(soft music) >> Hello, fellow hardware nerds and welcome back to Dallas Texas where we're reporting live from Supercomputing 2022. My name is Savannah Peterson, joined with the John Furrier on my left. >> Looking good today. >> Thank you, John, so are you. It's been a great show so far. >> We've had more hosts, more guests coming than ever before. >> I know. >> Amazing, super- >> We've got a whole thing going on. >> It's been a super computing performance. >> It, wow. And, we'll see how many times we can say super on this segment. Speaking of super things, I am in a very unique position right now. I am a flanked on both sides by people who have been doing content on theCUBE for 12 years. Yes, you heard me right, our next guest was on theCUBE 12 years ago, the third event, was that right, John? >> Man: First ever VM World. >> Yeah, the first ever VM World, third event theCUBE ever did. We are about to have a lot of fun. Please join me in welcoming Justin Emerson of Pure Storage. Justin, welcome back. >> It's a pleasure to be here. It's been too long, you never call, you don't write. (Savannah laughs) >> Great to see you. >> Yeah, likewise. >> How fun is this? Has the set evolved? Is everything looking good? >> I mean, I can barely remember what happened last week, so. (everyone laughs) >> Well, I remember lot's changed that VM world. You know, Paul Moritz was the CEO if you remember at that time. His actual vision actually happened but not the way, for VMware, but the industry, the cloud, he called the software mainframe. We were kind of riffing- >> It was quite the decade. >> Unbelievable where we are now, how we got here, but not where we're going to be. And you're with Pure Storage now which we've been, as you know, covering as well. Where's the connection into the supercomputing? Obviously storage performance, big part of this show. >> Right, right. >> What's the take? >> Well, I think, first of all it's great to be back at events in person. We were talking before we went on, and it's been so great to be back at live events now. It's been such a drought over the last several years, but yeah, yeah. So I'm very glad that we're doing in person events again. For Pure, this is an incredibly important show. You know, the product that I work with, with FlashBlade is you know, one of our key areas is specifically in this high performance computing, AI machine learning kind of space. And so we're really glad to be here. We've met a lot of customers, met a lot of other folks, had a lot of really great conversations. So it's been a really great show for me. And also just seeing all the really amazing stuff that's around here, I mean, if you want to find, you know, see what all the most cutting edge data center stuff that's going to be coming down the pipe, this is the place to do it. >> So one of the big themes of the show for us and probably, well, big theme of your life, is balancing power efficiency. You have a product in this category, Direct Flash. Can you tell us a little bit more about that? >> Yeah, so Pure as a storage company, right, what do we do differently from everybody else? And if I had to pick one thing, right, I would talk about, it's, you know, as the name implies, we're an all, we're purely flash, we're an all flash company. We've always been, don't plan to be anything else. And part of that innovation with Direct Flash is the idea of rather than treating a solid state disc as like a hard drive, right? Treat it as it actually is, treat it like who it really is and that's a very different kind of thing. And so Direct Flash is all about bringing native Flash interfaces to our product portfolio. And what's really exciting for me as a FlashBlade person, is now that's also part of our FlashBlade S portfolio, which just launched in June. And so the benefits of that are our myriad. But, you know, talking about efficiency, the biggest difference is that, you know, we can use like 90% less DRAM in our drives, which you know, everything uses, everything that you put in a drive uses power, it adds cost and all those things and so that really gives us an efficiency edge over everybody else and at a show like this, where, I mean, you walk the aisles and there's there's people doing liquid cooling and so much immersion stuff, and the reason they're doing that is because power is just increasing everywhere, right? So if you can figure out how do we use less power in some areas means you can shift that budget to other places. So if you can talk to a customer and say, well, if I could shrink your power budget for storage by two thirds or even, save you two-thirds of power, how many more accelerators, how many more CPUs, how much more work could you actually get done? So really exciting. >> I mean, less power consumption, more power and compute. >> Right. >> Kind of power center. So talk about the AI implications, where the use cases are. What are you seeing here? A lot of simulations, a lot of students, again, dorm room to the boardroom we've been saying here on theCUBE this is a great broad area, where's the action in the ML and the AI for you guys? >> So I think, not necessarily storage related but I think that right now there's this enormous explosion of custom silicon around AI machine learning which I as a, you said welcome hardware nerds at the beginning and I was like, ah, my people. >> We're all here, we're all here in Dallas. >> So wonderful. You know, as a hardware nerd we're talking about conferences, right? Who has ever attended hot chips and there's so much really amazing engineering work going on in the silicon space. It's probably the most exciting time for, CPU and accelerator, just innovation in, since the days before X 86 was the defacto standard, right? And you could go out and buy a different workstation with 16 different ISAs. That's really the most exciting thing, I walked past so many different places where you know, our booth is right next to Havana Labs with their gout accelerator, and they're doing this cute thing with one of the AI image generators in their booth, which is really cute. >> Woman: We're going to have to go check that out. >> Yeah, but that to me is like one of the more exciting things around like innovation at a, especially at a show like this where it's all about how do we move forward, the state of the art. >> What's different now than just a few years ago in terms of what's opening up the creativity for people to look at things that they could do with some of the scale that's different now. >> Yeah well, I mean, every time the state of the art moves forward what it means is, is that the entry level gets better, right? So if the high end is going faster, that means that the mid-range is going faster, and that means the entry level is going faster. So every time it pushes the boundary forward, it's a rising tide that floats all boats. And so now, the kind of stuff that's possible to do, if you're a student in a dorm room or if you're an enterprise, the world, the possible just keeps expanding dramatically and expanding almost, you know, geometrically like the amount of data that we are, that we have, as a storage guy, I was coming back to data but the amount of data that we have and the amount of of compute that we have, and it's not just about the raw compute, but also the advances in all sorts of other things in terms of algorithms and transfer learning and all these other things. There's so much amazing work going on in this area and it's just kind of this Kay Green explosion of innovation in the area. >> I love that you touched on the user experience for the community, no matter the level that you're at. >> Yeah. >> And I, it's been something that's come up a lot here. Everyone wants to do more faster, always, but it's not just that, it's about making the experience and the point of entry into this industry more approachable and digestible for folks who may not be familiar, I mean we have every end of the ecosystem here, on the show floor, where does Pure Storage sit in the whole game? >> Right, so as a storage company, right? What AI is all about deriving insights from data, right? And so everyone remembers that magazine cover data's the new oil, right? And it's kind of like, okay, so what do you do with it? Well, how do you derive value from all of that data? And AI machine learning and all of this supercomputing stuff is about how do we take all this data? How do we innovate with it? And so if you want data to innovate with, you need storage. And so, you know, our philosophy is that how do we make the best storage platforms that we can using the best technology for our customers that enable them to do really amazing things with AI machine learning and we've got different products, but, you know at the show here, what we're specifically showing off is our new flashlight S product, which, you know, I know we've had Pure folks on theCUBE before talking about FlashBlade, but for viewers out there, FlashBlade is our our scale out unstructured data platform and AI and machine learning and supercomputing is all about unstructured data. It's about sensor data, it's about imaging, it's about, you know, photogrammetry, all this other kinds of amazing stuff. But, you got to land all that somewhere. You got to process that all somewhere. And so really high performance, high throughput, highly scalable storage solutions are really essential. It's an enabler for all of the amazing other kinds of engineering work that goes on at a place like Supercomputing. >> It's interesting you mentioned data's oil. Remember in 2010, that year, our first year of theCUBE, Hadoop World, Hadoop just started to come on the scene, which became, you know kind of went away and, but now you got, Spark and Databricks and Snowflake- >> Justin: And it didn't go away, it just changed, right? >> It just got refactored and right size, I think for what the people wanted it to be easy to use but there's more data coming. How is data driving innovation as you bring, as people see clearly the more data's coming? How is data driving innovation as you guys look at your products, your roadmap and your customer base? How is data driving innovation for your customers? >> Well, I think every customer who has been, you know collecting all of this data, right? Is trying to figure out, now what do I do with it? And a lot of times people collect data and then it will end up on, you know, lower slower tiers and then suddenly they want to do something with it. And it's like, well now what do I do, right? And so there's all these people that are reevaluating you know, we, when we developed FlashBlade we sort of made this bet that unstructured data was going to become the new tier one data. It used to be that we thought unstructured data, it was emails and home directories and all that stuff the kind of stuff that you didn't really need a really good DR plan on. It's like, ah, we could, now of course, as soon as email goes down, you realize how important email is. But, the perspectives that people had on- >> Yeah, exactly. (all laughing) >> The perspectives that people had on unstructured data and it's value to the business was very different and so now- >> Good bet, by the way. >> Yeah, thank you. So now unstructured data is considered, you know, where companies are going to derive their value from. So it's whether they use the data that they have to build better products whether it's they use the data they have to develop you know, improvements in processes. All those kinds of things are data driven. And so all of the new big advancements in industry and in business are all about how do I derive insights from data? And so machine learning and AI has something to do with that, but also, you know, it all comes back to having data that's available. And so, we're working very hard on building platforms that customers can use to enable all of this really- >> Yeah, it's interesting, Savannah, you know, the top three areas we're covering for reinventing all the hyperscale events is data. How does it drive innovation and then specialized solutions to make customers lives easier? >> Yeah. >> It's become a big category. How do you compose stuff and then obviously compute, more and more compute and services to make the performance goes. So those seem to be the three hot areas. So, okay, data's the new oil refineries. You've got good solutions. What specialized solutions do you see coming out because once people have all this data, they might have either large scale, maybe some edge use cases. Do you see specialized solutions emerging? I mean, obviously it's got DPU emerging which is great, but like, do you see anything else coming out at that people are- >> Like from a hardware standpoint. >> Or from a customer standpoint, making the customer's lives easier? So, I got a lot of data flowing in. >> Yeah. >> It's never stopping, it keeps powering in. >> Yeah. >> Are there things coming out that makes their life easier? Have you seen anything coming out? >> Yeah, I think where we are as an industry right now with all of this new technology is, we're really in this phase of the standards aren't quite there yet. Everybody is sort of like figuring out what works and what doesn't. You know, there was this big revolution in sort of software development, right? Where moving towards agile development and all that kind of stuff, right? The way people build software change fundamentally this is kind of like another wave like that. I like to tell people that AI and machine learning is just a different way of writing software. What is the output of a training scenario, right? It's a model and a model is just code. And so I think that as all of these different, parts of the business figure out how do we leverage these technologies, what it is, is it's a different way of writing software and it's not necessarily going to replace traditional software development, but it's going to augment it, it's going to let you do other interesting things and so, where are things going? I think we're going to continue to start coalescing around what are the right ways to do things. Right now we talk about, you know, ML Ops and how development and the frameworks and all of this innovation. There's so much innovation, which means that the industry is moving so quickly that it's hard to settle on things like standards and, or at least best practices you know, at the very least. And that the best practices are changing every three months. Are they really best practices right? So I think, right, I think that as we progress and coalesce around kind of what are the right ways to do things that's really going to make customers' lives easier. Because, you know, today, if you're a software developer you know, we build a lot of software at Pure Storage right? And if you have people and developers who are familiar with how the process, how the factory functions, then their skills become portable and it becomes easier to onboard people and AI is still nothing like that right now. It's just so, so fast moving and it's so- >> Wild West kind of. >> It's not standardized. It's not industrialized, right? And so the next big frontier in all of this amazing stuff is how do we industrialize this and really make it easy to implement for organizations? >> Oil refineries, industrial Revolution. I mean, it's on that same trajectory. >> Yeah. >> Yeah, absolutely. >> Or industrial revolution. (John laughs) >> Well, we've talked a lot about the chaos and sort of we are very much at this early stage stepping way back and this can be your personal not Pure Storage opinion if you want. >> Okay. >> What in HPC or AIML I guess it all falls under the same umbrella, has you most excited? >> Ooh. >> So I feel like you're someone who sees a lot of different things. You've got a lot of customers, you're out talking to people. >> I think that there is a lot of advancement in the area of natural language processing and I think that, you know, we're starting to take things just like natural language processing and then turning them into vision processing and all these other, you know, I think the, the most exciting thing for me about AI is that there are a lot of people who are, you are looking to use these kinds of technologies to make technology more inclusive. And so- >> I love it. >> You know the ability for us to do things like automate captioning or the ability to automate descriptive, audio descriptions of video streams or things like that. I think that those are really,, I think they're really great in terms of bringing the benefits of technology to more people in an automated way because the challenge has always been bandwidth of how much a human can do. And because they were so difficult to automate and what AI's really allowing us to do is build systems whether that's text to speech or whether that's translation, or whether that's captioning or all these other things. I think the way that AI interfaces with humans is really the most interesting part. And I think the benefits that it can bring there because there's a lot of talk about all of the things that it does that people don't like or that they, that people are concerned about. But I think it's important to think about all the really great things that maybe don't necessarily personally impact you, but to the person who's not cited or to the person who you know is hearing impaired. You know, that's an enormously valuable thing. And the fact that those are becoming easier to do they're becoming better, the quality is getting better. I think those are really important for everybody. >> I love that you brought that up. I think it's a really important note to close on and you know, there's always the kind of terminator, dark side that we obsess over but that's actually not the truth. I mean, when we think about even just captioning it's a tool we use on theCUBE. It's, you know, we see it on our Instagram stories and everything else that opens the door for so many more people to be able to learn. >> Right? >> And the more we all learn, like you said the water level rises together and everything is magical. Justin, it has been a pleasure to have you on board. Last question, any more bourbon tasting today? >> Not that I'm aware of, but if you want to come by I'm sure we can find something somewhere. (all laughing) >> That's the spirit, that is the spirit of an innovator right there. Justin, thank you so much for joining us from Pure Storage. John Furrier, always a pleasure to interview with you. >> I'm glad I can contribute. >> Hey, hey, that's the understatement of the century. >> It's good to be back. >> Yeah. >> Hopefully I'll see you guys in, I'll see you guys in 2034. >> No. (all laughing) No, you've got the Pure Accelerate conference. We'll be there. >> That's right. >> We'll be there. >> Yeah, we have our Pure Accelerate conference next year and- >> Great. >> Yeah. >> I love that, I mean, feel free to, you know, hype that. That's awesome. >> Great company, great runs, stayed true to the mission from day one, all Flash, continue to innovate congratulations. >> Yep, thank you so much, it's pleasure being here. >> It's a fun ride, you are a joy to talk to and it's clear you're just as excited as we are about hardware, so thanks a lot Justin. >> My pleasure. >> And thank all of you for tuning in to this wonderfully nerdy hardware edition of theCUBE live from Dallas, Texas, where we're at, Supercomputing, my name's Savannah Peterson and I hope you have a wonderful night. (soft music)

>>live from Washington, D. C. It's the Cube covering Bumi World 19 Do you buy movie? >>Welcome back to the Cubes. Coverage of Bumi World 19 I'm Lisa Martin with John Ferrier. John and I have a couple of gents joining us. To my right is Jeff Emerson, the global managing director for Custom Application Engineering Ethics Center. Hey, just hey, welcome. Thank you were glad to tell you, and we've got Steve would back with us. The CPO up. Hey, Steve, >>Hayley says. Ages >>minutes. You sticking into some research about that? The history of Bumi and Ipads and just looking at how the consumer ization effect has infected by a bad word has really infiltrated has that every industry organizations went from having enterprise applications. Legacy applications, cloud applications, custom applications. Let's talk about custom applications. What are you seeing in the customer marketplace for the demand for having this level of customization, whether it's a retail or or, you know, utilities company, >>it really doesn't matter what industry it is these days. Custom applications were going through a renaissance. It is. It is truly the renaissance of custom, where there was once a swing towards enterprise applications and the packages and so on. And now it's realized that oh gosh t separate ourselves from our competition. We have two great something that doesn't exist well, that is, by its nature, a custom application. And so these air coming up, Maura and Maur across the industry, and it's really starting to dominate the value chain for software. >>You were here in D. C. And public sector is going through a modernization as well. He looked at government procurement. I mean, essentially with data, everything's instrumental. You have unlimited resource with cloud computing. So essentially personalization. Hot trend. So applications air being personalized. They're customized. So every app should be not general purpose unless it's either under the covers. So this is the country's We've been having you guys. Bumi has a platform. You enable APS? You guys are deploying it. How are customers responded to this? Because to me they might go Will custom haps me, feels expensive. It feels one off the old adage. It's a one off, but it seems to be coming back. >>It does end. Fact is, you're able to do things so much more quickly today than you ever have been able to in the fast in the past and three ability to create new experiences quickly and react in an agile fashion to how those applications are being received in the marketplace. React to the data that is generated both as the primary data and the data exhaust from those systems to determine what your customers need, what they want, how they're going to act, what they're going to buy. All of those things are things that we can pull together so much more quickly today than we could ever in the past. And so it's great. >>Steve, We were talking earlier about how the data's real big part of the equation. Now everything about the application world it used to be the infrastructure would dictate what you could build. Yeah, now you have application developers saying, This is what I want now the infrastructures so programmable it's kind of flipped around that they're dictating kind of terms. >>Well, there's suddenly being this sort of emergence of these low code platforms to kind of help manage that. I mean, and they're kind of taking care of a lot of the infrastructure so you can kind of skill them is needed, but yeah, I mean, there's been a him. It's been a huge birthday. I couldn't agree more. There's like the demand for applications. We're seeing a lot. Sure there's the mega applications. We tend to leave those to our sister company Pivotal toe code those with this whole other ecosystem of applications everywhere. The personalization sze of the line of business needs to improve. Their business processes were going after that layer. We have to do it in the right way to make it super easy to do on the infrastructure that people expected to be with the architecture they expect to see. So they're highly customizable, so get exactly what they want. >>Jeff, you know, we always talk on the industry joke on the Cube, and the game is changed, but it's still the same. And every time a new trend comes, you know it's the death of something. A meteorite media to say something's dying when something new starts right. But nothing really changes everything about applications. It's the same gain just with a different twist. Do it with cloud. How are customers were spouting this? Because obviously his benefits business benefits cost benefits lot of mount up line with how they're attacking the application development. Then they got a data tsunami happening. But they gotta build APS, right, Not anything, right? >>It was once said that absolute in the world, and now it's really that data is feeding the world right? And so the amount of data that's out there and accessible and usable within applications is absolutely incredible. And so, with the emergence of the cloud in order, Thio support those massive amounts of data and Dr Rapid Development and then lo code to make that development much easier. These things all time come together, and you talked about the death of X, y or Z. We talk now about living systems, right on living systems are things that are easy to modify, their absolutely attainable and usable and expandable for for any kind of use and ultimately adaptable. >>So John mentioned the word one off a minute ago, and it reminded me of something where, you know, whatever industry that you're in, Not too long ago it was customers got some one off. Whether it's an application or part of the infrastructure, that's expensive, and it's not something that can be monetized but down to your point it's it's really custom. Applications are a big part of a business. Is competitive advantage. So what is it about the customized app? Is it Is it the fact that it's driven by an A P I? That's programmable that allows it to be customized at scale toe, where it's not a one off from a support perspective, it's something that really a company can use as that competitive leg up. >>Right in the this livings living systems world. We really have agile engineering, agile methods and so that we're doing development quickly. And we're doing this in an engineering fashion that has micro service's and small pieces of functionality that could be grabbed and plugged and played together. Thio great, different experiences. And so that granular ization of software is something that drives his flexibility and enables us to make modifications and updates quickly. >>Actually, ive your customer example that it was something we'd done, which is absence of term it like how the oil and gas industry saved nurses in Africa are saved people in Africa, which is we built, a solution that allowed them nurses in sub Saharan Africa to visit patients out in the field. They built it on a loco pa from witches. Flow part of me connected through a P eyes connected to all the infrastructure. But a lot of the work was on, uh, android tablets offline. So with the loco PA from that could deliver this solution with all offline capabilities, all the connectivity, all the integration, all built in without writing. Really any code? The only code there rose to customize the look and feel so looked exactly what they want. They delivered that on early version of our offline framework and then latterly the oil and gas industry origin energy deployed a similar solution to their rigs. The lot of you seem really complicated things of form, validation and better validation rules and better data synchronization that really forced us to improve our offline framework to something which is a Steve a big jump ahead of where it was before. And then lo and behold, the nurses nafta came back to us and said, Well, actually went up, Did or are we gonna run on desktops as well as ipads? Funnily enough, and we're like, Well, good news. We've actually already added that support. And so literally from three days of that phone call to them going live within our laptops and ipads. That was all it took. They didn't have to write any CO. They literally We just give them access to the new you. I will find framework. They installed it, turn off the wet. And that's kind of the power of this kind of next gen of up building that for this kind of line of business applications where you just need to innovate, how you work, you don't have to spend three years rebuilding those for iPad and >>Jeff houses. That dynamic, which is pretty much, I think, consisted a lot of these new APS. How's it changed your business? Because you know the theme that we've been identifying the mega trend is that there's more project work going on fast time to value, agile. You guys been doing exceptional work there and following Madu Center's been doing talking to Paul Doherty amongst others. Get a huge data science team you guys are on. I know you guys have transformed but big project and now a bunch of little projects going on, so it's kind of have to make you guys more agile as a practice because you've got to go out and solve the business problems with the customers. How is this dynamic changed? >>You're right. We absolutely do. And we have to assume muchas anything. It's helping our customers get into that mode of thinking as well. What was once a six months of gathering and documenting requirements is now done in a handful of ours. At first to get the first small bit of what's gonna be valuable functionality to put out there. And you keep doing that irritably. Overtime is instead of in a six month period, but then gets thrown over the wall. Thio have other people do this for another build stuff for six or nine >>months. I mean, the federation and getting those winds early gets proof points, gets mo mentum validation. You're not waiting for a gestation period. >>You make good decisions about what to do next on DDE. What to not do that you were planning on doing but turns out, doesn't mean >>I want to get your thoughts on something important you mentioned humanization. We see that big trend because Avery people centric and you're thinking at Bumi and we've had this debate in the queue we? We didn't come in on either side yet, but you know it orations great, great, fast. But the old days of software was a lot of craftsmanship involved, you know, crafting the product, getting it right now it's ship be embarrassed, ship it fast and then injury, which is great for efficiency. But there's a trend coming back to crafting product. They're absolutely. What is your thoughts on this? Because craft Manship is now design thinking. Would it be calling in different names? But this is a new thing. It's happening all the time. >>That software software craftsmanship is something that is more important today than it ever has been. Because you're going fast. And because you're putting things out into the market very quickly, you can't afford to make big mistakes, right? You could make functional decision mistakes, right? Oh, that wasn't the right thing for the customer, but having it not work or creating it bad experiences, right? Very bad, right? And so that craftsmanship building in all the Dev Ops pipelines and the error check in the testing and gateways and security checking all that happens automatically every time you check in code that is critical and it drives that craftsmanship back to the developer, right? Pushing left so that you make a mistake. You fix it within minutes, as opposed to >>you. Run private engineering, Smile on your face. Come on, What's your angle on this >>time? And craftsmanship is obviously huge mean? When we thought about like Bumi, we kind of wanted to make sure that yeah, that way we used to talk a little bit. No code platforms. And I think that what they did was they left out the craftsmanship that developers could do. And I've kind of thought it was like, Hey, if you can put like the business or the person who really understands the process of the application into the beating heart of the creation process so they could be on the right side of the soft waiting the world like they could be a creator and producer as much as they could be a consumer of applications, you allow them to do that and then let developers have radiate that that out with new engage with models, coding out new experiences that really hyper specific to the EU's case of the user. That's kind of the ultimate you get the core business value, and then you get the craftsmanship of the engineers together, I think, >>and I'm glad you said that because there's so many cases where here, we want to push it so that we don't even need software engineers for our software. And that's an interesting idea. Yeah, but it's actually not a good idea. Ll know or idea, Yes, simply because you there's an important aspect of software and and how I t runs that even if you have low coach, uh, components in order to drive the functionality right, these things that have to be done. But frankly, professional software engineers know how to do. >>It's better and faster and easier to do it that way. >>I think the federation certainly makes the problem that you're trying to solve. Solvable, right? Don't take your eye off the main ball, which is saw the problem, but get it elegantly designed all right, but I think that's a good This is a big discussion. You're seeing a lot with loco. So again, this is back. The custom maps custom APS just means a targeted app that solves a specific problem because it is a unique problem and it's different than the other one, right? That's the speed game. It's a speed game to nose in it that fast, fast, fast. >>And the engineering methods have changed really over the last couple of decades. While I've been doing this. Where way talked a moment about ago about the waterfall ways and then the agile ways. And the simple fact of the matter is that you're developing small pieces of software to get out into the market quickly, and you can do this in a matter of days and weeks. A supposed to months and quarters >>right, which many businesses don't have that time for company competitors gonna get in there. I'm curious as the development methods have changed so dramatically have the customer conversations like Are you guys talking more with business leaders vs You know the Guys and Girls and Dev Ops is that is this movie business little conversation that a CEO CFO, a CEO is involved in? >>So from our perspective at Accenture that the technology is always there to drive a business need, and so that conversation is first with the business owners, and that was true 20 years ago as well. The a CZ much as we do. I t transformation. It's a business lead. I transformation and, more often, technology supported business transformation. >>Excellent. Well, guys, thank you for joining John and me on the program today. Talking about all the things that you guys are seeing out in the field. Exciting stuff. >>Thanks for having us. >>We appreciate your time. Thank you for John Ferrier. I'm Lisa Martin. You're watching the Cube from Bhumi World 19. Thanks for watching.

>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020. Special coverage sponsored by A. W s Global Partner Network. Welcome back to the cubes Coverage Cube. Virtual coverage of AWS reinvent 2020. We're not in person this year. We have to do the all the Cube interviews remote. But we've got two great guests from the Amazon Web Services Partner Network A W s a p N. Craig Wicks, senior manager of AWS Satisfactory. Todd Golden, Principal Cloud Architect, Global SAS Tech Lead Gentlemen, Thanks for joining the Cube. Appreciate it. >>Thanks, John. >>Um, first of all, I want to get in Craig with you and just take them in to explain what is the satisfactory. Because this is a unique and growing team within AWS. Um, we've been saying it for years, but the moves to the cloud houses has been obvious is mainstream. But your team, your role is doing some interesting things. Explain. What is the satisfactory? What do you guys do? >>Yeah, Thanks, John. Really delighted to be here today. Yeah, the satisfactory. Maybe for those that may be somewhat disappointing. There's no factory, no sort of easy button for SAS. There's no templates. There's no machinery. We wish we had it. But we're really a global team of subject matter. Experts in SAS that really help AWS partners transform their business right both business and technical to the Saas model and help them do that faster with greater confidence and all the best practices that our team has learned over the years. >>And Todd, your solution architect. So you're the partner. You have to help your customers get their, um, you know, being a solution architect really is like the mechanic of the business. You gotta lay out the engine of innovation and this is what clients are trying to strive for. Can you take him and explain how your role is involved in this? Obviously, SAS is not. It makes sense on paper, but making it happen is not trivial. What do you What do you what? Your role. >>Yeah, so I'm very much, in fact, connected to Craig. We're all part of the same organization, and we're sort of very much deeply involved with these organizations. We get very much, um, embedded with these these partners that we work with and really helped them through sort of the nuts and bolts of what it means to transform an application thio multi tenant sort of SAS models. That means helping them figure out how to map that two different AWS services. It means helping them figure out how to realize the sort of the business objective objectives of transforming to sass. But really, our goal is to sort of just get into the weeds with them, figure out their specific domain because there's no one size fits all. Versace figure out how that really connects toe, where they're at in their trajectory, in terms of where they're trying to get to end of the journey is a business and then find that alignment with a W S services. So there's sort of that trifecta of lining all those bits up and sort of formulating, Ah, technical strategy that really brings all those pieces together for them. >>Craig, I want to get your thoughts on the trends, and Todd, you can weigh in to want to get your reaction. Over the weekend, I was picking some folks on on the Internet, linked in and whatnot from eight years ago when that we did our first cube at reinvent with second year of reinvent, and nobody was there in the industry press, wasn't there were the first I think press to be there. Um and a lot of people have either moved on to big positions or companies have gone public. I bought me. Major things have happened in 2013 clouds certainly rose there. SAS became the business model. Everyone kind of knows that. But the dynamics today are different when you think about the on premises and you got the edge. A big part of the themes this week in the next couple weeks as we unfold here reinvent. This >>is >>different, but the same Can you share? What is the trend that people are riding on? What's the What's the wind of innovation? >>Yeah, and certainly I would say, First of all, just personally, I've been in SAS for some time. It was involved early on, in sort of, ah, model. We called the application service provider model, which was sort of a predecessor assassin, you know, the gray hairs out to remember that one. But, uh, you know, I think first of all, I would say SAS is everywhere and people wanted to be everywhere And so there's just We just see insatiable demand for sass from from customers out there, right? And I think the challenge problem we see is that organizations that we work with just can't transition fast enough, right? The rial technical challenges that air in front of them in terms of how they build an architect, Assaf solution and but most importantly, the business model that sort of underpins. That is a huge transformation for companies that they're going through. And that's one of the things that we just see. You know, Justin, my time in satisfactory native us. The range of organizations we worked with has just changed. So, you know, early on we're working with companies and infrastructure around security and storage and those areas, and the last few years it's just expanded to all sorts of industries, from public sector oil and gas. Um, sort of financial services. You know, everyone really wants to build this model, and that's really, you know, born around the customer demand they're seeing for South. >>That's interesting. You mention challenge. I wanna get your thoughts. You mentioned a SP application service provided you remember those days, you know, vividly, mainly a tech thing, but it's really a consumption model around delivery of software and services. And, you know, Web services came on in 2000. The rest is history. We've got Amazon Web services, but now, as you get more vertically expanded oil and gas and go mainstream. But what >>are some >>of the challenges? Because as people get smarter, it's not just about self service or buy as you go. It's a business model you mentioned. Is it a managed services itself? Services has been embedded into the application. Can you share some of the new things that are emerging on the business model side that people should pay attention to? What, some of those challenges? Yeah, I >>think one of the first things is just a fundamentally are operating service, right? So that changes the dynamics to everything, for in terms of how you engage with customers to how you deliver. You know, the kind of simple thing E I often tell people is you know who's answering the pager now. If someone goes, if something goes wrong, it's not your customer. That's you right, and you have to manage and sustain that service and and really continue Thio provide innovation and value to customers. Right? That's one of the challenges we see is is organizations are now on a treadmill in terms of innovation where customers expect something from South model and you really have to deliver on that. And then one of the final points I would say is it really transforms how you think about going to market right sales and marketing your fundamentally transformed. And, um, you know, traditional ways of really selling software and technology. Um, largely go away and go away and some good ways. And SAS, where you can really put customers in experience right and have them evaluate your technology in a manner where they can have a trial experience, right in a way, toe really introduce them to technology very slowly. And then, um, they grow over time, right? As they see value in that software, which is very aligned, how we think about, you know, a AWS our own technology. >>Okay, Todd, I gotta ask you out. So you want to drive that car? The SAS car, What's under the hood with the right tires? What's the conditions? And it's a technical issues here. If I'm a customer, I'm in a PM, partner. Okay, I'm in there. I got a traditional business pandemic hits or just my business models forcing me. What's your advice? What have I got to do? What's the playbook on the technical side? How doe I go to the next level? >>Well, uh, you know, we're obviously gonna ask a lot of questions and probably the answer to that, sadly, like most technical people will say to you is it depends which is never the answer anybody wants to hear. But so we're definitely gonna ask a lot of questions you about, like where you're at. What are the immediate sort of pressures in your business? This is where the technical team people on our team tended wearing a little bit of a business hat here where we want to know before we sort of guide you down any one particular technical path, like water. Sort of the key sort of dimensions of getting you to a SAS till every model, but but probably as a theme generally were saying to people is, Let's look at how we can get you there incrementally. Let's get you into a SAS model as fast as we possibly can. So we have a lot of different sort of patterns and strategies will use that air about sort of incremental adoption of SAS, which are how can I sort of lift my existing environment, move it into a SAS model, present a SAS offering to the business, Let me operate and run, get the metrics and analytics, get the sort of operational efficiency and the Dev ops goodness of sass, and then sort of move after that into the insides of that sass application. And think about now, how can I begin to move that two more modern constructs? How can I move that into containers? Potentially? Or how can I begin to adopt server list technologies? How can I apply? I am another constructs to achieve Tenet isolation. Eso We're really just trying to put them in a position where they can sort of incrementally modernize their applications while still realizing the benefits of getting to market on a saas model. >>So you're saying that the the playbook is come in low hanging fruit is used existing core building blocks, you see two s three dynamo whatever and then hit the higher level services as you get more experience Or is there a certain recipe that you see working for customers? >>So it's it's probably less about that. It's probably It's not about necessarily where you're out in the service continuum and which services you're using. Um, well, we're gonna move you to a set of services that are probably a good set of services that are that way to move your monolith in most effectively into a saas model as a beginning point that could land you in to that could land you in containers. The more important thing we're going to do here is we're going to surround the that sort of experience with all the other moving parts that you have tow have billing metrics. We're gonna We're gonna build in on boarding so that you could get frictionless on boarding. Those are all gonna be net new things you have to build. We're probably gonna change your identity model and connect that up with cognito or one of our partners solutions eso for us. It's it's sort of grabbing your existing environment. Can we move it over effectively, maybe modernize it a little bit along the way, but more importantly, build all those horizontal concepts in leveraging the right AWS services for you, uh, to bring that to life. >>That's actually smart, aleck. The way you described it that way, it's almost as if it's the core tenant of what Amazon stood for. You standing up fast and you get value, right? So what you're saying is, whatever it takes is a variety of tools to stand it up. I mean, this is interesting, Craig, and talk if you can comment on this because one of the things that we've been reporting on, I've done probably a dozen interviews specifically around companies that have moved to the cloud early, proactively kind of in this way, not in a major radical way. But, you know, operationally they have been transforming, you know, piece by piece. How Todd you laid it out and then pandemic it. And they've had successfully position themselves to take advantage of the forcing function of necessity of dealing with, you know, remote work and all these things that just clobbered him so and again. They were on the wave at the right time. Kind of because they had to because they did the right work. This >>is a >>factor. This is gonna tell sign. Can you guys share your reaction? What you've seen with satisfactory because this >>is the >>benefit of moving to the club. Being positioned needs pandemic today. Tomorrow, its edge. What's after that? Right space. I mean, there's a lot of things. This is kind of the playbook. What's your reaction to that? Correct. >>Yeah. I certainly see, you know, organizations that we work with that have really delivering the SAS model, being more agile, right. The ability to sort of flex resource is and change the way they sell and work with customers and find ways to, um, sort of delivered to them. Um, that don't require, um, some of the things that we're really maybe some of the things that are holding them back from traditional software in terms of how fast they deliver new features and services and, you know, changing to sort of market and world dynamics very quickly. Right is a big part of that. And, you know, one of the things we talked about in the SAS model is really not just getting to sass, but being to deliver in that model, right? And dr Innovations to customers very quickly. Um, s O that you really getting sort of securing, you know, sort of them is the loyal customers and sort of a lifetime customer. Hopefully, um, you know, that's a big part of status. >>Yeah. And there's two types of organizations that you guys have been successful with. The startup, obviously, you know, category creators or disruptors will come in, you know, come in with a nap. Born in the cloud, kick some ass you've seen that movie happens all the time still going on. And then you got the existing organizations that have to stay in that innovation wave and not get crushed by the by the change can you guys share how the factories working? The satisfactory from a mix of of clients is Atmore establishes its startups in between. Give us a taste of What's the makeup? >>Yeah, it's range just to give you a range of some of the companies worked with from kind of legacy technology companies or companies that have been around in some time, like BMC, you know, f five alfresco we've all worked with over the past few years, and they've launched products with our team on a W s. You know, to kind of start ups like Matile. Ian. You know, Cloud zero. Cokie City, which just launched a data management service announced here at Reinvent um, two very kind of specific industry players. I think this is a trend we've seen most recently where, you know, we work with organizations like NASDAQ. I based tea in the aerospace, you know, area Emerson in oil and gas. We've seen in a number of oil and gas companies really come to us based on sort of dynamics, their industry and the constraints the customers are in in terms of how they could deliver the value they provide, >>is there. Is there a key thing that's popping out of all these deals that kind of has a is a tale sign of pattern or, um, a specific thing That's obvious on then, when you look at the data, when you zoom out, >>Yeah, I think one thing I would just say people underestimate the transformation. They have to go through continually. And we still have organizations that come to us, and maybe they come to Todd or others, and they're really they're envisioning This is a technical transformation, right? And they sort of want to talk all about the application and and sort of the new architecture er they they want to move to. But we really see theon pertinent A line business and technology around sass is a model, and that's really fundamental to getting it right. And so, you know, often we see organizations that really have unrealistic launch dates, you know, which is pretty common in software and services these days, but particularly a staff model. We just see that, you know, they underestimate the work in front of them and kind of what they need to bring with that >>Todd real quick for it against the announcements which are cool. Um, technical things that pop out of these organizations is there, Uh, the cream kind of rises to the top. When you look at the value proposition, what do they focused on? Technically, >>um, you know, it's interesting because to me, ah, lot of the focus tends to be more on the things that would surprise you. Like a lot of people are wanna sort of think about how to design the ins Thea click ation on the business logic of their application and take advantage of this scale on the sizing of AWS and those things, they're still all true. But but really an assassin organization with a really successful SAS organizations will see ah, lot more shift to the agility and the operational efficiency, right? So really good organizations will say we're going to invest in all the metrics and all the land analytics, all the tooling that lets us really have our finger on the pulse of what our customers are doing. And then they'll derive all their tech and their business strategy based on this really data driven experience. And I see that as the trend and the thing we certainly advocate a ton inside of the satisfactory is don't under invest in that data because that data is really especially in a multi 10 environment where everybody's running in this sort of shared environment. That data is essential to understanding how to morph your business, how to innovate, understand how your cost profile is really evolving. And so I see the really strong organizations building lots of the sort of foundational bits here, even ahead sometimes of building features and functions into their own products. >>It's not only moving fast and deploying tech is moving fast on the business model innovation as well. You're basically saying, Don't overplay your hand and try toe lock in the business model logic because it's gonna change with the data that what you're saying. >>Yeah, they're playing for for the innovation. They're playing for the agility they're playing for new markets, new segments that may evolve. And so they're really trying to put themselves in the position of being able to pivot and move. And they're really taking pride in the fact that their technology lets them do that. >>You know, that's not that's a business model That's not for the faint of heart. You know, when you have a market that has a lot of competitiveness to it and certainly was seeing the sea change happening over this year in the past few years, with cloud completely changing the playing field, winners and losers air emerging. And that's I think, this key it's you know, as I said in The Godfather, you know, you need a wartime conciliatory for these kind of times, and this is kind of what we're seeing, and I think that's a great point. Todd. Good stuff there. Um Okay. So announcements. You guys had some things on stage. Talked about Craig. You guys launching some new stuff? New programs? >>Yeah, absolutely mhm. Yeah, John, I guess our model is really to learn from a range of partners and experiences we have and then, you know, build tools and approaches to help everyone go faster, right? Because we certainly can't work with thousands organizations. And one of things that our team has had the opportunity over the last few years is published ton of articles, Blog's white papers, you know, very specific approaches to building SAS solutions. If you search Todd Golding out there on YouTube or anything, you'll find a bunch of things. But we wanted to bring on the altogether. And so we've created Central directory called Satisfactory Insights. Hug. And there's a right now over 70 unique pieces of content that our team is produced and curated. Whether you're starting on your staff journey right, you need socks one on one and business planning to level 400 right? 10 10 in isolation from Todd Golding, right. That's all there and available to you on the satisfactory program page. >>What? Some of the interesting things that came out of that that data from the insights you can share. >>Yeah, a couple things that we have we published most recently I would point to are really interesting. We just recently published a five case study where we go deeper in terms of their transformation. To really understand what was, you know, behind the scenes and that, um, we also published a white paper called the SAS Journey Framework, where for the first time, our team really broke down the journey. And what are the steps required? And what are some of the key questions you need to ask Onda Final piece I'd point to for people that Todd talks to is, we have, ah, white paper on SAS tended isolation strategies where we really go deep on on that particular challenge and what's there and that's also published and available on our satisfactory inside sub. Could you >>just define what is that mean tenant isolation strategies? What does that >>go to Todd with that for sure? >>Let's get that on the record. What is the definition of SAS tenant isolation? >>Sure, sure. So, you know, I think I've been in the room and with a lot of people that reinvent and basically have been in Chuck talks and said, You know what's tended isolation to you, and a lot of people will say Oh, that's authentication. Essentially, somebody got into the system. So now I know my system is isolated, but and a multi tenant environment right where we're running all this. These resource is in this data all co mingled from all of these different tenants. Um, it would be a huge blow to the business if one tenant somehow inadvertently exposed the resource or exposed to the resource is of another tenant. And so, fundamentally 10 of isolation is all of these techniques and strategies and architectural patterns that you use to ensure that one tenant can inadvertently get access to the resource is of another tenant s. So it's a sort of a layer of protection and security that goes beyond just the authentication and authorization schemes that you'll typically see in a cess architectures. >>So that's basically like having your own room lock and key doorway not just getting in, but no one can access your your stuff. >>Yeah, so it's a whole set of measures you could imagine. Identity and access management and other policies sort of defining tenant boundaries and saying, as each tenant is trying to access a resource or trying toe, interact with the system in some way, you've put these extra walls up to ensure that you can't cross those boundaries. >>Todd, I want to get your thoughts on this. Well, architected sas lens piece. What is this all about? >>Well, um, a WS has had for a long time the sort of the well architected framework, which has been a really great set of sort of guiding principles and best practices around how to design an architect solutions on top of AWS. And certainly SAS providers have been using that all along the way to sort of ask foundational questions of their architecture. Er But there's always been this layer of additional sort of SAS considerations that have set on top of that are that air SAS specific architectural patterns. And so what we've done is we've used this mechanism called the well architected lens that lets us essentially take our SAS architectural principles and extend the well architected framework and introduce all these concepts into the SAS and to the architecture pillars that really ask the hard SAS architecture questions so security operations reliability all the sort of classic pillars that are part of the well architected framework now have a SAS specific context added to them. Thio to really go after those areas that are unique to sass providers. And this really gives developers, architects, consultants the ability to sit down and look at a SAS application and evaluate its alignment with these best practices. And so far we can really positive response. Thio the content. >>Great job, guys doing great work. Finally, there's something new that you guys are announcing today to make life easier. Preview building SAS on a bus. What's that? What's that about? >>Sure. Eso You know you can imagine. We've been working with thes SAS providers for a number of years now, and as we've worked with them, we've seen a number of different themes emerge on and and we've run into this pattern That's pretty common where we'll see these, uh, these customers that have a classic sort of installed software model. They're installing it on premises or in the cloud, but basically each customer's sort of has their own version of the product. They have one off versions. They have their potentially have customization that are different. And while this works for some time for these businesses, what they find is they sort of run into this operational efficiency and cost wall. Whereas they're trying to grow their businesses, they they just really can't. They can't sort of keep up based on the way that they're running their current systems, and this is sort of a natural draw to move them to sass. But the other pattern that we've seen here is that these organizations are sometimes not in a position where they have the luxury of sort of going away and just saying, Hey, I'll rewrite my system or modernize it and make all of these changes. There could be any number of factors competitive pressures, market realities, cost that just make that too much of, ah, difficult process for them to be able to just take the application and rewrite it. And so what we did is sort of try to acknowledge that and say, What could we do to give you, ah, more prescriptive solution of this, the sort of turn key, easy button, if you will to say, Take my existing monolithic application that I deliver in this classic way and plug it into an existing pre built framework. An environment that is essentially includes all these foundational bits of assassin Vyron mint. And let me just take my monolith, move it into that environment and begin toe offer a SAS product to to the universe. And so what we've done is we've printed something and were introduced. We've introduced this thing called a W s SAS boost So a W s ass boost. It's not on a W s service. It is an open source reference environment. So you essentially download it. You install it into your own A W s account. And then this installs all these building blocks of sass that we've talked about. And it gives you all this sort of prescriptive ability to say, How can I now take my existing monolithic environment lifted into this experience and begin toe offer that to the market as a sash products. So it has, you know, it has billing. It has metrics and analytics. All the things we've been kind of talked about here they're all baked into that from the ground up on. We've also offered this an open source model. So our hope here is that this is really just the starting point of this solution, which, which will solve one business case. But our hope is that essentially the open source community will lean in with us, help us figure out how to evolve and make this into something that addresses a broader set of needs. >>Well, I love the SAS boost. Firstly, I wanna take the energy drink business there. Right there. It sounds like an energy drink. Give me some of that sass boost by that at 7. 11. Craig, I wanna get the final word with you. You've been the SAS business for over 20 years. You've seen this movie before. There are a lot of people who know the SAS business, and some people are learning it. You guys are helping people get there. It's different, though. Now what's different today? Because it's it's It's not just your grandfather's sass. As the expression goes, it's different. It's new dynamics. What is, uh, the most important thing people should pay attention to Whether they have a SAS legacy kind of mindset or they're new to the game. Take us >>home. Yeah, I >>think certainly, you know, getting disaster is not the end of the journey. You know, we see really successful fast provider. Just continue to differentiate, right? And then one of the things that I think we've seen successful SAT providers do is really take advantage of AWS services to go faster. Right? And that's really key, I think in this model is to really find a way to accelerate your business and deliver value faster. Andi just sort of keep that differentiation innovation there. Um, but I would just say now that there's more information out there available than ever, you know, and not only from from our team, but from a host of people that really are our SAS experts and follow the space. And so lots of resources available. Everyone >>All right, gentlemen, Thanks for coming on. Great insight. Great segment on getting to sass, sass boost Just the landscape. You guys are helping customers get there, and that's really the top priority. It's necessity is the mother of all invention during this pandemic. More than ever, uh, keeping business model going and establishing new ones. So thanks for coming on. >>Thanks for having us, John. >>Okay, It's the cubes. Virtual coverage. We are a SAS business. Now we're virtual bringing you remote. Uh, SAS Cube and, uh, more coverage with reinvent next few weeks. Thanks for watching. Okay, yeah.

>> Announcer: From Miami Beach, Florida, it's theCUBE, covering Acronis Global Cyber Summit 2019. Brought to you by Acronis. >> Hey, welcome back everyone. It's theCUBE's coverage here in Miami Beach, Florida at the Fontainebleau Hotel for Acronis' Global Cyber Summit 2019's inaugural event with cyber protection, the new category that's emerging. It's been really exciting, it's a platform to really protect the data, protect cyber. Data protection's evolving to cyber protection. This is part of the Cloud 2.0 coverage that we've been covering on SiliconANGLE and theCUBE. Over the past year we're seeing more and more modernization of IT and systems. We're here with Ryan Davis, director of enterprise sales for Acronis. He's out on the front lines. This company has a great platform and a great field team out pushing the envelope, educating customers, having great success. I thought it would be great to have you on. Ryan, welcome to theCUBE. >> Ryan: Thank you for having me. >> So one of the things that I've observed and noticed with you guys is that you have a very strong field customer presence, you guys do a great job across the board on a direct touch basis, but also a huge channel operation, so you guys sell a lot through the channel, which is all good stuff, but you still got to talk to the big companies, still got to go to the large enterprises where you're having success. So you're doing that. What are some of the things that you're seeing when you're out pitching clients on Acronis, what are some of the concerns that you're hearing, what are the patterns, what's going on in the general broader market that's teasing out the Acronis value proposition? >> Sure, absolutely. So really where a lot of the focus and a lot of the attention is is on the edge. Five years ago, all the data was generated, produced, and analyzed in the core, in the data centers, whereas now, with the IoT devices, the proliferation of smart devices generating the data, they can't send it all to one central location. So networks are springing up out there in a distributed manner, and they have to be able to secure those smart devices and those edge networks. And that's where Acronis has a really compelling story, especially for enterprise. Because while they have a lot of consistency in the core, there's a lot of diversity on the edge. So it creates challenges for their IT teams to be able to manage it. So we can work with their field teams to provide a platform that can actually secure the devices in place and then protect them as well. >> So what's the pitch? Give us the pitch on that problem that you've just addressed, because that is legit. The edge is springing up, you're seen more and more edge cases and there's the outer edges, wearables, right? But the industrial edge, the company's edge, where you guys have a solution, that's challenging. The surface area for attacks are high, you have data as a challenge, you move compute to the data, you move data across the network, these are all costs, so costs are going up too. So with that problem, what is the pitch? >> Sure, well it really depends on who you're talking to, but there's two levels to it, right? So when you're talking industrial networks, the cost of downtime is huge, you know? You have 1,200 employees, at an automotive plant and you have a key industrial controller goes down, and that plant stops production, the cost is enormous. So at the plant level, they feel that pain, so they recognize the need for disaster recovery and business continuity capabilities. But when you start moving up a level at the executive level, it's what's really compelling and what's sexy for them. And that's really enabling digital transformation. And so I mentioned the concept of diversity a little bit earlier today. It's really hard for IT teams to do things on the edge when they may have 20,000, 40,000 edge devices that are going to run from NT, XP up to the most modern operating systems. It's difficult to implement a solution that's going to touch all of those devices. And backup and disaster recovery is critical for that, because if you're going to touch that many devices, you need the rollback capability. So being able to communicate a path forward to digital transformation on the edge is what is really exciting a lot of our executive customers. >> All right, so pretend I'm a customer for a minute, I'm like, hey Ryan, so hey, love the pitch, but I had XYZ data recovery company just came in earlier, they said they got an amazing platform. Why are you different, why should I not go with them? Why should I go with you? >> Sure, absolutely. Well all the competing vendors, all they know is the data center, right? So Acronis, part of our unique value proposition is not just the technology, it's really people, processes, and technology. So our experience working with industrial companies, pharmaceutical companies, working in compliant GXP, NERC CIP, this allowed us to develop expertise to come in not just with our product and the tech, but with people that know their environments and processes for successful implementation that other vendors can't bring. And our relationship with key automation vendors, we have our partners Honeywell, Emerson that embed our product, these are leading automation vendors that touch thousands of enterprises, and again, those experiences give us an understanding of these environments that other companies don't have. >> All right, so now I can come back and say, okay, well Ryan, you know, I like what you're saying, but I don't want to boil the ocean over. I don't see a path from what you're saying to execution. How can you help me figure this out? What do you offer me, as a client, if I'm the client, how do I get started? Is there a methodology, land, adopt, expand, how do you guys do that? >> Absolutely. Well, again, every customer's going to be different, right? But we don't like to boil the ocean either. What we're talking about is a path to digital transformation. We're not talking about the end result, right? So the first piece, the land, is always backup, right? When you backup the system, that provides a rollback mechanism so that provides an opportunity for you to do a lot more things with the computer. But the first piece is always just an assessment. You have to do an assessment, take stock of what you have, and Acronis is building technologies around discovery to help customers wrap their arms around these environments to make decisions on what they should do. >> So what's in it for me when I hear a platform, I hear about maybe complexity, is the platform really going to be the silver bullet? How do you manage that concern? >> Sure, sure. Well, most enterprises have at least five to seven different data protection solutions out there. So when you start talking about platform, you start talking kind of jargon words like unifying, consolidating their data protection suite. And that's really what Acronis is trying to do but not just in backup, but also offering more services through a single platform, so reducing the overall stack of tools that they're using to manage these environments. And again, going back to the edge, they don't have their big IT team that is versed in managing complex applications, right? You have controls engineers, plant engineers, scientists, that are interacting with these devices just enough to be dangerous. Think of it like a mechanic, so he's been working on cars his whole life, is very familiar with carburetors and brakes but now he gets a Tesla that's got sensors all over the place, and infotainment systems that run diagnostics, that doesn't make him an expert in that computer. So what Acronis is trying to do is provide you an easy-to-use platform that can solve multiple problems so that way a non-IT expert can service their compute infrastructure on the edge. >> So you guys have a good story for the edge. Also one story that's coming up here is ransomware. >> Correct. >> Ransomware is one of those disruptions that wasn't factored into the design of, you know, old-school legacy data protection and recovery systems. Those disruptions were hurricane, floods, some sort of mechanical failure, not a logical vector, in this case, security, which is going up high frequency. More and more every day, ransomware, malware, ZeroDay, others, incidents are on the rise. So more disruption. >> Correct. >> You guys are coming from that angle. >> Well, we're building security first into the platform. And that's a pivot that we made over the last 12 to 24 months. The first piece of that has already been released, which is called Active Protection, which is a module that actually monitors for changes and can prevent unauthorized changes to the file system like encryption. And so we're the only backup application that creates that proactive layer of protection. Everybody else is only going to be able to recover and be reactive. So we're trying to create a layered approach there and improve our customer security posture through an agent that's-- They would need to do the backup anyways. >> All right, so final track I want to chat with you about is take us through the real-life use case of an ideal sales process motion that encapsulates this modern era challenges and opportunities. You don't have to name the customer's name, you can use an anonymized case, but take use through what is a typical motion for you guys where you're successful, and what does it look like? >> Sure, absolutely. So it's pretty consistent, and I would say a pretty simple sales motion. The first piece is you have to do an assessment and a basic inventory in terms of what platforms are you going to have out there, and then, you're going to assess the sites that you have 'cause you need to create a deployment plan. And edge environments, it's not like the data center where you're just going to login to SCCM and push this out to your thousands of devices. They got to go to 40, 60 different plants. So you have to build, typically, a 12-month deployment plan where you're going to hit all of these different sites, build change windows, build maintenance windows. But before you can get to that, we do a POC on-site, where you touch, make sure that you have compatibility with the automation vendors, make sure you have compatibility with these networks, which are, again, very diverse and customized at each plant. Once you have a validated deployment process, you build out a timeline where you go site to site to site to deploy it. >> Take us through a POC. What does that look like, what's a typical POC for you guys? >> Sure, it's very simple based on what the ultimate objectives are. Most of our customers on the edge are primarily interested in business continuity, which would be backup, system recovery, application restore, right? On the edge it's not as much about the data, it's about securing the application that's performing the work, and so we protect the system, allow them to roll it back, once you validate that on the different platforms that they have, they're ready to move forward. >> And workloads are key criteria in all of this, that's a key factor. >> Absolutely, distributed control systems, R and D systems, lab systems, they have a lot of different types of applications you're not going to see in the data center, and we just want to get validated. >> John: So you hit your number? >> Absolutely, every year! (laughs) >> Over quota? >> Every year! >> All right. Ryan, thanks for coming on and sharing stories from the field, really appreciate it. >> Appreciate it, have a great one. >> CUBE Coverage here in Miami Beach, not a bad venue for a conference. This is the first conference that Acronis is putting on around cyber protection, Acronis' Global Cyber Summit 2019. Cyber protection new category emerging from the data protection world, this is the big story here. TheCUBE's covering two days, we'll be back with more after this short break. (electronic music)

>>From Miami beach, Florida. It's the cube covering a Cronus global cyber summit 2019. Brought to you by Acronis. >>So Ron, welcome back to the keeps coverage of kronas cyber global cyber summit 2019. I'm John furrier here in Miami beach. Our next guest is Pat Hurley, vice president, general manager of the Americas in sales and customer relationships. Get Debbie Juan. Hey, thanks for having me. Welcome to Miami beach. Lovely place to have an event. So I hear ya. You got a lot of competition going on between the U S America's in the AMIA teens and it's very competitive group. >> The European team is very confident. I think we'll show them tomorrow what we're made of. We've been recruited very hard for some players that are Latin American. I think we'll show them a finger too. You've got a big soccer story there. We do. Yeah. We've, uh, we've got a few sports partnerships that we have across the globe. Uh, some of the first partnerships we had were actually within formula one. >>And we really try to correlate the story of the importance of, uh, data protection and cyber protection in the sporting industry because a lot of people don't think about the amount of data that's actually being generated in the space. A formula one car generates between, you know, two and three terabyte through three gigabytes of data on every lap, tons of telemetry devices that are kicked, collecting information from the car, from the road service, from the, the general environment. They're taking that data and then sending it back to the headquarter, analyzing it and making very small improvements to the car to make sure that they can qualify faster, run a faster lap, make the right type of angle into a turn, uh, which can really differentiate them from being, you know, first, second, third, 10th in a qualifying session. On the soccer side. We do have some partnerships with uh, arsenal, Manchester city, inter Milan, and we just signed a partnership as well with Liverpool. >>So we are very popping in that space here in the U S we have some other sports that we're big fans of. I'm personally a big Boston red Sox fan, being a Boston native and we do have a sports partnership with the red Sox, which has been an unbelievable partnership with them. And learning more about the use cases that they solve and using our technology has been really cool. >> You know, Patty, you bring up the sports thing and we were kidding before we on camera around the trading, you know how people do sports deals and they trade, you know, merchandise for consumer benefit or customer benefits. But really what is happening is sports teams encapsulate really the digital transformation in a nutshell because most sports franchises are, have been traditionally behind. But now with the consumerization of it and digital can go back to 2007 since the mobile phone. >>Really, I mean it's iPhone. Yeah. Since that time, sports and capsulates every aspect of it, consumer business fan experience. And it really has every, every, almost every element of what we see now as a global IOT problem opportunity. So it really encapsulates the use case of an integrated and and needed solution. Oh yeah, absolutely. I mean, if you think about the amount of data that's, that's out there today and the fast way that it's growing, you know, the explosion of, uh, of data in the, in the world today, sports have different unique challenges. So obviously they have large fan bases that need to be able to access the data and understand what's going on with their favorite sports teams. Um, for us it's really, you know, these technology partnerships that we have with these guys, it runs through all these different areas of, you know, in many cases we didn't really understand that they were using it for. >>So, you know, the red Sox for example, they've got Fenway park and iconic stadium, you know, the Mecca of baseball. If you haven't been there yet, I suggest all your viewers that they go and check it out, give me a call, we'll try and get you set up there. But, um, you know, the, the, the experience that the fans have there is all around their data experienced there. Right? And it's not just baseball games. It could be hockey games that Fenway park, it could be a concert that they're having. A phone buys a lot of different events. These stadiums are open year round and the ability to move, share access, protect the data in that stadium is really important to how they're functioning as an organization. We talked to their I-Team quite regularly about how they're using our solutions. They're talking about uh, different aspects of artificial intelligence, different ways they can use our products and machine learning. >>Obviously with the new solutions that we have in the market today around cybersecurity or helping them to address other challenges that they face. Um, as an organization, these are realtime challenges in their physical locations, national security issues, terrorist attacks could happen. There are venues, there are public gathering places too. Absolutely. We announced our partnership with them back in may and I was shocked to hear them on the main stage announcing that they had this great partnership with the Kronos was talking about their unique cyber security needs. They started talking about drone technology and I'm thinking, all right, a drone flies in the stadium. Maybe at breaks and it falls on a player and we're paying $20 million for one of these pitchers to be out there on the Hill or an interest, a fan or maybe they're collecting some video data to then share it out. >>And that's red Sox IP. No, they're talking about cybersecurity threats in the sense that a drone, a remotely controlled device could come in and lightened incendiary device in the, in the stadium and that to them as a real security server. And that's frontline for the it guys. That's what keeps them up at night. Yeah. And that's really an attack take time. Oh yeah, absolutely. What are the use cases that are coming out of some of your customers, cause you guys have a unique integrated solution with a platform as an end to end component too. You have a holistic view on data, which is interesting and unique. People are kind of figuring this out, but you guys are ahead of the game. What are some of the use cases that you've seen in the field with customers that highlight the benefits of taking a holistic view of the data? >>Yeah, absolutely. So we look at it as kind of backups dead, right? We have, we've combined the old world of backup and disaster recovery with the new world of cybersecurity and we combine that to a term we're calling cyber protection because it really requires an end to end solution and a lot of different things need to be working properly to prevent these attacks from happening. Uh, you need to be very proactive in how you're going about that. We address it with what we call 'em, the Kronos cyber platform. And what this is, is a unique, multi-tiered multi-tenant offering that's designed specifically for service providers. We have just under 6,000 servers, providers actively selling our cyber protection solutions today and they use this for are for a multiple different aspects. And usually the beachhead has something like backup. Every company needs backup. It's more of a commodity type solutions, a lot of different players in the game out there, but they take it a step further, use that same backup technology to then do disaster recovery. >>They can do files, they can share, they can do monitoring. We have notary solutions based on blockchain technologies. Now, this whole suite of cybersecurity solutions, all of this is with a single pane of glass, one platform that of a service provider can go in and work with their customers and make sure that their data is protected, make sure that their physical machines are virtual machines, they're PCs, their Macs are all protected, that data's protected, it's secure, but it's also accessible, which is an important part of you can take your data wrapping a nice bow buried a hundred feet underground, but then you can't use it, right? So you want to be able to make sure that you can actually, uh, leverage the technology there. Um, we've seen explosive growth, especially in, in my market. I think the numbers are pretty crazy. It's something like 90% of the market today in the U S has served in some capacity by a service provider. >>And this could be a small to medium size business that's served by local service fire to those really big guys that are out there. Let's on with how large your target audience, you mentioned search probably multiple times when you're out selling your target persona, your target audience, and you're trying to reach into, so we touch, everybody know, you equate it to kind of what we do with the red Sox, right? You walk into that city and the 38,000 people that, well, some of those people are just, you know, regular Joe's, right? They, they go to work every day. They have a computer at home, they have a mobile device. They probably have multiple mobile devices. We protect that for them. We call them a consumer. Slash. Prosumers. We work at a lot of very large retail organizations. If you walk into some of those shops today, you'll be able to see our software on a shelf there. >>You work with one of those tech squads where they're starting to attach services to it and you get more of a complete offering there. We then scale up a little bit further to some OEM providers. You work with companies like Honeywell and Emerson that are manufacturing devices that embed our software on there. They white label it and deliver it out. These are connected devices. You think about the, you know the, the explosion of IOT devices in the market today. We're protecting that stuff as well. We work with very large enterprises, so some of the, the major players that you see in the manufacturing space are standing up standardizing on Acronis process control process automation vendors are using our Chronis and we can deliver the solution because of the way it's so flexible in a very consumable way for them. Those enterprises can actually act as a service provider for their employees so we can actually take our technology, deploy the layer in their infrastructure where they have complete control. >>They might not want to be in an Uber cloud, they might not want to work with Chrome OS data center. They want to have and hold that data. They want to make sure it's on site. We enable that type of functionality and then the fastest growing area for us is what I hit on earlier within the service provider community. We're recruiting hundreds of service providers every quarter. We've got some great partners here. Give you an example of a service provider. You mentioned the red size, I'm assuming is that a vendor that might be working within that organization, but still it sounds like that's a supplier to the red Sox. How, how broad is that definition? It gives us many points. Yeah, it's a really good point. So we work with hosting providers. Look, can be regional hosting providers to multinational hosting providers. Some of the very big names that you've, you're probably familiar with. >>We work with, uh, we work with, uh, telco providers who work with ISV providers or sorry, ISP providers, um, kind of regional telco providers that provide a myriad of different services all the way down to your kind of local mom and pop type service providers where you've got a small business, maybe they've got 30 to 50 employees, they're servicing probably 200 to 300 customers and they want to provide a very secure, safe, easy to use complete solution to their customers. Uh, those could be focused on certain verticals so they could be focused on healthcare, financial services, construction, et cetera. Um, we have some that are very niche within like dental services or chiropractice offices, small regional doctor's offices. Uh, and the, the beauty of that, and I was getting the partners earlier, is we have partnerships with companies like ConnectWise where those are tools that service providers are using on a very daily basis. >>So essentially the platform gives you that range and that's the typical typical platform. So you have that broad horizontally scalable capability and the domain expertise either be what solution from you guys or can ISV or someone within your ecosystem is that they get that. Right? Absolutely. And that's what really differentiates us is our ability to integrate into that plat, into our platform, into their platform and make those connections. So you don't need to learn 12, 14, 15 different technologies. You've got a small suite of offerings in a single pane of glass, very easy to use, very intuitive. Um, the integrations that we have with these partners like ConnectWise, like Ingram micro, really differentiate us because what they do is they provide open API capabilities. They provide software development kits where these partners can go ahead and build it the way they want to sell it. >>You know, it's interesting when the cloud came out and as on premise has changed to a much more agile dev ops kind of mindset that forced it to think like a service provider. I think like an operating system, it's an operating environment basically. So that service provides an interesting angle and I want to get your thoughts on this because I think this is where you guys have such a unique opportunity to just integrate solution because you could get into anything and you got ISV to back that up. So I guess the question I would have is for that enterprise that's out there that's looking to refactor and replatform their entire operation, or it could be a large enterprise, it has a huge IOT opportunity or challenge or a service provider is looking at having a solution. What's the pitch that you would give me if I'm the one of those customers? >>Say, Hey Pat, what's the pitch? So you need a, you need a trusted provider that's been in the business for a number of years that understands the data protection and security markets that Kronos has that brand. We've been doing this for about 16 years. We were founded in Singapore, we're headquartered out of Switzerland and we've got a lot of really smart guys in the back room. Was building good technologies that our partners were able to use. Um, we look at it a lot of different ways. I mentioned our go to market across a lot of different verticals and a lot of different um, kind of routes for those. The way we deliver our solution. It provides the flexibility for an enterprise to a classic reseller to um, you know, a VAR or a service, right? It's delivering services. It can be delivered to those guys how they want to consume it. >>So as an example, we may work with a smaller service provider that doesn't have any colo capabilities. We provide data centers so they could have a very quick turnkey solution, allows them to get up and running with their business, selling backup within minutes to their customers. We can also work with very large enterprises where we can deliver the complete platform to them and then they have complete control over it. We sprinkle in some professional services to make sure that we're giving them the support that they need and then they're running the service for themselves. What we've really seen in terms of a trend is that a lot of these VARs, we have about 4,500 of them in North America and they're starting to look at their businesses differently. Say, I gotta adapt or die here. I gotta figure out what my next business model is. >>How am I going to be the next one that's in the news flash that says, Hey, they've been acquired, or Hey Thoma Bravo made a big investment in me. Right? They need to convert to this services business or Kronos enables that transformation to happen. I mean, I can see you guys really making money for channel partners because they want solutions. They want to touch the customer, they want to maybe add something they could bring into it or have high service gross profits around services. Absolutely. So, yeah, our solution is unique in the sense that allows partners to sell multiple offerings to, you're getting an additional layer of stickiness providing multiple solutions to a customer. You're using the same technology, so your it team is very familiar with what they're using on a daily basis. Um, you're reducing the amount of churn for your customers because you're selling so much additional there that they're really stuck with you. >>That's a good thing. Uh, and beyond that, your increasing ARPU, average revenue per user is a key metric that all of our partners are looking at. And these guys are owner operators, right? They're business owners. They're looking at the bottom line. I mean, it's interesting the operating leverage around the consistent platform just lowers, it gives them software economic model. They can get more profit over time as they make that investment look at at the end of the day, channel partners care about a couple things, money, profit and customer happiness. Absolutely. And it helps to have them want to have a lot of one offs and a lot of, you know, training, you know, anything complicated, anything confusing, anything that requires a lot of resources, they're not going to like a, it's also great to have events like this where you're able to, to press the flesh with these guys and, and being face to face and understand their real world challenges that they're dealing with on a daily basis. >>How has the sport's a solution set that you've been involved in? How has that changed the culture of Acronis? Is that, has that, has that changed as, you know, sports is fun. People love sports, they have real problems. It's a really great use case as well. How's that change the culture? It's been amazing. I, so one from a branding perspective, we are a lot more recognized, right? Um, the most important thing about these partnerships for us is that they're actually using the technology. So, you know, we've got the red Sox here with us today. We've got arsenal represented, we've got Williams, we've got Roush racing, we've got a NASCAR car back here. Um, they use our technology on a daily basis and for each one of them we solve different types of use cases. Whether it's sending them large amount of video data from an essence studio over to Fenway park, or if it's a scout out in the field that needs to send information back and their laptop crashes, how do they recover? >>A lot of these different use cases, you can call them right back to a small business owner. You don't have to be a multibillion dollar sports organization with the same challenge. Well, I'm smiling because we've been called the ESPN of tech to they bring our set. We do let the game day thing. We certainly could love to come join you in all these marquee events that you have. We'd love to have it. Yeah, so if you follow us on social, we're out there and that, that's a big part of it. You mentioned one of ours looking for what our partners looking for. They want a personal relationship too. A lot of that goes away with technology nowadays and being able to really generate that type of a, of a personal relationship. These partnerships enable that to happen and they're very anything, I don't know anything about cars. >>We started partnering with formula one. All of a sudden I know everything about 41 I go to these races. I tell everybody I don't know anything about cars and I ended up being the, the subject matter export for him over over the weekend. So we'd love to have you guys join us. We'd love all of our partners. They get more engaged in the sports aspect of it because for us, it really is something that, um, again, they're using us in real life scenarios. We're not paying to put a sticker on a car that's going 300 miles. It's not traveling as a real partnership. Exactly. Pat, congratulations on your success and good luck on people owning away the numbers. Congratulations. Thank you very much. Just the cube coverage here at the Chronis global cyber summit 2019 I'm John furry. More coverage after this short break.

>> From Boston, Massachusets it's theCube. Covering LiveWorx 18. Brought to you by PTC. >> Welcome back to bean town, everybody. This is theCube, the leader in live tech coverage, and we're covering LiveWorx, the three day conference hosted by PTC. We're at the BCEC, which is kind of the Starship Enterprise. I'm Dave Vellante, with my co-host Stu Miniman. As I say, Cube one day coverage of this three day conference. Maciek Kranz is here. He's the Vice President of Strategic Innovations at Cisco. Maciek, thanks for coming on theCube. >> Thank you so much for having me. It really looks like a cube. >> Usually we're out in the open, but they've put us here in a cube, which is great. Of course we were at Cisco Live last week. You were there, it was an awesome show. 27, 28 thousand people. A lot of the innovations that we're talking about here, you guys, you know, at Cisco, are obviously touching upon. Whether it was blockchain or the edge. May I ask you, innovation's in your title. What are you doing here at this conference? >> Basically we're on the mission to make sure that every company, large and small, whatever the industry you're in, gets started on the IOT journey. All of us here, we were talking about it last week at Cisco Live, we are sort of on the mission to make sure that everybody knows how to do it, how to get started, how to go through the journey. So I'm here to promote the cause. >> You had posted a blog a little bit ago on LinkedIn. Check it out, if you go to Maciek's LinkedIn profile you'll see it. Five myths around IOT, and I thought it was quite instructive. I'm going to start with the middle of it, which is IOT is this one big market, and we've been talking about how it's a trillion dollar market. It's almost impossible to size. It's so fragmented, and bringing together the operations technology and information technology world, and there's the edge, there's the core, there's hardware, there's software, there's services. How should we think about the IOT, obviously not as one big market as you pointed out in your blog. >> Right, and you actually nailed it. When you think about sort of a traditional way that technology companies think about the market, it was sort of model of just get a billion people to get on your platform and the good things will happen. Well in the IOT space, as you pointed out, it's a very fragmented market. So you basically need to have two strategies. You either become a horizontal specialist and then you integrate with a vertical specialist to develop a joint solution, or you focus on use case and you focus on one market, and you go deep and focus with customers. So from that perspective the approach is different, but in a nutshell to be successful in this space, it's not only about technology, it's about ecosystem. It's about building the coaliltion of the willing, because at the end of the day, the customers want solutions to their problems. And they don't want to just buy your technology, they want to work with you on developing solutions that drive business outcomes. >> Maciek, one of the things that's been interesting to watch is that people want to try, and they want to try faster. One of the big benefits of public cloud was that I have this sandbox that I could throw some people at, have a little bit of money, and try things and fail and try again. One of the concerns I have when I hear things like PTC and Microsoft get up on stage and say, "It's going to take 20 to 25 partners to put this together." When I hear that it's fragmented, it's going to take time, it's going to take money, help us. Are there are ways I can start playing with things to understand what will and what won't work for my environment, or is this something that I have to throw a million dollars and group of people for a year and a half on? >> It's actually a great point, and it's another, I would say, misconception, which is I need to go deep, have a sort of a big strategy. One of the things that I talk about with the customers is, yes, dream big but start small. So yes, have a sort of a big vision, big architecture, but then focus on a first project, because it's a multi-year, multi-phased journey. So from that perspective, you know, at Cisco we have roughly 14,000 customers that already got started on this IOT journey, and the use cases that we've seen sort of are in four different categories. First one is connect things, so connecting your operations, the second one is remote operations, the third one is predictive analytics, the fourth one is preventive maintenance. So don't be a hero, pick one of these four use cases, try it out, then do a ROI on this, and if your ROI is positive then do a next, maybe more sophisticated, more adventurous kind of a project down the road. So pace yourself. >> This is our 9th year doing theCube, and the one thing we've learned about information technology, operations technology, is it all comes back to data. And you pointed out again, you pointed it out in your piece, it's not just about connecting, it's about the data. So let's talk about the data, the data model. You've got edge, you've got core. You've got this really increasingly complex and elongating data pipeline. You've got physics, you've got latency. So what's your perspective on the data, how that's evolving, and how organizations need to take advantage of the data? >> Dave, I think you nailed it. It may come across funny because I work for Cisco and we connect things, but if you think about the first wave of internet, the main purpose of the devices and the way we were connecting them, was basically for you and I to get access to each other, to get access to the online data, to the online processes. The main purpose we connecting IOT devices, so that they can generate the data, and then we can analyze that data, turn these systems into solutions to drive business outcomes. So from that perspective we're actually seeing a big shift in the sort of data model, and it requires flexibility. Traditionally, we talked about cloud, right? In a cloud we usually see the use cases that require a processing of a lot of data, sort of in the batch possessing mode, or for example if you want to connect a bunch of vending machines, you can connect them directly to the cloud, because these machines actually send only very few packets and they send them very infrequently. Basically saying, "Hey, come on over "and replenish a bunch of supplies." But if you look at connected vehicle, if you look at an oil rig, in the case of oil rig, there's let's say a large one that has 100,000 sensors. These sensors generate a couple terabytes of data per day. You can't just send this data directly to the cloud through the satellite connection, right? You have to process the data on the oil rig based on the policy coming from the cloud. So from that perspective we've seen that there's a need for a more flexible architecture. We call it Fog Computing, which basically allows you to have flexibility of extending the cloud to the edge so you can process the data at the edge. You can execute on the AI functions at the edge as well. So that's one of the big architectural shifts that we've seen with IOT as well. >> Maciek, one of the opportunities of new architectures has been to do a redo for security. When it comes to IOT, though, there's a lot of concern around that, because just the surface area that we're going to have, the devices. Talk to us about how security fits into IOT. >> Yeah, it's hard to talk about IOT without mentioning security, right? And we obviously seen over the last two years a lot of press around IOT denial of service attacks and so forth, and for me I think the silver lining out of all of this news is that, first of all, that we have seen the vendor community finally taking IOT security seriously. So all the security vendors are actually investing in IOT security now appropriately. We now working together as an industry on standards, on interoperability, on sort of come on architectures, even with the device vendors who traditionally didn't pay much attention to security as well. Sort of like what we did with wifi, you remember, about 15 years ago but at a much greater scale. So the vendor community's focusing on it, but more importantly also the businesses are moving from what I would consider sort of a... I would say that kind of a denial. Hoping that their plant is not connected to the outside world and that it's secure. Moving down now to the much more modern model, which is basically a comprehensive architecture working with are-see-sos, across the enterprise, focusing on before, during, and after. So IOT now is being integrated into a broader security architecture, and IT and OT are working together. So yes, there is a concern, yes. There are a lot of events hitting the news, but I also think as an industry we're making progress. >> Just to follow up on that, Cisco obviously has an advantage in security, because you go end-to-end, you guys make everything, and you can do deep-packet inspection, and that seems to be a real advantage here. But then there's this thing called blockchain, and everybody talks about how blockchain can be applied. Where do you see blockchain fitting into the security equation? >> Yeah, I think that's a good question. Maybe a bit more broader story, I actually believe there's four legs to this digital transformations tool. There's IOT generating the data and acting on the decisions, there's AI, there is the fog computing we talked about, and the fourth tool is blockchain, which basically allows us to make sure that the data we're using we can actually trust. At the high level blockchain, people often confuse blockchain and Bitcoin and cryptocurrencies, but blockchain is an underlying technology behind sort of the crypto, that allows basically multiple parties to write their transactions in a fast and permanent way. But in the enterprise context, in IOT context, blockchain allows us to actually come up with very new use cases by looking at the provenance, and looking at the data across multiple parties. The data we can trust. For example, the use cases such as counterfeiting, there are use cases like food safety. Like patient records. Like provenance of materials. So now we can enable these use cases, because we have a single source of truth. >> I want to ask you about disruption. I like the mental model and picture that you created before of a horizontal technologies, and you kind of get vertical industries, and it seems like, again I'm bringing it back to data. We heard Super Mario at the host of the conference say this was the largest digital transformation conference. Which we laughed, like every conference is a digital transformation conference. But to us, digital transformation, digital means data. And that picture you drew of horizontal technology and vertical industries, it's all data, and data enables disruption. It used to be a vertical stack of talent and manufacturing and supply chain within an industry, and now data seems to be blowing that to pieces in digital. You see Amazon getting into, you know, buying Whole Foods in grocery. You see Apple in financial services. Others, Silicon Valley type companies, disrupting healthcare, which we all know needs disruption. What do you make of disruption? It seems like no industry is safe. It seems like Silicon Valley has this dual disruption agenda. Horizontal technology and then partnering within industries, and everything is getting turned up on its side. What do you make of it all? >> Dave, I think you nailed it. It is about and verus or, right? When you think about companies, you mentioned Microsoft, Cisco, Amazon, verus PTC or Rockwell, or Emerson and others. 10 years ago we sort of lived on a different planet, right, and rarely these companies even talked to each other. And now, even at this show, these companies are actually showing joint solutions. So that's precisely, I think, what we've seen, which is technology competence coming from the Valley and from traditional technology industry, and then the vertical and market expertise coming from these more traditional vendors. At the end of the day, it is about technology, but it is also about talent. It is about skillsets. It's about all of us pulling our resources together to develop solutions to drive business outcomes. So cloud, obviously, was a very disruptive force in our industry. But when you think about IOT, just based on what you just said, it seems to me given the assets, the resources, the people, the plants, the equipment, it seems like IOT is maybe somewhat evolutionary. Not a completely... It's a disruptive force in that's new and that it's different, but it seems like the incumbents, I mean look at PTC, their resurgence. It seems like the incumbents have an advantage here. What are your thoughts? >> I think that if they play it right they absolutely do. But it requires also a shift in mindset, and I think we seeing it already, which is moving from a vertical, one company does it all kind of mentality, into the lets build an ecosystem based on open systems, open standards, interoperability. And that's sort of a shift I think we are seeing. So for me, I think that the incumbents, if they embrace this kind of a model, they absolutely have a critical role to play. On the flip side, the technology companies realizing that they need to, it's not only about technology, but it's also about partnering. It's about integrating within legacy ecosystems and the legacy infrastructure. So each of the sides of the coin need to learn new tricks. >> Okay, last question, is your initial thoughts, anyway, on this event, some initial take aways. I know it's early, day one, but you've been here. You've heard the keynotes. Final thoughts? >> I think so far it's actually a great start to the event. I have to say, what we've talked about already, my biggest take away is to see, and actually joy, is to see companies from different walks of life working together. You have robotics companies, you have AI companies, you have industrial companies. All of them are coming up with solutions together, and that's basically what we want to see. Is breaking the barriers and multiple companies working together to move the industry forward. >> And you're also seeing the big SIs are here. I can see Accenture, I can see Deloid. I know InfoSys is here, et cetera, et cetera. So if they're here, you know there's a lot of money to be made. So Maciek, thanks very much. It's really a pleasure having you. Alright, keep it right there, everybody. This is theCube, from LiveWorx in Boston. We'll be right back after this short break.