>>it is time to take a look at what piers up to from a slightly different perspective to help us do that as scott Sinclair, who is a senior analyst at the enterprise strategy group and scott, thanks for joining us here on the cube. Good to see you today. >>Great to see you >>All right. So let's let's jump into this first. We'll get to the announcement just a little bit first off. In terms of pure strategy as you've been watching this company evolve over over years now. How has it evolved? And and and then we'll move to the announcements and how that fits into the strategy. First off, let's just take them from your point of view. Where have they been and how are they doing? >>Yeah. You know, you know many people know a pure, maybe they don't know of their history is an all flash array. I think Pure has always been ever since they entered the I. T. Industry as as a pioneer. They're one of the early ones that said look we're going all in on the all flash array business and a focus on flash technology. Then there were early pioneers and things like evergreen and things like storage as a service capabilities for on premises storage and the entire time they've had a really you know almost streamlined focus on ease of use, which you know from the outside. I think everyone talks about ease of use and making things simple for I. T. But Pure has really made that almost like core as part of not only their product and they're designed but also part of their culture and one of the things and we'll get into this a little bit as we talk about the announcements but you know if you look at these announcements of where Pure is going there trying to expand that culture that DNA around ease of use or simplicity and expanding it beyond just storage or I. T. Operations and really trying to see okay how do we make the entire digital initiative process or the larger I. T. Operations journey simpler. And I think that's part of where pure is going is not just storage but focusing more on operations and data and making it easier for the entire experience. >>So so how do the announcements we're talking about uh whether three phases here and again we'll unpack those separately but just in general how did the announcements and you think fit into that strategy and fit into their view and your view really of of the market trends. >>You know I think one of the big trends is you know I. T. In terms for most businesses is it's not just an enabler anymore. It is actually in the driver's seat. Uh You know we see in our research at TsG we just did this study and I'm going to glance over my notes as I'm kind of talking but we see one of the things is more than half of businesses are identifying some portion of the revenue is coming from digital products for digital services. So data is part of the revenue chain for a majority of organizations according to what we're seeing in our research and so what that does is it puts I. T. Right in that core you know that core delivery model of where the faster I can operate the faster organizations can realize these revenue opportunities. So what what is that doing to tighty organizations? Well first off it makes your life a lot harder. It makes demands continue to increase. But also this old this old adage or this old narrative that I thi is about availability it's about resiliency, it's about keeping the lights on and ensuring that the business doesn't go down. Well none of that goes away but now I. T. Organizations are being measured on their ability to accelerate operations and in this world where everything is becoming more and more complex they're more demands, organizations are becoming more distributed. Application demands are becoming more diverse and they're growing and breath all of this means that more pressure is falling not only on the I. T. Operations but also on the instructor providers like pure storage to step up and make things even simpler with things like automation and supplication which again we're going to talk about but to help accelerate those operations. >>Yeah I mean if your devops these days I mean and you're talking about kind of these quandaries that people are in. Um but I mean what are what are these specific challenges do you think? I mean on the enterprise level here that that that pure is addressing? >>Yeah well so for example you talked about developers and you know dr going into you know that in particular I want to say let's say you know glancing my notes here, about two thirds of organizations say they're they're under pressure to accelerate their I. T. Initiatives due to pressures from specifically from devops teams as well as line of business teams. So what does that mean? It means that as organizations build up and try to accelerate either their revenue creation via the creation of software or products or things that that drive that support a devops team maybe it's improving customer experience for example as well as other line of business teams such as analytics and and trying to provide better insights and better decision making off of data. What that means is this traditional process of I. T. Operations of where you submit a trouble ticket and then it takes you know after a few days something happens. And they started doing analysis in terms of basically what ends up being multiple days or multiple weeks to end up to basically provision storage just takes too long. And so in these announcements what we're seeing is pure delivering solutions that are all about automating the back end services and delivering storage in a way that is designed to be easily and quickly consumed by the new consumers of I. T. The developers the line of business teams via a. P. S. Where you can write to a standard api and it goes across basically lots of different technologies and happens very quickly where a lot of the back end processes are automated and essentially making the storage invisible uh to these to these new consumers and all of that just delivers value because what what these groups are doing is now they can access that get the resources that they need and they don't have to know about what's happening behind the scenes which candidly they don't really know much about right now and they don't really care >>right. You know what I what I don't see what I don't know won't hurt me. Exactly and as we know it can. Um All right so let's let's look at the announcements Pure fusion. Um I think we're hearing about that just a little bit before earlier in the interview that day was conducting. But let's talk about pure fusion and your thoughts on that. >>Yeah confusion is what I was talking about a little bit where they're they're abstracting a lot of the storage capabilities and presenting it as an A P. I a consistent api that allows developers to provision things very quickly and where a lot of the back end services are automated and you know essentially invisible to developer and that is I mean it's it addresses where you know I kind of talked about this with some of the data that we just you know, some of our research stats that we just discussed but it's where a lot of organizations are going. The bottom line is you know we used to you know in a world where it services weren't growing as fast and where everything had to be resilient available, you could put a lot of personnel power or personal hours focused on okay, making sure every box and everything was checked prior to doing a new implementation and all that was designed to reduce risk and possibly optimize the environment, reduced costs. Now in this world of acceleration, what we've seen is organizations um need faster responsiveness from their I. T. Organizations. Well that's all well and good. But the problem is it's difficult to do all those back end processes and make sure that data is fully being protected or making sure that everything is happening behind the scenes the way it should be. And so this is again just mounting more and more pressure so with things like pure fusion, what they're doing is they're essentially automating a lot of that on the back end and really simplifying it and making so storage or I. T. Administrators can provide access to um to their line of business to development teams to leverage infrastructure a lot faster while still ensuring that that all those back end services, all those operations still happen. >>Port works, data services also announced and hearing from Dave from that perspective, maybe a game changer in terms of storage. So your take on that import works. >>I really liked what works. I've been following them ever since prior to the acquisition. Um, you know, one of the things that they were very early on is understanding the impact of microservices on the industry and really the importance of designing infrastructure around for that for that environment. I think what they're doing around data services is really intriguing. I think it's really intriguing first off for Pure as a company because it elevates their visibility to a new audience in the new persona that may not have been familiar with them. Right? As organizations are looking at one of the things that they're doing with this um, with this data services is essentially delivering a database as a service platform where you can go provision, you know, and stand up databases very quickly and again, similar to, we talked about fusion a lot of those back end processes are automated um really fascinating, again aligns directly with this acceleration need that we talked about, so, you know, huge value but it's really fascinating for Pure because it opens them up to, you know, hey, there's this whole new world of possible consumers that where there's, you know, that where they can get experience to really the ease of use of Pure is known for a lot of the capability. Support works is known for, but also just, you know, increase, you know, really the value that pure is able to deliver to some of these modern enterprises >>and just did briefly on the enhancements to Pure one also being announced today. Your take on those >>um you know, I like that as well. I think one of the things if I kind of go through the through the list is a lot of insights and intelligence in terms of uh new app, you know, sizing applications for the environment if I remember correctly um and more, you know, better capabilities to help ensure that your environment is optimized, which candidly is a is a top challenge around the organizations we talked about again, I keep hitting on this need to move faster faster, faster. One of the big disconnect what we've seen and we saw it very early when organizations were moving to for example public cloud services is this disconnect towards for this individual app. How many resources do I really need? And I think that's something that you know, vendors like Pure need to start integrating more and more intelligence and that's what my understanding is they're doing with Pure One, which is really impressive. >>Well, solid takes scott, we appreciate the time, thank you for your insights and what has been a big day for pure storage but thank you again for the time scott some clarity and her enterprise strategy group senior analyst there, let's go back to day Volonte now with more on the cube. >>Thanks for watching this cube program made possible by pure storage? I want to say in summary. You know, sometimes it's hard to squint through all the vendor noise on cloud and as a service and all the buzz words and acronyms in the market place. But as we said at the top, the cloud is changing. It's evolving, it's expanding to new locations. The operating model is increasingly defining the cloud. There's so much opportunity to build value on top of the massive infrastructure build out from the hyper scale is $200 billion dollars in Capex last year alone. This is not just true for technology vendors but organizations are building their own layer to take advantage of the cloud? Now of course technology is critical. So when you're evaluating technology solutions, look for the following first the ability of the solution to simplify your life. Can it abstract the underlying complexity of a cloud multiple clouds connect to on prem workloads in an experience that is substantially identical irrespective of location. Does the solution leverage cloud native technologies and innovations and primitives and a P. I. S. Or is it just a hosted stack? That's really not on the latest technology curve whether that's processor technology or virtualization or machine learning streaming? Open source tech et cetera. 3rd, How Programmable is the infrastructure? Does it make developers more productive? Does it accelerate time to value? Does it minimize rework and increase the quality of your output for? What's the business impact? Will customers stand up and talk about the solution and how it contributed to their digital transformation? By flexibly supporting emerging emerging data intensive workloads and evolving as their business rapidly changed. These are some of the important markers that we would suggest you monitor pure is obviously driving hard to optimize these and other areas. So watch closely and make your own assessment as to how what they and others are building will fit into your business Now as always, this content is available on demand at the cube dot net. So definitely check that out. This is day Volonte for jOHN walls and the entire cube team. Thanks for watching everybody. We'll see you next time.

>> Announcer: Live, from Las Vegas, it's the Cube covering Veritas Vision 2017 brought to you by Veritas. >> Welcome back to Las Vegas, everybody. This is the Cube, the leader in live tech coverage, and this is our second day of Veritas Vision in 2017. I'm Dave Vellante with Stu Miniman. Jason Buffington is here, good friend of the Cube, Senior Analyst with the Enterprise Strategy Group, otherwise known as ESG. Jason, good to see you again. >> Thanks for having me back. >> We've been bumping into each other a lot lately, a lot of storage stuff going on and you you gave a panel discussion today. You had, you know, three of the four big Cloud guys up there, no Amazon, Stu. They weren't up on the panel, but that was good, you had an interview with those guys. >> Jason: Yeah. >> So, congratulations on that and welcome again. >> Yeah, everyone wants to talk about data protection, right? So, there's... >> Dave: Hottest topic, isn't it? >> It is, every time you go to a show, the last show that I was at, it seemed like over half the booths were talking about data protection. So, to come here, you know, Veritas kind of owns that as a name. And so it's been fun to just be part of the participants. >> Yeah, Jason, you know, you cover this base, and you know Veritas well. There are people I talked to getting ready for this, and they said, "We remember Veritas back in its hay day." You know, back pre-acquisition. During the virtualization era, it kind of got quiet. I mean, they got acquired by Semantic, things went down, but now they're an independent company, and one of the shows that, you know, we've been at VMWorld, absolutely. Data protection is super hot, you know, product of the year was one of those companies, whole lot of startups there, a lot of investment. What's your take on kind of the new Veritas, you know, where they fit in that ecosystem with all those startups and everybody else? >> No, that's a good read, so let's talk about the market first, and then I'll put Veritas in it, right? So, I think you're spot on that when the virtualization wave came through, most of the really big established data protection vendors were not first market, right? And in fact, every time that we see this, I've been doing this for 28 years, I've been backing stuff up, right? And for most of it, every time the platform shifts, the traditional dominant data protection vendors are not the first ones to jump on that new gear, right? Windows versus NetWare, now we're into virtualization. So, we saw Veeam, and PHD and vRanger, and a few others that barely get an honorable mention in that line, right? We're in a really interesting time, though, this time around because every time, in the past, when you moved off of the old platform, the presumption was, you turned it off, right? This time around, we're on the, here's a fancy word, we're on the precipice of a new shift again because we're looking at Cloud as the new platform to move to. But here's the fun part. We're not leaving the old stuff behind, right? We're not turning off all the virtual servers and the physical servers are on their way out the door as we go to Cloud. We're embracing Multicloud as the new destination, not this mid-step along the way. And I think that's really interesting because, just like in every time past, it means we're going to get a reset of the leader board when it comes to data protection. And, just like in times past, the secret sauce that made you dominant on the last platform, doesn't necessarily give you an edge technology-wise on the next platform. All it really does is give you momentum, right? So, yeah, there's a few other folks that we could list that they've got some momentum going for one reason or another along the way, but for the marketplace, if physical and virtual and Cloud are all going to be together, Veritas has been doing some of those for 20 some odd years. They've made some announcements around the rest of the suites. I think they're in a good place here. The thing I'm excited about from Veritas, and I do, I'm a fan, you want to root for them, right? I mean, 25 years on the bench, you want to see them keep going. I think the opportunity is that, since the divestiture from Semantic, they have a lot more focus, right? You know, it's really hard to tell a story that's everything from Malware and cyber security, all the way through to a breadth of data protection. But if you look at how they're talking about things now, and I really like the 360 narrative that kind of pulls it all together. Every part of their portfolio kind of pulls the other parts together, right? It doesn't matter, in data management, whether you want to start with backup, or you want to start with storage, or you want to start with availability, anywhere you look on that circle, it's going to pull the rest of the line in, and these are all the things that folks are asking for from a customer base. So, I like the tech that they've got. I like where the market is headed, and I think they've got a real shot to be one of those top three dominant names that we talk about moving forward. >> Yeah, so, I mean it's a 30 plus year history. >> Jason: Yeah. >> And pretty amazing, I mean this is an amazing story, this company. I mean, they came out, kind of a small company, and then there was that relationship which they bought Seagate. You know, Seagate's backup business. Seagate actually had a piece of the company for a while. >> Jason: Yeah. >> You know, Al Shugart, when he sold that stock, basically saved Seagate cause of the cash infusion. So, it was a long history, and then they kind of went dormant... >> Jason: Yeah. >> For a while under the Symantec Governance. And now, so the big question is, can Veritas get its mojo back in the space and become that super hot company again? >> So, by the way, sidebar, you talked about Seagate. I actually have a copy of Seagate Backup Exec sitting on a shelf in my office. (Dave laughing) And one of these days, I will open up the data protection museum, cause I think I've got most of the pieces and parts laying around. So, can Veritas get is mojo back? The thing that Veritas has to consistently remind people, one, we are not your daddy's or your granddaddy's backup company anymore, right? So, they're working on things like, they announced this week a new UI coming for NetBackup 8.1, and I thought they were going to crowd mob out of affirmation for that. People were so excited for, you know, finally we're going to get a contemporary UI that doesn't look like 1995 coming in, in that backup. So, certainly, some of the cosmetics, the sterilization of that UI going across as many of those products as possible in order to provide more of a contemporary feel. That's an easy place to dig on, right? But I think what Veritas really needs to think about is, they need to remind folks that, while they are not the stodgy presumption of what people might think, this is not their first rodeo in any of these areas, right? We had new announcements on software to find storage this week. Things like storage foundation and VCS, they've been doing that for 25 years, right? I mean, they've been doing to software to find storage before it was a thing, right? Availability, right? So, we talk about, I like the VRP product. I think it's a cool architecture, and something certainly that powers a lot of the Cloud mobility type capabilities that are there. And the idea of a heterogeneous platform to enable higher levels of availability, I think the market is just now growing into that, right? So, the trick is, we're not the old folks, but, oh by the way, we have reams of experience like you can't imagine. Let's put those things together and have an enterprise level conversation. >> So, let's lay the horses out on the track here. I mean, we were all at VMWorld, and we saw the, it was the hottest... That and security, backup and security are the two hottest spaces in the business right now. We saw the startups, the Cohesity's, the Rubrik's, the Zerto's, and sort of, the upshots. The Veeams, you know, a lot of action at their booths. Obviously, Veritas getting its mojo back. Where's Commvault in all this, so how do you lay out the horses on the track, what's the competitive landscape look like? Paint a picture for us. >> Yeah, so, first and foremost, I always go back to what ESG calls the data protection spectrum, right? So, the behaviors of archive, backup, snapshot, replication, availability. They are not interchangeable mechanisms. We call it a spectrum as a rainbow kind of feel. You know, when is the last time you went outside, saw a rainbow in the sky, and one of the colors was missing? You know, these colors do not replace each other. Snapshots and replications, etc. When you look at where the market's going, imagine a capital Y. In fact, if you go look up on your favorite blog site, I have a blog on, why does data protection have to evolve? This is the answer to your question. The base of that Y is just backup. Can you make copies of all of your stuff? And even that, I think a lot of folks have a challenge with. The next step up is that idea of data protection. So, backup plus snapshots plus replications, single set of policies. Where the market's going, and how it kind of lays out the horses, is now we're at that fork in the road in the capital Y, right? And some of the folks are moving down the availability path. And think about that word for a second, you can remember the vendors who like to go that direction. We're going from reactive recovery to proactive assured productivity, right? Because all the backup folks are just as down until somebody hits the restore button. That's the thing that no one really wants to talk about, as opposed to, if you have monitoring, if you have orchestration, if you have failover and rapid recovery mechanisms. Now, you really do have an availability story that comes out of that. And not all the vendors that you mentioned have that. >> Dave: Well, who are the leaders? >> Yeah, so, certainly, from a momentum and brand perspective, Veeam is definitely on the front line of that, you know, I think car racing is more easier... >> Dave: Cause they've got growth and... >> Yeah, they have momentum, they have, certainly virtualization is still a sweet spot for the data centers... >> Obviously, Veritas is... >> Veritas is absolutely... >> They said 15 years in a row in the Gartner Upper Right... >> Yeah. >> Okay, check. >> Dell EMC, broad portfolio there. Those are kind of the biggest three from, who has all the checked boxes they need to make sure they have a dialogue for the next conversation. >> And Commvault, you wouldn't put in that? >> So, well, I always think of three, you know, bronze, silver, gold, not in that order. >> Yeah, it's like baseball playoffs. Who's going to get in, who's the wild card, you know. >> So, Commvault checks all the right boxes, right? They have all the right narratives along the way. I think the challenge is, organizationally, they're a little siloed in how they tell the stories, and so sometimes it's hard to remember that they're actually the only ones who have a single code base. The ones that, you know, one set of tech that can check all the boxes. Everyone else actually has some myriad of pieces and parts that have to be assembled along the way. >> Dave: So, that's both a strength and a weakness... >> Yeah. >> Dave: For Commvault, right? >> Yeah, the opportunity is there to increase the marketing to tell one narrative. >> Kind of Tivoli, same thing, right? >> Yes, same kind of idea there. And by the way, I don't count, let's call them Spectrum Protect now, but I don't count them out. So, Spectrum Protect took a facelift a couple years ago and really got virtualization savvy. They took the, they had the same gap that everyone else that you mentioned had, and, what is it, six, four, a couple years back, they finally got around to that. And then they just announced Spectrum Protect Plus, which is really built for that V-Admin role. So, certainly we've got a good lens there. On the other side, just like in every other generation, you've got some upstarts that are looking pretty good. >> Well funded, some of them paid 100 million. >> Yeah, well funded, some of them I think have kind of a little bit of a puffer fish, right? They feel bigger than they are for the moment, and yet, the tech looks really good. They want to have a dialogue that says, don't start with backup and try to grow forward. Start over, right? Reimagine what storage might look like in the broader range of things. And by the way, data protection is one of the outcomes for that. And so, you put the Actifio, Cohesity, Rubrik, kind of mix, along the lines for that. You also get the... Catalogic stuff that goes into, that's OEM by IBM, kind of gets on the other side. I think that's going to be probably the coolest thing to watch in 2018. So, you hear the buzz words of copy data management. Everybody wants to talk about some version of those three words. We think that the market's going to go either evolution versus revolution. So, evolution is, start with the data protection folks that you know, and those technologies are going to grow into data management type folks. Here at the show, right, so we saw Veritas Velocity. It's their first foray into that. Cloud Point starts to come into that mix as well. So, the idea of keeping all you need, getting rid of it when you don't, and enabling, and here's the fun part, enabling those secondary use cases so that you can get more value out of that otherwise dormant data. Mike talked about that during the day one keynote. I thought he was spot on for that. So, that's the evolution approach. Revolution, start over, better storage, gets you the same results. Those other guys are old anyway... >> So, Bill Coleman's saying, "It's ours to lose." He said that to us on the Cube. They're obviously an evolution play. >> Jason: Yep. >> I've also heard, they've got, they've made the claim, "We've got the best engineering team in the business." Comments? >> So... >> Dave: It's a very competitive market. >> Yeah, it's hard to say best. I never like ultimate superlatives, but here's what I will say. I meet an amazing number of engineers at Veritas who have been doing this 15, 20, 25 years. There's a lot of wonderful institutional knowledge that comes out of that, that you don't get when you're three, five years, even if you come from multiple vendors, and you kind of pop along the way. There are folks that their initials are still in the source code of NetBackup, and I think that gives them an edge from that perspective if they have a vision from an architecture and from a message perspective on carrying it forward and growing beyond just backup. >> Yeah, Jason, want to get your commentary on the customers. So, one of the things we're trying to reconcile here is, they've got a lot of NetBackup customers. >> Jason: Yeah. >> And then they're pitching this new Cloud hyper-scale, distributed architecture world. Are the customers ready for that? Are they, you know, Bill Coleman told us, five years, ten years, maybe five years from now, every single product that's selling today will be obsolete. So, are the Veritas customers today ready to make that move? What are you hearing? Or are they just going to, you know, go to Microsoft and Amazon and, you know, come in that way? How does this, you know, it goes that kind of revolutionary, evolutionary, discussion you were having. >> Good read, so working backwards, I don't think the answer for better backup for the enterprise is clouding. Cloud managed, absolutely. Disaster recovery as a service, as a secondary tier for the people who don't want to have dormant data centers, yeah probably. But we're still going to have a significant majority of infrastructure on-prem that's going to demand for current SLAs to have recoverability on-prem as well. So, I don't think it starts from a Cloud angle. What I do think, from the Veritas customer perspective is, certainly, you know, Veritas is, their homies are the NetBack of admins. That role is evolving. Or maybe I should say it's devolving. You know, you're not going to have backup admins in the same way. Honestly, more and more, we see that data protection should be part of a broader system's management platform management conversation, right? Cause if I'm an IT generalist, that means I don't have a Ph.D. in backup, and I don't want one. I'm an IT generalist, and I'm the one who's responsible for provisioning servers, and patching servers, and providing access to servers. When those green lights turn red, I want to be able to be part of that process and not wait on somebody else. And if I want to be part of the recovery process, it means I better be part of the protection process as well. So, certainly, Veritas is going to have to grow into some new personas of who they're going to be adding value to. IT ops is the big one, right? So, the backup admin is starting to decline a little bit, the V-Admin for the virtualization role is starting to decline a little bit. That IT operations role is really taking a much more dominant share. That said, Veritas's best route to market is to go through the backup admin, and not in spite of because you can turn that backup admin into a hero by saying, "Look, you have a certain set of problems." "Your adjacent peers have a wider set of problems, "and aren't you going to be the smart one "to walk in somebody who can fix "the rest of the problems while we're at it." And that's that 360 story... >> Well, to your point, evolve or devolve, that role. So, we're out of time, but how about a plug for some recent research, what's hot, what's new, anything that you've worked on that you want to share with the audience. >> Yeah, so ESG, we just finished research on real world SLAs and availabilities. So, how are people doing that proactive lens, as opposed to just reactive? Today, earlier today, I kicked off research with the research team on copy data management, so all that evolution/revolution, we're in that right now. And then the next two projects we're working on, GDPR readiness and data protection drivers in Western Europe. Appliance form factors for data protection, so turnkey versus dedupe, is kind of the next one. And then we're going to refresh our Cloud Strategy Data Protection intersection, so BaaS, DRaaS, STaaS, IaaS, and SaaS, and how the protection traction moves. >> Awesome, sounds like a good lineup. I'd be interested to see that GDPR readiness. We'll have to forecast that and... >> That'll be fun. >> And then hit you up after that comes out cause there's going to be some big gaps going on there. >> Yeah. >> Hey, thanks very much for coming back in the Cube, good job. >> Thanks for having me. >> Alright, you're welcome. Okay, keep it right there everybody, Stu and I will be back. This is day two, Veritas Vision. You're watching the Cube.

(tech music) >> Announcer: Live from Madrid, Spain, it's the CUBE, covering HPE Discover Madrid 2017 brought to you by Hewlett Packard Enterprise. >> Welcome back to Madrid everybody this is the CUBE. The leader in live tech coverage. This is day one of our coverage of HPE Discover 2017. I'm Dave Vollante with my co-host Peter Burris. Jim Jackson is here, he's the senior vice president of the Enterprise Group at Hewlett Packard Enterprise. >> Happy to be here. Good to see you again and Jason Newton, vice president of global marketing at Hewlett Packard Enterprise. Guys, it wouldn't be a Discover without some big news, transitioning to Antonio. We're about to hear the key note but Jim, set up the week for us. The big news that we can expect. Show us a little leg. >> Yeah well first of all, thanks for having us here guys. We're really excited for this week. It's gonna be probably one of our biggest weeks of innovation. We've got a pretty amazing Discover lined up. So you're gonna see us talk about AI in the data center, so bringing predictive analytics from our Nimble acquisition it's called info site. We're extending that to three par so that really helps our customers predict and anticipate problems and solve them in advance. So that's really software-based leading with that. Another area is we're bringing consumption-based capabilities. A whole new suite of consumption offerings. We're branding it HPE Green Lake and it's really, think of purpose-built solutions for things like backup, SAP, data like environments but it's really outcomes as a service. So we're not able to give our customers the ability to have infrastructure as a service, and now outcomes as a service. And the other part of making hybrid IT simple that you're gonna hear about is how we're really helping our customers unify and manage that multi cloud environment. So applications are sitting in public clouds, private clouds, what we're hearing from our customers is, hey we need to be able to manage this a lot easier and have holistic ability to see all of that. So you're gonna see us talk about that on main stage as well. So new brands, a lot of innovation. We've also got some partnerships that we'll be rolling out later today. So a lot happening. >> Jason, you've spent a lot of time, sweat, toil, blood on branding. Obviously you're a big part of the branding exercise. Up leveling the messaging, we had you on two or three years ago, and you said, look, we're gonna change things. We're gonna shift the focus from product and widgets and really talk about what customers care about. How has that gone? Where are you at with that? It resonates extremely well with customers. In fact we just got out of a panel where we had four of our top customers, ABV, Dreamworks, IKEA and Nokia. And we just spent an hour just talking about their digital transformation journey and what they're all about. The room was packed. I think we had over 400 people who were in there. That's showing that we can be an innovation partner to those customers enabling them to share their stories at a venue like this is really powerful. >> We're becoming much more software and services led and it's really all about experiences. Providing that experience that our customers are looking for. >> Just follow up to that, so a lot of people think oh well HP, spun merge it's software business but you're leading with services and software. So help us clear that. >> We're doing a ton in software today. So if you just think of our software portfolio. We have HP 1V to manage our customers complete infrastructure estate, service storage and networking. We extended that last year with composability so HP and Synergy, we have over a thousand new customers since we announced that last year actually at this event. So we're seeing a lot of progress. Synergy enables our customers to really have one environment that can flex to the needs of multiple different applications so reduces over provisioning. AI, I talked about AI in the data center. So what we're doing with info site, that's software based, we're extending that to 3PAR and you'll see us extend that to other parts of the portfolio going forward. Nyara, and on the Aruba side of the house, software based. Aruba is very software centric and then of course, we'll be announcing this afternoon our code name project new stack, really about helping to manage that multi cloud environment. A lot happening in the software space and an area that we're very focused on. >> One of the things... By the way, we think that those three things that you mentioned, automation in the data center, on-premise capabilities and a cross multi cloud approach to management and managing your assets, absolutely spot-on. And we think ultimately and here's a question, we think that what's going to drive the determination is what does the data need? So talk to us a little bit about how you are articulating the idea of data as the new value source, the new value and hardware infrastructure and software and these capabilities, making it possible for the work to exist where the data requires. >> Yeah and I'll start maybe you can pile on a little bit. Our conversation starts with apps and data so we're starting the dialogue there and you know what we're seeing is you know really moving from large data centers, or only large data centers to centers of data that are really everywhere, right? So we're starting to see that edge really starting to proliferate and drive a lot more change, and what our customers are saying is wherever might, regardless of where my data sits, I need to manage it, I need to secure it, I need to process it, I need to be able to translate it into insight and that's really what our strategy is all about. We've been talking for the last couple of years about making hybrid IT simple. and we're really doing a lot in that space. So for example, we announced the acquisition of cloud technology partners and really what we're trying to do there it's the foremost authority really in helping customers understand how to migrate applications to to AWS or even to Google or Azure, and when you combine that with our on-prem capabilities, it really now starts to talk about data, we want to say your data is what matters and we want to help you manage that holistically. The software investments that we're doing enable you to have that complete view. And then from a consumption perspective, some of the things I talked about earlier, rolling that out right, making it easier to consume this as a service and only pay for what I use. So, we are in alignment. It all starts with data and wherever that data sits, it's how do I manage it? >> And that's why Aruba is such a great asset for us, because a lot of people think about Aruba as you know, you just replace copper wire and WiFi ... And hey, don't get me wrong, it's a money-making great business, but if you'd asked Kierty, he'd probably say we're a data business, right? >> Peter: We did ask him, and that is what he said. >> Is that what he said? Well, good, we're on message then. We're on message today, alright, yeah. I mean, because that's where the action is happening, that's where the data is being created, and so everything that they're doing around the the security 360 platform, the mobile first platform, everything is centered around, how do I draw a value in context from that data? >> Well I want to ask you about Aruba, because when you acquired Aruba, we said wow, this is a great business, it's gonna be a growth business, but is it a strategic weapon for HPE? Is it a strategic infrastructure component? From a messaging standpoint, It's all about the intelligent edge, that you've up-leveled that. Where'd that come from? Maybe take us through sort of the anatomy of-- >> Well I mean, the message is just exactly what we were saying. That if if value is gonna be created at the edge, if the data's gonna be coming from the edge, we have to drive a whole lot more intelligence into that edge in order to collect, process, analyze, secure the data that's coming in and make use of it, right? So I mean, that's where the genesis of the intelligent edge came from. >> Yeah, I mean I would say the other thing about Aruba that we're really seeing is all about experiences. So when we talk to our customers about Aruba, they're looking to deliver a different experience. Whether it's in retail, whether it's in stadiums, whether it's in the campus space. It's all about delivering a better experience. And that's really the value prop behind Aruba. Very software centric, open software, mobile solution. The other thing is, it's enabling us to engage more and more with parts of the company, customers that we might not have had as much engagement before. You know, the c-suite, you know, talking more with the line of business. because what they're focused on is how do I deliver that better experience? And Aruba's really playing a key role in doing that. We also have the view that ultimately, and you started the conversation about data, and we totally agree. But it has to be thought of from the edge, to the core, to the cloud. So whether we engage with Aruba, whether we engage with our core data center, capabilities, and our strengths there, or with services ... That's enabling us to holistically have a much more strategic conversation with our customers. So we're excited about that. >> I'd like to dig a little bit on this notion of AI for the data center, or AI for managing IT (mumbles). We'd like to talk about the difference between a breadth-first, which is I'm gonna do this, like in this big broad way, and we'll figure out how we're gonna get the components to participate, versus a depth-first. Which is, let's lean on suppliers, who know that hardware, know the software best, and ask them to create simulacrums, you know, digital representations that then will allow me to apply AI machine learning, et cetera. We like the depth-first approach, but customers ultimately want to see this bloom into a breadth approach. Talk to us a little bit about how individual elements are being represented, but in a coherent consistent way, so that you can get to a broader, overall set of automation across entire infrastructure. >> Well, I mean, I think that you're seeing the paradigm shift now. I mean for decades we've been chasing this idea that we can make the one tool to rule them all, this sort of magic management environment, one single pane of glass, everyone says that right? >> I've written a lot of research papers that suggested that, right? >> Right? And look, I think that's, we're done, alright? And the only thing we can do now is, how do we embed intelligence to make the infrastructure so smart it can take care of itself? And that's ultimately the experience that our customers are telling us that they want, right? Is, I don't want to be an expert on IT anymore. I don't wanna touch this stuff, I don't want to deal with it. >> Peter: Not just want, need. >> Right? I can't handle it, right? I mean, the scale and speed of everything is beyond the capacity ... I can't hire enough people to take care of it. So you know, I think starting there and saying, okay we're gonna start embedding that type of intelligence. Right now it's mostly predictive analytics type of stuff, but increasingly you're gonna see more true AI come in not just in the data center, with what we're doing with Nimble, right? But also with Nyara. Now we call it introspect, right at the edge. How do we start weaving that across to do a variety of things? Whether it's maintenance or performance optimization, or security. I think thinking of it like a continuous platform across the infrastructure is gonna give you that depth and kind of breadth of control that you're looking for. >> So that leads to kind of an ecosystem question, and I liked your comments on that. Because the question of breadth or depth, the answer is yes, you got to have both. The ecosystem posture has totally changed in the last year or so, subsequent. Because we had PWC on today. We've had Veam on earlier. These are-- >> Jason: They love us. Partners that you're putting forth, yeah. >> Jason: We're making them money. >> For sure, right. But they are partners that previously, you know, you wouldn't have profiled. Whether on stage, on the Cube, wherever. >> Jason: Yeah. >> How has the ecosystem evolved? >> I mean it's opening up a whole new set of opportunities for us. You know, if you think of when we had ES, a lot of people just felt like, hey we were gonna compete with them, right? Now that ES has spun out, we actually created another great partner in ES, but we've got a whole host of other SIs that want to engage with us. They want to take our capabilities in IT systems. Our consumption capabilities, and then align it with a value prop that they'll bring. So you talked about Veam for example, right? Data availability is really, really important for customers. So taking HPE and Veam together, we're able to deliver a great solution from data protection to recovery. Really powerful stuff, and we're seeing some great opportunities out there in the marketplace, and a very strong ROI. I mean, we have some data that says, hey over five years, is a 200% ROI. Another area, when you think of just partnering, right? Is what we're doing with our channel partners. So we're giving them more solutions that are channel centric, that we're driving through our channel organization, yeah. And then, we just announced a relationship a couple weeks ago with Rackspace. It's a managed private cloud, open source solution. We're using our consumption capabilities, combined with with Rackspace, their environment. And this is giving our customers the flexibility to now spin up very quickly, a private cloud environment that they're looking for with a lot of the public cloud capabilities. Very strong economics behind it. And then the edge, that's the other area we're seeing lots of new partnering opportunities as the edge continues to expand. So we believe that innovation is a team sport, and we're leaning in really hard, and I know you know the Gartner's and the IDCs don't track who are the best partners, but I think if they did, we would be at the top of the list. >> Well, probably a lot of this activity was going on previously, so it's not like you're starting from ground zero. >> Jim: Correct. >> But you just, from a marketing standpoint, you really didn't talk about it, because you had colleagues, whether it was from EDS or the software division that's saying, hey, don't talk about that, help us out here. So, how has that changed the way in which you market? One of the big values is your go-to-market. I mean, people are drooling to now partner with HPE. >> Yeah, and one of the big reasons is honestly, is point next. Because they see the value in what Accenture or PwC, or Wipro can bring from understanding a business, or whatever, versus the deep technical knowledge of a point next to come in, and what they really love is the consumption model stuff that we've been able to wrap around it. They see that customers want, that in order to move fast with less risk, right? You've gotta have some sort of financial lever that says, okay, I can start small and I can grow over time. I'm not putting all my money out in one place and we've been building that with flex capacity over the last several years. You're gonna see, well, I guess we announced yesterday, a new Green Lake ... Making that even simpler to consume. Every one of our partner says, I wanna take your IT expertise in that consumption based model and wrap it around a total solution. And that's what's like white-hot right now, and there's unlimited opportunity right now from ... As Jim said, edge to core to cloud. >> And we have another one we're gonna announce on stage in a couple of hours, so we're pretty excited about that as well. >> Well, you see that in the numbers too, yeah. >> Jason: I think we might have a clue what that is. >> We're excited about that. >> Yeah, I know, it is. Well, look, and you kind of you kind of gave something of a preview when you talked about the three things that you want to be able to do. Because there's one brand that hasn't been mentioned yet. But ultimately the business is recognizing that the technology questions that we're raising here are crucial to their future success, but they don't want them to be a continuous source of antagonism. >> Group: Right. >> So they recognize that they need the capability, but they want to dramatically simplify the degree to which it's evasive. I once had a CIO tell me that the value of my infrastructure is adversely proportional to the degree to which anybody in my business knows anything about it. So how do you then take steps to ensure that your customers don't know anything about the infrastructure, even though they have the infrastructure where the data demands, which is gonna be at the edge, and on premise? >> I think that's some of the things we're focused on now. So software to make infrastructure much more frictionless. And you're not really worrying about managing that infrastructure, it's just there to power the business, to deliver the business. Consumption-based offerings with Green Lake, this is truly purpose-built stacks for specific things, because our customers are telling us, I don't want to have to set all that up and manage it, but I want that outcome, and I only want to pay for what I use. So those are just a couple of examples of how we're trying to simplify it. Because ultimately it's all about the experience and the outcome and being able to translate all that data into insight. >> Well, when you're simplifying your face to the world, we heard in the last earnings call, new reporting structure going forward. Hybrid IT ... intelligent edge, and financial services, which is exploding, the consumption base modeling 22% growth last quarter. So organizationally, presumably, you've started to take that shape, and that's how you're presenting your face to the world. Is that right? >> Yeah, and that's helping us to really break down some of the silos, that has existed in this company for a while. And you're seeing that really, really becoming much more unified in terms of how we go to market, and how we think about engaging with our partners how we engage with our customers. >> Are your customers breaking down those silos at a consistent rate? Are you a little bit ahead, a little bit behind? How would you evaluate that? I think it's a transition, it depends on which customer, which sector. We still see some of some of them that are maybe a little behind. Some that are a little bit ahead, but really everybody wants to start the conversation much more about, how do I move faster? How do I accelerate my business? It's all focused on outcomes starting at that data level, and then how can you help me? And this is where I think some of the acquisitions that we've made, like CTP are very empowerful, and then all the software capabilities that we're bringing as well. So we're leading the dialogue much more around that. >> And the only way they're gonna get there is to break down those silos. >> Jim: Absolutely, absolutely. And we have to help them do that, right? We have to help them do that and give them the solutions to do this. >> So Jim, I want to go back to a point that you made about those other two research firms, Gartner and IDC I think it was. But you said that if they were measuring the value, or if there was a magic quadrant for who is the best partner, you guys would be up in the upper right hand quadrant? But partners in this world, especially here in Europe, are more than just the big guys. >> Jim: Yes. >> How are you taking steps to ensure that that large mass of crucially important companies out there, that still where a lot of that innovation, a lot of that excitement really is, are coming with you, are able to move with you? Because your ability to certainly provide them with financial support is important, but your ability to show them the future, and have them see their business in the future, is going to be crucial to whether or not they stay with you. >> And I think we're doing a couple of things. We created our Pathfinder program, I'm sure you guys are aware of that, right? So these are some of the newer partners coming up, we're actually investing in them, helping to scale them, because we think it's going to be unique innovation. Another area is this program that we have called Cloud 28 Plus, where we have a whole network of providers, service providers, ISVs, SPs, that's part of a network that we're able to grow and kind of scale that ecosystem, so I don't know if you want to comment anything more on that, but-- >> Jason: Up to 700 now (mumbles). >> Yeah, so Saviea is very passionate about this obviously, but he's done some some really good things-- >> Peter: And he should be passionate about it. >> But that gives us an ecosystem now of partners who are part of that HPE ecosystem, but different use cases, different compliance needs, they sit in different regions, so we're able to give our customers a lot of that flexibility. >> Alright, gotta give us something on the key note. Just a tidbit. What can you share? A little nugget? >> I mean, you know-- >> Dave: Teaser. >> Some themes we've talked about. You'll hear the word friction free a lot, how do we make things invisible? And really demonstrating how with services and software, and consumption-based service models, can we do that for customers? You'll hear a lot of those themes. We'll highlight some of the things we've announced over the last 24 hours, a few weeks. So we'll emphasize what we've done around Nimble and info site, and the importance of AI in the data center. We'll obviously spotlight point next, and Anna and her energy, she's gonna be out there and really firing people up. And a few surprises in the software space that will come today, that it'll probably cause the market to do a bit of a double take and say who is that that's doing this again? Yeah, it's us, it's HPE doing that. >> And you'll see us also talk about a little bit of a vision in terms of how we see the market starting more at the edge, bringing in AI, composing for different kinds of environments, and then how HPE has really been able to invest, so we're gonna start to show that over the last couple years, we have had a very clear agenda where we want it to go, and now that's all coming to fruition, so we'll start to show all that holistically in terms of our technology vision. So that's another thing that we're gonna be highlighting. >> Great. Perfect timing, we can hear the announcement. Keynotes are coming up, we'll be broadcasting those on our twitch channel. Siliconangle.com/twitch You can go to HPE.com and see the keynotes as well. Gents, great energy, awesome to see you. >> It's great to see you guys, thank you. >> We'll be watching the college football ranks. You guys have a fun little rivalry of Ohio State here. >> The Ohio State. >> Dave: ... Yale, but nobody cares. >> Baker for Heisman. >> Dave: Gents, thanks very much for coming. >> Thanks guys, appreciate it. >> Keep right there everybody, we'll be back with our next guest right after this short break. (soft tech music)

>> Narrator: Live from Las Vegas it's theCUBE covering HPE Discover 2017 brought to you by Hewlett-Packard Enterprise. >> Hello and welcome back to Las Vegas for theCUBE's exclusive coverage of Hewlett-Packard Enterprise Discover 2017 or HPE Discover 2017. This is theCUBE, our flagship program from SiliconeANGLE media. We go out to the events, and extract the signal from the noise. I'm John Furrier, the co-founder of SiliconeANGLE. with my co-founder, Dave Vellante, my co-host. Our next guest, Jason Newton, Vice President of HP Marketing Pan-HPE Market cross HP, and Jim Jackson, Senior Vice President of Enterprise Group Marketing. The big dogs here at HP laying out the show here for 2017. Guys, great show again, our seventh year, appreciate it. But this year, more than ever, is a seminal moment, obviously everyone knows what's going on in the news, is a huge shift in the market place, what's happening at the show, set the scene for us, what's the backdrop? You guys lined up all the messaging, you have the whole set up to the show, tell us: what is this show about this year? >> First, welcome to Discover, guys! We're really excited to have you guys here. And you know, we got a lot going on at this show, so for example, yesterday, we had our Global Partners Summit so we brought out top 1300 partners, and we had an amazing session with them. This week starts Discover, so it's going to run for the next three days. We've exceeded our tenants targets, so we're feeling really good about it. I think what that shows is there's a lot of interest, a lot of energy, a lot of passion, for what Hewlett-Packard Enterprise can bring. You know, I'm not going to go through all the mechanics of the separation and the spin merger, but I would say that that was all designed to make us a faster, more nimbler company, and one that is really aligned to where we want to take our partners on their digital transformation journey. You know, what we're seeing today, is digital transformation is impacting every single customer and every single industry, and digital business is technology, and really, that's where we play and that's why we're so excited to get our story out. And when you look at over the last year, there's a lot that's happened at this company around really innovation, acquisitions, and ecosystem. Just look at some of the innovation that we've brought to the market, Synergy. Amazing innovation, it created a new category, it really enables our customers to now get a public cloud experience, but on PRIM. And we're hearing from a lot of customers, I want to leave my applications on PRIM, but I need that capability. So we're delivering that with that kind of innovation. Another one is HPC. High growing market, we're leading in that space. What we're doing in the storage flash space, we rebooted, and rebranded our services organization, it's not called Pointnext. We want to help our customers point next to whats' next for their business. When you look at the Edge, just amazing innovation happening there, whether it's Aruba technology, whether it's what we're doing with all of our Edge compute solutions, so just a tons of things happening and then when you layer on top of that all the acquisitions. SGI, we're already the leader in HPC, we have 140 of the top 500 systems, SGI makes our position that much stronger. That's a hot market, it's growing at six to eight percent. SimpliVity, when we brought our capabilities, our UI from our technology, combined it with the data services from SimpliVity, we now have the leading HC solution in the industry. When you look at Niara, that gives up additional capabilities at the Edge to help secure that. When we look at Cloud Cruiser, we can help customers understand and balance what's happening across their workloads. And then Nimble gives us just an amazing portfolio across storage. We're really the leader now in the storage space when you look at the ability to dress almost any use case, from MSA to SimpliVity, for customers looking for more of that hyperconverge play, to Nimble, to 3PAR. Our strategy, super simple. Make hybrid IT simple, power the Intelligent Edge, and it's not just the compute, it's to bring the analytics so that we can translate insight into action, and really to bring the services to help our customers on their journey. And those services are our Pointnext services complimented by our partner services. So, you know what, we're fired up, we're excited, there's a lot happening. >> You guys got so much going on and we've documented the whole spin merge thing 'till the cows come home, we've already done that. You guys got a lot going on, a lot of customers are talking a lot of people are talking about you in the industry, at an industry level, certainly at a partnership level, you guys have always been customer focused. We heard that, you mentioned that, they kind of want to know: what is HP going to do now? You're going to put the stake in the ground, they want to know what's happening, where is the phoenix coming from out from all this decoupling, and more agile messaging, it's a lot of corporate governance, corporate development, I get that, what's next? When are you guys going to put the stake in the ground, you going to be aggressive, when are we expecting to hear from Meg Whitman? >> This week, right, you're going to see it this week. I think that's why we're so excited, this is our opportunity to bring our story together and talk about the innovation and the outcomes that we're delivering for our customers. We are playing offense, and you're going to see that this week. You know, I think one of the themes about this whole week is really about outcomes. I just hosted a panel, with four amazing customers, we had Dreamworks on there, we had CenterPoint Energy, we had CallidusCloud, and I had one more, can't think of it, Merck. And just amazing stories in terms of their digital transformation journey and how HPE is helping to enable that. You're going to hear that on main stage, we're going to have additional customers, Symmetry, others, talking about their digital transformation journey. So, we're really fired up about the main stage, and the story that we're going to get out today. Backstage talking with the executives, they're ready to rock and roll. You know, we know we have a great story and we need to package it, we need to send it out there to the marketplace, and that's what's going to happen later today. In addition to the outcomes, and I think that's what's different about us maybe from some of our other competitors who come to these similar events and just have a bunch of products, we're really talking about how our technology is enabling outcomes but you're going to see a lot of innovation today as well really themed along our strategy. We're going to highlight and roll out the next generation of our compute experience. We're going to talk about how we're delivering the industry's most secure industry standard servers. That's complimented by a whole set of announcements we did last week on our storage portfolio, and the software defined space updates to our synergy solution to HP OneView, and then we're going to be previewing our multi cloud hybrid stack, which will be available later in the year. When you look at the edge, new campus solution, core solution, so what we're really doing is if you think of a data center course which we're bringing that to the campus, so we can essentially now manage from the ceiling, to the side, to the floor. So we're bringing all the capabilities. Asset tracking capabilities coming in as well. Pointnext, we're bringing in new innovations to the marketplace around Consume. Jason, maybe you can talk a little bit about some of the IOT Edge stuff that's coming out as well. >> Yeah, I mean we think, a core part of our strategy is to power the Intelligent Edge. We think that's where all the innovation is going and increasingly, you know, we think about data and getting insights from data, right? Going forward, we're going to start thinking about how do I take data and put it into action, right? The Edge is a place, and there's lot of different places that we can bring technology to bear to put into action and create value and so, tons of examples of what we'll be talking about with customers and really interwoven within that are the need for analytics, you know, big data, high performance computing, having a renaissance because of that, and the need for hybrid computing right because the stuff needs to be secure and it needs to be driven by applications, and so it really is a great way to try to exemplify why our strategy is the right strategy and why it's a winning one, because those are the unique elements that are going to power this world going forward, and we've got 'em. >> 43% of data will be analyzed at the Edge by 2020, so think about that, right. >> Yeah and we actually think that it'll be much higher over time, that moving around all this data is going to be challenging, I know you're working on the speed of light problem in the labs, and that number I think will increase. So, I wanted to ask you about messaging because messaging in very important. It clarifies your vision and it underscores your relevance to customers and previously a lot of the HP and now it's HPE, messaging was very product centric, and one tended to get lost in that. How have you sort of transformed your messaging architecture to address things like outcomes and business impacts. >> Yeah, you know customers today, it's really about outcomes, right, so technology matters but if you just look at making hybrid IT simple, as an example, that's a easy statement to say, hybrid IT is not simple. So when you, think of the messaging though, of how we're talking to our customers about that it's really at multiple different levels and let me give you a couple of examples. It's, first of all, the services from Pointnext, how do we come and engage them, and help them characterize their applications, understand their environment, and ultimately give them a roadmap with the right mix of technology, not only for today, but for the future. So, that's an example of leading much more with services in terms of our Pointnext services, in terms of how we're engaging our customers. Getting very disciplined in terms of when you think about okay how do I want to run my hybrid IT environment? We believe it runs best on a software defined infrastructure solution, Synergy gives us that. So, customers are telling us, hey I want to have more on PRIM, or I want to be able to run my applications on PRIM but I need the same experience that I can get from a public cloud, we can now do that with Synergy. Fully programmable, we're seeing amazing interaction with it we have almost 400 customers engaging, and that pipeline is continuing to grow. And then I think the third part of it, when you talk about solutions, again it's not just about technology, it's how do I want to consume this, right? So, we're hearing from our customers, you know, I need, not all of them want to just buy it from us and install it. So, we do amazing things here that we probably haven't gotten out to the market, and you're going to see us get a lot louder this week about that. For example, through our flexible financial services organization, we have amazing capabilities to really engage with other parts of the line of business, the CFO, and talk to them about how do you really want to finance this, what kind of business relationship are you looking for? With Flexible Capacity services, we bring amazing capabilities to help our customers get a public cloud experience on PRIM, so it's sitting on their environment, we're managing it, they only pay for what they use. The other part of it is, it is customers are telling us increasingly, hey you know what I want to actually have a network of service providers that I can get services from. We have done that through our Cloud28+ and our service provider partner ready program, we have a whole set of service providers optimized for infrastructure, for applications, many of them are located close to our customers, so just a few examples, I think of how we're trying to bring this all together, and a solution message is really elevating it and saying: what is the outcome you're trying to drive, starting there, and then looking at engaging them holistically across all of that. So you're seeing more and more of that. Our demos highlight that, that's the stuff we're trying to highlight at the show. >> Dave, can I pile on to the message piece, too, as well? His messaging guy here, for Jim. You know, there's a lot of noise also out on the marketplace, and I think one of the keys is the advantage of being a more focused company now, we can be much more simple, and forthright and direct in our messaging, right, in terms of who we are, what we're about, what's our strategy, what are the elements that we're putting in place to execute that strategy and it's I think it's really important because you don't get but 60 seconds, right, in front of a customer, or to grab their attention off a Twitter feed, or whatever and so, simplicity is really really important, and I think the advantage of an event like this is it brings our strategy and that message to life, I mean it's three dimensional out there right. It's living and breathing, we bring the customers forward first, that's the lead of every message because that's what other customers want to hear about, what are you going to do for me, right? >> Well, lets talk about the messaging and how it translate, from as I always say, if you got the sizzle you better have the steak, to use that old expression. Just as a random example, the user experience is changing significantly in IT, I mean yesterday I was delayed coming in Southwest coming from Silicone Valley and, you know they sold my seat, they didn't have to drag me off the plane, but you know I'm getting some help in the analog face to face but I got on Twitter, had to DM Southwest, instant channel to Southwest. That proves that the interface to technology in a digital business is changing. Now IT is transforming in a similar way, how are you guys taking the messaging of simplicity at the same time as the product evolution is shifting and architectures are changing. The people who have to consume and manage this stuff, their work is changing, so how do you guys talk about that because that's really where the meat on the bone is sitting that's where the rubber is hitting the road, your thoughts? >> I'll start, and maybe Jason you can pile on, you know I think Jason poked at it, we are a much simpler company today, so our strategy is very clean. It's to make hybrid IT simple, it's to power the Intelligent Edge, and it's to bring the services to help our customer go along that journey. So just starting with that simple message means that we can get out whole organization, our partner organization, on message in terms of what we bring and how we can help them to do that. I think the other part this that's really important is we view innovation today as really a team sport, and as we become more focused, we're actually leaning in a lot harder to our partner ecosystem. Whether it's our traditional partners, like Microsoft and SAP, whether it's new partners like Docker, Mesosphere, you know bringing the containerized environments, or actually curating a new set of partners for the future with Partner Next. Because it is about getting it down the simple thing of what's the outcome you're trying to drive, what's the technology, and the ecosystem and how can we be the company to help bring that forward? And I think that's a lot of the simplicity that you're going to see. You know on stage later today, I think why we're so excited about this is, you know you're going to hear Meg talk a little bit about the journey we've been on but more importantly the outcomes that we're delivering for customers and then what we're going to do is we're going to feature three customer scenarios, talking about what they have done, what their journey has been, their outcomes, their experiences and what they can do today, and then of course, how HP technology is enabling that. >> We had in our opening, Dave and I always talk about this, because we love the shiny new toy. Certainly I'm from Silicone Valley, he's from the east coast but the reality is that all this stuff about declining markets here and there is always a shift to another growth market, even on PRIM, you know, people might buy and consume and interface differently with technology but it doesn't mean that the data is slowing down, it doesn't mean that the value creation is changing, it's shifting. So I think that has really been something that I think you guys have had online, maybe lost in some of the tactical things but, you know, from new style of IT, to this, it's been kind of a cadence that you've been on it's not like you guys are groping for messaging. >> What goes down, yeah, and you can't just snap your fingers and be the transformed company that you want, right, but we're moving at break-neck speed on that and it does all go back to the advantage of that strategy, and the world you just described, right, you want to be nimble. You know, there may be something next month we've never heard of that disrupts the entire container market, right, containers become oh that's so yesterday, we want to be the company that's ready to pounce on the next thing, right, and we're geared to do that. You know, competitors - >> John: (mumbles) containers in microseconds is kind of a big deal, and it's coming out of the labs. >> Well you know, the other thing, I want to just add, so you talk about customers, you start with the customer the technology business is always moved faster pretty much than any business, but now, every customer is technology company, and so they're accelerating the pace, so you've got to accelerate that pace with them and be that provider. Digital transformation is all about data, it's all about becoming a technology company. So what's the message to your customers in terms of your role in helping them accelerate their transformation? >> Well, I think you pretty much hit it, right, in the statement that I use is digital business is technology. You are not going to seed with your digital transformation unless you have the right technology foundation and that's what we heard from those customers on the panel. It's about speed, it's about flexibility, it's about having the right technology that enables me to deliver services back to my internal clients at the speed I need to do it. And you know, that's where our innovation is really focused today, and that's why we're seeing a lot of customers coming to us and saying I want to understand how you did it for CenterPoint, or for Dreamworks and how we can take advantage of that. The other part of it is, technology is a big part of it but it's also the learning and the expertise that we can bring to actually make that technology work in that customer environment - we know how to do that. We're proven in doing that, and I think that's something because we're close to the technology, we not only have the right innovation, we have the right expertise to make it work for our customers, and that's important. >> I don't even think it's early innings either, Dave, I think it's not the game hasn't even started and I think you know one of the things that we believe and we're doing some research on is, we think asset evaluations is going to be completely data driven. Data will be an asset and that will impact the evaluation mechanism to >> Dave: Data is the new currency! >> John: To companies' value, so I think the shift is so early. So, riding the wave, guys thanks so much for coming on theCUBE we really appreciate it. Looking forward to the keynote from Meg Whitman to hear the messaging. Congratulations as you guys continue to - >> Dave: We're fired up! >> Jason: He's fired up. >> Dave: There's a lot of energy, Meg's fired up >> Jason: She's going to bring it today - >> Dave: Antonio is fired up, there's a lot of energy at the company, and you know, we're just excited to get our story out and engage customers. Thanks guys for the opportunity. >> Live here from HPE Discover, this is theCUBE's exclusive coverage, we'll be back with more live action. Three days of wall to wall coverage after this short break. (electronic music)

>> Announcer: You are CUBE Alumni. Live from Munich, Germany, it's theCUBE. Covering, DataWorks Summit Europe 2017. Brought to you by Hortonworks. >> Hello, everyone, welcome back to live coverage at DataWorks 2017, I'm John Furrier with my cohost, Dave Vellante. Two days of coverage here in Munich, Germany, covering Hortonworks and Yahoo, presenting Hadoop Summit, now called DataWorks 2017. Our next guest is Carlo Vaiti, who's the HPE chief technology strategist, EMEA Digital Solutions, Europe, Middle East, and Africa. Welcome to theCUBE. >> Thank you, John. >> So we were just chatting before we came on, of your historic background at IBM, Oracle, and now HPE, and now back into the saddle there. >> Don't forget Sun Microsystems. >> Sun Microsystems, sorry, Sun, yeah. I mean, great, great run. >> It was a long run. >> You've seen the computer revolution happen. I worked at HP for nine years, from '88 to '97. Again, Dave was a premier analyst during that run of client-server. We've seen the computer revolution happen. Now we're seeing the digital revolution where the iPhone is now 10 years old, Cloud is booming, data's at the center of the value proposition, so a completely new disruptive capability. >> Carlo: Sure, yes. >> So what are you doing as the CTO, chief technologist for HPE, how are you guys bringing this story together? 'Cause there's so much going on at HPE. You got the services spit, you got the software split, and HP's focusing on the new style of IT, as Meg Whitman calls it. >> So, yeah. My role in EMEA is actually all about having basically a visionary kind of strategy role for what's going to be HP in the future, in terms of IT. And one of the things that we are looking at is, is specifically to have, we split our strategy in three different aspects, so three transformation areas. The first one which we usually talk is what I call hybrid IT, right, which is basically making services around either On-Premise or on Cloud for our customer base. The second one is actually power the Intelligent Edge, so is actually looking after our collaboration and when we acquire Aruba components. And the third one, which is in the middle, and that's why I'm here at the DataWorks Summit, is actually the data-analytics aspects. And we have a couple of solution in there. One is the Enterprise great Hadoop, which is part of this. This is actually how we generalize all the figure and the strategy for HP. >> It's interesting, Dave and I were talking yesterday, being in Europe, it's obviously a different sideshow, it's smaller than the DataWorks or Hadoop Summit in North America in San Jose, but there's a ton of Internet of things, IoT or IIoT, 'cause here in Germany, obviously, a lot of industrial nations, but in Europe in general, a lot of smart cities initiatives, a lot of mobility, a ton of Internet of things opportunity, more than in the US. >> Absolutely. >> Can you comment on how you guys are tackling the IoT? Because it's an Intelligent Edge, certainly, but it's also data, it's in your wheelhouse. >> Yes, sure. So I'm actually working, it's a good question, because I'm actually working a couple of projects in Eastern Europe, where it's all about Industrial IoT Analytics, IIoTA. That's the new terminology we use. So what we do is actually, we analyze from a business perspective, what are the business pain points, in an oil and gas company for example. And we understand for example, what kind of things that they need and must have. And what I'm saying here is, one of the aspects for example, is the drilling opportunity. So how much oil you can extract from a specific rig in the middle of the North Sea, for example. This is one of the key question, because the customer want to understand, in the future, how much oil they can extract. The other one is for example, the upstream business. So doing on the retail side and having, say, when my customer is stopping in a gas station, I want go in the shop, immediately giving, I dunno, my daughter, a kind of campaign for the Barbie, because they like the Barbie. So IoT, Industrial IoT help us in actually making a much better customer experience, and that's the case of the upstream business, but is also helping us in actually much faster business outcomes. And that's what the customer wants, right? 'Cause, and was talking with your colleague before, I'm talking to the business guy. I'm not talking to the IT anymore in these kind of place, and that's how IoT allow us a chance to change the conversation at the industry level. >> These are first-time conversations too. You're getting at the kinds of business conversations that weren't possible five years ago. >> Carlo: Yes, sure. >> I mean and 10 years ago, they would have seemed fantasy. Now they're reality. >> The role of analytics in my opinion, is becoming extremely key, and I said this morning, for me my best center is that the detail, is the stone foundation of the digital economy. I continue to repeat this terminology, because it's actually where everything is starting from. So what I mean is, let's take a look at the analytic aspect. So if I'm able to analyze the data close to the shop floor, okay, close to the shop manufacturing floor, if I'm able to analyze my data on the rig, in the oil and gas industry, if I'm able to analyze doing preprocessing analytics, with Kafka, Druid, these kind of open-source software, where close to the Intelligent Edge, then my customers going to be happy, because I give them very fast response, and the decision-maker can get to decision in a faster time. Today, it takes a long time to take these type of decision. So that's why we want to move into the power Intelligent Edge. >> So you're saying, data's foundational, but if you get to the Intelligent Edge, it's dynamic. So you have a dynamic reactive, realtime time series, or presences of data, but you need the foundational pre-data. >> Perfect. >> Is that kind of what you're getting at? >> Yes, that's the first step. Preprocessing analytics is what we do. In the next generation of, we think is going to be Industrial IoT Analytics, we're going to actually put massive amount of compute close to the shop manufacturing floor. We call internally or actually externally, convergent planned infrastructure. And that's the key point, right? >> John: Convergent plan? >> Convergent planned infrastructure, CPI. If you look at in Google, you will find. It's a solution we bring in the market a few months ago. We announce it in December last year. >> Yeah, Antonio's smart. He also had a converged systems as well. One of the first ones. >> Yeah, so that's converge compute at the edge basically. >> Correct, converge compute-- >> Very powerful. >> Very powerful, and we run analytics on the edge. That's the key point. >> Which we love, because that means you don't have to send everything back to the Cloud because it's too expensive, it's going to take too long, it's not going to work. >> Carlo: The bandwidth on the network is much less. >> There's no way that's going to be successful, unless you go to the edge and-- >> It takes time. >> With a cost. >> Now the other thing is, of course, you've got the Aruba asset, to be able to, I always say, joke, connect the windmill. But, Carlo, can we go back to the IoTA example? >> Carlo: Correct, yeah. >> I want to help, help our audience understand, sort of, the new HP, post these spin merges. So perviously you would say, okay, we have Vertica. You still have partnership, or you still own Vertica, but after September 1st-- >> Absolutely, absolutely. It's part of the columnar side-- >> Right, yes, absolutely, but, so. But the new strategy is to be more of a platform for a variety of technology. So how for instance would you solve, or did you solve, that problem that you described? What did you actually deliver? >> So again, as I said, we're, especially in the Industrial IoT, we are an ecosystem, okay? So we're one element of the ecosystem solution. For the oil and gas specifically, we're working with other system integrator. We're working with oil and the industry gas expertise, like DXC company, right, the company that we just split a few days ago, and we're working with them. They're providing the industry expertise. We are a infrastructure provided around that, and the services around that for the infrastructure element. But for the industry expertise, we try to have a kind of little bit of knowledge, to start the conversation with the customer. But again, my role in the strategy is actually to be a ecosystem digital integrator. That's the new terminology we like to bring in the market, because we really believe that's the way HP role is going to be. And the relevance of HP is totally depending if we are going to be successful in these type of things. >> Okay, now a couple other things you talked about in your keynote. I'm just going to list them, and then we can go wherever we want. There was Data Link 3.0, Storage Disaggregation, which is kind of interesting, 'cause it's been a problem. Hadoop as a service, Realtime Everywhere, and then Analytics at the Edge, which we kind of just talked about. Let's pick one. Let's start with Data Link 3.0. What is that? John doesn't like the term data link. He likes data ocean. >> I like data ocean. >> Is Data Link 3.0 becoming an ocean? >> It's becoming an ocean. So, Data Link 3.0 for us is actually following what is going to be the future for HDFS 3.0. So we have three elements. The erasure coding feature, which is coming on HDFS. The second element is around having HDFS data tier, multi-data tier. So we're going to have faster SSD drives. We're going to have big memory nodes. We're going to have GPU nodes. And the reason why I say disaggregation is because some of the workload will be only compute, and some of the workload will be only storage, okay? So we're going to bring, and the customer require this, because it's getting more data, and they need to have for example, YARN application running on compute nodes, and the same level, they want to have storage compute block, sorry, storage components, running on the storage model, like HBase for example, like HDFS 3.0 with the multi-tier option. So that's why the data disaggregation, or disaggregation between compute and storage, is the key point. We call this asymmetric, right? Hadoop is becoming asymmetric. That's what it mean. >> And the problem you're solving there, is when I add a node to a cluster, I don't have to add compute and storage together, I can disaggregate and choose whatever I need, >> Everyone that we did. >> based on the workload. >> They are all multitenancy kind of workload, and they are independent and they scale out. Of course, it's much more complex, but we have actually proved that this is the way to go, because that's what the customer is demanding. >> So, 3.0 is actually functional. It's erasure coding, you said. There's a data tier. You've got different memory levels. >> And I forgot to mention, the containerization of the application. Having dockerized the application for example. Using mesosphere for example, right? So having the containerization of the application is what all of that means, because what we do in Hadoop, we actually build the different clusters, they need to talk to each other, and change data in a faster way. And a solution like, a product like SQL Manager, from Hortonworks, is actually helping us to get this connection between the cluster faster and faster. And that's what the customer wants. >> And then Hadoop as a service, is that an on-premise solution, is that a hybrid solution, is it a Cloud solution, all three? >> I can offer all of them. Hadoop is a service could be run on-premise, could be run on a public Cloud, could be run on Azure, or could be mix of them, partially on-premise, and partially on public. >> And what are you seeing with regard to customer adoption of Cloud, and specifically around Hadoop and big data? >> I think the way I see that option is all the customer want to start very small. The maturity is actually better from a technology standpoint. If you're asking me the same question maybe a year ago, I would say, it's difficult. Now I think they've got the point. Every large customer, they want to build this big data ocean, note the delay, ocean, whatever you want to call it. >> John: Love that. (laughs) >> All right. They want to build this data ocean, and the point I want to make is, they want to start small, but they want to think very high. Very big, right, from their perspective. And the way they approach us is, we have a kind of methodology. We establish the maturity assessment. We do a kind of capability maturity assessment, where we find that if the customer is actually a pioneer, or is actually a very traditional one, so it's very slow-going. Once we determine where is the stage of the customer is, we propose some specific proof of concept. And in three months usually, we're putting this in place. >> You also talked about realtime everywhere. We in our research, we talk about the, historically, you had batchy of interactive, and now you have what we call continuous, or realtime streaming workloads. How prevalent is that? Where do you see it going in the future? >> So I think is another train for the future, as I mentioned this morning in my presentation. So and Spark is actually doing the open-source memory engine process, is actually the core of this stuff. We see 60 to 70 time faster analytics, compared to not to use Spark. So many customer implemented Spark because of this. The requirement are that the customer needs an immediate response time, okay, for a specific decision-making that they have to do, in order to improve their business, in order to improve their life. But this require a different architecture. >> I have a question, 'cause you, you've lived in the United States, you're obviously global, and spent a lot of time in Europe as well, and a lot of times, people want to discuss the differences between, let's make it specific here, the European continent and North America, and from a sophistication standpoint, same, we can agree on that, but there are still differences. Maybe, more greater privacy concerns. The whole thing with the Cloud and the NSA in the United States, created some concerns. What do you see as the differences today between North America and Europe? >> From my perspective, I think we are much more for example take IoT, Industrial IoT. I think in Europe we are much more advanced. I think in the manufacturing and the automotive space, the connected car kind of things, autonomous driving, this is something that we know already how to manage, how to do it. I mean, Tesla in the US is a good example that what I'm saying is not true, but if I look at for example, large German manufacturing car, they always implemented these type of things already today. >> Dave: For years, yeah. >> That's the difference, right? I think the second step is about the faster analytic approach. So what I mentioned before. The Power the Intelligent Edge, in my opinion at the moment, is much more advanced in the US compared to Europe. But I think Europe is starting to run back, and going on the same route. Because we believe that putting compute capacity on the edge is what actually the customer wants. But that's the two big differences I see. >> The other two big external factors that we like to look at, are Brexit and Trump. So (laughs) how 'about Brexit? Now that it's starting to sort of actually become, begin the process, how should we think about it? Is it overblown? It is critical? What's your take? >> Well, I think it's too early to say. UK just split a few days ago, right, officially. It's going to take another 18 months before it's going to be completed. From a commercial standpoint, we don't see any difference so far. We're actually working the same way. For me it's too early to say if there's going to be any implication on that. >> And we don't know about Trump. We don't have to talk about it, but the, but I saw some data recently that's, European sentiment, business sentiment is trending stronger than the US, which is different than it's been for the last many years. What do you see in terms of just sentiment, business conditions in Europe? Do you see a pick up? >> It's getting better, it is getting better. I mean, if I look at the major countries, the P&L is going positive, 1.5%. So I think from that perspective, we are getting better. Of course we are still suffering from the Chinese, and Japanese market sometimes. Especially in some of the big large deals. The inclusion of the Japanese market, I feel it, and the Chinese market, I feel that. But I think the economy is going to be okay, so it's going to be good. >> Carlo, I want to thank you for coming on and sharing your insight, final question for you. You're new to HPE, okay. We have a lot of history, obviously I was, spent a long part of my career there, early in my career. Dave and I have covered the transformation of HP for many, many years, with theCUBE certainly. What attracted you to HP and what would you say is going on at HP from your standpoint, that people should know about? >> So I think the number one thing is that for us the word is going to be hybrid. It means that some of the services that you can implement, either on-premise or on Cloud, could be done very well by the new Pointnext organization. I'm not part of Pointnext. I'm in the EG, Enterprise Group division. But I am fan for Pointnext because I believe this is the future of our company, is on the services side, that's where it's going. >> I would just point out, Dave and I, our commentary on the spin merge has been, create these highly cohesive entities, very focused. Antonio now running EG, big fans, of where it's actually an efficient business model. >> Carlo: Absolutely. >> And Chris Hsu is running the Micro Focus, CUBE Alumni. >> Carlo: It's a very efficient model, yes. >> Well, congratulations and thanks for coming on and sharing your insights here in Europe. And certainly it is an IoT world, IIoT. I love the analytics story, foundational services. It's going to be great, open source powering it, and this is theCUBE, opening up our content, and sharing that with you. I'm John Furrier, Dave Vellante. Stay with us for more great coverage, here from Munich after the short break.