it. In some cases we do have telecomm commuters. If they have the kind of job where they can work from Bozeman or from Bangalore or from any place else, we're open to that as well. Cuz we don't wanna rule out that talent. But the vast majority of our folks, we'd like to be pretty close to one of our centers of excellence to one of our offices, to one of our locations because that fuels our customers, our, our culture, and really it creates community. Now I can't predict the future, but frankly, a lot of the issues that we've seen through a, the, the pandemic around mental health, around isolation, around increased stress, those are not all gonna go away because people are getting back together. But I do think that the pandemic accelerated and exacerbated, some of those conditions, people do want to be together and we're gonna make that happen. >>I, I can't predict the future, but I often try and I, I predict, I think the hybrid model, it will be the dominant model going forward. And I think that that, that smart organizations will put incentives in place to get people together. Not, oh, you won't get promoted. No, but you're gonna, you're gonna actually enjoy getting together periodically with, with your teammates and we're gonna support you, you know, wherever you want to live. >>Yeah. >>What are some of the key skill sets these days that HPE is looking for to attract these folks in an increasingly digital world? What are some of those things you say ABC gotta have it. >>Well, interesting. You ask that. Get asked that question a lot. And people expect me to say, they gotta know C plus plus they've gotta, you know, know all the latest on AI. They gotta be a mathematical wizard to do all kinds of things that we do in algorithms. You know, it's not, it's not those factors. It's the behavioral factors. We're looking for people. First of all, that have intellectual curiosity. They thrive to learn. They thrive to innovate. They don't want to just do a job. They want to come in and they want to create something big. So I think that's first and foremost, the second one is we look for people that have some resiliency have they had in their experience broadly in life ever had to deal with stress with resistance, with, you know, uncomfortable situations. Not because that's our work environment, but because that's the world, the world is an actively changing one. >>And we need people who have got that resilience and that intellectual curiosity to kind of move forward. And then last but not least. And this goes back to our founder DNA. I, I talk about this a lot. Our founders, bill and Dave talked a lot about basic things, respect for one another collaboration, teamwork. That's our culture. Now that's not the culture that a lot of other firms have out there. And in some companies they have maybe a harder edge, but those are the things that really propel our organization. Those are the things our customers appreciate the most. >>What's your point of view on the, the so-called great resignation? Is it a sort of a media created dynamic? Is it something that is maybe a, a somewhat of a knee jerk reaction in the post isolation economy? How do you think about that? >>You know, I, it's real obviously, and, and we've seen some uptick in our, our turnover, although I'm happy to say our turnovers a half to a third of what our competitors are. So we, we seem to have been able to retain our folks pretty well. But I do think that coming out of the pandemic was a, an inflection point. For many people. It was such a searing experience in so many ways. It caused people to really reflect and say, do I want to do something different now? That's great. But I'd like to have them do something different in HPE, if they're one of our employees. So what we're focusing on is gigs. What's your next opportunity to learn something new, do something new, move to a different area. You know, we used to call it career development. Those days are gone of just job ladders and wait for the next job and wait for the next promotion. It's all about how can you give someone a new opportunity and challenge them. And when you're able to do that, I think you can create a real positive dynamic that results in greater retention. But I do think the great resurrection it's real, it's gonna persist one other data point. Well, before COVID supply and demand, I'm an economist, not a psychologist. And at the end of the day, we have fewer and fewer people available to do the kinds of work that we're trying to hire. So those two factors together do create some, some turnover. >>You know, what's interesting is certainly pre pandemic. The prediction was that machines were gonna replace humans, which has always happened, but for the first time ever, it's in cognitive functions. And there's a lot of concern in the press about, you know, the impact on, on jobs and employment seems like the reverses happened, which is often the way, but, but, but longer term, what's your point of view on, on, on that, that piece of, of the equation, people are talking about digital transformation, AI, we see robotic process automation. Initially, a lot of employees are really concerned. Whoa, they're gonna replace my job. We've certainly seen that. And you know, if you were, you see kiosks at the airport, people used to actually put up, you know, billboards and with, with the glue and paper and you know, those jobs are gone, but now other jobs are, are, are at risk. How do you think about that? What, what should companies like HPE and society do to help people get to the point where they can thrive in that environment? >>Yeah. Look, I, it, it's an observation that, that I could say based upon my career, I've seen for many, many years, I can remember back manufacturing when at least from a us perspective, many of those manufacturing firms were shedding jobs because of automation. And there are short term disruptions and those are real. Those are human. And we do have to help people through those. Now I think one obligation an employer has, is let's start with our own folks. Let's make sure we retrain them. Let's make sure we expose them to the latest skills. Let's give them an opportunity to grow and develop. So I think if we do those things, we can help people through those transitions over the long haul. I'm actually very optimistic. I believe that over time, people self-select, these things don't happen overnight. I'll give you one tiny little anecdote before the pandemic. All of this world about autonomous vehicles can eliminate truck drivers. Well, you know, back in the day I actually drove a truck and it's not just driving. You've gotta interact with somebody in a dock door. You've gotta do all kinds of other tasks that can't be automated. And so things will happen over time, but I don't think we're gonna see this massive social disruption people were worried about. There is an incumbent responsibility on firms to train their own people and to keep them up to speed. And that's something we're deeply committed to at HPE >>Is information technology, employment, a parallel. I mean, everybody thought the cloud was gonna destroy the it, you know, worker that didn't happen. They just sort of changed their skillset. They became, you know, cloud experts or cloud architects. Is there a parallel there? >>Yeah, I think there's absolutely a parallel. And while probably the, the rate of change is quicker in, in some tech industries than perhaps others. All we're doing is creating new markets and new opportunities. And ultimately the lack of, of skill that we have, the lack of talent in the external marketplace is gonna mean that it's still very much an opportunity for people to learn, grow, develop, and be employed. >>Do you think that's, it's a matter of, of, of awareness on people not really understanding that whether it's still fear? >>Well, I, I think there may be some of that, but again, I, I, I do think from a, a broader social perspective, there's probably some things that in the public policy we can do to improve education and training, particularly for new entrants and make sure they're learning the skills for tomorrow's jobs and not just today's, but can I'm optimistic. And I actually think most responsible companies get this. And if you talk to their CEOs, the top tier or three issues that they have include access to talent. So why don't we recycle repurpose and reuse to use the sustainability phrase instead of throwing people outta work that have all kinds of intellectual property and capability to be very productive. And that's what we do at HPE. >>And that curiosity, that's something that you can't teach, right? Exactly. Have it, or >>You don't. Exactly. >>So last question, in terms of, of looking at culture corporate culture, as a, as an accelerant, as a catalyst of digital transformation, how do you advise leadership teams? >>Well, I, we've done a fair amount of work in the last five years, defining the culture in very small frankly soundbites. And the way you make that come to life is back what I mentioned before. You have to engage people and ask them to debate it. What does it mean to say, commit and go? What does it mean to say force for good, those kind of conversations, help your culture evolve, help your culture become real and not just a bunch of words on some piece of paper or, or posters someplace. I will say from my experience, and, and particularly with a new entrance to the workforce, if you can't define your culture quickly for this next generation coming in, you're, you're, there's no way you're gonna attract that talent. And so put me on the spot. HPE is here to help people live and grow and work better, and we try to be a force for good. We focus on that and we create work that fits your life. Not the other way around. That's my elevator speech. It sounds pithy, but it's an invitation to have a deeper discussion. >>I love it. And I think this is only day one for us here, but I think that we're, we're seeing, and we're feeling that culture there's 8,000 or so HP folks, executives, partners, customers, ready to come back and innovate with each other. I think that culture is palpable, that you've created. >>Great. It's exciting. And thank you so much for being part of it. >>Thanks, Alan. Pleasure. Thanks, Alan. We appreciate your insights. Okay. For our guests. I'm Dave ante. I Lisa Martin stick around. You're watching the cube, the leader in live tech coverage, and we're gonna be back after your short break.
SUMMARY :
Welcome back to the cube. Thanks Dave. People are ready to be back to hear what HPE has been doing the last couple of years since the the gumption or the desire to change unless you care about something bigger than yourself Have to be good at sales, I guess, because you have to sell the mission. Well, I wouldn't say it's secret sauce, but you know, we define our mission is improving the way people work and You have to give your team members And are they, are we part of the vision? but the other piece is actually actively listening to our customers and The, you know, creating that great human condition might not necessarily be advantageous And frankly, some of the fun is figuring out how to get there. the culture and the ability for the company to move forward and obviously meet those customer nobody has, you know, basically a lock on innovation or what's You know, we're moving to, you know, someplace remote what's H And Dave, what you outlined is we seem to have I can't say we've got it all figured out, but I can tell you right now, you know, and hang out there and I'll work remote and I'll, I'll be productive. our centers of excellence to one of our offices, to one of our locations because that And I think that that, that smart organizations will What are some of the key skill sets these days that HPE is looking for to attract these And people expect me to say, And this goes back to our founder DNA. And at the end of the day, in the press about, you know, the impact on, on jobs and employment seems Well, you know, back in the day I actually drove a you know, cloud experts or cloud architects. of skill that we have, the lack of talent in the external marketplace is gonna mean And if you talk to their And that curiosity, that's something that you can't teach, right? You don't. the way you make that come to life is back what I mentioned before. And I think this is only day one for us here, but I think that we're, we're seeing, and we're feeling that culture And thank you so much for being part of it. and we're gonna be back after your short break.
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Frank Slootman, Snowflake | Snowflake Summit 2022
>>Hi, everybody. Welcome back to Caesars in Las Vegas. My name is Dave ante. We're here with the chairman and CEO of snowflake, Frank Luman. Good to see you again, Frank. Thanks for coming on. Yeah, >>You, you as well, Dave. Good to be with you. >>No, it's, it's awesome to be, obviously everybody's excited to be back. You mentioned that in your, in your keynote, the most amazing thing to me is the progression of what we're seeing here in the ecosystem and of your data cloud. Um, you wrote a book, the rise of the data cloud, and it was very cogent. You talked about network effects, but now you've executed on that. I call it the super cloud. You have AWS, you know, I use that term, AWS. You're building on top of that. And now you have customers building on top of your cloud. So there's these layers of value that's unique in the industry. Was this by design >>Or, well, you know, when you, uh, are a data clouding, you have data, people wanna do things, you know, with that data, they don't want to just, you know, run data operations, populate dashboards, you know, run reports pretty soon. They want to build applications and after they build applications, they wanna build businesses on it. So it goes on and on and on. So it, it drives your development to enable more and more functionality on that data cloud. Didn't start out that way. You know, we were very, very much focused on data operations, then it becomes application development and then it becomes, Hey, we're developing whole businesses on this platform. So similar to what happened to Facebook in many, in many ways, you know, >>There was some confusion I think, and there still is in the community of, particularly on wall street, about your quarter, your con the consumption model I loved on the earnings call. One of the analysts asked Mike, you know, do you ever consider going to a subscription model? And Mike got cut him off, then let finish. No, that would really defeat the purpose. Um, and so there's also a narrative around, well, maybe snowflake, consumption's easier to dial down. Maybe it's more discretionary, but I, I, I would say this, that if you're building apps on top of snowflake and you're actually monetizing, which is a big theme here, now, your revenue is aligned, you know, with those cloud costs. And so unless you're selling it for more, you know, than it costs more than, than you're selling it for, you're gonna dial that up. And that is the future of, I see this ecosystem in your company. Is that, is that fair? You buy that. >>Yeah, it, it is fair. Obviously the public cloud runs on a consumption model. So, you know, you start looking all the layers of the stack, um, you know, snowflake, you know, we have to be a consumption model because we run on top of other people's, uh, consumption models. Otherwise you don't have alignment. I mean, we have conversations, uh, with people that build on snowflake, um, you know, they have trouble, you know, with their financial model because they're not running a consumption model. So it's like square pack around hole. So we all have to align ourselves. So that's when they pay a dollar, you know, a portion goes to, let's say, AWS portion goes to the snowflake of that dollar. And the portion goes to whatever the uplift is, application value, data value, whatever it is to that goes on top of that. So the whole dollar, you know, gets allocated depending on whose value at it. Um, we're talking about. >>Yeah, but you sell value. Um, so you're not a SaaS company. Uh, at least I don't look at you that that way I I've always felt like the SAS pricing model is flawed because it's not aligned with customers. Right. If you, if you get stuck with orphaned licenses too bad, you know, pay us. >>Yeah. We're, we're, we're obviously a SaaS model in the sense that it is software as a service, but it's not a SaaS model in the sense that we don't sell use rights. Right. And that's the big difference. I mean, when you buy, you know, so many users from, you know, Salesforce and ServiceNow or whoever you have just purchased the right, you know, for so many users to use that software for this period of time, and the revenue gets recognized, you know, radically, you know, one month at a time, the same amount. Now we're not that different because we still do a contract the exact same way as SA vendor does it, but we don't recognize the revenue radically. We recognize the revenue based on the consumption, but over the term of the contract, we recognize the entire amount. It just is not neatly organized in these monthly buckets. >>You know? So what happens if they underspend one quarter, they have to catch up by the end of the, the term, is that how it works or is that a negotiation or it's >>The, the, the spending is a totally, totally separate from the consumption itself, you know, because you know how they pay for the contract. Let's say they do a three year contract. Um, you know, they, they will probably pay for that, you know, on an annual basis, you know, that three year contract. Um, but it's how they recognize their expenses for snowflake and how we recognize the revenue is based on what they actually consume. But it's not like you're on demand where you can just decide to not use it. And then I don't have any cost, but over the three year period, you know, all of that, you know, uh, needs to get consumed or they expire. And that's the same way with Amazon. If I don't consume what I buy from Amazon, I still gotta pay for it. You know, so, >>Well, you're right. Well, I guess you could buy by the drink, but it's way, way more expensive and nobody really correct. Does that, so, yep. Okay. Phase one, better simpler, you know, cloud enterprise data warehouse, phase two, you introduced the, the data cloud and, and now we're seeing the rise of the data cloud. What, what does phase three look like >>Now? Phase, phase three is all about applications. Um, and we've just learned, uh, you know, from the beginning that people were trying to do this, but we weren't instrumental at all to do it. So people would ODBC, you know, JDBC drivers just uses as database, right? So the entire application would happen outside, you know, snowflake, we're just a database. You connect to the database, you know, you read or right data, you know, you do data, data manipulations. And then the application, uh, processing all happens outside of snowflake. Now there's issues with that because we start to exfil trade data, meaning that we started to take data out of snowflake and, and put it, uh, in other places. Now there's risk for that. There's operational risk, there's governance, exposure, security issues, you know, all this kind of stuff. And the other problem is, you know, data gets Reed. >>It proliferates. And then, you know, data science tests are like, well, I, I need that data to stay in one place. That's the whole idea behind the data cloud. You know, we have very big infrastructure clouds. We have very big application clouds and then data, you know, sort of became the victim there and became more proliferated and more segment. And it's ever been. So all we do is just send data to the work all day. And we said, no, we're gonna enable the work to get to the data. And the data that stays in more in place, we don't have latency issue. We don't have data quality issues. We don't have lineage issues. So, you know, people have responded very, very well to the data cloud idea, like, yeah, you know, as an enterprise or an institution, you know, I'm the epicenter of my own data cloud because it's not just my own data. >>It's also my ecosystem. It's the people that I have data networking relationships with, you know, for example, you know, take, you know, uh, an investment bank, you know, in, in, in, in New York city, they send data to fidelity. They send data to BlackRock. They send data to, you know, bank of New York, all the regulatory clearing houses, all on and on and on, you know, every night they're running thousands, tens of thousands, you know, of jobs pushing that data, you know, out there. It just, and they they're all on snowflake already. So it doesn't have to be this way. Right. So, >>Yes. So I, I asked the guys before, you know, last week, Hey, what, what would you ask Frank? Now? You might remember you came on, uh, our program during COVID and I was asking you how you're dealing with it, turn off the news. And it was, that was cool. And I asked you at the time, you know, were you ever, you go on Preem and you said, look, I'll never say never, but it defeats the purpose. And you said, we're not gonna do a halfway house. Actually, you were more declarative. We're not doing a halfway house, one foot in one foot out. And then the guy said, well, what about that Dell deal? And that pure deal that you just did. And I, I think I know the answer, but I want to hear from you did a customer come to you and say, get you in the headlock and say, you gotta do this. >>Or it did happen that way. Uh, it, uh, it started with a conversation, um, you know, via with, uh, with Michael Dell. Um, it was supposed to be just a friendly chat, you know, Hey, how's it going? And I mean, obviously Dell is the owner of data, the main, or our first company, you know? Um, but it's, it, wasn't easy for, for Dell and snowflake to have a conversation because they're the epitome of the on-premise company and we're the epitome of a cloud company. And it's like, how, what do we have in common here? Right. What can we talk about? But, you know, Michael's a very smart, uh, engaging guy, you know, always looking for, for opportunity. And of course they decided we're gonna hook up our CTOs, our product teams and, you know, explore, you know, somebody's, uh, ideas and, you know, yeah. We had some, you know, starts and restarts and all of that because it's just naturally, you know, uh, not an easy thing to conceive of, but, you know, in the end it was like, you know what? >>It makes a lot of sense. You know, we can virtualize, you know, Dell object storage, you know, as if it's, you know, an S three storage, you know, from Amazon and then, you know, snowflake in its analytical processing. We'll just reference that data because to us, it just looks like a file that's sitting on, on S3. And we have, we have such a thing it's called an external table, right. That's, that's how we basically, it projects, you know, a snowflake, uh, semantic and structural model, you know, on an external object. And we process against it exactly the same way as if it was an internal, uh, table. So we just extended that, um, you know, with, um, with our storage partners, like Dell and pure storage, um, for it to happen, you know, across a network to an on-prem place. So it's very elegant and it, it, um, it becomes an, an enterprise architecture rather than just a cloud architecture. And I'm, I just don't know what will come of it. And, but I've already talked to customers who have to have data on premises just can't go anywhere because they process against it, you know, where it originates, but there are analytical processes that wanna reference attributes of that data. Well, this is what we'll do that. >>Yeah. I'm, it is interesting. I'm gonna ask Dell if I were them, I'd be talking to you about, Hey, I'm gonna try to separate compute from storage on prem and maybe do some of the, the work there. I don't even know if it's technically feasible. It's, I'll ask OI. But, um, but, but, but to me, that's an example of your extending your ecosystem. Um, so you're talking now about applications and that's an example of increasing your Tam. I don't know if you ever get to the edge, you know, we'll see, we're not quite quite there yet, but, um, but as you've said before, there's no lack of market for you. >>Yeah. I mean, obviously snowflake it it's, it's Genesis was reinventing database management in, in a cloud computing environment, which is so different from a, a machine environment or a cluster environment. So that's why, you know, we're, we're, we're not a, a fit for a machine centric, uh, environment sort of defeats the purpose of, you know, how we were built. We, we are truly a native solution. Most products, uh, in the clouds are actually not cloud native. You know, they, they originated the machine environments and you still see that, you know, almost everything you see in the cloud by the way is not cloud native, our generation of applications. They only run the cloud. They can only run the cloud. They are cloud native. They don't know anything else, >>You know? Yeah, you're right. A lot of companies would just wrap something in wrap their stack in Kubernetes and throw it into the cloud and say, we're in the cloud too. And you basically get, you just shifted. It >>Didn't make sense. Oh. They throw it in the container and run it. Right. Yeah. >>So, okay. That's cool. But what does that get you that doesn't change your operational model? Um, so coming back to software development and what you're doing in, in that regard, it seems one of the things we said about Supercloud is in order to have a Supercloud, you gotta have an ecosystem, you gotta have optionality. Hence you're doing things like Apache iceberg, you know, you said today, well, we're not sure where it's gonna go, but we offering options. Uh, but, but my, my question is, um, as it pertains to software developments specifically, how do you, so one of the things we said, sorry, I've lost my train there. One of the things we said is you have to have a super PAs in order to have a super cloud ecosystem, PAs layer. That's essentially what you've introduced here. Is it not a platform for our application development? >>Yeah. I mean, what happens today? I mean, how do you enable a developer, you know, on snowflake, without the developer, you know, reading the, the files out of snowflake, you know, processing, you know, against that data, wherever they are, and then putting the results set, God knows where, right. And that's what happens today. It's the wild west it's completely UN uncovered, right? And that's the reason why lots of enterprises will not allow Python anything anywhere near, you know, their enterprise data. We just know that, uh, we also know it from streamlet, um, or the acquisition, um, large acquisition that we made this year because they said, look, you know, we're, we have a lot of demand, you know, uh, in the Python community, but that's the wild west. That's not the enterprise grade high trust, uh, you know, corporate environment. They are strictly segregated, uh, today. >>Now do some, do these, do these things sometimes dribble up in the enterprise? Yes, they do. And it's actually intolerable the risk that enterprises, you know, take, you know, with things being UN uncovered. I mean the whole snowflake strategy and promises that you're in snowflake, it is a, an absolute enterprise grade environment experience. And it's really hard to do. It takes enormous investment. Uh, but that is what you buy from us. Just having Python is not particularly hard. You know, we can do that in a week. This has taken us years to get it to this level, you know, of, of, you know, governance, security and, and, you know, having all the risks around exfiltration and so on, really understood and dealt with. That's also why these things run in private previews and public previews for so long because we have to squeeze out, you know, everything that may not have been, you know, understood or foreseen, you know, >>So there are trade offs of, of going into this snowflake cloud, you get all this great functionality. Some people might think it's a walled garden. How, how would you respond to that? >>Yeah. And it's true when you have a, you know, a snowflake object, like a snowflake, uh, table only snowflake, you know, runs that table. And, um, you know, that, that is, you know, it's very high function. It's very sort of analogous to what apple did, you know, they have very high functioning, but you do have to accept the fact that it's, that it's not, uh, you know, other, other things in apple cannot, you know, get that these objects. So this is the reason why we introduce an open file format, you know, like, like iceberg, uh, because what iceberg effectively does is it allows any tool, uh, you know, to access that particular object. We do it in such a way that a lot of the functionality of snowflake, you know, will address the iceberg format, which is great because it's, you're gonna get much more function out of our, you know, iceberg implementation than you would get from iceberg on its own. So we do it in a very high value addeds, uh, you know, manner, but other tools can still access the same object in a read to write, uh, manner. So it, it really sort of delivers the original, uh, promise of the data lake, which is just like, Hey, I have all these objects tools come and go. I can use what I want. Um, so you get, you get the best of both worlds for the most part. >>Have you reminds me a little bit of VMware? I mean, VMware's a software mainframe, it's just better than >>Doing >>It on your own. Yep. Um, one of the other hallmarks of a cloud company, and you guys clearly are a cloud company is startups and innovation. Um, now of course you see that in, in the, in the ecosystem, uh, and maybe that's the answer to my question, but you guys are kind of whale hunters, <laugh> your customers are, tend to be bigger. Uh, is the, is the innovation now the extension of that, the ecosystem is that by design. >>Oh, um, you know, we have a enormous, uh, ISV following and, um, we're gonna have a whole separate conference like this, by the way, just for, yeah. >>For developers. I hope you guys will up there too. Yeah. Um, you know, the, the reason that, that the ISV strategy is very important for, you know, for, for, for, for many reasons, but, you know, ISVs are the people that are really going to unlock a lot of the value and a lot of the promise of data, right? Because you, you can never do that on your own. And the problem has been that for ISVs, it is so expensive and so difficult to build a product that can be used because the entire enterprise platform infrastructure needs to be built by somebody, you know, I mean, are you really gonna run infrastructure, database, operations, security, compliance, scalability, economics. How do you do that as a software company where really you only have your, your domain expertise that you want to deliver on a platform. You don't wanna do all these things. >>First of all, you don't know how to do it, how to do it well. Um, so it is much easier, much faster when there is already platform to actually build done in the world of clout that just doesn't, you know, exist. And then beyond that, you know, okay, fine building. It is sort of step one. Now I gotta sell it. I gotta market it. So how do I do that? Well, in the snowflake community, you have already market <laugh>, there's thousands and thousands of customers that are also on self lake. Okay. So their, their ability to consume that service that you just built, you know, they can search it, they can try it, they can test it and decide whether they want to consume it. And then, you know, we can monetize it. So all they have to do is cash the check. So the net effecti of it is we drastically lowered the barriers to entry into the world, you know, of software, you know, two men or two women in a dog, and a handful of files can build something that then can be sold, sort of to, for software developers. >>I wrote a piece 2012 after the first reinvent. And I, you know, and I, and I put a big gorilla on the front page and I said, how do you compete with Amazon gorilla? And then one of my answers was you build data ecosystems and you verticalize, and that's, that's what you're doing >>Here. Yeah. There certain verticals that are farther along than others, uh, obviously, but for example, in financial, uh, which is our largest vertical, I mean, the, the data ecosystem is really developing hardcore now. And that's, that's because they so rely on those relationships between all the big financial institutions and entities, regulatory, you know, clearing houses, investment bankers, uh, retail banks, all this kind of stuff. Um, so they're like, it becomes a no brainer. The network affects kick in so strongly because they're like, well, this is really the only way to do it. I mean, if you and I work in different companies and we do, and we want to create a secure, compliant data network and connection between us, I mean, it would take forever to get our lawyers to agree that yeah, it's okay. <laugh> right now, it's like a matter of minutes to set it up. If we're both on snowflake, >>It's like procurement, do they, do you have an MSA yeah. Check? And it just sail right through versus back and forth and endless negotiations >>Today. Data networking is becoming core ecosystem in the world of computing. You know, >>I mean, you talked about the network effects in rise of the data cloud and correct. Again, you know, you, weren't the first to come up with that notion, but you are applying it here. Um, I wanna switch topics a little bit. I, when I read your press releases, I laugh every time. Cause this says no HQ, Bozeman. And so where, where do you, I think I know where you land on, on hybrid work and remote work, but what are your thoughts on that? You, you see Elon the other day said you can't work for us unless you come to the office. Where, where do you stand? >>Yeah. Well, the, well, the, the first aspect is, uh, we really wanted to, uh, separate from the idea of a headquarters location, because I feel it's very antiquated. You know, we have many different hubs. There's not one place in the world where all the important people are and where we make all the important positions, that whole way of thinking, uh, you know, it is obsolete. I mean, I am where I need to be. And it it's many different places. It's not like I, I sit in this incredible place, you know, and that's, you know, that's where I sit and everybody comes to me. No, we are constantly moving around and we have engineering hubs. You know, we have your regional, uh, you know, headquarters for, for sales. Obviously we have in Malaysia, we have in Europe, you know? And, um, so I wanted to get rid of this headquarters designation. >>And, you know, the, the, the other issue obviously is that, you know, we were obviously in California, but you know, California is, is no longer, uh, the dominant place of where we are resident. I mean, 40% of our engineering people are now in be Washington. You know, we have hundreds of people in Poland where people, you know, we are gonna have very stressed location in Toronto. Um, yeah. Obviously our customers are, are everywhere, right? So this idea that, you know, everything is happening in, in one state is just, um, you know, not, not correct. So we wanted to go to no headquarters. Of course the SCC doesn't let you do that. Um, because they want, they want you to have a street address where the government can send you a mail and then it becomes, the question is, well, what's an acceptable location. Well, it has to be a place where the CEO and the CFO have residency by hooker, by crook. >>That happened to be in Bozeman Montana because Mike and I are both, it was not by design. We just did that because we were, uh, required to, you know, you know, comply with government, uh, requirements, which of course we do, but that's why it, it says what it says now on, on the topic of, you know, where did we work? Um, we are super situational about it. It's not like, Hey, um, you know, everybody in the office or, or everybody is remote, we're not categorical about it. Depends on the function, depends on the location. Um, but everybody is tethered to an office. Okay. In words, everybody has a relationship with an office. There's, there's almost nobody, there are a few exceptions of people that are completely remote. Uh, but you know, if you get hired on with snowflake, you will always have an office affiliation and you can be called into the office by your manager. But for purpose, you know, a meeting, a training, an event, you don't get called in just to hang out. And like, the office is no longer your home away from home. Right. And we're now into hotel, right? So you don't have a fixed place, you know? So >>You talked in your keynote a lot about last question. I let you go customer alignment, obviously a big deal. I have been watching, you know, we go to a lot of events, you'll see a technology company tell a story, you know, about their widget or whatever it was their box. And then you'll see an outcome and you look at it and you shake your head and say, well, that the difference between this and that is the square root of zero, right. When you talk about customer alignment today, we're talking about monetizing data. Um, so that's a whole different conversation. Um, and I, I wonder if you could sort of close on how that's different. Um, I mean, at ServiceNow, you transformed it. You know, I get that, you know, data, the domain was okay, tape, blow it out, but this is a, feels like a whole new vector or wave of growth. >>Yeah. You know, monetizing, uh, data becomes sort of a, you know, a byproduct of having a data cloud you all of a sudden, you know, become aware of the fact that, Hey, Hey, I have data and be that data might actually be quite valuable to parties. And then C you know, it's really easy to then, you know, uh, sell that and, and monetize that. Cause if it was hard, forget it, you know, I don't have time for it. Right. But if it's relatively, if it's compliant, it's relatively effortless, it's pure profit. Um, I just want to reference one attribute, two attributes of what you have, by the way, you know, uh, hedge funds have been into this sort of thing, you know, for a long time, because they procure data from hundreds and hundreds of sources, right. Because they're, they are the original data scientists. >>Um, but the, the bigger thing with data is that a lot of, you know, digital transformation is, is, is finally becoming real. You know, for years it was arm waving and conceptual and abstract, but it's becoming real. I mean, how do we, how do we run a supply chain? You know, how do we run, you know, healthcare, um, all these things are become are, and how do we run cyber security? They're being redefined as data problems and data challenges. And they have data solutions. So that's right. Data strategies are insanely important because, you know, if, if the solution is through data, then you need to have, you know, a data strategy, you know, and in our world, that means you have a data cloud and you have all the enablement that allows you to do that. But, you know, hospitals, you know, are, are saying, you know, data science is gonna have a bigger impact on healthcare than life science, you know, in the coming, whatever, you know, 10, 20 years, how do you enable that? >>Right. I, I have conversations with, with, with hospital executives are like, I got generations of data, you know, clinical diagnostic, demographic, genomic. And then I, I am envisioning these predictive outcomes over here. I wanna be able to predict, you know, once somebody's gonna get what disease and you know, what I have to do about it, um, how do I do that? <laugh> right. The day you go from, uh, you know, I have a lot of data too. I have these outcomes and then do me a miracle in the middle, in the middle of somewhere. Well, that's where we come in. We're gonna organize ourselves and then unpack thats, you know, and then we, we work, we through training models, you know, we can start delivering some of these insights, but the, the promise is extraordinary. We can change whole industries like pharma and, and, and healthcare. Um, you know, 30 effects of data, the economics will change. And you know, the societal outcomes, you know, um, quality of life disease, longevity of life is quite extraordinary. Supply chain management. That's all around us right >>Now. Well, there's a lot of, you know, high growth companies that were kind of COVID companies, valuations shot up. And now they're trying to figure out what to do. You've been pretty clear because of what you just talked about, the opportunities enormous. You're not slowing down, you're amping it up, you know, pun intended. So Frank Luman, thanks so much for coming on the cube. Really appreciate your time. >>My pleasure. >>All right. And thank you for watching. Keep it right there for more coverage from the snowflake summit, 2022, you're watching the cube.
SUMMARY :
Good to see you again, Frank. You have AWS, you know, I use that term, AWS. you know, with that data, they don't want to just, you know, run data operations, populate dashboards, One of the analysts asked Mike, you know, do you ever consider going to a subscription model? with people that build on snowflake, um, you know, they have trouble, you know, with their financial model because bad, you know, pay us. you know, so many users from, you know, Salesforce and ServiceNow or whoever you have just purchased the they, they will probably pay for that, you know, on an annual basis, you know, that three year contract. Phase one, better simpler, you know, cloud enterprise data warehouse, You connect to the database, you know, you read or right data, you know, you do data, data manipulations. like, yeah, you know, as an enterprise or an institution, you know, I'm the epicenter of you know, for example, you know, take, you know, uh, an investment bank, you know, in, you know, were you ever, you go on Preem and you said, look, I'll never say never, but it defeats the purpose. just naturally, you know, uh, not an easy thing to conceive of, but, you know, You know, we can virtualize, you know, Dell object storage, you know, I don't know if you ever get to the edge, you know, we'll see, we're not quite quite there yet, So that's why, you know, we're, And you basically get, you just shifted. Oh. They throw it in the container and run it. you know, you said today, well, we're not sure where it's gonna go, but we offering options. you know, on snowflake, without the developer, you know, reading the, the files out of snowflake, And it's actually intolerable the risk that enterprises, you know, take, So there are trade offs of, of going into this snowflake cloud, you get all this great functionality. uh, you know, other, other things in apple cannot, you know, get that these objects. Um, now of course you see that Oh, um, you know, we have a enormous, uh, ISV following and, be built by somebody, you know, I mean, are you really gonna run infrastructure, you know, of software, you know, two men or two women in a dog, and a handful of files can build you know, and I, and I put a big gorilla on the front page and I said, how do you compete with Amazon gorilla? regulatory, you know, clearing houses, investment bankers, uh, retail banks, It's like procurement, do they, do you have an MSA yeah. Data networking is becoming core ecosystem in the world of computing. Again, you know, It's not like I, I sit in this incredible place, you know, and that's, And, you know, the, the, the other issue obviously is that, you know, we were obviously in California, We just did that because we were, uh, required to, you know, you know, I have been watching, you know, we go to a lot of events, you'll see a technology company tell And then C you know, you know, a data strategy, you know, and in our world, that means you have a data cloud and you have all the enablement that thats, you know, and then we, we work, we through training models, you know, you know, pun intended. And thank you for watching.
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Sarbjeet Johal, Stackpane | AWS Summit SF 2022
(calm music) >> Okay, welcome back everyone to theCUBE's live coverage here on the floor at Moscone south in San Francisco California for AWS summit, 2022. This is part of their summit conferences, not re:Invent it's kind of like becoming like regional satellite, mini re:Invents, but it's all part of education developers. Of course theCUBE's here. We're going to be at the AWS summit in New York city, only two this year. And this summer check us out. Of course, re:MARS is another event we're going to be going to so check us out there as well. And of course re:Invent at the end of the year and re:Inforce the security conference in Boston. So, Sarbjeet Johal, our next guest here. CUBE alumni, CUBE influencer, influencer in the cloud industry. Sarbjeet great to see you. Thanks for coming on. Oh, by the way, we'll be at Boston re:Inforce, re:Invent in December, re:MARS which is the robotics AI show, and of course the summit here in San Francisco and New York city, the hot areas. >> That's cool. >> Great to see you. >> Good to see you too. >> Okay. I got a lot of data to report. You've been on the floor talking to people. What are you finding out? What's the report? >> The report is actually, I spoke to three people from AWS earlier. As said one higher up guy from the doctor, Casey Tan. He works on French SaaS chips and he gave me a low down on how that thing works. And there's a systolic arrays TPUs, and like a lot of insider stuff >> Like deep Silicon chip stuff. >> Yes. And that they're doing some great stuff there. And of course that works for us at scale and for cloud guys it's all about scale. If you're saving pennies at that scale, you're saving millions and maybe hundreds of millions at some point. Right? So that was one. And I also spoke to the analytics guys and they gave me some low-down on the Glue announcements. How the big data processing is happening at AWS and how they are now giving you the ability where your infrastructure hugs your demand. So you're not wasting any sources. So that was a number one complaint with the Glue from AWS. So that was one. And then I did the DeepRacing race and my timings were like number 78. So. >> You got some work to do. You download your machine learning module. >> No, I will do that and then play with it. Yes. I will train one. >> You like a simulation too? >> Yeah. Yeah. I will do that simulation, yes. >> What else? Anything jump off the page for you. What's the highlight if you could point at something? Did anything pop up at you in this event with AWS? Was there any aha moment or something that just jumps off the page? >> I think it was mainly sort of incremental to be honest with you. And the one thing-- >> Nothing earth shattering >> Nothing earth shattering and that at the summit it's like that, you know, like it but they are doing new announcements of like almost every day with new services. So I would go home and read on that but there are some patterns that we are seeing emerging and there are some folks very active on Twitter. Mark in recent just did very controversial kind of tweet couple of days back. That was, that was hard. >> Was he shit posting again? >> Shit posting. Yeah. He was shit posting actually, according to actually I saw Corey as well on the floor, Corey and Rodrigo. And, and-- >> Did you see Corey's interview with me? We were talking about shit posting 'cause he wrote in this newsletter. Mark and recently Elon Musk, they're all kind of like they're really kind of active on Twitter with a lot of highly intelligent snarkiness. >> They're super intelligent and they know the patterns, they know the economics and technology. Super smart guys and yeah. Who is in control, there was a move from the middle seat and social media kind of side of things where people are controlling the narratives and who controls the narrative. Is it billionaires? Is it government? We see that. >> Well I mean, it's interesting seeing the power. I mean, I call it the revenge of the nerds. You got the billionaires who are looking at the political screw-ups that Facebook and others have done. And by not being clear and it's hard, it's a hard problem to solve. I don't really want to be in their seat. Even Andy Jassy is the CEO of AWS. What is he? I mean, he's dealing with problems that for some people would be their worst part of like they could ever dream of scenario. He's dealing with that at breakfast. And then throughout his day, he's got all kinds of Amazon's so big and Apple and you got Google and you got the fan companies. So, you know, at some point tech is now so part of society, it's not just the nerds from California. It's tech is in everything now. So it's a societal impact. And so there's consequences for stuff. And so you're starting to see this force for good that's come from the sustainability angle. You're going to start to see force for good with technology as it relates to people's lives. And we had Mapbox on the CUBE and they provide all this navigation and Gareth the guy who runs that division, he talks about dark kitchens, dark stores. So just they're re-engineering the supply chain of delivery. So we all been to restaurants and seen people there from picking up food delivery. Why are they going to the retail? So dark kitchens are just basically depots for supplying the 10 menus that everyone orders from. That's a change of a structural change in the industry. So that's jumped out at me, Matt Wood spoke to me about serverless impact to the analytics team. And again, structural changes, technical and culture. Right? So, so you're starting to see to me more and more of the two themes of some technology change, architectural change, system change and culture thinking. And you know, we had a 20 year old guest on here who was first worked at Amazon web services when he was 16. >> Wow. >> Graduated high school early and went into Amazon. He's like, I love tools. So people love tools. Hardware is coming back. Right? So I mean Sarbjeet this is crazy. >> It's crazy. >> What's going on. >> It's crazy actually. Remember the nine year old kid at re:Invent 2019. Karthick was the name if I remember, but I spoke to him and he was crazy. He was AWS certified and kids are playing with this technology in their high schools. >> It's awesome. >> And even in their elementary schools now. >> They can get their hands on it quicker. They don't need to go in full class for a year. They can self-teach, they can do side projects they can launch a side hustle, they can stand up a headless retail outlet, who knows what they can do if you got the Lego blocks. This is what I love about the cloud, you can really show something fast and then abandon it. >> Actually, I think it is all enabled through cloud. Like the accessibility of technology has gone like exponentially, like wildfire. Like once you have access to the cloud just all you need is connection to the internet. After that you have the VMs. and you have the serverless, there's zero cost to you. And things are thrown at you. Somebody who was saying that earlier here like we have said that many times it's like that's how the drug dealer, you know, sell the drug. Like sniff it, it's free, >> First is free. >> So they're doing it. Yes. >> We say that about theCUBE. >> And from the, I see cloud from two different angles, like we all do. And like, I try to sort of force myself to look at it from the both angles. There's the supplier side and the buyer side or the consumer side on the other side. Right? So from the supplier side, it's a race for talent to build it, number one, then number two is race for talent to train them. So we saw the numbers and millions being shown today at the keynote again. And Google is showing those numbers as well. Like how many millions they are training like 25 to 30 million people within next two, three years. It's crazy numbers. >> Sarbjeet I got to say so if I have to look at what jumped off the page for me on this event, was couple things and this is kind of weird nuanced stuff but I'll just try to explain it as best I can. Number one, we're going to see more managed services like DevOps managed services. As DevOps teams grow, talent is a problem. And Kubernetes obviously is growing and got to get that right. It's not easy to be a Kubernetes, you know slinging clusters around with Kubernetes. It's hard. I think that's got to get easier. So I think the path to easy is going to be some sort of abstraction service layer. And I think the smart people are going to have this layer will manage it and then provide that as a service, number one. Number two is this notion of a systems design thinking around elements, whether it's storage or maps for like Mapbox and around these elements they have to have a systematic effect of other things. You can't just, if it changes, it's going to have consequences that's what systems do. So, tooling being built around these elements and they have to have hardened APIs that is clear. People who are trying to be "cloud native" need to get this right. And you have to have the tooling in and around the the element and then have APIs to connect and then glue up. So it's interesting. Clearly those things are happening and multiple conversations, people were teasing that out. And then obviously the super cloud was coming in. >> Is there. >> Mapbox is basically a super cloud. They're like what snowflake is for data analytics. They are for-- >> MongoDB is another one. >> MongoDB's got Atlas. I mean, MongoDB was criticized for years. Doesn't scale. Remember the old lamp stack days, they were preferred. They're document, they nailed it with document. The document aspects of data, but they were always getting criticized. They can't scale. And they just keep scaling. But now with Atlas, they're on AWS. It's just, auto scale. So that's killer for MongoDB. So I think their stock price is undervalued my opinion but you know, I don't give legal advice. >> I think that the whole notion of-- >> Or financial advice. >> The multicloud, right? So for a multicloud to kill that complexity of multicloud, we have to go to the what Dave Vellante and you guys say super cloud, right? Another level of abstraction on top of infrastructure provider by AWS, Google cloud, Azure. So that's where we're going. >> Well, Dave and I debate this right, he bundles multi-cloud in there and most people think that's what he's saying but I'm saying multi-cloud is a reality. I mean, multi-cloud means you're going to have multiple clouds. They're just not you're not sharing workloads across those clouds. It's like not the same workload. That's not going to yet happen. I run Azure because I have 365, that's it. I run Amazon for everything else. That's kind of the use case. But to me, super cloud is building on top of AWS or Azure where you leverage their CapEx and create differentiated value. It's your own cloud without all the CapEx but it's got to be like super integrated and the benefit's got to be so good that it seems like pennies to your point earlier. >> Yeah. >> And the economics to the applications in it are just so obvious and they got to be they got to be so big for the application developer. So that's to me is super cloud. And then of course having the connected tissue to manage the transit around multiple clouds. >> Yeah. I think they have it too. I totally agree with you. But another thing is from having the developer background I think the backward compatibility is a huge issue in cloud. >> Yeah. I agree. >> It's a lot of technical debt being built and I hear that, I'm hearing that more and more. I think that we have to solve as industry as like these three main players have to solve that problem. So that's one big thing, actually. I'm very like after, you know, like to talk about it and all that stuff. So yeah. It's another thing is another pattern actually to all the cloud naysayers out there, right? Is that those are the people who come from the hardware background. So I've seen another pattern out there. So I'm trying to synthesize, who are these people who bash cloud all the time? I'm pro-cloud of course everybody knows that. >> We know you're pro, we're all pro cloud. We're totally biased. We love cloud >> Actually. No, I've seen both sides. I've seen both sides. I've worked at EMC, VMware, I worked at Oracle cloud as well. And then, and before that I have written a lot of software. A software developer is pro-cloud. A typical hardware ops guy or girl, they are pro on-prem or pro hybrid and all that. Like they try to keep it there. >> I think first of all, I have opinion on this. I think, I think you're right. But how hardware is coming back, if you look at how cloud is enabling hardware, it's retro, it's designed for the cloud. So hardware's going to offload, either accelerate stuff and offload stuff from the software guide. So look at DeepRacer it's hardware. Now it's a car. You've got the silicon and the chips. So the chips you're talking about. Those aren't chips for service and the data center. They're just chips to make the software in the cloud run better. >> Sarbjeet: Well scale. >> So scaling. And so I think we're going to see a Renaissance in hardware. It's going to look different. It's going to act different. So we're watching this. I mean, you brought up the idea of having a CUBE hardware box. >> Yeah. It's a great idea. >> It's a good idea. DM me and tell me it's a bad idea or good idea. I'll blame Sarbjeet for that. But what else have you learned? >> What else have learnt actually it's basically boils down to economics at the end of the day. It's about moving fast. It's about having developer productivity, again going back the cloud naysayers. It's like, why did you build a bike? Remember Steve Job used to say that, "computer is the bicycle for the human minds." >> Yes. >> Right. So cloud is the bicycle for the enterprises. They makes them move faster. 'So I think that's-- >> All right. We're closing down. We're going to hold on until they pull the plug on theCUBE literally. Sarbjeet great to see you on there. Check 'em out on Twitter. Great event. Good to see you, great report. Thank for sharing. Sarbjeet Johal here on theCUBE, taking over our community site I hear, right? Now you going to work-- >> I'm there. I'm always there. >> Great to have you on. I'm going to work on some new things with theCUBE. Really appreciate working with us. Thanks a lot. >> I really appreciate you guys giving me this platform. It's an amazing platform. Thank you very much. >> That's all right. We'll be back. That's it for our coverage of AWS summit 2020 here live on the floor. Events are back. Hybrid's back. We get theCUBE studios in Palo Alto in Boston. Re:invent at the end of the year but we're going to the summit in New York city. In the summer, we got re:Inforce in Boston the security conference. Re:MARS which is the robotics IML conference. And of course the big summit New York and San Francisco we're there of course. Share thecube.net for all the action. I'm John for your host with Sarbjeet here. Closing out the show. Thanks for watching. (Calm music)
SUMMARY :
and of course the summit here You've been on the I spoke to three people And I also spoke to the analytics guys You download your machine learning module. and then play with it. do that simulation, yes. What's the highlight if you And the one thing-- at the summit it's like to actually I saw Corey of active on Twitter with a lot from the middle seat and social media kind and more of the two themes So I mean Sarbjeet this is crazy. Remember the nine year And even in their They don't need to go in and you have the serverless, So they're doing it. So from the supplier side, and they have to have They're like what snowflake Remember the old lamp stack So for a multicloud to and the benefit's got to be so good And the economics to the applications having the developer background know, like to talk about it We know you're pro, I worked at Oracle cloud as well. and offload stuff from the software guide. It's going to look different. It's a great idea. But what else have you learned? "computer is the bicycle So cloud is the bicycle Sarbjeet great to see you on there. I'm there. Great to have you on. I really appreciate you And of course the big summit New York
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Johnny Dallas, Zeet | AWS Summit SF 2022
>>Hello, and welcome back to the live cube coverage here in San Francisco, California, the cube live coverage. Two days, day two of a summit 2022, a summit New York city coming up in the summer. We'll be there as well. Events are back. I'm the host, John fur, the cube got great guest here, Johnny Dallas with Ze. Um, here's on the cube. We're gonna talk about his background. Uh, little trivia here. He was the youngest engineer ever worked at Amazon at the age. 17 had to get escorted into reinvent in Vegas cause he was underage <laugh> with security, all good stories. Now the CEO of gonna called Ze know DevOps kind of focus, managed service, a lot of cool stuff, John, welcome to the cube. >>Thanks John. Great. >>So tell a story. You were the youngest engineer at AWS. >>I was, yes. So I used to work at a company called Bebo. I got started very young. I started working when I was about 14, um, kind of as a software engineer. And when I, uh, was about 16, I graduated out of high school early. Um, worked at this company, Bebo running all of the DevOps at that company. Um, I went to reinvent in about 2018 to give a talk about some of the DevOps software I wrote at that company. Um, but you know, as many of those things are probably familiar with reinvent happens in a casino and I was 16, so I was not able to actually go into the casino on my own <laugh> um, so I'd have <inaudible> security as well as C security escort me in to give my talk. >>Did Andy jazzy, was he aware of this? >>Um, you know, that's a great question. I don't know. <laugh> >>I'll ask him great story. So obviously you started a young age. I mean, it's so cool to see you jump right in. I mean, I mean, you never grew up with the old school that I used to grew up in loading package software, loading it onto the server, deploying it, plugging the cables in, I mean you just rocking and rolling with DevOps as you look back now what's the big generational shift because now you got the Z generation coming in, millennials are in the workforce. It's changing. Like no one's putting package software on servers. >>Yeah, no, I mean the tools keep getting better, right? We, we keep creating more abstractions that make it easier and easier. When I, when I started doing DevOps, I could go straight into E two APIs. I had APIs from the get go and you know, my background was, I was a software engineer. I never went through like the CIS admin stack. I, I never had to, like you said, rack servers, myself. I was immediately able to scale to I, I was managing, I think 2,500 concurrent servers across every Ables region through software. It was a fundamental shift. >>Did you know what an SRE was at that time? Uh, you were kind of an SRE on >>Yeah, I was basically our first SRE, um, familiar with the, with the phrasing, but really thought of myself as a software engineer who knows cloud APIs, not a SRE. >>All right. So let's talk about what's what's going on now, as you look at the landscape today, what's the coolest thing that's going on in your mind and cloud? >>Yeah, I think the, I think the coolest thing is, you know, we're seeing the next layer of those abstraction tools exist and that's what we're doing with Ze is we've basically gone and we've, we're building an app platform that deploys onto your cloud. So if you're familiar with something like Carku, um, where you just click a GitHub repo, uh, we actually make it that easy. You click a GI hub repo and it'll deploy on a AWS using Al AWS tools. >>So, right. So this is Z. This is the company. Yes. How old's the company >>About a year and a half old now. >>Right. So explain what it does. >>Yeah. So we make it really easy for any software engineer to deploy on a AWS. Um, that's not SREs. These are the actual application engineers doing the business logic. Mm-hmm <affirmative> they don't really want to think about Yamo. They don't really want to configure everything super deeply. Um, they want to say, run this API on a AWS in the best way possible. We've encoded all the best practices into software and we set it up for you. >>Yeah. So I think the problem you're solving is, is that there's a lot of want to be DevOps engineers. And then they realize, oh shit, I don't wanna do this. Yeah. And the people want to do it. They loved under the hood. Right. People love that infrastructure, but the average developer needs to actually be as agile on scale. So that seems to be the problem you solve. Right? Yeah. >>We, we, we give way more productivity to each individual engineer, you know? >>All right. So let me ask you a question. So let me just say, I'm a developer. Cool. I built this new app. It's a streaming app or whatever. I'm making it up cube here, but let's just say I deploy it. I need your service. But what happens about when my customers say, Hey, what's your SLA? The CDN went down from this it's flaky. Does Amazon have? So how do you handle all that SLA reporting that Amazon provides? Cause they do a good job with sock reports all through the console. But as you start getting into DevOps and sell your app, mm-hmm <affirmative> you have customer issues. You, how do you view that? Yeah, >>Well, I, I think you make a great point of AWS has all this stuff already. AWS has SLAs. AWS has contract. Aw, has a lot of the tools that are expected. Um, so we don't have to reinvent the wheel here. What we do is we help people get to those SLAs more easily. So, Hey, this is a AWS SLA as a default. Um, Hey, we'll configure your services. This is what you can expect here. Um, but we can really leverage AWS reli ability of you don't have to trust us. You have to trust S and trust that the setup is good there. >>Do you handle all the recovery or mitigation between, uh, identification say downtime for instance, oh, the servers not 99% downtime, uh, went down for an hour, say something's going on? And is there a service dashboard? How does it get what's the remedy? Do you have, how does all that work? >>Yeah, so we have some built in remediation. You know, we, we basically say we're gonna do as much as we can to keep your endpoint up 24 7 mm-hmm <affirmative>. If it's something in our control, we'll do it. If it's a disc failure, that's on us. If you push bad code, we won't put out that new version until it's working. Um, so we do a lot to make sure that your endpoint stays up, um, and then alert you if there's a problem that we can't fix. So cool. Hey, S has some downtime, this thing's going on. You need to do this action. Um, we'll let you know. >>All right. So what do you do for fun? >>Yeah, so, uh, for, for fun, um, a lot of side projects. <laugh>, uh, >>What's your side hustle right now. You got going on >>The, uh, it's a lot of schools playing >>With serverless. >>Yeah. Playing with a lot of serverless stuff. Um, I think there's a lot of really cool Lam stuff as well, going on right now. Um, I love tools is, is the truest answer is I love building something that I can give to somebody else. And they're suddenly twice as productive because of it. Um, >>That's a good feeling, isn't it? Oh >>Yeah. There's nothing >>Like that. Tools versus platforms. Mm-hmm, <affirmative>, you know, the expression, too many tools in the tool, she becomes, you know, tools for all. And then ultimately tools become platforms. What's your view on that? Because if a good tool works and starts to get traction, you need to either add more tools or start building a platform platform versus tool. What's your, what's your view on our reaction to that kind of concept debate? >>Yeah, it's a good question. Uh, we we've basically started as like a, a platform. First of we've really focused on these, uh, developers who don't wanna get deep into the DevOps. And so we've done all of the piece of the stacks. We do C I C D management. We do container orchestration, we do monitoring. Um, and now we're, spliting those up into individual tools so they can be used awesome in conjunction more. >>Right. So what are some of the use cases that you see for your service? It's DevOps basically nano service DevOps for people on a DevOps team. Do clients have a DevOps person and then one person, two people what's the requirements to run >>Z? Yeah. So we we've got teams, um, from no DevOps is kind of when they start and then we've had teams grow up to about, uh, five, 10 man DevOps teams. Mm-hmm <affirmative> um, so, you know, as more structured people come in, because we're in your cloud, you're able to go in and configure it on top you're we can't block you. Uh, you wanna use some new AOL service. You're welcome to use that alongside the stack that we deploy for >>You. How many customers do you have now? >>So we've got about 40 companies that are using us for all of their infrastructure, um, kind of across the board, um, as well as >>What's the pricing model. >>Uh, so our pricing model is we, we charge basically similar to an engineer salary. So we charge, uh, a monthly rate. We have plans at 300 bucks a month, a thousand bucks a month, and then enterprise plan for based >>On the requirement scale. Yeah. You know, so back into the people cost, you must offer her discounts, not a fully loaded thing, is it? >>Yeah. There's a discounts kind of at scale, >>Then you pass through the Amazon bill. >>Yeah. So our customers actually pay for the Amazon bill themselves. Oh. So >>They have their own >>Account. There's no margin on top. You're linking your Aless account in, um, it, which is huge because we can, we are now able to help our customers get better deals with Amazon. Um, got it. We're incentivized on their team to drive your cost down. >>And what's your unit main unit of economics software scale. >>Yeah. Um, yeah, so we, we think of things as projects. How many services do you have to deploy as that scales up? Um, awesome. >>All right. You're 20 years old now you not even can't even drink legally. <laugh> what are you gonna do when you're 30? We're gonna be there. >>Well, we're, uh, we're making it better. And >>The better, the old guy on the cube here. >><laugh> I think, uh, I think we're seeing a big shift of, um, you know, we've got these major clouds. AWS is obviously the biggest cloud. Um, and it's constantly coming out with new services. Yeah. But we're starting to see other clouds have built many of the common services. So Kubernetes is a great example. It exists across all the clouds. Um, and we're starting to see new platforms come up on top that allow you to leverage tools from multiple clouds. At the same time. Many of our customers actually have AWS as their primary cloud and they'll have secondary clouds or they'll pull features from other clouds into AWS, um, through our software. I think that I'm very excited by that. And I, uh, expect to be working on that when I'm 30. Awesome. >>Well, you gonna have a good future. I gotta ask you this question cuz uh, you know, I've always, I was a computer science undergraduate in the, in the eighties and um, computer science back then was hardcore, mostly systems OS stuff, uh, database compiler. Um, now there's so much compi, right? So mm-hmm <affirmative> how do you look at the high school college curriculum experience slash folks who are nerding out on computer science? It's not one or two things much. You've got a lot of, a lot of things. I mean, look at Python, data engineering, merging as a huge skill. What's it? What's it like for college kids now and high school kids? What, what do you think they should be doing if you had to give advice to your 16 year old self back a few years ago now in college? Um, I mean Python's not a great language, but it's super effective for coding and the data's really relevant, but it's you got other language opportunities, you got tools to build. So you got a whole culture of young builders out there. What should, what should people gravitate to in your opinion stay away from yeah. Or >>Stay away from that's a good question. I, I think that first of all, you're very right of the, the amount of developers is increasing so quickly. Um, and so we see more specialization. That's why we also see, you know, these SREs that are different than typical application engineering. You get more specialization in job roles. Um, I think if, what I'd say to my 16 year old self is do projects, um, the, I learned most of my, what I've learned just on the job or online trying things, playing with different technologies, actually getting stuff out into the world, um, way more useful than what you'll learn in kind of a college classroom. I think classrooms great to, uh, get a basis, but you need to go out and experiment actually try things. >>You know? I think that's great advice. In fact, I would just say from my experience of doing all the hard stuff and cloud is so great for just saying, okay, I'm done, I'm abandoning the project. Move on. Yeah. Because you know, it's not gonna work in the old days. You have to build this data center. I bought all this certain, you know, people hang on to the old, you know, project and try to force it out there. >>You can launch a project, >>Can see gratification, it ain't working <laugh> or this is shut it down and then move on to something new. >>Yeah, exactly. Instantly you should be able to do that much more quickly. Right. >>So you're saying get those projects and don't be afraid to shut it down. Mm-hmm <affirmative> that? Do you agree with that? >>Yeah. I think it's ex experiment. Um, you're probably not gonna hit it rich on the first one. It's probably not gonna be that idea is DJing me this idea. So don't be afraid to get rid of things and just try over and over again. It's it's number of reps that a win. >>I was commenting online. Elon Musk was gonna buy Twitter, that whole Twitter thing. And, and, and someone said, Hey, you know, what's the, I go look at the product group at Twitter's been so messed up because they actually did get it right on the first time <laugh> and, and became such a great product. They could never change it because people would freak out and the utility of Twitter. I mean, they gotta add some things, the added button and we all know what they need to add, but the product, it was just like this internal dysfunction, the product team, what are we gonna work on? Don't change the product so that you kind of have there's opportunities out there where you might get the lucky strike, right. Outta the gate. Yeah. Right. You don't know, >>It's almost a curse too. It's you're not gonna Twitter. You're not gonna hit a rich second time too. So yeah. >><laugh> Johnny Dallas. Thanks for coming on the cube. Really appreciate it. Give a plug for your company. Um, take a minute to explain what you're working on, what you're looking for. You're hiring funding. Customers. Just give a plug, uh, last minute and have the last word. >>Yeah. So, um, John Dallas from Ze, if you, uh, need any help with your DevOps, if you're a early startup, you don't have DevOps team, um, or you're trying to deploy across clouds, check us out ze.com. Um, we are actively hiring. So if you are a software engineer excited about tools and cloud, or you're interested in helping getting this message out there, hit me up. Um, find a Z. >>Yeah. LinkedIn Twitter handle GitHub handle. >>Yeah. I'm the only Johnny on a LinkedIn and GitHub and underscore Johnny Dallas underscore on Twitter. Right? Um, >>Johnny Dallas, the youngest engineer working at Amazon. Um, now 20 we're on great new project here. The cube builders are all young. They're growing in to the business. They got cloud at their, at their back it's, uh, tailwind. I wish I was 20. Again, this is a cue. I'm John for your host. Thanks for watching. >>Thanks.
SUMMARY :
John fur, the cube got great guest here, Johnny Dallas with Ze. So tell a story. Um, but you know, Um, you know, that's a great question. I mean, it's so cool to see you jump right in. get go and you know, my background was, I was a software engineer. Yeah, I was basically our first SRE, um, familiar with the, with the phrasing, but really thought of myself as a software engineer So let's talk about what's what's going on now, as you look at the landscape today, what's the coolest Yeah, I think the, I think the coolest thing is, you know, we're seeing the next layer of those abstraction tools exist So this is Z. This is the company. So explain what it does. Um, they want to say, So that seems to be the problem you solve. So how do you handle all that SLA reporting that Amazon provides? This is what you can expect here. Um, we'll let you know. So what do you do for fun? Yeah, so, uh, for, for fun, um, a lot of side projects. What's your side hustle right now. Um, I think there's a lot of really cool Lam stuff as well, going on right now. Mm-hmm, <affirmative>, you know, the expression, too many tools in the tool, Um, and now we're, spliting those up into individual tools so they can be used awesome in conjunction more. So what are some of the use cases that you see for your service? Mm-hmm <affirmative> um, so, you know, as more structured people come in, So we charge, uh, On the requirement scale. Oh. So Um, got it. How many services do you have to deploy as that scales up? <laugh> what are you gonna do when you're And <laugh> I think, uh, I think we're seeing a big shift of, um, you know, So mm-hmm <affirmative> how do you look at the high school college curriculum experience I think classrooms great to, uh, get a basis, but you need to go out and experiment actually try things. I bought all this certain, you know, move on to something new. Instantly you should be able to do that much more quickly. Do you agree with that? So don't be afraid to get rid of things and Don't change the product so that you kind of have there's opportunities out there where you might get the lucky strike, So yeah. Um, take a minute to explain what you're working on, what you're looking for. So if you are a software engineer excited about tools and cloud, Um, Johnny Dallas, the youngest engineer working at Amazon.
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Brad Kam, Unstoppable Domains | Unstoppable Domains Partner Showcase
(bright upbeat music) >> Hello, welcome to this CUBE Unstoppable Domain Showcase. I'm John Furrier, host of theCUBE. We've been showcasing all the great content about Web3 and what's going around the corner for Web4. Of course, Unstoppable Domains is one of the big growth stories in the business. Brad Kam, the Co-founder is here with me, of Unstoppable Domains, Brad, great to see you, thanks for coming on this showcase. >> Thanks, pleasure for having me. >> So you have a lot of history in the Web3. They're calling it now, but it's basically crypto and blockchain. You know, the white paper came out and then, you know how it developed was organically. We saw how that happened. Now you're the co-founder of Unstoppable Domains. You're seeing the mainstream, I would say mainstream scene, Superbowl commercials, okay? You're seeing it everywhere. So it is here. Stadiums are named after cryptos, companies. It's here. Hey, it's no longer a fringe, it is reality. You guys are in the middle of it. What's going on with the trend, and where does Unstoppable fit in and where do you guys tie in here? >> I mean, I think that what's been happening in general, this whole revolution around cryptocurrencies and then NFTs and what Unstoppable Domain is doing. It's all around creating this idea that people can own something that's digital. And this hasn't really been possible before Bitcoin. Bitcoin was the first case. You could own money. You don't need a bank, no one else. You know, you can completely control it. No one else can turn you off. Then there was this next phase of the revolution, which is, assets beyond just currencies. So NFTs, digital art. What we're working on is like a decentralized identity, like a username for Web3 and each individual domain name is an NFT. But yeah, it's been a crazy ride over the past 10 years. >> It's fun because, you know, on siliconangle.com, which we founded, we were covering early days of crypto. In fact, our first website, the developer want to be paid in crypto. It's interesting. Price of Bitcoin, I won't say that how low it was. But then you saw the ICO Wave, the token started coming in. You started seeing much more engineering focus, a lot of white papers coming out, a lot of cool ideas. And then now you got this mainstream of this. So I got to ask you, what are the coolest things you guys are working on, because Unstoppable has a solution that solves a problem today, and that people are facing at the same time, it is part of this new architecture. What problem do you guys solve right now that's in market that you're seeing the most traction on? >> Yeah, so it's really about, so whenever you interact with a blockchain, you wind up having to deal with one of these really, really crazy public keys, public addresses. And they're like anywhere from 20 to 40 characters long, they're random, they're impossible to memorize. And going back to even early days in crypto, I think people knew that this tech was not going to go mainstream if you have to copy and paste these things around. If I'm getting ready to send you like a million dollars, I'm going to copy and paste some random string of numbers and letters. I'm going to have no confirmations about who I'm sending it to, and I'm going to hope that it works out. It's just not practical. People have kind of always known there was going to be a solution. And one of the more popular ideas was, doing kind of like what DNS did, which is, instead of having to deal with these crazy IP addresses, this long random string of numbers to find a website, you have a name like a keyword, something that's easy to remember. You know, like a hotels.com or something like that. And so what NFT domains are, is basically the same thing, but for blockchain addresses. And yeah, it's just better and easier. There's this joke that everybody, you know, if you want to send me money, you're going to send me a test transaction of, you know, like a dollar first, just to make sure that I get it. Call me up and make sure that I get it before you go and send the big amount. Just not the way of moving billions of dollars of value is going to work in the future. >> Yeah, and I think one of the things you just point out, make it easier. When you have these new waves, these shifts, we saw it with the web pages. More and more web pages were coming on, more online users. They called it the online populations growing. Here, the same thing's happening. And if the focus is on ease of use, making things simpler to understand, and reducing the step it takes to do things, right? This is kind of what's going on and with the developer community, and what Ethereum has done really well is, brought in the developers. So that's the convergence of all the action. And so, when you (John chuckles) so that's where you're at right now. How do you go forward from here? Obviously, there's business development deals to do, you guys are partnering a lot. What's the strategy? What are some of the things that you can share about some of your business activity that points to how mainstream it is and where it's going? >> So I think the way to think about an NFT domain name is that it's meant to be like your identity on Web3. So, it's going to have a lot of different context. So it's kind of like your Venmo account, where you could send me money to brad.crypto, can be your decentralized website, where you can check out my content at brad.crypto. It can also be my like login kind of like a decentralized Facebook O oth, where I can log into DApps and share information about myself and bring my data along with me. So it's got all of these different things that it can do, but where it's starting is inside of crypto wallets and crypto apps, and they are adopting it for this identity idea. And it's the same form of identity across all your apps. That's the thing that's new here. So, yeah, that's the really big and profound shift that's happening. And the reason why this is going to be maybe even more important than a lot of, you know, your listeners think is that, everyone's going to have a crypto wallet. Every person in the world is going to have a crypto wallet. Every app, every consumer app that you use is going to build one in. Twitter just launched, just built one. Reddit is building one. You're seeing it across all the consumer finance apps. So it's not just the crypto companies that you're thinking of, every app's going to have a wallet. And it's going to really change the way that we use the internet. >> I think there's a couple things you pointed. I want to get your reaction to and thoughts more on this concept of DApps or decentralized applications, DApps or depending on what you call it. This is applications. And that take advantage of the architecture, and then this idea of users owning their own data. And this absolutely reverses the script today. Today, you see Facebook, you see LinkedIn, all these silos, they own the data that you are the product. Here, the users are in control. They have their data, but the apps are being built for it for the paradigm shift here, right? That's what's happening. Is that right? >> Totally, totally. And so, it all starts. I mean, DApp is just this crazy term. It feels like it's this, like really foreign, weird thing. All it means is that you sign in with your wallet instead of signing in with a username and password, where the data is stored inside of that app. Like inside of Facebook. So that's the only real, like, core underneath difference to keep in mind, signing in with the wallet. But that is like a complete sea change in the way the internet works. Because I have this key, this private key, it's on my phone or my device or whatever. And I'm the only one that has it. So, if somebody wanted to hack me, they need to go get access to my device. Two years ago, when Twitter got hacked, Barack Obama and Elon Musk were tweeting the same stuff. That's because Twitter had all the data. And so, you needed to hack Twitter instead of each individual person. It's a completely different security model. It's way better for users to have that. But, if you're thinking from the user perspective, what's going to happen is, is that instead of Facebook storing all of my data, and then me being trapped inside of Facebook, I'm going to store it, and I'm going to move around on the internet, logging in with my Web3 username, my NFT domain name, and I'm going to have all my data with me. And then I could use 100 different Facebooks all in one day. And it would be effortless for me to go and move from one to the other. So, the monopoly situation that we exist in as a society is because of the way data storage works and- >> So that's a huge point. So let's double down on that for one more second. This is a huge point. I want to get your thoughts. So I think people don't understand that in the mainstream having that horizontal traversal or ability to move around with your identity in this case, your Unstoppable Domain and your data allows the user to take it from place to place. It's like going to other apps that could be like Facebook, where the user's in charge. And they're either deciding whether to share their data or not, or they're certainly continuate their data. And this allows for more of a horizontal scalability for the user, not for a company. >> Yeah, and what's going to happen is, as users are building up their reputation. They're building up their identity in Web3. So you have your username and you have your profile and you have certain badges of activities that you've done. And you're building up this reputation. And now apps are looking at that, and they're starting to create social networks and other things to provide me services because it started with the user. And so, the user is starting to collect all this valuable data, and then apps are saying, well, hey, let me give you a special experience based on that. But the real thing, and this is like the core, I mean, this is just like a core capitalist idea, in general. If you have more competition, you get a better experience for users. We have not had competition in Web2 for decades because these companies have become monopolies. And what Web3 is really allowing is, this wide open competition. And that's the core thing. Like, it's not like, you know, it's going to take time for Web3 to get better than Web2. You know, it's very, very early days. But the reason why it's going to work is because of the competitive aspect here. Like it's just so much better for consumers when this happens. >> I would also add to that, first of all, great point, great insight. I would also add that the web presence technology based upon DNS specifically is, first of all, it's asking, so it's not foreign characters, it's not Unicode for the geeks out there. But that's limiting too, it limits you to be on a site. And so, I think the combination of kind of inadequate or antiquated DNS has limitations. So if... And that doesn't help communities, right? So when you're in the communities, you have potentially marketplaces that could be anywhere. So if you have ID, I'm just kind of thinking it forward here. But if you have your own data and your own ID, you can jump into a marketplace, two-sided marketplace anywhere. An app can provide that, if the community's robust, this is kind of where I see the use case going. How do you guys, do you guys agree with that statement and how do you see that ability for the user to take advantage of other competitive or new emerging communities or marketplaces? >> So I think it all comes down. So identity is just this huge problem in Web2. And part of the reason why it's very, very hard for new marketplaces and new communities to emerge is 'cause you need all kinds of trust and reputation. And it's very hard to get real information about the users that you're interacting with. If you're in the Web3 paradigm, then what happens is, is you can go and check certain things on the blockchain to see if they're true. And you can know that they're true 100%. You can know that I have used Uniswap in the past 30 days, and OpenSea in the past 30 days. You can know for sure that this wallet is mine. The same owner of this wallet also owns this other wallet, owns this asset. So having the ability to know certain things about a stranger is really what's going to change behavior. And one of the things that we're really excited about is being able to prove information about yourself without sharing it. So I can tell you, hey, I'm a unique person. I'm an American, I'm not an American, but I don't have to tell you who I am. And you can still know that it's true. And that concept is going to be what enables what you're talking about. I'm going to be able to show up in some new community that was created two hours ago, and we can all trust each other that a certain set of facts are true. And that's possible because- >> And exchange value with smart contracts and other with no middle men involved activities, which is the promise of the new decentralized web. All right, so let me ask you a question on that. Because I think this is key. The anonymous point is huge. If you look at any kind of abstraction layers or any evolution in technology over the years, it's always been about cleaning up the mess or extending capabilities of something that was inadequate. We mentioned DNS, now you got this. There's a lot of problems with Web2, 2.0, social bots. You mentioned bots. Bots are anonymous and they don't have a lot of time in market. So it's easy to start bots, and everyone who does either scraping bots, everyone knows this. What you just pointed out was, in an ops environment that was user choice, but has all the data that could be verified. So it's almost like a blue check mark on Twitter without having your name, kind of- >> It's going to be 100s of check marks, but exactly. 'Cause there's so many different things that you're going to want to communicate to strangers, but that's exactly the right mental model. It's going to be these check marks for all kinds of different contexts. And that's what's going to enable people to trust that they're, you know, you're talking to a real person or you're talking to the type of person you thought you were talking to, et cetera. But yeah, it's, you know, I think that the issues that we have with bots today are because Web2 has failed at solving identity. I think Facebook at one point was deleting half a billion fake accounts per quarter. Something like the entire number of user profiles they were deleting per year. So it's just a total- >> And they spring up like mushrooms. They just pop up, to think that's the problem. I mean, the data that you acquire in these siloed platforms is used by them, the company. So you don't own the data, so you become the product as the cliche goes. But what you guys are saying is, if you have an identity and you pop around to multiple sites, you also have your digital footprints and your exhaust that you own. Okay, that's time, that's reputation data. I mean, you can cut it any way you want, but the point is, it's your stuff over time, that's yours. And that's immutables on the blockchain, you can store it and then make that permanent and add to it. >> Exactly. >> That's a time based thing versus today, bots that are spreading misinformation can get popped up when they get killed. They just start another one. So time actually is a metric for quality here. >> Absolutely. And people already use it in the crypto world to say like, hey, this wallet was created greater than two years ago. This wallet has had transactions for at least three or four years. Like this is probably a real, you know, this is probably a legitimate user. And anybody can look that up. I mean, we can we go look it up together right now on Etherscan, it would take a minute. >> Yeah, (indistinct). Yeah, I'm a big fan, I can tell, I love this product. I think you guys are going to do really well. Congratulations, I'm a big fan. I think this is needed. What are some of the deals you've done? blockchain.com is one and Opera. Can you take us through those deals and why they're working with you? Let's start with blockchain.com. >> Yeah, so the whole thing here is that, this identity standard for Web3 apps need to choose to support it. So, you know, we spent several years as a company working to get as many crypto wallets and browsers and crypto exchanges to support this identity standard. Some of the largest and probably most popular companies to have done this are, blockchain.com, for example, blockchain.com, one of the largest crypto wallets in the world. And you can use your domain names instead of crypto addresses. And this is super cool because blockchain.com in particular focuses on onboarding new users. So they're very focused on how we're going to get the next 4 billion internet users to use this tech. And they said, usernames are going to be essential. Like, how can we onboard this next several billion people if we have to explain to them about all these crazy addresses. And it's not just one, like we want to give you 10, 40 character addresses for all these different contexts. Like, it's just no way people are going to be able to do that without having a user name. So, that's why we're really excited about what blockchain.com's doing. They want to train users that this is the way you should use the tech. >> Yeah, and certainly no one wants to remember. I remember how writing down all my... You know, I was never a big wallet fan 'cause of all the hacks I used to write it down and store it in my safe. But if the house burns down or I kick the can who's going to find it, right? So again, these are all important things. Your key storing it, securing it, super important. Talk about Opera. That's an interesting partnership because it's got a browser that people know what it is. What are they doing different? Almost imagine they're innovating around the identity and what people's experiences with what they touch. >> Yeah, so this is one of those things that's a little bit easier and I strongly encourage everybody to go and try DApps after this. 'Cause this is going to be one of those concepts, it can be a little easier if you try it than if you hear about it. But the concept of a wallet and a browser are kind of merging. So it makes sense to have a wallet inside of your browser. Because when you go to a website, the website's going to want you to sign in with your wallet. So having that be in one app is quite convenient for users. And so Opera was one of the trailblazers, a traditional browser that added a crypto wallet so that you can store money in there. And then also added support for domain names for payments and for websites. So, you can type in brad.crypto and you can send me money, or you can type in brad.crypto into the browser and you can check out my website. I've got a little NFT gallery. You can see my collection up there right now. So that's the idea is that, browsers have this kind of superpower in Web3. And what I think is going to happen, Opera and Brave have been kind of the trailblazers here. What I think is going to happen is that, these traditional browsers are going to wake up and they're going to see that integrating a wallet is critical for them to be able to provide services to consumers. >> I mean, it is an app. I mean, why not make it a DApps as well? Because why wouldn't I want to just send you crypto, like Venmo, you mentioned earlier, which people can understand that concept. Venmo, let me make my cash. Same concept here. But built in to the browser, which is not a browser anymore it's a reader, a DApp reader, basically with a wallet. All right, so what does this mean for you guys and the marketplace? You got Opera pushing the envelope on browsing, changing the experience, enabling the applications to be discovered and navigated and consumed. You got blockchain.com with the wallets and being embedded there. Good distribution. Who are you looking for for partners? How do people partner? Let's just say theCUBE wants to do NFTs, and we want to have a login for our communities, which are all open. How do we partner with you? Or do we? We have to wait or is there a... I mean, take us through the partnership strategy. How do people engage with Unstoppable Domains? >> Yeah, so, I mean, I think that if you're a wallet or a crypto exchange, it's super easy, we would love to have you support being able to send money using domains. We also have all sorts of different kind of marketing activities we can do together. We can give out free stuff to your communities. We have a bunch of education that we do. We're really trying to be this onboarding point to Web3. So there's, I think a lot of cool stuff we can do together on the commercial side and on the marketing side. And then the other category that we didn't talk about was DApps. And we now have this login with ensemble domains, which you kind of alluded to there. And so you can log in with your domain name and then you can give the app permission to get certain information about you or proof of information about you, not the actual information, if you don't want to share it, because it's your choice and you're in control. And so, that would be another thing. Like, if you all launch a DApps, we should absolutely have login with Unstoppable there. >> Yeah, there's so much headroom here. You got a short term solution with exchange. Get that distribution, I get that, that's early days of the foundation, push the distribution, get you guys everywhere. But the real success comes in for the login. I mean, the sign in single sign in concept. I think that's going to be powerful, great stuff. Okay, future, tell us something we don't know about Unstoppable Domains that people might be interested in. >> I think the thing that you're going to hear about a lot from us in the future is going to be around this idea of identity, of being able to prove that you're a human and be able to tell apps that. And apps are going to give you all kinds of special access and rewards and all kinds of other things, because you gave 'em that information. So that's probably, that's the hint I'm going to drop. >> You know, it's interesting, Brad. You bring trust, you bring quality verified data, choose intelligence software and machine learning, AI and access to distributed communities and distributed applications. Interesting to see what the software does with that. Cause it traditionally didn't have that before. I mean, just in mind blowing. I mean, it's pretty crazy. Great stuff. Brad, thanks for coming on. Thanks for sharing the insight. The Co-founder of Unstoppable Domains, Brad Kam. Thanks for stopping by theCUBE's Showcase with Unstoppable Domains. >> Thanks for having me. (bright upbeat music)
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Brad Kam, the Co-founder is here with me, and where do you guys tie in here? You know, you can completely control it. And then now you got And one of the more popular ideas was, the things you just point out, And it's the same form of of the architecture, and I'm going to have all my data with me. for the user, not for a company. and you have your profile But if you have your own but I don't have to tell you who I am. So it's easy to start bots, to trust that they're, you know, I mean, the data that you bots that are spreading misinformation Like this is probably a real, you know, I think you guys are And you can use your domain names 'cause of all the hacks I used the website's going to want you to just send you crypto, to get certain information about you I mean, the sign in And apps are going to give you and access to distributed communities Thanks for having me.
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Mani Thiru, AWS | Women in Tech: International Women's Day
>>Mm. >>Okay. Hello, and welcome to the Cubes Coverage of the International Women in Tech Showcase featuring National Women's Day. I'm John for a host of the Cube. We have a great guest here of any theory a PJ head of aerospace and satellite for A W S A P J s Asia Pacific in Japan. Great to have you on many thanks for joining us. Talk about Space and International Women's Day. Thanks for coming on. >>Thanks, John. It's such a pleasure to be here with you. >>So obviously, aerospace space satellite is an area that's growing. It's changing. AWS has made a lot of strides closure, and I had a conversation last year about this. Remember when Andy Jassy told me about this initiative to 2.5 years or so ago? It was like, Wow, that makes a lot of sense Ground station, etcetera. So it just makes a lot of sense, a lot of heavy lifting, as they say in the satellite aerospace business. So you're leading the charge over there in a p J. And you're leading women in space and beyond. Tell us what's the Storey? How did you get there? What's going on. >>Thanks, John. Uh, yes. So I need the Asia Pacific business for Clint, um, as part of Amazon Web services, you know, that we have in industry business vertical that's dedicated to looking after our space and space customers. Uh, my journey began really? Three or four years ago when I started with a W s. I was based out of Australia. Uh, and Australia had a space agency that was being literally being born. Um, and I had the great privilege of meeting the country's chief scientist. At that point. That was Dr Alan Finkel. Uh, and we're having a conversation. It was really actually an education conference. And it was focused on youth and inspiring the next generation of students. Uh, and we hit upon space. Um, and we had this conversation, and at that stage, we didn't have a dedicated industry business vertical at A W s well supported space customers as much as we did many other customers in the sector, innovative customers. And after the conversation with Dr Finkel, um, he offered to introduce me, uh, to Megan Clark, who was back back then the first CEO of the Australian Space Agency. So that's literally how my journey into space started. We had a conversation. We worked out how we could possibly support the Australian Space Agency's remit and roadmap as they started growing the industry. Uh, and then a whole industry whole vertical was set up, clinic came on board. I have now a global team of experts around me. Um, you know, they've pretty much got experience from everything creating building a satellite, launching a satellite, working out how to down link process all those amazing imagery that we see because, you know, um, contrary to what a lot of people think, Uh, space is not just technology for a galaxy far, far away. It is very much tackling complex issues on earth. Um, and transforming lives with information. Um, you know, arranges for everything from wildfire detection to saving lives. Um, smart, smart agriculture for for farmers. So the time of different things that we're doing, Um, and as part of the Asia Pacific sector, uh, my task here is really just to grow the ecosystem. Women are an important part of that. We've got some stellar women out here in region, both within the AWS team, but also in our customer and partner sectors. So it's a really interesting space to be. There's a lot of challenges. There's a lot of opportunities and there's an incredible amount of growth so specific, exciting space to be >>Well, I gotta say I'm super inspired by that. One of the things that we've been talking about the Cuban I was talking to my co host for many, many years has been the democratisation of digital transformation. Cloud computing and cloud scale has democratised and change and level the playing field for many. And now space, which was it's a very complex area is being I want kind of democratised. It's easier to get access. You can launch a satellite for very low cost compared to what it was before getting access to some of the technology and with open source and with software, you now have more space computing things going on that's not out of reach. So for the people watching, share your thoughts on on that dynamic and also how people can get involved because there are real world problems to solve that can be solved now. That might have been out of reach, but now it's cloud. Can you share your thoughts. >>That's right. So you're right, John. Satellites orbiting There's more and more satellites being launched every day. The sensors are becoming more sophisticated. So we're collecting huge amounts of data. Um, one of our customers to cut lab tell us that we're collecting today three million square kilometres a day. That's gonna increase to about three billion over the next five years. So we're already reaching a point where it's impossible to store, analyse and make sense of such massive amounts of data without cloud computing. So we have services which play a very critical role. You know, technologies like artificial intelligence machine learning. Help us help these customers build up products and solutions, which then allows us to generate intelligence that's serving a lot of other sectors. So it could be agriculture. It could be disaster response and recovery. Um, it could be military intelligence. I'll give you an example of something that's very relevant, and that's happening in the last couple of weeks. So we have some amazing customers. We have Max our technologies. They use a W S to store their 100 petabytes imagery library, and they have daily collection, so they're using our ground station to gather insight about a lot of changing conditions on Earth. Usually Earth observation. That's, you know, tracking water pollution, water levels of air pollution. But they're also just tracking, um, intelligence of things like military build up in certain areas. Capella space is another one of our customers who do that. So over the last couple of weeks, maybe a couple of months, uh, we've been watching, uh, images that have been collected by these commercial satellites, and they've been chronicling the build up, for instance, of Russian forces on Ukraine's borders and the ongoing invasion. They're providing intelligence that was previously only available from government sources. So when you talk about the democratisation of space, high resolution satellite images are becoming more and more ridiculous. Um, I saw the other day there was, uh, Anderson Cooper, CNN and then behind him, a screenshot from Capella, which is satellite imagery, which is very visible, high resolution transparency, which gives, um, respected journalists and media organisations regular contact with intelligence, direct intelligence which can help support media storytelling and help with the general public understanding of the crisis like what's happening in Ukraine. And >>I think on that point is, people can relate to it. And if you think about other things with computer vision, technology is getting so much stronger. Also, there's also metadata involved. So one of the things that's coming out of this Ukraine situation not only is tracking movements with the satellites in real time, but also misinformation and disinformation. Um, that's another big area because you can, uh, it's not just the pictures, it's what they mean. So it's well beyond just satellite >>well, beyond just satellite. Yeah, and you know, not to focus on just a crisis that's happening at the moment. There's 100 other use cases which were helping with customers around the globe. I want to give you a couple of other examples because I really want people to be inspired by what we're doing with space technology. So right here in Singapore, I have a company called Hero Factory. Um, now they use AI based on Earth observation. They have an analytics platform that basically help authorities around the region make key decisions to drive sustainable practises. So change detection for shipping Singapore is, you know, it's lots of traffic. And so if there's oil spills, that can be detected and remedy from space. Um, crop productivity, fruit picking, um, even just crop cover around urban areas. You know, climate change is an increasing and another increasing, uh, challenges global challenge that we need to tackle and space space technology actually makes it possible 15 50% of what they call e CVS. Essential climate variables can only be measured from space. So we have companies like satellite through, uh, one of our UK customers who are measuring, um, uh, carbon emissions. And so the you know, the range of opportunities that are out there, like you said previously untouched. We've just opened up doors for all sorts of innovations to become possible. >>It totally is intoxicating. Some of the fun things you can discuss with not only the future but solving today's problems. So it's definitely next level kind of things happening with space and space talent. So this is where you start to get into the conversation like I know some people in these major technical instance here in the US as sophomore second year is getting job offers. So there's a There's a there's a space race for talent if you will, um and women talent in particular is there on the table to So how How can you share that discussion? Because inspiration is one thing. But then people want to know what to do to get in. So how do you, um how do you handle the recruiting and motivating and or working with organisations to just pipeline interest? Because space is one of the things you get addicted to. >>Yeah. So I'm a huge advocate for science, technology, engineering, math. We you know, we highlights them as a pathway into space into technology. And I truly believe the next generation of talent will contribute to the grand challenges of our time. Whether that climate change or sustainability, Um, it's gonna come from them. I think I think that now we at Amazon Web services. We have several programmes that we're working on to engage kids and especially girls to be equipped with the latest cloud skills. So one of the programmes that we're delivering this year across Singapore Australia uh, we're partnering with an organisation called the Institute for Space Science, Exploration and Technology and we're launching a programme called Mission Discovery. It's basically students get together with an astronaut, NASA researcher, technology experts and they get an opportunity to work with these amazing characters, too. Create and design their own project and then the winning project will be launched will be taken up to the International space station. So it's a combination of technology skills, problem solving, confidence building. It's a it's a whole range and that's you know, we that's for kids from 14 to about 18. But actually it, in fact, because the pipeline build is so important not just for Amazon Web services but for industry sector for the growth of the overall industry sector. Uh, there's several programmes that were involved in and they range from sophomore is like you said all the way to to high school college a number of different programmes. So in Singapore, specifically, we have something called cloud Ready with Amazon Web services. It's a very holistic clouds killing programme that's curated for students from primary school, high school fresh graduates and then even earlier careers. So we're really determined to work together closely and it the lines really well with the Singapore government's economic national agenda, um so that that's one way and and then we have a tonne of other programmes specifically designed for women. So last year we launched a programme called She Does It's a Free online training learning programme, and the idea is really to inspire professional women to consider a career in the technology industry and show them pathways, support them through that learning process, bring them on board, help drive a community spirit. And, you know, we have a lot of affinity groups within Amazon, whether that's women in tech or a lot of affinity groups catering for a very specific niches. And all of those we find, uh, really working well to encourage that pipeline development that you talk about and bring me people that I can work with to develop and build these amazing solutions. >>Well, you've got so much passion. And by the way, if you have, if you're interested in a track on women in space, would be happy to to support that on our site, send us storeys, we'll we'll get We'll get them documented so super important to get the voices out there. Um and we really believe in it. So we love that. I have to ask you as the head of a PJ for a W S uh aerospace and satellite. You've you've seen You've been on a bunch of missions in the space programmes of the technologies. Are you seeing how that's trajectory coming to today and now you mentioned new generation. What problems do you see that need to be solved for this next generation? What opportunities are out there that are new? Because you've got the lens of the past? You're managing a big part of this new growing emerging business for us. But you clearly see the future. And you know, the younger generation is going to solve these problems and take the opportunities. What? What are they? >>Yes, Sometimes I think we're leaving a lot, uh, to solve. And then other times, I think, Well, we started some of those conversations. We started those discussions and it's a combination of policy technology. We do a lot of business coaching, so it's not just it's not just about the technology. We do think about the broader picture. Um, technology is transferring. We know that technology is transforming economies. We know that the future is digital and that diverse backgrounds, perspective, skills and experiences, particularly those of women minority, the youth must be part of the design creation and the management of the future roadmaps. Um, in terms of how do I see this going? Well, it's been sort of we've had under representation of women and perhaps youth. We we just haven't taken that into consideration for for a long time now. Now that gap is slowly becoming. It's getting closer and closer to being closed. Overall, we're still underrepresented. But I take heart from the fact that if we look at an agency like the US Mohammed bin Rashid Space Centre, that's a relatively young space agency in your A. I think they've got about three or 400 people working for them at this point in time, and the average age of that cohort John, is 28. Some 40% of its engineers and scientists are women. Um, this year, NASA is looking to recruit more female astronauts. Um, they're looking to recruit more people with disabilities. So in terms of changing in terms of solving those problems, whatever those problems are, we started the I guess we started the right representation mix, so it doesn't matter. Bring it on, you know, whether it is climate change or this ongoing crisis, productive. Um, global crisis around the world is going to require a lot more than just a single shot answer. And I think having diversity and having that representation, we know that it makes a difference to innovation outputs. We know that it makes a difference to productivity, growth, profit. But it's also just the right thing to do for so long. We haven't got it right, and I think if we can get this right, we will be able to solve the majority of some of the biggest things that we're looking at today. >>And the diversity of problems in the diversity of talent are two different things. But they come together because you're right. It's not about technology. It's about all fields of study sociology. It could be political science. Obviously you mentioned from the situation we have now. It could be cybersecurity. Space is highly contested. We dated long chat about that on the Last Cube interview with AWS. There's all these new new problems and so problem solving skills. You don't need to have a pedigree from Ivy League school to get into space. This is a great opportunity for anyone who can solve problems because their new No one's seen them before. >>That's exactly right. And you know, every time we go out, we have sessions with students or we're at universities. We tell them, Raise your voices. Don't be afraid to use your voice. It doesn't matter what you're studying. If you think you have something of value to say, say it. You know, by pushing your own limits, you push other people's limits, and you may just introduce something that simply hasn't been part of before. So your voice is important, and we do a lot of lot of coaching encouraging, getting people just to >>talk. >>And that in itself is a great start. I think >>you're in a very complex sector, your senior leader at AWS Amazon Web services in a really fun, exciting area, aerospace and satellite. And for the young people watching out there or who may see this video, what advice would you have for the young people who are trying to navigate through the complexities of now? Third year covid. You know, seeing all the global changes, um, seeing that massive technology acceleration with digital transformation, digitisation it's here, digital world we're in. >>It could >>be confusing. It could be weird. And so how would you talk to that person and say, Hey, it's gonna be okay? And what advice would you give? >>It is absolutely going to be okay. Look, from what I know, the next general are far more fluent in digital than I am. I mean, they speak nerd. They were born speaking nerd, so I don't have any. I can't possibly tell them what to do as far as technology is concerned because they're so gung ho about it. But I would advise them to spend time with people, explore new perspectives, understand what the other is trying to do or achieve, and investing times in a time in new relationships, people with different backgrounds and experience, they almost always have something to teach you. I mean, I am constantly learning Space tech is, um it's so complicated. Um, I can't possibly learn everything I have to buy myself just by researching and studying. I am totally reliant on my community of experts to help me learn. So my advice to the next generation kids is always always in this time in relationships. And the second thing is, don't be disheartened, You know, Um this has happened for millennia. Yes, we go up, then we come down. But there's always hope. You know, there there is always that we shape the future that we want. So there's no failure. We just have to learn to be resilient. Um, yeah, it's all a learning experience. So stay positive and chin up, because we can. We can do it. >>That's awesome. You know, when you mentioned the Ukraine in the Russian situation, you know, one of the things they did they cut the Internet off and all telecommunications and Elon Musk launched a star linked and gives them access, sending them terminals again. Just another illustration. That space can help. Um, and these in any situation, whether it's conflict or peace and so Well, I have you here, I have to ask you, what is the most important? Uh uh, storeys that are being talked about or not being talked about are both that people should pay attention to. And they look at the future of what aerospace satellite these emerging technologies can do for the world. What's your How would you kind of what are the most important things to pay attention to that either known or maybe not being talked about. >>They have been talked about John, but I'd love to see more prominent. I'd love to see more conversations about stirring the amazing work that's being done in our research communities. The research communities, you know, they work in a vast area of areas and using satellite imagery, for instance, to look at climate change across the world is efforts that are going into understanding how we tackle such a global issue. But the commercialisation that comes from the research community that's pretty slow. And and the reason it's loads because one is academics, academics churning out research papers. The linkage back into industry and industry is very, um, I guess we're always looking for how fast can it be done? And what sort of marginal profit am I gonna make for it? So there's not a lot of patients there for research that has to mature, generate outputs that you get that have a meaningful value for both sides. So, um, supporting our research communities to output some of these essential pieces of research that can Dr Impact for society as a whole, Um, maybe for industry to partner even more, I mean, and we and we do that all the time. But even more focus even more. Focus on. And I'll give you a small example last last year and it culminated this earlier this month, we signed an agreement with the ministry of With the Space Office in Singapore. Uh, so it's an MOU between AWS and the Singapore government, and we are determined to help them aligned to their national agenda around space around building an ecosystem. How do we support their space builders? What can we do to create more training pathways? What credits can we give? How do we use open datasets to support Singaporeans issues? And that could be claimed? That could be kind of change. It could be, um, productivity. Farming could be a whole range of things, but there's a lot that's happening that is not highlighted because it's not sexy specific, right? It's not the Mars mission, and it's not the next lunar mission, But these things are just as important. They're just focused more on earth rather than out there. >>Yeah, and I just said everyone speaking nerd these days are born with it, the next generations here, A lot of use cases. A lot of exciting areas. You get the big headlines, you know, the space launches, but also a lot of great research. As you mentioned, that's, uh, that people are doing amazing work, and it's now available open source. Cloud computing. All this is bringing to bear great conversation. Great inspiration. Great chatting with you. Love your enthusiasm for for the opportunity. And thanks for sharing your storey. Appreciate it. >>It's a pleasure to be with you, John. Thank you for the opportunity. Okay. >>Thanks, Manny. The women in tech showcase here, the Cube is presenting International Women's Day celebration. I'm John Ferrier, host of the Cube. Thanks for watching. Mm mm.
SUMMARY :
I'm John for a host of the Cube. So it just makes a lot of sense, imagery that we see because, you know, um, contrary to what a lot of people think, So for the people watching, share your thoughts So when you talk about the democratisation of space, high resolution satellite images So one of the things that's coming out of this Ukraine situation not only is tracking movements And so the you know, the range of opportunities that are out there, Some of the fun things you can discuss with So one of the programmes that we're delivering this year across Singapore And by the way, if you have, if you're interested in a track But it's also just the right thing to do for so long. We dated long chat about that on the Last Cube interview with AWS. And you know, every time we go out, we have sessions with students or we're at universities. And that in itself is a great start. And for the young people watching And so how would you talk to that person and say, So my advice to the next generation kids is always You know, when you mentioned the Ukraine in the Russian situation, you know, one of the things they did they cut the And and the reason it's loads because one is academics, academics churning out research you know, the space launches, but also a lot of great research. It's a pleasure to be with you, John. I'm John Ferrier, host of the Cube.
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2022 007 Bradley Kam
>>Oh, welcome to this cube unstoppable domain showcase. I'm John for your host of the cube and showcasing all the great content about web three. And what's around the corner for web. For of course, stoppable domains is one of the big growth stories in the business bread. Can the co-founders here with me have ensembles mains break. Great to see you. Thanks for coming on the showcase. >>So you have a lot of history in the, in the web three, they're calling it net, but it's basically crypto and blockchain. You know, the white paper came out and then, you know how it developed was organically. We saw how that happened. Now, the co-founder was titled domains. You seeing the mainstream, I would say main street scene, super bowl commercials. Okay. You're seeing it everywhere. So it is, it is here. Stadiums are named after cryptos companies. It's here. Hey, it's no longer a fringe. It is reality. You guys are in the middle of it. What's what's going on with the trend. And where does unstoppable fit in? Where do you guys tie in here? >>I mean, I think that what's been happening in general, this whole revolution around cryptocurrencies and then in FTEs and what unstoppable domains is doing, it's all around creating this idea that people can own something that's digital. And this hasn't really been possible before Bitcoin Bitcoin was the first case. You could own money. You don't need a bank. No one else. You can completely control it. No one else can turn you off. Then there was this next phase of the revolution, which is assets beyond just currencies. So, and if T is digital art, what we're working on is like a decentralized identity, like a username for web three and each individual domain name is a is an NFT. But yeah, it's a, it's been a, it's been a, it's been a crazy ride over the past. >>It's fun because you on siliconangle.com, which we founded, we were covering early days of crypto. In fact, our first website, the developer want to be paid in crypto is interesting price of Bitcoin. I won't say that how low it was, but then you saw, you saw the, you know, the ICO way, the token started coming in, you started seeing much more engineering, focused, a lot of white papers coming out, a lot of cool ideas. And then now you got this mainstream of it. So I had to ask you, what are the coolest things you guys are working on because ensemble has a solution that solves a problem today, and that people are facing at the same time. It is part of this new architecture. What problem do you guys solve right now? That's in market that you're seeing the most traction on. >>Yeah. So it's really about, so whenever you inter interact with a blockchain, you wind up having to deal with one of these really, really crazy public keys, public addresses. And they're like anywhere from 20 to 40 characters, long they're random, they're impossible to memorize. And going back to even early days in crypto, I think if people knew that this tech was not going to go mainstream, if you have to copy and paste these things around, if I'm getting to send you like a million dollars, I'm going to copy and paste some random string of numbers and letters. I'm going to have no confirmations about who I'm sending it to. And I'm going to hope that it works out. It's just not practical people. Who've kind of always known there was going to be a solution. And one of the more popular ideas was doing kind of like what DNS did, which is instead of having to deal with these crazy IP addresses this long, random string of numbers to find a website, you have a name, like a keyword, something that's easy to remember, you know, like a hotels.com or something like that. And so what NFT domains are, is basically the same thing, but for blockchain addresses and yeah, it's just, it's just better and easier. There's this joke that everybody, if you want to send me money, you're going to send me a test transaction of, you know, like a dollar first, just to make sure that I get it, call me up and make sure that I get it before you go and send the big amount. I'm just not the way moving, you know, billions of dollars of value is going to work in the future. >>Yeah. And I think one of the things you just pointed out, make it easier. One of these, when you have these new waves, these shifts we saw with the web web pages, more and more web pages were coming on more online users, they call the online population is growing here, the same thing's happening. And the focus is on ease of use, making things simple, to understand and reducing the step it takes to do things, right. This is kind of, kind of what is going on and with the developer community and what a theory has done really well is brought in the developers. So that's the, that's the convergence of all the action. And so when you, so that's where you're at right now, how do you go forward from here? Obviously see this business development deals to do. You guys are partnering a lot. What's the strategy? What are some of the things that you can share about some of your business activity that points to how mainstream it is and where it's going? Okay. >>So I think the, the, the, the way to, the way to think about, and, and T domain name is that it's meant to be like your identity on web three. So it's gonna have a lot of different contexts. It's kind of like your, your Venmo account, where you could send me money to Brad dot crypto can be your decentralized website, where you can check out my content at Brad dot crypto. It can also be my like login kind of like a decentralized Facebook OAuth, where I can log into ADAPs and share information about myself and bring my data along with me. So it's got all of these, all of these different, all these different things that it can do, but where it's starting is inside of crypto wallets and crypto apps, and they are adopting it for this identity, this identity idea. And it's the same identity across all your apps. >>That's the thing that's kinda, that's new here. So, so yeah, that's the, that's the really, that's the really big and profound shift that's happening. And the reason why this is going to be maybe even more important, a lot of, you know, your, your listeners thing is that everyone's going to have a crypto wallet. Every person in the world is going to have a crypto wallet. Every app, every consumer app that you use is going to build one in Twitter, just launched, just built one. Reddit is building one. You're seeing it across all the consumer finance apps. So it's not just the crypto companies that you're thinking of. Every app is going to have a wallet, and it's going to really, it's going to really change the way that we use the internet. >>I think there's a couple of things you pointed. I want to get your reaction to and thoughts more on this constant adapts or decentralized applications or dimension when you call it, this is applications and that take advantage of, of the architecture and then this idea of users owning their own data. And this absolutely reverses the script today. Today, you see Facebook, you see LinkedIn, all these silos, they own the data. The, you are the product here. The users are in control. They have their data, but the apps are being built for it for the paradigm shift here. Right. That's what's happening. Is that right now? >>Totally, totally. And, and so it all starts, I mean, DAP is just this crazy term. It feels like it's this like really foreign, weird thing. All it means is that you sign in with your wallet instead of signing in with a username and password where the data is stored inside of that app, like inside of Facebook. So that's, that's the only real, like core underneath difference to keep in mind signing in with a wallet. But that is like a complete sea change in the way the internet works, because I have this, this key, this private key it's on my phone or my device or whatever. And I'm the only one that has it. So if somebody wanted to hack me, they need to go get access to my device. Two years ago, when Twitter got hacked, Barack Obama and Elon Musk were tweeting the same stuff. >>That's because Twitter had all the data. And so you needed to hack Twitter instead of each individual person, it's a completely different security model. It's, it's way better for users to have that. But if you're thinking from the user perspective what's going to happen is, is that instead of Facebook storing all of my data, and then me being trapped inside of Facebook, I'm going to store it. And I'm gonna move around on the internet, logging in with my web three username, my, my, my NFT domain name. And I'm going to have all my data with me. And then I could use a hundred different Facebooks all in one day. And it would be effortless for me to go and move from one to the other. So the monopoly situation that we exist in as a society is because of the way data storage works. >>So that's the huge point. So let's just, let's double down on that for one more. Second, this is huge point. I want to get your thoughts. I think people don't understand that in the mainstream having that horizontal traversal or, or, or the ability to move around with your identity in this case, your unstoppable domain and your data allows the user to take it from place to place. It's like going to other apps that could be Facebook where the user's in charge. And they're either deciding whether to share their data or not, or are certainly continually their data. And this allows for more of a horizontal scalability for the user, not for a company. >>Yeah. And what's going to happen is, is users are building up their reputation. They're building up their identity in web three. So you have your username and you have your, your profile and you have certain badges of, you know, activities that you've done. And you're building up this reputation. And now apps are looking at that and they're starting to create social networks and other things to provide me services because I, it started with the user as, or the user is starting to collect all this valuable data. And then apps are saying, well, Hey, let me give you a special experience based on that, but the real thing, and this is like, this is like the core mean, this is just like a core capitalist idea. In general, you have more competition, you get a better experience for users. We have not had competition on, on, in web two for decades because these companies have become monopolies. And what web three is really allowing is this wide open competition. And, and that is what, that's the core thing. Like, it's not like, you know, it's going to take time for, for, for web three to get better than web two. You know, it's very, very early days, but the reason why it's going to work is because of the competitive aspect here. Like you can just, it's just so much better for consumers when this happened. >>I would also add to that, first of all, great point, great insight. I would also add that the web presence technology based upon DNS specifically is first of all, it's asking, so it's not foreign characters. It's not union code for, for the geeks out there, but that's limiting to its limits you to be on a site. And so I think the combination of kind of inadequate or antiquated DNS has limitations. So if, and that doesn't help communities, right? So when you're in the communities, you have potentially marketplaces, that could be anywhere. So if you have a ID and just kind of thinking it forward here, but if you have your own data and your own ID, you can jump into a marketplace two-sided marketplace anywhere. And app can provide that if the community is robust, this is kind of where I see the use case going. How do you guys, do you guys agree with that statement and how do you see that ability for the user to take advantage of other competitive or new emerging communities or marketplace? >>So I think it all comes down. So I identity is just this huge problem in web two. And part of the reason why it's very, very hard for new marketplaces and new communities to emerge is because you need all kinds of trust and reputation. And it's very hard to get, to get real information about the users that you're interacting with. If you're, if you're in the web three paradigm, then what happens is, is you can go and check certain things on the blockchain to see if they're true. And you can know that they're true. A hundred percent. You can know that I have used unit swab in the past 30 days and open, see in the past 30 days, you can know for sure that this wallet is mine. The same owner of this wallet also owns this other wallet, owns this certain asset. So all of having the ability to know certain things about a stranger is really what's going to change behavior. >>And one of the things that we're really excited about is being able to prove information about yourself without sharing it. So I can tell you, Hey, I'm a unique person. I'm an American, I'm not an American, but I don't have to tell you who I am. And, and you can still know that it's true. And, and that is that concept is going to be what enables, what you're talking about. I'm going to be able to show up in some new community that was created two hours ago, and we can all trust each other that a certain set of facts are true. And that's possible because of >>Exchange and exchange value with smart contracts and other no middlemen involved activities, which is the promise of the new decentralized web. All right. So let me ask you a question on that, because I think this is key. The anonymous point is huge. If you look at any kind of abstraction layers or any evolution in technology over the years, it's always been about cleaning up the mess or the, or extending capabilities of something that was inadequate. We mentioned DNS. Now you got this, there's a lot of problems with web two, 2.0, social bots. You mentioned bots, bots are anonymous and they don't have a lot of time in market. So it's easy to start bots and everyone who does either scraping bots, everyone knows this. What you just pointed out was an ops environment that was user choice, but has all the data that could be verified. So it's almost like a blue check mark on Twitter without your name, >>Kind of, it's good. It's going to be hundreds of check marks, but exactly, because there's so many different things that you're going to want to be, you're going to want to communicate to strangers, but that's exactly the right. That's exactly the right mental model. It's going to be these check marks for all kinds of different contexts. And that's, what's going to enable people to trust that they're, you know, you're talking to a real person or you're talking to the type of person you thought you were talking to, et cetera. But yeah, it's, it's, you know, I, I think that the issues that we have with bots today are because a web tool has failed at solving identity. I think Facebook at one point was deleting half a billion fake accounts per quarter. Something like the entire number of user profiles. They were deleting per you know, per year. So it's just a total. >>They spring up like mushrooms. They just pop up the thing. This is the problem. I mean, the data that you acquire in new siloed platforms is used by them, the company. So you don't own the data. So you become the product as the cliche goes. But what you're saying is if you have an identity and you pop around to multiple sites, you also have your digital footprints and your exhaust that you own. Okay. That's time. That's reputation data. I mean, you can cut it any way you want, but the point is, it's your stuff over time, that's yours and that's immutable. It's on the blockchain. You can store it and make that permanent and add to it. Exactly. That's, that's a time-based thing versus today, bots that are spreading misinformation can, can get popped up when they get killed. They just start another one. So time actually is a metric for quality here. >>Absolutely. And people already use it in the crypto world to say like, Hey, this wallet was created greater than two years ago. This wallet has had, you know, head has had transactions for at least three or four years. Like this is probably a real, you know, this is probably a legit legitimate user and anybody can look that up. I mean, we could go look it up together right now on, on ether scan. It would take, you know, a minute. >>Yeah. It's awesome. Yeah. I'm a big fan. I can tell, I love this product. I think you guys are gonna do really well. Congratulations. I'm a big fan. I think this is needed. What are some of the deals you've done? blockchain.com has won an opera. Can you take us through those deals and why they're working with you? We'll start with blockchain.com. >>Yeah. So the whole thing here is that this identity standard for web three apps need to choose to support it. So we spent several years as a company working to get as many crypto wallets and browsers and crypto exchanges to support this, to support this identity standard. Some of the, some of the, the, the largest, and probably, you know, most, most popular companies to have done. This are blockchain.com. For example, blockchain.com, one of the largest crypto wallets in the world. And you can use your domain names instead of crypto addresses. And, and, and this is, this is, this is super cool because blockchain.com in particular focuses on onboarding new users. So they're very focused on how we're going to get the next 4 billion internet users to use this tech. And they said, you know, usernames are going to be essential. Like, how can we onboard this next several billion people? If we have to explain to them about all these crazy addresses, and it's not just one, like we want to give you 10 40 character addresses for all these different contexts. Like, it's just, it's just, it's just no way people are gonna be able to do that without, without having a username. So that's why we're really excited about, about what blockchain that comes through. And they, they, they want to train users that this is the way you should use it. >>Yeah. And certainly no one wants to remember. I remember writing down all my writing. I, I'm not, I was never a big wallet fan cause all the hacks, I used to write it down and store it in my safe. But if the house burns down or I, I kick the can I'm, who's going to find it. Right? So again, these are all important things, your key storing it, securing it, super important. Talk about opera. And that's an interesting partnership because it's got a browser and people know what it is, what are they doing? Different almost imagine they're innovating around the identity and what people's experiences with, what they touch. >>So this is, this is one of those things. That's a little bit easier. And I strongly encourage everybody to go and try dApps after this. Cause this is going to be one of those concepts to be a little easier. If you, if you try it, then if you hear about it, but the concept of a wallet and a browser are kind of merging. So it makes sense to have a wallet inside of your browser. Because when you go to a website, the website is going to want you to sign in with your wallet. So having that be in one app is quite convenient for users. And so opera was one of the trailblazers, a traditional browser that added a crypto wallet so that you can store money in there. And then also added support for domain names, for payments and for websites. So you can type in Brad dot crypto and you can send me money or you can type in Brad dot crypto into the browser and you can check out my website. I've got a little NFT gallery. You can see my collection up there right now. So that's the, that's the idea is that browsers have this kind of super power in a web three. And what I think is going to happen opera and brave have been kind of the trailblazers here. But I think is going to happen is that these traditional browsers are going to wake up and they're going to see that integrating a wallet is critical for them to be able to provide services to consumers. >>I mean, it is an app. I mean, why not make it a D app as well? Because why wouldn't I want to just send you crypto, like Venmo, you mentioned earlier, which people can understand that concept. Ben, let me make my cash. Same concept here, but built in to the browser, which is not a browser anymore. It's a, a reader, a D app reader, basically with a wallet. All right. So, so what does this mean for you guys in the marketplace? You've got opera pushing the envelope on browsing, changing the experience, enabling the applications to be discovered and navigated and consumed. You got blockchain.com, blockchain.com with the wallets and being embedded there. Good distribution. How, what, who are you looking for for partners? How do people partner? Let's just say the cube wants to do NFTs and we want to have a login for our communities, which are all open. How do we partner with you? Or do we have to wait? Or is there a, I mean, take us through the partnership strategy. How do we, how do people engage with unstoppable Dwayne's >>Yeah, so, I mean, I think that if you're, you know, if you're a wallet or a crypto exchange, it's super easy, we would love to have you support being able to send money using domains. We also have all sorts of different kind of marketing activities we can do together. We can give out free stuff to, to your communities. We have a bunch of education that we do. We're really trying to be this onboarding point to web three. So there's, I think a lot of, a lot of cool stuff we can do together on the commercial side and on the, the, the marketing side. And then the other category that we didn't talk about was dabs. And we now have this login with unstoppable domains, which you kind of alluded to there. And so you can log in with your domain name and then you can give the app permission to get certain information about you or proof of information about you, not the actual information, if you don't want to share it because it's your choice and you're in control. And so that would be, that would be another thing. Like if you all launch a DAP, we should absolutely have log-in with unstoppable. >>Yeah. There's so much headroom here. You've got a short-term solution with exchange. Get that distribution. I get that that's early days of the foundation, push the distribution, get you guys everywhere. But the real success comes in for the login. I mean, the sign-on single sign-on concept. I think that's going to be powerful, great stuff. Okay. Future, tell us something we don't know about ensemble domains that people might be interested in. >>I think it's really, I think the thing that you're going to hear about a lot from us in the future is going to be around this idea of identity, of being able to prove that you're a human and be able to tell apps that and apps are going to give you all kinds of special access and rewards and all kinds of other things, because, because you gave them that information. So that's the that's, that's probably, that's the hint I'm going to drop. >>Yeah. It's interesting. Brad, you bring trust, you bring quality verified data to intelligence, software, and machine learning, AI and access to distributed communities and distributed applications. Interesting to see what the software does, what that, cause it traditionally didn't have that before. I mean just in mindblowing, I mean, it's pretty crazy great stuff, Brad. Thanks for coming on. Thanks for sharing the insight. Co-founder unstoppable domains, Brad camp. Thanks for stopping by the cubes. Showcase with unstoppable domains.
SUMMARY :
Can the co-founders here with me have ensembles mains break. You know, the white paper came out and then, you know how it developed was organically. No one else can turn you off. the token started coming in, you started seeing much more engineering, focused, not the way moving, you know, billions of dollars of value is going to work in the future. What are some of the things that you can share about some of your business activity that points to how And it's the same identity across all your apps. So it's not just the crypto companies that you're thinking of. that take advantage of, of the architecture and then this idea of users owning their own data. And I'm the only one that has it. And I'm gonna move around on the internet, logging in with my web three username, So that's the huge point. So you have your username and you have your, your profile and you have certain badges So if you have a ID and just kind of thinking it forward here, but if you have your own So all of having the ability to know certain I'm an American, I'm not an American, but I don't have to tell you who I am. So let me ask you a question on that, that they're, you know, you're talking to a real person or you're talking to the type of person you thought you were talking I mean, the data that you acquire in Like this is probably a real, you know, this is probably a legit legitimate user and anybody can look that up. I think you guys are gonna do And you can use your domain names instead of crypto addresses. But if the house burns down or I, I kick the can I'm, who's going to find it. So you can type envelope on browsing, changing the experience, enabling the applications to be discovered and navigated And so you can log in with your domain name and of the foundation, push the distribution, get you guys everywhere. and be able to tell apps that and apps are going to give you all kinds of special access and Brad, you bring trust, you bring quality verified data to intelligence,
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Breaking Analysis The Future of the Semiconductor Industry
from the cube studios in palo alto in boston bringing you data driven insights from the cube and etr this is breaking analysis with dave vellante semiconductors are the heart of technology innovation for decades technology improvements have marched the cadence of silicon advancements in performance cost power and packaging in the past 10 years the dynamics of the semiconductor industry have changed dramatically soaring factory costs device volume explosions fabulous chip companies greater programmability compressed time to tape out a lot more software content the looming presence of china these and other factors have changed the power structure of the semiconductor business chips today power every aspect of our lives and have led to a global semiconductor shortage that's been well covered but we've never seen anything like it before we believe silicon's success in the next 20 years will be determined by volume manufacturing capabilities design innovation public policy geopolitical dynamics visionary leadership and innovative business models that can survive the intense competition in one of the most challenging businesses in the world hello and welcome to this week's wikibon cube insights powered by etr in this breaking analysis it's our pleasure to welcome daniel newman in one of the leading analysts in the technology business and founder of futurum research daniel welcome to the program thanks so much dave great to see you thanks for having me big topic yeah i'll say i'm really looking forward to this and so here's some of the topics that we want to cover today if we have time changes in the semiconductor industry i've said they've been dramatic the shift to nofap companies we're going to talk about volume manufacturing those shifts that have occurred largely due to the arm model we want to cover intel and dig into that and what it has to do to to survive and thrive these changes and then we want to take a look at how alternative processors are impacting the world people talk about is moore's law dead is it alive and well daniel you have strong perspectives on all of this including nvidia love to get your thoughts on on that plus talk about the looming china threat as i mentioned in in the intro but daniel before we get into it do these topics they sound okay how do you see the state of the semiconductor industry today where have we come from where are we and where are we going at the macro level there are a lot of different narratives that are streaming alongside and they're not running in parallel so much as they're running and converging towards one another but it gradually different uh you know degrees so the last two years has welcomed a semiconductor conversation that we really hadn't had and that was supply chain driven the covid19 pandemic brought pretty much unprecedented desire demand thirst or products that are powered by semiconductors and it wasn't until we started running out of laptops of vehicles of servers that the whole world kind of put the semiconductor in focus again like it was just one of those things dave that we as a society it's sort of taken for granted like if you need a laptop you go buy a laptop if you needed a vehicle there'd always be one on the lot um but as we've seen kind of this exponentialism that's taken place throughout the pandemic what we ended up realizing is that semiconductors are eating the world and in fact the next industrial the entire industrial itself the complex is powered by semiconductor technology so everything we we do and we want to do right you went from a vehicle that might have had 50 or 100 worth of semiconductors on a few different parts to one that might have 700 800 different chips in it thousands of dollars worth of semi of semiconductors so you know across the board though yes you're dealing with the dynamics of the shortage you're dealing with the dynamics of innovation you're dealing with moore's law and sort of coming to the end which is leading to new process we're dealing with the foundry versus fab versus invention and product development uh situation so there's so many different concurrent semiconductor narratives that are going on dave and we can talk about any of them and all of them and i'm sure as we do we'll overlap all these different themes you know maybe you can solve this mystery for me there's this this this chip shortage and you can't invent vehicle inventory is so tight but yet when you listen to uh the the ads if the the auto manufacturers are pounding the advertising maybe they're afraid of tesla they don't want to lose their brand awareness but anyway so listen it's by the way a background i want to get a little bit academic here but but bear with me i want to introduce actually reintroduce the concept of wright's law to our audience we know we all know about moore's law but the earlier instantiation actually comes from theodore wright t.p wright he was this engineer in the airplane industry and the math is a little bit abstract to apply but roughly translated says as the cumulative number of units produced doubles your cost per unit declines by a fixed percentage now in airplanes that was around 15 percent in semiconductors we think that numbers more like 20 25 when you add the performance improvements you get from silicon advancements it translates into something like 33 percent cost cost declines when you can double your cumulative volume so that's very important because it confers strategic advantage to the company with the largest volume so it's a learning curve dynamic and it's like andy jassy says daniel there's no compression algorithm for experience and it definitely applies here so if you apply wright's law to what's happening in the industry today we think we can get a better understanding of for instance why tsmc is dominating and why intel is struggling any quick thoughts on that well you have to take every formula like that in any sort of standard mathematics and kind of throw it out the window when you're dealing with the economic situation we are right now i'm not i'm not actually throwing it out the window but what i'm saying is that when supply and demand get out of whack some of those laws become a little bit um more difficult to sustain over the long term what i will say about that is we have certainly seen this found um this fabulous model explode over the last few years you're seeing companies that can focus on software frameworks and innovation that aren't necessarily getting caught up in dealing with the large capital expenditures and overhead the ability to as you suggested in the topics here partner with a company like arm that's developing innovation and then and then um you know offering it uh to everybody right and for a licensee and then they can quickly build we're seeing what that's doing with companies like aws that are saying we're going to just build it alibaba we're just going to build it these aren't chip makers these aren't companies that were even considered chip makers they are now today competing as chip makers so there's a lot of different dynamics going back to your comment about wright's law like i said as we normalize and we figure out this situation on a global scale um i do believe that the who can manufacture the most will certainly continue to have significant competitive advantages yeah no so that's a really interesting point that you're bringing up because one of the things that it leads me to think is that the chip shortage could actually benefit intel i think will benefit intel so i want to introduce this some other data and then get your thoughts on this very simply the chart on the left shows pc shipments which peaked in in 2011 and then began at steady decline until covid and they've the pcs as we know have popped up in terms of volume in the past year and looks like they'll be up again this year the chart on the right is cumulative arm shipments and so as we've reported we think arm wafer volumes are 10x those of x86 volumes and and as such the arm ecosystem has far better cost structure than intel and that's why pat gelsinger was called in to sort of save the day so so daniel i just kind of again opened up this this can of worms but i think you're saying long term volume is going to be critical that's going to confer low cost advantages but in the in in the near to mid-term intel could actually benefit from uh from this chip shortage well intel is the opportunity to position itself as a leader in solving the repatriation crisis uh this will kind of carry over when we talk more about china and taiwan and that relationship and what's going on there we've really identified a massive gap in our uh in america supply chain in the global supply chain because we went from i don't have the stat off hand but i have a rough number dave and we can validate this later but i think it was in like the 30-ish high 30ish percentile of manufacturing of chips were done here in the united states around 1990 and now we're sub 10 as of 2020. so we we offshored almost all of our production and so when we hit this crisis and we needed more manufacturing volume we didn't have it ready part of the problem is you get people like elon musk that come out and make comments to the media like oh it'll be fixed later this year well you can't build a fab in a year you can't build a fab and start producing volume and the other problem is not all chips are the same so not every fab can produce every chip and when you do have fabs that are capable of producing multiple chips it costs millions of dollars to change the hardware and to actually change the process so it's not like oh we're going to build 28 today because that's what ford needs to get all those f-150s out of the lot and tomorrow we're going to pump out more sevens for you know a bunch of hp pcs it's a major overhaul every time you want to retool so there's a lot of complexity here but intel is the one domestic company us-based that has basically raised its hand and said we're going to put major dollars into this and by the way dave the arm chart you showed me could have a very big implication as to why intel wants to do that yeah so right because that's that's a big part of of foundry right is is get those volumes up so i want to hold that thought because i just want to introduce one more data point because one of the things we often talk about is the way in which alternative processors have exploded onto the scene and this chart here if you could bring that up patrick thank you shows the way in which i think you're pointing out intel is responding uh by leveraging alternative fat but once again you know kind of getting getting serious about manufacturing chips what the chart shows is the performance curve it's on a log scale for in the blue line is x86 and the orange line is apple's a series and we're using that as a proxy for sort of the curve that arm is on and it's in its performance over time culminating in the a15 and it measures trillions of operations per second so if you take the traditional x86 curve of doubling every 18 to 24 months that comes out roughly to about 40 percent improvement per year in performance and that's diminishing as we all know to around 30 percent a year because the moore's law is waning the orange line is powered by arm and it's growing at over a hundred percent really 110 per year when you do the math and that's when you combine the cpu the the the neural processing unit the the the xpu the dsps the accelerators et cetera so we're seeing apple use arm aws to you to your point is building chips on on graviton and and and tesla's using our list is long and this is one reason why so daniel this curve is it feels like it's the new performance curve in the industry yeah we are certainly in an era where companies are able to take control of the innovation curve using the development using the open ecosystem of arm having more direct control and price control and of course part of that massive arm number has to do with you know mobile devices and iot and devices that have huge scale but at the same time a lot of companies have made the decision either to move some portion of their product development on arm or to move entirely on arm part of why it was so attractive to nvidia part of the reason that it's under so much scrutiny that that deal um whether that deal will end up getting completed dave but we are seeing an era where we want we i said lust for power i talked about lust for semiconductors our lust for our technology to do more uh whether that's software-defined vehicles whether that's the smartphones we keep in our pocket or the desktop computer we use we want these machines to be as powerful and fast and responsive and scalable as possible if you can get 100 where you can get 30 improvement with each year and generation what is the consumer going to want so i think companies are as normal following the demand of consumers and what's available and at the same time there's some economic benefits they're they're able to realize as well i i don't want to i don't want to go too deep into nvidia arm but what do you handicap that that the chances that that acquisition actually happens oh boy um right now there's a lot of reasons it should happen but there are some reasons that it shouldn't i still kind of consider it a coin toss at this point because fundamentally speaking um you know it should create more competition but there are some people out there that believe it could cause less and so i think this is going to be hung up with regulators a little bit longer than we thought we've already sort of had some previews into that dave with the extensions and some of the timelines that have already been given um i know that was a safe answer and i will take credit for being safe this one's going to be a hard one to call but it certainly makes nvidia an amazing uh it gives amazing prospects to nvidia if they're able to get this deal done yeah i i agree with you i think it's 50 50. okay my i want to pose the question is intel too strategic to fail in march of this year we published this article where we posed that question uh you and i both know pat pretty well we talked about at the time the multi-front war intel is waging in a war with amd the arm ecosystem tsmc the design firms china and we looked at the company's moves which seemed to be right from a strategy standpoint the looking at the potential impact of the u.s government intel's partnership with ibm and what that might portend the us government has a huge incentive to make sure intel wins with onshore manufacturing and that looming threat from china but daniel is intel too strategic to fail and is pat gelsinger making the right moves well first of all i do believe at this current juncture where the semiconductor and supply chain shortage and crisis still looms that intel is too strategic to fail i also believe that intel's demise is somewhat overstated not to say intel doesn't have a slate of challenges that it's going to need to address long term just with the technology adoption curve that you showed being one of them dave but you have to remember the company still has nearly 90 of the server cpu market it still has a significant market share in client and pc it is seeing market share erosion but it's not happened nearly as fast as some people had suggested it would happen with right now with the demand in place and as high as it is intel is selling chips just about as quickly as it can make them and so we right now are sort of seeing the tam as a whole the demand as a whole continue to expand and so intel is fulfilling that need but where are they really too strategic to fail i mean we've seen in certain markets in certain uh process in um you know client for instance where amd has gained of course that's still x86 we've seen uh where the m1 was kind of initially thought to be potentially a pro product that would take some time it didn't take nearly as long for them to get that product in good shape um but the foundry and fab side is where i think intel really has a chance to flourish right now one it can play in the arm space it can build these facilities to be able to produce and help support the production of volumes of chips using arm designs so that actually gives intel and inroads two is it's the company that has made the most outspoken commitment to invest in the manufacturing needs of the united states both here in the united states and in other places across the world where we have friendly ally relationships and need more production capabilities if not in intel b and there is no other logical company that's us-based that's going to meet the regulator and policymakers requirements right now that is also raising their hand and saying we have the know-how we've been doing this we can do more of this and so i think pat is leaning into the right area and i think what will happen is very likely intel will support manufacturing of chips by companies like qualcomm companies like nvidia and if they're able to do that some of the market share losses that they're potentially facing with innovation challenges um and engineering challenges could be offset with growth in their fab and foundry businesses and i think i think pat identified it i think he's going to market with it and you know convincing the street that's going to be a whole nother thing that this is exciting um but i think as the street sees the opportunity here this is an area that intel can really lean into so i think i i think people generally would recognize at least the folks i talk to and it'll be interested in your thoughts who really know this business that intel you know had the best manufacturing process in in the world obviously that's coming to question but but but but for instance people say well intel's 10 nanometer you know is comparable to tsm seven nanometer and that's sort of overstated their their nanometer you know loss but but so so they they were able to point as they were able to sort of hide some of the issues maybe in design with great process and and i i believe that comes down to volume so the question i have then is and i think so i think patrick's pat is doing the right thing because he's going after volume and that's what foundry brings but can he get enough volume or does he need for inst for instance i mean one of the theories i've put out there is that apple could could save the day for intel if the if the us government gets apple in a headlock and says hey we'll back off on break up big tech but you got to give pat some of your foundry volume that puts him on a steeper learning curve do you do you worry sometimes though daniel that intel just even with like qualcomm and broadcom who by the way are competitors of theirs and don't necessarily love them but even even so if they could get that those wins that they still won't have the volume to compete on a cost basis or do you feel like even if they're numbered a number three even behind samsung it's good enough what are your thoughts on that well i don't believe a company like intel goes into a business full steam and they're not new to this business but the obvious volume and expansion that they're looking at with the intention of being number two or three these great companies and you know that's same thing i always say with google cloud google's not out to be the third cloud they're out to be one well that's intel will want to to be stronger if the us government and these investments that it's looking at making this 50 plus billion dollars is looking to pour into this particular space which i don't think is actually enough but if if the government makes these commitments and intel being likely one of the recipients of at least some of these dollars to help expedite this process move forward with building these facilities to make increased manufacturing very likely there's going to be some precedent of law a policy that is going to be put in place to make sure that a certain amount of the volume is done here stateside with companies this is a strategic imperative this is a government strategic imperative this is a putting the country at risk of losing its technology leadership if we cannot manufacture and control this process of innovation so i think intel is going to have that as a benefit that the government is going to most likely require some of this manufacturing to take place here um especially if this investment is made the last thing they're going to want to do is build a bunch of foundries and build a bunch of fabs and end up having them not at capacity especially when the world has seen how much of the manufacturing is now being done in taiwan so i think we're concluding and i i i correctly if i'm wrong but intel is too strategic to fail and and i i sometimes worry they can go bankrupt you know trying to compete with the likes of tsmc and that's why the the the public policy and the in the in the partnership with the u.s government and the eu is i think so important yeah i don't think bankruptcy is an immediate issue i think um but while i follow your train of thought dave i think what you're really looking at more is can the company grow and continue to get support where i worry about is shareholders getting exhausted with intel's the merry-go-round of not growing fast enough not gaining market share not being clearly identified as a leader in any particular process or technology and sort of just playing the role of the incumbent and they the company needs to whether it's in ai whether it's at the edge whether it's in the communications and service provider space intel is doing well you look at their quarterly numbers they're making money but if you had to say where are they leading right now what what which thing is intel really winning uh consistently at you know you look at like ai and ml and people will point to nvidia you look at you know innovation for um client you know and even amd has been super disruptive and difficult for intel uh of course you we've already talked about in like mobile um how impactful arm has been and arm is also playing a pretty big role in servers so like i said the market share and the technology leadership are a little out of skew right now and i think that's where pat's really working hard is identifying the opportunities for for intel to play market leader and technology leader again and for the market to clearly say yes um fab and foundry you know could this be an area where intel becomes the clear leader domestically and i think that the answer is definitely yes because none of the big chipmakers in the us are are doing fabrication you know they're they're all outsourcing it to overseas so if intel can really lead that here grow that large here then it takes some of the pressure off of the process and the innovation side and that's not to say that intel won't have to keep moving there but it does augment the revenue creates a new profit center and makes the company even more strategic here domestically yeah and global foundry tapped out of of sub 10 nanometer and that's why ibm's pseudonym hey wait a minute you had a commitment there the concern i have and this is where again your point is i think really important with the chip shortage you know to go from you know initial design to tape out took tesla and apple you know sub sub 24 months you know probably 18 months with intel we're on a three-year design to tape out cycle maybe even four years so they've got to compress that but that as you well know that's a really hard thing to do but the chip shortage is buying them time and i think that's a really important point that you brought out early in this segment so but the other big question daniel i want to test with you is well you mentioned this about seeing arm in the enterprise not a lot of people talk about that or have visibility on that but i think you're right on so will arm and nvidia be able to seriously penetrate the enterprise the server business in particular clearly jensen wants to be there now this data from etr lays out many of the enterprise players and we've superimposed the semiconductor giants in logos the data is an xy chart it shows net score that's etr's measure of spending momentum on the vertical axis and market share on the horizontal axis market share is not like idc market share its presence in the data set and as we reported before aws is leading the charge in enterprise architecture as daniel mentioned they're they're designing their own chips nitro and graviton microsoft is following suit as is google vmware has project monterey cisco is on the chart dell hp ibm with red hat are also shown and we've superimposed intel nvidia china and arm and now we can debate the position of the logos but we know that one intel has a dominant position in the data center it's got to protect that business it cannot lose ground as it has in pcs because the margin pressure it would face two we know aws with its annapurna acquisition is trying to control its own destiny three we know vmware has project monterey and is following aws's lead to support these new workloads beyond x86 general purpose they got partnerships with pansando and arm and others and four we know cisco they've got chip design chops as does hpe maybe to a lesser extent and of course we know ibm has excellent semiconductor design expertise especially when it comes to things like memory disaggregation as i said jensen's going hard after the data center you know him well daniel we know china wants to control its own destiny and then there's arm it dominates mobile as you pointed out in iot can it make a play for the data center daniel how do you see this picture and what are your thoughts on the future of enterprise in the context of semiconductor competition it's going to take some time i believe but some of the investments and products that have been brought to market and you mentioned that shorter tape out period that shorter period for innovation whether it's you know the graviton uh you know on aws or the aiml chips that uh with trainium and inferentia how quickly aws was able to you know develop build deploy to market an arm-based solution that is being well received and becoming an increasing component of the services and and uh products that are being offered from aws at this point it's still pretty small and i would i would suggest that nvidia and arm in the spirit of trying to get this deal done probably don't necess don't want the enterprise opportunity to be overly inflated as to how quickly the company's going to be able to play in that space because that would somewhat maybe slow or bring up some caution flags that of the regulators that are that are monitoring this at the same time you could argue that arm offering additional options in competition much like it's doing in client will offer new form factors new designs um new uh you know new skus the oems will be able to create more customized uh hardware offerings that might be able to be unique for certain enterprises industries can put more focus you know we're seeing the disaggregation with dpus and how that technology using arm with what aws is doing with nitro but what what these different companies are doing to use you know semiconductor technology to split out security networking and storage and so you start to see design innovation could become very interesting on the foundation of arm so in time i certainly see momentum right now the thing is is most companies in the enterprise are looking for something that's fairly well baked off the shelf that can meet their needs whether it's sap or whether it's you know running different custom applications that the business is built on top of commerce solutions and so intel meets most of those needs and so arm has made a lot of sense for instance with these cloud scale providers but not necessarily as much sense for enterprises especially those that don't want to necessarily look at refactoring all the workloads but as software becomes simpler as refactoring becomes easier to do between different uh different technologies and processes you start to say well arm could be compelling and you know because the the bottom line is we know this from mobile devices is most of us don't care what the processor is the average person the average data you know they look at many of these companies the same in enterprise it's always mattered um kind of like in the pc world it used to really matter that's where intel inside was born but as we continue to grow up and you see these different processes these different companies nvidia amd intel all seen as very worthy companies with very capable technologies in the data center if they can offer economics if they can offer performance if they can offer faster time to value people will look at them so i'd say in time dave the answer is arm will certainly become more and more competitive in the data center like it was able to do at the edge in immobile yeah one of the things that we've talked about is that you know the software-defined data center is awesome but it also created a lot of wasted overhead in terms of offloading storage and and networking security and that much of that is being done with general purpose x86 processors which are more expensive than than for instance using um if you look at what as you mentioned great summary of what aws is doing with graviton and trainium and other other tooling what ampere is doing um in in in oracle and you're seeing both of those companies for example particularly aws get isvs to write so they can run general purpose applications on um on arm-based processors as well it sets up well for ai inferencing at the edge which we know arms dominating the edge we see all these new types of workloads coming into the data center if you look at what companies like nebulon and pensando and and others are doing uh you're seeing a lot of their offloads are going to arm they're putting arm in even though they're still using x86 in a lot of cases but but but they're offloading to arm so it seems like they're coming into the back door i understand your point actually about they don't want to overplay their hand there especially during these negotiations but we think that that long term you know it bears watching but intel they have such a strong presence they got a super strong ecosystem and they really have great relationships with a lot of the the enterprise players and they have influence over them so they're going to use that the the the chip shortage benefits them the uh the relationship with the us government pat is spending a lot of time you know working that so it's really going to be interesting to see how this plays out daniel i want to give you the last word your final thoughts on what we talked about today and where you see this all headed i think the world benefits as a whole with more competition and more innovation pressure i like to see more players coming into the fray i think we've seen intel react over the last year under pat gelsinger's leadership we've seen the technology innovation the angstrom era the 20a we're starting to see what that roadmap is going to look like we've certainly seen how companies like nvidia can disrupt come into market and not just using hardware but using software to play a major role but as a whole as innovation continues to take form at scale we all benefit it means more intelligent software-defined vehicles it puts phones in our hands that are more powerful it gives power to you know cities governments and enterprises that can build applications and tools that give us social networks and give us data-driven experiences so i'm very bullish and optimistic on as a whole i said this before i say it again i believe semiconductors will eat the world and then you know you look at the we didn't even really talk about the companies um you know whether it's in ai uh like you know grok or grav core there are some very cool companies building things you've got qualcomm bought nuvia another company that could you know come out of the blue and offer us new innovations in mobile and personal computing i mean there's so many cool companies dave with the scale of data the uh the the growth and demand and desire for connectivity in the world um it's never been a more interesting time to be a fan of technology the only thing i will say as a whole as a society as i hope we can fix this problem because it does create risks the supply chain inflation the economics all that stuff ties together and a lot of people don't see that but if we can't get this manufacturing issue under control we didn't really talk about china dave and i'll just say taiwan and china are very physically close together and the way that china sees taiwan and the way we see taiwan is completely different we have very little control over what can happen we've all seen what's happened with hong kong so there's just so many as i said when i started this conversation we've got all these trains on the track they're all moving but they're not in parallel these tracks are all converging but the convergence isn't perpendicular so sometimes we don't see how all these things interrelate but as a whole it's a very exciting time love being in technology and uh love having the chance to come out here and talk with you i love the optimism and you're right uh that competition in china that's going to come from china as well xi has made it a part of his legacy i think to you know re-incorporate taiwan that's going to be interesting to see i mean taiwan ebbs and flows with regard to you know its leadership sometimes they're more pro i guess i should say less anti-china maybe that's the better way to say it uh and and and you know china's putting in big fab capacity for nand you know maybe maybe people look at that you know some of that is the low end of the market but you know clay christensen would say well to go take a look at the steel industry and see what happened there so so we didn't talk much about china and that was my oversight but but they're after self-sufficiency it's not like they haven't tried before kind of like intel has tried foundry before but i think they're really going for it this time but but now what are your do you believe that china will be able to get self-sufficiency let's say within the next 10 to 15 years with semiconductors yes i would never count china out of anything if they put their mind to it if it's something that they want to put absolute focus on i think um right now china vacillates between wanting to be a good player and a good steward to the world and wanting to completely run its own show the the politicization of what's going on over there we all saw what happened in the real estate market this past week we saw what happened with tech ed over the last few months we've seen what's happened with uh innovation and entrepreneurship it is not entirely clear if china wants to give the more capitalistic and innovation ecosystem a full try but it is certainly shown that it wants to be seen as a world leader over the last few decades it's accomplished that in almost any area that it wants to compete dave i would say if this is one of gigi ping's primary focuses wanting to do this it would be very irresponsible to rule it out as a possibility daniel i gotta tell you i i love collaborating with you um we met face to face just recently and i hope we could do this again i'd love to have you you back on on the program thanks so much for your your time and insights today thanks for having me dave so daniel's website futuram research that's three use in futurum uh check that out for termresearch.com uh the the this individual is really plugged in he's forward thinking and and a great resource at daniel newman uv is his twitter so go follow him for some great stuff and remember these episodes are all available as podcasts wherever you listen all you do is search for breaking analysis podcast we publish each week on wikibon.com and siliconangle.com and by the way daniel thank you for contributing your your quotes to siliconangle the writers there love you uh you can always connect on twitter i'm at divalanto you can email me at david.velante at siliconangle.com appreciate the comments on linkedin and don't forget to check out etr.plus for all the survey data this is dave vellante for the cube insights powered by etr be well and we'll see you next time you
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Google Cloud Announcements and Day 2 Show Wrap with DR | Cloud City Live 2021
>>Um, okay, thanks to the studio there for the handoff. Appreciate it. We're here for breaking news and it's exciting that we have who's the managing director. Google is breaking some hard news here, Dave. We want to bring him in and get commentary while we end up Dave too. Honestly, the story here is cloud city. We are in the cloud city and all, thanks for coming on remotely into our physical hybrid set here. Thanks for coming >>On. Thank you, John. And very excited to be here. What Juliet. >>Well, we got Bon Jovi ready to play. Everyone's waiting for that concert in the year. The only thing standing between bunch of LV and all the great stuff. So a lot of people watching. Thanks for coming on, sir. So you guys got some big news, um, first Erickson partners with you guys on 5g platform, deal with Anthem, as well as, uh, open ran Alliance. You guys are joining huge, a Testament to the industry. I see Google with all your innovation you guys have in the big three cloud hyperscalers. Obviously you guys invented SRE, so you know, you no stranger to large scale. What's the news. Let's tell us why this Erickson news is so important. Let's start with the Erickson announcement. >>Sure. So John, I mean, we are very excited today to finally bring to the market, the strategic partnership that we've been building with Erickson for the last few months, uh, the partnership to recent retreat, which is very important to the industry is you're actually doing this in conjunction with very large CSPs. So it's not been in isolation. You are in fact in the press release that we have already launched something to get the big telecom Italia in Italy, because you will see that also in the past. And really the partnership is on three pillars. Number one, how can CSBs monetize 5g and edge, which is the real team at the moment using Google clouds solutions like the edge computing platform and, and POS, and Erikson's cutting edge 5g components, 5g solutions. And if we can onboard these together at the CSP, such as telecom Italia, that creates massive pain to market efficiency. So that's 0.1 because speed and agility is key John, but then point to it also unlocks a lot of edge use cases for a bunch of verticals, retail, manufacturing, healthcare, so on, which are already starting to launch together with that. Excellent. And so that's the second pillar. And then the final pillar of course, is this continuously cloud native innovation that you just highlighted. John, we are going to try and double down on it between ourselves and Ericsson to really time created this cloud native application suite or 5g or whatever. >>Talk about the innovations around cloud, because the message we're hearing him this year at mobile world Congress, is that the public cloud is driving the innovation. And, you know, I can be a little bit over the top. So the telcos are slow. They're like glaciers, they move slow, but they're just moving packets. They are there. They're moving the network around. The innovation is happening on top. So there's some hardened operations operating the networks. Now you have a build concept cloud native enables that. So you've got containers. You can put that encapsulate that older technology and integrated in. So this is not a rip and replace. Someone has to die to win. This is a partnership with the tellers. Can you share your thoughts on that piece? >>Smart Antone's photo? We believe that it's a massive partnership opportunity. There's zero conflict or tensions in this sort of ecosystem. And the reason for that is when you talk about that containerization and right once and deploy everywhere type architecture that we are trying to do, that's where the cloud native really helps. Like when you create Ericsson 5g solutions with the operators, adjust telecom Italia, once you build a solution, you don't have to worry about, do I need to kick it back again and again, but every deployment, as long as your mantra, genetics and working, you shouldn't be able to have the same experience. >>Yeah, I'm John. I talk all the time in the cube about how developers are really going to drive the edge. You're clearly doing that with your distributed cloud, building out a telco cloud. I wonder if you could talk a little bit more about how you see that evolving. A lot of the AI that's done today is done in the cloud. A lot of modeling being done. When you think about edge, you think about AI inferencing, you think about all these monetization opportunities. How are you thinking about that? >>So I think David, first of all, it's a fan best six Sigma in how we are looked in at analytics at the edge, right? So we, uh, we have realized that is a very, very, uh, uh, uh, data computing, heavy operation. So certainly the training of the models is still going to stay in cloud for the foreseeable future. But the influencing part that you mentioned is there something that we can offer to the edge? Why is that so important in the pandemic era, think of running a shop or a factory floor, completely autonomously meeting zero minimal human intervention. And if you want to look at an assembly line and look at AI influencing as a way to find out assembly line defects on products in manufacturing, that's very difficult problem to solve unless you actually create those influencing models at the edge. So creating that ecosystem of an Erickson and a Google cloud carrier gives you that edge placement of the workloads that would fit right next to our factory floor in our manufacturing example. And then on top of that, you could run that AI influence thing to really put in the hands of the manufacturer, a visual inspection capability to just bring this to life. >>Great. Thank you for that. And now the other piece of the announcement of course, is the open, open ran. We've been talking about that all weekend and you know, you well, remember when cloud first came out, people were concerned about security. Of course. Now everybody's asking the question, can we still get the reliability and the security that we're used to with the telcos? And of course over time we learned that you guys actually pretty good at security. So how do you see the security component, maybe first talk about the open ran piece, why that's important and how security fits? >>Sure. So first of all, open trend is something that we have taken great interest in the last year or so as it started evolving. And the reason for that is fairly simple. Dave, this aggregation of networks has been happening for some time in the radio layer. We believe that's the final frontier of sort of unlocking and dis-aggregating that radio layer. And why is it so important? 80% of the operators spend globally is on radio. 80% is on radio. If you disaggregate that. And if the internet synergies for your CSP partners and clients, that meant you have standard purpose hardware standard for software with open interfaces, number one, massive difference in VCO. Number two, the supply chain gets streamlined and become still really, really simple way to manage a fairly large distribution. That's about to get larger in 5g and the capital clarity that 5g needs. >>You're thinking of tens of thousands of micro cells and radio cells going everywhere. And having that kind of standardized hardware software with openings of Essex is an extremely important cost dimension to every new site finished that the reason we got to exact open brand was you can now run for a lot of API APIs on the radio net, cetera, that then certainly brings a whole developer community on the radio later. That then helps you do a bunch of things like closed loop automation for network optimization, as well as potentially looking at monetization opportunities by hyper personalizing, yours and mine experiences at the waist level from the self-doubt. And so that really is what is driving us towards this open grind paper. Come on, we go and >>Got a minute and a half. I want to get your thoughts real quick on, on open source and the innovation. Um, Danielle Royston, who's the CEO of telco, Dr. She's at a keynote today. And she mentioned that the iPhone 14 years ago was launched. Okay. And you think about open and you mentioned proprietary with the 5g and having Iran be more commodity and industry standard. That's going to lower the costs increase the surface here of infrastructure. Everyone wins because everyone wants more connectivity options. Software is going to be the key to success for the telco industry. And open source is driving. That is Android. The playbook that you guys pioneered, obviously at Google with the smart phones was very successful. How is that a playbook or an indicator to what could happen at telecom? >>Absolutely. John and the parallel and analogy that you raised is photon. Be believed in the telco world and tossed multi cloud as a unifying software development layer. The app development platform is the way that people will start to drive this innovation, whether it's radio or whether it's in the core or whether it's on the side of pups, same software planning, everywhere that really allows you that whole development models that we are familiar with, but on the telecom side. And that's where we are seeing some massive innovation opportunities for systems to come on board. >>That's great stuff. And I was just heard someone in the hallway just yesterday and say, you want to be the smartphone. You don't want to be the Blackberry going forward. That's pretty much the consensus here at mobile world Congress. I'm all. Thank you for coming on and sharing the hard news and Google regulations on the Erickson Anthem platform, a deal as well as the open Ranton Alliance. Uh, congratulations. Good to see you. And by the way, you'll be keynoting tomorrow on the cube featured segment. So >>Watch that in there. Thank you, John. Thank you. Glad >>To be here. Benching director telecom, industry, solicitor, Google, obviously player. He's managing that business. Big opportunities for Google because they have the technology. They got the chops, Dave, and we're going to now bring this Daniel. Russia says here when to bring up on the stage, Bon Jovi is about to go on behind us Bon Jovi's here. And this is like a nightclub, small intimate setting here in cloud city. Dave Bon. Jovi's right there. He's going to come on stage after we close down here, but first let's bring up the CEO of telco. Dr. And yeah, it was great to see she's hot off the keynote. We're going to see you to Mike. Great to see you. Oh, it's great to be there. We're going to see you tomorrow for an official unpacking of the keynote, but thanks for coming by and closing, >>Swinging by. I never closed down the show. It's been a big, it's been a big day-to-day at MWC and in cloud city, really starting to get packed. I mean, everyone's coming in the band's warming up. You can kind of hear it. Um, I think Elon Musk is about to go on as well. So I mean, it's really happening all the buzz about cloud city out there in the hallway. Yeah. Yeah, no, I mean, I think everyone's talking about it. I'm really, really excited with how it's going. >>Well, this is awesome. While we got you here, we want to put you to work being the cube analyst for the segment. You just heard Google. Uh, we broke them in for a breaking news segment. So hard news Erickson partnership. We're in the factory, former Erickson booth. They're not even here, it's now the Calco VR booth, but that's a relation. And then open ran again, open source, you got five G you got open source all happening. What's your take on this? >>You see, you know, there's two big. And I, I talked about it, my keynote this morning, and there's two big technological changes that are happening in our industry simultaneously. And I don't think we could have had it MWC 21. I certainly wanted to make it about the public cloud. I think I'm sort of successful in doing that. And I think the other piece is open ramp, right? And I think these two big shifts are happening and, um, I'm really thrilled about it. And so, yeah, >>Well I loved your keynote. We were here, live. Chloe was here filling in for Dave while David was going to do some research and some breaking stories to you are on stage. And we were talking well, he's like, there's trillions of dollars, John on the table. And I was making the point, the money is at the middle of the table and it's changing hands if people don't watch it. And then you onstage that this trillions of dollars, this is a real competitive shift with dollars on the table. And you've got cultural collision. You got operators and builders trying to figure out it feels like dev ops is coming in here. Yeah. I mean, what's the, what's the holistic vibe. What's >>The, yeah, I think my message is about, we can use the software and specifically the software, the public cloud to double your ARPU without massive cap X expenditure. And I think the CSPs is always viewed to get the increase in ARPU. I got to build out the network. I got to spend a lot of money. And with these two technologies that require might be dropped. And then in exchange for doubling our poo, why not? We should do that. Absolutely. >>You know, your message has been pretty clear that you got to get on, on the wave that arrived the way you're going to become driftwood. As John said yesterday. And I think it's pretty, it's becoming pretty clear that that's the case for the telcos. I feel like Danielle, that they were entering this decade, perhaps with a little bit more humility than they have in the past. And then, you know, maybe, especially as it relates to developers, we're just talking about building out the edge. We always talk about how developers are really going to be a key factor in the edge. And that's not a wheelhouse necessarily. It's obviously they're going to have to partner for that to have going to have to embrace cloud native. I mean, it's pretty clear that your premise is right on it. We'll see how long it takes, but if it, if they don't move fast, you know, what's going to happen. Well, I >>Think you look at it from the enterprise's perspective. And I think we just heard Google talking about it. We need to provide a tech stack that the enterprises can write to now, historically they haven't had this opportunity historically that CSPs have provided it. Now you're going to be able to write against Google's tech stack. And that's something that is documented. It's available. There's developers out there that know it. Um, and so I think that's the big opportunity and this might be the big use case that they've been looking for with 5g and looking forward to 16th. And so it's a huge opportunity for CSS. >>I think that's an important point because you got to place bets. And if I'm betting on Google or Amazon, Microsoft, okay. Those are pretty safe bets, right. Those guys are going to be around. >>I mean, they're like, no, don't trust the hyperscalers. I'm like, um, are you guys nuts? If they're safe, right. Safe >>Bets in terms of your investment in technology, now you got to move fast. Yeah. That's the other piece of it. You've got to change your business model. >>Well, you gotta be in the right side of history too. I mean, I mean, what is trust actually really mean? The snowflake trust Amazon, it sure did to get them where they are. Um, but now that's a >>Great example, John. It really is because there's a company that can move fast, but at the same time they compete with the same time they add incremental value. And so yeah, >>Here, the, you can see the narrative like, oh no, we're partnering telcos. Aren't bad. No one needs to die to bring in the new containers. Do we'll help them manage that operational legacy. But if they don't move, they're going to have an asset. That'll get rolled up into a SPAC or some sort of private equity deal. And because the old model of building cap backs and extract rents is kind of shifting because the value shifting. So to me, I think this is what we're watching still kind of unknown. Danielle Love to get your thoughts on this because if the value shifts to services, which is a consumption model like cloud, yeah. Then you can, don't have to try and extract the rents out of the cap ex >>Yeah. I don't think you need to own the entire stack to provide value. And I think that's where we are today in telco, right there. I mean, nuts and bolts of the stack, the servers, you know, the cabling, everything. And I'm like, stand on the shoulders of these amazing tech giants that have solved, you know, mega data centers, right. Huge data centers at scale, and just leverage their, their investment and uh, for your own benefit, it starts to focus. And we heard, um, all talking about it starts to focus on your subscriber and driving a great experience for us. Right? Yeah. Well, you're >>Talking about that many times they can do, but you're right. If the conversation hasn't has to go beyond, okay, we're just conductivity. It's gotta be ongoing and be like, oh, it's $10 a month for roaming charges. Ah, great. Yeah. Tick that box, right? It's those value added services that you're talking about and it's an infinite number of those that can be developed. And that's where the partnerships come in a creativity in the industry. It's just >>A blank piece of paper for, well, we, you know, everyone thinks Google knows everything about you, right. We've had the experience on our phone where they're serving of ads and you're like, how did you write Facebook? But you know, who knows more about us than, than Google or your mother, even your telco, you take your phone with you everywhere. Right? And so it's time to start unlocking all of that knowledge and using it to provide >>A really great, by the way, congratulations on the CEO to Toby and the investment a hundred million dollars. That's a game changer statement again, back to the billing. And there's a good, there's a whole new chain, even all up and down the stack of solutions, great stuff. And I want to unpack that tomorrow. I don't hold that. We're going and we're going to meet tomorrow. I want, I wanna want to leave that to stay >>In the data for a second, because you made the point before in your keynote as well. That it's, that it's the data that drives the value of these companies. Why is it that apple, Amazon, Google Facebook now trillion dollar evaluations. It's all about the data and the telcos have the data, but they can't figure out how to turn that into valuation. >>There's two parts of the data problem, which is number one, the data is trapped in on-premise siloed systems that are not open. You can't connect them and they certainly can't do without. And we talked about it, I think yesterday, you know, millions of dollars of expenditure. And I think the other piece that's really interesting is that it's not connected to a mechanism to get it out in a timely manner, right? This is data that's aging by the minute. And when it takes you weeks to get the insight it's useless. Right? And so to Togi we announced the launch to Togi, I'll get a little to Tokyo plug in there, right. To Toby is connecting that insight to the charger, to the engagement engine and getting it out to subscribers. I think that's the beginning of this connection. I think it's a hard problem to solve and would have been solved already. >>But I think the key is leveraging the public cloud to get your data out of on-premise and, and mashing it up against these great services that Google and Azure and Amazon provides to drive it into the hands of the subscriber, make it very actionable, very monetizeable right at the end, that's what they want. More ARPU, more revenue. Right. And you know, we heard some keynotes from GSA yesterday, some big, big guys, you know, talking about how, you know, it's not fair that these other communication platforms are not regulated. You know, telco is heavily regulated and they're like, it's not fair. And I'm like, yep. It's not fair. That's like right. South complaining about it and start treating your customers better. So they are, they're happy to give you more. >>Yeah. And I think that's the message about the assets do, um, well, one thing I will say is this mobile world Congress is that we've been having a lot of fun here in cloud city. I have to ask you a personal question. Have you been having fun? You look great on the keynote of spring to your staff, cloud cities. Beautiful. Spectacular here. Give us some highlights, personal highlights from your trip. So far, >>Number one, I'm, I'm psyched that the keynote is delivered and, and done. I mean, I think it takes my blood pressure down a blind, um, you know, the spring in my step, I wore these fun little tennis shoes and, and that was really fun, but yeah, I'm having, I'm having, I think a lot of things, great conversations. Yes. The attendance has reduced, um, you know, usually you see hundreds of people from the big group carriers, especially the European groups and yeah, the attendance is reduced, but the senior guys are here, right. The senior leadership teams are in the booth or having meetings, running amazing conversations. I think the last year we really did live a decade in one year. I think they woke up to the power of the public cloud. I mean, there was no way that they got business done without cloud based tools. And I think the light bulb went off, I think I'm right in the right moment. Awesome. Do you think that, >>Do you think that they'd think in there, like left money on the table because you look at the pandemic, there were three categories of companies, losers, people who held the line struggled and then winners. Yeah. Big time tailwind booming. Obviously the zooms of the world telcos did well. They were up and running. Uh, this, this was good. You think we might've left some money on the table? They could have done more. >>Yeah. I think the ones that were, you know, people talk about digital transformation where digital telco we're digitally enabled, but I think the pandemic really tested this. Right. Can you deliver a contactless SIM or do you need to go to a store in person to get to go pick it up? And I had a broken SIM during the pandemic. My provider made me go to the store and I'm like, is it even open? And so I heard other stories of telcos that were very digitally enabled, right. They were using Uber to deliver Sims, all sorts of fun, crazy stuff and new ideas. And they were able to pivot right. Agile. And so I think, I think that was a really big telemedicine booming. So >>If you were in a digital business during the pandemic in general, you're out of business maybe unless you were telco, but I think you're right. I think the light bulb went off. It was an aha moment. And they said, oh, if >>We don't, I mean, I am not kidding. Right. As an ex CEO where I was trying to collect signatures on renewals, right. Here's a DocuSign, which for the world is like, duh. I mean, our school uses DocuSign. I had telcos that required an in-person signature, right. In some country once a month on Tuesday between 10 and two. And I'm like, how are you doing business? Like that? That's like the dark ages. >>Yeah. This is where the crypto guys got it right. With know your customer. Right. >>Because they have the data. Well, there's a lot of things that come in wrong. We don't want to get the whole show on that, but then you have great to have you drop biopsy Bon Jovi's here. How did you get Bon Jovi? Huge fan, New Jersey boy Patriots fan. We'd love it. Well, >>Yeah. I mean, who doesn't love Bon Jovi. Right. Um, we knew we wanted a rocker, right. Rock and roll is all about challenging the status quo. Um, that, I mean, since the beginning and that's what we're doing here, right. We're really challenging. Like the way things have been done in telco kind of just shattering the glass ceiling and lots of different ways. Right. Calling the old guys dinosaurs. I'm sure those guys love me. Right. I mean, how much do they hate me right now? Or they're like that girl? Oh, we're punk >>Rock. They're rock and roll. Right, right. I mean, maybe we should have gotten the clash >>Right. Black flag. Right. I'm a little bit old. >>Accessible. Still >>Edgy. Yeah. So really excited to get them here. Um, I've met him before. Um, and so hopefully he'll remember me. It's been a couple of years since I've seen him. So can't wait to connect with him again. I think we have Elon Musk coming up and that's going to be, it's always exciting to hear that guy talk. So >>Yeah, it could be inspiration off after you've talked to space, space X and kind to star lake. >>Right. I mean, those guys are launching rockets and deploying satellites. And >>I think that's really interesting for >>Rural right. In telco. Right. Being able to deploy very quickly in rural where the, maybe the cost, um, you know, per gig doesn't make sense. You know, the cost for deployment of tower. I think, I mean, that's an interesting idea right there. It's exciting. It's exciting. >>He's inspirational. I think a lot of people look at the younger generation coming into this issue. Why are we doing things? A lot of people are questioning and they see the cloud. They're saying, oh, Hey, you're a B, why are we doing this? This is such an easier, better way. Yeah. I think eventually the generation shifts >>It's coming. I'm so excited to be a part of it. Yeah. Great, >>Great leadership. And I want to say that you are real innovative, glad to have us here and presenting with you here. >>Awesome team. I'm psyched to have you guys. We talked last night about how great this partnership has said. Yeah. >>Cuba's keep us rocking inside the cloud city. The streets of the city are packed in here. All stuff. Great stuff. Thanks for coming on. Thanks. Bon Jovi is here. We've got a shot. A bunch of we do we have a screenshot of Bon Jovi? Yup. There it is. Okay. He's about to come on stage and uh, we're gonna take a break here. We're gonna take and send it back to Adam and the team in the studio. Thanks guys.
SUMMARY :
We are in the cloud city and all, thanks for coming on remotely So you guys got some big news, um, first Erickson partners with you guys on 5g platform, And so that's the second pillar. And, you know, And the reason for that is I wonder if you could talk a little bit But the influencing part that you mentioned is And now the other piece of the announcement of course, is the open, open ran. And the reason for that is fairly simple. And having that kind of standardized hardware software with openings of Essex is an extremely important cost And she mentioned that the iPhone John and the parallel and analogy that you raised is photon. And I was just heard someone in the hallway just yesterday and say, you want to be the smartphone. Watch that in there. We're going to see you to Mike. I mean, everyone's coming in the band's warming up. And then open ran again, open source, you got five G you And I don't think we could have had it MWC 21. and some breaking stories to you are on stage. And I think the CSPs is always viewed to get the increase in ARPU. And I think it's pretty, it's becoming pretty clear that that's the case for the telcos. And I think we just heard Google talking about it. I think that's an important point because you got to place bets. I'm like, um, are you guys nuts? You've got to change your business model. Well, you gotta be in the right side of history too. And so yeah, And because the old model of building cap backs and extract I mean, nuts and bolts of the stack, the servers, If the conversation hasn't has to go beyond, And so it's time to start unlocking And I want to unpack In the data for a second, because you made the point before in your keynote as well. I think yesterday, you know, millions of dollars of expenditure. But I think the key is leveraging the public cloud to get your data out of on-premise and, I have to ask you a personal question. And I think the light bulb went off, Do you think that they'd think in there, like left money on the table because you look at the pandemic, there were three And I had a broken SIM during the pandemic. I think the light bulb went off. And I'm like, how are you doing business? With know your customer. show on that, but then you have great to have you drop biopsy Bon Jovi's here. Rock and roll is all about challenging the status quo. I mean, maybe we should have gotten the clash I'm a little bit old. I think we have Elon Musk coming up and that's going I mean, those guys are launching rockets and deploying satellites. maybe the cost, um, you know, per gig doesn't make sense. I think a lot of people look at the younger generation coming into this issue. I'm so excited to be a part of it. And I want to say that you are real innovative, glad to have us I'm psyched to have you guys. He's about to come on stage and uh, we're gonna take a break here.
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Day Three Kickoff | Cloud City Live 2021
(upbeat music) >> theCUBE's back on day three here in Cloud City Mobile World Congress. This is where all the action is, and this is theCUBE set. I'm John Furrier with Dave Vellante. We're here with DR, Danielle Royston, who is the CEO of TelcoDR, as well as the CEO of Totogi. Great to see you again. >> Hey. >> Hey, how are you guys? >> Good. >> Great time, great boat last night, good industry executives. A lot of intimate high player, big players here in the industry, even though not a lot of attendance, but the right people are here and events are back. >> Yeah. Yeah. I think, MWC was the first event to cancel with COVID in February, end of February 2020. So first big event to come back. It's such a nice symmetry. Yeah. Typically you have big delegations, hundreds of people from the big groups coming to the show. We're seeing the executives are coming, smaller delegations, but they're all in the booth and that we're having great conversations and it's awesome. >> Yeah, and the thing I will say is that theCUBE's back too. We'd like them to be, be in here in the action, because one of the things that's happened with this hybrid events is that people are watching. And so there's a virtual space and the physical space and Cloud City has built out paradise. It's beautiful and spectacular behind us. If you look around, for the people who can't see, it's really made for the combination of on-site and virtual experience, the content, the people, Bon Jovi last night, it's just the top of Mobile World Congress and it's translating to the industry. This has been amazing. So congratulations. >> Thank you so much. >> Well. I got to say, you have a lot to say as we all know. >> Danielle: Yeah. >> But I think it was easy for the big guys. >> Danielle: Can't shut me up. (laughing) >> That's why we love you in theCUBE. But I think it was easy for the big guys to tap out and say, hey, we can save a bunch more money. >> Danielle: Yeah. >> We don't really have much to talk about. We're going to talk about it again. Hey, let's talk about 5G. >> Yeah, yeah, exactly. >> 5G's coming. >> It's the revolution. >> And I told you about 5G though. >> Whereas the narrative here is all about the future. And it's not about the future of blah blah blah, it's about the future of, this is the journey that we're taking and here's where it's starting and with the meat in the bone. >> Yeah. And I think what's really interesting about Cloud City is the fact that we've brought these different players together that are all focused, as you said, on the future. And I'm starting to see these connections where they're collaborating. Vendors that didn't know each other probably would never have partnered before. Totally different areas. I'm hearing the conversation in the booth about like, hey, I talked to P1 security, or I went and talked to LMX and we're putting deals together 'cause we're complimentary. And it's amazing and so that's really good. >> And the integration partnership, heard that from Google yesterday on our news exclusive break in there. They see integration and they're talking about Android, with what Android did for mobile. They're seeing a whole new software paradigm coming into telco. Its partnership, its ecosystem and open. These are new kind of dynamics. >> And I think for you guys, when you say integration and open, I think those things are really paired and they're important. A lot of times Telco people will hear integration, and they'll think customization. Coding it up and customizing it so that they talk to each other. But I think the open part of that is really important where we're connecting via APIs. And I think that's bringing the hyperscalers. That's what they do. They provide these systems and the software that's all API based and you can use it very quickly and you can unravel it if you need to. And it's that feature velocity, we talked about a couple days ago. >> And automation is the underpinning. >> Yeah, yeah. >> I mean, that's really the theme, right? >> Right. >> It's not like a one-off hardcore custom integration that's going to be frozen. >> One time to upgrade it every 18 months or whatever it is. Yeah, it's a life. >> Dave: How about Musk yesterday? >> John: I mean, he's always a crowd pleaser. First of all, my kids love him. He's crazy. >> Who doesn't love Elon Musk? >> I mean, he is amazing. He's a builder and he takes no prisoners. He's just, you know what, my goal was not to go bankrupt. That's what he said a couple of years ago. >> Dave: Which was brilliant because everybody's gone bankrupt in that business and he's just close it off. >> And he's just like, look, we're here, we're just going to chip away at it and we're just going to keep striving, not making up excuses. He takes the failures. He takes the phase plans. He gets back up and he keeps going. He's focused on building. >> He's focused on one thing. He's not focused on everything. He's focused on getting to Mars. And I think that's what I like to compare myself to Elon Musk. Not that I'm building rockets or getting to Mars, but that the hard problem that I'm solving is getting Telco to the public cloud and that's going to take a decade. It might have been accelerated because of COVID, it might've taken 20 years and now it might take 10. But you look at what he does, and that guy, he has haters on Twitter that are pew- pew. Always like, throw in their bars, but he's like, I got my rocket company. I got my communication and space company. We're going to need the bore holes, the Boring Company. I need batteries, I got my Tesla company. And so this guy focuses. >> He's got some haters, but he's got a lot more lovers on his other side because people might not know this, but he fired the entire PR department because he's like, I don't need PR. I'm just going to go do my own, his own PR. >> Obviously, the crypto stuff's always fun. Doge coins, always a laugh. >> Danielle: I think he just plays around with that. >> And it's just more of like playing. >> Yeah, that's a watch this. >> He just likes to see what he can do. >> Doge coins app. That Saturday Night Live was an interesting thing he did, but I think he illustrates the point of a new generation. And I think my young kids, not young, they're in their twenties now. They look at him and they say, that's aspirational because he's building and he's focused on that one thing. And again, the growth that you mentioned Telco to the cloud, getting back to that is that, I want to ask you this growth question. It used to be like, okay, growth was there, people expanded cell towers, networks were networks. Now it seems that the growth of Telco, with Telco is going into, with the edge and all the open-RAN stuff, which means we need more infrastructure. >> Danielle: Yeah. >> We need more stuff. There's more needed and there's growth behind them. What's your reaction? >> I think we need more software. Software eats the world. And it's, I mean, there's a lot of hardware to chomp in Telco and it's just going to keep eating it and that's just going to accelerate. I think that's where Telco needs to start to build that muscle. They don't have great software capability. They don't have public cloud building capability. And so that's a big up-skilling. That's a new hiring. And I think it's an executive conversation. It's not just an IT thing or just a marketing thing or networking thing. >> I got to chime in here for a second because there are a lot of parallels with how the data center transition has occurred. And what's happening here. We talk about all the time. It was a mainframe, et cetera. There are parallels. >> Danielle: Yeah, yeah. >> And what happened when the data center went to software-defined a whole bunch of hardware was allocated to run all the software-defined stuff. It wasn't built for that. >> Danielle: Yeah. >> But the cloud, what you guys are doing with Totogi and taking advantage of AWS's is Nitro and Graviton. That's built to be software-defined. >> Correct. >> And so the Telcos are going to go through the same thing. If they just virtualize, they're going to say, oh wow, we're wasting 30% of our power, our compute power on just supporting all this software-defined stuff, because it wasn't built for that, but the cloud is built for that. >> Danielle: Yeah. >> And that is going to be a huge difference. >> And I keep trying to make this distinction. And I think people in Telco still don't get this about the public cloud. They think of it as a place. It's a place to run a workload. And that tells me, they think of it as infrastructure. They think of it as servers still like, well, I'm going to run into my closet or AWS's closet. I'm like, and I was just having a conversation about this with this senior person from GSMA. I'm like, it's actually about the software that's there. It's about the databases they're building and the analytics and the AI and the ML but they let you buy by the minutes or by the API call. And that is my, like you need to think about that because it's mind-blowing. It's a totally different way to think. >> And you're totally right. I'm just going to, again, give you props on this. I've had many one-on-one with Andy Jassy for the past seven years for exclusives, but over the years it's been consistent. Each platform lifting and shift wasn't the end game. Okay. Replatforming in the cloud, certainly a great advantage, a great starting point. It was the refactoring. And that's why you see Amazon Web Services, for instance, keep adding more services 'cause that's the model. >> Danielle: Yeah. >> They keep offering more goodness so that the businesses could refactor, not just replatform. >> Danielle: Yeah. >> And that's what you're getting at. I think with the AI and machine learning, where you start getting into these new use cases, but why I couldn't do that before. >> Danielle: Right, right. >> This is going to be a huge game changer. >> Well, Forrest Brazeal. A great guy, a cloud guru wrote a great blog called a lift-and-shift is a ticking time bomb. And it's a great start to get your stuff over there. It forces your team to start to interact with like an AWS or GCP in a real way. Like now they, they got to use it. You take it away and I'm like, but once you move it, you got to re-factor. You got to rewrite. And then that's why it's a ticking time bomb. You got to get, move it over and get going. >> Danielle Royston, DR, Digital Revolution of you are one. You got it here, Telco DR. And this has been a great experience for theCUBE, as we get back to business with real life events and virtual. For the folks who couldn't make it here, Barcelona is still a great city. Obviously a great place to come and the events will be back. They'll be hybrid. They'll be different. Certainly, theCUBE will wait double them down, but, we've got a great video. I want to share for the group, the Barcelona and Cloud City. This is a montage of what it's like here and a little experiential video. So take it away and run that video. (upbeat techno music) >> Hi, I'm Katie Goldfinch, here in Barcelona for an action packed Day Two at TelcoDR's Cloud City. This morning, the focus was firmly on DR. and her MWC keynote, which told Telco execs in no uncertain terms that now is the time to act on embracing public cloud. Back in Cloud City content ruled the day with both theCUBE and Cloud City live stages, hosting public cloud, thought-leaders covering a wide range of topics to educate and inspire attendees. And in the beautiful space of Cloud City, the excitement grew throughout the day as we streamed MWC's exclusive keynotes from Elon Musk and preparations got underway for tonight's star performer, Jon Bon Jovi. (upbeat techno music) Wow! What an amazing day from groundbreaking keynotes into space and back to a star studded performance. Don't forget, you can catch up on anything you missed and join us for the rest of the week at cloudcity.telcodr.com or following #cloudcity. (upbeat techno music) >> Okay, we're back. That was great look at what's going on here in Cloud City. This next video, DR, you're going to love this. Your keynote highlights and some Bon Jovi highlights, which by the way, was the most epic thing. People were packed. >> Dave: It was exciting. >> Place was packed. It had the security clicking people, counting all the people, people are standing back. All the people from their booths are all coming in to watch. >> Dave: He was pumped. >> Let's take a look at this awesome highlight video from yesterday. (upbeat techno music) (upbeat techno music) >> Okay, we're back at theCUBE. Dave, that was a highlight reel yesterday. DR has got some action on stage, great messaging, revolution, digital revolution. >> You know your comment about how you think like Elon Musk. That's an inspiration from it. I mean, what a lot of people don't know is when you look at autonomous vehicles, remember you're driving down Palo Alto, you see one of those lidar things. He's doing away with lidars, it's too expensive. It's $7,000. He's taking it with cheap cameras and software down to a couple of hundred bucks per vehicle. >> Danielle: Wow. >> That's the way he thinks. And you're doing the same thing to Telco. >> Danielle: I am. I am I'm trying to change Telco. I mean, he's changing the world. He might be one of the most important humans on Earth right now. I don't think I'm exactly that level, but I'm trying to become a really important person in Telco. We have this great message. I think it's going to help Telcos to get better businesses. And I think it's a great idea. >> For the folks out there watching, what is that big change? If you're going to drive down this Cloud City street, main street of Cloud City and just all about Cloud. Because public clouds here, it's going to become hybrid, dynamics, operating models are changing. What is the key message that you'd like to send? >> I think all of the software in Telco needs to be rewritten. And that's how many millions of lines of code is that? And it's going to be shrunk down and put out on public cloud and rewritten using the software Legos of the public cloud. That is a big undertaking. No one's working on it. I'm working on it. I'm doing it. Let's go do it. >> Let's do it. And if you look out a couple of years, what would be a successful, what does checkmate look like in this chess game? >> I'm winning? #winning >> You're opening move is pretty good as we say in chess. >> I mean, I think it, it takes, again, it takes singular focus like Elon Musk on Mars. Someone needs to singularly focus on getting the public cloud and you can't sit there and protect your old business models, your CR revenue, if you're Amdocs. Give that up. When they start to give up their CR revenue to focus on public cloud, then they'll be, okay, there's a worthy adversary out there really focusing on it. >> I mean the late Clayton Christensen had all the same things. Innovator's dilemma. You get stuck here, what do you do? >> Danielle: What do you do? >> You kill your own, you eat your own to bring in the new, I mean, all these things are going on. This is a huge test. >> And to be willing to burn some boats. >> I think it's transparency, simplicity, and the consumer saying, hey, this is a great experience. That's the Tel sign. >> Danielle: Yeah. >> And that's what we're going to see over this next decade. >> Plus consumers love their Telco. I can't wait for that. I want to love my Telco. >> Dave: Like you love Netflix. >> Yes, exactly. >> DR, we love you because you've got a bold vision. You're putting it out there and you're driving it. You're walking the talk. Congratulations. And again, Cloud City's a home run. >> Awesome. >> Great success. Thanks for having theCUBE. >> Thank you guys. As always super fun. Great day. >> Okay. >> CUBE's coverage here. And remember, we're here getting all the action and it's all going to go online after a synchronous consumption. But right now, it's all about Mobile World Congress and Cloud City. This is the action. And of course, Adam in Cloud City Studio is waiting for us and he's going to take it from here.
SUMMARY :
Great to see you again. but the right people are hundreds of people from the Yeah, and the thing I will a lot to say as we all know. But I think it was Danielle: Can't shut me up. for the big guys to tap out We're going to talk about it again. And it's not about the And I'm starting to see these connections And the integration partnership, And I think for you guys, that's going to be frozen. One time to upgrade it every First of all, my kids love him. I mean, he is amazing. and he's just close it off. He takes the failures. And I think that's what I like but he fired the entire PR department Obviously, the crypto Danielle: I think he And again, the growth that you What's your reaction? And I think it's an I got to chime in here for a second to run all the software-defined stuff. But the cloud, what you And so the Telcos are going And that is going to and the AI and the ML but they let you buy And that's why you see Amazon so that the businesses could I think with the AI and machine learning, This is going to be And it's a great start to and the events will be back. now is the time to act That was great look at what's It had the security clicking people, Let's take a look at this Dave, that was a highlight reel yesterday. down to a couple of That's the way he thinks. I think it's going to help What is the key message And it's going to be shrunk And if you look out a couple of years, pretty good as we say in chess. on getting the public cloud I mean the late Clayton Christensen I mean, all these things are going on. and the consumer saying, hey, And that's what we're going I want to love my Telco. And again, Cloud City's a home run. Thanks for having theCUBE. Thank you guys. and it's all going to go online
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Show Wrap with DR
(upbeat music) >> Okay, we're back here in theCUBE, this is day three of our coverage right here in the middle of all the action of Cloud City at Mobile World Congress. This is the hit of the entire show in Barcelona, not only in person, but out on the interwebs virtually, this is a hybrid event. This is back to real life, and theCUBE is here. I'm John Furrier and Dave Vellante and DR is here, Danielle Royston. >> Totally. >> Welcome back to theCUBE for the fourth time now at the anchor desk, coming back, we love you. >> Well, it's been a busy day, it's been a busy week. It's been an awesome week. >> John: Feeling good? >> Oh my God. >> You made the call. >> I've made the call. >> You did on your podcast what, months ago. >> Yeah, right? >> You made the call. >> Made the call. >> You're on the right side of history. >> Right, and people were like, it's going to be canceled. COVID won't be handled, blahbity blah. >> She's crazy. >> Nope, I was just crazy, I'm okay with that, right? >> Crazy good. >> Right, I'm like I'm forward looking in a lot of ways. And we were looking towards June and we're like, I think this is going to be the first event back. >> You know, the crazy ones commercial that Apple ran is one of the best commercials of all time. You can't ignore the crazy ones in a good way. You can't ignore what you're doing. And I think to me, what I'm so excited about is cause we've been covering cloud we're cloud bigots, we love the cloud, public cloud. We've been on that train from day one. But when you hear the interviews we did here in theCUBE and interviews that we talked about with the top people, Google, Amazon Web Services. We're talking about the top people, both technology leaders like Bill Vass and the people who run the telecom verticals like Alfonzo, Adolfo, I mean, Hernandez. We had Google's top networking executive, we had their industry leader and the telecom, Microsoft and the Silicon all are validating, and it's like, surround sound to what you're saying here, and it cannot be ignored. >> I mean, we are coming to a big moment in Telco, right? And I mean, I've been saying it's coming. I called 2021, the year of Public Cloud and Telco. It helped that Erickson bailed. So thank you, Erickson people. >> It was a gift. >> It was a gift. >> It was. >> It really was a gift. And it was not just for me, but I think also for the vendors in the booth, I mean, we have a Cloud City army, right? Here we go, let's start marching, and it's awesome. >> He reminds me of that baseball player that took a break, cause he had a hangover and, Cal Ripkin. >> Cal Ripkin? >> Yeah, what was that guy's name? >> Did that really happen? >> Yeah, he took a break and uh- >> New guy stepped in. >> Yeah, and so well, not Cal Ripkin. >> No, no, so before, you want to know, who was it, Lou Gehrig? >> Lou Gehrig, yeah, Lou Gehrig. >> Right, so, Lou Gehrig was nobody, and we can't remember the guy's name, nobody knows the guy's name, what was that guy's name? Nobody knows, oh, there's Lou Gehrig, he got hurt. He sat out and Lou Gehrig replaced him and never hear of him again. >> Danielle: Love it, I'll take that. >> Never, never missed a game for his entire career. So again, this is what Erickson did, they just okay, take a break. >> Yeah, but I mean, it's been great again. I had a great day yesterday, my keynote was delivered. Things are going well with the booth, we had Jon Bon Jovi. I mean, that was just epic and it was acoustic and it was right after lockdown. I think everyone was really excited to be there. But I was talking to a vendor that said we'd been able to accomplish in three days, what normally it would take three years from a sales funnel perspective. I mean, that's big and that's not me. That's not my organization. That's other organizations that are benefiting from this energy. Oh, it's awesome. >> The post isolation economy has become a living metaphor for transformation, and I've been trying to sort of grok and put the pieces together as to how this thing progresses in my interview with Portal One in particular really brought it into focus for me, anyway, I'd love to get your thoughts. One of the things we haven't talked much about is public policy, and I think about all the time, all the discussion in the United States about infrastructure, this is critical infrastructure, right? And the spectrum is a country like South Africa saying, come on in, we want to open up. We want to innovate, to me, that's the model for these tier two and tier three Telcos that are just going to disrupt the big guys, whereas, maybe China's maybe on the other end of the spectrum, very controlling, but it's the former that is going to adopt the cloud sooner, and it's going to completely transform the next decade. >> Yeah, I think this is a great technology for a smaller challenge or CSP that still is a large successful company to challenge the incumbents that are, they are dinosaurs too, they move a little bit slow, and maybe if you're a little bit faster, quicker dinosaur you'll survive longer, maybe you'll be able to transform and, and a public cloud enables that. And I think, you know I'm playing the long game here, right? Is public cloud already for every Telco in every corner of the world, no. And there's a couple of things that are barriers to that. We don't really talk about the downsides, and so maybe we sort of wrap up with- there are challenges and acknowledge there are challenges, you know, in some cases their data regulations and issues, right? And you can't right? There's not a hyperscaler in your country, right? And so you're having a little bit of challenges, but you trend this out over 10 years and then pace it with the hyperscalers that are building new data centers. They're each at 25 plus each, you know, plus or minus a few, right? They're marching along, and you trend this out over 10 years, I think one of two things happened, your data regulations are eased or a hyperscaler appears in a place you can use it, and those points converge and hopefully the software's there, and that's my effort and (claps) yeah. >> Dave: You know what's an interesting trend, DR and John, that is maybe a harbinger to this, is you just mentioned something. If the hyperscalers might not have a presence in, in a country, you know what they're doing? And our data shows this, I do that weekly series breaking analysis and the data Openstack was popping up. Like where does OpenStack come from, well, guess what, when you cut the data, it was Telcos using open source to build clouds in regions where there was no hyperscalers. >> It's a gap filler. >> Yeah, it's a gap filler, it's a bandaid. >> But I think this is where, like. outpost is such a great idea, right? Like getting outposts, and I think Microsoft has the ability to do this as well, Google less so, right? They're not providing the staff, they're doing Anthos. So you're still managing this, the rack, but they're giving you the ability to tap into their services. But I was talking to a CTO in Bolivia. He was like, we have data privacy issues in our country. There's no hyperscaler, not sure Bolivia is like next on the list for AWS, right? But he's like, I'm going to build my own public cloud. And I'm like why would you do that when you can just use outposts? And then when your data regulations release, where they get to Bolivia, you can switch and you're on the stack, and you're ready to go. I think that's what you should do. You should totally do that. >> John: Yeah, one of the things that's come up on here in the interviews, in theCUBE and here, the show is that there are risk takers and innovators and there's operators. And this has been the consistent theme around, yeah, the on-premises world you mentioned this regulation reasons, and or some workflows just have to be on premise for security reasons, whatever, that's the corner case. But the operating model of the technology architecture is shifted. And that reality, I don't think is debatable, so I find it, I got to ask you this because I'm really curious. I know you get a lot of people staring at ya, oh the public cloud's just a hosting, but why aren't people getting this architectural shift? I mean, you mentioned outpost and wavelength, which Amazon has, is a game changer. It's Amazon cloud at the hub. >> Yeah, at the edge. >> Okay, that's a low latency, again, low-hanging fruit applications, real buys, whatnot. I mean, that's an architectural dot that's been connected. Why are people getting it. >> In our industry, I think it is a lot of not invented here syndrome, right? And that's a very sort of nineties thought and I have been advocating stand on the shoulders of the greatest technologists in the world, right, and you know, there's, there is a geopolitical US thing, I think we lived through a presidency that had a sort of nationalistic approach and a lot of those conversations pop up, but I've also looked to these guys and I'm like, you're still, you still have your Huawei kit installed. And there's concerns with that too. So, and you picked it because of cost, and it's really hard to switch off of, so give me a break with your public cloud USA stuff, right? You can use it, you're just making excuses, you're just afraid. What are you afraid of, the HR implications? Let's talk about that, right? And the minute I take it there, conversation changes. >> Yeah, I talked to Teresa Carlson when she was running the public sector at AWS, she's now president of Splunk. I call her a Renaissance woman. She's been a great leader and public sector for this weird little pocket of AWS where it's a guess a sales division, but it's still its own company. >> Danielle: Yeah. >> And she's, did the CIA deal, the DOD, and the public sector partnerships are now private, a lot more private relationships, So it's not like just governments, you mentioned government and national security, and these things, you started to see the ecosystem not, not just be about companies, >> Danielle: Yeah. >> Government and private sector. So this whole vibe of the telecom being regulated, unregulated, unbundled is an interesting kind of theory. What's your thoughts and reactions to this, kind of this, melting pot of ecosystem change and evolution? >> Danielle: Yeah, I mean. I think there's a very nationalistic approach by the Telcos, right? They sort of think about the countries that they operate in. There's a couple of groups that go across multiple countries, but can there be a global Telco? Can that happen, right? Just like we say, you were saying it earlier, Netflix, right? You can say Netflix, UK. Right, and so can we have a global Telco, right. That is challenging on a lot of different levels. But think about that in a public cloud start to enable that idea, right? Elon Musk is going to get to Mars. You need a planetary level Telco. And I can, I think that day is, I mean, I don't think it's tomorrow, but I think that's like 10, 20 years away. >> Dave: You're done, we're going to see it start this decade, it's already starting. We're going to see the fruits of that dividend. >> Danielle: Yeah, it's crazy. >> I've got to ask you, you're a student of the industry and you get so much experience, it's great to have you on theCUBE and chat about, riff about these things, but, the classic who's ready for disruption question comes up, and I think there's no doubt that the Telcos as an industry has been slow moving and the role and the importance has changed. People need the need to have the internet access they need to access. >> Yeah. >> So, and you've got the edge, now applications are now running on it, since the iPhone 14 years ago, as you pointed out, people now are interested in how packets move. That's fast whether it's a doctor or an emergency worker or someone. >> Danielle: What we have done in 2020 without the internet and broadband and our mobile phones, I mean? >> You know, I think about 1920 when the Spanish flu pandemic hit a hundred years ago, those guys did not have mobile phones and they must have been bored, right? I mean, what are you going to do, right? And so, yeah I think last year really moved a lot of thinking forward in this respect, so. >> Yeah, it's always like that, that animal out in the Serengeti that gets taken down, you know, by the cheetah or the lion. How do know when someone is going to be disrupted What's the, what's the tell sign in your mind, you look at the Telco landscape. What is someone waiting to be disrupted or replaced like? >> You know what they're ostriches, how do you say that word, right? They stick their head in the sand. Like I don't want to talk about it, la la la, I don't want to, I don't want to think about it. You know, they bring up all these like roadblocks, and I'm like, okay, I'm going to come visit you in another six months to a year, and let's see what happens when the guys that are moving fast that are open-minded to this, and it's, I mean, when you start to use the public cloud, you don't, like, turn it on overnight. You start experimenting, right? You start, you take an application that is non-threatening. You have, I mean, these guys are running thousands of apps inside their data centers. Pick some boring ones, pick some old ones that no one likes, and move that to the public cloud, play with it. Right, I'm not talking about moving a whole network overnight tomorrow. You got to learn, you have no, I mean, very little talent in the Telco that know how to program against the AWS stack. Start hiring, start doing it, and you're going to start to learn about the compensation, and I used to do compensation, right? I spent a lot of time in HR, right? The compensation points and structures, they compare AWS and Google, versus a Telco. Do you want Telco stock? Do you want Google stock? >> Dave: Right, where do you want to go? >> Right, right? like that's going to challenge the HR organization in terms of compensate. How do we compensate our people when they're learning these new valuable skills? >> When you think about disruption, you know, the master or the professor of disruption, Clay Christensen, one of the best lectures he ever gave was who at Cambridge, and he gave a lecture on the steel industry, and he was describing it, it was like four layers of value in the steel industry, the value chain, it started with rebar, like the lowest end, right? >> Danielle: Yeah yeah. >> And the Telco's actually the opposite, so that, you know, when, when the international companies came in, they went after rebar, and the higher end steel companies said, nah, let them have it, that's the low margin stuff. And then eventually, uh, when they got up to the high end. >> Danielle: It was over, yeah. >> The Telcos are the opposite. They're like, the, you know, in the, in the conductivity and they're hanging on to that because it's so big, but all the high value stuff, it's already gone to the, over the top players, right. >> It's being eaten away, and I'm like, what is going to wake you guys up to realize those are your competitors, that's where the battle is, right? >> John: That's really where the value is. >> The battle of the bastards, you're there by yourself, like "Game of Thrones" and they're coming at you. >> John: You need a dragon. >> What are you doing about it? >> John: I need a dragon to compete in this market. Riding a dragon would be a good strategy. >> I know, I was just watching. Cause I have a podcast, I have a podcast called "Telco In 20" and we always put like little nuggets in the show notes, I personally reviewed them, I was just reviewing the one for the keynote that we're putting out, and I had a dragon in my keynote, right? It was a really great moment, it was really fun to do, but there's, I don't know if you guys are "Game of Thrones" fans. >> Yeah. >> Sure. >> Right, but there's a great moment when Daenerys gets her dragons, the baby dragons, and she takes over the Unsullied Army, right? And it's just this, right? Like all of a sudden the tables turn in an instant where she has nothing, and she's like on her quest, right. I'm on a quest. >> Dave: Comes out of the fire. >> Right, comes out of the fire, the unburnt, right? She has her dragons, right? She has them hatch. She takes over the Unsullied Army, right? Slaves, it starts her march, right? And I'm like, we're putting that clip into the show notes because I think that's where we are. I think I've hatched some dragons, right? The Cloud City army, let's go, let's go take on Telco. >> John: Well, I mean, this to me. >> Easy. >> It definitely have made, made it happen because I heard many people talking about cloud, this is turning into a cloud show. The question is, when does this going to be a cloud show? That's just Cloud City, it's a big section of the show. I mean, all the big players are behind it. >> Danielle: Yeah, yeah. >> Amazon Web Services, Google Azure, Ecosystem, startups, thinking differently, but everyone's agreeing why aren't we doing this? >> I think, like I said, I mean, people are like, you're such a visionary, and how did, why do you think this will work, I'm like, it's worked in every other industry. Am I really that visionary, and like, these are the three best tech companies in the world, like, are, are you kidding me? And so I think we've shown the momentum here. I think we're looking forward to 2022, you know? And that we see 2022, you got to start planning this the minute we get back, right? Like I wouldn't recommend doing this in a hundred days again, that was a very painful, but you know, February, I was, there's a sign inside NWC, February 28th. Right, we're talking seven months. You got to get going now. >> John: Let's get on the phone. >> With Telco, I mean, I think you're right on. I mean, you know, remember Skype, in the early days, right? >> Danielle: Yeah, yeah. >> It wasn't regional. It was just, plug into the internet. >> Danielle: It was just Skype, it was just WhatsApp. >> Well this is a great location, if you can get a shot guys of the people behind us, I don't know if you can, if you're watching check out the scene here, It's winding down, a lot of people having happy hour. Now this is a social construct here at Cloud City, not only is it chock full of information, reporting that we're doing and getting all the data and with the presentations on the main stage, with Adam and the studio and the team, this is a place where people are meeting and there's deals being done face to face, intimate relationships, the best of the best are here, they make the trek. So there's been a successful formula. Of course theCUBE is in the middle of all the action, which we love, we're psyched to be back. I want to thank you personally, while we have you on stage here. >> I want to thank you guys, and the crew, the crew has been amazing, turning out videos on short order. We have all these crews in different cities, it's, our own show has been virtual. You know, Adam's in Bristol, right? We're here, this was an experiment, we talked about this a hundred days ago, 90 days ago. Could we get theCUBE there, do the show but also theCUBE. >> You are a visionary, you said made for TV hybrid event with your team, produce television shows, theCUBE, we're digital, we love you guys, great alignment, but it's magical because the content doesn't end here, the show might end, they might break down the beautiful plants and the exhibits, but the community is going to continue, the content and the conversations. >> Yeah. >> So, we were looking forward to it and- >> I'm super glad, super glad we did this. >> Awesome, well, any final moments that you would like to share in the last two minutes we have, favorite moments, observations, funny things that have happened to you, weird things that have happened to you, share something that people might not know, or a favorite moment? >> I think, I don't know that people know, we have a 3D printer in the coffee shops, and so you can upload any picture and they're 3d printing, coffee art, right? So I've been seeing lots of social posts around people uploading their, their logos and things like that. I think Jon Bon Jovi, he was super thankful to be back. He thanked me personally two different times of like, I'm just glad to be out in front of people. And I think just even just the people walking around, thank you for being brave, thank you for coming back. You've helped Barcelona and we're happy to be together. Even if it is with masks, it's hard to do business with masks on, everyone's happy and psyched. >> John: Well the one thing that people cannot do relative to you is they cannot ignore you. You are making a great big wave. >> Danielle: I shout pretty loud, It's kind of hard to ignore me. >> You're making a great big wave, you're on the right side, we believe, of history, public cloud is driving the bus down main street of Cloud City, and if people don't get out of the way, they will be under the bus. >> I'm, like I said, in my keynote, it's go time let's do it. >> Okay. Thank you so much for all your attention and mission behind the cloud and the success. >> Danielle: We'll do it again. We're going to do it again soon. >> After Togi's a hundred million dollar investment, you're the CEO of Togi that, let's follow that progress, and of course, Telco DR, Danielle Royston, the digital revolution. Thanks for coming on with you. >> Thank you guys, it was super fun. >> This is theCUBE I'm John Furrier with Dave Vallante, we're going to send it back to Adam in the studio. Thanks, the team here. >> Woo! (audience applauding) >> I want to thank the team, everyone here, Adam is great, Chloe. >> Great working with you guys. >> Awesome, and what a great crew. >> So great. >> Thank you everybody. That's it for theCUBE, here on the last day, Wednesday of theCUBE, stay tuned for tomorrow more action on the main stage, here in Cloud City. Thanks for watching.
SUMMARY :
This is the hit of the for the fourth time now Well, it's been a busy You did on your Right, and people were like, I think this is going to and the people who run the I called 2021, the year I mean, we have a Cloud City army, right? He reminds me of that baseball nobody knows the guy's name, So again, this is what Erickson did, I mean, that was just One of the things we haven't in every corner of the world, no. and the data Openstack was popping up. Yeah, it's a gap I think that's what you should do. I got to ask you this I mean, that's an architectural And the minute I take it Yeah, I talked to Teresa Carlson and reactions to this, by the Telcos, right? We're going to see the and the role and the since the iPhone 14 years I mean, what are you going to do, right? that animal out in the and it's, I mean, when you challenge the HR organization and the higher end steel The Telcos are the opposite. The battle of the bastards, to compete in this market. the one for the keynote and she takes over the Right, comes out of the I mean, all the big players are behind it. the minute we get back, right? I mean, you know, remember Skype, It was just, plug into the internet. Danielle: It was just and getting all the data I want to thank you guys, and the crew, but the community is going to continue, and so you can upload any picture John: Well the one It's kind of hard to ignore me. don't get out of the way, I'm, like I said, in my and mission behind the We're going to do it again soon. Danielle Royston, the digital revolution. Thanks, the team here. I want to thank the on the main stage, here in Cloud City.
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Day Three Intro
(soft upbeat music) >> TheCUBE's back on day three here in Cloud City, Mobile World Congress. This is where all the action is and this is theCUBE's set, I'm John with Dave Vellante. We're here with DR, Danielle Royston, who is the CEO of TelcoDR, as well as the CEO of Totogi. Great to see you again. >> Hey. >> Hey, how are you guys? >> Good >> Great time, great booth last night, good industry executives. A lot of intimate high player, big players here in the industry, even though not a lot of attendance, but the right people are here and events are back. >> Yeah. I think, MWC was the first event to cancel with COVID in end of February 2020. So first big event to come back, it's such a nice symmetry. Typically you have big delegations, hundreds of people from the big groups coming to the show. We're seeing the executives are coming, smaller delegations, but they're all in the booth and that we're having great conversations and it's awesome. >> Yeah. And the thing I will say is that theCUBE's back too we'd like them to be in here in the action, because one of the things that's happened with this hybrid events is that people are watching. And so there's a virtual space and the physical space, and Cloud City has built out paradise, it's beautiful and spectacular behind us. If you look around for the people who can't see, it's really made for the combination of onsite and virtual experience. The content, the people Bon Jovi last night, it's just the top of Mobile World Congress. And it's translating to the industry, this has been amazing. So congratulations. >> Danielle: Thanks so much. >> Dave: I think I got to say, you have a lot to say as we all know. But I think it was easy for the big guys. >> Danielle: Can't Shut me up. (chuckles) >> That's why we love you in theCUBE. But I think it was easy for the big guys to tap out and say, Hey, we're going to save a bunch more money, we don't really have much to talk about. We're going to talk about again. Hey, let's talk about 5G. (chuckles) >> It's a revolution >> Have I told you about 5G though. >> Whereas the narrative here is all about the future and it's not about the future of blah-blah-blah, it's about the future, this is the journey that we're taking and here's where it's starting, and with meat on the bone. >> Yeah. I think what's really interesting about Cloud City is the fact that we've brought these different players together that they're all focused, as you said, on the future. And I'm starting to see these connections where they're collaborating. Like, vendors that didn't know each other probably would never have partnered before, totally different areas. I'm hearing the conversation in the booth about like, Hey, I talked to people in security, or I went and talked to LMX and we're putting deals together 'cause we're complimentary and it's amazing. >> John: And integration partnership, heard that from Google yesterday on our news exclusive break in there, they see integration. And they're talking about Android with what Android did for mobile. They're seeing a whole new software paradigm coming into Telco, it's partnership, it's ecosystem and open. These are new kind of dynamics. >> Danielle: And I think for you guys, when you say integration and open, I think those things are really paired in and they're important. A lot of times Telco people will hear integration, they all think customization. Coding it up and customizing it, so that they talk to each other. But I think the open part of that is really important where we're connecting via API's and I think that's bringing the hyper-scalers, that's what they do. They provide these systems and the software, that's all API base and you can use it very quickly, and you can unravel it if you need to. And it's feature velocity we talked about a couple of days ago. >> And automation is the underpinning of that. I mean, that's really the theme, it's not like a one-off hardcore custom integration that's going to be frozen. >> Danielle: One time to upgrade every 18 months or whatever it is, it's alive. >> Dave: How about Musk yesterday? >> John: I mean, he's always a crowd pleaser. First of all, my kids love him. He's crazy. >> Who doesn't love Elon Musk? >> I mean, he is amazing. He's a builder. And he takes no prisoners. He's just, you know what? My goal was not to go bankrupt. That's what he said a couple of years ago. >> Dave: Which was brilliant because everybody's gone bankrupt in that business and he's just blows it off. >> And he's just like, look it, we're here to just want to chip away at it and we're just going to keep striving, not making up excuses. He takes the failures, he takes the face plants, he gets back up and he keeps going. He's focused on building the future. >> He's focused on one thing, he's on focused everything. He's focused on getting to Mars. And I think that's what I like to compare myself to Elon Musk, not that I'm building rockets or getting to Mars, but that the hard problem that I'm solving is getting Telco to the public cloud. And that's going to take a decade. It might have been accelerated because of COVID, it might've taken 20 years and now it might take 10, but you look at what he does and that guy, he has haters on Twitter they're kind of pew pew, always like throw in their bars, but he's like, I got my rocket company, I got my communication and space company. We're going to need to bore a holes, The Boring Company. I need batteries, I got my Tesla company. And so this guy focuses. >> John: He's got some haters, but he's got a lot more lovers on his other side because people might not know this, but he fires the entire PR department because he's like, I don't need PR I'm just going to go do my own, his own PR. Actually the crypto stuff's always fun, Dogecoins are always a laugh. >> Danielle: I think he just plays around with that. >> And it's just more of like playing. >> Dave Vellante: And that's like, watch this! (laughs) >> He just like to see what he can do. >> I said that live was interesting thing he did, but I think he illustrates the point of a new generation. And I think my young kids, not young, they're in their '20s now, they look at him and they say, that's aspirational because he's building and he's not, he's focused on that one thing. And again, the growth that you mentioned Telco to the cloud, getting back to that, I want to ask you this growth question. It used to be like, okay, growth was there, people expanded cell towers, networks were networks, now it seems like the growth of Telco, what Telco is going into with Edge and all the open ranch stuff, which means that we need more infrastructure. We need more stuff, there's more needed and there's growth behind them. What's your reaction? >> Danielle: I think we need more software. Software eats the world. And it's, I mean, there was a lot of hardware to chomp in Telco and it's just going to keep eating it, and that's just going to accelerate. I that's where Telcos need to start to build that muscle. They don't have great software capability, they don't have public cloud building capability. And so that's a big up-skilling that's a new hiring and I think it's an executive conversation. It's not just an IT thing or just a marketing thing, or networking thing. >> Dave: I got to chime in here for a second because there are a lot of parallels with how the data center transition has occurred. And what's happening here. We talk about all the time, Oh, it's a mainframe, et cetera. There are parallels. And what happened when the data center went to software-defined a whole bunch of hardware was allocated to run all the software-defined stuff. It wasn't built for that, but the cloud, what you guys are doing with Togi and taken advantage of AWS's Nitro and Graviton. That's built to be software-defined. And so the Telcos are going to go through the same thing. If they just virtualized, they're going to say, oh wow, we're wasting 30% of our power our compute power on just supporting all this software-defined stuff, 'cause it wasn't built for that, but the cloud is built for that. And that is going to be a huge difference. >> Danielle: And I keep trying to make this distinction and I think people in Telco still don't get this about the public cloud. They think of it as a place. It's a place to run a workload. And that tells me, they think of it as infrastructure. They think of it as servers still like, well, I'm going to run into my closet or AWS' has closet. I'm like, and I was just having a conversation about this with a senior person from GSMA. I'm like, it's actually about the software that's there, it's about the databases they're building and the analytics and the AI, and ML that they let you buy by the minutes or by the API call. And that is like, you need to think about that 'cause it's mind blowing, it's a totally different way to think. >> John: You're totally right. And just going to again, give you props on this. I've had many ones with Andy Jackson for the past seven years for exclusives, but over the years it's been consistent. Each platform lifting and shift wasn't the end game. Re-platforming in the cloud certainly a great advantage, a great starting point. It was the refactoring. And that's why you see Amazon Web Services for instance, keep adding more services 'cause that's the model. They keep offering more goodness so that the businesses could refactor, not just re-platform. And that's what you're getting, I think with the AI and machine learning, where you start getting into these new use cases, but why couldn't do that before? >> Danielle: Right. >> This is going to be a huge game changer. >> Well Forrest Brazeal, a great guy, a cloud guru wrote a great blog called a lift-and-shift is a ticking time bomb. And it's a great start to get your stuff over there, it forces your team to start to interact with like, an AWS or GCP in a real way like now they, they got to use it. You take it away and I'm like, but once you move it you got to re-factor you got to rewrite and then that's why it's a ticking time bomb. You got to move it over and get going. >> John: You know, Royston DR, Digital Revolution of you are one, you got it here TelcoDR and this has been a great experience for theCUBE as we get back to business with real life events and virtual, the folks who couldn't make it here, Barcelona is still a great city, obviously a great place to come and the events will be back, they'll be hybrid, they'll be different. certainly theCUBE will lay, doubling down, but we've got a great video. I want to share for the group, the Barcelona and Cloud City, this is a montage of what it's like here and little experiential video. So take it away and run that video. (slow upbeat music) (upbeat music) >> Hi, I'm Katie Goldfinch here in Barcelona for an action packed day two at TelcoDR's Cloud City. This morning, the focus was firmly on DR and her MWC keynote which told Telco execs in no uncertain terms that now is the time to act on embracing public cloud. Back in Cloud City, content ruled the day with both theCUBE and Cloud City live stages, hosting public cloud thought-leaders, covering a wide range of topics to educate and inspire attendees. And in the beautiful space of Cloud City, the excitement grew throughout the day as we streamed MWC's exclusive keynotes from Elon Musk. And preparations got underway for tonight's star performer, Jon Bon Jovi. (upbeat music) >> Katie: Wow! What an amazing day from groundbreaking keynotes into space and back to a star studded performance. Don't forget, you can catch up on anything you missed and join us for the rest of the week at cloudcity.telcodr.com or following #cloudcity. (slow upbeat music) >> OK we're back, that was great look at what's going on here in Cloud City, this next video DR, you're going to love this. Your keynote highlights and some Bon Jovi highlights, which by the way, was the most epic thing, people were packed, >> Dave: It was exciting. >> This place was packed. It had the security, clicking peoples, counting all the people, people are standing back. All the people on their booths, they're all coming in to watch. >> Dave: He was pumped. >> Let's take a look at this awesome highlight video from yesterday. (slow upbeat music) (upbeat music) (slow upbeat music) >> Okay. We're back to theCUBE. Dave, that was a highlight reel yesterday. DR has got some action on stage, great messaging, revolution, digital revolution. >> You know your comment about how you think like Elon Musk, that's an inspiration from it. I mean, what a lot of people don't know is when you look at autonomous vehicles, remember you're driving down Palo Alto, you see one of those LIDAR things, he's doing away with LIDARs, it's too expensive. It's $7,000, he's taking it with cheap cameras and software down to a couple of hundred bucks per vehicle, that's the way he thinks and you're doing the same thing to Telco. >> Danielle: I am. I'm trying to change Telco. I mean, he's changing the world. He might be one of the most important humans on earth right now. I don't think I'm exactly that level, but I'm trying to become a really important person in Telco, we have this great message. I think it's going to help Telcos to get better businesses ad I think it's a great idea. >> John: For the folks out there watching, what is that big change? You're going to drive down this Cloud City street, main street of Cloud City and just all about cloud. 'Cause public clouds here, it's going to become hybrid dynamics, operating models are changing. What is the key message that you'd like to send? >> I think all of the software in Telco needs to be re-written. And that's how many millions of lines of code is that and it's going to be shrunk down, and put out on public cloud, and re-written using the software legos of the public cloud, that is a big undertaking. No one's working on it. I'm working on it. I'm doing it. Let's go do it. >> John: Let's do it. And if you look out a couple of years, what would be a successful, what does checkmate look like in these chess game that you play? >> (chuckles) I'm winning, hashtag winning. (laughs and crosstalk) I think it takes, again, it takes singular focus like Elon Musk on Mars. Somebody needs to singularly focus on getting to the public cloud and you can't sit there, and protect your old business models, your CR revenue if you're Amdocs, give that up. When they start to give up their CR revenue to focus on public cloud, then they'll be, okay there's a worthy adversary out there really focusing on it. >> John: I mean the late Clay Christianson had all the same things. Innovator's dilemma. You just get stuck here, what do you do? You kill your own, you eat your own to bring in the new, I mean, all these things are going on, this is a huge test. >> Danielle: If we're willing to burn some boats. >> I think it's transparency, simplicity, and the consumer saying, Hey, this is a great experience. that's the tell sign. And that's what we're going to see over this next decade. >> Consumers love their Telco, I can't wait for that I want to love my Telco. >> Dave: Like you love Netflix. >> Yes, exactly. >> DR, we love you because you've got a bold vision. You put it out there and you're driving it. You're walking the talk. Congratulations. And again, Cloud City is a home run, great success. Thanks for having theCUBE. >> Thank you guys as always, super fun. Great day. >> Okay. TheCUBE's coverage here and remember we're here getting all the action, and it's all going to go online after, synchronous consumption. But right now, it's all about Mobile World Congress and Cloud City. This is the action. And of course, Adam in Cloud City Studio, is waiting for us and you're going to take it from here.
SUMMARY :
Great to see you again. but the right people are the first event to cancel it's just the top of Dave: I think I got to say, Danielle: Can't Shut me up. for the big guys to tap out and it's not about the And I'm starting to see these connections And they're talking about Android Danielle: And I think for you guys, I mean, that's really the theme, Danielle: One time to John: I mean, he's He's just, you know what? and he's just blows it off. He takes the failures, And that's going to take a decade. but he fires the entire PR department Danielle: I think he and all the open ranch stuff, and it's just going to keep eating it, And that is going to be a huge difference. and the analytics and the AI, and ML And just going to again, This is going to be And it's a great start to and the events will be back, now is the time to act and back to a star studded performance. in Cloud City, this next video DR, It had the security, clicking peoples, this awesome highlight video Dave, that was a highlight reel yesterday. and software down to a couple I think it's going to help it's going to become hybrid dynamics, and it's going to be shrunk down, in these chess game that you play? on getting to the public John: I mean the late Clay Christianson Danielle: If we're and the consumer saying, Hey, I can't wait for that I and you're driving it. Thank you guys as always, and it's all going to go online
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Day 2 Intro
(upbeat electronic music) >> Okay thanks, Adam, and the studio. We're here on the floor in Cloud City, right in the middle of all the action, the keynotes are going on in the background. It's a packed house. I'm John Furrier. Dave Vellante's on assignment, digging in, getting those stories. He'll have the analysis, he'll be back on theCUBE, but I want to welcome Chloe Richardson, who has been holding down the main stage here in Cloud City with amazing content that she's been hosting. Chloe, great to see you. Thanks for coming on theCUBE, and kicking it off day two with me. >> No, not at all. Thank you for having me! It's very exciting! I love what you guys have got over here, very fun! >> We're inside theCUBE. This is where all the action is, and also, Cloud City is really changing the game. If you look at what's going on here in Cloud City, it's pretty spectacular. >> No, I mean, the atmosphere is absolutely palpable. Isn't it? You can just feel it. People walk in and see what the future looks like for the telecoms industry. Very exciting. >> And you've been doing a great job on the main stage, we're really loving your content. Let's get into some of the content here. After the keynotes are going on, we're going to have DR maybe fly by the set later, we're going to check that out. But let's check out this videotape. This is TelcoDR. You got to check out this reel, and we'll be right back, and we'll talk about it. (smooth electronic music) >> TelcoDR burst onto the global telecom scene this year, making headlines for taking over the huge Erickson space at MWC 21, and for building Cloud City in just a hundred days. But why did the company go to such trouble? And what is their unique offering to the telecoms industry? And what drives their dynamic CEO, Danielle Royston, or DR, as everyone calls her? Cloud City Live caught up with DR, away from the hustle and bustle of the city to find out. (upbeat instrumental music) >> Hi, I'm Danielle Royston, coming to you from beautiful Barcelona! I'm here for MWC 21. About a hundred days ago, I decided to take over the iconic Erickson booth to turn it into Cloud City. Cloud City has over 30 vendors, and 70 demos, to introduce telco to what I think is the future for our industry. We're going to have three awesome experiences. We're going to talk about the new subscriber experience. We're going to talk about what's in store for the new network, and the future of work. And I'm really excited to create a community, and invite awesome telco executives to see this new feature. It's been a really tough 18 months, and we didn't know what MWC 21 was going to be like in terms of attendance. And so from the get-go, we planned this amazing experience that we call Cloud City Live. At Cloud City Live, we have two main components. We have the speaker series, where we have over 50 speakers from Amazon, Google, Microsoft, as well as CSPs, and awesome vendors, talking about the public cloud in telco. The second part of Cloud City Live is theCUBE. Think of this as like an ESPN desk of awesome tech interviews focused on telco and the public cloud, hosted by John furrier and Dave Vallente. Dave and John are going to talk to a variety of guests focused on telco in the public cloud. It's a great way for our virtual participants to feel like they're at the show, experiencing what's going on here. So excited to have them as part of the Cloud City booth. There's a ton of innovation going on in telco, and 20 years ago, Elon Musk set on his mission to Mars. I, like Elon Musk, am on a quest to take telco to the public cloud. Every year at MWC, there's always a flurry of announcements, and this year is no different. At this year's MWC, Totogi, a startup that I invested $1,000,000 in, will be launching. Totogi is introducing two products to the market this week at MWC. The first is at planetary scale charger. More than a charger, it's an engagement, coupling your network data with charging information to drive subscriber engagement, and doubling your ARPU. The second product that Totogi is introducing is a planetary scale BSS system, built on top of the TM Forum Open APIs. Both of these products will be available for viewing in the virtual booth, as well as on the show floor. The public cloud is an unstoppable mega trend that's coming to telco! I'm super excited to bring to you the vendors, the products, the demonstrations, and the speakers, both to people here in Barcelona, and virtually around the world! (upbeat instrumental music) Well, that was a fascinating insight into the origins of TelcoDR, why public cloud is going to truly disrupt the telecoms industry, and why DR herself is so passionate about it. If you'd like to find out more, come and see us at Cloud City. (groovy electronic music) >> Okay, thanks. Just rolling that reel. Chloe, I mean, look at that reel, I mean, DR, Danielle Royston, she's a star. And I've seen a lot of power players in the industry. She's got guts and determination, and she's got a vision, and she's not just, you know, making noise about telco and cloud, there's actually a lot of real good vision there! I mean, it's just so impressive. >> No, it really is. And for me, it's almost like the next moonshot. It's the moonshot of the telco world! She's innovative, she's exciting. And if we've learned anything over the last 18 months, it's that we need that in this industry, to grow for the future of the industry. So, so exciting. I think she's a real inspiration! >> And I love the fact that she's so takes the tiger by the tail. Because the telco industry is being disrupted, she's just driving the bus here. And I remember, I did a story on Teresa Carlson, who was with Amazon Web Services, she was running the public sector, and she was doing the same exact thing in that public sector world in DC, and around the world. She opened up regions in Bahrain, which as a woman, that was an amazing accomplishment. And she wasn't just a woman, she was just a power player! And she was an exceptional leader. I see DR doing the same thing, and people aren't going to like that, I'll tell you right now. People are going to be like, "Whoa, what's going on here?" >> Now of course, it's always that way we pioneers though, isn't it? At the time, people thinking what is going on here, we don't like change, why are being shaken up? But actually, afterwards, in retrospect, they think, "Oh, okay. I see why that happened, and we needed it." So, really exciting stuff. >> Making things happen, that's what we're doing here on theCUBE. Obviously, the main stage's doing a great job. Let's go check out this highlight reel. If you're watching and you missed some of the action, this is obviously the physical event back since 2019 in February, but there's also a hybrid event, a lot of virtual action going on. So, you got theCUBE Virtual, you got a lot of content on virtual sites. But in person here, we're going to go show you a highlight reel from what we did yesterday, and what was happening around the show. Enjoy this quick highlight reel from yesterday. (groovy electronic music) (cheerful instrumental music) (groovy electronic music) Okay. We're back here in theCUBE. We're on the main floor out here with Chloe, who is emceeing, hosting, and driving the content on the Cloud City main stage. Chloe, it's been great here. I mean so far, day one, I was watching your presentations and fireside chats you've been hosting. Awesome content. I mean, people are like jazzed up. >> Yeah, no, for sure. We had Scott Brighton on yesterday, who was our opening keynote on the live stage, and his session was all about the future of work, which is so relevant and so pertinent to now. And he talked about the way it's changing. And in 10 years, it's going to be a trillion dollar industry to be in the cloud at work. So, really interesting! I mean, yeah, the atmosphere here is great. Everyone's excited. It's new content everyday. And that's the thing, it's not stale content! It's stuff that people want to hear. People are here for the new hot trends, the new hot topics. It's very exciting. >> Yeah, the next big thing. And also it's a fiscal event, so since 2019, this Mobile World Congress has been a massive event, and hasn't happened since February, 2019. That's a lot of time that's elapsed in the industry because of COVID, and people are glad to be here. But a lot of stuff's changed! >> Yeah. It's a different world, right? I mean, two years in the telco industry is like a hundred years elsewhere. Everything has changed! Digital transformation migration, obviously cloud, which is what we're talking about over here at Cloud City Live. I'm wondering though, John, I'd like to pick your brains on something. >> John: Sure. >> It has changed in the last two years. We know that! But what about the future of Mobile World Congress? How do you see it changing in the next few years. >> Oh, man. That's a great question. I mean, my observation, I've been coming to the show for a very long time, over a decade and a half, and it's been a nerdy show about networks, and telecom, which is basically radios, and wireless, and then mobile. But it's very global, a lot of networks. But now it's evolving! And many people are saying, and we were talking on theCUBE yesterday, Dave Vellante was commenting, that this show is turning into a consumer like show. So CES is the big consumer electronics show in the US, in Las Vegas every year. This show has got a vibe, because of all the technology from the cloud players, and from the chips, getting smaller, faster, cheaper, more capability, lower power. So people look at the chips, the hardware. It's less about the speeds and feeds, it's more about the consumer experience. We got cars. I was talking to a guy yesterday, he said, "Vehicle e-commerce is coming." I went, "What the hell his vehicle e-commerce?" And you could be on your app driving down the freeway and go, "Hey, I want some food." Instead of having it delivered to you, you order it, you pick it up. So that's kind of what can be happening now in real time, you can do all kinds of other things. So, a lot of new things are happening. >> Yeah, I think so. Do you see that as another disruption for the industry? That is, the fact that it's moving to be more consumer focused? Is there anything we should be worried about in that space? >> Well, I think the incumbents are going to lose their positions. So I think in any new shift, new brands come in out of nowhere. And it's the people that you don't think about. It's the the company that you don't see. (audience in background applauding) And we got DR on the main stage right here, look at this! We saw her walk out with the confidence of a pro. >> Chloe: Yeah, for sure. >> She just walked out there, and she's not afraid. >> Well, as she said in her video, she is ready to wake them up! And you can see as soon as she walks out, that is what she intends to do today. >> I love her mojo. She's got a lot of energy. And back to the show, I mean, she's just an example of what I was saying. Like in every market shift, a new brand emerges. >> Chloe: Yep. >> I mean, even when Apple was tainted, they were about to shut down, they were going to run out of cash, when Steve Jobs brought back Apple, he consolidated and rebooted the company, the iPad was a seminal, iPod, a seminal moment. Then the iPhone, and just, the rest is history. That kind of disruption is coming. You're going to see that now. >> Oh, it's exciting though, isn't it? To be future ready, rather than future proof! But actually I wanted to ask you something as well, because we are seeing all these cloud players getting hot under the collar about telco. Why are they so excited? What's the buzz about wire, as you're on AWS and Google Cloud, why do they want to have a slice of the pie? >> Well, I think they're hot and heavy on the fact that telco is a ripe opportunity. And it used to be this boring, slow moving glacier. It's almost like global warming now, the icebergs are melting, and it's going to just change. And because of the edge, 5G is not a consumer wireless thing, it's not like a better phone. It's a commercial app opportunity, because it's high bandwidth. We've all been to concerts, or football games, or sporting events where a stadium is packed. Everyone gets bars on their wifi, but can't get out. Can't upload their picture to Instagram. Why? Because it's choking them on the network. That's where 5G solves a problem. It brings a lot of bandwidth, and that's going to bring the edge to life, and that's money. So when you got money, and greed, and power, changing hands, if it's on the table, and the wheel's spinning, it could be double zero, or it could be lucky seven. You don't know! >> Oh, for sure. And that's certainly enough to get all the big players hot and bothered about getting involved! And I suppose it circles back to the fact that DR is really leading the charge, and they're probably thinking, "Okay, what's going on here? This is different. We want something new." You did notice it, OpenRAN is something that we've been talking about over the last day or so. We've had quite a few of us speakers over here at Cloud City Live mention OpenRAN. What is it all about, Don? Because why all the buzz if 5G is such a hot topic? Why are we get excited about it? >> That's a great thing. The 5G certainly will drive the main trend, for sure. OpenRAN is essentially an answer to the fact that 5G is popular, and they need more infrastructure. So open source, the Linux Foundation, has been the driver for most of the open source software. So, they're trying to make open software, and open architectures, to create more entrepreneurial activity around hardware, and around infrastructure, because we need more infrastructure, we need more antennas, we need more transceivers, we need more devices. That could be open. So in order to do that, you got to open up the technology, and you want to minimize the licensing, and minimize a lot of these, you know, proprietary aspects. >> What did we look at? So on Wednesday, we've got a great keynote from Phillip Langlois, who is CEO and founder of P1 Security. And he's coming to talk to us about cybersecurity within the cloud, and within telco. So you just mentioned that OpenRAN is all about having open source, about having that space where we can share more efficiently and easily more easily. What does that mean for security though? Is it at risk? >> I think it's going to increase the value of security, and minimize the threats. Because open source, even though it's open, the more people that are working on it, the more secure it could be. So yes, it could be more open in a sense that could be explored by hackers, but open can also protect. And I think we've seen open source, and cloud in particular, be more secure. Because everyone said, cloud is not secure, open source is insecure. And as it turns out, when the collective hive minds of developers work on things, it gets secure. >> And it is interesting, isn't it? Because we have seen that there has been an uptick in cyber security threats, but actually I was speaking to some leaders across various industries, and particularly in tech, and they were saying, actually, there's not been an uptick in attempted threats, there's been an uptick because with this open-source environment, we are able to track them, and measure them, and defend more efficiently. So actually, they're being batted away. But the number is probably the same as it always was, we just didn't know about them before we had this open source environment. >> There's more money in threats, and there's more surface area. So as the tide rises, so to the threats. So on a net basis, it's more, because there's more volume, but it's pretty much the same. And look it, there's money involved, they are organized. There's a business model on attacking and getting the cash out of your bank, or ransomware is at an all time high. >> Yes! >> So this is like a big problem, and it's beyond the government. It's around individual freedom. So, security is huge. And I think open source and cloud are going to be, I think, the answer to that. >> Yeah, for sure. And it's, again, about collaboration, isn't it? Which we talk about all the time, but without collaboration, the industries are going to have to work together to promote this environment. So yeah, it should be good to talk with Phillip on Wednesday. >> I'd just say on security, don't download that PDF, if you don't know who it came from. The phishing is always good. Well, we got some great stuff coming up. We're going to have a great day. We got a video here of Mobile World Live. We're going to show this next segment, and we're going to toss it to a video. And this is really about to give the experience, Chloe, for people who aren't here. To get a feel for what's going on in Barcelona, and all the action. And if you look at the video, enjoy it. >> Hi, I'm Daniel Royston, CEO and founder of TelcoDR. But you can call me DR! Ready for some more straight talk about telco? It's go time! Let's do it. Holy shit! It sure is a great time to be a tech company! I mean, if you're Amazon, Microsoft, Google, Grab, Twilio, Door Dash, or Uber, life's pretty great! Just look at these stock prices over the past five years, with their shareholder value going up and to the right. Totally amazing! But where's telco? Dare I add our stocks to this awesome chart? Let's compare these fabulous tech stocks to AT&T, Vodafone, Telefonica, TIM, America Movil, and Zain Group. Huh. Not so great, right? Yep. I'm talking directly to you, senior telco execs. I'm here to wake you up! Why is it that Wall Street doesn't see you as tech? Why aren't CSPs seen as driving all the tech change? Why is it always Apple, Amazon and Google who get the big buzz? But more importantly, why isn't it you? Before I came to this industry, I always thought of carriers as tech companies. I gave more of my money to AT&T than to Apple, because I really cared about the quality of the network. But I also wondered why on earth the carriers allowed all the other tech companies to take center stage. After spending the last few years in telco, I now understand why. It's because you are network people, you are not customer people! I get it. You have the security blanket. You're a network oligopoly. It's crazy expensive to build a network, and it's expensive to buy spectrum. It takes operational chops to run a killer network, and it takes great skill to convince Wall Street to finance all of it. You telco execs are amazing at all those things. But because you focus on the network, it means you don't focus on the customer. And so far, you haven't had to. Every Telco's KPI is to be less shitty than their next competitor. You don't have to be the best. Just don't be last. Everyone else's NPS is in the thirties too. Their mobile app ratings are just as terrible as yours. Everyone's sucks at customer sat. And it's widely acknowledged and accepted. Let's talk about the cost of that. The cost is not measured on market share against other MNOs. The cost is measured in lost ARPU that the tech guys are getting. Everyone knows about the loss of texting to WeChat, WhatsApp, and the other OTT apps. But it is not just texting. The total adjustable market, or TAM, of the mobile app disruptors is huge! Instead of remaining network focused, you should be leveraging your network into a premier position. And because you're network people, I bet you think I'm talking about coercive network leverage. That is not what I'm talking about! I'm talking about love, customer love. There is one thing the highly valued tech companies all have in common. They all crush it on customer love! They look at every interaction with the customer and say, how do we make the customer love this? Like Netflix has easy monthly cancellation, Amazon does no questions asked returns, Uber gives users a real time view into driver rating and availability. Compare those ideas to the standard telco customer interaction. The highly valued tech companies don't have the network oligopoly to fall back on like you do. To survive, they must make customers love them. So, they focus on it in a big way! And it pays off. Their NPS is close to 70, and they have app ratings of 4.5 or higher. A far cry from your thirties NPS, and app ratings of 3.5. If you want to have those huge tech multiples for yourself, you have to start thinking about these guys as your new competition, not the other telcos in your market. The crazy thing is, if you give up using your network as a crutch, and put all of your focus on the customer, the network becomes an asset worth more than all the super apps. Let's step back and talk about the value of super apps, and becoming customer centered! Retooling around the customer is a huge change, so let's make sure it's worth it. We aren't talking about 25% improvement. I'm going to show you that if you become customer centric, you can double your ARPU, double your valuation multiples, and drive big shareholder value, just like the tech companies on that chart! Now let's talk about the customer focused super apps. There are hundreds of companies in a variety of categories vying for your subscribers' disposable income. Movies, food delivery, financial services. Who are they? And why does Wall Street give them such high valuations and like them so much? Well first, look at what they are telling Wall Street about their TAM. They broadcast ridiculously huge TAMs that are greater than the telco TAMs. You know, who should have a ridiculously huge TAM? You! Hello? What I'm saying is that if you got what's yours, you double in size. And if you take the TAMs they throw around, you'd be five times as big. When I think about the opportunity to double ARPU, without having to double the cap ex to build out the network, I say to myself, hell yeah! We should totally go do it, and do whatever it takes to go get it. For example, let's talk about Grab. Grab is a Southeast Asian super app company with an expected $40 billion valuation. Grab's customer focus started in Rideshare, but then leveraged its customer love into wallet deliveries, hospitality, and investing. Their ARPU is now larger than a Telco's ARPU in countries where they compete, and they have a higher valuation than those telcos too. Imagine if you could combine a great user experience with the valuable services that helped grow your ARPU. That would be huge! So, how do you build a super app? I bet right about now, you're wishing you had a super app. Everyone wants a super app! A lot of money has been unsuccessfully spent by telcos trying to build their own. I bet you're saying to yourself, "DR, your pie in the sky sounds great, but it has no chance of success." Well, I'm betting things are about to change. There is a public cloud startup called to Totogi that is going to help carriers build world-class super apps. To have a successful super app, there is one key metric you need to know. It is the KPI that determines if your super app will be a success or a flop. It's not about the daily active users. It's not the average order value. It's not even gross merchandise value. It's all about the frequency of use per day by the user. That's the metric that matters. How many have you used that metric in your telco apps? Do you have a team driving up user app interactions every day? Most telco apps are used for top-up, or to check a bill. This is a huge missed opportunity. Super app companies excel at building great experiences and driving a huge amount of interactions. They have to, their business depends on it. They have to be customer focused. They have to keep bringing the user back to the app, every day, multiple times a day. And you know what? They do a great job. Customers love their super apps. They have great user experiences. Like Apple credit cards, no information required application process. They have high net promoter scores because of customer friendly policies. Like how Door Dash retroactively credits fees when you move to a better plan. And they have great app store ratings, because they do simple things, like remember your last order, or allow you to use the app, rather than forced you to call customer service. Customers of successful super apps love it when new services are added. And because of the customer love, every time something is added to the app, customers adopt it immediately. New services drive frequent daily user interactions. So our problem in telco is we have an app that is only open once per month, not multiple times per day. And without frequent opens, there is no super app. Hm, what do we have in telco that we could use to help with this problem? I wonder. While you don't currently have a mobile app that subscribers use multiple times a day, you have something that's 10 times better! You have a network. Subscribers already interact with your network. 10 times more frequently than any user with any of the super apps. But telcos don't leverage those interactions into the insanely valuable engagements they could be. Worse, even if you wanted to, your crappy, over customized, on-premise solutions, make it impossible. Thankfully, there's this new tech that's come around, you may have heard of it, the public cloud. When you bring the enabling technology of the public cloud, you can turn your network interactions into valuable super app interactions. And there's a special new startup that's going to help you do it, Totogi! Totogi will leverage all those network interactions, and turn them into valuable customer interactions. Let me repeat that. Totogi will leverage all those network interactions, and turn them into valuable customer interactions. Totogi allows the carrier to leverage its network, and all the network interactions, into customer engagement. This is something that super apps don't have, but will wish they did. But this magic technology is not enough. Telcos also need to move from being network focused to being customer focused. Totogi enables telcos to chase exciting revenue growth without that annoying, massive cap ex investment. Totogi is going to help you transform your sucky mobile apps, with the crappy customer ratings, into something your subscribers want to open multiple times a day, and become a platform for growth. I'm so excited about Totogi, I'm investing $100,000,000 into it. You heard me right. $100,000,000. Is this what it feels like to be SoftBank? I'm investing into Totogi because it's going to enable telcos to leverage their network interactions into super app usage! Which will lead to an improved subscriber experience, and will give you a massive jump in your ARPU. And once you do that, all those telco valuations will go from down here, (buzzes lips) to up here. And so I've been talking to some folks, you know, checking in, feeling them out, getting their thoughts. And I've been asking them, what do you think about telcos building super apps? And the response has been, "Click. Eh." Everyone says, no way. Telcos can't do it. Zero chance. Total goose egg. (egg cracking) One suggested I build a bonfire with a hundred million dollars, because then at least I wouldn't waste years of my life. Well, I think those people are dead wrong! I do believe that telcos can build super apps and make them super successful. The public cloud is changing all parts of telco, and Totogi and super apps are fundamentally changing the customer relationships. In one month at MWC, people will see what Totogi has to offer, and they will understand why I'm making this bold call. Because Totogi takes the value of the network, and the power of the public cloud, to help telcos move from being network centric, to being customer centric. Boom! If you want to make this transformation and reap all the financial benefits, you will have to compete for customers with a whole new set of players. You will no longer compete with the network focused guys, like the other telcos. Instead, you will be competing against the customer focused companies. These players don't have a network to fall back on like your old competitors, they know they have to make customers love them. Their customer loyalty is so off the charts, their customers are called fans. So if you want that big money, you will have to compete on their turf, and make the customers want to choose you. You need Apple level loyalty. That bar is uber high. We'll have to give up the security blanket of the network, and change. Instead of NPS at the thirties, it needs to be in the seventies. Instead of mobile app ratings in the threes, they need to get five stars. I'm betting big that Totogi will make that possible! I'm going to help you every step of the way, starting with my keynote next month at MWC. Join me, and I'll share the secrets to converting your super valuable network interactions to make your super app a massive success. We're going to have an amazing time, and I can't wait to see you there! >> Okay. We're back here in theCUBE here at Mobile World Congress in Cloud City. I'm John Furrier. Chloe Richardson's filling in for Dave Vellante who's out on assignment. He's out getting all the data out there and getting stories. Chloe, what a great keynote by Danielle Royston. We just heard her involving major action, major pump you up, punch in the face, "Wake the heck up cloud people, cloud is here!" She didn't pull any punches. >> No, I mean the thing is, John, there's trillions of dollars on the table, and everyone seems to be fighting for it. >> And you heard her up there, if you're not on the public cloud, you're not going to get access to that money. It's a free for all. And I think the cloud people are like, they might think they're going to walk right in, and the telco industry is going to just give it up. >> No, of course. >> And it's not going to be, it's going to be a fight! Who will win? >> Who will win, but also who will build the next big thing? (John laughing) >> Someone needs to die in the media conversations. It's always a fight. Something's dead. Something's dead but keeps the living. All that kidding aside, this is really about partnering. Think what's happened is Telco's already acknowledged that they need to change. And the 5G edge conversation, the chip acceleration. Look at Apple. They've got their own processors, Nvidia, Amazon makes their own chips, Intel's pumping stuff out, you've got Qualcomm. You've got all these new things. So, the chips are getting faster, and the software's more open source. And I'm telling you, the cloud is just going to drive that bus right down Cloud Street, and it's going to be in Cloud City everywhere. >> And it's going to be peepin' on the board as it drives down. (John laughing) John, I'm not a stalker, but I have read some of the things that you've written, and one of the things you mentioned that was really interesting was the difference between building and operating. Break it down for me, what does that mean? >> That means basically in mature markets, and growing markets, things behave differently, and certainly economics, and the people, and the makeup, and the mindset. So the telco has been kind of this mature market, it's been changing and growing, but not like radically. Cost optimization, make profit. You know, to install a lot of cable, you got to get the rents out of that infrastructure. And that's kind of gone on for too long. Cloud is a growth market. And it's about building, not just operating. And you've got operators, carriers are operating networks. So you're going to see the convergence of operators and builders coming together. Builders being software developers, new technology, and executives that think about building. And you want people on your team that are going to be, I won't say war time, you know, lieutenants or generals, but people who can handle the pace of change. Because the change and the nature is different. And some people want slow and steady, keep the boat from rocking. But in a growth market, it's turbulent, and the ride might not be quiet, first-class ticket to paradise. It's bumpy, but it's thrilling. >> No, of course. Is it similar to the old sales adage of hunter versus farmer? Are there parallels there? >> Yeah. I mean, there's a mindset. If you have a team of people that aren't knocking down new opportunities and building the next big thing, fixing your house, get your house in order, you know, refactor, reset, reboot, replatform with the cloud, and then refactor your business! If you don't have the people thinking like that, you're probably either going to be taken over, or go out of business. And that's what the telcos with all these assets, they're going to get bought, rolled into a SPAC, Special Purpose Acquisition Company, which is super hot in the United States. A lot of roll-ups going on with private equity. So a lot of these telcos, if they don't refactor, or replatform then refactor, they're going to be toast, and they're going to get rolled up, and eaten up by somebody else. >> Yeah, sure. It's interesting though, isn't it? Because when we think of telco in tech, we often think of, obviously we've got the triad, people, process, technology, and we think, process and technology really to the forefront here. But like you said there, people are also so important because if you don't have this right balance, you're not going to be able to drive that change. We had, obviously, Scott Brighton on the stage yesterday, and after his session, somebody came up to me and just said, "I'm interested to hear what that means for education." So how can we establish this new generation of tech and telco leaders from the grassroots with educational associations, establishments. How can we encourage that? I wonder, is this something that you talk about? >> Yeah. I mean, education's huge, and this highlights the change that telco's now part of. Telco used to be a boring industry that ran the networks, or moving packets around, and mobile was there. But once the iPhone came out in 2007, the life has changed, society has changed, education's changed, how people interact has changed. So, you start to see people now aware of the value. And if you look at during COVID, the internet didn't crash, the telcos actually saved our asses, and everyone survived because the network didn't break. Yeah, we had some bad Zoom meetings here and there, and some teleconferences that didn't go well, but for the most part we survived, and they really saved everybody. So, they should get kudos for that. But now they're dependent upon healthcare, education. People care about that stuff, so now you're going to start to see an elevated focus on what telecom is doing. That's why the edge has got trillions of dollars up for grabs. But education, there's negative unemployment in cybersecurity and in cloud. So for the people who say, "Oh, there's no jobs." Or, "I can't work." That's a bunch of BS, because you can just get online, get on YouTube, and just get a degree. You can get a degree. You can get an Amazon job. It pays a hundred thousand dollars a year! American. You can make a hundred thousand pounds, and be unemployed six months, and then be employed. So negative unemployment means, there's more jobs than people to fill them all, in fact. >> Yeah, it's interesting you mentioned that, because I was talking to a cyber security leader who was saying in something, I think there were now 3 million vacancies in cybersecurity. And there's such a skill shortage. There is nobody around to fill it! So it's an interesting problem to have, isn't it? Because it's reversed to what we've been used to for the last few decades! And obviously, telco is in the same space. But what can we do about it do you think, to actually -- >> I think it's going to take leadership, and I'm a big proponent of kids not going to university if they don't have to. Why spend the dough, money, if you don't have to? You can get online. I mean, the data's there. But to me, it's the relationships, the mentorship. You're starting to see a women in tech, and underrepresented minorities in the tech field, where mentorship is more important than curriculum. Community is more important than just going through a linear courseware. Nobody wants to sit online and go through linear courseware. Now, if they have to get a certificate, or degree, and accreditation, no problem. But the communities are out there, so that's a big change over, I'm a big fan of that. And I think people should, you know, get some specialized skills. You can get that online, so why even go to school? So, people are figuring that out. >> For sure. And also, even transferring. I mean, so many skills are transferable nowadays, aren't they, so we could easily be talking to people from other industries, and bringing them into telco, and saying, "Look, bring what you know from your retail background, or your healthcare background, and help us at telco to, again, drive forwards." Just like DR was saying, it's all about the next big thing. >> Well, Danielle is always also driving a lot of change. And if you think about the jobs, and the pedigree of going to a university, oh, Harvard, all the big Ivy Leagues, Oxford in your area. So it's like, if you go to the school like that, and you get a pedigree, you instantly get a job. Now the jobs that are available weren't around five years ago, so there's no like pedigree or track record. There's no like, everyone's equal. >> Yeah. >> So you could, the democratization of the internet now, from a job standpoint, is people are leveling up faster. So it's not about the Ivy League, or the big degree, or silver spoon in your mouth, you've got the entitlement. So you start to see people emerging and making things happen. Entrepreneurship in America, immigrant entrepreneurship. People are billionaires that have no high school diplomas! >> It's interesting you mention that, John, because we can't have more than five years experience in this space, we know that. But in telco, there is a problem. And maybe it's, again, it's a flipped problem where telco recruiters, or talent acquisition leaders, are now asking for kind of 10, 20 years experience when they're sending out job descriptions. So does that mean that we are at fault for not being able to fill all these vacancies? >> I think that's just, I mean I think there's a transition of the new skill set happening, one. But two, I think, you know, to be like a chip engineer, (laughs) you can't learn that online. But if you want to run a cloud infrastructure, you can. But I think embedded systems is an area that I was talking to an engineer, there's a huge shortage of engineers who code on the microprocessors, on the chips. So, embedded systems is a big career. So there's definitely paths you can specialize. Space is another area you've seen a lot of activity on. You see Jeff Bezos and Elon Musk is going to be here on a virtual keynote, trying to go to Mars. And you know, Danielle Royston always says, "What's going to happen first, Mars colony, or telco adopting public cloud?" And some people think Mars will happen first, but. >> What do you think, John? >> I think Telco's going to get cloud. I mean first of all, public cloud is now hybrid cloud, and the edge, this whole internet edge, 5G, is so symbolic and so important, because it's an architectural beachhead. And that's where the trillion dollar baby is. So, the inside baseball, and the inside money, and all the investors are focusing on the edge, because whoever can command the edge, wins all the dollars. So everyone kind of knows, it's a public secret, and it's fun to watch everyone jockey for the positions. >> Yeah no, it really is. But it's also quite funny, isn't it? Because the edge is almost where we were decades ago, but we're putting the control back in the hands of consumers. So, it's an interesting flip. And I wonder if, with the edge, we can really enhance this acceleration of product development, this efficiency, this frictionless system in which we live in. And also, I've heard you say hybrid a few times, John. >> John: Yeah. >> Is hybrid going to be the future of the world no matter what industry you're in? >> Hybrid is everything now. So, we're the hybrid CUBE, we've got hybrid cloud. >> Exactly. >> You got hybrid telco, because now you've got the confluence of online and offline coming together. That is critical dynamic! And you're seeing it. Like virtual reality, for instance, now you're seeing things, I know you guys are doing some great work at your company around creating experiences that are virtual. You got, companies like Roblox went public recently. Metaverse. It's a good time to be in that business, because experiential human relations are coming. So, I think that's going to be powered by 5G. You know, gamers. So, all good stuff. Chloe, great to be with you here on theCUBE, and we're looking forward to seeing your main stage. >> Great. >> And then we're going to send it back to the studio, Adam, and the team. We're waiting for DR to arrive here in Cloud City. And this is theCUBE, from Cloud City, back to you, Adam, and the studio.
SUMMARY :
We're here on the floor in Cloud City, I love what you guys have really changing the game. No, I mean, the atmosphere great job on the main stage, and bustle of the city And so from the get-go, we and she's not just, you know, It's the moonshot of the telco world! And I love the fact that she's so At the time, people thinking and driving the content on And that's the thing, and people are glad to be here. I'd like to pick your brains on something. It has changed in the and from the chips, That is, the fact that it's moving It's the the company that you don't see. She just walked out And you can see as soon as she walks out, And back to the show, I mean, the iPad was a seminal, have a slice of the pie? bring the edge to life, over the last day or so. and minimize a lot of these, you know, And he's coming to talk and minimize the threats. But the number is probably So as the tide rises, so to the threats. and it's beyond the government. the industries are going and all the action. And because of the customer love, "Wake the heck up cloud and everyone seems to be fighting for it. and the telco industry is the cloud is just going to drive that bus and one of the things you mentioned and the makeup, and the mindset. Is it similar to the old sales adage and building the next big Brighton on the stage yesterday, but for the most part we survived, And obviously, telco is in the same space. And I think people should, you know, all about the next big thing. and the pedigree of going to a university, So it's not about the Ivy for not being able to of the new skill set happening, and the edge, this back in the hands of consumers. Hybrid is everything now. It's a good time to be in that business, Adam, and the team.
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Show Wrap with DR
(upbeat music) >> Hey, we're back here in theCube. This is day three of our coverage right here in the middle of all the action of Cloud City at Mobile World Congress. This is the hit of the entire show in Barcelona, not only in person, but out on the interwebs virtually. This is a hybrid event. This is back to real life, and theCube is here. I'm John Furrier with Dave Vellante and D. R. is here, Danielle Royston. >> Totally. >> Welcome back to theCube for fourth time. now at the anchor desk, coming back. >> I don't know. It's been a busy day. It's been a busy week. It's been an awesome week. >> Dave: Feeling good? >> Oh, my god. >> You made the call. >> I made the call. You finished your podcast, what months ago? >> Yeah. >> Made the call. >> Made the call. You're on the right side of history. >> Right? And people were like, "It's going to be canceled. COVID won't be handled." Blahbity blah. >> She's crazy. >> And I'm like, nope. She's crazy. I'm okay with that. Right? But I'm like... >> Crazy good. >> Right, I'm like, I'm forward-looking in a lot of ways. And we were looking towards June, and we're like, "I think this is going to be the first event back. We're going to be able to do it." >> You know, the crazy one's commercial that Apple ran, probably one of the best commercials of all time. You can't ignore the crazy ones in a good way. You can't ignore what you're doing. And I think to me, what I'm so excited about is, 'cause we've been covering cloud. We're cloud bigots. We love the cloud, public cloud. We've been on that train from day one. But when you hear the interviews we did here on theCube and interviews that we talked about with the top people, Google, Amazon Web Services. We're talking about the top people, both technology leaders like Bill Vass and the people who run the Telecom Verticals like Alf, Alfonzo. >> Danielle: Yeah. >> Adolfo, I mean, Hernandez. >> Danielle: Yeah. >> We had Google's top networking executive. We had their industry leader in the telecom, Microsoft, and the Silicon. All are validating, and it's like surround sound to what you're saying here. And it cannot be ignored. >> I mean, we are coming to a big moment in Telco, right? And I mean, I've been saying that it's coming. I called 2021, the year of public cloud and Telco. It helped that Ericcson bailed. So thank you, Ericcson people. >> Dave: It was a gift. >> It was a gift. >> John: It really was. >> It really was a gift. And it was not just for me, but I think also for the vendors in the booth. I mean, we have a Cloud City army, right? Here we go. Let's start marching. And it's awesome. >> He reminds me of that baseball player that took a break 'cause he had a hangover and Cal Ripken. >> Cal Ripken, right, yeah, yeah. What was that guy's name? >> Did it really happen? >> Yeah, he took a break and... >> The new guy stepped in? >> Yeah, and so we'll go to Cal Ripken. >> No, no, so before it was it? Lou Gehrig. >> Lou Gehrig, yeah. >> Right, so Lou Gehrig was nobody. And we can't remember the guy's name. Nobody knows the guy's name. >> Danielle: Yeah, yeah. >> What was that guy's name? Nobody knows. Oh, 'cause Lou Garrett, he got hurt. >> Danielle: And Lou Gehrig stepped in. >> He sat out, and Lou Gehrig replaced him. >> Danielle: Love it. >> And never heard of him again. >> Danielle: I'll take that. >> Never missed a game. Never missed a game for his entire career. So again, this is what Ericcson did. They just okay, take a break and... >> But I mean, it's been great. Again, I had a great day yesterday. My keynote was delivered. Things are going well with the booth. We had Jon Bon Jovi. I mean, that was just epic, and it was acoustic, and it was right after lockdown. I think everyone was really excited to be there. But I was talking to a vendor that said we'd been able to accomplish in three days what normally it would take three years from a sales funnel perspective. I mean, that is, that's big, and that's not me. That's not my organization. That's other organizations that are benefiting from this energy. Oh, that's awesome. >> The post-isolation economy has become a living metaphor for transformation. And I've been trying to sort of grok and put the pieces together as to how this thing progresses. And my interview with Portaone, in particular, >> Danielle: Yeah. >> really brought it into focus for me, anyway. I'd love to get your thoughts. One of the things we haven't talked much about is public policy. And I think about all the time, all the discussion in the United States about infrastructure, this is critical infrastructure, right? >> Danielle: Yeah. >> And the spectrum is a country like South Africa saying, "Come on in. We want to open up." >> Danielle: Yeah. >> "We want to innovate." And to me that's to me, that's the model for these tier two and tier three telcos that are just going to disrupt the big guys. Whereas, you know, China, may be using the other end of the spectrum, very controlling, but it's the former that is going to adopt the cloud sooner. It's going to completely transform the next decade. >> Yeah, I think this is a great technology for a smaller challenger CSP that still is a large successful company to challenge the incumbents that are, they are dinosaurs too. They move a little bit slow. And maybe if you're a little bit faster, quicker dinosaur you'll survive longer. Maybe it will be able to transform and a public cloud enables that. And I think, you know, I'm playing the long game here, right? >> Dave: Yeah. >> Is public cloud ready for every telco in every corner of the world? No. And there's a couple of things that are barriers to that. We don't really talk about the downsides, and so maybe we sort of wrap up with, there are challenges, and I acknowledge there are challenges. You know, in some cases there are data regulations and issues, right? And you can't, right? There's not a hyperscaler in your country, right? And so you're having a little bit of challenges, but you trend this out over 10 years and then pace it with the hyperscalers are building new data centers. They're each at 25 plus each, plus or minus a few, right? They're marching along, and you trend this out over 10 years, I think one of two things happens. Your data regulations are eased or you a hyperscaler appears in a place you can use it. And those points converge, and hopefully the software's there, and that's my effort. And, yeah. >> You know what's an interesting trend, D. R., John? That is maybe a harbinger to this. You just mentioned something. If the hyperscalers might not have a presence in a country, you know what they're doing? And our data shows this, I do that weekly series "Breaking Analysis," and the data, OpenStack was popping up. >> Danielle: Yeah. >> Like where does OpenStack come from? Well, guess what. When you cut the data, it was telcos using open source to build clouds in regions where there was no hyperscaler. >> Where it didn't exist, yeah. >> So it's a-- >> Gap-filler. >> Yeah, it's a gap-filler. It's a Band-aid. >> But I think this is where like Outpost is such a great idea, right? Like getting Outposts, and I think Microsoft has the ability to do this as well, Google less so, right. They're not providing the staff. They're doing Anthos, so you're still managing this, the rack, but they're giving you the ability to tap into those services. But I was talking to a CE, a CTO in Bolivia. He was like, "We have data privacy issues in our country. There's no hyperscaler." Not sure Bolivia is like next on the list for AWS, right? But he's like, "I'm going to build my own public cloud." And I'm like, "Why would you do that when you can just use Outposts?" And then when your data regulations release or there's a, they get to Bolivia, you can switch and you're on the stack and you're ready to go. I think that's what you should do. You should totally do that. >> Yeah, and one of the things that's come up here on the interviews and theCube and here, the show, is that there are risk takers and innovators and there's operators. And this has been the consistent theme around, yeah, the on-premises world. You mentioned this regulation reasons and/or some workflows just have to be on premise for security reasons, whatever. That's the corner case. >> Danielle: Yeah. >> But the operating model of the technology architecture is shifted. >> Danielle: Yep. >> And that reality, I don't think, is debatable. So I find it. I've got to ask you this because I'm really curious. I know you get a lot of people steering 'ya, oh the public cloud's just a hosting, but why aren't people getting this architectural shift? I mean, you mentioned Outpost, and Wavelength, which Amazon has, is a game changer. It's Amazon Cloud at the hub. >> Yeah, at the edge, yeah. >> Okay, that's a low latency again, low-hanging fruit applications, robotics, whatnot. I mean, that's an architectural dot that's been connected. >> Yeah. >> Why aren't people getting it? >> In our industry, I think it is a lot of not invented here syndrome, right? And that's a very sort of nineties thought, and I have been advocating stand on the shoulders of the greatest technologists in the world. Right? And you know, there is a geopolitical US thing. I think we lived through a presidency that had a sort of nationalistic approach and a lot of those conversations pop up, but I've also looked to these guys and I'm like, you still have your Huawei kit installed, and there's concerns with that, too. So, and you picked it because of cost. And it's really hard to switch off of. >> John: Yeah. >> So give me a break with your public cloud USA stuff, right? You can use it. You're just making excuses. You're just afraid. What are you afraid of? The HR implications? Let's talk about that, right? And the minute I take it there, conversation changes. >> I talked to Teresa Carlson when she was running the public sector at AWS. She's now president of Splunk. I call her a Renaissance woman. She's been a great leader. In public sector there's been this weird little pocket of AWS where it's, I guess, a sales division, but it's still its own company. >> Danielle: Yeah. >> And she just did the CIA deal. The DOD and the public sector partnerships are now private, a lot more private relationships. So it's not like just governments. You mentioned government and national security and these things. You start to see the ecosystem, not, not just be about companies, government and private sector. So this whole vibe of the telecomm being regulated, unregulated, unbundled is an interesting kind of theory. What's your thoughts and reactions to this kind melting pot of ecosystem change and evolution? >> Yeah, I mean, I think there's a very nationalistic approach by the telcos, right? They sort of think about the countries that they operate in. There's a couple of groups that go across multiple countries, but can there be a global telco? Can that happen, right? Just like we say, you were saying it earlier, Netflix. Right? You didn't say Netflix, UK, right? And so can we have a global telco, right? That is challenging on a lot of different levels. But think about that in a public cloud starts to enable that idea. Right? Elon Musk is going to get Mars. >> Dave: Yep. >> John: Yeah. >> You need a planetary level telco, and I think that day is, I mean, I don't think it's tomorrow, but I think that's like 10, 20 years away. >> You're done. We're going to see it start this decade. It's already starting. >> Danielle: Yeah. >> But we're going to see the fruits of that dividend. >> Danielle: Right, yeah. >> I got to ask you. You're a student of the industry and you got so much experience. It's great to have you on theCube and chat about, riff about, these things, but the the classic "Who's ready for disruption?" question comes up. And I think there's no doubt that the telcos, as an industry, has been slow moving, and the role and the importance has changed. People need the need to have the internet access. They need to access. >> Danielle: Yeah. >> So and you've got the Edge. Now applications are now running on a, since the iPhone 14 years ago, as you pointed out, people now are interested in how packets move. >> Danielle: Yeah. >> That's fast, whether it's a doctor or an emergency worker or someone. >> What would we have done in 2020 without the internet and broadband and our mobile phones? I mean. >> Dave: We would have been miserable. >> You know, I think about 1920 when the Spanish flu pandemic hit a hundred years ago. Those guys did not have mobile phones, and they must have been bored, right? I mean, what are you going to do? Right? And so, yeah, I think, I think last year really moved a lot of thinking forward in this respect, so. >> Yeah, it's always like that animal out in the Serengeti that gets taken down, you know, by the cheetah or the lion. How do you know when someone is going to be disrupted? What's the, what's the tell sign in your mind? You look at the telco landscape, what is someone waiting to be disrupted or replaced look like? >> Know what? They're ostriches. Ostriches, how do you say that word right? They stick their head in the sand. Like they don't want to talk about it. La, la, la, I don't want to. I don't want to think about it. You know, they bring up all these like roadblocks, and I'm like, okay, I'm going to come visit you in another six months to a year, and let's see what happens when the guys that are moving fast that are open-minded to this. And it's, I mean, when you start to use the public cloud, you don't like turn it on overnight. You start experimenting, right? You start. You take an application that is non-threatening. You have, I mean, these guys are running thousands of apps inside their data centers. Pick some boring ones. Pick some old ones that no one likes. Move that to the public cloud. Play with it, right? I'm not talking about moving your whole network overnight tomorrow. You got to learn. You have no, I mean, very little talent in the telco that know how to program against the AWS stack. Start hiring. Start doing it. And you're going to start to learn about the compensation. And I used to do compensation, right? I spent a lot of time in HR, right? The compensation points and structures, and they can bear AWS and Google versus a telco. You want Telco stock? Do you want Google stock? >> John: Right, where do you want to go? >> Right? Right? And so you need to start. Like that's going to challenge the HR organization in terms of compensate. How do we compensate our people when they're learning these new, valuable skills? >> When you think about disruption, you know, the master or the professor of disruption, Clay Christensen, one of the best lectures he ever gave is we were at Cambridge, and he gave a lecture on the steel industry and he was describing it. It was like four layers of value in the steel industry, the value chain. It started with rebar, like the lowest end. Right? >> Danielle: Yeah, yeah. >> And the telco's actually the opposite. So, you know, when the international companies came in, they went after rebar, and the higher end steel companies said, "Nah, let them have it." >> Danielle: Let it go. >> "That's the low margin stuff." And then eventually when they got up to the high end, they all got killed. >> Danielle: It was over, yeah. >> The telcos are the opposite. They're like, you know, in the connectivity, and they're hanging on to that because it's so big, but all the high value stuff, it's already gone to the over-the-top players, right? >> It's being eaten away. And I'm like, "What is going to wake you guys up to realize those are your competitors?" That's where the battle is, right? >> Dave: That's really where the value is. >> The battle of the bastards. You're there by yourself, the Game of Thrones, and they're coming at you. >> John: You need a dragon. >> What are you doing about it? >> I need a dragon. I need a dragon to compete in this market. Riding on the dragon would be a good strategy. >> I know. I was just watching. 'Cause I have a podcast. I have a podcast called "Telco in 20," and we always put like little nuggets in the show notes. I personally review them. I was just reviewing the one for the keynote that we're putting out. And I had a dragon in my keynote, right? It was a really great moment. It was really fun to do. But there's, I don't know if you guys are Game of Thrones fans. >> Dave: Oh, yeah. >> John: For sure. >> Right? But there's a great moment when Daenerys guts her dragons, the baby dragons, and she takes over the Unsullied Army. Right? And it's just this, right? Like all of a sudden, the tables turn in an instant where she has nothing, and she's like on her quest, right? I'm on a quest. >> John: Comes out of the fire. >> Right, comes out of the fire. The unburnt, right? She has her dragons, right? She has them hatch. She takes over the Unsullied Army, right? Slays and starts her march, right? And I'm like, we're putting that clip into the show notes because I think that's where we are. I think I've hatched some dragons, right? The Cloud City Army, let's go, let's go take on Telco. >> John: Well, I mean to me... >> Easy. >> I definitely have made it happen because I heard many people talking about cloud. This is turning into a cloud show. The question is, when does this be, going to be a cloud show? You know it's just Cloud City is a big section of the show. I mean, all the big players are behind it. >> Danielle: Yeah, yeah. >> Amazon Web Services, Google, Azure, Ecosystem, startups thinking differently, but everyone's agreeing, "Why aren't we doing this?" >> I think, like I said, I mean, people are like, you're such a visionary. And how did, why do you think this will work? I'm like, it's worked in every other industry. Am I really that visionary? And like, these are the three best tech companies in the world. Like, are you kidding me? And so I think we've shown the momentum here. I think we're looking forward to 2022, you know? And do we see 2022, you get to start planning this the minute we get back. Right? >> John: Yeah. >> Like I wouldn't recommend doing this in a hundred days again. That was a very painful, but you know, February, I was, there's a sign inside NWC, February 28th, right? We're talking seven months. You got to get going now. >> John: Let's get on the phone. (John and Dave talking at the same time) >> I mean, I think you're right on. I mean, you know, remember Skype in the early days? >> Danielle: Yeah, yeah, yeah, yeah. >> It wasn't regional. >> Danielle: Yeah. >> It was just plug into the internet, right? >> Danielle: It was just Skype. It was just WhatsApp. >> Well, this great location, and if you can get a shot, guys, of the people behind us. I don't know if you can. If you're watching, check out the scene here. It's winding down. A lot of people having happy hour now. This is a social construct here at Cloud City. Not only is it chock full of information, reporting that we're doing and getting all the data and with the presentations on the main stage with Adam and the studio and the team. This is a place where people are meeting and there's deals being done face to face, intimate relationships. The best of the best are here. They make the trek, so there's been a successful formula. Of course theCube is in the middle of all the action, which we love. We're excited to be back. I want to thank you personally while we have you on stage here. >> I want to thank you guys and the crew. The crew has been amazing turning out videos on short order. We have all these crews in different cities. It's our own show has been virtual. You know, Adam's at Bristol, right? We're here. This was an experiment. We talked about this a hundred days ago, 90 days ago. Could we get theCube there and do the show, but also theCube. >> You are a visionary. And you said, made for TV hybrid event with your team, reduced television shows, theCube. We're digital. We love you guys. Great alignment, but it's magical because the content doesn't end here. The show might end. They might break down the beautiful plants and the exhibits, but the community is going to continue. The content and the conversations. >> Yeah. >> So. >> We are looking forward to it and. >> Yeah, super-glad, super-glad we did this. >> Awesome. Well, any final moments that you would like to share? And the last two minutes we have, favorite moments, observations, funny things that have happened to you, weird things that have happened to you. Share something that people might not know or a favorite moment. >> I think, I mean I don't know that people know we have a 3D printer in the coffee shops, and so you can upload any picture, and there are three 3D printing coffee art, right? So I've been seeing lots of social posts around people uploading their, their logos and things like that. I think Jon Bon Jovi, he was super-thankful to be back. He thanked me personally two different times of like, I'm just glad to be out in front of people. And I think just even just the people walking around, thank you for being brave, thank you for coming back. You've helped Barcelona, and we're happy to be together even if it is with masks. It's hard to do business with masks on. Everyone's happy and psyched. >> The one thing that people cannot do relative to you is they cannot ignore you. You are making a great big waves. >> Danielle: I shout pretty loud. It's kind of hard to ignore me. >> Okay, you're making a great big wave. You're on the right side, we believe, of history. Public cloud is driving the bus down main street of Cloud City, and if people don't get out of the way, they will be under the bus. >> And like I said, in my keynote, it's go time. Let's do it. >> Okay, thank you so much for all your tension and mission behind the cloud and the success of... >> Danielle: We'll do it again. We're going to do it again soon. >> Ketogi's hundred million dollar investment. Be the CEO of Togi as we follow that progress. And of course, Telco D. R. Danielle Royston, the digital revolution. Thanks for coming on theCube. >> Thank you, guys. It was super-fun. Thank you so much. >> This is theCube. I'm John Furrier with Dave Vellante. We're going to send it back to Adam in the studio. Thanks the team here. (Danielle clapping and cheering) I want to thank the team, everyone here. Adam is great. Chloe, great working with you guys. Awesome. And what a great crew. >> So great. >> Thank you everybody. That's it for theCube here on the last day, Wednesday, of theCube. Stay tuned for tomorrow, more action on the main stage here in Cloud City. Thanks for watching.
SUMMARY :
This is the hit of the now at the anchor desk, coming back. I don't know. I made the call. You're on the right side of history. "It's going to be canceled. And I'm like, nope. be the first event back. And I think to me, what Microsoft, and the Silicon. I called 2021, the year I mean, we have a Cloud City army, right? He reminds me of that What was that guy's name? No, no, so before it was it? Nobody knows the guy's name. What was that guy's name? He sat out, and Lou So again, this is what Ericcson did. I mean, that was just epic, and put the pieces together as One of the things we And the spectrum is a country end of the spectrum, And I think, you know, and hopefully the software's there, and the data, OpenStack was popping up. When you cut the data, Yeah, it's a gap-filler. I think that's what you should do. Yeah, and one of the things of the technology architecture is shifted. I mean, you mentioned Outpost, I mean, that's an architectural of the greatest And the minute I take it I talked to Teresa Carlson The DOD and the public sector approach by the telcos, right? I don't think it's tomorrow, We're going to see it start this decade. the fruits of that dividend. People need the need to since the iPhone 14 years That's fast, whether it's a doctor I mean. I mean, what are you going to do? You look at the telco landscape, in the telco that know how to And so you need to start. on the steel industry And the telco's actually the opposite. "That's the low margin stuff." in the connectivity, "What is going to wake you guys up The battle of the bastards. I need a dragon to compete in this market. And I had a dragon in my keynote, right? Like all of a sudden, the that clip into the show notes I mean, all the big players are behind it. in the world. You got to get going now. (John and Dave talking at the same time) I mean, you know, remember Danielle: It was just Skype. and getting all the data I want to thank you guys and the crew. but the community is going to continue. super-glad we did this. And the last two minutes we have, And I think just even just relative to you is they cannot ignore you. It's kind of hard to ignore me. You're on the right side, And like I said, in and mission behind the We're going to do it again soon. Be the CEO of Togi as Thank you so much. Thanks the team here. more action on the main
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Day 3 Kickoff with Danielle Royston | Cloud City Live 2021
>>Back cubes back on day three here in cloud city, global world Congress. This is where all the action is. And this is the cube set. I'm John. We're here with Dr., who is the CEO of telco VR, as well as the CEO of Tacoma. Great to see you again. Hey, Hey, how are you guys? Good, great time. Great boat last night. Good industry executives. A lot of intimate high player players here in the industry, even though not a lot of attendance, but the right people are here and events are back. >>Yeah. Yeah. I think, um, you know, MWC was the first event to cancel with COVID in, uh, February of 20 end of February, 2020. So first big event to come back. It's such a nice symmetry. Um, yeah, typically you have big delegations, hundreds of people from the big groups coming to the show, we're seeing the executives are coming smaller delegations, but they're all in the booth and that we're having great conversations and it's awesome. >>Yeah. And the thing I will say is that the cubes back to we'd like them to be fee in here in the action. He says, one of the things that's happened with this hybrid events is that people are watching. And so there's a virtual space and the physical space and cloud city has built out paradise. It's beautiful and spectacular behind this. Look, you look around for the people who can't see, it's really made for the combination of onsite and virtual experience, the content, the people Bon Jovi last night, just, it's just the top of mobile world Congress. And it's translating to the industry. This has been amazing. So congratulations. Well, >>I think I got to say you have a lot to say as we all know. Yeah. But I think it was easy for the big guys. That's why we love you in the queue, but I think it was easy for the big guys to tap out and say, Hey, we can save a bunch more money. We don't really have much to talk about. Right. We're going to talk about again, let's talk about 5g revolution. Whereas, whereas the narrative here is all about the future and it's not about the future of blah, blah, blah. It's about the future. You know, this is the journey that we're taking and here's where it starting and with leaving the boat. >>Yeah. And I think what's really interesting about cloud city is the fact that we've brought these different players together that are all focused, as you said, on the, on the future. And I'm starting to see these connections where they're collaborating right vendors that didn't know each other probably would never have partnered before. Totally different areas. I'm hearing the conversation in the booth about like, Hey, I talked to Pete when security or I went and talked to, you know, LMX and we're putting deals together because we're complimentary and it's amazing. >>And integration partnership heard that from Google yesterday on our, our news exclusive break in there, they see integration. And they're talking about Android with Android, for mobile. They're seeing a whole new software paradigm coming into telephones it's partnership ecosystem and open. These are new kind of dynamics >>For you guys. When you say integration and open, I think those things are really paired and they're important. A lot of times telco people will hear integration, I'll think customization, right? Coding it up and customizing it so that they talk to each other. But I think the open part of that is really important where we're connecting via API APIs. And I think that's bringing in the hyperscalers, that's what they do. Right? They provide these systems and the software, it's all API base and you can use it very quickly and you can unravel it if you need to. It's feature velocity that we talked about a couple of days and automation >>Is the underpinning. I mean, that's really the theme, right? It's not like a one-off hardcore custom integration. That's gonna be, I have >>To upgrade every 18 months or whatever it is. Yeah. It's, it's alive. Yeah. >>How about Musk yesterday? I mean, he's always a crowd pleaser. First of all, my kids love him. He's crazy. >>I mean, he is amazing. >>He's he's, he's a builder. He takes no prisoners. He's just, you know what? My goal was not to go bankrupt. That's what he said a couple of years ago, which >>Was brilliant because everybody's gone bankrupt in that business. And he's just, you know, and he's just like, look it, we're here to >>Just want to chip away at it. And we're just going to keep striving, not making up excuses. He takes the failures, he takes the face plant. He gets back up and he keeps going. He's focused on buildings, >>Some one thing, right? He's not focused on everything. He's focused on getting to Mars. And I think that's what I like to compare myself to Elon Musk, right? Not that I'm building rockets or getting to Mars, but that the hard problem that I'm solving is getting telco to the public cloud. And that's going to take a decade. It might've been accelerated because of COVID, it might've taken 20 years and now it might take 10, but you look at what he does and that guy, he has, he has haters on Twitter there. Pew, pew always like throwing their bars, but he's like, I got, I got my rocket company. I got my, you know, communication and space company. We're going to need the bore holes, the boring company. I need batteries. I got my Tesla company. And so this guy focuses. He's got >>Some haters, but he's got a lot more lovers on his other side because people might not know this, but he fires entire PR department because he's like, I don't need PR. I'm just going to go do my own, his own PR actually the crypto, stuff's always fun. Goats, coins, >>Always a laugh. >>And it's just more of like playing watch this. >>I said, I live was interesting thing he did, but I think he illustrates the point of a new generation. And I think my young kids, not young, they're in their twenties. Now they look at him and they say, that's aspirational because he's building and he's not, he's focused on that one thing. And again, the growth that you mentioned telco to the cloud, thinking back to that, I want to ask you this growth question. It used to be like, okay, growth was there, people expand itself? Howard's networks were networks. Now it seems like the growth of telco for telco is going into what's the edge and all the open ranch stuff, which means that we need more infrastructure. Yeah. We need more stuff. There's more and more needed and there's grow. Find them. >>What's your, what's your, I think we need more software. Right. Software eats the world. Right. And it's, I mean, there was a lot of hardware to Trump in telco and it's just gonna keep eating it. Um, and that's just gonna accelerate. I think that's where tacos needs to start to build that muscle. They don't have great software capability. They don't have public cloud building capability. And so that's a big upskilling. That's a new hiring. And I think it's a, it's an executive conversation. It's not just an it thing or just a marketing thing. I got to chime >>In here for a second because there are a lot of parallels with how the data center transition has occurred. And what's happening here. We talk about all the time. It was a mainframe, et cetera. There are parallels. Yeah. And what happened when the data center went to software defined a whole bunch of hardware was allocated to run all the software defined stuff. It wasn't built for that. But the cloud, what you guys are doing with Togi and taken advantage of AWS is nitro and graviton. That's built to two V software defined. Correct. And so the telcos are going to go through the same thing. If they just virtualized, they're going to say, oh wow, we're wasting 30% of our power, our compute power on just supporting all this software defined stuff, because it wasn't built for that. But the cloud is built for that. And that is going to be a huge >>Difference. And I keep trying to make this distinction. And I think people in telcos still don't get this about the public cloud. They think of it as a place. It's a place to run a workload. And that tells me, they think of it as infrastructure. I think of it as servers still like, well, I'm going to run it in my closet. Or AWS has closet. I'm like, I was just having a conversation about this with a senior person from DSMA. I'm like, it's actually about the software. That's there. It's about the databases they're building and the analytics and the AI and ML that they let you buy by the minutes by the API call. And that is my, like, you need to think about that. Cause it's mindblowing, it's a totally different way. And you're >>Totally right. And just spend it again, give you props on this. I've had many one on with Andy gesture the past seven years, not for exclusives, but over the years it's been consistent. Each platform lifting and shift. Wasn't the end game. Okay. Replatforming in the cloud. Certainly a great advantage, a great starting point. It was the refactoring. And that's why you see Amazon web services. For instance, keep adding more services because that's the model. They keep offering more goodness so that the businesses could refactor, not just replatform. Yeah. And that's what you're getting. I think with the AI and machine learning where you start getting into these new use cases, but why couldn't do that before? Right? Right. This is going to be a huge >>Game changer. Forest Brazil, right? A great guy. A cloud guru wrote a great blog called a lift and shift is a ticking time bomb. And it's a great start to get your stuff over there. It forces your team to start to interact with like an AWS or GCP in a real way. Like now they, they gotta use it. You take it away. And I'm like, but once you move it, you got to read factor. You got to rewrite. And then that's why it's a ticking time bomb. You got to get, move it over and get you're going >>To rush him. Dr. Digital revolution of you are one. You got it here, tells the VR. And this has been a great experience for the cube. As we get back to business with real life events and virtual, the folks who couldn't make it here, Barcelona is still a great city, obviously a great place to come and events. We'll be back. There'll be hybrid. There'll be different. Certainly the queue we'll wait doubling down, but, but we've got a great video. I want to share with the group, the Barcelona and cloud city. This is a montage of what it's like here and a little experiential video. So they get away and run that video. >>Hi, I'm Katie Goldfinch here in Barcelona for an action packed day two at telco DER's cloud setting this morning, the focus was firmly on Dr. And her MWC keynote, which told telco exactly in no uncertain terms that now is the time to act on embracing public clouds back in cloud city content ruled the day with both the cube and cloud city life stages, hosting public cloud, thought-leaders covering a wide range of topics to educate and inspire attendees and in the beautiful space of cloud city, the excitement grew throughout the day. As we streamed MW cities, exclusive keynotes from Elon Musk and preparations got underway for tonight. Star performer, Jon Bon Jovi. Wow. What an amazing day from groundbreaking keynotes into space and back to a star studded performance. Don't forget. You can catch up on anything you missed and join us for the rest of the week@cloudcitydottelcor.com or following hashtag cloud Ceci. >>Yeah, that was a great look at what's going on here in cloud city. This next video, Dr. You're going to love this. Your keynote highlights and some Bon Jovi highlights, which by the way, was the most epic thing people were packed. It was excited. It was packed. It had the security flicking, peoples counting. All the people, people are standing back. All the people from their booths are all coming in to watch. He was pumped. Let's take a look at this awesome highlight video from yesterday isolation. >>Dave, that was a highlight reel yesterday. Um, VR has got some action on stage, great messaging, um, revolution, digital revolution. >>You know your comment about how you think like Elon Musk, that's an inspiration from it. I mean, what a lot of people don't know is when you look at autonomous vehicles, remember you're driving down Palo Alto, you see one of those LIDAR things he's doing away with lidars too expensive. It's $7,000. He's taken it with cheap cameras and software down to a couple hundred bucks per vehicle. That's the way he thinks. And you're doing the same thing to telco. >>I am, I am. I'm trying to change ELCA, right? I mean, he's changing the world. He might be one of the most important humans on earth right now. I don't think I'm exactly that level, but I'm trying to become a really important person to taco. We had this great message. I think it's going to help tacos get better businesses. And I think it's a great idea. >>The folks out there watching, what is that big change you're going to drive down this cloud city street, main street of cloud city and just all about cloud. Because public clouds here, it's going to become hybrid dynamics, operating models, and changing. What is the key message that you'd like to send me? >>I think all of the software in telco needs to be written. And that's how many millions of lines of code is that. And it's going to shrunk down and put out on the public cloud and rewritten using the software Legos of the public cloud. That is a big undertaking. No, one's working on it. I'm working on it. I'm doing it. >>Let's go do it. Let's do it. If you look out a couple of years, what would be a successful? What does checkmate look like in this >>I'm winning hashtag. I mean, I think it takes, again, it takes singular focus like Elon Musk on Mars. So when these to singularly focused on getting to the public cloud and you can't sit there and protect your old business models, your, you know, uh, CR revenue, if you're Amdocs, right? Give that up. When they start to give up their CR revenue to focus on public cloud, then they'll be okay. There's there's a worthy adversary out there really. >>I mean the late clay Christianson had all the same things. Innovator's dilemma. You just get stuck here. What do you do? You kill your own debris. You eat your own to bring in the new, I mean, all these things are going on and this is, this is a huge test. >>Have to be willing to burn some boats. >>I think it's transparency, simplicity, and the consumer saying, Hey, this is a great experience. That's the thing. Yeah. Right. And that's what we're going to see. Consumers >>Love their telco. I can't wait for that. I want to love my Netflix. Yes, exactly. >>We'd love you because you've got a bold vision. You putting it out there and you're driving it. You're walking the talk. Congratulations. And again, cloud cities, a home run. Great success. Thanks for >>Having me. It's always super fun. >>Okay. Cubes coverage here. And remember we're here getting all the action and it's all going to go online after the synchronous consumption. But right now it's all about mobile world Congress and cloud city. This is the action. And of course, Adam in cloud city studio was waiting for us and you're going to take it from here.
SUMMARY :
Great to see you again. hundreds of people from the big groups coming to the show, we're seeing the executives are coming smaller He says, one of the things that's happened with this hybrid events is that people are watching. I think I got to say you have a lot to say as we all know. I'm hearing the conversation in the booth about like, Hey, I talked to Pete when security or I went and talked And they're talking about Android with Android, for mobile. And I think that's bringing in the hyperscalers, I mean, that's really the theme, right? Yeah. I mean, he's always a crowd pleaser. He's just, you know what? And he's just, you know, and he's just like, He takes the failures, And I think that's what I like to compare myself to Elon Musk, right? I'm just going to go do my own, his own PR actually the crypto, And I think my young kids, not young, they're in their twenties. And I think it's a, And so the telcos are going to go through the same thing. And I think people in telcos still don't get this about the public cloud. I think with the AI and machine learning where you start getting into these new And it's a great start to get your stuff over And this has been a great experience for the cube. that now is the time to act on embracing public clouds back in cloud All the people from their booths are all coming in to watch. Dave, that was a highlight reel yesterday. what a lot of people don't know is when you look at autonomous vehicles, remember you're driving down Palo Alto, you see one of those LIDAR And I think it's a great idea. What is the key message that you'd like to send me? I think all of the software in telco needs to be written. If you look out a couple of years, what would be a successful? on getting to the public cloud and you can't sit there and protect your old business models, your, you know, I mean the late clay Christianson had all the same things. And that's what we're going to see. I want to love my Netflix. And again, cloud cities, a home run. It's always super fun. And of course, Adam in cloud city studio was waiting for
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Day 2 Kickoff with Chloe Richardson | Cloud City Live 2021
(upbeat music) >> Okay, thanks Adam in the studio. We're here on the floor in Cloud City, right in the middle of all the action. The keynotes are going on in the background, it's a packed house. I'm John Furrier. Dave Vellante is on assignment, digging in, getting those stories. He'll have the analysis, he'll be back on theCUBE but I want to welcome Chloe Richardson, who has been holding down the main stage here in Cloud City, with amazing content that she's been hosting. Chloe, great to see you. Thanks for coming on theCUBE and kicking it up day two with me. >> No, not at all. Thank you for having me. It's very exciting. I love what you guys have got over here, very fun. >> We're inside theCUBE. This is where all the action is. And also the Cloud City is really changing the game. If you look at what's going on here in Cloud City, it's pretty spectacular. >> Know, I mean the atmosphere is absolutely palpable, isn't it? You can just feel as people walk in and see what the future looks like to the Telecoms industry, it's very exciting. >> And you've been doing a great job on the main stage. We've been really loving your content. Let's get into some of the content here. Actually the keynote is going on, we're going to have DR, maybe fly by the set later, we're going to check that up. But let's check out this videotape of, this is TelcoDR. You got to check out this reel and we'll be right back, we'll talk about it. (upbeat music) >> TelcoDR burst onto the global telecom scene this year, making headlines for taking over the huge Erickson's space at MWC21. And for building Cloud City in just a hundred days. But why did the company go to such trouble? And what is the unique offering to the telecoms industry? And what drives their dynamic CEO, Danielle Royston or DR as everyone calls her? Cloud City Live caught up with DR, away from the hustle and bustle of the city to find out. (upbeat music) >> Hi, I'm Danielle Royston, coming to you from beautiful Barcelona. I'm here for MWC21. About a hundred days ago, I decided to take over the iconic Erickson booth to turn it into Cloud City. Cloud City has over 30 vendors and 70 demos to introduce telco to what I think is the future for our industry. We're going to have three awesome experiences. We're going to talk about the new subscriber experience, we're going to talk about what's in store for the new network and the future of work. I'm really excited to create a community and invite awesome telco executives to see this new future. It's been a really tough 18 months, and we didn't know what MWC21 was going to be like in terms of attendance. And so from the get go we plan this amazing experience that we call, Cloud City Live. At Cloud City Live, we have two main components. We have the speaker series where we have over 50 speakers from Amazon, Google, Microsoft, as well as CSPs and awesome vendors talking about the public cloud in telco. The second part of Cloud City Live, is theCUBE. Think of this as like an ESPN desk of awesome tech interviews focused on telco and the public cloud hosted by John Furrier and Dave Vellante. Dave and John are going to talk to a variety of guests, focused on telco and the public cloud. It's a great way for our virtual participants to feel like they're at the show, experiencing what's going on here. So excited to have them as part of the Cloud City booth. There's a ton of innovation going on in telco. And 20 years ago, Elon Musk set on his mission to Mars. I, like Elon Musk, I'm on a quest to take telco to the public cloud. Every year at MWC, there's always a flurry of announcements and this year is no different. At this year's MWC, Totogi, a startup that I invested a hundred million dollars in, will be launching. Totogi is introducing two products to the market, this week at MWC. The first is a planetary scale charger. More than a charger, it's an engagement coupling dual network data with charging information to drive subscriber engagement and doubling your ARPU. The second product that Totogi is introducing, is a planetary scale BSS system built on top of the TM forum, open APIs. Both of these products will be available for viewing in the virtual booth, as well as on the show for. The public cloud is an unstoppable mega trend that's coming to telco. I'm super excited to bring to you, the vendors, the products, the demonstrations, and the speakers, both to people here in Barcelona and virtually around the world. (upbeat music) >> Well, that was a fascinating insight into the origins of TelcoDR, why public cloud is going to truly disrupt the telecoms industry and why DR herself is so passionate about it. If you'd like to find out more, come and see us at Cloud City. (upbeat music) >> Okay, thanks. Just roll on that reel. Chloe, I mean, look at that reel. I mean, DR, Danielle Royston, she's a star and I've seen a lot of power players in the industry. She's got guts and determination, and she's got a vision and she's not just, you know, making noise about telco and cloud, there's actually a lot of real good vision there. I mean, it's just so impressive. >> No, really isn't. And for me, it's almost like the next moonshot. It's the moonshot of the telco world. She's innovative, she's exciting and if we've learned anything over the last 18 months is that we need to in this industry to grow and for the future of the industry. So, it's so exciting. I think she's a real inspiration. >> And I love the fact that she's so, takes a tiger by the tail, because the telco industry is being disrupted. She's just driving the bus here and I remember I did a story on Teresa Carlson, who was with Amazon web services, she was running the public sector and she was doing the same exact thing in that public sector world in DC and around the world. She opened up regions in Bahrain, which as a woman, that was an amazing accomplishment. And she wasn't just a woman, she was just a power player. And she was exceptional leader. I see DR doing the same thing and people aren't going to like that, I'll tell you right now. People are going to be like, whoa, what's going on here? >> And of course, it's always the way we pioneers though, isn't it? At the time people thinking what's going, we don't like change, why are we being shaken up. But actually afterwards, in retrospect, they think, oh, okay, I see why that happened and we needed it. So really exciting stuff. >> Making things happen, that's what we're doing here in theCUBE. Obviously the main stage's doing a great job. Let's go check out this highlight reel. If you're watching and you miss some of the action, this is, I'll see the physical event back since 2019 in February, but there's also a Hybrid event. A lot of virtual action going on. So you got theCUBE virtual, you got a lot of content on virtual sites, but in person here, we're going to go show you a highlight reel from what we did yesterday, what was happening around the show? Enjoy this quick highlight reel from yesterday. (upbeat music) (upbeat music) (upbeat music) Okay. We're back here in theCUBE. We're the main floor out here with Chloe Richardson, who is emceeing, hosting and driving the content on the Cloud City main stage. Chloe, it's been great here. I mean, so far day one, I was watching your presentations and inspire site chats you've been hosting. Awesome content. I mean, people are like jazzed up. >> Yeah, I know for sure. We had Scott Brighton on yesterday, who was our opening keynote on the live stage. And his session was all about the future of work, which is so relevant and so pertinent to now. And he talked about the way it's changing and in 10 years it's going to be a trillion dollar industry to be in the cloud at work. So really interesting. I mean, yeah, the atmosphere here is great, everyone's excited, there's new content everyday. And that's the thing, it's not stale content. It's stuff that people want to hear. People are here for the new hot trends, the new hot topics. Really exciting. >> Yeah, the next big thing. And also it's a fiscal event. So since 2019, this Mobile World Congress has been a massive event and hasn't happened since February, 2019. That's a lot of time that's elapsed in the industry cause of COVID and people are glad to be here, but a lot of stuff's changed. >> Yeah, it's a different world, right? I mean, two years in the telco industry is like a hundred years elsewhere. Everything has changed, digital transformation migration, obviously cloud, which is what we're talking about over here at Cloud City Live. I'm wondering though John, I'd like to pick your brains on something. >> Sure. >> It has changed in the last two years, we know that, but what about the future of Mobile World Congress? How do you see it changing in the next few years? >> Oh man, that's a great question. I mean, my observation, I've been coming to the show for a very long time, over a decade and a half, and it's been a nerdy show about networks and telecom, which is basically radios and wireless and then mobile. It's very global, a lot of networks, but now it's evolving and many people are saying, and we were talking on theCUBE yesterday, Dave Vellante was commenting that this show is turning into a consumer like show. So CES is the big consumer electronics show in the US, in Las Vegas every year. This show has got a vibe because what's all the technology from the cloud players and from the chips, are getting smaller, faster, cheaper, more capability, lower power. So if you look at the chips, the hardware, it's less about the speeds and feeds. It's more about the consumer experience. You got cars. I was talking to a guy yesterday, he said, "Vehicle e-commerce is coming." I'm like, "What the hell his vehicle e-commerce?" And you could be on your app, driving down the freeway and go, "Hey, I want some food." Instead of having it delivered to you, if you order it you pick it up. So that's kind of can be happening now in real time, you can do all kinds of other things. so a lot of new things are happening. >> Yeah, I think so. Do you see that as another disruption for the industry that is the fact that it's moving to be more consumer focused? Is that anything we should be worried about in that space? >> Well I think the incumbents are going to lose their position. So I think in any new shift, new brands come in out of nowhere. >> For sure. >> And it's the people that you don't think about. It's the company that's not, that you don't see. And we got DR on the main stage right here, look at this. You saw her walk out with the confidence of a pro. She just walked out there and she's not afraid. >> No. Well, as she said in her video, she is ready to wake them up and you can see as soon as she worked out. That is what she intends to do. >> I love her mojo, she's got a lot of energy. And back to the show, I mean, she's just an example of what I was saying. Like in every market shift, a new brand emerges. >> Yep. >> I mean, even when apple was tainted, they were about to shut down, they were going to run out of cash. When Steve Jobs brought back apple, he consolidated and rebooted the company. The iPad was a similar moment, then the iPhone and just the rest is history. That kind of disruption's coming. You're going to see that here. >> Yeah. Oh, it's exciting though isn't it? To be future ready rather than future proof but actually I wanted to ask you something as well, because we are seeing all these cloud players getting hot under the collar about telco. Why are they so excited? What's the buzz about why, as you're in MWS and Google Cloud? Why do they want to have a slice of the pie? >> Well, I think they're hot, hot and heavy on the fact that telco is a ripe opportunity and it used to be this boring, slow moving glacier. >> Okay. >> It's almost like global warming now. The icebergs are melting and it's going to just change and because of the edge, 5G is not a consumer wireless thing. It's not like a better phone, it's a commercial app opportunity cause it's high bandwidth. We've all been to concerts or football games or sporting events where a stadium is packed. Everyone gets bars on their wifi, but can't get out, can't upload their pictures on Instagram. Why? Because it's choking them in the network. That's where 5G solves the problem. It brings a lot of bandwidth and that's going to bring the edge to life and that's money. So when you got money and greed and power changing hands, it's every, it's on the table and the wheel's spinning, and it could be double zero, or it could be lucky seven. You don't know. >> Yeah, for sure. And that's certainly enough to get all the big players hot and bothered about getting involved. And I suppose it circles back to the fact that, DR is really leading the charge and they're probably thinking, okay, what's going on here? This is different, we want something new. You didn't know it's an open run or something that we've been talking about over the last day or so. We've had quite a few of us speakers over here constantly. I've mentioned open run. What is it all about John? Because why all the bars, if 5G is such a hot topic? Why are we getting excited about it? >> That's a great thing. 5G certainly is Google Drive the main trend for sure. OpenRent is essentially an answer to the fact that 5G is popular and they need more infrastructure. So open source, the Linux Foundation has been the driver for most of the open source software. So they're trying to bring software and open architectures to create more entrepreneurial activity around hardware and around infrastructure because we need more infrastructure. We need more antennas, we need more transceivers, we need more devices that could be open. So in order to do that, you got to open up the technology and you want to minimize the licensing and minimize a lot of these, you know, proprietary aspects. >> What if we look at, so on Wednesday, we've got a great keynote from Philippe Langlois, who is CEO and founder of P1 Security. And he's coming to talk to us about cybersecurity within the cloud and within telco. So you just mentioned that. Open mind, it's all about having open source, about having that space where we can share more efficiently and easy, more easily. What does that mean for security though? Is it a risk? >> I think that's going to increase the value of security and minimize the threats. Because open source, even though it's open, the more people that are working on it, the more secure it could be. So yes, it could be more open in sense that could be explored by hackers, but it can be open to also protect. And I think we've seen open source and cloud in particular be more secure because everyone said, "Cloud is not secure, open source is not secure." And as it turns out when the collective hive minds of developers work on things, it gets secure. >> And it is interesting, isn't it? Because we have seen that there has been an uptick in cyber security and threats. But actually I was speaking to some leaders in across various industries and particularly in tech. And they were saying, "Actually there's not been an uptick in attempted threats, there's been an uptick because with this open source environment. We are able to track them and measure them and defend more efficiently. So actually they're being battered away, but the number is probably the same as it always was. We just didn't know about them before we had this open source environment. >> There's more money in threats and there's more surface area. So as the tide rises, so do the threats. So on a net basis it's more because there's more volume, but it's pretty much the same. And look at it, there's money involved, they're organized, there's a business model on attacking and getting the cash out of your bank or ransomwares at an all time high. So this is like a big problem and it's beyond the government, it's our individual freedom. So security its huge and I think open source and cloud are going to be, I think the answer to that. >> Yeah, for sure. And it's again about collaboration, isn't it? Which we talk about all the time but without collaboration that the industries aren't going to have to work together to promote this environment. So yeah, it should be good to talk with Phillip on Wednesday. >> I just say in security, don't download that PDF if you don't know who came from. The fishing is always good. Well, we got some great stuff coming up. We're going to have a great day. We got a video here on Mobile World Live, we're going to show this next segment and we're going to toss it to a video. And this is really about to give the experience Chloe, for people who aren't here, right? >> Yeah. >> To get a feel for what's going on in Barcelona and all the actions. And if you look at the video, enjoy it. >> Hi, I'm Danielle Royston, CEO and founder of TelcoDr, but you can call me DR. Ready for some more straight talk about telco? It's go time, let's do it. Holy shit. It sure is a great time to be a tech company. I mean, if you're Amazon, Microsoft, Google, Grab, Twilio, DoorDash or Uber, life's pretty great. Just look at these stock prices over the past five years with their shareholder value going up into the right. Totally amazing. But where's telco? There I add our stocks to this awesome chart. Let's compare these fabulous tech stocks to AT&T, Vodafone, Telefonica, Tim, America Movil and Zain group. Huh, not so great, right? Yep. I'm talking directly to you senior telco execs. I'm here to wake you up. Why is it that Wall Street doesn't see you as tech? Why aren't CSPs seen as driving all the tech change? Why is it always Apple, Amazon and Google who get the big buzz? But more importantly, why isn't it you? Before I came to this industry, I always thought of carriers as tech companies. I gave more of my money to AT&T and to Apple because I really cared about the quality of the network. But I also wondered why on earth, the carriers allowed all the other tech companies to take center stage. After spending the last few years in telco, I now understand why. It's because you are network people, you are not customer people. I get it, you have the security blanket, you're a network oligopoly. It's crazy expensive to build a network and it's expensive to buy spectrum. It takes operational chops to run a killer network and it takes great skill to convince Wall Street, to finance all of it. You telco execs are amazing at all those things, but because you focus on the network, it means you don't focus on the customer. And so far you haven't had to. Every telco's KPI is to be less shitty than their next competitor. You don't have to be the best, just don't be last. Everyone else's NPS, is in the thirties too. Their mobile app ratings are just as terrible as yours. Everyone's sucks at customer sat and it's widely acknowledged and accepted. Let's talk about the cost of that. The cost is not measured on market share against other MNOs. The cost is measured in lost ARPU that the tech guys are getting. Everyone knows about the loss of texting, to WeChat, WhatsApp and the other OTT apps, but it is not just texting. The total adjustable market or term of the mobile app disruptors is huge. Instead of remaining network focused, you should be leveraging your network into a premier position. And because you're a network people, I bet you think I'm talking about coercive network leverage. That is not what I'm talking about. I'm talking about love, customer love. There is one thing the highly valued tech companies all have in common. They all crush it on customer love. They look at every interaction with the customer and say, "How do we make the customer love this?" Like Netflix has easy monthly cancellation, Amazon does no questions asked returns, Uber gives users a real time view into driver rating and availability. Compare those ideas to the standard telco customer interaction. The highly valued tech companies, don't have the network oligopoly to fall back on like you do. To survive they must make customers love them. So they focus on it in a big way and it pays off. Their NPS is close to 70 and they have app ratings of 4.5 or higher. A far cry from your thirties NPS and app ratings of 3.5. If you want to have those huge tech multiples for yourself, you have to start thinking about these guys as your new competition, not the other telcos in your market. The crazy thing is, if you give up using your network as a crutch and put all of your focus on the customer, the network becomes an asset worth more than all the super apps. Let's step back and talk about the value of super apps and becoming customer centric. Retooling around the customer is a huge change. So let's make sure it's worth it. We aren't talking about 25% improvement. I'm going to show you that if you become customer centric, you can double your ARPU, double your valuation multiples and drive big shareholder value just like the tech companies on that chart. Now let's talk about the customer focused super apps. There are hundreds of companies and a variety of categories vying for your subscriber's disposable income. Movies, food delivery, financial services, who are they? And why does Wall Street give them such high evaluations and like them so much? Well first, look at what they are telling Wall Street about their TAM. They broadcast ridiculously huge TAMs that are greater than the telco TAMs. You know, who should have a ridiculously huge TAM? You. Hello. What I'm saying is that if you got what's yours, you double in size. And if you take the TAAMs they throw around, you'll be five times as big. When I think about the opportunity to double ARPU, without having to double the CapEx, to build out the network, I say to myself, "Hell yeah, we should totally go do it and do whatever it takes to go get." For example, let's talk about Grab. Grab is a southeast Asian super app company with an expected $40 billion valuation. Grab's customer focused started in rideshare, but then leverage its customer love into wallet deliveries, hospitality, and investing. Their ARPU is now larger than a telco's ARPU in countries where they compete, and they have a higher valuation than those telcos too. Imagine if you could combine a great user experience with a valuable services that helped grow your ARPU, that would be huge. So how do you build a super app? I bet right about now, you're wishing you had a super app. Everyone wants a super app. A lot of money has been unsuccessfully spent by telcos trying to build their own. I bet you're saying to yourself, "DR, your pie in the sky sounds great but it has no chance of success." Well, I'm betting things are about to change. There is a public cloud startup called Totogi that is going to help carriers build world class super apps. To have a successful super app, there is one key metric you need to know. It is the KPI that determines if your super app will be a success or a flop. It's not about the daily active users, it's not the average order value, it's not even gross merchandise value. It's all about the frequency of use per day by the user, that's the metric that matters. How many of you use that metric in your telco apps? Do you have a team driving up user app interactions every day? Most telco apps are used for top up or to check a bill. This is a huge missed opportunity. Super app companies excel at building great experiences and driving a huge amount of interactions. They have to, their business depends on it. They have to be customer focused. They have to keep bringing the user back to the app, every day, multiple times a day. And you know what? They do a great job. Customers love their super apps. They have great user experiences like Apple credit cards, no information required, application process. They have high net promoter scores because of customer friendly policies, like how DoorDash retroactively credits fees when you move to a better plan. And they have great app store ratings because they do simple things like remember your last order, or allow you to use the app rather than force you to call customer service. Customers of successful super apps love it when new services are added. And because of the customer love, every time something is added to the app, customers adopt it immediately. New services drive frequent daily user interactions. So our problem in telco is we have an app that is only open once per month, not multiple times per day. And without frequent opens, there is no super app. What do we do we have in telco that we could use to help with this problem? I wonder, why you don't currently have a mobile app that subscribers use multiple times a day. You have something that's 10 times better. You have a network. Subscribers already interact with your network 10 times more frequently than any user with any of the super apps. But telcos don't leverage those interactions into the insanely valuable engagements they could be. Worse, even if you wanted to your crappy over customized on premise solutions, make it impossible. Thankfully, there's this new tech that's come around, you may have heard of it. The public cloud. When you bring the enabling technology of the public cloud, you can turn your network interactions into valuable super app interactions. And there's a special new startup that's going to help you do it, Totogi. Totogi will leverage all those network interactions and turn them into valuable customer interactions. Let me repeat that. Totogi will leverage all those network interactions and turn them into valuable customer interactions. Totogi allows the carrier to leverage its network and all the network interactions into customer engagement. This is something the super apps don't have but will wish they did. But this magic technology is not enough. Telcos also need to move from being network focus to being customer focused. Totogi enables telcos to chase exciting revenue growth without that annoying massive CapEx investment. Totogi is going to help you transform your sucky mobile apps with the crappy customer ratings, into something your subscribers want to open multiple times a day and become a platform for growth. I'm so excited about Totogi, I'm investing $100 million into it. You heard me right, $100 million. Is this what it feels like to be soft bank? I'm investing in Totogi because it's going to enable telcos to leverage the network interactions into super app usage. Which will lead to an improved subscriber experience and will give you a massive jump in your ARPU. And once you do that, all those Telco valuations will go from down here to up here. And so I've been talking to some folks, you know, checking in, feeling them out, getting their thoughts, and I've been asking them, what do you think about telcos building super apps? And the response has been, click, everyone says, "No way, telcos can't do it." Zero chance, total goose egg. One suggested I build a bonfire with 100 million dollars, because then at least I wouldn't waste years of my life. Well I think those people are dead wrong. I do believe that telcos can build super apps and make them super successful. The public cloud is changing all parts of telco and Totogi and super apps are fundamentally changing, the customer relationships. In one month at MWC, people will see what Totogi has to offer, and they will understand why I'm making this bold call. Because the Totogi takes the value of the network and the power of the public cloud to help telcos move from being network centric, to being customer centric. Boom! If you want to make this transformation and reap all the financial benefits, you will have to compete for customers with a whole new set of players. You will no longer compete with the network focus guys like the other telcos, instead you will be competing against the customer focused companies. These players don't have a network to fall back on like your old competitors. They know they have to make customers love them. Their customer loyalty is so off the charts, their customers are called fans. So if you want that big money, you will have to compete on their turf and make the customers want to choose you, you need Apple level loyalty. That bar is uber high. We will have to give up the security blanket of the network and change. Instead of NPS of the thirties, it needs to be in the 70s. Instead of mobile app ratings in the threes, they need to get five stars. I'm betting big that Totogi will make that possible. I'm going to help you every step of the way, starting with my keynote next month at MWC. Join me and I'll share the secrets to converting your super valuable network interactions to make your super app a massive success. We're going to have an amazing time and I can't wait to see you there. >> Okay. We're back here in theCUBE here at Mobile World Congress in Cloud City. I'm John Furrier, Chloe Richardson filling it for Dave Vellante who's out on assignment. He's out getting all the data out there and getting stories. Chloe, what a great keynote by Danielle Royston. We just heard her and while with major action, major pump me up, punch in the face, wake the heck up cloud people, cloud is here. She didn't pull any punches. >> No, I mean the thing is John, there's trillions of dollars on the table and everyone seems to be fighting for it. >> And you heard her up there, if you're not on the public cloud, you're not going to get access to that money. It's a free for all. And I think the cloud people are like, they might think they're going to walk right in and the telco industry is going to just give it up. >> No, of course. >> There's not going to be, it's going to be a fight, who will win. >> Who will win but also who will build the next big thing? >> Someone needs to die in the media conversation, it's always a fight, something's dead, something's dead but keeps the living. All that kidding aside, this is really about partnering. I think what's happened is, telco's already acknowledged that they need to change in the 5G edge conversation, the chip acceleration. Look at Apple, they've got their own processors, Nvidia, Amazon makes their own chips, Intel's pumping stuff out, you've got Qualcomm, you've got all these new things. So the chips are getting faster and the software's more open source and I'm telling you, cloud is just going to drive that bus right down clouds street and it's going to be in Cloud City everywhere. >> And it's going to be peeping on the board as it drives down. John, I'm not a stalker, but I have read some of the things that you've written. And one of the things you mentioned that was really interesting was the difference between building and operating. Break it down for me. What does that mean? >> That means basically in mature markets and growing markets things behave differently and certainly economics and the people and the makeup and the mindset. >> Okay. >> So the telco has been kind of this mature market. It's been changing and growing but not like radically. Cost optimization, make profit, you know, install a lot of cable. You got to get the rents out of that infrastructure and that's kind of gone on for too long. Cloud is a growth market, and it's about building, not just operating and you've got operators, carriers are operating networks. So you're going to see the convergence of operators and builders coming together, builders being software developers, new technology and executives that think about building. And you want people on your team that are going to be, I won't say war time, you know, lieutenants or generals, but people who can handle the pace of change. >> Okay. >> Because the change and the nature is different. And some people want slow and steady, keep the boat from rocking, but in a growth market, it's turbulent and ride might not be quiet, first class ticket to paradise, but it's bumpy, but it's thrilling. >> No, of course. Is it similar to the old sales adage of hunter versus farmer and the parallels? >> Yeah. I mean, the mindset. If you have a team of people that aren't knocking down new opportunities and building the next big thing, fixing your house, get your house in order, you know, refactor, reset, reboot, re platform with the cloud and then refactor your business. If you don't have the people thinking like that, you're probably either going to be taken over or go out of business. And that's what the telco with all these assets, they're going to get bought roll into a SPAC, special purpose acquisition company was a super hot in the United States. A lot of roll ups going on with Private equity. So a lot of these telcos, if they don't refactor or re platform, then refactor, they're going to be toast and they're going to get rolled up and eaten up by somebody else. >> Yeah, sure. It's interesting though, isn't it? Because when we think of telco in tech, we often think of, obviously we've got the triad. People process technology, and we think process and technology really take the forefront here but like you said there, people are also so important because if you don't have this right balance, you're not going to be able to drive that change. We had, obviously Scott Brighton on the stage yesterday and after his session, somebody came up to me and just said, "I'm interested to hear what that means for education." So how can we establish this new generation of tech and telco leaders from the grassroots with educational associations establishments? How can we encourage that? I wonder, is this something that you talk about often? >> Yeah. I mean, education is huge and this highlights the change that telcos now part of. Telco used to be a boring industry that ran the networks, or moving packets around and mobile was there, but once the iPhone came out in 2007, the life has changed, society has changed, education's changed, how people interact has changed. So you start to see people now aware of the value and if you look at the, during the COVID, the internet didn't crash, the telcos actually saved our asses and everyone was, survive because the network didn't break. Yeah, we had some bad zoom meetings here and there and some teleconferences that didn't go well but for the most part we survived and they really saved everybody, my goodness. So they should get kudos for that. But now they're dependent upon healthcare, education, people care about that stuff. So now you're going to start to see an elevated focus on what telecom is doing. That's why The Edge has checked trillions of dollars up for grabs. But education, there's negative unemployment in cybersecurity and in cloud. So for the people who say, oh, there's no jobs or I can't work, that's a bunch of BS because you can just get online, get on YouTube and just get a degree. You can get a degree, you can get an Amazon job, it pays a hundred thousand dollars a year, American. You can make a hundred thousand pounds and be unemployed six months and then be employed. So negative unemployment means there's more jobs than people to fill them qualify. >> Yeah, it's interesting you mentioned that because I was talking to a cyber security leader who was saying in some of the things there were now 3 million vacancies in cybersecurity and there's such a skill shortage, there is nobody around to fill it. So it's an interesting problem to have isn't it? Cause it's reversed to what we've been used to for the last few decades and obviously telco is in the same space. What can we do about it? Do you think it will actually bring people in? >> I think it's going to take leadership and I'm a big proponent of kids not going to university, they don't have to. Why spend the dough, money if you don't have to? You can get online. I mean, the data's there, but to me it's the relationships, the mentorship. You starting to see women in tech and underrepresented minorities in the tech field, where mentorship is more important than curriculum. Community is more important than just going through a linear course where nobody wants to sit online and go through linear courseware. Now, if they have to get a certificate or degree and accreditation no problem, but communities are out there. So that's a big change over, I'm a big fan of that and I think people should, you know, get some specialized skills, you can get that online. So why even go to school? So people are figuring that out. >> For sure. And also even transferring, I mean, so many skills are transferable nowadays, aren't there? So we could easily be talking to people from other industries and bringing them into telco and saying, look, bring what you know from your retail background or your healthcare background and help us at telco to again, drive forward, just like DR is saying it's all about the next big thing. >> Danielle, I was also driving a lot of change and if you think about the jobs and a pedigree of going to a university, oh, Harvard, all the big Ivy leagues, Oxford in your area. So it's like, if you go to a school like that and you get a pedigree, you instantly get a job. Now, the jobs that are available, weren't around five years ago. So there's no like pedigree or track record, there's no like, everyone's equal. >> Yeah. >> So you could, the democratization of the internet now is, from a job standpoint is, people are leveling up faster. So it's not about the Ivy league or the big degree or silver spoon in your mouth, you've got the entitlement. So you start to see people emergent and make things happen, entrepreneurship in America, immigrant entrepreneurship. People are billionaires that have no high school diplomas. >> It's interesting you mentioned that John, because we can have more than five years experience in this space, we know that but in telco there is a problem and maybe it's, again it's a flipped problem where, telco recruiters or talent acquisition leaders, are now asking for kind of 10, 20 years experience when they're sending out job descriptions. So does that mean that we are at fault for not being able to fill all these vacancies? >> Well, I mean, I think that's just, I mean, I think there's a transition of the new skill set happening one, but two, I think, you know, you've got to be like a chip engineer, you can't learn that online, but if you want to run a cloud infrastructure, you can. But I think embedded systems is an area that I was talking to an engineer, there's a huge shortage of engineers who code on the microprocessors, on the chips. So embedded systems is a big career. So there's definitely parts, you can specialize, space is another area you've seen a lot of activity on, obviously Jeff Bezos and Elon Musk is going to be here on virtual keynote, trying to go to Mars. And, you know, Danielle Royston always says, who's going to happen first, Mars, colony, or telco adopting public cloud? Some people think Mars will happen first but. >> What do you think John? >> I think telco's going to get cloud. I mean, first of all, public cloud is now hybrid cloud and the edge, this whole internet edge, 5G, is so symbolic and so important because it's an architectural beachhead. >> Yeah. >> And that's where the trillion dollar baby is. >> Of course. >> So the inside baseball and the inside money and all the investors are focusing on the edge because whoever can command the edge, wins all the dollars. So everyone kind of knows it's a public secret and it's fun to watch, everyone jockey for the positions. >> Yeah, know, it really is. But it's also quite funny, isn't it? Because the edge is almost where we were decades ago, but we're putting the control back in the hands of consumers. So it's an interesting flip and I wonder if with the edge, we can really enhance this acceleration of product development its efficiency, this frictionless system in which we live in. And also, I've heard you say hybrid a few times John. >> Yeah. >> Is hybrid going to be the future of the world no matter what industry you're in? >> Hybrid is everything now. So it's, we're the hybrid cube, we've got hybrid cloud. >> Exactly. >> You got hybrid telco, because now you've got the confluence of online and offline coming together. >> Yeah. >> That is critical dynamic, and you seeing it. Like virtual reality for instance, now you seeing things, I know you guys are doing some great work at your company around creating experiences that are virtual. >> Exactly. >> You got, like Roblox went public recently. >> Yeah. >> Metaverse is a good time to be in that business because experiential human relations are coming. So I think that's going to be powered by 5G, you know, gamers. So all good stuff, Chloe, great to be with you here in theCUBE. >> Thank you. >> And we're looking forward to seeing your main stage. >> Great. >> And then we're going to send it back to the studio, Adam and the team, we're waiting for DR to arrive here in Cloud City and this is theCUBE, from Cloud City back to you, Adam in the studio.
SUMMARY :
We're here on the floor in Cloud City, I love what you guys have And also the Cloud City is Know, I mean the atmosphere great job on the main stage. bustle of the city to find out. and the future of work. insight into the origins and she's not just, you know, It's the moonshot of the telco world. And I love the fact that she's so, the way we pioneers though, and driving the content and so pertinent to now. of COVID and people are glad to be here, I'd like to pick your brains So CES is the big consumer that is the fact that it's moving are going to lose their position. And it's the people and you can see as soon as she worked out. And back to the show, I he consolidated and rebooted the company. have a slice of the pie? hot and heavy on the fact and because of the edge, DR is really leading the charge So in order to do that, you And he's coming to talk and minimize the threats. but the number is probably and it's beyond the government, that the industries aren't And this is really about to and all the actions. Totogi is going to help you He's out getting all the data on the table and everyone on the public cloud, you're going to be a fight, who will win. So the chips are getting And one of the things you mentioned and the makeup and the mindset. So the telco has been Because the change and and the parallels? and they're going to and telco leaders from the grassroots So for the people who of the things there were I mean, the data's there, but and saying, look, bring what you know and if you think about the So it's not about the Ivy to fill all these vacancies? to run a cloud infrastructure, you can. and the edge, this And that's where the and the inside money in the hands of consumers. So it's, we're the hybrid of online and offline coming together. and you seeing it. You got, like Roblox great to be with you here to seeing your main stage. Adam and the team, we're
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